SEGMENT INFORMATION

12 Months Ended

Dec. 31, 2019

NOTE U: 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. CBNA operates the Banking segment that provides full-service banking to consumers, businesses, and governmental units in Upstate New York as well as Northeastern Pennsylvania, Vermont and Western Massachusetts. Employee Benefit Services, which includes operating subsidiaries of BPAS, BPAS-APS, BPAS Trust Company of Puerto Rico, NRS and HB&T, provides employee benefit trust, collective investment fund, retirement plan administration, fund administration, transfer agency, 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 CISI and The Carta Group, and asset management provided by Nottingham; 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).

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
2019
Net interest income	$	358,334		$	665	$	176	$	0		$	359,175
Provision for loan losses		8,430			0		0		0			8,430
Noninterest revenue		75,067			99,483		59,075		(3,006	)		230,619
Amortization of intangible assets		5,751			6,770		3,435		0			15,956
Acquisition expenses		8,608			0		0		0			8,608
Other operating expenses		245,870			59,428		45,170		(3,006	)		347,462
Income before income taxes	$	164,742		$	33,950	$	10,646	$	0		$	209,338
Assets	$	11,225,509		$	209,690	$	76,351	$	(101,255	)	$	11,410,295
Goodwill	$	670,223		$	83,275	$	20,312	$	0		$	773,810
Core deposit intangibles & Other intangibles	$	16,418		$	37,775	$	8,920	$	0		$	63,113

2018
Net interest income	$	344,551		$	376	$	128	$	0		$	345,055
Provision for loan losses		10,837			0		0		0			10,837
Noninterest revenue		75,399			94,449		57,204		(2,993	)		224,059
Amortization of intangible assets		6,429			8,015		3,711		0			18,155
Acquisition expenses		(782	)		7		6		0			(769	)
Other operating expenses		231,362			56,275		43,259		(2,993	)		327,903
Income before income taxes	$	172,104		$	30,528	$	10,356	$	0		$	212,988
Assets	$	10,397,623		$	207,460	$	68,288	$	(66,076	)	$	10,607,295
Goodwill	$	629,916		$	83,275	$	20,312	$	0		$	733,503
Core deposit intangibles & Other intangibles	$	18,596		$	44,545	$	10,705	$	0		$	73,846
2017
Net interest income	$	315,025		$	396	$	254	$	0		$	315,675
Provision for loan losses		10,984			0		0		0			10,984
Noninterest revenue		73,337			82,743		49,201		(2,858	)		202,423
Amortization of intangible assets		5,296			8,578		3,067		0			16,941
Acquisition expenses		24,549			1,194		243		0			25,986
Other operating expenses		218,608			51,138		37,334		(2,858	)		304,222
Income before income taxes	$	128,925		$	22,229	$	8,811	$	0		$	159,965
Assets	$	10,505,919		$	203,369		66,548	$	(29,638	)	$	10,746,198
Goodwill	$	629,916		$	84,449	$	20,065	$	0		$	734,430
Core deposit intangibles & Other intangibles	$	25,025		$	52,288	$	13,345	$	0		$	90,658