United Community Banks, Inc.
Apr 17, 2007

United Community Banks, Inc. Reports 13 Percent Gain in Diluted Earnings per Share for First Quarter 2007

BLAIRSVILLE, GA, Apr 17, 2007 (MARKET WIRE via COMTEX News Network) -- HIGHLIGHTS:



United Community Banks, Inc. (NASDAQ: UCBI) today announced record financial results for the first quarter of 2007. Compared with the first quarter of 2006, the company achieved an 18 percent increase in total revenue, a 21 percent rise in net income and a 13 percent gain in diluted earnings per share.

Net income was $19.3 million for the first quarter of 2007, compared with $16.0 million for the same period of 2006. Diluted earnings per share increased to 44 cents from 39 cents a year ago. Total revenue on a taxable equivalent basis was $75.8 million compared with $64.2 million for the first quarter of 2006. Return on tangible equity was 17.18 percent and return on assets was 1.11 percent, compared with 17.66 percent and 1.09 percent, respectively, a year ago.

"United Community Banks delivered another quarter of record earnings for our shareholders," said Jimmy Tallent, president and chief executive officer. "We are especially pleased to report strong performance in light of a challenging operating environment."

Loans increased $818 million, or 18 percent, from a year ago, including $267 million from the acquisition of Southern National Bank that closed in December 2006. Excluding acquired loans, organic loan growth was 12 percent. "Year-over-year loan growth was strong, but we experienced a slower pace during the first quarter of 2007," Tallent said. "The slowdown was further impacted by a higher level of prepayments due to sales of customer businesses, construction developments and competitive pricing. With the slower loan growth, we have lowered our targeted range to 6 to 10 percent for the remainder of the year."

"At the same time, we look ahead with optimism," Tallent added. "We have a presence in 19 of the 100 fastest growing counties in the country and in four of the top 10. The population demographics are strong across our markets and employment opportunities are growing at a rapid pace in metro Atlanta."

Tallent noted that the company more than funded first quarter loan growth with core customer deposits, adding $137 million in transaction, savings and money market accounts while allowing more expensive time deposits to run off.

Also during the first quarter, United moved to fill an important gap in its metro Atlanta footprint by signing a definitive agreement to acquire Gwinnett Commercial Group, Inc. and its wholly owned subsidiary First Bank of the South. "First Bank of the South has an exceptional banking team and is the perfect partner for our company," Tallent said. "Its Gwinnett County presence allows us to fulfill our goal of completely encircling metro Atlanta. First Bank of the South also has locations in DeKalb, north Fulton and Walton counties, which are new metro Atlanta markets for United."

United also continued de novo expansion during the quarter with the opening of a second office in Cleveland, Tennessee and a third office that is located on the south side of Forsyth County in northern metro Atlanta. In addition, the company converted a loan production facility to a full-service office in the resort town of Blowing Rock in the North Carolina mountains. "We will continue to look for opportunities to expand our franchise in both new and existing markets, but at a slower pace in the near-term as we monitor trends in loan growth," Tallent said. "De novo expansion is a key component of our balanced growth strategy for building long-term shareholder value."

For the first quarter of 2007, taxable equivalent net interest revenue of $65.1 million reflected an increase of $9.1 million, or 16 percent, from the first quarter of 2006. Net interest margin was 3.99 percent for the first quarter of 2007 and the fourth quarter of 2006, compared with 4.06 percent for the first quarter of 2006. "Rising interest rates positively impacted our prime-rate loan portfolio over the past year," Tallent said. "However, this impact was offset by rising wholesale borrowing costs and higher costs associated with deposit generating programs in our new markets. These successful deposit programs concluded in the fourth quarter."

The first quarter provision for loan losses was $3.7 million, an increase of $200,000 from a year earlier and equal to the fourth quarter of 2006. Annualized net charge-offs to average loans was 11 basis points for the first quarter, equal to the first quarter of 2006 and down from 15 basis points for the fourth quarter of 2006. At quarter-end, non-performing assets totaled $14.3 million, compared with $8.4 million a year ago and $13.7 million at the end of the fourth quarter of 2006. Non-performing assets as a percentage of total assets was 20 basis points at quarter-end, compared with 19 basis points at December 31, 2006 and 14 basis points at March 31, 2006.

