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paBanker Magazine 2021 Q1

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2020 HIGHLIGHTS QUARTER 1 VOLUME 23 1 g n i t a r b CelINeTERNATIONAL WOMEN S DAY SpotlighMtEon N LEADERS OUR 2 WO ST125TH FIR PA S ANNIVERSARY delphia Representative Joanna McClinton D Phila House Minority Leader R Westmoreland Senate Majority Leader Senator Kim Ward

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A unique health care alternative for financial institutions and affiliate members of the PA Bankers Association The Bank Health Care Consortium of PA BHCCPA offers employee benefits that provide you with strategic tools your organization can utilize to develop retain and reward those who serve your institution and customers Benefits of Self Funding with Bank Health Care Consortium of PA Bank Health Care Stand Alone Fully Insured Consortium Self Funding Funding Guaranteed annual premium for the plan year Lower carrier administration cost Only pay your actual claims plus fixed expenses Greater flexibility in plan design claim eligibility Eliminate PPACA premium taxes and federal benefit mandates Stop loss renewals based on actual projections not loss ratio No lasering at renewal or late discovery of submission claims Member manages all claim fund surpluses Enables mid market employers 30 employees the safest method to self fund their benefit plan 43 Groups 6 000 Enrolled 93m Total Funding PA Bankers Services Corporation Wayne Whipple VP Business Development 717 255 6925 wwhipple pabankers com L R Webber Brad Webber Marketing Manager 814 317 4186 bwebber lrwebber com The Benecon Group Claudia Burchstead Senior Sales Director 717 723 4624 cburchstead benecon com Now with the combined buying power of dozens of banks we can keep costs relatively stable even when we have experienced a year with higher claims M Theresa Schwartzer Executive Vice President Chief Human Resources Officer Univest Corporation of PA

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thisISSUE BRINGING TIMELY NEWS AND INFORMATION TO THE MEMBERSHIP OF THE PA BANKERS IN EVERY ISSUE 6 Chairman s Insights 8 From the CEO to the CEO 10 Ten on Page Ten 12 Community Corner 26 From Your Peers 30 Government Relations 38 A Look Ahead 42 Vendor Articles FEATURES 12 18 on the cover 2020 18 Highlights of 2020 20 Diversity Equity and Inclusion Survey Results Where Does Our Membership Stand HIGHLIGHTS QUARTER 1 VOLUME 23 1 brating Cele INTERNATIONAL WOMEN S DAY 24 Celebrating Women Leaders in the Industry International Women s Day Spotlight on OUR 125TH 2 WOMEN LEADERS FIRST PA S ANNIVERSARY hia Representative Joanna McClinton D Philadelp House Minority Leader R Westmoreland Senate Majority Leader Senator Kim Ward CELEBRATING INTERNATIONAL WOMEN S DAY PA Bankers Association Quarter 1 2021 3

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Real Services Real Solutions GET A BRIGHT START TO 2021 SAVE TIME AND MONEY WITH A CUSTOMIZED ENERGY SAVING SOLUTION FIT FOR YOUR NEEDS The whole process with APPI Energy was painless Their team was very prompt with getting us quotes and they did 99 of the work which allowed me to do what I m paid to do here at the bank Through their service we saved about 25 on our electricity costs which is refreshing when the cost of everything else is rising When I ve dealt with brokers in the past I always felt like I was being taken advantage of This was not the case with APPI Energy Aaron Klinger Senior Vice President and Chief Operating Officer The Gratz Bank PA Bankers Member Gratz PA To learn more about your FREE energy assessment call 800 520 6685 or visit www appienergy com

