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Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
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<SEC-DOCUMENT>0000910647-01-500159.txt : 20010724
<SEC-HEADER>0000910647-01-500159.hdr.sgml : 20010724
ACCESSION NUMBER:		0000910647-01-500159
CONFORMED SUBMISSION TYPE:	8-K
PUBLIC DOCUMENT COUNT:		4
CONFORMED PERIOD OF REPORT:	20010705
ITEM INFORMATION:		
FILED AS OF DATE:		20010723

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			UNION BANKSHARES INC
		CENTRAL INDEX KEY:			0000706863
		STANDARD INDUSTRIAL CLASSIFICATION:	STATE COMMERCIAL BANKS [6022]
		IRS NUMBER:				030283552
		STATE OF INCORPORATION:			VT
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		8-K
		SEC ACT:		
		SEC FILE NUMBER:	001-15985
		FILM NUMBER:		1685835

	BUSINESS ADDRESS:	
		STREET 1:		20 MAIN STREET
		STREET 2:		P O BOX 667
		CITY:			MORRISVILLE
		STATE:			VT
		ZIP:			05661-0667
		BUSINESS PHONE:		8028886600

	MAIL ADDRESS:	
		STREET 1:		20 MAIN STREET
		STREET 2:		P O BOX 667
		CITY:			MORRISVILLE
		STATE:			VT
		ZIP:			05661-0667
</SEC-HEADER>
<DOCUMENT>
<TYPE>8-K
<SEQUENCE>1
<FILENAME>uni-8k4.txt
<DESCRIPTION>FORM 8-K FOR JULY 5, 2001
<TEXT>


                     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):  July 5, 2001

           (Exact name of registrant as specified in its charter)

                           UNION BANKSHARES, INC.

(State or other jurisdiction     (Commission            (IRS Employer
      of incorporation)          File Number)        Identification Number)
          Vermont                 000-28449               03-0283552

   (Address of principal executive offices)
          20 Main St., P.O. Box 667                       (Zip Code)
              Morrisville, VT                             05661-0667

Registrant's telephone number, including area code:  (802) 888-6600

        (Former name or former address, if changed since last report)
                               Not applicable


Item 5:  Other Events

      1)    On July 5th we announced the declaration of a quarterly
            dividend to the American Stock Exchange, the Federal Reserve
            Bank of Boston, Dow Jones/Wall Street Journal, Reuters Ltd.,
            The Depository Trust Company and various brokerage houses.

      2)    On July 5th we announced an increase in second quarter earnings
            and a dividend via a press release to the American Stock
            Exchange, the Federal Reserve Bank of Boston, Dow Jones/Wall
            Street Journal, Reuters Ltd., The Depository Trust Company and
            various brokerage houses.

      3)    On July 16th we mailed our internal, unaudited Second Quarter
            2001 Report to our shareholders, the Federal Reserve Bank of
            Boston and various brokerage houses.

The Company may from time to time make written or oral statements that are
considered "forward-looking statements: within the meaning of the Private
Securities Litigation Reform Act of 1995.  Forward-looking statements may
include financial projections, statements of plans and objectives for
future operations, estimates of future economic performance and assumptions
relating thereto.  The Company may include forward-looking statements in
its filings with the Securities and Exchange Commission, in its reports to
stockholders, in other written materials, and in statements made by senior
management to analysts, rating agencies, institutional investors,
representatives of the media and others.

By their very nature, forward-looking statements are subject to
uncertainties, both general and specific, and risk exists that predictions,
forecasts, projections and other estimates contained in forward-looking
statements will not be achieved.  Also when we use any of the words
"believes," "expects," "anticipates" or similar expressions, we are making
forward-looking statements.  Many possible events or factors could affect
the future financial results and performance of our company.  This could
cause results or performance to differ materially from those expressed in
our forward-looking statements.  The possible events or factors that might
affect our forward-looking statements include, but are not limited to, the
following:

*     Uses of monetary, fiscal and tax policy by various governments
*     Political, legislative or regulatory developments in Vermont, New
      Hampshire or the United States including changes in laws concerning
      taxes, banking and other aspects of the financial services industry
*     Developments in general economic or business conditions, including
      interest rate fluctuations, market fluctuations and perceptions, and
      inflation
*     Changes in the competitive environment for financial services
      organizations
*     The company's ability to retain key personnel
*     Changes in technology including demands for greater automation.