"Throughout most of 2006 we were at unsustainably low levels of non-performing assets," Tallent said. "Even with the slight rise at quarter-end, we continue to operate at the lower end of our long-term historic range of 20 to 35 basis points and well below peer banks. Strong credit quality, rooted in our guiding principle of securing loans with hard assets, is essential to our balanced growth strategy and overall success."

Fee revenue for the first quarter grew by $2.6 million, or 22 percent, to $14.4 million from $11.8 million for the first quarter of 2006. Service charges and fees on deposit accounts increased $900,000 to $7.3 million, primarily due to growth in transactions and new accounts resulting from core deposit programs and higher ATM and debit card usage fees. Mortgage fees rose $710,000 to $2.2 million due to higher volumes and pricing of mortgages sold. Mortgage loans closed during the first quarter were $109 million compared with $77 million for the first quarter of 2006. Consulting fees were up $163,000, or 10 percent, from a year ago reflecting strong growth primarily in the advisory services practice.

Operating expenses increased $6.4 million to $44.8 million, a 17 percent increase from the first quarter of 2006. The Southern National acquisition accounted for approximately $1.2 million of the increase. Salaries and employee benefit costs were $28.3 million, $4.4 million higher than in the first quarter of 2006. This 19 percent increase was due to the increase in staff to support expansion activities and business growth, as well as higher health care costs. Communications and equipment expenses increased $436,000 to $3.8 million due to further investments and upgrades in technology and equipment to support business growth and additional banking offices. Occupancy expense increased $259,000 to $3.2 million reflecting the increase in costs to operate additional banking offices. Postage, printing and supplies expense rose $144,000 to $1.7 million primarily due to business growth and marketing campaigns. Professional fees increased $318,000 to $1.5 million reflecting higher legal fees and the cost of various corporate initiatives.

"Our operating efficiency ratio of 56.56 percent was within our long-term efficiency goal of 56 to 58 percent," Tallent said. "The continued strength of our existing franchise, strong revenue growth and disciplined expense controls are more than offsetting the cost of reinvesting for the future through our significant de novo expansion efforts."

Also of note during the first quarter, United Community Banks was added to Standard and Poor's SmallCap 600 index. The index is designed to be an efficient portfolio of companies that meet specific inclusion criteria to ensure they are investable and financially viable. "We are pleased to be included in this index as it reflects our commitment to deliver superior financial performance, including solid earnings for our shareholders," said Tallent.

"We are committed to our unique brand of customer service, solid credit quality, and building shareholder value by expanding our franchise while delivering consistent double-digit growth in earnings per share," Tallent said. "Our 2007 outlook is for earnings per share growth at the lower end of our long-term goal of 12 to 15 percent. We anticipate loan growth to be in the range of 6 to 10 percent for the balance of 2007 and our net interest margin at the current level of four percent. This outlook assumes stable economic and rate environments and continued strong credit quality."

Conference Call

United Community Banks will hold a conference call on Tuesday, April 17, 2007, at 11 a.m. ET to discuss the contents of this news release, as well as business highlights for the quarter and the financial outlook for 2007. The telephone number for the conference call is (866) 543-6408 and the pass code is "UCBI." The conference call will also be available by web cast within the Investor Relations section of the company's web site at www.ucbi.com.

About United Community Banks, Inc.

Headquartered in Blairsville, United Community Banks is the third-largest bank holding company in Georgia. United Community Banks has assets of $7.2 billion and operates 26 community banks with 103 banking offices located throughout north Georgia, metro Atlanta, coastal Georgia, western North Carolina and east Tennessee. The company specializes in providing personalized community banking services to individuals and small to mid-size businesses. United Community Banks also offers the convenience of 24-hour access through a network of ATMs, telephone and on-line banking. United Community Banks common stock is listed on the Nasdaq Global Select Market under the symbol UCBI. Additional information may be found at the company's web site at www.ucbi.com.