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PA Bankers STAFF DIRECTORY magazineSTAFF General Phone Switchboard 717 255 6900 Managing Sara E Hocker Editor President Chief Executive Officer J Duncan Campbell III dcampbell pabankers com 717 255 6916 External Relations Amy L Doyle External Relations Administrative Assistant adoyle pabankers com 717 255 6937 Erin L Kanter Director Advocacy Government Relations ekanter pabankers com 717 255 6910 Daniel J Reisteter Vice President Government Relations dreisteter pabankers com 717 255 6933 Federal Government Relations General Counsel Lisa R Brandt Legal Assistant lbrandt pabankers com 717 255 6936 Louise A Rynd Esq General Counsel lrynd pabankers com 717 255 6935 Finance Operations Jill A Ametrano Registrar and Records Coordinator jillametrano pabankers com 717 255 6927 Michelle L Bosch Receptionist and Administrative Assistant mbosch pabankers com 717 255 6900 Connie A Ferraro Director Information Technology cferraro pabankers com 717 255 6921 Sara E Hocker Director of Marketing Communications shocker pabankers com 717 255 6912 Annette M Moshgat Director Finance amoshgat pabankers com 717 255 6938 Michelle L Staton Senior Vice President Finance Operations mstaton pabankers com 717 255 6923 Courtney M Young Communications Marketing Coordinator cyoung pabankers com 717 255 6915 Member Relations Professional Development PA Bankers Services Corporation Jacqueline A Catalano Vice President Professional Development jcatalano pabankers com 717 255 6939 Tiffani A Chambers Director PA Bankers Services Corporation tchambers pabankers com 717 255 6928 Karen J McDermott Director Member Relations kmcdermott pabankers com 717 255 6914 Linda A Scott Member Relations Administrative Assistant lscott pabankers com 717 255 6903 Cynthia L Wallett Senior Vice President Member Relations and Professional Development and Managing Director PA Bankers Services Corporation cwallett pabankers com 717 255 6913 Wayne R Whipple Vice President Business Development wwhipple pabankers com 717 255 6925 Editorial J Duncan Campbell III Advisors Jacqueline A Catalano Tiffani A Chambers Daniel J Reisteter Louise A Rynd Michelle L Staton Cynthia L Wallett Wayne R Whipple Courtney M Young PA Bankers Services Corporation Board of Directors and Officers Chair Jennifer A Poulsen Secretary M Theresa Fosko Treasurer J Duncan Campbell III Officers Gerard A Champi Trudy K Everhart Scott E Fritz Philip Freeman Thomas Graver Richard L Greslick Timothy G Henry Karl F Krebs David E Raven Tracy E Watkins Dale A Westwood Address Correspondence to paBanker Magazine c o Pennsylvania Bankers Association 3897 N Front St Harrisburg PA 17110 Tel 717 255 6912 Email shocker pabankers com paBanker Magazine is published four times a year by the PA Bankers Services Corporation Services Corporation a subsidiary of the Pennsylvania Bankers Association PA Bankers The Association serves Pennsylvania banks and financial institutions with educational programs member services and represents members on the state and federal level Since 1895 PA Bankers continuously worked to be the premier financial services organization supporting a diversified membership through volunteer participation a knowledgeable staff state of the art technology and a commitment to excellence paBanker Magazine is the official publication of PA Bankers Editorial The opinions expressed in articles by authors other than Association staff and officers are the responsibility of the authors only and not necessarily those of the PA Bankers the Services Corporation or its members All articles unless otherwise notied have been written by paBanker Magazine staff Questions and comments should be addressed to the Managing Editor PA Bankers members may reproduce any non commercial part of this publication with verbal permission from the editor All others must receive written permission from the editor prior to reproduction of any part of this publication Copyright 2003 PA Bankers Services Corporation All Rights Reserved Printed by HAAS Printing Co Sponsored by Marilyn M Wisniewski Director Residential Schools Meeting Operations mwisniewski pabankers com 717 255 6934 PA Bankers Association Quarter 1 2021 5