(a)   Exhibits.  The following exhibits are filed herewith as part of this
report:

      99.1  Union Bankshares, Inc., Dividend Announcement dated as of July
            5, 2001.
      99.2  Union Bankshares, Inc., Second Quarter Press Release announcing
            an increase in second quarter earnings and declaration of a
            dividend dated July 5, 2001
      99.3  Union Bankshares, Inc., Second Quarter 2001 Report to
            Shareholders dated  July 17, 2001.


                                 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.

                                       Union Bankshares, Inc.


July 19, 2001                          /s/ Kenneth D. Gibbons
                                       -----------------------------------
                                       Kenneth D. Gibbons, President

July 19, 2001                          /s/ Marsha A. Mongeon
                                       -----------------------------------
                                       Marsha A. Mongeon, Chief Financial
                                       Officer


                              EXHIBIT INDEX

99.1  Union Bankshares, Inc., Dividend Announcement dated July 5,2001.

99.2  Union Bankshares, Inc., Second Quarter Press Release announcing an
      increase in second quarter earnings and declaration of a dividend
      dated July 5, 2001

99.3  Union Bankshares, Inc., Second Quarter 2001 Report to Shareholders
      dated  July 17, 2001.

</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99
<SEQUENCE>2
<FILENAME>uni-x991.txt
<DESCRIPTION>EXHIBIT 99.1
<TEXT>


Exhibit 99.1  Dividend Announcement

On July 5, 2001 the Board of Directors of Union Bankshares, Inc.
(AMEX - UNB) declared a quarterly dividend on its common stock of 26 cents
per share payable July 17, 2001 to shareholders of record July 15, 2001.

</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99
<SEQUENCE>3
<FILENAME>uni-x992.txt
<DESCRIPTION>EXHIBIT 99.2
<TEXT>


                                                               Exhibit 99.2


                            FOR IMMEDIATE RELEASE

             Union Bankshares Announces Second Quarter Earnings
                       and Quarterly Dividend Payment

Morrisville, VT  July 5, 2001 - Union Bankshares, Inc. (AMEX - UNB) today
announced net income for the quarter ended June 30, 2001 increased 6.6% to
$1.245 million or $.41 per share compared to $1.168 million or $.38 per
share for the same period last year.  Year to date earnings are $2.413
million or $.80 per share vs. $2.246 million or $.74 per share in June of
2000.

Total assets reached $312 million, deposits $261 million and loans
outstanding grew $23 million to $235 million since June 30, 2000.

A quarterly dividend of $.26 per share was declared on July 5, 2001 to
shareholders of record July 15th, payable July 17th.

Union Bank and Citizens Savings Bank and Trust Company are wholly-owned
subsidiaries of Union Bankshares, Inc. offering deposit, loan, trust and
commercial banking services in North Central Vermont.



This press release contains forward-looking statements.  Investors are
cautioned that all forward-looking statements involve risks and
uncertainties, and several factors could cause actual results to differ
materially from those in the forward-looking statements.  Forward-looking
statements relate to anticipated revenues, gross margins, earnings, and
growth of the market for our products.  The following factors, among
others, could cause actual results to differ from those indicated in the
forward-looking statements: uncertainties associated with market acceptance
of and demand for the company's products, impact of competitive products
and pricing, dependence on third party suppliers, uncertainties associated
with the development of technology, and the dependence on intellectual
property rights.  Investors are directed to the company's 2000 annual
report, which is available from the company without charge for a more
complete description of the company's business.

