8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest event reported):

April 24, 2014

United Community Banks, Inc.

(Exact name of registrant as specified in its charter)

Georgia	No. 001-35095	No. 58-180-7304
(State or other jurisdiction of	(Commission File Number)	(IRS Employer
incorporation)		Identification No.)

125 Highway 515 East

Blairsville, Georgia  30512

(Address of principal executive offices)

Registrant’s telephone number, including area code:

(706) 781-2265

Not applicable

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240-13e-4(c))

Item 2.02

Results of Operations and Financial Condition.

On April 24, 2014, United Community Banks, Inc. (the “Registrant”) issued a news release announcing its financial results for the quarter ended March 31, 2014 (the “News Release”).  The News Release, including financial schedules, is attached as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated herein by reference.  In connection with issuing the News Release, on April 24, 2014 at 11:00 a.m. EST, the Registrant intends to hold a conference call/webcast to discuss the News Release.  In addition to the News Release, during the conference call the Registrant intends to discuss certain financial information contained in the First Quarter 2014 Investor Presentation (the “Investor Presentation”), which will be posted to the Registrant’s website at www.ucbi.com.  The Investor Presentation is attached as Exhibit 99.2 to this Current Report on Form 8-K and is incorporated herein by reference. The presentation of the Registrant’s financial results includes core earnings measures, which are measures of performance determined by methods other than in accordance with generally accepted accounting principles, or GAAP.  Management included non-GAAP core earnings measures because it believes they are useful for evaluating the Registrant’s operations and performance over periods of time, and uses core earnings measures in managing and evaluating the Registrant’s business and intends to refer to them in discussions about the Registrant’s operations and performance.  Core earnings measures exclude credit related costs such as the provision for loan losses and foreclosed property expense, securities gains and losses, income taxes and other items of a non-recurring nature.  Core earnings measures are useful in evaluating the underlying earnings performance trends of the Registrant.  Management believes these non-GAAP performance measures may provide users of the Registrant’s financial information with a meaningful measure for assessing the Registrant’s financial results and comparing those financial results to prior periods. Core earnings measures should be viewed in addition to, and not as an alternative to or substitute for, the Registrant’s performance measures determined in accordance with GAAP, and are not necessarily comparable to non-GAAP performance measures that may be presented by other companies.

Item 9.01	Financial Statements and Exhibits.
(d)	Exhibits
Exhibit No.	Description
99.1	News Release, dated April 24, 2014
99.2	Investor Presentation, First Quarter 2014

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	UNITED COMMUNITY BANKS, INC.
	By:	/s/ Rex S. Schuette
		Rex S. Schuette
		Executive Vice President and
		Chief Financial Officer
Date:  April 24, 2014

EX-99.1

Exhibit 99.1

For Immediate Release

For more information:

Rex S. Schuette

Chief Financial Officer

(706) 781-2266

Rex_Schuette@ucbi.com

UNITED COMMUNITY BANKS, INC. REPORTS

EARNINGS OF $15.4 MILLION FOR FIRST QUARTER 2014

• Earnings per diluted share of 25 cents, up 14 percent from fourth quarter
• Loans up $27 million, or 2 percent annualized
• Core transaction deposits up $135 million, or 16 percent annualized
• All preferred stock redeemed
• All capital ratios remain strong

BLAIRSVILLE, GA – April 24, 2014 – United Community Banks, Inc. (NASDAQ: UCBI) (“United”) today reported net income of $15.4 million, or 25 cents per diluted share, for the first quarter of 2014. Earnings per share were up 14 percent from the fourth quarter, and 67 percent from the first quarter of 2013, reflecting a reduction in preferred stock dividends, reduced operating costs and a lower provision for loan losses.

“I am pleased with our first quarter progress and our outlook for the balance of 2014,” said Jimmy Tallent, president and chief executive officer. “We achieved steady loan growth and strong deposit growth, while controlling expenses.

“I am especially pleased that we redeemed the remaining $122 million in preferred stock, completing the final phase of our TARP and other preferred stock redemptions during the first quarter,” Tallent continued. “In total we redeemed $197 million in preferred stock, including $75 million in the fourth quarter, without issuing common equity that would have been dilutive to shareholders.

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“The elimination of expensive preferred stock dividends had a positive impact on first quarter per share results,” Tallent added. “Longer-term, it will benefit our performance and the ability to execute our strategic plan.”

The first quarter provision for credit losses was $2.5 million, down $500,000 from the fourth quarter and down $8.5 million from the first quarter of 2013. First quarter net charge-offs were $4.04 million, compared with $4.44 million in the fourth quarter and $12.4 million a year ago. Nonperforming assets at quarter-end were $30.8 million, representing .42 percent of total assets. This was down slightly from the fourth quarter and down significantly from $112.7 million, or 1.65 percent of total assets, in the first quarter of 2013.

First quarter taxable equivalent net interest revenue totaled $54.2 million, down $1.71 million from the fourth quarter and down $405,000 from the first quarter of 2013. The first quarter taxable equivalent net interest margin was 3.21 percent, down five basis points from the fourth quarter and down 16 basis points from a year ago.

“The decline in net interest revenue was related primarily to two fewer days of interest accruals in the first quarter,” said Tallent. “Competitive loan pricing pressures continue, and we are sharply focused on growing loans and deposits to offset the impact and grow net interest revenue. We also remain committed to prudent interest rate risk management. To that end, 39 percent of our investment portfolio consists of floating-rate securities, compared with 41 percent at year-end 2013 and 34 percent in the first quarter of 2013.”

First quarter fee revenue totaled $12.2 million, down $1.34 million from the fourth quarter and $735,000 from a year earlier, primarily due to lower mortgage fees and lower customer swap fees in other fee revenue. Additionally, fourth quarter fee revenue included the recognition of $300,000 in gains on mutual fund investments. First quarter mortgage fees were down $359,000 from the fourth quarter and down $1.3 million from a year ago, reflecting slower mortgage refinancing activity related to rising long-term interest rates. Closed mortgage loans totaled $46 million in the first quarter, compared with $55.5 million in the fourth quarter and $70 million in the first quarter of 2013.

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Operating expenses, excluding foreclosed property costs, were $38.9 million in the first quarter compared to $41.4 million in the fourth quarter of 2013 and $41.4 million a year ago. Expenses decreased in every category from fourth quarter totals, reflecting successful efforts to control operating costs. The most significant quarter-to-quarter decreases were $675,000 in professional fees and $451,000 in FDIC assessments and other regulatory charges, reflecting United’s improved credit quality. Salaries and employee benefits decreased $421,000, in part reflecting incentive compensation accrued in the fourth quarter for achievement of the 2013 performance targets.

Foreclosed property costs were $116,000 in the first quarter compared to $191,000 in the fourth quarter and $2.33 million a year ago. These costs have remained lower following the accelerated sales of classified assets in the second quarter of 2013.

On March 31, 2014, capital ratios were as follows: Tier 1 Risk-Based of 11.1 percent; Total Risk-Based of 12.3 percent; Tier 1 Common Risk-Based of 10.0 percent; Tier 1 Leverage of 8.0 percent; and Tangible Equity-to-Assets of 9.5 percent.

“We made good progress in the first quarter,” Tallent said. “A year ago our focus was resolving legacy credit-related problems, a major undertaking that has been completed. Other challenges have remained with regard to interest rates and the economic environment. But our team has kept expenses down and strengthened the business pipeline, and we have strategically added people and initiatives to drive revenue growth. Of particular note are the additions of senior talent to lead our Tennessee region, our specialized lending group, and our structured finance area. I believe we are on track to achieve our business targets and financial goals for the year.”

Conference Call

United will hold a conference call today, Thursday, April 24, 2014, at 11 a.m. ET to discuss the contents of this news release and to share business highlights for the quarter. To access the call, dial (877) 380-5665 and use the conference number 24926399. The conference call also will be webcast and can be accessed by selecting ‘Calendar of Events’ within the Investor Relations section of United’s website at www.ucbi.com.

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About United Community Banks, Inc.

United Community Banks, Inc. (UCBI) is a bank holding company based in Blairsville, Georgia, with $7.4 billion in assets. The company's banking subsidiary, United Community Bank, is one of the Southeast region's largest full-service banks, operating 102 offices in Georgia, North Carolina, South Carolina and Tennessee. The bank specializes in providing personalized community banking services to individuals, small businesses and corporations. Services include a full range of consumer and commercial banking services including mortgage, advisory and treasury management products. United Community Bank is consistently recognized for its outstanding customer service by national survey organizations. Additional information about the company and the bank's full range of products and services can be found at www.ucbi.com.

Safe Harbor

This news release contains forward-looking statements, as defined by federal securities laws, including statements about United’s financial outlook and business environment. These statements are based on current expectations and are provided to assist in the understanding of future financial performance. Such performance involves risks and uncertainties that may cause actual results to differ materially from those expressed or implied in any such statements. For a discussion of some of the risks and other factors that may cause such forward-looking statements to differ materially from actual results, please refer to United’s filings with the Securities and Exchange Commission including its 2013 Annual Report on Form 10-K under the sections entitled “Forward-Looking Statements” and “Risk Factors.” Forward-looking statements speak only as of the date they are made, and we undertake no obligation to update or revise forward-looking statements.