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chairman sINSIGHTS J BRADLEY SCOVILL President CEO C N Creating Opportunities for Hope M uch has changed since my last column Since then we have finalized the 2020 election results and begun the long process of vaccinating our nation against COVID 19 Earlier this year Joe Biden was sworn in as our nation s 46th President of the United States bringing in new cabinet members and leaders Perhaps most relevant to our national economy and our industry former Federal Reserve Chair Janet Yellen was sworn in as the 78th Treasury secretary and first woman to hold the position no doubt a historic moment for our country Ms Yellen will have the extraordinary task of guiding fiscal policy to support the millions of Americans who have struggled throughout the COVID 19 pandemic while at the same time leading us through the challenges of the current economic environment In addition to President Biden s win the Democratic party gained control of the U S Senate and maintained control of the U S House of Representatives What this means for the banking industry and the communities we serve remains unclear However some questions 6 PA Bankers Association certainly arise Will we be able to get crucial banking legislation passed Will we face greater regulatory scrutiny How will any statutory and regulatory changes affect our ability to serve our customers While the answers to these questions remain unknown what we do know is that our mission to serve our customers and communities remains unchanged To this end the American Bankers Association recently released its Blueprint for Growth for 2021 and beyond The blueprint is essentially an aggregation of priorities presented to Congress and the Administration highlighting the following areas of importance for our industry Supporting a Robust PostPandemic Recovery Forward Looking Efforts to Drive a Healthy Economy Serving All Communities and Promoting Innovation and Consistent Regulation Drilling further into these topics the pabankers com

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blueprint identifies policy issues and areas of focus in connection to each of the overarching principles For example Liability protection and PPP small business support among other issues are reflected in the postpandemic recovery category Data privacy and supporting housing markets are two of the items of interest as we look to drive a healthy economy In support of our commitment to serving all communities policy priority examples include diversity equity and inclusion along with modernizing Community Reinvestment Act rules and Ensuring a level playing field with non bank competitors and having the flexibility to innovate for our industry are critical issues under the umbrella of promoting innovation and consistent regulation This association will always focus on serving our members interests When it comes to public policy advocacy we will utilize this Blueprint for Growth as a consistent set of policy principles for our banking industry At the state level while the Democratic party took control of the presidency and Congress Republicans maintained control of both legislative chambers in Harrisburg The pandemic vaccination rollout and election fallout are top priorities for state officials and these issues will be at the forefront of state legislative activity What does all of this mean for us Although the future is unclear one thing is for certain until our nation gets a better handle on its response to the pandemic we can expect to be in a holding pattern And with another round of PPP lending in full swing we can anticipate working around theclock to support our customers small businesses and communities for the foreseeable future But that is not any different than what we do every day As we move through 2021 we will continue to do what we always do We will provide outstanding financial services to our customers and small businesses advocate on behalf of our industry and make donations and support our local communities and organizations C N is proud to support a host of local charitable organizations see our Community Corner acknowledgment on page 16 in support of the Central Pennsylvania Food Bank We are not alone in these efforts PA Bankers is here to offer support to each of us as members From professional development opportunities to ensure that our employees have the skills they need to thrive to opportunities for advocacy by virtually supporting the passage of crucial bills or creating relationships with your elected officials the association provides the resources we need to navigate the pandemic and beyond Although 2020 was an incredibly difficult year for all of us I am proud of the work we accomplished During a global pandemic we held our institutions small towns and communities together This success did not come without its challenges but we persevered and did what we do best created opportunities for hope Because of our industry s hard work small businesses were saved from the threat of closing their doors customers never lost the opportunity to always access their accounts buy their dream homes or pay their child s college tuition and communities had the comfort of knowing that their bank was there to support them during this difficult time in diverse and unique ways I have never been prouder to be a banker 2021 provides a renewed opportunity to engage in this noble work with all of you and I cannot wait to see what we accomplish together PA Bankers Association Quarter 1 2021 7

