Common and Preferred Stock

9 Months Ended

Sep. 30, 2020

Equity [Abstract]

Common and Preferred Stock

Common and Preferred Stock

In November of 2019, United’s Board of Directors authorized an expansion of the existing common stock repurchase plan to authorize the repurchase of its common stock up to $50 million. The program is scheduled to expire on the earlier of United’s repurchase of its common stock having an aggregate purchase price of $50 million or December 31, 2020. Under the program, shares may be repurchased in the open market or in privately negotiated transactions, from time to time, subject to market conditions. No shares were repurchased during the three months ended September 30, 2020. During the three months ended September 30, 2019, 195,443 shares were repurchased under the program. During the nine months ended September 30, 2020 and 2019, 826,482 and 500,495 shares, respectively, were repurchased. As of September 30, 2020, United had remaining authorization to repurchase up to $29.2 million of outstanding common stock under the program.

During 2020, United issued $100 million, or 4,000 shares, of Series I perpetual non-cumulative preferred stock (“Preferred Stock”) with a dividend rate of 6.875% per annum for net proceeds of $96.4 million and corresponding depositary shares each representing a 1/1,000th interest in one share of Preferred Stock. If declared, dividends are payable quarterly in arrears. The Preferred Stock has no stated maturity and redemption is solely at the option of United in whole, but not in part, upon the occurrence of a regulatory capital treatment event, as defined. In addition, the Preferred Stock may be redeemed on or after September 15, 2025 at a cash redemption price equal to $25,000 per share (equivalent to $25 per depositary share) plus any declared and unpaid dividends. As of September 30, 2020, the Preferred Stock had a carrying amount of $96.4 million.