Safe Harbor

This news release contains forward-looking statements, as defined by Federal Securities Laws, including statements about financial outlook and business environment. These statements are provided to assist in the understanding of future financial performance and such performance involves risks and uncertainties that may cause actual results to differ materially from those in such statements. Any such statements are based on current expectations and involve a number of risks and uncertainties. For a discussion of factors that may cause such forward-looking statements to differ materially from actual results, please refer to the section entitled "Forward Looking Statements" on page 4 of United Community Banks, Inc.'s annual report filed on Form 10-K with the Securities and Exchange Commission.

UNITED COMMUNITY BANKS, INC.
Selected Financial Information
For the Three Months Ended March 31, 2007
                                         2007               2006
                                     -----------  ------------------------
(in thousands, except per share         First       Fourth        Third
data; taxable equivalent)              Quarter      Quarter      Quarter
                                     -----------  -----------  -----------
INCOME SUMMARY
Interest revenue                     $   129,028  $   123,463  $   116,304
Interest expense                          63,923       60,912       55,431
                                     -----------  -----------  -----------
    Net interest revenue                  65,105       62,551       60,873
Provision for loan losses                  3,700        3,700        3,700
Fee revenue                               14,382       13,215       12,146
                                     -----------  -----------  -----------
    Total revenue                         75,787       72,066       69,319
Operating expenses                        44,841       42,521       41,441
                                     -----------  -----------  -----------
    Income before taxes                   30,946       29,545       27,878
Income taxes                              11,601       11,111       10,465
                                     -----------  -----------  -----------
    Net income                       $    19,345  $    18,434  $    17,413
                                     ===========  ===========  ===========
PERFORMANCE MEASURES
  Per common share:
    Basic earnings                   $       .45  $       .45  $       .43
    Diluted earnings                         .44          .44          .42
    Cash dividends declared                  .09          .08          .08
    Book value                             14.83        14.37        13.07
    Tangible book value (2)                11.06        10.57        10.16
  Key performance ratios:
    Return on tangible equity
     (1)(2)(3)                             17.18%       17.49%       17.29%
    Return on equity (1)(3)                12.48        13.26        13.22
    Return on assets (3)                    1.11         1.10         1.09
    Net interest margin (3)                 3.99         3.99         4.07
    Efficiency ratio                       56.56        55.93        56.46
    Dividend payout ratio                  20.00        17.78        18.60
    Equity to assets                        8.80         8.21         8.04
    Tangible equity to assets (2)           6.66         6.46         6.35
ASSET QUALITY
  Allowance for loan losses          $    68,804  $    66,566  $    60,901
  Non-performing assets                   14,290       13,654        9,347
  Net charge-offs                          1,462        1,930        1,307
  Allowance for loan losses to loans        1.27%        1.24%        1.23%
  Non-performing assets to total
   assets                                    .20          .19          .14
  Net charge-offs to average loans (3)       .11          .15          .11
AVERAGE BALANCES
  Loans                              $ 5,402,860  $ 5,134,721  $ 4,865,886
  Investment securities                1,153,208    1,059,125    1,029,981
  Earning assets                       6,599,035    6,225,943    5,942,710
  Total assets                         7,092,710    6,669,950    6,350,205
  Deposits                             5,764,426    5,517,696    5,085,168
  Shareholders' equity                   624,100      547,419      510,791
  Common shares outstanding:
    Basic                                 43,000       41,096       40,223
    Diluted                               43,912       42,311       41,460
AT PERIOD END
  Loans                              $ 5,402,198  $ 5,376,538  $ 4,965,365
  Investment securities                1,150,424    1,107,153      980,273
  Earning assets                       6,640,564    6,565,730    6,012,987
  Total assets                         7,186,602    7,101,249    6,455,290
  Deposits                             5,841,687    5,772,886    5,309,219
  Shareholders' equity                   638,456      616,767      526,734
  Common shares outstanding               43,038       42,891       40,269
(1)  Net income available to common shareholders, which excludes preferred
stock dividends, divided by average realized common equity, which excludes
accumulated other comprehensive income (loss).
(2)  Excludes effect of acquisition related intangibles and associated
amortization.
(3)  Annualized.
UNITED COMMUNITY BANKS, INC.
Selected Financial Information
For the Three Months Ended March 31, 2007
                                                 2006              First
                                       ------------------------   Quarter