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from the CEO to the CEO DUNCAN CAMPBELL President CEO PA Bankers Association The Promise of a Better Year A s of this writing we find ourselves three months into a new year a year full of hope and the promise of being together again There is no easy way to say it 2020 was a tremendously difficult year While we as an association and an industry worked diligently to manage our way through this pandemic we are still facing the challenges brought on by COVID 19 Some of our bankers continue to work from home while others are working in their branch every day All of you are ensuring that your customers and communities are supported from the ground level We know this has not been easy and we cannot imagine the amount of work you all have devoted to your customers towns and small businesses From all of us at PA Bankers please know that we hear you we support you and we are proud of you What you have done for your customers and communities over the last year is astounding and we wish to continue to support you in this effort as we navigate the COVID19 pandemic together We look forward to a different year in 2021 as we work our way out of this 8 PA Bankers Association pandemic and are able to reconvene in person Whether in person or virtually we will continue to promote the important work of the banking industry across the commonwealth We are committed to advocating on your behalf in Harrisburg and Washington offering essential training and education programs to you and your employees and providing overall services to each of you as members of the PA Bankers Association In January we delivered our 2020 Advanced School of Banking virtually kicking off our 2021 training cycle Since its inception the Advanced School of Banking has served as a platform for banking professionals to come together to network learn from each other and work to become the future leaders of the industry While the school has produced thousands of graduates using this tried andtrue method this year s program looked slightly different due to the pandemic But that does not mean that it was any less meaningful More than 120 students joined us for this unique experience learning from some of the best instructors in the nation Additionally this virtual school paved the way for a new way of learning for our members Looking ahead into the spring and pabankers com

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summer our members will have the opportunity to safely learn a wide range of topics and skills while enhancing their productivity and serving their customers all from the location that suits them best We have a great schedule of events lined up for the year beginning with several virtual trainings led by Dr Linda Eagle This spring Linda will lead our members in four different seminars aimed at developing the tools necessary to keep yourself and your teams productive and effective while working during the pandemic Additionally the Agricultural Bankers Conference will be held virtually giving participants a look at the latest trends in agricultural banking and insights on the current economy And finally we are going to move our fall golf outings at Saucon Valley and Sunnehanna to the month of May May 25 and 27 respectively While conditions remain difficult to meet in person inside a couple of rounds of socially distanced golf will allow us the opportunity to get together responsibly and share in some banker fellowship More details about all of these events will be available soon You will find two of our flagship events missing from the spring schedule however With the uncertainty around vaccines and travel restrictions we have made the decision to push back the Women in Banking Conference to Sept 26 27 and PA Bankers 2021 Convention to Oct 31 Nov 2 As the association s two biggest events we feel that they would provide the perfect setting for us to celebrate being together again with all of you Additional details are not yet finalized for these two events but we will share them with you as we continue to monitor the pandemic into the summer we thank all women within our industry for the work you do every day To read our International Women s Day spotlight article please turn to page 24 Alongside these two events you can expect our annual fall lineup of events including the Emerging Leaders Conference Leadership Institute Lending Conference Digital Banking Conference Wealth Management and Trust Conference and more To view our current schedule of events please visit the Look Ahead on page 38 In addition to our professional development efforts this year we plan to continue to highlight the good work that our members are doing every day Starting with this edition we plan to spotlight one banker Affiliate Member in the magazine each quarter who is making a difference in their community on their own time Our first spotlight is on Mike McGraw of Mars Bank Mike s efforts are to be commended as they epitomize the selfless spirit that our bankers possess We are happy to share his story with all of you Please flip to page X to read more about Mike Additionally in recognition of International Women s Day we are highlighting six members from our Women in Banking Committee in this edition who strive each day to better their institutions their communities and the industry These women assist in leading the association s Women in Banking initiative and in honor of this day Finally we plan to continue our mission to advocate for our members and the industry this year Last year proved to be successful on the advocacy forefront with the passage of Act 97 of 2020 permanent remote notarization and advancement of legislation that would protect the Banking Fund from transfers to other agency funds or the general fund We hope to build upon these successes this year as we work both at the state and federal levels to support meaningful pro banking policy initiatives Despite the challenges of 2020 our commitment to the membership has never been deeper and I have no doubt we will come out of this experience with renewed strength and resolve As we continue to navigate the current environment I would like to thank you for your support of the Pennsylvania Bankers Association during this very challenging time Thank you for putting in countless hours to assist your customers through the PPP process showing up to your institution each day to guarantee that all Pennsylvanians have access to their assets and truly embodying what it means to be a banker I am proud of what our PA banking industry has done together in such unique ways to sustain our commonwealth s economy Together we are making a difference PA Bankers Association Quarter 1 2021 9