</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99
<SEQUENCE>4
<FILENAME>uni-993.txt
<DESCRIPTION>EXHIBIT 99.3
<TEXT>


                                                               Exhibit 99.3

                           Union Bankshares, Inc.
- ---------------------------------------------------------------------------
                                June 30, 2001
                            Second Quarter Report

                             [LOGO]    CITIZENS
                                       SAVINGS BANK
                                       AND TRUST COMPANY

                             [LOGO]    UNION BANK

                          Wholly Owned Subsidiaries


                                                              July 17, 2001

Dear Shareholder:

We are pleased to report the results of the first six months of operations
for your company.

Assets increased 5.8%, loans 10.8%, deposits 5.1% and earnings 7.5% over
the first six months of 2000. Of particular interest is the loan growth
sparked by both lower interest rates and by demand in the commercial real
estate and residential construction loan sectors. Contractors and all the
related businesses are having another good year and the tourism industry is
also off to a great start.

In April we wrote you of the Citizens Savings Bank and Trust Company's
planned Loan Production office in Littleton, NH. That office is now open
with Mildred Nelson, an experienced banker, developing business in the
Littleton area.

Union Bank has also been busy with expansion plans. Federal and State
regulatory approvals have been received to establish a full-service branch
bank in Fairfax. Fairfax is located 28 miles northwest of Morrisville and
is one of the fastest growing communities in Vermont, according to the last
census. Final plans for the building design are being prepared and a
December opening is anticipated.

On July 27th Union Bank will celebrate its 110th anniversary. Each branch
office is planning an event to share our "birthday" with its customers.
Please stop by and join in.

Our 110th annual meeting was held on May 16th. The Directors elected, along
with the officers appointed for both banks, are listed on the reverse side.
It is important to acknowledge the retirement of Directors William Kinney
and Peter Haslam. Their wisdom and guidance from a combined 65 years as
directors will be difficult to replace.

Historically, the summer and fall are our busiest times and this year is no
exception. The increased volume of business, coupled with the majority of
employee vacations scheduled during this time, makes for an interesting
challenge. We are pleased to report all staff are giving 200% to ensure our
customers receive the service they have been accustomed to. Our thanks to
the staff!

Enclosed is a dividend check or advice of deposit representing a dividend
of $.26 per share to shareholders of record July 15, 2001.

Sincerely,

/s/ W. Arlen Smith                     /s/ Kenneth D. Gibbons
- ---------------------------------      ----------------------------------
W. Arlen Smith                         Kenneth D. Gibbons
Chairman                               President


                                 SHAREHOLDER
                                 ASSISTANCE
                                     AND
                            INVESTOR INFORMATION

If you need assistance with a change in registration of certificates,
reporting lost certificates, non-receipt or loss of dividend checks,
information about the Company, or to receive copies of financial reports,
please contact us at the address and phone number listed below:

                    Corporate Name:    Union Bankshares, Inc.
                    Transfer Agent:    Union Bank
                                       P.O. Box 667
                                       Morrisville, VT
                                       05661-0667

                             Phone:    802-888-6600
                               Fax:    802-888-4921
                             Email:    ubexec@together.net
                  Internet Banking:    www.unionbankvt.com
                                       www.csbtc.com

                     American Stock
                    Exchange Ticker
                            Symbol:    UNB


<TABLE>
<CAPTION>
Consolidated Balance Sheets (unaudited)
- -------------------------------------------------------------------------
                                         June 30, 2001      June 30, 2000

<S>                                       <C>                <C>
ASSETS
Cash and Due from Banks                   $ 11,891,611       $ 11,611,820
Federal Funds Sold                           3,957,282          5,090,958
Interest Bearing Deposits                    2,843,453          2,045,151
U.S. Government Securities                  18,568,450         29,770,488
State and Municipal Securities               5,147,783          4,735,488
Corporate Securities                        27,303,129         21,903,676
Loans, net                                 235,018,319        212,070,757
  Less: Reserve for Loan Losses             (2,770,369)        (2,934,253)
Bank Building and Equipment, net             3,737,863          3,960,199
Other Real Estate Owned                        134,730             98,705
Other Assets                                 6,022,338          6,458,574
                                          -------------------------------