(in thousands, except per share          Second        First     2007-2006
data; taxable equivalent)                Quarter      Quarter      Change
                                       -----------  -----------  ---------
INCOME SUMMARY
Interest revenue                       $   107,890  $    99,038
Interest expense                            49,407       43,065
                                       -----------  -----------
    Net interest revenue                    58,483       55,973         16%
Provision for loan losses                    3,700        3,500
Fee revenue                                 11,976       11,758         22
                                       -----------  -----------
    Total revenue                           66,759       64,231         18
Operating expenses                          39,645       38,463         17
                                       -----------  -----------
    Income before taxes                     27,114       25,768         20
Income taxes                                10,185        9,729
                                       -----------  -----------
    Net income                         $    16,929  $    16,039         21
                                       ===========  ===========
PERFORMANCE MEASURES
  Per common share:
    Basic earnings                     $       .42  $       .40         13
    Diluted earnings                           .41          .39         13
    Cash dividends declared                    .08          .08         13
    Book value                               12.34        12.09         23
    Tangible book value (2)                   9.50         9.25         20
  Key performance ratios:
    Return on tangible equity
     (1)(2)(3)                               17.68%       17.66%
    Return on equity (1)(3)                  13.41        13.25
    Return on assets (3)                      1.10         1.09
    Net interest margin (3)                   4.07         4.06
    Efficiency ratio                         56.27        56.79
    Dividend payout ratio                    19.05        20.00
    Equity to assets                          7.95         8.04
    Tangible equity to assets (2)             6.22         6.24
ASSET QUALITY
  Allowance for loan losses            $    58,508  $    55,850
  Non-performing assets                      8,805        8,367
  Net charge-offs                            1,042        1,245
  Allowance for loan losses to loans          1.22%        1.22%
  Non-performing assets to total
   assets                                      .14          .14
  Net charge-offs to average loans (3)         .09          .11
AVERAGE BALANCES
  Loans                                $ 4,690,196  $ 4,505,494         20
  Investment Securities                  1,039,707    1,038,683         11
  Earning assets                         5,758,697    5,574,712         18
  Total assets                           6,159,152    5,960,801         19
  Deposits                               4,842,389    4,613,810         25
  Shareholders' equity                     489,821      478,960         30
  Common shares outstanding:
    Basic                                   40,156       40,088
    Diluted                                 41,328       41,190
AT PERIOD END
  Loans                                $ 4,810,277  $ 4,584,155         18
  Investment securities                    974,524      983,846         17
  Earning assets                         5,862,614    5,633,381         18
  Total assets                           6,331,136    6,070,596         18
  Deposits                               4,976,650    4,748,438         23
  Shareholders' equity                     496,297      485,414         32
  Common shares outstanding                 40,179       40,119
(1)  Net income available to common shareholders, which excludes preferred
stock dividends, divided by average realized common equity, which excludes
accumulated other comprehensive income (loss).
(2)  Excludes effect of acquisition related intangibles and associated
amortization.
(3)  Annualized.
UNITED COMMUNITY BANKS, INC.
Consolidated Statement of Income (unaudited)
For the Three Months Ended March 31,
                                                        Three Months Ended
                                                            March 31,
                                                        ------------------
(in thousands, except per share data)                     2007      2006
                                                        --------- --------
Interest revenue:
  Loans, including fees                                 $ 114,073 $ 86,606
  Investment securities:
    Taxable                                                13,968   11,318
    Tax exempt                                                447      514
  Federal funds sold and deposits in banks                     58      158
                                                        --------- --------
        Total interest revenue                            128,546   98,596
                                                        --------- --------
Interest expense:
  Deposits:
    NOW                                                    10,627    5,987
    Money market                                            2,540    1,200
    Savings                                                   309      228
    Time                                                   41,625   25,386
                                                        --------- --------
        Total deposit interest expense                     55,101   32,801