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tenONpageTEN 10 on 10 With Our PA Bankers Services Corporation Board Chair We asked our PA Bankers Services Corporation Services Corp Board chair Jennifer Poulsen senior vice president chief operating officer for The Farmers National Bank of Emlenton to answer 10 questions about her institution s involvement with the Services Corp See her answers below 1 As the current Services Corp Board chair can you share the history of your professional involvement with the PA Bankers Association I have been involved with the PA Bankers Association over my career in various ways PA Bankers Association Board of Directors Group 1 Representative Group 1 Officer and Chair Women in Banking Advisory Committee Member Advanced School of Banking Panelist Nominating Committee Group 1 Representative and Leadership Institute Graduate 3 What are the areas of focus for your team in a post COVID 19 environment 2 How has your involvement with the Services Corp Board impacted your role as SVP COO at The Farmers National Bank of Emlenton My involvement with the Services Corp Board has shown me the value of our vendor relationships The value returned to our bank with multiple select vendors is immeasurable These vendors are more business partners than simply vendors and they rise to the occasion regularly to go above and beyond what one would normally expect from a vendor relationship The level of due diligence performed on these Select Vendors by the Services Corp Board also provides peace of mind to the internal departments that engage these service providers 10 PA Bankers Association Our bank is always looking to discover ways to be more efficient effective and provide the best products and services to our customers At the same time provide our employees with an engaging and rewarding career With the pandemic rearing its ugly head in 2020 we were forced to look at these challenges at a whole new level We are working with The Fulcrum Group International Inc Check Printing Contract Negotiation Services to reevaluate our check processing vendor relationship so we can enhance service offerings at a reduced operating cost We have also engaged Cornerstone Advisors Core Software Contract Negotiations and Vendor Management Services to assist in evaluating our MasterCard principal membership options to enhanced income levels These Select Vendor relationships have delivered meaningful savings to our doorstep and I am happy to discuss our experiences with any of my banking colleagues 4 Can you provide an example of how The Farmers National Bank of Emlenton enhanced non interest income In late 2019 Farmers joined Investors Title Bankers Settlement Services of SWPA Multi Bank Owned Title Agency Program which enables us to provide pabankers com

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a title closing service to customers while having the opportunity to maintain our attorney relationships This arrangement has been mutually beneficial and allows us the ability to improve our bank s services and offers an impressive return on investment ROI with long term growth potential sessions with industry news market analysis and general insight and guidance This process sets the stage for active engagement and relevant discussions regarding where we are and where we want to be as a trusted financial resource for our customers a contributor of both time and talent throughout the communities that we serve and an employer that offers a professional development path for the next generation of community banking professionals 5 Compliance is and will continue to be front andcenter for our industry What initiatives has the bank taken to enhance its compliance posture With the ever changing regulatory environment our relationship with Ncontracts Enterprise risk management software has been very beneficial to the Bank Their suite of products allows us to stay up to date with all current regulatory discussions and changes in a centralized portal customized to our institution This platform also allows us to closely manage our vendors and contracts With integration to another select vendor Bankers Alliance offers a family of services that includes Compliance Alliance a subscription based regulatory and consumer compliance advisory service with tools hotlines and policy document reviews With Compliance Alliance we are covered This automation and complete compliance management system has allowed us the opportunity to use a cost effective plug and play resource instead of adding to our workforce 6 Will you share the bank s experience with reference to your participation in the Bank Health Care Consortium of PA Farmers has been a member of the Bank Health Care Consortium PA since 2012 and has experienced the benefits of a consortium model firsthand The ability to share risk with a larger group provides excellent cost benefits to the Bank and enhanced customized healthcare options to our employees The program allows the collaboration to provide every consortium member with leverage and benefits of economies of scale plan design flexibility and significant cost control strategies for their group health plan As the Services Corp chair I am proud to recognize that 91 million in surplus premiums have been return to the 43 bank participants since 2012 7 What additional Select Vendors have assisted the bank in planning for the future Annually our management team utilizes The Kafafian Group Bank Performance Process Improvement to kick off our strategic planning 8 What recommendations would you offer to your fellow bankers regarding the Select Vendor suite of services offered by the Services Corp My recommendation would be to simply listen to what they have to say Schedule some time to evaluate their services and entertain a meeting to confirm if the services would be a good fit for your institution Many of the products offered through the Services Corp are services that just about every bank needs in today s changing financial landscape If these Select Vendors were approved by the Services Corp then our member banks should include them into the vendor consideration review process 9 What products or services do you predict will be of significant importance to the banking industry in 2021 and beyond Compliance solutions and digital offerings Compliance and daily changes in the banking world remote work posture create challenges for us all We have all witnessed customers migrating to new forms of transactional banking due to the pandemic Many would say that the adoption rate for these products has significantly accelerated and financial institutions must research and deploy convenient customer friendly solutions while ensuring compliance around those technologies 10 How can your fellow association members engage in the same positive financial experience as The Farmers National Bank of Emlenton and fellow board members First of all allow me to express gratitude to my fellow 12 board members They dedicate hours of volunteer service to completing an intense due diligence process for every Select Vendor I urge very bank to lean on the Services Corp team to help you connect with a premier slate of Select Vendors PA Bankers Association Quarter 1 2021 11

