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COMMUNITY FINANCIAL SYSTEM, INC. Director's Dealing 2012

Jan 26, 2012

31347_dirs_2012-01-26_74268be0-ab72-450f-a9aa-d3e4ebb86417.zip

Director's Dealing

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SEC Form 4 — Statement of Changes in Beneficial Ownership

Issuer: COMMUNITY BANK SYSTEM INC (CBU)
CIK: 0000723188
Period of Report: 2012-01-10

Reporting Person: Mucenski Edward S. (Director)

Derivative Transactions

Date Security Exercise Price Code Shares A/D Expiration Underlying Ownership
2012-01-10 Phantom Stock (Deferred Compensation) $ J 31.4274 Acquired Common Stock (31.4274) Direct

Holdings (Non-Derivative)

Security Shares Ownership
Common Stock 3281.3423 Direct
Common Stock 4892.6611 Indirect

Footnotes

F1: Includes 29.7523 shares acquired on January 10, 2012 pursuant to the Community Bank System, Inc. Dividend Reinvestment Plan.

F2: Includes 44.3547 shares acquired on January 10, 2012 pursuant to the Community Bank System, Inc. Dividend Reinvestment Plan.

F3: Phantom stock units were acquired on January 10, 2012 under the Deferred Compensation Plan's dividend reinvestment feature. Each unit of phantom stock is the economic equivalent of one share of Community Bank System, Inc. common stock. The units of phantom stock relating to the Deferred Compensation Plan will be settled in Community Bank System, Inc. common stock at future dates selected by the reporting person.