Chemung Financial Corporation
CHMG
#8004
Rank
$0.39 B
Marketcap
$81.62
Share price
-0.35%
Change (1 day)
N/A
Change (1 year)

Chemung Financial Corporation - 10-Q quarterly report FY


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<HTML>
<HEAD>
<TITLE>UNITED STATES</TITLE>
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<B><FONT FACE="Courier"><P ALIGN="CENTER">UNITED STATES</P>
<P ALIGN="CENTER">SECURITIES AND EXCHANGE COMMISSION</P>
<P ALIGN="CENTER">WASHINGTON D.C. 20549</P>
<P ALIGN="CENTER"></P>
<P ALIGN="CENTER">FORM 10-Q</P>
</B><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P><DIR>
<DIR>

<B><P ALIGN="JUSTIFY">[X]&#9;QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934</P>
</B><P ALIGN="JUSTIFY"></P></DIR>
</DIR>

<P ALIGN="JUSTIFY">&#9;&#9;For Quarterly period ended <B><U>March 31, 2000</P>
</B></U><P ALIGN="JUSTIFY"></P><DIR>
<DIR>

<P>[ ]&#9;TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P></DIR>
</DIR>

<P ALIGN="JUSTIFY">&#9;&#9;Commission File No. 0-13888</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<B><U><P ALIGN="CENTER">CHEMUNG FINANCIAL CORPORATION</P>
</B></U><P ALIGN="CENTER">(Exact name of registrant as specified in its charter)</P>

<P>&nbsp;</P>
<P>&nbsp;</P>
<P>&#9;&#9;<U> <B>New York</B> </U> &#9; <U> <B>16-1237038</P>
</B></U><P>&#9;&#9;(State or other jurisdiction of&#9; I.R.S. Employer</P>
<P>&#9;&#9; incorporation or organization)&#9; Identification No.</P>

<P>&nbsp;</P>
<P>&#9;&#9;<U> <B>One Chemung Canal Plaza, Elmira, NY</B></U> <U> <B>14902</P>
</B></U><P>&#9;&#9;Address of principal executive offices) (Zip Code)</P>

<P>&nbsp;</P>
<B><U><P ALIGN="CENTER">(607) 737-3711</P>
</B></U><P ALIGN="CENTER">(Registrant's telephone number, including area code)</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant
was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="CENTER">YES<U> <B>XX</B> </U> NO<U> </P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Indicate the number of shares outstanding of each of the issuer's</P>
<P ALIGN="JUSTIFY">classes of common stock as of April 30, 2000:</P>
<P ALIGN="JUSTIFY"></P>
<B><P ALIGN="CENTER">Common Stock, $.01 par value -- outstanding 4,041,518 shares</P>
</B><P ALIGN="CENTER"></P>
<P ALIGN="CENTER">&nbsp;</P>
<B><U><P ALIGN="CENTER">CHEMUNG FINANCIAL CORPORATION AND SUBSIDIARY</P>
</U><P ALIGN="CENTER"></P>
<U><P ALIGN="CENTER">INDEX</P></B></U></FONT>
<TABLE CELLSPACING=0 BORDER=0 CELLPADDING=7 WIDTH=638>
<TR><TD WIDTH="18%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="JUSTIFY">PART I.</FONT></TD>
<TD WIDTH="72%" VALIGN="TOP">
<FONT FACE="Courier"><P>FINANCIAL INFORMATION</FONT></TD>
<TD WIDTH="10%" VALIGN="TOP">
<U><FONT FACE="Courier"><P ALIGN="RIGHT">PAGE</U></FONT></TD>
</TR>
<TR><TD WIDTH="18%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="72%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="18%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="JUSTIFY">Item 1:</FONT></TD>
<TD WIDTH="72%" VALIGN="TOP">
<FONT FACE="Courier"><P>Financial Statements - Unaudited</FONT></TD>
<TD WIDTH="10%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="18%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="72%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="18%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="72%" VALIGN="TOP">
<FONT FACE="Courier"><P>Condensed Consolidated Balance Sheets</FONT></TD>
<TD WIDTH="10%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="RIGHT">1</FONT></TD>
</TR>
<TR><TD WIDTH="18%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="72%" VALIGN="TOP">
<FONT FACE="Courier"><P>Condensed Consolidated Statements of Income</FONT></TD>
<TD WIDTH="10%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="RIGHT">2</FONT></TD>
</TR>
<TR><TD WIDTH="18%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="72%" VALIGN="TOP">
<FONT FACE="Courier"><P>Condensed Consolidated Statements of Cash Flows</FONT></TD>
<TD WIDTH="10%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="RIGHT">3</FONT></TD>
</TR>
<TR><TD WIDTH="18%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="72%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="18%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="72%" VALIGN="TOP">
<FONT FACE="Courier"><P>Notes to Condensed Consolidated Financial Statements</FONT></TD>
<TD WIDTH="10%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">4</FONT></TD>
</TR>
<TR><TD WIDTH="18%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="72%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="18%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="JUSTIFY">Item 2:</FONT></TD>
<TD WIDTH="72%" VALIGN="TOP">
<FONT FACE="Courier"><P>Management's Discussion and Analysis of Financial Condition and Results of Operations</FONT></TD>
<TD WIDTH="10%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
</FONT><FONT FACE="Courier"><P ALIGN="RIGHT">5</FONT></TD>
</TR>
<TR><TD WIDTH="18%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="72%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="18%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="JUSTIFY">Item 3:</FONT></TD>
<TD WIDTH="72%" VALIGN="TOP">
<FONT FACE="Courier"><P>Quantitative and Qualitative Disclosures about Market Risk</FONT></TD>
<TD WIDTH="10%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="18%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="72%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="18%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="72%" VALIGN="TOP">
<FONT FACE="Courier"><P>Information required by this Item is set forth herein in Management's Discussion and Analysis of Financial Condition and Results of Operations under the heading Interest Rate Risk</FONT></TD>
<TD WIDTH="10%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">&nbsp;</P>
<P ALIGN="RIGHT">&nbsp;</P>
<P ALIGN="RIGHT">10</FONT></TD>
</TR>
<TR><TD WIDTH="18%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="72%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="18%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="JUSTIFY">PART II.</FONT></TD>
<TD WIDTH="72%" VALIGN="TOP">
<FONT FACE="Courier"><P>OTHER INFORMATION</FONT></TD>
<TD WIDTH="10%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="18%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="72%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="18%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="JUSTIFY">Item 6:</FONT></TD>
<TD WIDTH="72%" VALIGN="TOP">
<FONT FACE="Courier"><P>Exhibits and Reports on Form 8-K</FONT></TD>
<TD WIDTH="10%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="RIGHT">12</FONT></TD>
</TR>
<TR><TD WIDTH="18%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="72%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="18%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="72%" VALIGN="TOP">
<FONT FACE="Courier"><P>All other items required by Part II are either inapplicable or would require an answer which is negative.</FONT></TD>
<TD WIDTH="10%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="18%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="72%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="18%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="JUSTIFY">SIGNATURES</FONT></TD>
<TD WIDTH="72%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="RIGHT">33</FONT></TD>
</TR>
</TABLE>

<B><FONT FACE="Courier"><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">PART I. FINANCIAL INFORMATION</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Item 1: Financial Statements</P>
</B><P ALIGN="JUSTIFY"></P>
<B><P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="CENTER">CHEMUNG FINANCIAL CORPORATION AND SUBSIDIARY</P>
</B><U><P ALIGN="CENTER"> <B> CONDENSED CONSOLIDATED BALANCE SHEETS </P>
</B></U></FONT><FONT FACE="Courier New" SIZE=2></FONT>
<TABLE CELLSPACING=0 BORDER=0 CELLPADDING=7 WIDTH=655>
<TR><TD WIDTH="62%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP">
<B><FONT FACE="Courier" SIZE=2><P ALIGN="CENTER">MARCH 31,</P>
<U><P ALIGN="CENTER">2000</B></U></FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<B><FONT FACE="Courier" SIZE=2><P ALIGN="CENTER">DECEMBER 31,</P>
<U><P ALIGN="CENTER">1999 </B></U></FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="35%" VALIGN="TOP" COLSPAN=2>
<B><U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">Unaudited</B></U></FONT></TD>
<TD WIDTH="3%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<B><FONT FACE="Courier" SIZE=2><P>ASSETS</B></FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Cash and due from banks</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">$ 25,943,039 </FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">30,926,401 </FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Interest bearing deposits with other financial institutions</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT"> 1,419,898 </U></FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<U><P ALIGN="RIGHT"> 1,146,495 </U></FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P> Total cash and cash equivalents</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">27,362,937 </FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">32,072,896 </FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Securities available for sale, at estimated fair value</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">223,219,552 </FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">227,383,641 </FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Securities held to maturity, estimated fair value of $9,621,079 at March 31, 2000 and $8,606,703 at December 31, 1999</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">&nbsp;</P>
<P ALIGN="RIGHT">9,721,541 </FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">&nbsp;</P>
<P ALIGN="RIGHT">8,606,703 </FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Loans, net of unearned income and deferred fees</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">382,294,796 </FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">359,963,407 </FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Allowance for loan losses</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> (4,666,082) </U></FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> (4,665,093)</U></FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Loans, net</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">377,628,714 </FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">355,298,314 </FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Premises and equipment, net</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">12,465,505 </FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">12,121,667 </FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Intangible assets, net of accumulated amortization</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">5,494,200 </FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">5,641,025 </FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Other assets</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 12,830,638 </U></FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 12,119,128 </U></FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> </FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P> Total assets</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">$668,723,087 </U></FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">653,243,374 </U></FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<B><FONT FACE="Courier" SIZE=2><P>LIABILITIES</B></FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Deposits:</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P> Non-interest-bearing</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">$104,600,641 </FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">98,292,851 </FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P> Interest bearing</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 409,078,448 </U> </FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">383,480,838 </U></FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P> Total deposits</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">513,679,089 </FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">481,773,689 </FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Securities sold under agreements to repurchase</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">50,041,944 </FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">49,946,491 </FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Federal Home Loan Bank advances</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">33,200,000 </FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">49,700,000 </FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Other liabilities</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 6,333,716 </U> </FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 6,511,311 </U></FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P> Total liabilities</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 603,254,749 </U> </FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">587,931,491 </U></FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<B><FONT FACE="Courier" SIZE=2><P>SHAREHOLDERS' EQUITY</B></FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> </FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Common Stock, $.01 par value per share;</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P> Authorized 10,000,000 shares, issued: 4,300,134 shares at March 31, 2000 and December 31, 1999</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">43,001 </FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">43,001 </FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Capital surplus</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">21,909,339 </FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">21,941,629 </FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Retained earnings</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">49,174,859 </FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">48,065,946 </FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Treasury stock, at cost (256,252 shares at March 31, 2000; 256,054 shares at December 31, 1999</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> </P>
<P ALIGN="RIGHT">(4,472,459) </FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">(4,435,629)</FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Accumulated other comprehensive income (loss)</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> (1,186,402) </U></FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> (303,064)</U></FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P> Total shareholders' equity</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 65,468,338 </U> </FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 65,311,883 </U></FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Total liabilities &amp; shareholders' equity</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">$668,723,087 </U> </FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">653,243,374 </U></FONT></TD>
</TR>
</TABLE>