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communityCORNER Spotlight On Mike McGraw and the Kairos Prison Ministry International Program M ichael McGraw is the senior vice president information technology with Mars Bank Mike has been involved with the PA Bankers Association for several years currently serving on the association s Advocacy Committee and as chair of the association s IT committee In addition to being a banker where he ensures all things IT at Mars Bank are operating like a well oiled machine and supporting the IT efforts for the association and PA s banking industry Mike is active in his community and volunteers a considerable amount of his time to several efforts A significant commitment for Mike is his involvement in the Pennsylvania Chapter of the Kairos Prison Ministry International Kairos is a Christian faith based organization with three core programs Kairos Inside ministering to men and women in prison Kairos Outside ministering to women who have been impacted by incarceration and Kairos Torch ministering to incarcerated youth in prisons and correctional facilities Mike volunteers his time for the Kairos Inside program and spends 3 5 days inside a prison sharing his faith through structured talks prayer and individual and group activities Each of the two annual 3 5 day weekends are preceded by several weeks of team development and preparation Prison can be a very dark and hopeless place where prisoners are living their lives without friends and family as they serve time for the crimes they have been convicted Through volunteers like Mike sharing their faith and time through this program they are given hope through faith and Christian fellowship In prisons where Kairos programs are held the wardens report improvements in the whole prison living environment due to the positive influence of residents involved with the Kairos Inside Program The Kairos organization reports a reduced recidivism rate in Kairos program graduates Mike has been volunteering his time for over 10 years and served as vice chair and chair for the SCI Greene program for three years Mike currently serves as the vice chair for the state board of the Kairo Prison Ministry Program When asked about why he gives so much of his time to this effort Mike s simple response is because this is an opportunity to help people turn their lives around through faith and it is truly inspiring to actually witness these transformations up close To find out more about the Kairos Prison Ministry International program please visit their website at www kairosprisonministry org or the Pennsylvania state chapter at www kairospa org Kish Bank Supports Local Communities with Year End Contributions K ish Bank has announced the distribution of 17 000 in charitable year end contributions to local community organizations In addition to the Bank s annual 2020 contributions and community support of 180 000 the supplementary 17 000 in contributions were issued the 12 PA Bankers Association week before Christmas following nominations of more than 50 charities by Kish team members in the weeks preceding the donations In addition to the direct charitable contributions Kish also continued its annual program of issuing more than 11 000 in Giant gift cards to its more than 200 team members These no strings attached gift cards were available at the discretion of each employee to be used for presentation directly to families in need or to charities addressing food insecurity in local communities pabankers com

