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&lt;p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"&gt;&lt;font style="FONT-FAMILY: Times New Roman" size="2"&gt;&lt;b&gt;Note 18 &amp;#x2014;
Agreement and Plan of Merger&lt;/b&gt;&lt;/font&gt;&lt;/p&gt;
&lt;!-- xbrl,body --&gt;
&lt;p style="MARGIN-TOP: 6px; MARGIN-BOTTOM: 0px"&gt;&lt;font style="FONT-FAMILY: Times New Roman" size="2"&gt;On June&amp;#xA0;28, 2013, the
Company announced it had entered into a merger agreement with
Peoples Financial Services Corp (&amp;#x201C;Peoples&amp;#x201D;), pursuant
to which the Company will merge with and into Peoples. The merger
agreement provides that shareholders of the Company will receive a
fixed ratio of 1.3636 shares of Peoples common stock for each
outstanding share of the Company&amp;#x2019;s common stock, subject to
adjustment upon the occurrence of certain events described in the
merger agreement. The transaction has been unanimously approved by
the boards of directors of each of the Company and Peoples. The
transaction is subject to the receipt of shareholder approval from
the shareholders of both the Company and Peoples, regulatory
approvals and other customary closing conditions.&lt;/font&gt;&lt;/p&gt;


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