# # #

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UNITED COMMUNITY BANKS, INC.
Financial Highlights
Selected Financial Information
																First
	2014			2013												Quarter
(in thousands, except per share	First			Fourth			Third			Second			First			2014-2013
data; taxable equivalent)	Quarter			Quarter			Quarter			Quarter			Quarter			Change
INCOME SUMMARY
Interest revenue	$	60,495		$	61,695		$	61,426		$	62,088		$	62,114
Interest expense		6,326			5,816			7,169			7,157			7,540
Net interest revenue		54,169			55,879			54,257			54,931			54,574		(1	)%
Provision for credit losses		2,500			3,000			3,000			48,500			11,000
Fee revenue		12,176			13,519			14,225			15,943			12,911		(6	)
Total revenue		63,845			66,398			65,482			22,374			56,485
Operating expenses		39,050			41,614			40,097			48,823			43,770		(11	)
Income (loss) before income taxes		24,795			24,784			25,385			(26,449	)		12,715		95
Income tax expense (benefit)		9,395			8,873			9,885			(256,413	)		950
Net income		15,400			15,911			15,500			229,964			11,765		31
Preferred dividends and discount accretion		439			2,912			3,059			3,055			3,052
Net income available to common shareholders	$	14,961		$	12,999		$	12,441		$	226,909		$	8,713		72
PERFORMANCE MEASURES
Per common share:
Diluted income	$	.25		$	.22		$	.21		$	3.90		$	.15		67
Book value		11.66			11.30			10.99			10.90			6.85		70
Tangible book value (2)		11.63			11.26			10.95			10.82			6.76		72
Key performance ratios:
Return on common equity (1)(3)		8.64	%		7.52	%		7.38	%		197.22	%		8.51	%
Return on assets (3)		.85			.86			.86			13.34			.70
Net interest margin (3)		3.21			3.26			3.26			3.33			3.37
Efficiency ratio		59.05			60.02			58.55			68.89			64.97
Equity to assets		9.52			11.62			11.80			11.57	(4)		8.60
Tangible equity to assets (2)		9.50			11.59			11.76			11.53	(4)		8.53
Tangible common equity to assets (2)		9.22			8.99			9.02			8.79	(4)		5.66
Tangible common equity to risk-weighted assets (2)		13.57			13.17			13.34			13.16			8.45
ASSET QUALITY *
Non-performing loans	$	25,250		$	26,819		$	26,088		$	27,864		$	96,006
Foreclosed properties		5,594			4,221			4,467			3,936			16,734
Total non-performing assets (NPAs)		30,844			31,040			30,555			31,800			112,740
Allowance for loan losses		75,223			76,762			80,372			81,845			105,753
Net charge-offs		4,039			4,445			4,473			72,408			12,384
Allowance for loan losses to loans		1.73	%		1.77	%		1.88	%		1.95	%		2.52	%
Net charge-offs to average loans (3)		.38			.41			.42			6.87			1.21
NPAs to loans and foreclosed properties		.71			.72			.72			.76			2.68
NPAs to total assets		.42			.42			.42			.44			1.65
AVERAGE BALANCES ($ in millions)
Loans	$	4,356		$	4,315		$	4,250		$	4,253		$	4,197		4
Investment securities		2,320			2,280			2,178			2,161			2,141		8
Earning assets		6,827			6,823			6,615			6,608			6,547		4
Total assets		7,384			7,370			7,170			6,915			6,834		8
Deposits		6,197			6,190			5,987			5,983			5,946		4
Shareholders’ equity		703			856			846			636			588		20
Common shares - basic (thousands)		60,059			59,923			59,100			58,141			58,081
Common shares - diluted (thousands)		60,061			59,925			59,202			58,141			58,081
AT PERIOD END ($ in millions)
Loans *	$	4,356		$	4,329		$	4,267		$	4,189		$	4,194		4
Investment securities		2,302			2,312			2,169			2,152			2,141		8
Total assets		7,398			7,425			7,243			7,163			6,849		8
Deposits		6,248			6,202			6,113			6,012			6,026		4
Shareholders’ equity		704			796			852			829			592		19
Common shares outstanding (thousands)		60,092			59,432			59,412			57,831			57,767

(1)  Net income available to common shareholders, which is net of 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.  (4)  Calculated as of period-end.

* Excludes loans and foreclosed properties covered by loss sharing agreements with the FDIC.

UNITED COMMUNITY BANKS, INC.
Non-GAAP Performance Measures Reconciliation
Selected Financial Information
	2014			2013
(in thousands, except per share	First			Fourth			Third			Second			First
data; taxable equivalent)	Quarter			Quarter			Quarter			Quarter			Quarter
Interest revenue reconciliation
Interest revenue - taxable equivalent	$	60,495		$	61,695		$	61,426		$	62,088		$	62,114
Taxable equivalent adjustment		(357	)		(380	)		(370	)		(368	)		(365	)
Interest revenue (GAAP)	$	60,138		$	61,315		$	61,056		$	61,720		$	61,749
Net interest revenue reconciliation
Net interest revenue - taxable equivalent	$	54,169		$	55,879		$	54,257		$	54,931		$	54,574
Taxable equivalent adjustment		(357	)		(380	)		(370	)		(368	)		(365	)
Net interest revenue (GAAP)	$	53,812		$	55,499		$	53,887		$	54,563		$	54,209
Total revenue reconciliation
Total operating revenue	$	63,845		$	66,398		$	65,482		$	22,374		$	56,485
Taxable equivalent adjustment		(357	)		(380	)		(370	)		(368	)		(365	)
Total revenue (GAAP)	$	63,488		$	66,018		$	65,112		$	22,006		$	56,120
Income (loss) before taxes reconciliation
Income (loss) before taxes	$	24,795		$	24,784		$	25,385		$	(26,449	)	$	12,715
Taxable equivalent adjustment		(357	)		(380	)		(370	)		(368	)		(365	)
Income (loss) before taxes (GAAP)	$	24,438		$	24,404		$	25,015		$	(26,817	)	$	12,350
Income tax expense (benefit) reconciliation
Income tax expense (benefit)	$	9,395		$	8,873		$	9,885		$	(256,413	)	$	950
Taxable equivalent adjustment		(357	)		(380	)		(370	)		(368	)		(365	)
Income tax expense (benefit) (GAAP)	$	9,038		$	8,493		$	9,515		$	(256,781	)	$	585
Book value per common share reconciliation
Tangible book value per common share	$	11.63		$	11.26		$	10.95		$	10.82		$	6.76
Effect of goodwill and other intangibles		.03			.04			.04			.08			.09
Book value per common share (GAAP)	$	11.66		$	11.30		$	10.99		$	10.90		$	6.85
Average equity to assets reconciliation
Tangible common equity to assets		9.22	%		8.99	%		9.02	%		8.79	%		5.66	%
Effect of preferred equity		.28			2.60			2.74			2.74			2.87
Tangible equity to assets		9.50			11.59			11.76			11.53			8.53
Effect of goodwill and other intangibles		.02			.03			.04			.04			.07
Equity to assets (GAAP)		9.52	%		11.62	%		11.80	%		11.57	%		8.60	%
Tangible common equity to risk-weighted assets reconciliation
Tangible common equity to risk-weighted assets		13.57	%		13.17	%		13.34	%		13.16	%		8.45	%
Effect of other comprehensive income		.36			.39			.49			.29			.49
Effect of deferred tax limitation		(3.91	)		(4.25	)		(4.72	)		(4.99	)		-
Effect of trust preferred		1.03			1.04			1.09			1.11			1.15
Effect of preferred equity		-			2.38			4.01			4.11			4.22
Tier I capital ratio (Regulatory)		11.05	%		12.73	%		14.21	%		13.68	%		14.31	%