  Federal funds purchased, repurchase agreements, &
   other short-term borrowings                              1,817    1,482
  Federal Home Loan Bank advances                           4,801    6,629
  Long-term debt                                            2,204    2,153
                                                        --------- --------
    Total interest expense                                 63,923   43,065
                                                        --------- --------
    Net interest revenue                                   64,623   55,531
  Provision for loan losses                                 3,700    3,500
                                                        --------- --------
    Net interest revenue after provision for loan
     losses                                                60,923   52,031
                                                        --------- --------
Fee revenue:
  Service charges and fees                                  7,253    6,353
  Mortgage loan and other related fees                      2,223    1,513
  Consulting fees                                           1,747    1,584
  Brokerage fees                                              944      850
  Securities gains (losses), net                              207       (3)
  Other                                                     2,008    1,461
                                                        --------- --------
    Total fee revenue                                      14,382   11,758
                                                        --------- --------
    Total revenue                                          75,305   63,789
                                                        --------- --------
Operating expenses:
  Salaries and employee benefits                           28,317   23,884
  Communications and equipment                              3,812    3,376
  Occupancy                                                 3,191    2,932
  Advertising and public relations                          2,016    1,888
  Postage, printing and supplies                            1,660    1,516
  Professional fees                                         1,479    1,161
  Amortization of intangibles                                 564      503
  Other                                                     3,802    3,203
                                                        --------- --------
    Total operating expenses                               44,841   38,463
                                                        --------- --------
  Income before income taxes                               30,464   25,326
  Income taxes                                             11,119    9,287
                                                        --------- --------
    Net income                                          $  19,345 $ 16,039
                                                        ========= ========
    Net income available to common shareholders         $  19,341 $ 16,034
                                                        ========= ========
Earnings per common share:
  Basic                                                 $     .45 $    .40
  Diluted                                                     .44      .39
Dividends per common share                                    .09      .08
Weighted average common shares outstanding:
  Basic                                                    43,000   40,088
  Diluted                                                  43,912   41,190
UNITED COMMUNITY BANKS, INC.
Consolidated Balance Sheet
For the period ended
(in thousands, except share and per
 share data)                          March 31,   December 31,   March 31,
                                        2007         2006         2006
                                     -----------  -----------  -----------
                                     (unaudited)   (audited)   (unaudited)
ASSETS
   Cash and due from banks           $   159,543  $   158,348  $   150,378
   Interest-bearing deposits in
    banks                                 22,644       12,936       12,259
                                     -----------  -----------  -----------
       Cash and cash equivalents         182,187      171,284      162,637
   Securities available for sale       1,150,424    1,107,153      983,846
   Mortgage loans held for sale           31,633       35,325       18,455
   Loans, net of unearned income       5,402,198    5,376,538    4,584,155
        Less allowance for loan
         losses                           68,804       66,566       55,850
                                     -----------  -----------  -----------
           Loans, net                  5,333,394    5,309,972    4,528,305
   Premises and equipment, net           150,332      139,716      120,021
   Accrued interest receivable            60,677       58,291       41,895
   Goodwill and other intangible
    assets                               166,073      167,058      118,149
   Other assets                          111,882      112,450       97,288
                                     -----------  -----------  -----------
       Total assets                  $ 7,186,602  $ 7,101,249  $ 6,070,596
                                     ===========  ===========  ===========
LIABILITIES AND SHAREHOLDERS'
 EQUITY
 Liabilities:
   Deposits:
      Demand                         $   675,969  $   659,892  $   653,624
      NOW                              1,406,287    1,307,654    1,106,106
      Money market                       277,184      255,862      171,328
      Savings                            176,891      175,631      176,205
