The Securities and Exchange Commission has not necessarily reviewed the information in this filing and has not determined if it is accurate and complete.
The reader should not assume that the information is accurate and complete.

UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 13F

FORM 13F INFORMATION TABLE
OMB APPROVAL
OMB Number: 3235-0006
Estimated average burden
hours per response: 23.8
COLUMN 1 COLUMN 2 COLUMN 3 COLUMN 4 COLUMN 5 COLUMN 6 COLUMN 7 COLUMN 8
VALUE SHRS OR SH/ PUT/ INVESTMENT OTHER VOTING AUTHORITY
NAME OF ISSUER TITLE OF CLASS CUSIP (x$1000) PRN AMT PRN CALL DISCRETION MANAGER SOLE SHARED NONE
FLEXTRONICS INTL COMMON STOCK Y2573F102 1,098 106,370 SH   DFND   106,370 0 0
NAVIGATOR HOLDINGS LTD FOREIGN EQUITIES Y62132108 1,058 38,025 SH   DFND   38,025 0 0
ABERDEEN ASIA PACIFIC INCOM FOREIGN EQUITIES 003009107 661 112,040 SH   DFND   112,040 0 0
ALTRIA GROUP INC COMMON STOCK 02209S103 210 4,578 SH   DFND   4,578 0 0
AMERICAN EXPRESS CO COM COMMON STOCK 025816109 291 3,327 SH   DFND   3,327 0 0
APPLE INC COMMON STOCK 037833100 2,559 25,397 SH   DFND   25,293 0 104
AUTOMATIC DATA PROCESSING INC COMMON STOCK 053015103 459 5,530 SH   DFND   5,530 0 0
BB&T CORP COM COMMON STOCK 054937107 5,195 139,651 SH   DFND   139,036 0 615
BAR HARBOR BANKSHARES COMMON STOCK 066849100 7,540 260,636 SH   DFND   55,200 0 205,436
BECTON DICKINSON & CO COMMON STOCK 075887109 5,781 50,792 SH   DFND   50,542 0 250
BERKSHIRE HATHAWAY INC CL A COMMON STOCK 084670108 414 2 SH   DFND   2 0 0
BERKSHIRE HATHAWAY INC CL B NEW COMMON STOCK 084670702 1,369 9,911 SH   DFND   9,911 0 0
BLACKSTONE MTG TR INC NOTE 5.25% 12/01/18 CONVERTIBLE CORPORATE BONDS 09257WAA8 1,603 1,530,000 PRN   DFND   1,490,000 0 40,000
BLACKSTONE MTG TR INC COM CL A COMMON STOCK 09257W100 4,533 167,333 SH   DFND   166,348 0 985
BRISTOL MYERS SQUIBB CO COMMON STOCK 110122108 317 6,198 SH   DFND   6,198 0 0
BROOKFIELD ASSET MGMT INC FOREIGN EQUITIES 112585104 6,124 136,235 SH   DFND   135,485 0 750
CHESAPEAKE ENERGY CORP 2.75% 11/15/35 CONVERTIBLE CORPORATE BONDS 165167BW6 3,387 3,345,000 PRN   DFND   3,295,000 0 50,000
CHESAPEAKE ENERGY CORP COMMON STOCK 165167107 939 40,860 SH   DFND   40,860 0 0
CHEVRON CORP NEW COMMON STOCK 166764100 305 2,554 SH   DFND   2,170 0 384
CITIGROUP INC NEW COMMON STOCK 172967424 1,198 23,125 SH   DFND   23,125 0 0
CLOROX CO DEL COM COMMON STOCK 189054109 203 2,110 SH   DFND   2,110 0 0
COCA COLA CO COM COMMON STOCK 191216100 399 9,350 SH   DFND   9,350 0 0
CONOCOPHILLIPS COMMON STOCK 20825C104 247 3,225 SH   DFND   3,225 0 0
DEVON ENERGY CORPORATION COMMON STOCK 25179M103 947 13,885 SH   DFND   13,885 0 0
DISNEY WALT CO COMMON STOCK 254687106 457 5,130 SH   DFND   5,130 0 0
