SEGMENT INFORMATION

6 Months Ended

Jun. 30, 2014

SEGMENT INFORMATION [Abstract]

SEGMENT INFORMATION

NOTE M:  SEGMENT INFORMATION

Operating segments are components of an enterprise, which are evaluated regularly by the “chief operating decision maker” in deciding how to allocate resources and assess performance.  The Company’s chief operating decision maker is the President and Chief Executive Officer of the Company. The Company has identified Banking, Employee Benefit Services and Wealth Management as its reportable operating business segments.  CBNA operates the banking segment that provides full-service banking to consumers, businesses and governmental units in northern, central and western New York as well as northern Pennsylvania.  Employee benefit services, which includes Benefit Plans Administrative Services, Inc. (“BPAS”) and subsidiaries with nine offices throughout the U.S. and Puerto Rico, provides employee benefit trust, collective investment fund, retirement plan administration, actuarial, VEBA/HRA and health and welfare consulting services.  Wealth management services activities include trust services provided by the personal trust unit within the Bank, investment and insurance products and services provided by Community Investment Services, Inc. (“CISI”) and CBNA Insurance Agency, Inc., and asset management provided by Nottingham Advisors, Inc.  The accounting policies used in the disclosure of business segments are the same as those described in the summary of significant accounting policies (See Note A, Summary of Significant Accounting Policies of the most recent Form 10-K for the year ended December 31, 2013 filed with the SEC on March 3, 2014).

Information about reportable segments and reconciliation of the information to the consolidated financial statements follows:

(000's omitted)	Banking	Employee Benefit Services	Wealth Management	Eliminations	Consolidated Total
Three Months Ended June 30, 2014
Net interest income	$61,124	$23	$23	$0	$61,170
Provision for loan losses	1,900	0	0	0	1,900
Noninterest income	14,778	10,677	4,629	(418)	29,666
Amortization of intangible assets	882	171	48	0	1,101
Other operating expenses	43,132	8,198	3,151	(418)	54,063
Income before income taxes	$29,988	$2,331	$1,453	$0	33,772
Assets	$7,435,282	$27,818	$13,882	($15,639)	$7,461,343
Goodwill	$364,495	$8,019	$2,660	$0	$375,174
Three Months Ended June 30, 2013
Net interest income	$58,380	$31	$21	$0	$58,432
Provision for loan losses	1,321	0	0	0	1,321
Noninterest income	13,655	9,618	4,241	(416)	27,098
Amortization of intangible assets	908	175	57	0	1,140
Other operating expenses	42,946	7,610	3,096	(416)	53,236
Income before income taxes	$26,860	$1,864	$1,109	$0	$29,833
Assets	$6,995,501	$25,662	$12,202	($12,649)	$7,020,716
Goodwill	$359,207	$7,836	$2,660	$0	$369,703
Six Months Ended June 30, 2014
Net interest income	$121,188	$46	$45	$0	$121,279
Provision for loan losses	2,900	0	0	0	2,900
Noninterest income	28,223	21,386	9,291	(880)	58,020
Amortization of intangible assets	1,795	342	105	0	2,242
Other operating expenses	86,844	16,482	6,398	(880)	108,844
Income before income taxes	$57,872	$4,608	$2,833	$0	65,313
Six Months Ended June 30, 2013
Net interest income	$116,753	$64	$40	$0	$116,857
Provision for loan losses	2,714	0	0	0	2,714
Noninterest income	26,295	19,630	8,134	(852)	53,207
Amortization of intangible assets	1,846	349	124	0	2,319
Other operating expenses	86,177	15,208	6,076	(852)	106,609
Income before income taxes	$52,311	$4,137	$1,974	$0	$58,422