      Time:
        Less than $100,000             1,619,865    1,650,906    1,308,698
        Greater than $100,000          1,366,360    1,397,245    1,029,464
        Brokered                         319,131      325,696      303,013
                                     -----------  -----------  -----------
           Total deposits              5,841,687    5,772,886    4,748,438
    Federal funds purchased,
     repurchase agreements, and
     other short-term borrowings          77,367       65,884      167,369
    Federal Home Loan Bank advances      464,072      489,084      510,602
    Long-term debt                       113,151      113,151      111,869
    Accrued expenses and other
     liabilities                          51,869       43,477       46,904
                                     -----------  -----------  -----------
         Total liabilities             6,548,146    6,484,482    5,585,182
                                     -----------  -----------  -----------
 Shareholders' equity:
    Preferred stock, $1 par value;
     $10 stated value; 10,000,000
     shares authorized; 32,200,
     32,200 and 32,200 shares issued
     and outstanding                         322          322          322
    Common stock, $1 par value;
     100,000,000 shares authorized;
     43,037,840, 42,890,863 and
     40,119,288 shares issued and
     outstanding                          43,038       42,891       40,119
     Common stock issuable; 35,154,
      29,821 and 16,549 shares             1,043          862          451
     Capital surplus                     273,575      270,383      195,382
     Retained earnings                   321,721      306,261      263,384
     Accumulated other comprehensive
      loss                                (1,243)      (3,952)     (14,244)
                                     -----------  -----------  -----------
         Total shareholders' equity      638,456      616,767      485,414
                                     -----------  -----------  -----------
         Total liabilities and
          shareholders' equity       $ 7,186,602  $ 7,101,249  $ 6,070,596
                                     ===========  ===========  ===========
UNITED COMMUNITY BANKS, INC.
Average Consolidated Balance Sheets and Net Interest Analysis
For the Three Months Ended March 31,
                                                      2007
                                     -------------------------------------
(dollars in thousands, taxable
 equivalent)                          Average                     Avg.
                                      Balance       Interest      Rate
                                     -----------  ------------   -------
Assets:
Interest-earning assets:
  Loans, net of unearned income
   (1)(2)                            $ 5,402,860  $    113,868      8.55%
  Taxable securities (3)               1,109,847        13,968      5.03
  Tax-exempt securities (1) (3)           43,361           735      6.78
  Federal funds sold and other
   interest-earning assets                42,967           457      4.26
                                     -----------  ------------
     Total interest-earning assets     6,599,035       129,028      7.92
                                     -----------  ------------
Non-interest-earning assets:
  Allowance for loan losses              (68,187)
  Cash and due from banks                120,637
  Premises and equipment                 146,832
  Other assets (3)                       294,393
                                     -----------
     Total assets                    $ 7,092,710
                                     ===========
Liabilities and Shareholders'
 Equity:
Interest-bearing liabilities:
  Interest-bearing deposits:
    NOW accounts                     $ 1,322,818  $     10,627      3.26
    Money Market accounts                261,753         2,540      3.94
 Savings deposits                        175,275           309       .71
 Time deposits less than $100,000      1,641,507        19,796      4.89
 Time deposits greater than $100,000   1,385,401        17,916      5.24
 Brokered deposits                       334,753         3,913      4.74
                                     -----------  ------------
       Total interest-bearing
        deposits                       5,121,507        55,101      4.36
                                     -----------  ------------
 Federal funds purchased & other
  borrowings                             139,256         1,817      5.29
 Federal Home Loan Bank advances         395,746         4,801      4.92
 Long-term debt                          113,234         2,204      7.89
                                     -----------  ------------
      Total borrowed funds               648,236         8,822      5.52
                                     -----------  ------------
      Total interest-bearing
       liabilities                     5,769,743        63,923      4.49
                                                  ------------
Non-interest-bearing liabilities:
  Non-interest-bearing deposits          642,919
  Other liabilities                       55,948
                                     -----------
     Total liabilities                 6,468,610
Shareholders' equity                     624,100
                                     -----------
     Total liabilities
      and shareholders' equity       $ 7,092,710
                                     ===========
Net interest revenue                              $     65,105
                                                  ============