DU PONT E I DE NEMOURS & CO COM COMMON STOCK 263534109 233 3,240 SH   DFND   3,240 0 0
EMC CORP MASS COMMON STOCK 268648102 5,539 189,374 SH   DFND   188,189 0 1,185
EATON VANCE TAX MNGD GBL DV OTHER FUNDS - STOCK 27829F108 1,232 122,823 SH   DFND   122,823 0 0
EXPRESS SCRIPTS HOLDING CO COMMON STOCK 30219G108 1,167 16,520 SH   DFND   16,520 0 0
EXXON MOBIL CORP COMMON STOCK 30231G102 7,947 84,496 SH   DFND   82,971 0 1,525
GENERAL MLS INC COMMON STOCK 370334104 568 11,250 SH   DFND   11,250 0 0
GILEAD SCIENCES INC COMMON STOCK 375558103 1,711 16,070 SH   DFND   16,070 0 0
GLAXOSMITHKLINE PLC SPONSORED ADR FOREIGN EQUITIES 37733W105 255 5,548 SH   DFND   5,548 0 0
GOLDMAN SACHS COMMON STOCK 38141G104 5,003 27,255 SH   DFND   27,070 0 185
HOWARD HUGHES CORP COMMON STOCK 44267D107 3,049 20,325 SH   DFND   20,325 0 0
IAC INTERACTIVECORP COM PAR $.001 COMMON STOCK 44919P508 7,125 108,118 SH   DFND   107,593 0 525
ICONIX BRAND GROUP INC COMMON STOCK 451055107 1,037 28,070 SH   DFND   28,070 0 0
INTEL CORP 3.25% 08/01/39 CONVERTIBLE CORPORATE BONDS 458140AF7 461 275,000 PRN   DFND   275,000 0 0
ISHARES BARCLAYS TIPS BD FD OTHER FUNDS - BONDS 464287176 1,135 10,125 SH   DFND   10,125 0 0
ISHARES CORE S&P 500 OTHER FUNDS - STOCK 464287200 753 3,797 SH   DFND   3,797 0 0
ISHARES 1-3 YR TR BD OTHER FUNDS - BONDS 464287457 1,245 14,728 SH   DFND   14,728 0 0
ISHARES CORE S&P SMALL-CAP OTHER FUNDS - STOCK 464287804 236 2,266 SH   DFND   2,266 0 0
JOHNSON & JOHNSON COM COMMON STOCK 478160104 10,262 96,278 SH   DFND   94,953 0 1,325
KENNEDY-WILSON HLDGS INC COMMON STOCK 489398107 1,568 65,450 SH   DFND   65,450 0 0
KINDER MORGAN INC DEL COMMON STOCK 49456B101 5,159 134,560 SH   DFND   133,720 0 840
LIBERTY MEDIA CORP 3.50% 01/15/2031 CONVERTIBLE CORPORATE BONDS 530715AN1 8 15,201 PRN   DFND   15,201 0 0
MCDONALDS CORP COMMON STOCK 580135101 463 4,885 SH   DFND   4,885 0 0
MEDTRONIC INC COMMON STOCK 585055106 4,988 80,511 SH   DFND   80,046 0 465
MERCK & CO INC NEW COMMON STOCK 58933Y105 486 8,200 SH   DFND   8,200 0 0
MICROSOFT CORP COMMON STOCK 594918104 8,844 190,772 SH   DFND   190,022 0 750
NATIONAL OILWELL VARCO INC COMMON STOCK 637071101 5,183 68,107 SH   DFND   67,732 0 375
NEW JERSEY RES COM COMMON STOCK 646025106 253 5,000 SH   DFND   5,000 0 0
NIKE INC. CLASS B COMMON STOCK 654106103 373 4,180 SH   DFND   4,180 0 0
NOW INC COMMON STOCK 67011P100 479 15,766 SH   DFND   15,694 0 72
NUVEEN MUN VALUE FD INC OTHER FUNDS - STOCK 670928100 4,990 530,332 SH   DFND   503,832 0 26,500
ORACLE CORP COMMON STOCK 68389X105 4,996 130,560 SH   DFND   129,810 0 750
PPL CORP COMMON STOCK 69351T106 246 7,500 SH   DFND   7,500 0 0
PEPSICO INC COM COMMON STOCK 713448108 614 6,600 SH   DFND   6,000 0 600
PHILIP MORRIS INTL INC COM COMMON STOCK 718172109 301 3,605 SH   DFND   3,605 0 0