      Total Assets                        $311,854,589       $294,811,563
                                          ===============================

LIABILITIES AND SHAREHOLDERS' EQUITY
Demand Deposits                           $ 33,110,178       $ 32,990,009
Savings and Time Deposits                  228,140,563        215,541,679
Borrowings                                  10,877,058         10,045,820
Other Liabilities                            3,258,686          3,105,263
Common Stock                                 6,527,778          6,526,978
Paid in Capital                                241,453            238,353
Retained Earnings                           30,848,076         28,971,740
Accumulated Other Comprehensive Income         443,248         (1,015,828)
Treasury Stock at Cost                      (1,592,451)        (1,592,451)
                                          -------------------------------

      Total Liabilities and
       Shareholders' Equity               $311,854,589       $294,811,563
                                          ===============================
</TABLE>

Standby Letters of Credit were $1,258,000 and $704,000 at June 30, 2001 and
2000 respectively.

<TABLE>
<CAPTION>
Consolidated Statements of Income (unaudited)
- ---------------------------------------------------------------------------------------------------
                                            6/30/01        6/30/00         6/30/01         6/30/00
                                               (3 months ended)               (6 months ended)

<S>                                       <C>            <C>            <C>             <C>
Interest Income                           $6,097,922     $5,912,201     $12,121,213     $11,655,699
Interest Expense                           2,461,028      2,379,325       4,988,436       4,645,498
                                          ---------------------------------------------------------

  Net Interest Income                      3,636,894      3,532,876       7,132,777       7,010,201
Less: Provision for Loan Losses               56,250         62,500         112,500         125,000
                                          ---------------------------------------------------------
      Net Interest Income after
       Loan Loss Provision                 3,580,644      3,470,376       7,020,277       6,885,201

Trust Income                                  63,002         34,474         150,019          76,219
Other Income                                 693,258        594,341       1,354,729       1,200,692
Other Operating Expenses:
  Salaries                                 1,140,080      1,211,609       2,300,213       2,310,877
  Employee Benefits                          336,238        279,075         675,185         576,690
  Occupancy                                  172,727        135,270         337,254         292,547
  Equipment                                  206,619        229,861         419,033         530,368
  Other                                      747,400        757,455       1,412,436       1,428,966
                                          ---------------------------------------------------------

      Total                                2,603,064      2,613,270       5,144,121       5,139,448
                                          ---------------------------------------------------------

Net Income before Tax                      1,733,840      1,485,921       3,380,904       3,022,664
Income Tax Expense                           489,083        317,844         968,051         776,930
                                          ---------------------------------------------------------

Net Income                                $1,244,757     $1,168,077     $ 2,412,853     $ 2,245,734
                                          =========================================================

Earnings per Share                        $     0.41     $     0.38     $       .80     $      0.74
Book Value Per Share                                                    $     12.04     $     10.94
</TABLE>

                                DIRECTORS OF
                           UNION BANKSHARES, INC.

                          W. Arlen Smith, Chairman
                              Cynthia D. Borck
                            William T. Costa, Jr.
                             Kenneth D. Gibbons
                            Franklin G. Hovey II
                              Richard C. Marron
                              Robert P. Rollins
                                Jerry S. Rowe
                             Richard C. Sargent

                                 OFFICERS OF
                           UNION BANKSHARES, INC.

