X0306 4 2017-03-22 0000723188 COMMUNITY BANK SYSTEM, INC. CBU 0001202795 MICHAEL R KALLET C/O COMMUNITY BANK SYSTEM, INC. 5790 WIDEWATERS PARKWAY DEWITT NY 13214 1 Phantom Stock (Deferred Compensation) 2017-03-22 4 A 0 284.7921 52.67 A Common Stock 284.7921 1528.0068 D Each unit of phantom stock is the economic equivalent of one share of Community Bank System, Inc. common stock. The units of phantom stock relating to the Deferred Compensation Plan will be settled in Community Bank System, Inc. common stock at future dates selected by the reporting person. Includes 10.0625 units of phantom stock acquired on January 10, 2017 under the Deferred Compensation Plan's dividend reinvestment feature. Danielle M. Cima, pursuant to a Confirming Statement executed by Michael R. Kallet 2017-03-23