UNITED COMMUNITY BANKS, INC.
Financial Highlights
Loan Portfolio Composition at Period-End (1)
	2014		2013								Linked			Year over
	First		Fourth		Third		Second		First		Quarter			Year
(in millions)	Quarter		Quarter		Quarter		Quarter		Quarter		Change			Change
LOANS BY CATEGORY
Owner occupied commercial RE	$	1,142	$	1,134	$	1,129	$	1,119	$	1,130	$	8		$	12
Income producing commercial RE		624		623		614		629		674		1			(50	)
Commercial & industrial		495		472		457		437		454		23			41
Commercial construction		148		149		137		133		152		(1	)		(4	)
Total commercial		2,409		2,378		2,337		2,318		2,410		31			(1	)
Residential mortgage		866		875		888		876		850		(9	)		16
Home equity lines of credit		447		441		421		402		396		6			51
Residential construction		318		328		318		332		372		(10	)		(54	)
Consumer installment		316		307		303		261		166		9			150
Total loans	$	4,356	$	4,329	$	4,267	$	4,189	$	4,194		27			162
LOANS BY MARKET
North Georgia	$	1,205	$	1,240	$	1,262	$	1,265	$	1,363		(35	)		(158	)
Atlanta MSA		1,290		1,275		1,246		1,227		1,262		15			28
North Carolina		563		572		575		576		575		(9	)		(12	)
Coastal Georgia		425		423		421		397		398		2			27
Gainesville MSA		262		255		253		256		259		7			3
East Tennessee		272		280		277		282		282		(8	)		(10	)
South Carolina / Corporate		131		88		47		34		-		43			131
Other (2)		208		196		186		152		55		12			153
Total loans	$	4,356	$	4,329	$	4,267	$	4,189	$	4,194		27			162
RESIDENTIAL CONSTRUCTION
Dirt loans
Acquisition & development	$	37	$	39	$	40	$	42	$	57		(2	)		(20	)
Land loans		37		38		35		36		42		(1	)		(5	)
Lot loans		159		166		167		173		188		(7	)		(29	)
Total		233		243		242		251		287		(10	)		(54	)
House loans
Spec		19		23		30		34		40		(4	)		(21	)
Sold		66		62		46		47		45		4			21
Total		85		85		76		81		85		-			-
Total residential construction	$	318	$	328	$	318	$	332	$	372		(10	)		(54	)
(1) Excludes total loans of $19.3 million, $20.3 million, $23.3 million, $25.7 million and $28.3 million as of March 31, 2014, December 31, 2013, September 30, 2013, June 30, 2013 and March 31, 2013, respectively, that are covered by the loss-sharing agreement with the FDIC, related to the acquisition of Southern Community Bank. (2) Includes purchased indirect auto loans that are not assigned to a geographic region.

UNITED COMMUNITY BANKS, INC.

Financial Highlights

Credit Quality (1)

	First Quarter 2014									Fourth Quarter 2013									Third Quarter 2013
	Non-performing			Foreclosed			Total			Non-performing			Foreclosed			Total			Non-performing			Foreclosed			Total
(in thousands)	Loans			Properties			NPAs			Loans			Properties			NPAs			Loans			Properties			NPAs
NONPERFORMING ASSETS BY CATEGORY
Owner occupied CRE	$	3,868		$	1,167		$	5,035		$	5,822		$	832		$	6,654		$	6,358		$	591		$	6,949
Income producing CRE		1,278			1,645			2,923			2,518			-			2,518			1,657			139			1,796
Commercial & industrial		822			-			822			427			-			427			609			-			609
Commercial construction		479			-			479			361			-			361			343			376			719
Total commercial		6,447			2,812			9,259			9,128			832			9,960			8,967			1,106			10,073
Residential mortgage		13,307			2,146			15,453			11,730			2,684			14,414			11,335			1,679			13,014
Home equity lines of credit		1,106			362			1,468			1,448			389			1,837			1,169			475			1,644
Residential construction		3,805			274			4,079			4,264			316			4,580			4,097			1,207			5,304
Consumer installment		585			-			585			249			-			249			520			-			520
Total NPAs	$	25,250		$	5,594		$	30,844		$	26,819		$	4,221		$	31,040		$	26,088		$	4,467		$	30,555
Balance as a % of
Unpaid Principal		65.8	%		53.9	%		63.2	%		65.3	%		44.5	%		61.4	%		61.6	%		41.5	%		57.6	%
NONPERFORMING ASSETS BY MARKET
North Georgia	$	12,166		$	2,058		$	14,224		$	12,352		$	2,494		$	14,846		$	13,652		$	1,726		$	15,378
Atlanta MSA		2,916			904			3,820			2,830			684			3,514			3,096			1,026			4,122
North Carolina		6,501			866			7,367			6,567			683			7,250			5,680			762			6,442
Coastal Georgia		800			1,607			2,407			2,342			173			2,515			995			928			1,923
Gainesville MSA		1,145			-			1,145			928			-			928			1,036			-			1,036
East Tennessee		1,428			159			1,587			1,800			187			1,987			1,629			25			1,654
South Carolina / Corporate		-			-			-			-			-			-			-			-			-
Other (3)		294			-			294			-			-			-			-			-			-
Total NPAs	$	25,250		$	5,594		$	30,844		$	26,819		$	4,221		$	31,040		$	26,088		$	4,467		$	30,555
NONPERFORMING ASSETS ACTIVITY
Beginning Balance	$	26,819		$	4,221		$	31,040		$	26,088		$	4,467		$	30,555		$	27,864		$	3,936		$	31,800
Loans placed on non-accrual		9,303			-			9,303			11,043			-			11,043			9,959			-			9,959
Payments received		(1,666	)		-			(1,666	)		(1,688	)		-			(1,688	)		(3,601	)		-			(3,601	)
Loan charge-offs		(4,839	)		-			(4,839	)		(4,621	)		-			(4,621	)		(5,395	)		-			(5,395	)
Foreclosures		(4,367	)		4,367			-			(4,003	)		4,003			-			(2,739	)		2,739			-
Capitalized costs		-			-			-			-			-			-			-			7			7
Property sales		-			(3,238	)		(3,238	)		-			(4,684	)		(4,684	)		-			(2,534	)		(2,534	)
Write downs		-			(277	)		(277	)		-			(326	)		(326	)		-			(329	)		(329	)
Net gains (losses) on sales		-			521			521			-			761			761			-			648			648
Ending Balance	$	25,250		$	5,594		$	30,844		$	26,819		$	4,221		$	31,040		$	26,088		$	4,467		$	30,555

	First Quarter 2014				Fourth Quarter 2013					Third Quarter 2013
			Net Charge-					Net Charge-				Net Charge-
			Offs to					Offs to				Offs to
		Net	Average			Net		Average			Net	Average
(in thousands)	Charge-Offs		Loans (2)		Charge-Offs			Loans (2)		Charge-Offs		Loans (2)
NET CHARGE-OFFS BY CATEGORY
Owner occupied CRE	$	278	.10	%	$	1,638		.57	%	$	1,641	.58	%
Income producing CRE		205	.13			320		.21			216	.14
Commercial & industrial		421	.35			(149	)	(.13)			136	.12
Commercial construction		-	-			(9	)	(.02)			133	.39
Total commercial		904	.15			1,800		.30			2,126	.36
Residential mortgage		1,515	.71			1,426		.64			693	.31
Home equity lines of credit		993	.90			417		.38			382	.37
Residential construction		212	.27			327		.40			1,072	1.31
Consumer installment		415	.54			475		.62			200	.28
Total	$	4,039	.38		$	4,445		.41		$	4,473	.42
NET CHARGE-OFFS BY MARKET
North Georgia	$	1,272	.42	%	$	1,603		.51	%	$	2,090	.66	%
Atlanta MSA		1,232	.39			636		.20			1,013	.33
North Carolina		577	.41			1,104		.76			704	.49
Coastal Georgia		512	.49			345		.33			139	.14
Gainesville MSA		141	.22			346		.54			97	.15
East Tennessee		239	.35			323		.46			359	.51
South Carolina / Corporate		-	-			-		-			-	-
Other (3)		66	.14			88		.20			71	.17
Total	$	4,039	.38		$	4,445		.41		$	4,473	.42

(1)    Excludes non-performing loans and foreclosed properties covered by the loss-sharing agreement with the FDIC, related to the acquisition of Southern Community Bank.

(2)    Annualized.

(3)    Includes purchased indirect auto loans that are not assigned to a geographic region.

UNITED COMMUNITY BANKS, INC.
Consolidated Statement of Income (Unaudited)
	Three Months Ended
	March 31,
(in thousands, except per share data)	2014		2013
Interest revenue:
Loans, including fees	$	47,688	$	50,935
Investment securities, including tax exempt of $188 and $212		11,607		9,944
Deposits in banks and short-term investments		843		870
Total interest revenue		60,138		61,749
Interest expense:
Deposits:
NOW		440		454
Money market		563		562
Savings		20		36
Time		1,771		3,291
Total deposit interest expense		2,794		4,343
Short-term borrowings		840		516
Federal Home Loan Bank advances		58		19
Long-term debt		2,634		2,662
Total interest expense		6,326		7,540
Net interest revenue		53,812		54,209
Provision for credit losses		2,500		11,000
Net interest revenue after provision for credit losses		51,312		43,209
Fee revenue:
Service charges and fees		7,898		7,403
Mortgage loan and other related fees		1,354		2,655
Brokerage fees		1,177		767
Securities gains, net		217		116
Other		1,530		1,970
Total fee revenue		12,176		12,911
Total revenue		63,488		56,120
Operating expenses:
Salaries and employee benefits		24,396		23,592
Communications and equipment		3,239		3,046
Occupancy		3,378		3,367
Advertising and public relations		626		938
Postage, printing and supplies		776		863
Professional fees		1,427		2,366
Foreclosed property		116		2,333
FDIC assessments and other regulatory charges		1,353		2,505
Amortization of intangibles		387		705
Other		3,352		4,055
Total operating expenses		39,050		43,770
Net income before income taxes		24,438		12,350
Income tax expense		9,038		585
Net income		15,400		11,765
Preferred stock dividends and discount accretion		439		3,052
Net income available to common shareholders	$	14,961	$	8,713
Earnings per common share
Basic	$	.25	$	.15
Diluted		.25		.15
Weighted average common shares outstanding
Basic		60,059		58,081
Diluted		60,061		58,081

