SEGMENT INFORMATION

3 Months Ended

Mar. 31, 2017

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 All Other as its reportable operating business segments.  Community Bank, N.A. (the “Bank” or “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 northeastern Pennsylvania.  Employee Benefit Services, which includes the operating subsidiaries Benefit Plans Administrative Services, LLC, BPAS Actuarial and Pension Services, LLC (formerly Harbridge Consulting Group, LLC), BPAS Trust Company of Puerto Rico, Northeast Retirement Services, LLC, and Hand Benefits & Trust Company, provides employee benefit trust, collective investment fund, retirement plan administration, actuarial, VEBA/HRA, and health and welfare consulting services.  The All Other segment is comprised of: (a) wealth management services including trust services provided by the personal trust unit within the Bank, broker-dealer and investment advisory services provided by Community Investment Services, Inc. (“CISI”), and The Carta Group, Inc., as well as asset management provided by Nottingham Advisors, Inc., and (b) full-service insurance, risk management and employee benefit services provided by OneGroup.  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, 2016 filed with the SEC on March 1, 2017).

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

(000's omitted)	Banking		Employee  Benefit Services		All Other		Eliminations			Consolidated  Total
Three Months Ended March 31, 2017
Net interest income	$	67,134	$	78	$	62	$	0		$	67,274
Provision for loan losses		1,828		0		0		0			1,828
Noninterest revenues		15,867		17,636		11,479		(664	)		44,318
Amortization of intangible assets		554		1,591		623		0			2,768
Acquisition expenses		521		1,062		133		0			1,716
Other operating expenses		49,493		11,370		8,892		(664	)		69,091
Income before income taxes	$	30,605	$	3,691	$	1,893	$	0		$	36,189
Assets	$	8,663,042	$	221,437	$	72,526	$	(43,145	)	$	8,913,860
Goodwill	$	440,870	$	84,213	$	17,903	$	0		$	542,986

Three Months Ended March 31, 2016
Net interest income	$	66,798	$	40	$	43	$	0		$	66,881
Provision for loan losses		1,341		0		0		0			1,341
Noninterest revenues		15,313		12,390		11,144		(566	)		38,281
Amortization of intangible assets		719		116		607		0			1,442
Acquisition expenses		70		0		7		0			77
Other operating expenses		48,460		9,447		8,809		(566	)		66,150
Income before income taxes	$	31,521	$	2,867	$	1,764	$	0		$	36,152
Assets	$	8,546,646	$	38,535	$	69,385	$	(38,665	)	$	8,615,901
Goodwill	$	440,870	$	8,019	$	16,253	$	0		$	465,142