<FONT FACE="Courier"><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
</FONT><FONT FACE="Courier" SIZE=2><P ALIGN="JUSTIFY">See accompanying notes to condensed consolidated financial statements.</P>
</FONT><FONT FACE="Courier"><P ALIGN="CENTER"></P><DIR>
<DIR>
<DIR>
<DIR>

<B><P ALIGN="CENTER">CHEMUNG FINANCIAL CORPORATION AND SUBSIDIARY</P></DIR>
</DIR>
</DIR>
</DIR>

<U><P ALIGN="CENTER">CONDENSED CONSOLIDATED STATEMENTS OF INCOME</P>
<P ALIGN="CENTER">Unaudited</P>
</B></FONT><FONT FACE="Courier" SIZE=2><P ALIGN="CENTER"></P>
<P ALIGN="CENTER">&nbsp;</P>
</U><B><P ALIGN="CENTER">&nbsp;</P>
<P ALIGN="CENTER">&nbsp;</P>
<P ALIGN="CENTER">&nbsp;</P></B></FONT>
<TABLE CELLSPACING=0 BORDER=0 CELLPADDING=7 WIDTH=672>
<TR><TD WIDTH="45%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="53%" VALIGN="TOP" COLSPAN=2>
<B><FONT FACE="Courier" SIZE=2><P ALIGN="CENTER"> <U>Three Months Ended</B></U></FONT></TD>
<TD WIDTH="3%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="53%" VALIGN="TOP" COLSPAN=2>
<B><FONT FACE="Courier" SIZE=2><P ALIGN="CENTER"> <U>March 31</B></U></FONT></TD>
<TD WIDTH="3%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="38%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">
<B><U><FONT FACE="Courier" SIZE=2><P>INTEREST</B> <B>AND DIVIDEND INCOME</B></U></FONT></TD>
<TD WIDTH="38%" VALIGN="TOP">
<B><FONT FACE="Courier" SIZE=2><P ALIGN="CENTER"> <U>2000</B></U></FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<B><FONT FACE="Courier" SIZE=2><P ALIGN="CENTER"> <U>1999</B></U></FONT></TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="38%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Loans</FONT></TD>
<TD WIDTH="38%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">$ 7,821,600</FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">6,897,357</FONT></TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Securities</FONT></TD>
<TD WIDTH="38%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">3,620,996</FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">3,427,455</FONT></TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Federal funds sold</FONT></TD>
<TD WIDTH="38%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">11,577</FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">145,890</FONT></TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Interest bearing deposits</FONT></TD>
<TD WIDTH="38%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 50,776</U></FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 84,215</U></FONT></TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="38%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Total interest and dividend income</FONT></TD>
<TD WIDTH="38%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 11,504,949</U></FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 10,554,917</U></FONT></TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="38%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">
<B><U><FONT FACE="Courier" SIZE=2><P>INTEREST EXPENSE</B></U></FONT></TD>
<TD WIDTH="38%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="38%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Deposits</FONT></TD>
<TD WIDTH="38%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">4,058,862</FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">3,607,551</FONT></TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Securities sold under agreement to repurchase and funds borrowed</FONT></TD>
<TD WIDTH="38%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<U><P ALIGN="RIGHT"> 1,047,603</U></FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT"> 884,695</U></FONT></TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="38%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Total interest expense</FONT></TD>
<TD WIDTH="38%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 5,106,465</U></FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 4,492,246</U></FONT></TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="38%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Net interest income</FONT></TD>
<TD WIDTH="38%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">6,398,484</FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">6,062,671</FONT></TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Provision for loan losses</FONT></TD>
<TD WIDTH="38%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 187,500</U></FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 200,000</U></FONT></TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Net interest income after provision for loan losses</FONT></TD>
<TD WIDTH="38%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT"> 6,210,984</U></FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT"> 5,862,671</U></FONT></TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="38%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Other operating income</FONT></TD>
<TD WIDTH="38%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 2,314,473</U></FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 2,105,686</U></FONT></TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="38%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Other operating expenses</FONT></TD>
<TD WIDTH="38%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 5,671,091</U></FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 5,311,476</U></FONT></TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="38%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Income before income tax expense</FONT></TD>
<TD WIDTH="38%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">2,854,366</FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 2,656,881</FONT></TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Income tax expense</FONT></TD>
<TD WIDTH="38%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 896,238</U></FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 817,244</U></FONT></TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="38%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">
<B><FONT FACE="Courier" SIZE=2><P>Net Income</B></FONT></TD>
<TD WIDTH="38%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">$ 1,958,128</U></FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">$ 1,839,637</U></FONT></TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="38%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="38%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="38%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="38%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="45%" VALIGN="TOP">
<B><FONT FACE="Courier" SIZE=2><P>Basic earnings per share</B></FONT></TD>
<TD WIDTH="38%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">$0.48</FONT></TD>
<TD WIDTH="18%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">$0.45</FONT></TD>
</TR>
</TABLE>

<FONT FACE="Courier" SIZE=2><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">See accompanying notes to condensed consolidated financial statements.</P>
</FONT><B><FONT FACE="Courier"><P ALIGN="CENTER"></P>
<P ALIGN="CENTER">CHEMUNG FINANCIAL CORPORATION AND SUBSIDIARY</P>
<U><P ALIGN="CENTER">CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS</P>
</U><P ALIGN="CENTER">Unaudited</P>
</B><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P></FONT>
<TABLE CELLSPACING=0 BORDER=0 CELLPADDING=7 WIDTH=709>
<TR><TD WIDTH="64%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="34%" VALIGN="TOP" COLSPAN=2>
<B><FONT FACE="Courier" SIZE=2><P ALIGN="CENTER"> <U>Three Months Ended</B></U></FONT></TD>
<TD WIDTH="3%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="34%" VALIGN="TOP" COLSPAN=2>
<B><FONT FACE="Courier" SIZE=2><P ALIGN="CENTER"> <U>March 31</B></U></FONT></TD>
<TD WIDTH="3%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<B><U><FONT FACE="Courier" SIZE=2><P>CASH FLOWS FROM OPERATING ACTIVITIES:</B></U></FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<B><FONT FACE="Courier" SIZE=2><P ALIGN="CENTER"> <U>2000</B></U></FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<B><FONT FACE="Courier" SIZE=2><P ALIGN="CENTER"> <U>1999</B></U></FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Net income</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">$1,958,128 </FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">1,839,637 </FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Adjustments to reconcile net income to net cash</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P> provided (used) by operating activities:</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Amortization of intangible assets</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">146,826 </FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">146,826 </FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Provision for loan losses</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">187,500 </FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">200,000 </FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Depreciation and amortization</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">407,811 </FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">392,130 </FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Amortization of premiums and accretion of discounts on securities, net</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">55,508 </FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">176,269 </FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Issuance of restricted stock units under Directors' Deferred Compensation Plan</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">43,011 </FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">38,188 </FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Increase in other assets</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">(711,510)</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">(899,487)</FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Increase (decrease) in other liabilities</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 418,361 </U></FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> (3,981,065)</U></FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P> Net cash provided (used) by operating activities</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 2,505,635 </U></FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> (2,087,502)</U></FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<B><U><FONT FACE="Courier" SIZE=2><P>CASH FLOWS FROM INVESTING ACTIVITIES:</B></U></FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Proceeds from maturities of and principal collected on securities available for sale</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">3,037,649 </FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">26,375,406 </FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Proceeds from maturities of and principal collected on securities held to maturity</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">747,821 </FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">620,747 </FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Proceeds from sales of securities available for sale</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">172 </FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">248 </FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Purchases of securities available for sale</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">(400,000)</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">(23,519,683)</FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Purchases of securities held to maturity</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">(1,862,659)</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">(673,791)</FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Purchases of premises and equipment</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">(751,649)</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">(419,591)</FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Net increase in loans</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">(22,807,666)</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">(13,431,139)</FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Proceeds from sales of student loans</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 289,766 </U></FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 623,749 </U></FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P> Net cash used in investing activities</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">(21,746,566)</U></FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">(10,424,054)</U></FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<B><U><FONT FACE="Courier" SIZE=2><P>CASH FLOWS FROM FINANCING ACTIVITIES:</B></U></FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Net increase (decrease) in demand deposits, NOW, savings and insured money market accounts</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">17,669,453 </FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">(2,367,298)</FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Net increase in certificates of deposit and individual retirement accounts</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">14,235,947 </FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">18,984,245 </FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Net increase in securities sold under agreements to repurchase</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">95,454 </FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">431,046 </FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Decrease in Federal Home Loan Bank advances</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">(16,500,000)</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">(6,900,000)</FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Purchase of treasury shares</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">(120,625)</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">(123,287)</FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Cash dividends paid</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> (849,257)</U></FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> (697,570)</U></FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P> Net cash provided by financing activities</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 14,530,972 </U></FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 9,327,136 </U></FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Net decrease in cash and cash equivalents</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">(4,709,959)</FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">(3,184,420)</FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Cash and cash equivalents at beginning of period</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 32,072,896 </U></FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 28,819,789 </U></FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT FACE="Courier" SIZE=2><P>Cash and cash equivalents at end of period</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP">
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT">$27,362,937 </U></FONT></TD>
<TD WIDTH="19%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier" SIZE=2><P ALIGN="RIGHT"> 25,635,369 </U></FONT></TD>
</TR>
</TABLE>

<FONT FACE="Courier"><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
</FONT><FONT FACE="Courier" SIZE=2><P ALIGN="JUSTIFY">See accompanying notes to condensed consolidated financial statements.</P>
</FONT><B><FONT FACE="Courier"><P ALIGN="CENTER">CHEMUNG FINANCIAL CORPORATION AND SUBSIDIARY</P>
<P ALIGN="CENTER">NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS</P>
<P ALIGN="CENTER">(unaudited)</P>
</B><P ALIGN="CENTER"></P>
<P ALIGN="CENTER">&nbsp;</P>
<B><P ALIGN="JUSTIFY">1.&#9;Basis of Presentation</P>
</B><P ALIGN="JUSTIFY"></P><DIR>
<DIR>

<P ALIGN="JUSTIFY">Chemung Financial Corporation (the Company) operates as a bank holding company. Its only subsidiary is Chemung Canal Trust Company (the Bank). The consolidated financial statements include the accounts of the Company and its wholly
owned subsidiary, the Bank. All material intercompany accounts and transactions have been eliminated in the consolidation.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">The data in the condensed consolidated balance sheet as of December 31, 1999 was derived from the Company's 1999 Annual Report to Shareholders. That data, along with the other interim financial information presented in the condensed
consolidated balance sheets, statements of income and statements of cash flows should be read in conjunction with the consolidated financial statements, including the notes thereto, contained in the 1999 Annual Report to Shareholders.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The condensed consolidated financial statements included herein reflect all adjustments which are, in the opinion of management, of a normal recurring nature and necessary to present fairly the Company's financial position as of
March 31, 2000 and December 31, 1999, and results of operations and cash flows for the three month periods ended March 31, 2000 and 1999.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<B><P ALIGN="JUSTIFY">2.</B>&#9;<B>Basic Earnings Per Share</P>
</B><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;Basic earnings per share was computed by dividing net income by 4,096,568 and 4,100,321 weighted average shares outstanding for the three month periods ended March 31, 2000 and 1999, respectively. Issuable shares (such as those
related to directors restricted stock units ) are considered outstanding and are included in the computation of basic earnings per share. No dilutive common stock equivalents were outstanding during the quarters ended March 31, 2000 and 1999.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<B><P ALIGN="JUSTIFY">3.&#9;Accounting Standards</P>
<P ALIGN="JUSTIFY"></P>
</B><P ALIGN="JUSTIFY">&#9;In June 1998, the Financial Accounting Standards Board ("FASB") issued Statement of Financial Accounting Standards ("SFAS") No. 133, "Accounting for Derivative Instruments and Hedging Activities,". This Statement establishes
comprehensive accounting and reporting requirements for derivative instruments and hedging activities. The Statement requires companies to recognize all derivatives as either assets or liabilities, including certain derivative instruments embedded in
other contracts with the instruments measured at fair value. The accounting for gains and losses resulting from changes in fair value of the derivative instrument, depends on the intended use of the derivatives and the type of risk being hedged. This
Statement, as amended by SFAS No. 137, is effective for all fiscal quarters of fiscal years beginning after June 15, 2000. Earlier adoption, however is permitted. Management is currently evaluating the impact, if any, of this Statement on the Company's
consolidated financial statements.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P></DIR>
</DIR>

