FNB Corp. (NASDAQ NMS: FNBN), Asheboro, North Carolina, agreed to acquire United Financial, Inc. (OTC BB: UTDF), Graham, North Carolina, in a cash and stock transaction valued at approximately $24.6 million. Under the terms of the deal, United shareholders will receive either 0.6828 shares of FNB common stock or $14.25 in cash for each United share, subject to overall limitations of 70% stock and 30% cash. This deal price represents 240% of United’s book value as of March 31, 2005. United Financial operates three full-service offices in Alamance and Orange Counties and has approximately $147 million in total assets. FNB Corp. operates 21 offices and has approximately $896 million in assets. The Carson Medlin Company initiated this transaction and is serving as financial advisor to United Financial.