UNITED COMMUNITY BANKS, INC.
Consolidated Balance Sheet (Unaudited)
	March 31,			December 31,			March 31,
(in thousands, except share and per share data)	2014			2013			2013
ASSETS
Cash and due from banks	$	52,813		$	71,230		$	57,638
Interest-bearing deposits in banks		110,529			119,669			107,390
Short-term investments		49,999			37,999			82,000
Cash and cash equivalents		213,341			228,898			247,028
Securities available for sale		1,837,676			1,832,217			1,909,426
Securities held to maturity (fair value $473,136, $485,585 and $247,087)		464,697			479,742			231,087
Mortgage loans held for sale		10,933			10,319			18,290
Loans, net of unearned income		4,355,708			4,329,266			4,193,560
Less allowance for loan losses		(75,223	)		(76,762	)		(105,753	)
Loans, net		4,280,485			4,252,504			4,087,807
Assets covered by loss sharing agreements with the FDIC		21,353			22,882			42,096
Premises and equipment, net		161,540			163,589			168,036
Bank owned life insurance		80,790			80,670			82,114
Accrued interest receivable		18,572			19,598			18,302
Intangible assets		3,093			3,480			4,805
Foreclosed property		5,594			4,221			16,734
Net deferred tax asset		243,683			258,518			-
Derivative financial instruments		21,563			23,833			601
Other assets		34,917			44,948			23,042
Total assets	$	7,398,237		$	7,425,419		$	6,849,368
LIABILITIES AND SHAREHOLDERS’ EQUITY
Liabilities:
Deposits:
Demand	$	1,471,781		$	1,388,512		$	1,298,425
NOW		1,392,863			1,427,939			1,281,454
Money market		1,235,429			1,227,575			1,165,836
Savings		270,910			251,125			243,347
Time:
Less than $100,000		833,188			892,961			1,019,396
Greater than $100,000		572,889			588,689			685,174
Brokered		470,481			424,704			332,220
Total deposits		6,247,541			6,201,505			6,025,852
Short-term borrowings		123,075			53,241			51,999
Federal Home Loan Bank advances		50,125			120,125			125
Long-term debt		129,865			129,865			124,825
Derivative financial instruments		42,309			46,232			14,556
Unsettled securities purchases		63,999			29,562			-
Accrued expenses and other liabilities		37,593			49,174			39,793
Total liabilities		6,694,507			6,629,704			6,257,150
Shareholders’ equity:
Preferred stock, $1 par value; 10,000,000 shares authorized;
Series A; $10 stated value; 0, 0 and 21,700 shares issued and outstanding		-			-			217
Series B; $1,000 stated value; 0, 105,000 and 180,000 shares issued and outstanding		-			105,000			178,937
Series D; $1,000 stated value; 0, 16,613 and 16,613 shares issued and outstanding		-			16,613			16,613
Common stock, $1 par value; 100,000,000 shares authorized;
50,011,094, 46,243,345 and 43,063,761 shares issued and outstanding		50,011			46,243			43,064
Common stock, non-voting, $1 par value; 30,000,000 shares authorized;
10,080,787, 13,188,206 and 14,703,636 shares issued and outstanding		10,081			13,188			14,704
Common stock issuable; 237,763, 241,832 and 133,469 shares		3,840			3,930			2,726
Capital surplus		1,091,696			1,078,676			1,059,222
Accumulated deficit		(433,130	)		(448,091	)		(700,440	)
Accumulated other comprehensive loss		(18,768	)		(19,844	)		(22,825	)
Total shareholders’ equity		703,730			795,715			592,218
Total liabilities and shareholders’ equity	$	7,398,237		$	7,425,419		$	6,849,368

UNITED COMMUNITY BANKS, INC.

Average Consolidated Balance Sheets and Net Interest Analysis

For the Three Months Ended March 31,

	2014								2013
	Average						Avg.		Average					Avg.
(dollars in thousands, taxable equivalent)	Balance			Interest			Rate		Balance			Interest		Rate
Assets:
Interest-earning assets:
Loans, net of unearned income (1)(2)	$	4,355,572		$	47,868		4.46	%	$	4,196,757		$	51,000	4.93	%
Taxable securities (3)		2,300,316			11,419		1.99			2,119,085			9,732	1.84
Tax-exempt securities (1)(3)		20,173			308		6.11			21,733			347	6.39
Federal funds sold and other interest-earning assets		150,841			900		2.39			209,674			1,035	1.97
Total interest-earning assets		6,826,902			60,495		3.58			6,547,249			62,114	3.84
Non-interest-earning assets:
Allowance for loan losses		(77,491	)							(110,941	)
Cash and due from banks		62,054								64,294
Premises and equipment		162,788								169,280
Other assets (3)		410,175								164,250
Total assets	$	7,384,428							$	6,834,132
Liabilities and Shareholders’ Equity:
Interest-bearing liabilities:
Interest-bearing deposits:
NOW	$	1,416,119			440		.13		$	1,303,308			454	.14
Money market		1,376,993			563		.17			1,257,409			562	.18
Savings		259,548			20		.03			234,110			36	.06
Time less than $100,000		877,695			1,013		.47			1,039,707			1,749	.68
Time greater than $100,000		578,190			918		.64			694,553			1,477	.86
Brokered time deposits		287,979			(160	)	(.23	)		175,128			65	.15
Total interest-bearing deposits		4,796,524			2,794		.24			4,704,215			4,343	.37
Federal funds purchased and other borrowings		112,583			840		3.03			72,157			516	2.90
Federal Home Loan Bank advances		125,069			58		.19			33,069			19	.23
Long-term debt		129,865			2,634		8.23			124,816			2,662	8.65
Total borrowed funds		367,517			3,532		3.90			230,042			3,197	5.64
Total interest-bearing liabilities		5,164,041			6,326		.50			4,934,257			7,540	.62
Non-interest-bearing liabilities:
Non-interest-bearing deposits		1,400,619								1,241,527
Other liabilities		116,667								70,839
Total liabilities		6,681,327								6,246,623
Shareholders’ equity		703,101								587,509
Total liabilities and shareholders’ equity	$	7,384,428							$	6,834,132
Net interest revenue				$	54,169							$	54,574
Net interest-rate spread							3.08	%						3.22	%
Net interest margin (4)							3.21	%						3.37	%

(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 and loans that are held for sale.
(3)	Securities available for sale are shown at amortized cost.  Pretax unrealized losses of $4.6 million in 2014 and pretax unrealized gains of $17.1 million in 2013 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.

EX-99.2

 Exhibit 99.2

United Community Banks, Inc. First Quarter 2014 Investor Presentation

2 Cautionary Statement This investor presentation may contain forward - looking statements, as defined by federal securities laws, including statements about United’s financial outlook and business environment . These statements are based on current expectations and are provided to assist in the understanding of future financial performance . Such performance involves risks and uncertainties that may cause actual results to differ materially from those expressed or implied in any such statements . For a discussion of some of the risks and other factors that may cause such forward - looking statements to differ materially from actual results, please refer to United Community Banks, Inc . ’s filings with the Securities and Exchange Commission, including its 2013 Annual Report on Form 10 - K and its most recent quarterly report on Form 10 - Q under the sections entitled “Forward - Looking Statements” . Forward - looking statements speak only as of the date they are made, and we undertake no obligation to update or revise forward - looking statements . Non - GAAP Measures This presentation also contains financial measures determined by methods other than in accordance with generally accepted accounting principles (“GAAP”) . Such non - GAAP financial measures include the following : core fee revenue, core operating expense, core earnings, tangible common equity to tangible assets, tangible equity to tangible assets and tangible common equity to risk - weighted assets . The most comparable GAAP measures to these measures are : fee revenue, operating expense, net income (loss), and equity to assets . Management uses these non - GAAP financial measures because we believe they are useful for evaluating our operations and performance over periods of time, as well as in managing and evaluating our business and in discussions about our operations and performance . Management believes these non - GAAP financial measures provide users of our financial information with a meaningful measure for assessing our financial results and credit trends, as well as for comparison to financial results for prior periods . These non - GAAP financial measures should not be considered as a substitute for financial measures determined in accordance with GAAP and may not be comparable to other similarly titled financial measures used by other companies . For a reconciliation of the differences between our non - GAAP financial measures and the most comparable GAAP measures, please refer to the ‘Non - GAAP Reconcilement Tables’ at the end of the Appendix to this presentation .