<B><P ALIGN="JUSTIFY">4.</B>&#9;<B>Other Comprehensive Income</P>
</B><P ALIGN="JUSTIFY"></P><DIR>
<DIR>

<P ALIGN="JUSTIFY">Comprehensive income at the Company represents net income and other comprehensive income (loss), which consists of the net change in unrealized holding gains or losses on securities available for sale, net of the related tax effect.
Accumulated other comprehensive income represents the net unrealized holding gains or losses on securities available for sale as of the consolidated balance sheet dates, net of the related tax effect.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Comprehensive income for the three month periods ended March 31, 2000 and 1999 was $1,074,790 and $798,943, respectively. The following summarizes the components of other comprehensive loss:</P>
<P ALIGN="JUSTIFY"></P></DIR>
</DIR>
</FONT>
<P ALIGN="CENTER"><CENTER><TABLE CELLSPACING=0 BORDER=0 CELLPADDING=7 WIDTH=546>
<TR><TD WIDTH="75%" VALIGN="TOP">
<FONT FACE="Courier"><P>Unrealized holding losses on securities available for sale during the three months ended March 31, 2000, net of tax (pre-tax loss of $(1,470,759))</FONT></TD>
<TD WIDTH="25%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">&nbsp;</P>
<P ALIGN="RIGHT">&nbsp;</P>
<U><P ALIGN="RIGHT">$ (883,338)</U></FONT></TD>
</TR>
<TR><TD WIDTH="75%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="25%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="75%" VALIGN="TOP">
<FONT FACE="Courier"><P>Unrealized holding losses on securities available for sale during the three months ended March 31, 1999, net of tax (pre-tax loss of $(1,732,757))</FONT></TD>
<TD WIDTH="25%" VALIGN="TOP">
<U><FONT FACE="Courier"><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">&nbsp;</P>
<P ALIGN="RIGHT">&nbsp;</P>
<P ALIGN="RIGHT">$(1,040,694)</U></FONT></TD>
</TR>
</TABLE>
</CENTER></P>

<FONT FACE="Courier"><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P><DIR>
<DIR>
<DIR>
<DIR>

<B><P>Item 2: &#9;Management's Discussion and Analysis of Financial Condition And Results of Operations</P>
</B><P ALIGN="JUSTIFY"></P></DIR>
</DIR>
</DIR>
</DIR>

<P ALIGN="JUSTIFY">The review that follows focuses on the significant factors affecting the financial condition and results of operations of Chemung Financial Corporation during the three month period ended March 31, 2000, with comparisons to the
comparable period in 1999 as applicable. The condensed consolidated interim financial statements and related notes, as well as the 1999 Annual Report to Shareholders', should be read in conjunction with this review. Amounts in prior period condensed
consolidated interim financial statements are reclassified whenever necessary to conform to the current period presentation.</P>
<B><P ALIGN="JUSTIFY">Forward-looking Statements</P>
<P ALIGN="JUSTIFY"></P>
</B><P ALIGN="JUSTIFY">Statements included in this review and in future filings by Chemung Financial Corporation with the Securities and Exchange Commission, in Chemung Financial Corporation press releases, and in oral statements made with the approval of
an authorized executive officer, which are not historical or current facts, are "forward-looking statements" made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, and are subject to certain risks and
uncertainties that could cause actual results to differ materially from historical earnings and those presently anticipated or projected. Chemung Financial Corporation wishes to caution readers not to place undue reliance on any such forward-looking
statements, which speak only as of the date made. The following important factors, among others, in some cases have affected and in the future could affect Chemung Financial Corporation's actual results, and could cause Chemung Financial Corporation's
actual financial performance to differ materially from that expressed in any forward-looking statement: (1) credit risk, (2) interest rate risk, (3) competition, (4) changes in the regulatory environment, and (5) changes in general business and economic
trends. The foregoing list should not be construed as exhaustive, and the company disclaims any obligation to subsequently revise any forward-looking statements to reflect events or circumstances after the date of such statements, or to reflect the
occurrence of anticipated or unanticipated events.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<B><P ALIGN="JUSTIFY">Financial Condition</P>
</B><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Total assets at March 31, 2000 were $668.7 million, an increase of $15.5 million or 2.37% since the beginning of the year. The most significant change has been an increase in earning assets of $19.6 million or 3.28%. This change is
the result of a $22.3 million or 6.20% increase in our loan portfolio, offset somewhat by a $3.0 million or 1.29% decrease in our securities portfolio. Interest bearing deposits, the remaining component of earning assets, increased $273 thousand. Cash
and due from banks decreased $5.0 million. The most significant factor impacting this was a decline in cash balances of $12.6 million from $18.6 million at year end to $6.0 million as of March 31, 2000. The unusually high cash balances maintained at
year end were a function of Year 2000 contingency planning, and with that now successfully behind us, we have been able to invest the cash in interest earning assets.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">The Available for Sale segment of the securities portfolio totaled $223.2 million at March 31, 2000, as compared to $227.4 million at the beginning of the year, a decrease of 1.83%. At amortized cost, decreases in Mortgage Backed
Securities ($1.9 million) and U.S. Treasury Notes ($1.0 million) were somewhat offset by a $400 thousand equity investment in Statewide Zone Capital Corporation, a corporation formed to promote economic activity through loan programs offered to businesses
located within Economic Development Zones throughout New York State. The valuation adjustment for net unrealized losses within the available for sale securities portfolio increased by $1.5 million, reflective of the decline in bond values in the current
interest rate environment. The Held to Maturity segment of the portfolio, consisting primarily of Municipal Obligations, totaled $9.7 million as compared to $8.6 million at the end of 1999, an increase of $1.1 million or 12.95%.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">As noted above, total loans have increased $22.3 million or 6.20% since the beginning of the year. $19.7 million or 88.31% of this increase has occurred in business loans which have grown 15.05% since the beginning of the year. In this
area we have seen significant demand for both term borrowings as well as line of credit advances. Total consumer loans have increased by $2.8 million or 2.10%. The growth in consumer lending has been influenced by a continuing strong volume of indirect
auto loans, as well as seasonal student loan borrowings. The mortgage portfolio has declined by $219 thousand or 0.23% since year end. Local 1-4 family mortgage activity has been slower when compared to last year, and this may be partly a function of
the lower supply of existing homes on the market.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">The growth in earning assets has been funded by a $31.9 million or 6.62% increase in deposits since year end. Demand deposits have increased $6.3 million or 6.42%, while interest bearing deposits have increased $25.6 million or 6.68%.
Since year end, public fund balances have grown by $13.3 million, with personal and non-personal balances increasing $18.6 million. The growth in deposits has not only funded loan growth, but also enabled us to decrease overnight advances from the
Federal Home Loan Bank by $16.5 million.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<B><P ALIGN="JUSTIFY">Results of Operations</P>
</B><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Net earnings for the first quarter totaled $1.958 million, an increase of $118 thousand or 6.44% as compared to first quarter 1999 results. Earnings per share increased from $0.45 during the first quarter of 1999 to $0.48. Net
interest income after provision for loan loss, increased $348 thousand or 5.94%. Total interest and dividend income on earning assets was $11.505 million as compared to $10.555 million a year earlier. This increase is attributable to both a $29.9
million increase in average earning assets and a 20 basis point yield increase on those assets from 7.41% to 7.61%. The increase in average earning assets was generated by a $37.6 million increase in average loans and a $7.0 million increase in average
securities, offset by a $14.7 million decrease in overnight investment of excess funds. Total average funding liabilities have increased $28.6 million or 5.14% when compared to the first quarter of 1999. The interest expense associated with these
liabilities totaled $5.106 million as compared to $4.492 million a year earlier. The cost of funds, including the effect of non-interest bearing funding sources (such as demand deposits), increased 24 basis points from 3.27% to 3.51%. The above yields
and costs resulted in a net interest margin during the first quarter of 2000 of 4.23% as compared to 4.26% during the first quarter of 1999.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Non-interest income increased $209 thousand or 9.92%. Trust and Investment Services income, the largest component of non-interest income at $1.252 million registered an increase of $112 thousand or 9.87%. Other significant increases
were realized in credit card merchant earnings (+$47 thousand), service charges (+$42 thousand), and checkcard interchange income (+$40 thousand). The above increases were somewhat offset by a $49 thousand decrease in non-taxable gains on appreciated
stock donations. This decrease is a function of the timing of these donations.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Operating expenses have increased $360 thousand or 6.77%. Some of the significant factors influencing this include increases in salaries and benefits (+$101 thousand), advertising (+$48 thousand), credit card processing fees (+$35
thousand), federal reserve charges (+$35 thousand), equipment service (+$26 thousand), and data processing fees (+$18 thousand).</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">During the first quarter of 2000, the provision for loan losses totaled $188 thousand, down $13 thousand from the first quarter of 1999. This change is a reflection of management's ongoing evaluation of the risk inherent in the loan
portfolio.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Income tax expense increased $79 thousand from $817 thousand to $896 thousand primarily due to the higher level of pre-tax earnings.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<B><P ALIGN="JUSTIFY">Liquidity and Capital Resources</P>
</B><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">During the first three months of 2000, cash and cash equivalents declined by $4.7 million as compared to a decrease of $3.2 million during the first quarter of 1999. In addition to cash provided by operating activities, other primary
sources of cash in 2000 included an increase in deposits ($31.9 million), proceeds from maturities, sales and principal payments on securities ($3.8 million), and proceeds from the sale of student loans ($290 thousand). During the first quarter of 1999,
primary sources of cash included proceeds from maturities, sales and principal payments on securities ($27.0 million), an increase in deposits ($16.6 million), proceeds from the sale of student loans ($624 thousand), and an increase in securities sold
under agreements to repurchase ($431 thousand).</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Cash generated from the above activities has been used primarily to fund growth in earning assets as well as reduce Federal Home Loan Bank advances. During the first quarter of 2000, the purchase of securities and the funding of loans,
net of repayments, totaled $2.3 million and $22.8 million, respectively. Federal Home Loan Bank advances were reduced by $16.5 million. Other significant uses of cash during the quarter included the payment of cash dividends ($849 thousand), purchases of
premises and equipment ($752 thousand), and the purchase of treasury stock ($121 thousand). During the first quarter of 1999, purchases of securities and funding of loans, net of repayments, totaled $24.2 million and $13.4 million, respectively. Federal
Home Loan Bank advances were reduced by $6.9 million. Other significant uses of cash during the first quarter of 1999 included the payment of cash dividends ($698 thousand), purchases of premises and equipment ($420 thousand), and the purchase of
treasury stock ($123 thousand).</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">As of March 31, 2000, the Company's consolidated leverage ratio was 9.38%. Tier I and Total Risk Adjusted Capital ratios were 14.73% and 15.86%, respectively. All of the above ratios are in excess of the requirements for being
considered "well capitalized" by the FDIC, the Federal Reserve and the New York State Banking Department.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">During the three months ended March 31, 2000, the Company acquired 5,000 treasury shares at an average price of $24.125 per share, and issued from treasury 4,802 shares to fund a distribution related to our directors' deferred
compensation plan. During the quarter, the Company declared a cash dividend of $0.21 per share, a 23.53% increase as compared to the $0.17 per share dividend declared in the first quarter of 1999.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<B><P ALIGN="JUSTIFY">Non Performing Loans and Allowance For Loan Losses</P>
</B><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Based upon loans outstanding, past experience, as well as an ongoing review of the risk inherent in our loan portfolio, the amount expensed to the loan loss provision for the first three months of 2000 totaled $188 thousand as compared
to $200 thousand expensed during the first three months of 1999. At 1.22% of total loans, the allowance for loan losses is viewed by management as reasonable and adequate relative to the inherent risk of loss in the loan portfolio. The allowance for
loan losses to total loans at December 31, 1999 was 1.30%. The 8 basis point decline in the percentage is primarily due to the reduction in non-performing loans. Non-performing loans at March 31, 2000 constituted 0.31% of total loans as compared to
1.39% of total loans at March 31, 1999.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">Changes in the allowance for loan losses for the three month periods ended March 31, 2000 and 1999, are as follows (in thousands of dollars):</P>
<P ALIGN="JUSTIFY"></P></FONT>
<TABLE CELLSPACING=0 BORDER=0 CELLPADDING=7 WIDTH=685>
<TR><TD WIDTH="68%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="30%" VALIGN="TOP" COLSPAN=2>
<B><FONT FACE="Courier"><P ALIGN="RIGHT">Three Months Ended</B></FONT></TD>
<TD WIDTH="3%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="30%" VALIGN="TOP" COLSPAN=2>
<B><FONT FACE="Courier"><P ALIGN="CENTER"> March 31,</B></FONT></TD>
<TD WIDTH="3%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="16%" VALIGN="TOP">
<B><FONT FACE="Courier"><P ALIGN="CENTER"> <U>2000</B></U></FONT></TD>
<TD WIDTH="17%" VALIGN="TOP" COLSPAN=2>
<B><FONT FACE="Courier"><P ALIGN="CENTER"> <U>1999</B></U></FONT></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="16%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT FACE="Courier"><P>Balance at beginning of period</FONT></TD>
<TD WIDTH="16%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="RIGHT">$ 4,665 </FONT></TD>
<TD WIDTH="17%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier"><P ALIGN="RIGHT">$ 4,509 </FONT></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="16%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT FACE="Courier"><P>Charge-offs:</FONT></TD>
<TD WIDTH="16%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT FACE="Courier"><P> Commercial, financial and agricultural</FONT></TD>
<TD WIDTH="16%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="RIGHT">10 </FONT></TD>
<TD WIDTH="17%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier"><P ALIGN="RIGHT">16 </FONT></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT FACE="Courier"><P> Commercial mortgages</FONT></TD>
<TD WIDTH="16%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="RIGHT">0 </FONT></TD>
<TD WIDTH="17%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier"><P ALIGN="RIGHT">0 </FONT></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT FACE="Courier"><P> Residential mortgages</FONT></TD>
<TD WIDTH="16%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="RIGHT">4 </FONT></TD>
<TD WIDTH="17%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier"><P ALIGN="RIGHT">7 </FONT></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT FACE="Courier"><P> Consumer loans</FONT></TD>
<TD WIDTH="16%" VALIGN="TOP">
<U><FONT FACE="Courier"><P ALIGN="RIGHT"> 211 </U></FONT></TD>
<TD WIDTH="17%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier"><P ALIGN="RIGHT"> 183 </U></FONT></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT FACE="Courier"><P>Total</FONT></TD>
<TD WIDTH="16%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="RIGHT">225 </FONT></TD>
<TD WIDTH="17%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier"><P ALIGN="RIGHT">206 </FONT></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="16%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT FACE="Courier"><P>Recoveries:</FONT></TD>
<TD WIDTH="16%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT FACE="Courier"><P> Commercial, financial and agricultural</FONT></TD>
<TD WIDTH="16%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="RIGHT">14 </FONT></TD>
<TD WIDTH="17%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier"><P ALIGN="RIGHT">15 </FONT></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT FACE="Courier"><P> Commercial mortgages</FONT></TD>
<TD WIDTH="16%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="RIGHT">0 </FONT></TD>
<TD WIDTH="17%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier"><P ALIGN="RIGHT">0 </FONT></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT FACE="Courier"><P> Residential mortgages</FONT></TD>
<TD WIDTH="16%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="RIGHT">0 </FONT></TD>
<TD WIDTH="17%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier"><P ALIGN="RIGHT">0 </FONT></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT FACE="Courier"><P> Consumer loans</FONT></TD>
<TD WIDTH="16%" VALIGN="TOP">
<U><FONT FACE="Courier"><P ALIGN="RIGHT"> 24 </U></FONT></TD>
<TD WIDTH="17%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier"><P ALIGN="RIGHT"> 34 </U></FONT></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT FACE="Courier"><P>Total</FONT></TD>
<TD WIDTH="16%" VALIGN="TOP">
<U><FONT FACE="Courier"><P ALIGN="RIGHT"> 38 </U></FONT></TD>
<TD WIDTH="17%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier"><P ALIGN="RIGHT"> 49 </U></FONT></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="16%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="RIGHT">(187)</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP" COLSPAN=2>
<FONT FACE="Courier"><P ALIGN="RIGHT">(157)</FONT></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT FACE="Courier"><P> Net charge-offs</FONT></TD>
<TD WIDTH="16%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT FACE="Courier"><P> Provisions charged to operations</FONT></TD>
<TD WIDTH="16%" VALIGN="TOP">
<U><FONT FACE="Courier"><P ALIGN="RIGHT"> 188 </U></FONT></TD>
<TD WIDTH="17%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier"><P ALIGN="RIGHT"> 200 </U></FONT></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT FACE="Courier"><P>Balance at end of period</FONT></TD>
<TD WIDTH="16%" VALIGN="TOP">
<U><FONT FACE="Courier"><P ALIGN="RIGHT">$ 4,666 </U></FONT></TD>
<TD WIDTH="17%" VALIGN="TOP" COLSPAN=2>
<U><FONT FACE="Courier"><P ALIGN="RIGHT">$ 4,552 </U></FONT></TD>
</TR>
</TABLE>

