Exhibit 99.1

			May 4, 2023
			Dear Fellow Shareholders: We are pleased to report the financial results of the first quarter of 2023. Consolidated net income for the first quarter was $2.98 million, or $0.66 per share compared to $2.48 million, or $0.55 per share, for the same period in 2022, an increase of $495 thousand, or 20.0%. Total assets were $1.36 billion as of March 31, 2023, compared to $1.23 billion as of March 31, 2022, an increase of $128.5 million, or 10.4%. Asset growth was primarily driven by loans. Total loans outstanding as of March 31, 2023, were $976.6 million, which included $2.8 million in loans held for sale, compared to $831.0 million as of March 31, 2022, with $2.3 million in loans held for sale, and increase of 17.5%. Total deposits were $1.23 billion as of March 31, 2023, and include $108.0 million of purchased brokered deposits compared to $1.31 billion as of March 31, 2022 with no purchased deposits. The utilization of purchased brokered deposits provides an additional source of funds to bridge funding needs as we seek to grow our core deposits. Also, advances from the Federal Home Loan Bank totaling $45.1 million were outstanding as of March 31, 2023, compared to no outstanding advances as of March 31, 2022. Since our last writing, Silicon Valley Bank and Signature Bank failed, with the FDIC guarantying both insured and uninsured deposits. These banks were victims of classic “bank runs” where depositors withdrew large sums anticipating insolvency, exhausting each bank’s short-term liquidity rendering them unable to meet depositor demands. These were large regional niche banks specializing in catering to start up businesses, venture capital clients, and the cryptocurrency industry. These failures spotlighted two separate concerns about the banking industry. The first is the vulnerability of banks with large exposures to uninsured deposits. The two failed banks were carrying 90% or more of deposits not insured		by the FDIC. In contrast, only 28.5% of the deposits held at Union Bank at quarter end were not insured by the FDIC. The second issue illuminated by the bank failures was the status of most bank’s bond portfolios. During the Covid Pandemic, fiscal and monetary policy initiatives expanded the money supply in the US economy. These funds found their way onto bank balance sheets. These surges in deposits outpaced the industry’s ability to identify and fund quality loans. As a result, banks invested excess funds in bonds when interest rates were quite low. With the recent sharp increase in interest rates, the market value of bank’s bond portfolios has declined, resulting in unrealized losses in their bond portfolios. Union is no exception and also has unrealized losses in our bond portfolio, most of which return monthly cash flow over time. We have ample sources of liquidity to fund our current and future cash needs including customer deposits, brokered deposits, and other borrowings. We will use these sources strategically to manage our funding costs, which will be challenging this year. In response to the recent bank failures the Federal Reserve has implemented programs to ensure that US depository institutions have adequate access to liquidity to meet their depositors needs. We continue to evaluate these programs and have not needed to access them. We have managed our company through good times and bad, and are confident in our ability serve our communities into the future. The Board of Directors declared a cash dividend of $0.36 per share for the quarter payable May 4, 2023, to shareholders of record as of April 29, 2023.
	If you need assistance with a change in registration of certificates, combining your certificates into one, reporting lost certificates, non-receipt or loss of dividend checks, assistance regarding direct deposit of dividends, information about the Company, or to receive copies of financial reports, please contact Kristy Adams Alfieri, Assistant Secretary at 802.888.0982 or contact our Transfer Agent at the address and phone number listed below:
	TRANSFER AGENT:
	Broadridge Corporate Issuer Solutions, Inc. P.O. Box 1342 Brentwood, NY 11717 866.321.8022 or 720.378.5956 E-mail: shareholder@broadridge.com
	NASDAQ STOCK MARKET
	Ticker Symbol: UNB Corporate Name: Union Bankshares, Inc. Corporate Address: 20 Lower Main Street P.O. Box 667 Morrisville, VT 05661-0667 Investor Relations: UBLocal.com
					Neil J. Van Dyke Chair	David S. Silverman President & Chief Executive Officer
			AboutUnion Bankshares
			Union Bankshares, Inc. operates as the holding company for Union Bank, which provides commercial, retail and municipal banking services and asset management services throughout northern Vermont and New Hampshire. Union Bank was founded in 1891 in Morrisville, Vermont, where the Bank’s and its holding company’s headquarters are located. Union Bank operates 18 banking offices, three loan centers and several ATMs throughout its geographical footprint. Union Bank has been helping people buy homes and local businesses create jobs in area communities since opening its doors over 130 years ago. Union Bank has earned an exceptional reputation for residential lending programs and has been recognized by the US Department of Agriculture, Rural Development for the positive impact made in the lives of first time home buyers. Union Bank is consistently one of the top Vermont Housing Finance Agency mortgage originators. Additionally, Union Bank has also been designated as an SBA Preferred lender for its participation in small business lending. Union Bank has received an "Outstanding" rating for its compliance with the Community Reinvestment Act (CRA). An institution in this group has an excellent record of helping to meet the credit needs of its assessment area, particularly in low-and moderate income neighborhoods, in a manner consistent with its resources and capabilities.

	Consolidated Balance Sheets (unaudited, in thousands)							Consolidated Statements of Income (unaudited, in thousands)							Union Bankshares, Inc.