3 United at a Glance Founded in 1950 Third - largest bank holding company headquartered in Georgia with 1,488 employees Key Statistics as of 3/31/14 (in billions) Assets Deposits Loans $7.40 $6.25 $4.36 Deposit Market Share (1) Market Offices Deposit Market Share Rank No. Georgia 22 34% 1 Atlanta MSA 36 4 6 Gainesville 5 12 4 Coastal Georgia 8 4 7 W. North Carolina 19 13 3 E. Tennessee 8 2 8 (1) FDIC deposit market share and rank as of June 30, 2013 for markets where United takes deposits. Source: SNL and FDIC. Excludes 3 Loan Production Offices in Georgia and Tennessee and one newly formed bank in Greenville, SC.

4 Footprint Savannah Nashville Greenville Asheville Atlanta Chattanooga Raleigh Charlotte Charleston Myrtle Beach Knoxville Current Footprint Blairsville Headquartered in Blairsville, Georgia with 102 locations in: Georgia; North Carolina; South Carolina; and Tennessee

5 Business and Operating Model Service is Point of Differentiation #1 in Customer Satisfaction according to Customer Service Profiles Nationally recognized customer service by well regarded market research companies Golden rule of banking – treating people the way we want to be treated “The Bank that SERVICE Built SM ” Customer surveys consistently reveal 95%+ satisfaction rate Local CEOs with deep roots in their communities Resources of a $7.4 billion bank Operates in a number of the more demographically attractive U.S. markets Organic growth supported by de novos and selective acquisitions Twenty - eight “community banks” Strategic footprint with substantial banking opportunities Disciplined growth strategy “Community bank service, large bank resources”

6 Highlights First Quarter 2014 IMPROVING QUARTERLY RESULTS 1Q14 1Q13 Net Income $15.4M $11.8M EPS $.25 $.15 ROA .85% .70% ROCE 8.64% 8.51% Solid Improvement in Credit Quality from One Year Ago Credit costs decline substantially: Provision of $2.5 million vs. $11.0 million Net charge - offs decline to .38% of total loans vs. 1.21% NPAs declined to .42 % of total assets vs. 1.65 % Allowance 1.73% of total loans vs. 2.52% Operating Efficiencies Strengthen in 2014 Efficiency ratio of 59.0%; significantly down from 65.0% a year ago FDIC costs and professional fees decline from both linked quarter and year ago Continued focus on reducing costs and improving fee revenue

7 Highlights First Quarter 2014 (Compared to a year ago) Solid Capital Ratios and Improved Debt Position Redeemed all preferred stock of $ 197 million in fourth and first quarters without issuing common stock Tier I Common to Risk Weighted Assets of 10.0%; Tangible Common to RWAs of 13.6% Tier 1 Risk Based Capital of 11.1% and Tier I Leverage of 8.0% Core Fee Revenue Challenges Lower mortgage volume and fees Offset partially by higher brokerage, interchange and service charge fees Loan Growth of 4% from a year ago Net loan growth this quarter of $27 million, or 2% annualized Driven by commercial and consumer products Continued Strong Core Transaction Deposit Growth Up $135 million in the fourth quarter or 16% annualized Up $278 million from year ago or 8% Represents 62% of total customer deposits compared to 34% at the end of 2008

8 2014 Goals Strong local leadership and senior management Funding advantage in legacy markets Consistent and attractive culture Class leading customer satisfaction Maximize employee retention HOW? LEVERAGE OUR STRENGTHS Continue to invest in and improve commercial and retail capabilities Diversify portfolio – focus on C&I; owner occupied; specialized lending for healthcare, corporate, asset based and SBA; and, con sumer lending Momentum building across footprint Invest in people; strengthen commercial and specialized lending group and markets Grow loans in mid - to - high single digits Improve retail and small business bank Grow sales – better / diversified product design, merchandising and campaign execution Streamline deliver processes that focus on how we serve our customers Increase core transaction deposits in the mid - single digits Grow net interest revenue modestly (slight margin compression through the year) Lower credit costs and trends continue at or below current levels Grow fee revenue modestly (despite weaker mortgage fees) Lower operating expenses driven by non - personnel costs

8 2014 Goals Community bank service with large bank resources Strong local leadership and senior management Funding advantage in legacy markets Consistent and attractive culture Class leading customer satisfaction HOW? LEVERAGE OUR STRENGTHS Continue to invest in and improve commercial and retail capabilities Diversify portfolio – focus on C&I; owner occupied; specialized lending for healthcare, corporate, asset based and SBA; and, con sumer lending Momentum building across footprint Invest in people; strengthen commercial and specialized lending group and markets Grow loans in mid - to - high single digits Improve retail and small business bank Grow sales – better / diversified product design, merchandising and campaign execution Streamline deliver processes that focus on how we serve our customers Increase core transaction deposits in the mid - single digits Grow net interest revenue modestly (slight margin compression through the year) Lower credit costs and trends continue at or below current levels Grow fee revenue modestly (despite weaker mortgage fees) Lower operating expenses driven by non - personnel costs

FINANCIAL REVIEW

7 Highlights First Quarter 2014 (Compared to a year ago) Solid Capital Ratios and Improved Debt Position Redeemed all preferred stock of $197 million in fourth and first quarters without issuing common stock Tier I Common to Risk Weighted Assets of 10.0%; Tangible Common to RWAs of 13.6% Tier 1 Risk Based Capital of 11.1% and Tier I Leverage of 8.0% Core Fee Revenue Challenges Lower mortgage volume and fees Offset partially by higher brokerage, interchange and service charge fees Loan Growth of 4% Net loan growth this quarter of $27 million, or 2% annualized Driven by commercial and consumer products Continued Strong Core Transaction Deposit Growth Up $135 million in the fourth quarter or 16% annualized Up $278 million from year ago or 8% Represents 62% of total customer deposits compared to 34% at the end of 2008

12 Core Operating Expenses (1) Includes foreclosed property costs, severance, and gains and losses on deferred compensation plan liabilities. $ in thousands 1Q14 4Q13 1Q13 Salaries & Employee Benefits 24,211$ (376)$ 1,156$ Communications & Equipment 3,239 (175) 193 Occupancy 3,378 (357) 11 FDIC Assessment 1,353 (451) (1,152) Advertising & Public Relations 626 (155) (312) Postage, Printing & Supplies 776 (106) (87) Professional Fees 1,427 (675) (939) Other Expense 3,739 (149) (1,021) Core Operating Expenses 38,749 (2,444) (2,151) Non-Core (1) 301 (120) (2,569) Reported GAAP 39,050$ (2,564)$ (4,720)$ Efficiency Ratio 59.1 % (1.0) % (5.9) % Variance - Increase / (Decrease)

13 Key Drivers of Net Interest Revenue / Margin Net Interest Revenue 1Q growth impacted by: Net loan growth Higher securities yield Offset partially by loan pricing competition Two fewer days vs. 4Q $ in millions KEY DRIVERS OF NIR NET INTEREST REVENUE & MARGIN Loan / Securities Pricing Deposit Pricing (excl. brokered) Loan Yields Securities Yields Avg Rate on Int Bearing Dep’s • CD pricing reflects the quarter - average new and renewed yield • MMDA / NOW pricing reflects the deposit yield for each quarter CDs MMDA NOW

14 Net Income $ in thousands NET OPERATING INCOME 1Q14 4Q13 1Q14 Core Earnings (Pre-Tax, Pre-Credit) 27,350$ (555)$ 1,058$ Provision for Loan Loss 2,500 (500) (8,500) NON-CORE FEE REVENUE: Securities Gains (Losses) 217 147 101 Gains (Losses) on Deferred Compensation Plan Assets 29 (201) (148) Total Non-Core Fee Revenue 246 (54) (47) NON-CORE OPERATING EXPENSES: Foreclosed Property Write Downs 277 (49) (764) Foreclosed Property (Gains) Losses on Sales (521) 240 (626) Forclosed Property Maintenance Expenses 360 (266) (827) Severance Costs 156 156 (204) Gains (Losses) on Deferred Comp Plan Liability 29 (201) (148) Total Non-Core Operating Expenses 301 (120) (2,569) Income Tax Expense 9,395 522 8,445 Net Income 15,400$ (511)$ 3,635$ Preferred Stock Dividends 439 (2,473) (2,613) Net Income Avail to Common Shareholders 14,961$ 1,962$ 6,248$ Net Income Per Share .25$ .03$ .10$ Tangible Book Value 11.63$ .37$ 4.87$ Return on Assets .85 % (.01) % .15 % Return on Common Equity 8.64 1.12 .13 Variance - Increase / (Decrease) 60.1 M Shares Outstanding Quarterly Net Income $ in millions 1Q14 $15.4 4Q13 15.9 3Q13 15.5 2Q13 230.0 1Q13 11.8