<FONT FACE="Courier"><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">At March 31, 2000 and December 31, 1999, the following table summarizes the Company's non-accrual and past due loans (in thousands):</P>
<P ALIGN="JUSTIFY"></P></FONT>
<TABLE CELLSPACING=0 BORDER=0 CELLPADDING=7 WIDTH=685>
<TR><TD WIDTH="42%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="30%" VALIGN="TOP">
<B><U><FONT FACE="Courier"><P ALIGN="RIGHT">March 31, 2000</B></U></FONT></TD>
<TD WIDTH="28%" VALIGN="TOP">
<B><U><FONT FACE="Courier"><P ALIGN="RIGHT">December 31, 1999</B></U></FONT></TD>
</TR>
<TR><TD WIDTH="42%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="30%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="28%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="42%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="JUSTIFY">Non-accrual loans</FONT></TD>
<TD WIDTH="30%" VALIGN="TOP">
<U><FONT FACE="Courier"><P ALIGN="RIGHT">$ 638</U></FONT></TD>
<TD WIDTH="28%" VALIGN="TOP">
<U><FONT FACE="Courier"><P ALIGN="RIGHT">$ 640</U></FONT></TD>
</TR>
<TR><TD WIDTH="42%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="30%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="28%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="42%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="30%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="28%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="42%" VALIGN="TOP">
<FONT FACE="Courier"><P>Accruing loans past due 90 days or more</FONT></TD>
<TD WIDTH="30%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="RIGHT"></P>
<U><P ALIGN="RIGHT">$ 113</U></FONT></TD>
<TD WIDTH="28%" VALIGN="TOP">
<U><FONT FACE="Courier"><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">$ 281</U></FONT></TD>
</TR>
</TABLE>