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High Performing Financial Institutions Have HighPerforming Partners Our Experience Will Guide Your Institution to the Next Level Investment Portfolio Services Balance Sheet Management Successful financial institution managers know the importance of achieving a high performance plan Establishing such a plan requires not only sound data and accurate information Education but also an insightful partner The Baker Group is that partner Public Finance Leaders in innovation The Baker Group remains the industry Strategic Planning leader when it comes to innovation We are truly a one stop shop that never outsources our customizable reporting services Funding To find out how The Baker Group can assist your institution in Bond Accounting and Analytics representative or Ryan Hayhurst at 800 937 2257 Member FINRA and SIPC defining and meeting its financial objectives call your Baker www GoBaker com 800 937 2257 Oklahoma City OK Atlanta GA Austin TX Indianapolis IN Long Island NY Salt Lake City UT Springfield IL The Baker Group LP is the sole authorized distributor for the products and services developed and provided by The Baker Group Software Solutions Inc PA Bankers Association Quarter 1 2021 13

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communityCORNER The Dime Bank Donates to Local Organizations THE DIME BANK DONATES 8 000 TO SUPPORT STUDENTS OF PIKE WAYNE COUNTY The Dime Bank donated 8 000 through the Educational Improvement Tax Credit Program to the Pennsylvania Council on Financial Literacy PennCFL PennCFL provides to all students in grades 3 12 in Pennsylvania a world class web based stock simulation platform and curriculum Students can learn how to trade all year long by using the whole curriculum courses and more including two 10 week competitions The competitions are held in the classroom by county and statewide The platform provides lessons assignments and grading for seamless teacher management The cutting edge real time stock game is derived from Stock Trak s University Platform which is used in over 80 percent of the top business schools in the United States THE DIME BANK DONATED 9 000 FOR SCHOLARSHIP OPPORTUNITIES The Dime Bank donated 9 000 through the Educational Improvement Tax Credit Program to various educational institutions for scholarship opportunities 3 500 was donated to the Vineyard Christian Child Center to be used for preschool tuition scholarships 2 000 was donated to the Diocese of Scranton for Catholic schools in Wayne Pike and Lackawanna counties for education in an instructional environment that challenges the mind while inspiring and strengthening the spirit 2 000 was donated to the Scranton Hebrew Day School to be used for scholarship opportunities for Torah and secular education with an emphasis on spiritual moral and social growth and 1 500 was donated to the Greater Pike Community Foundation to be used for pre K scholarship opportunities NEW TO PA Bankers FINANCIAL INSTITUTION MEMBERS JP Morgan Chase SELECT VENDORS Banzai Inc Paylocity 14 PA Bankers Association AFFILIATE MEMBERS Banzai Inc Fisher Phillips Narmi Newcleus Welcome Numerated Growth Technologies Inc Paylocity Saxton Stump LLC Shield Compliance LLC pabankers com

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Susquehanna Community Bank Donates to Local Organizations SUSQUEHANNA COMMUNITY BANK DONATES 1 000 TO FIRETREE PLACE Susquehanna Community Bank donated 1 000 to Firetree Place through the Educational Improvement Tax Credit Program SUSQUEHANNA COMMUNITY BANK DONATES 1 000 TO NORTH CENTRAL SIGHT SERVICES INC Firetree Place is a nonprofit licensed child care community center focused towards youth It strives to build stronger communities through education recreation art and social programs for the city of Williamsport and Lycoming County families For over 60 years North Central Sight Services has assisted individuals who are blind or visually impaired to maximize their quality of life Additionally it has helped prevent vision loss through its educational programs and screenings for children and adults Susquehanna Community Bank donated 1 000 to North Central Sight Services through the Educational Improvement Tax Credit Program Do you have hometown happenings that you d like to share Send your bank s community news to Courtney Young PA Bankers communications marketing coordinator cyoung pabankers com for a chance to be featured in paBanker Magazine or on PA Bankers social media channels and website PA Bankers Association Quarter 1 2021 15