15 Customer Deposit Mix & Core Growth $ in thousands Time >$100M 9% Demand & NOW 36% Deposits by % / Customer Mix Public Funds 15% Time <$100M 14% MMDA & Sav 26% Time >$100M 22% Demand & NOW 23% Public Funds 14% Time <$100M 31% MMDA & Sav 10% 1Q14 $5.8B 62%* 2Q08 $6.2B 34%* 1Q14 4Q13 1Q13 4Q08 Demand / NOW 2,073$ 1,969$ 1,894$ 1,457$ MMDA / Savings 1,499 1,468 1,400 630 Core Transaction 3,572 3,437 3,294 2,087 Time < $100,000 828 888 1,014 1,945 Public Deposits 804 863 701 755 Total Core 5,204 5,188 5,009 4,787 Time >$100,000 539 557 653 1,336 Public Deposits 34 32 32 87 Total Customer 5,777 5,777 5,694 6,210 Brokered Deposits 471 425 332 793 Total Deposits 6,248$ 6,202$ 6,026$ 7,003$ Total Deposit Mix Core Deposit Growth – Category & Market CATEGORY 1Q14 MARKET 1Q14 Demand 96$ Atlanta 60$ MM Accounts 11 N. Georgia 46 Savings 20 North Carolina (1) NOW 8 Coastal Georgia 15 Total Categories 135$ Tennessee 2 Gainesville 11 Growth (Annualized) 16 % South Carolina 2 135$ Growth Growth *% of core transaction customer deposits Significant growth in core transaction deposits since 4Q08

16 Capital Ratios Holding Company Well- Cap 1Q14 4Q13 3Q13 2Q13 1Q13 Tier I RBC 6 % 11.1 % 12.7 % 14.2 % 13.7 % 14.3 % Total RBC 10 12.3 14.0 15.5 15.2 15.9 Leverage 5 8.0 9.1 10.0 9.8 9.7 Tier 1 Common RBC 10.0 9.3 9.0 8.5 8.9 Tangible Common to Assets 9.2 9.0 9.0 6.3 5.7 Tangible Equity to Assets 9.5 11.6 11.8 9.1 8.5 Bank Well- Cap 1Q14 4Q13 3Q13 2Q13 1Q13 Tier 1 RBC 6 % 12.6 % 13.5 % 14.5 % 14.2 % 14.7 % Total RBC 10 13.9 14.8 15.7 15.5 16.0 Leverage 5 9.1 9.6 10.2 10.1 10.0

LOAN PORTFOLIO & CREDIT QUALITY

18 Loan Portfolio (total $4.36 billion) Diversifying Portfolio Geographic Diversity Residential Mortgage 30% $1.31 Period $ in Billions 1Q14 $4.356 4Q13 $4.329 3Q13 $4.267 2Q13 $4.189 1Q13 $4.194 By Loan Type 1Q11 $4.194 1Q14 $4.356 Reduced concentrations of A&D and Investor RE loans 6% 6% 10% 13% 27% 30% Total Loans Loan Diversification & Type • Reducing land exposure • Focus on small business, C&I, and specialized lending • Enhanced retail products 3% 5% $ in billions

19 New Loans Funded and Advances (1) $ in millions CATEGORY 1Q14 1Q13 1Q14 1Q13 Commercial C & I 74.7$ 40.1$ Atlanta 86.1$ 90.7$ Owner Occupied CRE 48.9 57.9 Coastal Georgia 31.1 18.1 Income Producing CRE 41.1 14.5 N. Georgia 41.3 66.1 Commercial Constr. 1.9 1.6 North Carolina 16.9 32.2 Total Commercial 166.6 114.1 Tennessee 9.6 21.7 Residential Mortgage 15.2 56.1 Gainesville 8.9 26.1 Residential HELOC 30.1 40.4 South Carolina 60.3 - Residential Construction 29.6 30.0 Other (Indirect Auto) 33.3 19.6 Consumer 46.0 33.9 Total Markets 287.5$ 274.5$ Total Categories 287.5$ 274.5$ New Loans Funded and Advances MARKET (1) Represents new loans funded and net loan advances (net of payments on lines of credit)

20 Commercial Loans (total $2.41 billion) $ in billions Geographic Diversity Income Producing 26% $.62B C & I 21% $.50B 5% 7% 7% 13% 23% 40% Average Loan Size Type $ in Thousands Owner Occup’d $630 Income Prod 748 C & I 138 Comm Constr 524 By Loan Type 5%

21 Retail (total $1.63 billion) Geographic Diversity Home Equity LOC 27% $.447B Avg loan size $56 thousand 0% 7% 8% 16% 20% 32% By Loan Type Mortgage 53% $.867B Avg loan size $101 thousand 4% 13% $ in billions Success with new portfolio products and HELOCs Conservative underwriting 62.7% of HE Primary Lien

22 Residential Construction (total $318 million) $ in millions Geographic Diversity Raw 12% $37 Lot 50% $159 3% 4% 5% 21% 22% 45% By Loan Type Developing 12% $37 1Q14 4Q13 3Q13 2Q13 1Q13 1Q14 vs. 1Q13 TOTAL COMPANY Land Loans Developing 37$ 39$ 40$ 42$ 57$ (20)$ Raw 37 38 35 36 42 (5) Lot 159 166 167 173 188 (29) Total 233 243 242 251 287 (54) Construction Loans Spec 19 23 30 34 40 (21) Sold 66 62 46 47 45 21 Total 85 85 76 81 85 - Total 318$ 328$ 318$ 332$ 372$ (54)$

23 Credit Quality $ in millions 1Q14 4Q13 3Q13 2Q13 1Q13 Net Charge-offs 4.0$ 4.4$ 4.5$ 72.4$ 12.4$ as % of Average Loans .38 % .41 % .42 % 6.87 % 1.21 % Allowance for Loan Losses 75.2$ 76.8$ 80.4$ 81.8$ 105.8$ as % of Total Loans 1.73 % 1.77 % 1.88 % 1.95 % 2.52 % as % of NPLs 301 286 308 294 110 Past Due Loans (30 - 89 Days) .40% .58% .45% .49% .66% Non-Performing Loans 25.2$ 26.8$ 26.1$ 27.9$ 96.0$ OREO 5.6 4.2 4.5 3.9 16.7 Total NPAs 30.8 31.0 30.6 31.8 112.7 Performing Classified Loans 164.2 172.7 173.6 176.3 271.7 Total Classified Assets 195.0$ 203.7$ 204.2$ 208.1$ 384.4$ as % of Tier 1 / Allowance 27 % 27 % 26 % 27 % 49 % Accruing TDRs (see page 26) 77.9$ 78.7$ 79.8$ 77.8$ 126.0$ As % of Original Principal Balance Non-Performing Loans 65.8 % 65.3 % 61.6 % 62.6 % 66.3 % OREO 53.9 44.5 41.5 31.6 45.0 Total NPAs as % of Total Assets .42 .42 .42 .44 1.65 as % of Loans & OREO .71 .72 .72 .76 2.68

24 Non - Performing Loans (NPLs) Inflow Trends $ in millions Quarterly NPL Inflows Total NPLs

25 Performing Classified Loans $ in millions 1Q13 2Q13 3Q13 4Q13 1Q14 Commercial: Commercial & Industrial 20$ 11$ 10$ 9$ 8$ Owner Occupied 71 43 40 43 48 Total C & I 91 54 50 52 56 Income Producing CRE 57 36 36 34 37 Commercial Construction 18 16 17 17 5 Total Commercial 166 106 103 104 98 Residential Mortgage 64 51 53 52 51 Residential Construction 38 17 16 14 13 Consumer / Installment 3 2 2 3 2 Total Performing Classified 271$ 176$ 174$ 173$ 164$ Classified to Tier 1 + ALL 49% 27% 26% 27% 27% By Category

26 TDRs $ in millions LOAN TYPE 1Q14 vs. 1Q13 1Q14 vs. 1Q13 1Q14 vs. 1Q13 Commercial (Sec by RE) 38.9$ 65.7$ 2.1$ 9.0$ 41.0$ 74.7$ Commercial & Industrial 3.2 8.6 .1 .2 3.3 8.8 Commercial Construction 11.5 15.8 .1 16.8 11.6 32.6 Total Commercial 53.6 90.1 2.3 26.0 55.9 116.1 Residential Mortgage 16.6 16.8 3.6 2.2 20.2 19.0 Residential Construction 7.4 18.9 2.1 4.5 9.5 23.4 Consumer Installment .3 .2 - .1 .3 .3 Total 77.9$ 126.0$ 8.0$ 32.8$ 85.9$ 158.8$ Accruing (1) Non-Accruing Total TDRs Accruing TDRs TDR credit quality improving Accruing TDR past due 30 – 89 days = 1.3% 42% of accruing TDRs are pass credits (1) 61.02 percent of accruing TDR loans have an interest rate of 4 percent or greater