<FONT FACE="Courier"><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">At March 31, 2000, the Company has no commercial loans for which payments are presently current but the borrowers are currently experiencing severe financial difficulties. At March 31, 2000, no loan concentrations to borrowers engaged
in the same or similar industries exceeded 10% of total loans and the Company has no interest-bearing assets other than loans that meet the non-accrual, past due, restructured or potential problem loan criteria.</P>
<B><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">Interest Rate Risk</P>
</B><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">The Company realizes a major source of income by acting as intermediary between borrowers and savers. The differential or spread between interest earned on earning assets, primarily loans and investments, and the interest paid to
depositors and on other interest bearing liabilities is affected by changes to market interest rates. Additionally, because of assumptions made relative to the Company's loan and investment portfolios and to its deposit base, changes in interest rates can
materially affect the projected maturities of these balance sheet classes and thus alter the Company's sensitivity to future changes in interest rates.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">The Bank's Asset/Liability Committee (ALCO) has the strategic responsibility for setting the policy guidelines on acceptable interest rate risk exposure. The ALCO is made up of the chief executive officer, executive vice presidents,
senior lending officer, senior marketing officer, financial officer and others representing key functions. All guidelines set by this committee are board approved. The ALCO's primary focus is on maintaining consistent growth in net interest income with
an acceptable level of volatility as a result of changes to interest rates. As of March 31, 2000 the exposure to changing interest rates is within the guidelines established by the ALCO.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">The Company uses an industry standard earnings simulation model as its primary method to identify and manage its interest rate risk profile. The model is based on projected cash flows using historical data for all financial
instruments. Also incorporated into the model are assumptions of deposit rates and balances in relation to changes in interest rates. These assumptions are based on internal historical data. In recent years core deposits (NOW accounts, Insured Money
Market Accounts and Savings accounts) have not been re-priced with movements of interest rates in the negotiable securities markets. The ALCO recognizes that the assumptions made are inherently uncertain.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Additionally, the ALCO monitors the expected fluctuation of the Company's market value of equity with changes to interest rates. Appropriate risk limits have been established to protect shareholders in the event of adverse changes to
interest rates, and as of March 31, 2000 exposure to changing interest rates is within the risk limits established.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">There have been no material changes in the Company's interest rate risk position since December 31, 1999. Other types of market risk, such as foreign exchange rate risk and commodity price risk do not arise in the normal courses of the
Company's business activities.</P>
<B><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P></B></FONT>
<TABLE CELLSPACING=0 BORDER=0 CELLPADDING=7 WIDTH=685>
<TR><TD WIDTH="16%" VALIGN="TOP">
<B><FONT FACE="Courier"><P ALIGN="JUSTIFY">PART II. </B></FONT></TD>
<TD WIDTH="84%" VALIGN="TOP">
<B><FONT FACE="Courier"><P>OTHER INFORMATION</B></FONT></TD>
</TR>
<TR><TD WIDTH="16%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="84%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="16%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="84%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="16%" VALIGN="TOP">
<B><FONT FACE="Courier"><P ALIGN="JUSTIFY">Item 6.</B></FONT></TD>
<TD WIDTH="84%" VALIGN="TOP">
<B><FONT FACE="Courier"><P>Exhibits and Reports on Form 8-K</B></FONT></TD>
</TR>
<TR><TD WIDTH="16%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="84%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="16%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="RIGHT">(a)</FONT></TD>
<TD WIDTH="84%" VALIGN="TOP">
<FONT FACE="Courier"><P>Applicable Exhibits</FONT></TD>
</TR>
<TR><TD WIDTH="16%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="84%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="16%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="RIGHT">(3.1)</FONT></TD>
<TD WIDTH="84%" VALIGN="TOP">
<FONT FACE="Courier"><P>Certificate of Incorporation is filed as Exhibit 3.1 to Registrant's Registration Statement on Form S-14, Registration No. 2-95743, and is incorporated herein by reference</FONT></TD>
</TR>
<TR><TD WIDTH="16%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="84%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="16%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="84%" VALIGN="TOP">
<FONT FACE="Courier"><P>Certificate of Amendment to the Certificate of Incorporation, file with the Secretary of State of New York on April 1, 1988, is incorporated herein by reference to Exhibit A of the registrant's Form 10-K for the year ended December
31, 1988, File No. 0-13888.</FONT></TD>
</TR>
<TR><TD WIDTH="16%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="84%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="16%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="84%" VALIGN="TOP">
<FONT FACE="Courier"><P>Certificate of Amendment to the Certificate of Incorporation, file with the Secretary of State of New York on May 13, 1998, is incorporated herein by reference to Exhibit A of the registrant's Form 10-Q for the quarter ended March
31, 1999, File No. 0-13888.</FONT></TD>
</TR>
<TR><TD WIDTH="16%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="84%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="16%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="84%" VALIGN="TOP">
<B><FONT FACE="Courier"><P ALIGN="CENTER">EXHIBIT A</B></FONT></TD>
</TR>
<TR><TD WIDTH="16%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="84%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="16%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="RIGHT">(3.2)</FONT></TD>
<TD WIDTH="84%" VALIGN="TOP">
<FONT FACE="Courier"><P>Bylaws of the Registrant, as amended to January 12, 2000.</FONT></TD>
</TR>
<TR><TD WIDTH="16%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="84%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="16%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="RIGHT">(27)</FONT></TD>
<TD WIDTH="84%" VALIGN="TOP">
<FONT FACE="Courier"><P>Financial Data Schedule (EDGAR version only)</FONT></TD>
</TR>
<TR><TD WIDTH="16%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="84%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="16%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="RIGHT">(b)</FONT></TD>
<TD WIDTH="84%" VALIGN="TOP">
<FONT FACE="Courier"><P>Reports on Form 8-K</FONT></TD>
</TR>
<TR><TD WIDTH="16%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="84%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="16%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="84%" VALIGN="TOP">
<FONT FACE="Courier"><P>During the quarter ended March 31, 2000, no reports on Form 8-K or amendments to any previously-filed Form 8-K were filed by the registrant</FONT></TD>
</TR>
</TABLE>

<FONT FACE="Courier"><P ALIGN="CENTER"></P>
<P ALIGN="CENTER">&nbsp;</P>
<P ALIGN="CENTER">&nbsp;</P>
<P ALIGN="CENTER">&nbsp;</P>
<B><P ALIGN="CENTER">FORM 10 - Q</P>
</B><P ALIGN="CENTER">QUARTERLY REPORT</P>
<P ALIGN="CENTER">EXHIBIT INDEX</P>
<P ALIGN="CENTER"></P>
<P ALIGN="CENTER">FOR THE PERIOD ENDING March 31, 2000</P>
<P ALIGN="CENTER"></P>
<P ALIGN="CENTER">CHEMUNG FINANCIAL CORPORATION</P>
<P ALIGN="CENTER">ELMIRA, NEW YORK</P>
<P ALIGN="CENTER"></P>
<P ALIGN="CENTER">&nbsp;</P>
<B><P>EXHIBIT A&#9;&#9;</B>Amended Bylaws Effective January 12, 2000</P>

<P>&#9;&#9;&#9;(A copy of the Bylaws exhibit filed with the</P><DIR>
<DIR>
<DIR>
<DIR>

<P>Securities and Exchange Commission may be obtained</P>
<P>upon request by writing to the registrant's </P>
<P>Corporate Secretary.)</P>

<P>&nbsp;</P>
<P>&nbsp;</P>
<P>&nbsp;</P>
<P>&nbsp;</P>
<P ALIGN="CENTER">&nbsp;</P></DIR>
</DIR>
</DIR>
</DIR>

