COMMUNITY FINANCIAL SYSTEM, INC. — Director's Dealing 2012

Aug 24, 2012

SEC Form 4 — Statement of Changes in Beneficial Ownership

Issuer: COMMUNITY BANK SYSTEM INC (CBU)
CIK: 0000723188
Period of Report: 2012-07-24

Reporting Person: Parente John (Director)

Non-Derivative Transactions

Date	Security	Code	Shares	Price	A/D	Holdings After	Ownership
2012-07-24	Common Stock	G	4000	—	Acquired	52033	Direct
2012-07-26	Common Stock	G	1250	—	Acquired	53283	Direct

Holdings (Non-Derivative)

Security	Shares	Ownership
Common Stock	18000	Indirect
Common Stock	19000	Indirect
Common Stock	15500	Indirect

Holdings (Derivative)

Security	Exercise Price	Expiration	Underlying	Shares	Ownership
Phantom Stock (Deferred Compensation)	$		Common Stock (2214.9243)	2214.9243	Direct

Footnotes

F1: 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.

F2: Includes 20.9336 units of phantom stock acquired on July 10, 2012 under the Deferred Compensation Plan's dividend reinvestment feature.