United Bancorp, Inc. Declares its Fourth Quarter Regular Cash Dividend Payment at $0.07 per Share Payable on December 20, 2012 to Shareholders of Record on November 26, 2012

MARTINS FERRY, Ohio, Nov. 15, 2012 /PRNewswire/ -- On November 14, 2012, the Board of Directors of United Bancorp, Inc. (UBCP) declared the fourth quarter dividend payment of $0.07 per share for shareholders of record on November 26, 2012 with a payment date of December 20, 2012.  This cash dividend amount of $0.07 per share equals the amount paid last quarter and will result in a total per share cash dividend for 2012 of $0.42 compared to the $0.56 paid in 2011.

James W. Everson, Chairman, President and CEO stated, "A weak economic recovery, the continuation of a zero rate monetary policy and the cumulative impact of government regulatory policies reducing our fee income opportunities and increasing our compliance expenses collectively have led to our earnings performance being significantly impacted as reported to the media and on our web site in our September 30^th Earnings Release. Our original budget forecasts did not anticipate the continuation of this zero-based monetary policy.  On this basis, we continued to reward our shareholders with a high yielding dividend payment until last quarter when we reduced our cash dividend payment by 50%.  This action was taken with much consideration after it became apparent there would not be a normalization of interest rates as we originally anticipated due to continuing changes in the policy of the Federal Reserve.  Today, we are impacting earnings by holding 20% of our assets in liquid low yielding funds and are not taking undue market risk by extending investment maturities for return until we gain a better understanding of our economy's direction.  We continue to aggressively and selectively make loans in the markets that we serve and consider this to be our only prudent and viable opportunity to generate an acceptable yield.  This short term pain will lead to long term gain as interest rates begin to recover which will lead to increased dividend payments.  Your Board of Directors and Management Team are taking both necessary and prudent action to manage the 'G' risk of banking to assure long term growth of shareholder value as we continue to travel through these uncharted waters of continuing and impending regulatory reform and unprecedented low interest rate policy." 

United Bancorp, Inc. is headquartered in Martins Ferry, Ohio with total assets of approximately $460.3 million and total shareholder's equity of approximately $36.5 million as of September 30, 2012.  Through its single bank charter with its twenty banking offices and an operations center, The Citizens Savings Bank through its Community Bank Division serves the Ohio Counties of Athens, Fairfield and Hocking and through its Citizens Bank Division serves Belmont, Carroll, Harrison, Jefferson and Tuscarawas. United Bancorp, Inc. is a part of the Russell Microcap Index and trades on The NASDAQ Capital Market tier of the NASDAQ Stock Market under the symbol UBCP, Cusip #909911109.  Please visit our web site  www.unitedbancorp.com for more information.

Certain statements contained herein are not based on historical facts and are "forward-looking statements" within the meaning of Section 21A of the Securities Exchange Act of 1934.  Forward-looking statements, which are based on various assumptions (some of which are beyond the Company's control), may be identified by reference to a future period or periods, or by the use of forward-looking terminology, such as "may," "will," "believe," "expect," "estimate," "anticipate," "continue," or similar terms or variations on those terms, or the negative of these terms.  Actual results could differ materially from those set forth in forward-looking statements, due to a variety of factors, including, but not limited to, those related to the economic environment, particularly in the market areas in which the company operates, competitive products and pricing, fiscal and monetary policies of the U.S. Government, changes in government regulations affecting financial institutions, including regulatory fees and capital requirements, changes in prevailing interest rates, acquisitions and the integration of acquired businesses, credit risk management, asset/liability management, changes in the financial and securities markets, including changes with respect to the market value of our financial  assets, and the availability of and costs associated with sources of liquidity.  The Company undertakes no obligation to update or carry forward-looking statements, whether as a result of new information, future events or otherwise.

SOURCE United Bancorp, Inc.