<U><P ALIGN="CENTER">CHEMUNG FINANCIAL CORPORATION</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="CENTER">BY-LAWS</P>
</U><P ALIGN="JUSTIFY"></P>
<U><P ALIGN="CENTER">Amended to January 12, 2000</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="CENTER">ARTICLE I</P>
</U><P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">Offices</P>
</U><P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 1. Principal Office</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The principal office of the corporation shall be located in the City of Elmira, County of Chemung and State of New York.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 2. Other Offices</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The corporation may also have such other offices, either within or without the State of New York, as the Board of Directors may from time to time determine or the business of the corporation may require.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="CENTER">ARTICLE II</P>
</U><P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">Shareholders</P>
</U><P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 1. Place of Meetings of Shareholders</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;Meetings of shareholders may be held at such place, within or without the State of New York, as may be fixed by the Board of Directors.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 2. Annual Meeting of Shareholders</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;A meeting of shareholders shall be held annually on such date and at such place and time as may be fixed by the Board of Directors for the election of directors and the transaction of other business.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 3. Special Meetings of Shareholders</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Special meetings of the shareholders may be called by the Board of Directors or by the chairman of the board or by the president. Such call shall state the purpose or purposes of the proposed meeting. Business transacted at any
special meeting shall be confined to the purpose or purposes for which the meeting is called.</P>
<U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">SECTION 4. Fixing Record Date</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The Board of Directors may fix, in advance, a date as the record date for purpose of determining the shareholders entitled to notice of or to vote at any meeting of shareholders or any adjournment thereof, or to express consent to
or dissent from any proposal without a meeting, or for the purpose of determining shareholders entitled to receive payment of any dividend or the allotment of any rights, or for the purpose of any other action. Such date shall be not more than sixty (60)
nor less than ten (10) days before the date of such meeting nor more than 60 days before any other action. If no record date is fixed, the record date for the purpose of determining shareholders entitled to notice of or to vote at a meeting of
shareholders shall be at the close of business on the day next preceding the day on which notice is given and for all other purposes shall be at the close of business on the day on which the resolution of the Board of Directors relating thereto is adopted.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 5. Notice of Meetings of Shareholders</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;Written notice of every meeting of shareholders shall state the place, date and hour of the meeting and unless it is the annual meeting, indicate that it is being issued by or at the direction of the person or persons calling the
meeting. Notice of a special meeting shall also state the purpose or purposes for which the meeting is called. If, at any meeting, action is proposed to be taken which would, if taken, entitle shareholders fulfilling the statutory requirements to
receive payment for their shares, the notice of such meeting shall include a statement of that purpose and to that effect. A copy of the notice of any meeting shall be given, personally or by mail, not less than ten (10) nor more than sixty (60) days
before the date of the meeting, to each shareholder entitled to vote at such meeting. If mailed, such notice shall be deemed given when deposited in the United States mail, with postage thereon prepaid, directed to the shareholder at his address as it
appears on the record of shareholders or, if he shall have filed with the secretary of the corporation a written request that notices to him be mailed to some other address, then directed to him at such other address.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 6. Adjourned Meetings</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;When a determination of shareholders entitled to notice of or to vote at any meeting of shareholders has been made, such determination shall apply to any adjournment thereof, unless the Board of Directors fixes a new record date for
the adjourned meeting. When a meeting is adjourned to another time or place, it shall not be necessary to give any notice of the adjourned meeting if the time and place to which the meeting is adjourned are announced at the meeting at which the
adjournment is taken, and at the adjourned meeting the corporation may transact any business that might have been transacted on the original date of the meeting. However, if after the adjournment the Board of Directors fixes a new record date for the
adjourned meeting, a notice of the adjourned meeting shall be given to each shareholder of record on the new record date entitled to notice.</P>
<U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">SECTION 7. List of Shareholders at Meeting</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;A list of shareholders as of the record date, certified by the secretary or by the transfer agent, shall be produced at any meeting of shareholders upon the request thereat or prior thereto of any shareholder. If the right to vote
at any meeting is challenged, the inspectors of election, or person presiding thereat, shall require such list of shareholders to be produced as evidence of the right of the persons challenged to vote at such meetings, and all persons who appear from such
list to be shareholders entitled to vote thereat may vote at such meeting.</P>
<U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">SECTION 8. Quorum of Shareholders</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The holders of a majority of the shares entitled to vote thereat shall constitute a quorum at a meeting of shareholders for the transaction of any business. When a quorum is once present to organize a meeting, it is not broken by
the subsequent withdrawal of any shareholders. Despite the absence of a quorum, the shareholders present may adjourn the meeting.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 9. Proxies</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;Every shareholder entitled to vote at a meeting of shareholders or to express consent or dissent without a meeting may authorize another person or persons to act for him by proxy. Every proxy must be signed by the shareholder or
his attorney-in-fact. No proxy shall be valid after the expiration of eleven (11) months from the date thereof unless otherwise provided in the proxy. Every proxy shall be revocable at the pleasure of the shareholder executing it, except in those cases
where an irrevocable proxy is provided by law.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 10. Inspectors at Shareholders Meetings</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The Board of Directors, in advance of any shareholders meeting, may appoint one or more inspectors to act at the meeting or any adjournment thereof. If inspectors are not so appointed, the person presiding at a shareholders meeting
may, and on the request of any shareholder entitled to vote thereat shall, appoint inspectors. If appointed on the request of one or more shareholders, the holders of a majority of shares present and entitled to vote thereat shall determine the number of
inspectors to be appointed. In case any person appointed fails to appear or act, the vacancy may be filled by appointment made by the Board of Directors in advance of the meeting or at the meeting by the person presiding thereat. Each inspector, before
entering upon the discharge of his duties, shall take and sign an oath faithfully to execute the duties of inspector at such meeting with strict impartiality and according to the best of his ability. The inspectors shall determine the number of shares
outstanding and the voting power of each, the shares represented at the meeting, the existence of a quorum, the validity and effect of proxies, and shall receive votes, ballots or consents, hear and determine all challenges and questions arising in
connection with the right to the result, and do such acts as are proper to conduct the election or vote with fairness to all shareholders. On request of the person presiding at the meeting or any shareholder entitled to vote thereat, the inspectors shall
make a report in writing of any challenge, question or matter determined by them and execute a certificate of any fact found by them. A report or certificate made by them shall be prima facie evidence of the facts stated and of the vote as certified by
them.</P>
<U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">SECTION 11. Qualifications of Voters</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;Every shareholder of record shall be entitled at every meeting of shareholders to one vote for every share standing in his name on the record of shareholders.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;Neither treasury shares nor shares held by another domestic or foreign corporation of any type or kind, if a majority of the shares entitled to vote in the election of directors of such other corporation is held by the corporation,
shall be voted at any meeting or counted in determining the total number of outstanding shares.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;Shares held by an administrator, executor, guardian, conservator, committee, or other fiduciary, except a trustee, may be voted by him, either in person or by proxy, without transfer of such shares into his name. Shares held by a
trustee may be voted by him, either in person or by proxy, only after the shares have been transferred into his name as trustee or into the name of his nominee.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;Shares held by or under the control of a receiver may be voted by him without the transfer thereof into his name if authority so to do is contained in an order of the court by which such received was appointed.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;A shareholder whose shares are pledged shall be entitled to vote such shares until the shares have been transferred into the name of the pledgee, or a nominee of the pledgee.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;Shares standing in the name of another domestic or foreign corporation of any type or kind may be voted by such officer, agent or proxy as the By-Laws of such corporation may provide or, in the absence of such provision, as the
Board of Directors of such corporation may determine.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 12. Vote of Shareholders</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;Directors shall, except as otherwise required by law, be elected by a plurality of the votes cast at a meeting of shareholders by the holders of shares entitled to vote in the election. Any other corporate action by vote of the
shareholders shall, except as otherwise required by law, these By-Laws or the certificate of incorporation, be authorized by a majority of the votes cast at a meeting of shareholders by the holders of shares entitled to vote thereon.</P>
<U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">SECTION 13. Conduct of Shareholders' Meetings</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The Officer presiding over the shareholders' meeting may establish such rules and regulations for the conduct of the meeting as the presiding Officer may deem to be reasonably necessary or desirable for the orderly and expeditious
conduct of the meeting.</P>
<U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">SECTION 14. Shareholder Proposals</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;No shareholder shall be entitled to submit a proposal to a meeting of shareholders unless at the time of submitting the proposal, the shareholder shall be a record or beneficial owner of at least 1% or $1,000 in market value of
shares entitled to be voted at the meeting, and shall have held such shares for at least one year and shall continue to own such shares through the date on which the meeting is held. A shareholder meeting the above requirements shall deliver to the
secretary of the corporation not later than 120 days prior to the date on which the corporation's proxy statement was mailed to stockholders in connection with the previous year's annual meeting, the text of any proposal which he intends to propose at an
annual meeting of shareholders and a notice of the intention of the shareholder to present such proposal at the meeting. A proposal to be presented at any meeting of shareholders other than an annual meeting shall be delivered to the secretary a
reasonable time before the mailing of the corporation's proxy material.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="CENTER">ARTICLE III</P>
</U><P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">Directors</P>
</U><P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 1. Board of Directors</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">The business of the corporation shall be managed under the direction of its Board of Directors.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 2. Qualifications of Directors</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;Each director shall be at least 18 years of age and shall automatically cease to be a director on the last day of the month during which he or she attains the age of seventy-two (72) years. Each non-employee director shall directly
own within one year following election to the Board of Directors, and at any time thereafter, at least 500 shares of capital stock of the corporation.</P>
<U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">SECTION 3. Number of Directors</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The number of directors constituting the entire Board shall be fifteen (15). This number may be increased or decreased from time to time by amendment of these By-Laws, provided, however, that the number may not be decreased to less
than three (3). No decrease in the number of directors shall shorten the term of any incumbent director.</P>
<U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">SECTION 4. Election and Term of Directors</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The directors shall be classified by the Board of Directors with respect to the time for which they severally hold office, into three classes, as nearly equal in number for a term of one (1) year, the second class shall be
originally elected for a term of two (2) years, and the third class shall be originally elected for a term of three (3) years, with the directors of each class to hold office until their successors are elected and qualified. Newly created directorships
resulting from an increase in the number of directors shall be classified by the Board of Directors when the directorship is created. At each annual meeting of the stockholders of the corporation, the successors of the class of directors whose terms
expire at that meeting shall be elected to hold office for a term expiring at the annual meeting of stockholders held in the third year following the year of their election or until their successors are elected and have qualified.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 5. Nominations for Directors</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;Nominations of candidates for election as directors of the corporation at any meeting of stockholders called for the election of directors may be made by the Board of Directors or by any stockholder entitled to vote at such meeting.
Nominations made by the Board of Directors shall be made at a meeting of the Board of Directors, or by written consent of directors in lieu of a meeting, not later than 60 days prior to the date of any meeting of stockholders called for the election of
directors. The secretary of the corporation shall request that each such proposed nominee provide the corporation with such information concerning himself as is required, under the rules of the Securities and Exchange Commission, to be included in the
corporation's proxy statement soliciting proxies for his election as a director. Any stockholder who intends to make a nomination at any annual meeting of stockholders shall deliver to the secretary of the corporation not later than 120 days prior to the
date on which the corporation's proxy statement was mailed to stockholders in connection with the previous year's annual meeting, or if such nomination is to be made at a meeting of shareholders other than an annual meeting, a reasonable time before the
mailing of the corporation's proxy material, a notice setting forth (i) the name, age, business address and residence address of each nominee proposed in such notice, (ii) the principal occupation or employment of each such nominee, (iii) the number of
shares of capital stock of the corporation which are owned of record and beneficially by each such nominee and (iv) such other information concerning each such nominee as would be required, under the rules of the Securities and Exchange Commission, in a
proxy statement soliciting proxies for the election of such nominees. Such notice shall include a signed consent of such nominee to serve as a director of the corporation, if elected. In the event that a person is validly designated as a nominee in
accordance with the provisions of this section and shall thereafter become unable or unwilling to stand for election to the Board of Directors, the Board of Directors or the stockholder who proposed such nominee, as the case may be, may designate a
substitute nominee. If the secretary of the meeting of stockholders called for the election of directors determines that a nomination was not made in accordance with the foregoing procedures, such nomination shall be void.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 6. Newly Created Directorships and Vacancies</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;Newly created directorships resulting from an increase in the number of directors and vacancies occurring in the Board of Directors for any reason may be filled by vote of a majority of the directors then in office, although less
than a quorum exists. A director elected to fill a newly created directorship or a vacancy, shall be elected to hold office until the next meeting of shareholders at which the election of directors is in the regular order of business, and until his
successor has been elected and qualified.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 7. Removal of Directors</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;Any director, an entire class of directors or the entire Board of Directors may be removed from office, with or without cause, only by the affirmative vote of the holders of at least 75% of the outstanding shares of stock of the
corporation entitled to vote generally in the election of directors, voting together as a single class.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 8. Quorum of Directors</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;One-third (1/3) of the entire Board of Directors or seven directors, whichever number is greater, shall constitute a quorum for the transaction of business or of any specified item of business.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 9. Action by the Board of Directors</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The vote of the majority of the directors present at a meeting of the Board of Directors at the time of the vote, if a quorum is present at such time, shall, except as otherwise provided by law, these By-Laws or the certificate of
incorporation, be the act of the Board of Directors.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 10. Written Consent of Directors Without A Meeting</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;Any action required or permitted to be taken by the Board of Directors or a committee thereof may be taken without a meeting if all members of the Board or the committee consent in writing to the adoption of a resolution authorizing
the action. The resolution and the written consents thereto by the members of the board or committee shall be filed with the minutes of the proceedings of the Board or committee.</P>
<U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">SECTION 11. Place and Time of Meetings of Board of Directors</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;Meetings of the Board of Directors, regular or special, may be held at any place, within or without the State of New York and at any time, fixed by the Board of Directors or by the person or persons calling the meeting. Such
meetings may be held by means of a conference telephone or similar communications equipment allowing all persons participating in the meeting to hear each other at the same time.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 12. Notice of Meetings of the Board of Directors</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;Regular meetings of the Board of Directors may be held without notice if the time and place of such meetings are fixed by the Board of Directors. Special meetings of the Board of Directors shall be held upon notice to the directors
and may be called by the chairman of the board, the president, the executive vice president, or any two directors. The notice shall be given personally including by telephone or mail, telegram, cable or other public instrumentality. If given personally
or by telephone, such notice shall be given not less than 48 hours before the meeting to each director. If given by mail, cable, telegram or other public instrumentality, such notice shall be given not less than five (5) days before the date of the
meeting, to each director. Such notice shall be deemed given, if mailed, when deposited in the United States mail, with postage thereon prepaid or, if telegraphed, cabled or sent by other public instrumentality, when given to the telegraph company, cable
company, or other public instrumentality, directed to the director at his business address or, if he shall have filed with the secretary of the corporation, a written request that notices to him be mailed or telegraphed, cabled or sent to some other
address, then directed to him at such other address. The notice need not specify the purpose of any regular or special meeting of the Board of Directors.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 13. Interested Directors</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;No contract or other transaction between a corporation and one or more of its directors, or between a corporation and any other corporation, firm, association or other entity in which one or more of its directors, or officers, are
directors or have a substantial financial interest, shall be either void or voidable for this reason alone or by reason alone that such director or directors are present at the meeting of the Board, or of a committee thereof, which approves such contract
or transaction or that his or their votes are counted for such purpose:</P>
<P ALIGN="JUSTIFY"></P>
<OL>

<OL>

<P ALIGN="JUSTIFY"><LI>If the material facts as to such director's interest in such contract or transaction and as to any such common directorship, officership or financial interest are disclosed in good faith or known to the Board or committee, and the
Board or committee approves such contract or transaction by a vote sufficient for such purpose without counting the vote of such interested director or, if the votes of the disinterested directors are insufficient to constitute an act of the Board as
defined in Section 9 of this Article, by unanimous vote of the disinterested directors; or</LI></P>
<P ALIGN="JUSTIFY"><LI>If the material facts as to such director's interest in such contract or transaction and as to any such common directorship, officership or financial interest are disclosed in good faith or known to the shareholders entitled to vote
thereon, and such contract or transaction is approved by vote of such shareholders; or</LI></P>
<P ALIGN="JUSTIFY"><LI>If the contract or transaction is affirmatively established by the party or parties thereto to be fair and reasonable as to the corporation at the time it was approved by the Board, a committee thereof, or the shareholders.</LI></P>
</OL>
</OL>

<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;Common or interested directors may be counted in determining the presence of a quorum at a meeting of the Board or a committee thereof which approves such contract or transaction.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The Board of Directors shall have authority to fix the compensation of directors for services in any capacity.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;A loan shall not be made by the corporation to any director unless it is authorized by vote of the shareholders. For this purpose, the shares of the director who would be the borrower shall not be shares entitled to vote.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 14. Reimbursement and Compensation of Directors</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The directors may be paid their expenses of attendance at each meeting of the Board of Directors and may be paid a fixed sum for attendance at each meeting of the Board of Directors or a stated salary as director. No such payment
shall preclude any director from serving the corporation in any other capacity and receiving compensation therefor. Members of the executive committee or other committees may be allowed similar reimbursement and compensation for their services as such.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 15. Executive Committee and Other Committees</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The Board of Directors by resolution adopted by a majority of the entire Board, may designate from among its members an executive committee and other committees, each consisting of three or more directors, and each of which shall
have and may exercise such powers as shall be conferred or authorized by the resolution appointing it, except that no such committee shall have authority as to the following matters:</P>
<P ALIGN="JUSTIFY"></P>
<OL>