Net interest-rate spread                                            3.43%
                                                               =========
Net interest margin (4)                                             3.99%
                                                               =========
(1)  Interest revenue on tax-exempt securities and loans has been increased
     to reflect comparable interest on taxable securities and loans.
     The rate used was 39%, reflecting the statutory federal income tax
     rate and the federal tax adjusted state income tax rate.
(2)  Included in the average balance of loans outstanding are loans where
     the accrual of interest has been discontinued.
(3)  Securities available for sale are shown at amortized cost.  Pretax
     unrealized losses of $10.0 million and $14.2 million in 2007 and
     2006, respectively, are included in other assets for purposes of
     this presentation.
(4)  Net interest margin is taxable equivalent net-interest revenue
     divided by average interest-earning assets.
UNITED COMMUNITY BANKS, INC.
Average Consolidated Balance Sheets and Net Interest Analysis
For the Three Months Ended March 31,
                                                      2006
                                     ----------------------------------
(dollars in thousands, taxable         Average                    Avg.
 equivalent)                           Balance      Interest      Rate
                                     -----------  ------------  --------
Assets:
Interest-earning assets:
  Loans, net of unearned income
   (1)(2)                            $ 4,505,494  $     86,495      7.79%
  Taxable securities (3)                 989,683        11,318      4.57
  Tax-exempt securities (1) (3)           49,000           846      6.90
  Federal funds sold and other
   interest-earning assets                30,535           379      4.96
                                     -----------  ------------
     Total interest-earning assets     5,574,712        99,038      7.19
                                     -----------  ------------
Non-interest-earning assets:
  Allowance for loan losses              (54,825)
  Cash and due from banks                122,486
  Premises and equipment                 115,590
  Other assets (3)                       202,838
                                     -----------
     Total assets                    $ 5,960,801
                                     ===========
Liabilities and Shareholders'
 Equity:
Interest-bearing liabilities:
  Interest-bearing deposits:
    NOW accounts                     $ 1,082,342  $      5,987      2.24
    Money Market accounts                163,404         1,200      2.98
    Savings deposits                     175,796           228       .53
    Time deposits less than $100,000   1,270,078        12,035      3.84
    Time deposits greater than
     $100,000                            979,665        10,409      4.31
    Brokered deposits                    315,090         2,942      3.79
                                     -----------  ------------
       Total interest-bearing
        deposits                       3,986,375        32,801      3.34
                                     -----------  ------------
 Federal funds purchased & other
  borrowings                             128,602         1,482      4.67
 Federal Home Loan Bank advances         586,722         6,629      4.58
 Long-term debt                          111,869         2,153      7.81
                                     -----------  ------------
      Total borrowed funds               827,193        10,264      5.03
                                     -----------  ------------
      Total interest-bearing
       liabilities                     4,813,568        43,065      3.63
                                                  ------------
Non-interest-bearing liabilities:
  Non-interest-bearing deposits          627,436
  Other liabilities                       40,837
                                     -----------
     Total liabilities                 5,481,841
Shareholders' equity                     478,960
                                     -----------
     Total liabilities
      and shareholders' equity       $ 5,960,801
                                     ===========
Net interest revenue                              $     55,973
                                                  ============
Net interest-rate spread                                            3.56%
                                                               =========
Net interest margin (4)                                             4.06%
                                                               =========
(1)  Interest revenue on tax-exempt securities and loans has been increased
     to reflect comparable interest on taxable securities and loans. The
     rate used was 39%, reflecting the statutory federal income tax rate
     and the federal tax adjusted state income tax rate.
(2)  Included in the average balance of loans outstanding are loans where
     the accrual of interest has been discontinued.
(3)  Securities available for sale are shown at amortized cost.  Pretax
     unrealized losses of $10.0 million and $14.2 million in 2007 and 2006,
     respectively, are included in other assets for purposes of
     this presentation.
(4)  Net interest margin is taxable equivalent net-interest revenue divided
     by average interest-earning assets.




For more information:

Rex S. Schuette
Chief Financial Officer
(706) 781-2266
Contact via http://www.marketwire.com/mw/emailprcntct?id=2098FE0F9894DD5F



SOURCE: United Community Banks, Inc.