															DIRECTORS		OFFICERS
															Neil J. Van Dyke - Chair		Neil J. Van Dyke - Chair
	ASSETS	March 31, 2023			March 31, 2022			March 31, 2023			March 31, 2022			March 31, 2023	Timothy W. Sargent - Vice Chair		David S. Silverman - President & CEO
															Joel S. Bourassa		Karyn J. Hale - Chief Financial Officer
									(3 months ended)
															Dawn D. Bugbee		Timothy W. Sargent - Secretary
	Cash and Due from Banks		$	4,340		$	5,047	Interest Income	$	13,044		$	9,726
															Nancy C. Putnam		Kristy Adams Alfieri - Assistant Secretary
															Gregory D. Sargent
	Federal Funds Sold & Overnight Deposits		17,479			45,755		Interest Expense	3,069			763			David S. Silverman
								Net Interest Income	9,975			8,963			Janet P. Spitler
	Interest Bearing Deposits in Banks		16,428			14,192
								Credit Loss Expense	90			—
	Investment Securities		276,767			273,424		Net Interest Income After Credit Loss Expense	9,885			8,963			Union Bank		REGIONAL ADVISORY BOARD MEMBERS
	Loans Held for Sale		2,849			2,349
								Wealth Management Income	211			209			DIRECTORS
	Loans, net		973,767			828,614		Noninterest Income	1,950			1,846			Neil J. Van Dyke - Chair		Michael R. Barrett - St. Johnsbury
															Timothy W. Sargent - Vice Chair		Steven J. Bourgeois - St. Albans
	Allowance for Credit Losses		(6,934)			(8,336)		Noninterest Expenses:							Joel S. Bourassa		Andrew A. Dean - Northern NH
								Salaries & Wages	3,502			3,410			Dawn D. Bugbee		Stanley T. Fillion - Northern NH
	Premises and Equipment, net		20,256			21,320									Mary K. Parent		Rosemary H. Gingue - St. Johnsbury
								Employee Benefits	1,377			1,305			Nancy C. Putnam		John M. Goodrich - St. Johnsbury
	Accrued Interest & other Assets		57,103			51,178									Gregory D. Sargent		Christopher M. Knapp - Northern NH
															David S. Silverman		Coleen K. Kohaut - St. Albans
	Total Assets		$	1,362,055		$	1,233,543	Occupancy Expense, net	578			527			Janet P. Spitler		Justin P. Lavely - St. Johnsbury
																	Daniel J. Luneau - St. Albans
								Equipment Expense	897			916					Samuel H. Ruggiano - St. Albans
																	Christine A. Sheley - Northern NH
																	David S. Silverman - All
	LIABILITIES & SHAREHOLDERS' EQUITY	March 31, 2023			March 31, 2022			Other Expenses	2,256			1,956
															Union Bank Offices (ATMs at all Branch Locations)
								Total	8,610			8,114
	Noninterest Bearing Deposits		$	262,488		$	303,077
								Income Before Taxes	3,436			2,904			VERMONT
	Interest Bearing Deposits		709,401			726,864
															Berlin	1028 US Route 302		802.476.0061
	Time Deposits		254,089			104,303		Income Tax Expense	459			422			Fairfax	Jct. Routes 104 & 128		802.849.2600
															Hardwick	103 VT Route 15 West		802.472.8100
	Borrowed Funds		45,106			—		Net income	$	2,977		$	2,482		Jeffersonville	5062 VT Route 15		802.644.6600
															Jericho	368 VT Route 15		802.899.7500
	Subordinated Notes		16,213			16,179		Earnings per share	$	0.66		$	0.55		Johnson	198 Lower Main Street		802.635.6600
															Lyndonville	183 Depot Street		802.626.3100
	Accrued Interest & Other Liabilities		14,166			13,703		Book Value Per Share	$	13.44		$	15.45		Morrisville	20 Lower Main Street		802.888.6600
																65 Northgate Plaza		802.888.6860
	Common Stock		9,965			9,937									Shelburne	5068 Shelburne Road		802.985.0250
															St. Albans	15 Mapleville Depot		802.524.9000
	Additional Paid-in Capital		2,353			1,878									St. Johnsbury	Operations and Loan Center
	Retained Earnings															364 Railroad Street		802.748.3131
			86,060			79,259										Branch
	Accumulated Other Comprehensive (loss) Income		(33,514)			(17,426)										325 Portland Street		802.748.3121
															Stowe	47 Park Street		802.253.6600
															Williston	Branch
	Treasury Stock at Cost		(4,272)			(4,231)										31 Market St		802.878.7900
																Loan Center
	Total Liabilities & Shareholders' Equity		$	1,362,055		$	1,233,543									31 Market St		802.865.1000
	Standby letters of credit were $1,542,000 and $2,143,000 at March 31, 2023 and 2022, respectively.														NEW HAMPSHIRE
															Groveton	3 State Street		603.636.1611
															Littleton	263 Dells Road		603.444.7136
																76 Main Street		603.444.5321
															Lincoln	135 Main Street		603.745.4000
															North Conway	Commercial Loan Center
																2541 White Mountain Hwy		603.662.9408