<OL>

<P ALIGN="JUSTIFY"><LI>The submission to shareholders of any action that needs shareholders' approval;</LI></P>
<P ALIGN="JUSTIFY"><LI>The filling of vacancies in the Board of Directors or in any committee:</LI></P>
<P ALIGN="JUSTIFY"><LI>The fixing of compensation of the directors for serving on the Board of Directors or on any committee;</LI></P>
<P ALIGN="JUSTIFY"><LI>The amendment or repeal of the By-Laws or the adoption of new By-Laws;</LI></P>
<P ALIGN="JUSTIFY"><LI>The amendment or repeal or any resolution of the Board of Directors.</LI></P></OL>
</OL>

<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;Each such committee shall serve at the pleasure of the Board. The Board of Directors shall have the power at any time to fill vacancies in, to change the size or membership of, and to discharge any such committee.</P>
<P ALIGN="JUSTIFY">&#9;A majority of any such committee may determine its action and may fix the time and place of its meetings, unless provided otherwise by the Board of Directors. Each such committee shall keep a written record of its acts and
proceedings and shall submit such record to the Board of Directors at each regular meeting thereof and at such other times as requested by the Board of Directors. Failure to submit such record, or failure of the Board to approve any action indicated
therein will not, however, invalidate such action to the extent it has been carried out by the corporation prior to the time the record of such action was, or should have been, submitted to the Board of Directors as herein provided.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="CENTER">ARTICLE IV</P>
</U><P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">Officers</P>
</U><P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 1. Number</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The Board of Directors may elect a chairman of the board who shall be a member of the Board of Directors and shall elect a president, one or more vice presidents, a secretary and a treasurer, who need not be members of the Board of
Directors and such other officers and assistant officers who need not be members of the Board of Directors as the Board of Directors may from time to time deem proper. Any two or more offices may be held by the same person, except the offices of
president and secretary.</P>
<U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">SECTION 2. Election and Term of Office</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The officers of the corporation to be elected or appointed by the Board of Directors shall be elected or appointed annually by the Board of Directors at the first meeting of the Board of Directors held after each annual meeting of
the shareholders. Subject to the provisions of Section 3 of this Article, each officer shall hold office until the first meeting of the Board of Directors following the next annual meeting of shareholders and until his successor has been elected or
appointed and qualified.</P>
<U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">SECTION 3. Removal</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;Any officer or agent elected or appointed by the Board of Directors may be removed by the Board of Directors with or without cause, but such removal shall be without prejudice to the contract rights, if any, of the person so
removed. The election or appointment of an officer shall not of itself create contract rights.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 4. New Offices and Vacancies</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;Newly created offices and vacancy in any office because of death, resignation, removal, disqualification or otherwise, may be filled from time to time by the Board of Directors for the unexpired portion of the term.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 5. Chief Executive Officer</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The Board of Directors shall appoint either the chairman of the board, if any, or the president the chief executive officer of the corporation ("the CEO") who, subject to the control of the Board of Directors, shall direct and
control all the business and affairs of the corporation.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 6. Chairman of the Board</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The chairman of the board, if any, and if so designated by the Board of Directors, shall be the chief executive officer of the corporation and, subject to the control of the Board of Directors, shall in general perform all duties
incident to the office of chief executive officer. He shall, when present, preside at all meetings of the shareholders and of the Board of Directors. He may sign, with the secretary or any other proper officer of the corporation thereunto authorized by
the Board of Directors, certificates representing shares of the corporation, any deeds, mortgages, bonds, contracts or other instruments which the Board of Directors has authorized to be executed, except in cases where the signing and execution thereof
shall be expressly delegated by the Board of Directors or by these By-Laws to some other officer or agent of the corporation, or shall be required by law to be otherwise signed or executed; and shall perform such other duties as may be prescribed by the
Board of Directors from time to time.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 7. President</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The president shall be the chief operating officer of the corporation and, subject to the control of the Board of Directors and the chairman of the board (if he is the CEO), shall direct the conduct and operation of the business and
properties of the corporation. If so designated by the Board of Directors, he shall also be the chief executive officer of the corporation and shall perform all duties incident to that office. He shall, in the absence of the chairman of the board,
preside at all meetings of the shareholders and of the Board of Directors. He may sign, with the secretary or any other proper officer of the corporation thereunto authorized by the Board of Directors, certificates representing shares of the corporation,
any deeds, mortgages, bonds, contracts or other instruments which the Board of Directors has authorized to be executed, except in cases where the signing and execution thereof shall be expressly delegated by the Board of Directors or by these By-Laws to
some other officer or agent of the corporation, or shall be required by law to be otherwise signed or executed; and shall perform such other duties as may be prescribed by the Board of Directors from time to time.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 8. Vice President</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;In the absence of the chairman of the board and the president or in the event of their death or inability to act, the executive vice president (or in the event of the death or inability to act of the executive vice president, the
vice president designated by the Board of Directors, if any, or if none, the vice president having the greatest seniority) shall perform the duties of the chairman of the board and the president, and when so acting shall have the authority of and be
subject to all the restrictions upon the chairman of the board and the president. Any vice president may sign, with the secretary or any other proper officer of the corporation thereunto authorized by the Board of Directors, certificates representing
shares of the corporation; and shall perform such other duties as from time to time may be assigned to him by the chairman of the board (if he is the CEO) or by the president or by the Board of Directors.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 9. Secretary</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The secretary shall: 1) keep the minutes of the proceedings of its shareholders, Board of Directors and executive committee and other committees, if any; in one or more books provided for that purpose; 2) see that all notices are
duly given in accordance with the provisions of these By-Laws or as required by law; 3) be custodian of the corporate records and of the seal of the corporation and see that the seal of the corporation is affixed to all documents and execution of which on
behalf of the corporation under its seal is duly authorized; 4) file each written request by a shareholder that notices to him be mailed to some address other than this address as it appears on the record of shareholders; 5) sign with the chairman of the
board or the president or a vice president certificates representing shares of the corporation, the issuance of which shall have been authorized by resolution of the Board of Directors; 6) have general charge of the record of shareholders of the
corporation; and 7) in general perform all duties incident to the office of secretary and such other duties as from time to time may be assigned to him by the chairman of the board (if he is the CEO) or by the president or by the Board of Directors.</P>
<U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">SECTION 10. Treasurer</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;If required by the Board of Directors, the treasurer shall give a bond for the faithful discharge of his duties in such sum and with such surety or sureties as the Board of Directors shall determine. He shall: 1) have charge and
custody of and be responsible for all funds and securities of the corporation, receive and give receipts for moneys due and payable to the corporation from any source whatsoever, and deposit all such moneys in the name of the corporation in such banks,
trust companies or other depositaries as shall be selected in accordance with the provisions of these By-Laws; 2) have charge and custody of and be responsible for the keeping of correct and complete books and records of account of the corporation; sign
with the chairman of the board, or the president or a vice president, certificates representing shares of the corporation, the issuance of which shall have been authorized by resolution of the Board of Directors; and 3) in general perform all of the
duties incident to the office of treasurer and such other duties as from time to time may be assigned to him by the chairman of the board (if he is the CEO) or by the president or by the Board of Directors.</P>
<U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">SECTION 11. Assistant Secretaries and Assistant Treasurers</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The assistant secretaries, when authorized by the Board of Directors, may sign with the chairman of the board or the president or a vice president, certificates representing shares of the corporation, the issuance of which shall
have been authorized by a resolution of the Board of Directors. The assistant treasurers shall, if required by the Board of Directors, give bonds for the faithful discharge of their duties in such sums and with such sureties as the Board of Directors
shall determine. Assistant secretaries and assistant treasurers, in general, shall perform such duties as shall be assigned to them by the secretary or the treasurer, respectively, or by the chairman of the board (if he is the CEO) or the president or
the Board of Directors. In the absence of the secretary or in the event of his death, inability or refusal to act, the assistant secretary (or in the event there be more than one assistant secretary, the assistant secretaries in the order of their
appointment or as determined by the chairman of the board (if he is the CEO) or the president or the Board of Directors), shall perform the duties and exercise the authority of the secretary. In the absence of the treasurer or in the event of his death,
inability or refusal to act, the assistant treasurer, (or in the event there be more than one assistant treasurer, the assistant treasurers in the order of their appointment or as determined by the chairman of the board (if he is the CEO) or the president
or the Board of Directors) shall perform the duties and exercise the authority of the treasurer.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 12. Compensation of Officers</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The compensation of the officers shall be fixed from time to time by the Board of Directors and no officer shall be prevented from receiving such compensation by reason of the fact that he is also a director of the corporation.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="CENTER">ARTICLE V</P>
</U><P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">Contracts, Checks and Deposits</P>
</U><P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 1. Contracts</P>
</U><P ALIGN="JUSTIFY">&#9;The Board of Directors may authorize any officer or officers, agent or agents, to enter into any contract or execute and deliver any instrument in the name of and on behalf of the corporation and such authority may be general or
confined to specific instances.</P>
<U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">SECTION 2. Checks, Drafts, etc.</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;All checks, drafts or other orders for the payment of money, notes or other evidences of indebtedness issued in the name of the corporation, shall be signed by such officer or officers, agent or agents of the corporation and in such
manner as shall from time to time be determined by resolution of the Board of Directors.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 3. Deposits</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;All funds of the corporation not otherwise employed shall be deposited from time to time to the credit of the corporation in such banks, trust companies or other depositaries as the Board of Directors may select.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="CENTER">ARTICLE VI</P>
</U><P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">Certificates Representing Shares, Record of Shareholders, Transfer </U> <U>of Shares</P>
</U><P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 1. Issuance of Shares</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">No shares of any class of the corporation or any obligations or other securities convertible into or carrying options to purchase any such shares of the corporation, or any options or rights to purchase any such shares or securities of
the corporation, shall be issued or sold unless such issuance or sale is approved by the affirmative vote of at least 80% of the entire Board of Directors.</P>
<U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">SECTION 2. Certificates Representing Shares</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The shares of the corporation shall be represented by certificates which shall be in such form as shall be determined by the Board of Directors. All such certificates shall be consecutively numbered or otherwise identified. Such
certificates shall be signed by the chairman of the board or the president or a vice president and the secretary or an assistant secretary or the treasurer or an assistant treasurer, and may, but need not, be sealed with the seal of the corporation or a
facsimile thereof. The signature of the officers upon the certificate may be facsimile if the certificate is countersigned by a transfer agent or an assistant transfer agent, or registered by a registrar other than the corporation itself or its employee.
In case any officer who has signed or whose facsimile signature has been placed upon a certificate shall have ceased to be such officer before such certificate is issued, it may be issued by the corporation with the same effect as if he were such officer
at the date of issue. Each certificate shall state upon the face thereof; 1) that the corporation is formed under the laws of New York; 2) the name of the person or persons to whom issued; 3) the number and class of shares and the par value of each share
represented by such certificate.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 3. Lost, Destroyed or Wrongfully Taken Certificates</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The Board of Directors may direct a new certificate or certificates to be issued in place of any certificate or certificates theretofore issued by the corporation, alleged to have been lost, apparently destroyed or wrongfully taken
upon the making of an affidavit of that fact by the person claiming the certificate to be lost, apparently destroyed or wrongfully taken. When authorizing such issue of a new certificate or certificates, the Board of Directors may, in its discretion and
as a condition precedent to the issuance thereof, require the owner of such lost, apparently destroyed or wrongfully taken certificate or certificates, or his legal representative to advertise the same in such manner as it shall require and/or give the
corporation a bond in such sum and with such surety or sureties as it may direct as indemnity against any claim that may be made against the corporation with respect to the certificates alleged to have been lost, apparently destroyed or wrongfully taken.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 4. Record of Shareholders</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The corporation shall keep at its principal office, or at the office of its transfer agent in the State of New York, a record containing the names and addresses of all shareholders, the number and class of shares held by each and
the dates when they respectively became the owners of record thereof. The corporation shall be protected in treating the persons in whose names shares stand on the record of shareholders as the owners thereof for all purposes.</P>
<U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">SECTION 5. Transfer of Shares</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;Upon surrender to the corporation or the transfer agent of the corporation of a certificate representing shares duly endorsed or accompanied by proper evidence of succession, assignment or authority to transfer, it shall be the duty
of the corporation to issue a new certificate to the person entitled thereto, and cancel the old certificate. Every such transfer of shares shall be entered on the record of shareholders of the corporation.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="CENTER">ARTICLE VII</P>
<P ALIGN="JUSTIFY">Fiscal Year</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The fiscal year of the corporation shall be determined by resolution of the Board of Directors.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="CENTER">ARTICLE VIII</P>
<P ALIGN="JUSTIFY">Dividends</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The Board of Directors may from time to time declare, and the corporation may pay, dividends on its outstanding shares in the manner and upon the terms and conditions provided by law and its certificate of incorporation.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="CENTER">ARTICLE IX</P>
</U><P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">Seal</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The seal of the corporation shall be circular in form and contain the name of the corporation, the year when it was formed, and the words "New York." The corporation may use the seal causing it or a facsimile to be affixed or
impressed or reproduced in any other manner.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="CENTER">ARTICLE X</P>
</U><P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">Waiver of Notice</P>
</U><P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 1. Waiver of Notice to Shareholders</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;Notice of meeting need not be given to any shareholder who signed a waiver of notice, in person or by proxy, whether before or after the meeting. The attendance of any shareholder at a meeting, in person or by proxy, without
protesting prior to the conclusion of the meeting the lack of notice of such meeting, shall constitute a waiver of notice by him.</P>
<U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">SECTION 2. Waiver of Notice to Director</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;Notice of meeting need not be given to any director who signs a waiver of notice whether before or after the meeting, or who attends the meeting without protesting, prior thereto or at the commencement, the lack of notice to him. A
waiver of notice need not specify the purpose of any regular or special meeting of the Board of Directors.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 3. Notice Dispensed with When Delivery Prohibited</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;Whenever communication to any shareholder or any director is unlawful under any statute of the State of New York or of the United States or any regulation, proclamation or order issued under said statutes, the giving of any notice
to such shareholder or such director shall not be required and there shall be no duty to apply for license or other permission to do so.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="CENTER">ARTICLE XI</P>
</U><P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">Indemnification</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;To the fullest extent permitted by law, either directly or by the purchase of insurance or in part directly and in part by the purchase of insurance, the corporation shall indemnify each natural person, or if deceased, his personal
representative made or threatened to be made a party to any action or proceeding civil or criminal, including an appeal therein against the reasonable expenses, attorneys' fees, judgments, fines and amounts paid in settlement if such person is made or
threatened to be made a party by reason of the fact that he or his testator or intestate is or was: 1) an officer, director or employee of the corporation or 2) an officer, director or employee of or served in any capacity in any other corporation,
partnership, joint venture, trust or other enterprise, at the request of this corporation, provided that in the case of a person serving as an employee or in any capacity in any other corporation, that such person was at the time he was so designated to
serve by this corporation, an employee of this corporation, or 3) the occupant of a position or a member of a committee or Board or a person having responsibilities under federal or state law, including but not limited to responsibilities under the
Employee Retirement Income Security Act of 1974, who was appointed to such position or to such committee or Board by the Board of this corporation or by an officer of this corporation or who served in such position or on such committee or Board at the
request or direction of the Board of this corporation or of an officer of this corporation or who assumed such responsibilities at the request or direction of the Board of this corporation or of any officer of this corporation, provided only that such
person acted in good faith for a purpose which he reasonably believed would be in the best interest of the corporation or in the case of service for any other corporation or any partnership, joint venture, trust, employee benefit plan or other enterprise,
not opposed to the best interests of the corporation, and in criminal proceedings had no reasonable cause to believe that his conduct was unlawful.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;The corporation's obligations under this Article shall be reduced by the amount of any insurance which is available to any such person whether such insurance is purchased by the corporation or otherwise. The right of indemnity
created herein shall be personal to the officer, director, employee or other person and their respective legal representatives and in no case shall any insurance carrier be entitled to be subrogated to any rights created herein.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;Nothing contained herein shall obligate the corporation to indemnify any person against any claim arising out of personal injuries, bodily injuries or property damage.</P>
<U><P ALIGN="CENTER"></P>
<P ALIGN="CENTER">ARTICLE XII</P>
</U><P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">Amendment and Repeal</P>
</U><P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 1. Amendment and Repeal by the Shareholders</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;These By-Laws may be amended or repealed by vote of the shareholders entitled to vote generally in the election of directors, provided that notice of meeting states such purpose, and provided further that the provisions of Article
III may be amended or repealed only by the affirmative vote of holders of at least 75% of the outstanding shares of stock of the corporation entitled to vote generally in the election of directors.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SECTION 2. Amendment and Repeal by the Board of Directors</P>
</U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&#9;These By-Laws may also be amended or repealed by a majority of the entire Board of Directors provided that the provisions of Article III may be amended only by the affirmative vote of at least 75% of the entire Board of Directors
and further provided that Section 1 of Article VI may be amended only by the affirmative vote of at least 80% of the entire Board of Directors.</P>
<P ALIGN="CENTER"></P>
<B><U><P ALIGN="CENTER">CHEMUNG FINANCIAL CORPORATION</P>
<P ALIGN="CENTER"></P>
</U><P ALIGN="CENTER">LEGEND FOR BY-LAWS</P>
<P ALIGN="CENTER"></P>
<P ALIGN="CENTER">&nbsp;</P></B></FONT>
<TABLE CELLSPACING=0 BORDER=0 CELLPADDING=7 WIDTH=685>
<TR><TD WIDTH="13%" VALIGN="TOP">
<B><U><FONT FACE="Courier"><P ALIGN="CENTER">DATE</B></U></FONT></TD>
<TD WIDTH="18%" VALIGN="TOP">
<B><U><FONT FACE="Courier"><P ALIGN="CENTER">ARTICLE</B></U></FONT></TD>
<TD WIDTH="22%" VALIGN="TOP">
<B><U><FONT FACE="Courier"><P ALIGN="CENTER">SECTION</B></U></FONT></TD>
<TD WIDTH="46%" VALIGN="TOP">
<B><U><FONT FACE="Courier"><P ALIGN="CENTER">DESCRIPTION</B></U></FONT></TD>
</TR>
<TR><TD WIDTH="13%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="22%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="46%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="13%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="CENTER">4/9/97</FONT></TD>
<TD WIDTH="18%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="CENTER">Article III</FONT></TD>
<TD WIDTH="22%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="CENTER">Section 3</FONT></TD>
<TD WIDTH="46%" VALIGN="TOP">
<FONT FACE="Courier"><P>Number of Directors changed from twenty to nineteen.</FONT></TD>
</TR>
<TR><TD WIDTH="13%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="22%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="46%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="13%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="CENTER">4/8/98</FONT></TD>
<TD WIDTH="18%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="CENTER">Article II</FONT></TD>
<TD WIDTH="22%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="CENTER">Sections 4 &amp; 5</FONT></TD>
<TD WIDTH="46%" VALIGN="TOP">
<FONT FACE="Courier"><P>Change fifty (50) days to sixty (60) days.</FONT></TD>
</TR>
<TR><TD WIDTH="13%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="22%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="46%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="13%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="CENTER">12/8/98</FONT></TD>
<TD WIDTH="18%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="CENTER">Article III</FONT></TD>
<TD WIDTH="22%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="CENTER">Section 3</FONT></TD>
<TD WIDTH="46%" VALIGN="TOP">
<FONT FACE="Courier"><P>Number of Directors changed from nineteen to seventeen.</FONT></TD>
</TR>
<TR><TD WIDTH="13%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="CENTER">8/11/99</FONT></TD>
<TD WIDTH="18%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="CENTER">Article III</FONT></TD>
<TD WIDTH="22%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="CENTER">Section 3</FONT></TD>
<TD WIDTH="46%" VALIGN="TOP">
<FONT FACE="Courier"><P>Number of Directors changed from seventeen to sixteen.</FONT></TD>
</TR>
<TR><TD WIDTH="13%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="CENTER">10/13/99</FONT></TD>
<TD WIDTH="18%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="CENTER">Article III</FONT></TD>
<TD WIDTH="22%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="CENTER">Section 3</FONT></TD>
<TD WIDTH="46%" VALIGN="TOP">
<FONT FACE="Courier"><P>Number of Directors changed from sixteen to fifteen.</FONT></TD>
</TR>
<TR><TD WIDTH="13%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="18%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="22%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="46%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="13%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="CENTER">1/12/00</FONT></TD>
<TD WIDTH="18%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="CENTER">Article III</FONT></TD>
<TD WIDTH="22%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="CENTER">Section 2</FONT></TD>
<TD WIDTH="46%" VALIGN="TOP">
<FONT FACE="Courier"><P>Required ownership of 500 shares capital stock for non-employee directors.</FONT></TD>
</TR>
</TABLE>

