ACQUISITIONS (Tables)

9 Months Ended

Sep. 30, 2016

Estimated Fair Value of Assets Acquired and Liabilities Assumed

The following table summarizes the estimated fair value of the assets acquired and liabilities assumed after considering the measurement period adjustments described above:

(000s omitted)	2016		2015
Consideration paid :
Cash	$	575	$	56,266
Community Bank System, Inc. common stock		0		102,202
Total net consideration paid		575		158,468
Recognized amounts of identifiable assets acquired and liabilities assumed:
Cash and cash equivalents		0		81,772
Investment securities		0		225,729
Loans		0		399,422
Premises and equipment		0		22,212
Accrued interest receivable		0		1,133
Other assets		0		26,529
Core deposit intangibles		0		2,570
Other intangibles		288		9,994
Deposits		0		(699,241	)
Other liabilities		0		(1,333	)
Total identifiable assets, net		288		68,787
Goodwill	$	287	$	89,681

Summary of Loans Acquired

The following is a summary of the loans acquired from Oneida at the date of acquisition:

	Acquired			Acquired			Total
	Impaired			Non-impaired			Acquired
(000s omitted)	Loans			Loans			Loans
Contractually required principal and interest at acquisition	$	5,138		$	484,937		$	490,075
Contractual cash flows not expected to be collected		(1,977	)		(4,833	)		(6,810	)
Expected cash flows at acquisition		3,161			480,104			483,265
Interest component of expected cash flows		(341	)		(83,502	)		(83,843	)
Fair value of acquired loans	$	2,820		$	396,602		$	399,422

Pro Forma Financial Information

Acquisition-related expenses totaling $0.6 million and $1.3 million are excluded from the pro forma information for the three and nine months ended September 30, 2015, respectively.


(000's omitted)	Pro Forma (Unaudited) Three Months Ended September 30, 2015		Pro Forma (Unaudited) Nine Months Ended September 30, 2015
Total revenue, net of interest expense	$	106,563	$	313,574
Net income		25,350		73,813