W. Arlen Smith                                                   Chairman
Cynthia D. Borck                                           Vice-President
Kenneth D. Gibbons                                              President
Marsha A. Mongeon                                Vice President/Treasurer
Robert P. Rollins                                               Secretary
Jerry S. Rowe                                              Vice President
JoAnn A. Tallman                                      Assistant Secretary

                     DIRECTORS OF CITIZENS SAVINGS BANK
                              AND TRUST COMPANY

                              Cynthia D. Borck
                            J.R. Alexis Clouatre
                            William T. Costa, Jr.
                               Dwight A. Davis
                             Kenneth D. Gibbons
                            Franklin G. Hovey II
                                Jerry S. Rowe
                              Joseph M. Sherman

                      OFFICERS OF CITIZENS SAVINGS BANK
                              AND TRUST COMPANY

Tracey D. Holbrook                                         Vice President
Susan O. Laferriere                                        Vice President
Dennis J. Lamothe                                               Treasurer
Michelle Leighton                                          Vice President
Mildred R. Nelson                                Assistant Vice President
Barbara A. Olden                                 Assistant Vice President
Deborah J. Partlow                                          Trust Officer
Jerry S. Rowe                                                   President
Wendy L. Somers                                             Trust Officer
David A. Weed                                              Vice President

                           DIRECTORS OF UNION BANK

                          W. Arlen Smith, Chairman
                              Cynthia D. Borck
                             Kenneth D. Gibbons
                              Richard C. Marron
                              Robert P. Rollins
                             Richard C. Sargent
                                John H. Steel

                           OFFICERS OF UNION BANK

Wanda L. Allaire                                 Assistant Vice President
Rhonda L. Bennett                                          Vice President
Cynthia D. Borck                                    Senior Vice President
Fern C. Farmer                                   Assistant Vice President
Patsy S. French                                  Assistant Vice President
Kenneth D. Gibbons                                              President
Nathaniel M. Hayward                             Assistant Vice President
Claire A. Hindes                                 Assistant Vice President
Patricia N. Hogan                                          Vice President
Peter R. Jones                                             Vice President
Margaret S. Lambert                              Assistant Vice President
Marsha A. Mongeon                         Senior Vice President/Treasurer
Freda T. Moody                                   Assistant Vice President
Colleen D. Putvain                                    Assistant Treasurer
Donna M. Russo                                             Vice President
Ruth P. Schwartz                                           Vice President
David S. Silverman                                  Senior Vice President
JoAnn A. Tallman                                      Assistant Secretary
Francis E. Welch                                 Assistant Vice President
Craig S. Wiltshire                                         Vice President

                             UNION BANK OFFICES

      Morrisville                                     Jeffersonville
 20 Lower Main Street*                                80 Main Street*
    (802) 888-6600                                    (802) 644-6600

   Northgate Plaza*                                      Hyde Park
      Route 100                                       250 Main Street
    (802) 888-6860                                    (802) 888-6880

        Stowe                                         Remote ATM's at:
   Stowe Village*                               Smugglers' Notch Resort (2)
Park and Pond Streets                              Johnson State College
    (802) 253-6600                                    Copley Hospital
                                                   Cold Hollow Cider Mill
  1857 Mountain Road                                 Trapp Family Lodge
      Route 108                                  Stowe Mountain Resort (3)
    (802) 253-6642                              Big John's Riverside Store
                                                  Taft Corners, Williston
       Hardwick                                        Ben & Jerry's
   103 VT Route 15*
    (802) 472-8100                                  Express Telebanking
                                                      (802) 888-6448
       Johnson                                        (800) 583-2869
198 Lower Main Street*
    (802) 635-6600

                             www.unionbankvt.com

*    ATM's at these branches

                            CITIZENS SAVINGS BANK
                              AND TRUST COMPANY
                                   OFFICES

    St. Johnsbury                                      Remote ATM's at:
 364 Railroad Street*                                East Burke, Route 114
    (802) 748-3131                                     Danville, Route 2
                                                    Burke Mountain Ski Area
  325 Portland Street
    (802) 748-3121                                   Loan Production Office
                                                        241 Main Street
      Lyndonville                                        Littleton, NH
   183 Depot Street*                                    (603) 444-7136
    (802) 626-3100
                                                     Express Phone Banking
 St. Johnsbury Center                                   (802) 748-0815
 Green Mountain Mall*                                   (800) 748-1018
 1998 Memorial Drive
    (802) 748-2454

                                www.csbtc.com

*    ATM's at these branches

</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
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