<FONT FACE="Courier"><P ALIGN="CENTER"></P>
<P ALIGN="CENTER">&nbsp;</P>
<P ALIGN="CENTER">&nbsp;</P>
<P ALIGN="CENTER">&nbsp;</P>
<P ALIGN="CENTER">&nbsp;</P>
<P ALIGN="CENTER">&nbsp;</P>
<P ALIGN="CENTER">&nbsp;</P>
<B><P ALIGN="CENTER">SIGNATURES</P>
</B><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned there to duly authorized.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="CENTER">CHEMUNG FINANCIAL CORPORATION</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P></FONT>
<TABLE CELLSPACING=0 BORDER=0 CELLPADDING=7 WIDTH=685>
<TR><TD WIDTH="12%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="45%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="44%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="JUSTIFY">DATE: </FONT></TD>
<TD WIDTH="45%" VALIGN="TOP">
<U><FONT FACE="Courier"><P ALIGN="JUSTIFY">May 9, 2000</U></FONT></TD>
<TD WIDTH="44%" VALIGN="TOP">
<U><FONT FACE="Courier"><P ALIGN="JUSTIFY">/s/ Jan P. Updegraff</U></FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="45%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="44%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="JUSTIFY">Jan P. Updegraff</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="45%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="44%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="JUSTIFY">President &amp; CEO</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="45%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="44%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="45%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="44%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="JUSTIFY">DATE: </FONT></TD>
<TD WIDTH="45%" VALIGN="TOP">
<U><FONT FACE="Courier"><P ALIGN="JUSTIFY">May 9 ,2000</U></FONT></TD>
<TD WIDTH="44%" VALIGN="TOP">
<U><FONT FACE="Courier"><P ALIGN="JUSTIFY"> /s/ John R. Battersby Jr.</U></FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="45%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="44%" VALIGN="TOP">
<FONT FACE="Courier"><P ALIGN="JUSTIFY">John R. Battersby Jr.</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="45%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="44%" VALIGN="TOP">
<FONT FACE="Courier New"><P ALIGN="JUSTIFY">Treasurer &amp; CFO</FONT></TD>
</TR>
</TABLE>

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