EXHIBIT 99.1

                            FOR IMMEDIATE RELEASE

             Union Bankshares Announces Second Quarter Earnings
                       and Quarterly Dividend Payment

Morrisville, VT July 15, 2005 - Union Bankshares, Inc. (AMEX - UNB) today
announced net income for the quarter ended June 30, 2005 was $1.433 million
or $.31 per share compared to $1.305 million or $.29 per share for the same
period in 2004, an increase of 9.8% over the same period in 2004.  Total
loans have grown $26.1 million or 9.8% to $292.2 million at June 30, 2005
from June 30, 2004.  Deposits have grown $15.7 million or 5.5% over the
same period.

A quarterly dividend of $.24 per share was declared on July 15, 2005 to
shareholders of record July 25, 2005, payable July 28, 2005.

Union, with headquarters in Morrisville, Vermont is the bank holding
company parent of Union Bank, which offers deposit, loan, trust and
commercial banking services throughout northern Vermont.  As of June 30,
2005, the Company had approximately $361 million in consolidated assets and
operated 12 banking offices, 30 ATM facilities in Vermont and loan
origination offices in St. Albans, Vermont and Littleton, New Hampshire.



Statements made in this press release that are not historical facts are
forward-looking statements.  Investors are cautioned that all forward-
looking statements necessarily involve risks and uncertainties, and many
factors could cause actual results and events to differ materially from
those contemplated in the forward-looking statements.  When we use any of
the words "believes," "expects," "anticipates" or similar expressions, we
are making forward-looking statements.  The following factors, among
others, could cause actual results and events to differ from those
contemplated in the forward-looking statements:  uncertainties associated
with general economic conditions; changes in the interest rate environment;
inflation; political, legislative or regulatory developments; acts of war
or terrorism; the markets' acceptance of and demand for the Company's
products and services; technological changes, including the impact of the
internet on the Company's business and on the financial services market
place generally; the impact of competitive products and pricing; and
dependence on third party suppliers.  For further information, please refer
to the Company's reports filed with the Securities and Exchange Commission
at www.sec.gov.