27 Net Charge - offs by Category & Market $ in thousands NET CHARGE-OFFS BY CATEGORY Total % of Avg Loans 4Q13 3Q13 2Q13 1Q13 Commercial (Sec. by RE): Owner Occupied 278$ .10 % .57 % .58 % 5.85 % .69 % Income Producing 205 .13 .21 .14 5.45 1.99 Total Comm (Sec. by RE) 483 .11 .44 .49 5.70 1.18 Commercial & Industrial 421 .35 (.13) .12 13.91 1.34 Commercial Construction - - (.02) .39 17.53 (.01) Total Commercial 904 .15 .30 .36 7.96 1.14 - 2.52 Residential Mortgage 1,515 .70 .64 .31 2.52 .79 Home Equity LOC 993 .93 .38 .37 1.04 .53 Residential Construction 212 .27 .40 1.31 20.91 3.22 Consumer/ Installment 415 .54 .62 .28 .10 1.35 Total Net Charge-offs 4,039$ .38 .41 .42 6.87 1.21 NET CHARGE-OFFS BY MARKET North Georgia 1,272$ .42 % .51 % .66 % 17.20 % 1.45 % Atlanta MSA 1,232 .39 .20 .33 3.21 1.07 North Carolina 577 .41 .76 .49 1.36 1.59 Coastal Georgia 512 .49 .33 .14 .49 .85 Gainesville MSA 141 .22 .54 .15 .19 .67 East Tennessee 239 .35 .46 .51 1.01 .98 South Carolina / Corporate - - - - - - Other (Indirect Auto) 66 .14 .20 .17 .24 .39 1Q14 % of Average Loans (Annualized)

28 NPAs by Loan Category & Market $ in thousands NPLs OREO Total NPAs NPLs OREO Total NPAs LOAN CATEGORY LOAN CATEGORY Commercial (sec. by RE): Commercial (sec. by RE): Owner Occupied 3,868$ 1,167$ 5,035$ Owner Occupied 8,142$ 4,750$ 12,892$ Income Producing 1,278 1,645 2,923 Income Producing 9,162 834 9,996 Commercial & Industrial 822 - 822 Commercial & Industrial 29,545 - 29,545 Commercial Construction 479 - 479 Commercial Construction 22,359 3,027 25,386 Total Commercial 6,447 2,812 9,259 Total Commercial 69,208 8,611 77,819 Residential Mortgage 13,307 2,146 15,453 Residential Mortgage 10,901 3,463 14,364 HELOC 1,106 362 1,468 HELOC 916 - 916 Residential Construction 3,805 274 4,079 Residential Construction 14,592 4,660 19,252 Consumer/ Installment 585 - 585 Consumer/ Installment 389 - 389 Total 25,250$ 5,594$ 30,844$ Total 96,006$ 16,734$ 112,740$ MARKET MARKET Gainesville 1,145$ -$ 1,145$ Gainesville 911$ 370$ 1,281$ Coastal Georgia 800 1,607 2,407 Coastal Georgia 3,523 1,449 4,972 East Tennessee 1,428 159 1,587 East Tennessee 2,463 2,242 4,705 North Carolina 6,501 866 7,367 North Carolina 8,519 2,533 11,052 Atlanta MSA 2,916 904 3,820 Atlanta MSA 17,380 3,524 20,904 North Georgia 12,166 2,058 14,224 North Georgia 63,210 6,616 69,826 Indirect Auto 294 - 294 1Q14 1Q13 *NPAs to total assets – .42% / Allowance to loans at 1.73% Non Performing Assets

APPENDIX

30 Experienced Proven Leadership Jimmy C. Tallent President & CEO Joined 1984 H. Lynn Harton Chief Operating Officer Joined 2012 Rex S. Schuette EVP & CFO Joined 2001 David P. Shearrow EVP & CRO Joined 2007 Bill M. Gilbert Director of Banking Joined 2000 Timothy K. Schools Chief Strategy Officer Joined 2011 • Over 40 years in banking • Led company from $42 million in assets in 1989 to $7.4 billion today • Trustee of Young Harris College • Georgia Power Company Board Member • GA Economic Developers Association Spirit of Georgia Award recipient • Over 31 years in banking • Responsible for overall operations • Former Consultant and Special Assistant to the CEO and EVP of Commercial Banking for TD Bank Financial Group; and President & CEO of The South Financial Group • Over 36 years in banking • Responsible for accounting, finance and reporting activities, M&A, and investor relations • Former CAO and Controller for State Street Corporation • Former ABA Accounting Committee Chairman • Over 31 years in banking • Responsible for Risk Management and Credit Risk Administration; Chairman of Risk Management Committee; also responsible for credit underwriting, review, policy and special assets • Former EVP & SCO for SunTrust Banks • Over 36 years in banking • Responsible for 28 community banks with 102 branch offices • Formerly of Riegel Textile Credit Union; President of Farmers and Merchants Bank • Former Georgia Board of Natural Resources Board Chairman • Over 21 years in financial services and banking • Responsible for strategic planning and implementation • Former President of American Savings Bank; and CFO & CRO of The South Financial Group

31 Market Share Opportunities & Demographics Population Actual Projected Markets 1 (in thousands) 2010 - 2013 2013 - 2018 Atlanta, GA MSA 5,421 3% 6% East Tennessee 874 2 4 Greenville-Mauldin-Easley, SC MSA 850 3 5 Western North Carolina 449 3 3 Coastal Georgia 393 3 6 North Georgia 389 2 2 Gainesville, GA MSA 184 2 5 Total Markets Georgia 9,918 2 5 North Carolina 9,827 3 5 Tennessee 6,494 2 4 South Carolina 4,773 3 5 United States 314,468 2 4 ¹ Population data is for 2013 and includes those markets where United takes deposits. Data Source: SNL Population Growth (%) FAST GROWING MARKETS North Georgia $ 6.4 $ 2.2 11 22 34% 1 Western North Carolina 10.9 .9 1 20 8 3 Gainesville MSA 2.7 .3 1 5 12 4 Atlanta MSA 54.4 2.2 10 36 4 7 Coastal Georgia 7.0 .3 2 8 4 7 East Tennessee 15.6 .3 2 8 2 8 Total Markets $ 97.0 $ 6.2 27 99 ¹ FDIC deposit market share and rank as of 6/13 for markets where United takes deposits. Data Source: SNL and FDIC. 2 Based on current quarter. 3 Excludes four loan production offices and full service banking office in Greenville, SC. EXCELLENT GROWTH OPPORTUNITIES Markets Banks Offices (3) Rank (1) Market Deposits (in billions) (1) United Deposits (in billions) (2,3) Deposit Share (1) “ Character cannot be developed in ease and quiet. Only through experience of trial and suffering can the soul be strengthened, vision cleared , ambition inspired, and success achieved .” - Helen Keller

32 LOANS / DEPOSITS WHOLESALE BORROWINGS Liquidity 1Q14 4Q13 1Q13 vs 1Q13 Loans 4,356$ 4,329$ 4,194$ 27$ 162$ Core (DDA, MMDA, Savings) 3,572$ 3,437$ 3,294$ 135$ 278$ Public Funds 838 895 732 (57) 106 CD's 1,367 1,445 1,668 (78) (301) Total Deposits (excl Brokered) 5,777$ 5,777$ 5,694$ -$ 83$ Loan to Deposit Ratio 75% 75% 74% Investment Securities: Available for Sale -Fixed 947$ 881$ 1,193$ 66$ (246)$ -Floating 889 951 716 (62) 173 Held to Maturity -Fixed 460 473 211 (13) 249 -Floating 6 7 21 (1) (15) Total Investment Securities 2,302 2,312 2,141 (10) 161 Floating as % of Total Securities 39% 41% 34% vs 4Q13 Variance Unused Capacity 1Q14 4Q13 1Q13 vs 4Q13 vs 1Q13 Wholesale Borrowings Brokered Deposits 1,368$ (1) 470$ 425$ 332$ 45$ 138$ FHLB 959 50 120 - (70) 50 Holding Company LOC 10 40 40 40 Fed Funds 651 30 - - 30 30 Other Wholesale - 53 53 52 - 1 Total 2,988$ 643$ 598$ 384$ 45$ 259$ Long-Term Debt Senior Debt 75$ 75$ 35$ -$ 40$ Sub-Debt - - 35 - (35) Trust Preferred Securities 55 55 55 - - Total Long-Term Debt 130$ 130$ 125$ -$ 5$ Variance $ in millions (1) Estimated brokered deposit total capacity at 25% of assets

33 Business Mix – Deposits (at quarter - end) 1Q14 vs. DEPOSITS BY CATEGORY 1Q14 4Q13 3Q13 2Q13 1Q13 1Q13 Demand & Now 2,073$ 1,969$ 1,979$ 1,916$ 1,894$ 179$ MMDA & Savings 1,499 1,468 1,437 1,406 1,401 98 Core Transaction Deposits 3,572 3,437 3,416 3,322 3,295 277 Time < $100,000 828 888 920 977 1,014 (186) Time ≥ $100,000 < $250,000 427 443 473 512 528 (101) Public Deposits 804 863 734 674 700 104 Total Core Deposits 5,631 5,631 5,543 5,485 5,537 94 Time ≥ $250,000 112 114 120 120 125 (13) Public Deposits 34 32 31 32 32 2 Total Customer Deposits 5,777 5,777 5,694 5,637 5,694 83 Brokered Deposits 471 425 419 375 332 139 Total Deposits 6,248$ 6,202$ 6,113$ 6,012$ 6,026$ 222$ $ in millions