POTASH CORP SASK INC COM FOREIGN EQUITIES 73755L107 5,053 146,255 SH   DFND   145,420 0 835
PROCTER & GAMBLE CO COM COMMON STOCK 742718109 6,956 83,068 SH   DFND   82,732 0 336
RETAIL OPPORTUNITY INVTS COR COMMON STOCK 76131N101 4,915 334,325 SH   DFND   332,275 0 2,050
SPDR SERIES TRUST BRC HGH YLD BD OTHER FUNDS - BONDS 78464A417 299 7,436 SH   DFND   7,436 0 0
SPDR SERIES TRUST S&P DIVID ETF COMMON STOCK 78464A763 4,587 61,213 SH   DFND   61,213 0 0
SCHWAB STRATEGIC TR US MID-CAP ETF OTHER FUNDS - STOCK 808524508 261 6,737 SH   DFND   6,737 0 0
SCHWAB STRATEGIC TR US SML CAP ETF OTHER FUNDS - STOCK 808524607 249 4,843 SH   DFND   4,843 0 0
SCHWAB STRATEGIC TR EMRG MKTEQ ETF OTHER FUNDS - STOCK 808524706 368 14,495 SH   DFND   14,495 0 0
SCHWAB STRATEGIC TR INTL EQTY ETF OTHER FUNDS - STOCK 808524805 685 22,096 SH   DFND   22,096 0 0
SCHWAB STRATEGIC TR US TIPS ETF OTHER FUNDS - BONDS 808524870 308 5,681 SH   DFND   5,681 0 0
SKYWORKS SOLUTIONS INC COMMON STOCK 83088M102 1,858 32,005 SH   DFND   32,005 0 0
STARZ COM SER A COMMON STOCK 85571Q102 1,187 35,905 SH   DFND   35,905 0 0
STERLITE INDS INDIA LTD 4% 10/30/14 CONVERTIBLE CORPORATE BONDS 859737AB4 2,161 2,175,000 PRN   DFND   2,150,000 0 25,000
SYSCO CORP COMMON STOCK 871829107 7,046 185,669 SH   DFND   185,149 0 520
TJX COMPANIES INC COMMON STOCK 872540109 1,320 22,315 SH   DFND   22,315 0 0
TARGET CORP COMMON STOCK 87612E106 4,598 73,365 SH   DFND   72,815 0 550
TEMPLETON EMERG MKTS INCOME OTHER FUNDS - BONDS 880192109 2,614 205,486 SH   DFND   204,986 0 500
UNITED PARCEL SERVICE COMMON STOCK 911312106 5,097 51,859 SH   DFND   51,772 0 87
VANGUARD FTSE DEVELOPED MARKETS ETF OTHER FUNDS - STOCK 921943858 1,786 44,944 SH   DFND   44,944 0 0
VANGUARD INTL EQUITY INDEX FTT WRLD ST ETF OTHER FUNDS - STOCK 922042742 2,094 34,675 SH   DFND   34,675 0 0
VANGUARD MSCI EMERGING MARKETS ETF OTHER FUNDS - STOCK 922042858 1,647 39,500 SH   DFND   39,000 0 500
VANGUARD SCOTTSDALE FDS SHRT-TERM CORP OTHER FUNDS - BONDS 92206C409 12,782 160,038 SH   DFND   160,038 0 0
VANGUARD INDEX FDS S&P 500 ETF SHS OTHER FUNDS - STOCK 922908363 609 3,374 SH   DFND   3,374 0 0
VANGUARD INDEX FDS REIT ETF OTHER FUNDS - REAL ESTATE 922908553 1,780 24,780 SH   DFND   24,780 0 0
VOYA FINANCIAL INC COMMON STOCK 929089100 1,063 27,190 SH   DFND   27,190 0 0
ADR WUXI PHARMATECH FOREIGN EQUITIES 929352102 1,083 30,925 SH   DFND   30,925 0 0
WAL MART STORES INC COMMON STOCK 931142103 7,811 102,149 SH   DFND   101,774 0 375
WELLS FARGO & COMPANY NEW COMMON STOCK 949746101 6,406 123,520 SH   DFND   122,845 0 675
WISDOMTREE TRUST EMERG MKTS ETF OTHER FUNDS - STOCK 97717W315 785 16,432 SH   DFND   16,432 0 0
YUM BRANDS INC COM COMMON STOCK 988498101 307 4,260 SH   DFND   4,260 0 0