34 Core Transaction Deposits 4Q13 South Carolina 99.0 % 99.0 % Gainesville MSA 71.0 70.2 Coastal GA 69.6 67.9 East TN 65.9 63.6 North Carolina 64.2 63.5 Atlanta MSA 65.0 61.6 North Georgia 52.7 50.4 Total 61.8 % 59.5 % 1Q14 Core Transactions / Total Deposits $ in millions

35 Lending & Credit Environment Regional Credit Review – Standard Underwriting • House Lending Limit $ 25 • Project Lending Limit 15 • Top 25 Relationships 343.8 PROACTIVELY ADDRESSING CREDIT ENVIRONMENT STRUCTURE PROCESS • Continuous external loan review • Internal loan review of new credit relationships • Intensive executive management involvement POLICY • Ongoing enhancements to credit policy • Periodic updates to portfolio limits • Centralized underwriting and approval process • Segregated work - out teams • Highly skilled ORE disposition group • Seasoned regional credit professionals x Weekly past due meetings x Weekly NPA/ORE meetings x Quarterly criticized watch loan review meetings x Quarterly pass commercial and CRE portfolio review meetings $ in millions

36 Commercial Construction & Real Estate Amount Percent Land Develop - Vacant (Improved) 54$ 38 % Raw Land - Vacant (Unimproved) 30 21 Commercial Land Development 16 11 Multi-Residential 13 9 Churches 8 6 Retail Building 7 5 Mfg Facility 3 2 Office Buildings 2 1 Warehouse 2 1 Carwash 2 1 Other Properties 11 5 Total Commercial Construction 148$ 31-Mar-14 COMMERCIAL CONSTRUCTION Owner Occupied Income Producing Total Percent Office Buildings 308.8$ 169.2$ 478.0$ 27.1 % Retail Building 100.7 149.0 249.7 14.1 Warehouse 124.6 58.0 182.6 10.3 Churches 139.9 - 139.9 7.9 Other Properties 94.9 37.1 132.0 7.5 Convenience Stores 88.4 17.6 106.0 6.0 Hotels / Motels - 75.6 75.6 4.3 Restaurants/Franchise Fast Food 36.1 25.5 61.6 3.5 Mfg Facility 50.0 5.5 55.5 3.1 Farmland 52.0 - 52.0 2.9 Multi-Resi Properties - 51.5 51.5 2.9 Leasehold Property 17.0 14.1 31.1 1.8 Golf Course/Country Club 25.7 - 25.7 1.5 Automotive Dealership 17.8 7.0 24.8 1.4 Automotive Service 18.1 .1 18.2 1.0 Daycare Facility 9.9 8.2 18.1 1.0 Funeral Home 14.5 .6 15.1 .9 Carwash 14.9 - 14.9 .8 Assisted Living / Nursing Home 9.6 - 9.6 .5 Marina 7.3 - 7.3 .4 Mobile Home Parks - 5.0 5.0 .3 Movie Theaters/Bowling/Rec 4.7 - 4.7 .3 Other Small Business 6.8 - 6.8 .4 Total Commercial Real Estate 1,141.7$ 624.0$ 1,765.7$ 31-Mar-14 COMMERCIAL REAL ESTATE Average Loan Size ($ in thousands) • Commercial Construction $394 • Commercial RE: • Composite CRE 471 • Owner Occupied 434 • Income Producing 617 Commercial RE Characteristics • 64.7% owner occupied • Small business, doctors, dentists, attorneys, CPAs • $15 million project limit $ in millions

37 Loans by Business Mix and Region 1Q14 4Q13 3Q13 2Q13 1Q13 1Q14 vs. 1Q13 QUARTERLY LOANS - BUSINESS MIX BY CATEGORY Commercial: Comm & Indus 495$ 472$ 457$ 437$ 454$ 41$ Owner Occ'd 1,142 1,134 1,129 1,119 1,130 12 Total C & I 1,637 1,606 1,586 1,556 1,584 53 Income Prod CRE 624 623 614 629 674 (50) Comm Constr 148 149 137 133 152 (4) Total Comm 2,409 2,378 2,337 2,318 2,410 (1) Resi Mortgage 1,313 1,316 1,309 1,278 1,246 67 Resi Constr 318 328 318 332 372 (54) Consum / Install 316 307 303 261 166 150 Total Loans 4,356$ 4,329$ 4,267$ 4,189$ 4,194$ 162$ 1Q14 4Q13 3Q13 2Q13 1Q13 1Q14 vs. 1Q13 QUARTERLY LOANS - BY REGION North Georgia 1,205$ 1,240$ 1,262$ 1,265$ 1,363$ (158)$ Atlanta MSA 1,290 1,275 1,246 1,227 1,262 28 North Carolina 563 572 575 576 575 (12) Coastal Georgia 425 423 421 397 398 27 Gainesville MSA 262 255 253 256 259 3 East Tennessee 272 280 277 282 282 (10) South Carolina 131 88 47 34 - 131 Other (Ind. Auto) 208 196 186 152 55 153 Total Loans 4,356$ 4,329$ 4,267$ 4,189$ 4,194$ 162$ 2013 2012 2011 2010 2009 ANNUAL LOANS - BUSINESS MIX BY CATEGORY Commercial: Comm & Indus 472$ 458$ 428$ 441$ 390$ Owner Occ'd 1,134 1,131 1,112 980 963 Total C & I 1,606 1,589 1,540 1,421 1,353 Income Prod CRE 623 682 710 781 816 Comm Constr 149 155 164 297 363 Total Comm 2,378 2,426 2,414 2,499 2,532 Resi Mortgage 1,316 1,214 1,135 1,279 1,427 Resi Constr 328 382 448 695 1,050 Consum / Install 307 153 113 131 142 Total Loans 4,329$ 4,175$ 4,110$ 4,604$ 5,151$ 2013 2012 2011 2010 2009 ANNUAL LOANS - BY REGION North Georgia 1,240$ 1,364$ 1,426$ 1,689$ 1,884$ Atlanta MSA 1,275 1,250 1,220 1,310 1,435 North Carolina 572 579 597 702 772 Coastal Georgia 423 400 346 335 405 Gainesville MSA 255 261 265 312 390 East Tennessee 280 283 256 256 265 South Carolina 88 - - - - Other (Ind. Auto) 196 38 - - - Total Loans 4,329$ 4,175$ 4,110$ 4,604$ 5,151$ $ in millions

38 Non - GAAP Reconciliation Tables 1Q14 4Q13 3Q13 2Q13 1Q13 CORE FEE REVENUE Core fee revenue 11,930$ 13,219$ 13,966$ 14,063$ 12,618$ Securities gains, net 217 70 - - 116 Gains from sales of low income housing tax credits - - - 468 - BOLI death benefit gain - - 86 1,366 - Mark to market on deferred compensation plan assets 29 230 173 46 177 Fee revenue (GAAP) 12,176$ 13,519$ 14,225$ 15,943$ 12,911$ CORE OPERATING EXPENSE Core operating expense 38,749$ 41,193$ 39,325$ 42,067$ 40,900$ Foreclosed property expense 116 191 194 5,151 2,333 Severance 156 - 405 1,559 360 Mark to market on deferred compensation plan liability 29 230 173 46 177 Operating expense (GAAP) 39,050$ 41,614$ 40,097$ 48,823$ 43,770$ TANGIBLE COMMON EQUITY AND TANGIBLE EQUITY TO TANGIBLE ASSETS Tangible common equity to tangible assets 9.22 % 8.99 % 9.02 % 6.30 % 5.66 % Effect of preferred equity .28 2.60 2.74 2.83 2.87 Tangible equity to tangible assets 9.50 11.59 11.76 9.13 8.53 Effect of goodwill and other intangibles .02 .03 .04 .06 .07 Equity to assets (GAAP) 9.52 % 11.62 % 11.80 % 9.19 % 8.60 % TANGIBLE COMMON EQUITY TO RISK-WEIGHTED ASSETS Tangible common equity to risk-weighted assets 13.57 % 13.17 % 13.34 % 13.16 % 8.45 % Effect of preferred equity - 2.38 4.01 4.11 4.22 Tangible equity to risk weighted assets 13.57 15.55 17.35 17.27 12.67 Effect of deferred tax limitation (3.91) (4.25) (4.72) (4.99) - Effect of other comprehensive income .36 .39 .49 .29 .49 Effect of trust preferred 1.03 1.04 1.09 1.11 1.15 Tier I capital ratio (Regulatory) 11.05 % 12.73 % 14.21 % 13.68 % 14.31 % Operating Earnings to GAAP Earnings Reconciliation $ in millions