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communityCORNER Riverview Bank Makes Several Contributions Through EITC Program R iverview Bank made several contributions to different organizations throughout the commonwealth through their Education Improvement Tax Credit Program Some of the organizations that received these contributions include Saint Joseph Center Wilson Education Foundation Safe Banks Reading Area Community College Reading Public Museum Big Impact Group Crimson Tide Foundation Schuylkill YMCA Dubois Area Schools Educational Foundation Schuylkill Council for the Arts Clearfield United Way C Children s Aid Society Walk in Art Center Moshannon Valley Community Ed Foundation Big Brothers Big Sisters of Lehigh Valley United Way Greater Lehigh Valley and Schuylkill United Way Giving Back Giving Together at C N N has always attracted team members with a strong sense of giving While giving back to our communities was already engrained in our culture we decided to pull together and put a focus on one cause at a time to make an even bigger impact That s how C N s Giving Back Giving Together GBGT fundraising program was formed in 2015 In the program s first year the C N team voted in the cause to support and partnered with 26 local food banks We set a goal of 10 000 and empowered our teams to use their creativity and to have fun It was our teams who took the initiative to host fundraisers collect donations and really breathe life into the program making it the success that it has become That first year we quickly surpassed our 10 000 goal and raised 50 000 Since then GBGT has continued to build momentum Annual donations have 16 PA Bankers Association averaged around 65 000 a year supporting important causes led by local organizations including food banks emergency volunteer services children in need public libraries and most recently our military servicemembers Possibly the best of all every dollar raised from this program stays here locally to help our neighbors in need In 2020 C N employees and community members voted to support local food banks and backpack programs a cause that s became even more strained with the COVID 19 pandemic Millions of people are now relying on food banks for their next meal Meanwhile food banks are receiving fewer donations the supply of many necessities is constrained and volunteers many of whom are seniors are hesitant to volunteer in person C N sprang into action with a 40 000 corporate donation to the Central PA Food Bank and our teams started their fundraising efforts collected donations and volunteered their time to help Over the last 9 months C N employees have raised 44 199 This combined with C N s corporate donation of 40 000 to the Central PA Food Bank brings our total so far to 84 199 raised This equates to providing over 500 000 meals to local residents C N team members have also donated 1 734 food items and volunteered 153 hours for our local food bank partners To learn more visit cnbankpa com pabankers com

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INVESTMENT BANKING ibinfo boenninginc com www boenninginc com PA Bankers Association Quarter 1 2021 17

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s t h g i l hf igh 2 0 2 0 o 18 PA Bankers Association 2020 was a challenging year for all of us both personally and professionally with the onset of the COVID 19 global pandemic While 2020 looked quite a bit different than we expected we still had several highlights and reasons to celebrate our members Paycheck Protection Program COVID 19 RESOURCES COVID 19 Updates Page Since the beginning of the pandemic we have offered a COVID 19 Updates page on our website with important resources and information for our members and consumers regarding the banking industry s response to COVID 19 Visit www pabankers com to view the page today CEO Peer Exchanges In an effort to quickly share information and update our members we began hosting CEO Peer Exchange Calls featuring special guests from the Small Business Administration Pennsylvania Department of Banking and Securities FDIC and more Number of CEO Peer Exchanges Held in 2020 95 YOUR RESPONSE TO COVID 19 PA banks approved more than 173 000 PPP applications for an astounding 20 7 million in 2020 new Website In May 2020 we launched a NEW WEBSITE after months of planning and development The new website features a fresh look members only content and innovative technology all on ONE website Legislative Successes 13 VIRTUAL MEETINGS with members of both parties in the state legislature 406 054 96 contributed to PaBPAC from 87 member institutions Played in 123 RACES with a Launched a Get Out the Vote website powered by the American Bankers Association 96 SUCCESS RATE 3 ALERTS co branded with the ABA resulting in 572 LETTERS to Congress pabankers com

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celebrating Last year we celebrated 13 individuals for their commitment OUR MEMBERS William S Latoff Advocacy Award to advocacy their communities and the industry Women in Banking Recognition of Excellence Program Patricia A Husic Woman of Influence Award Tomorrow s Promise Award Elaine Woodland Natalie Taptykoff Brandi Welsch Carrie Riggle Jill Pursell First Keystone Community Bank Penn Community Bank First Commonwealth Bank First Commonwealth Bank The Kafafian Group Blair Rush C N Tomorrow s Promise Award Champion for Women Award Champion for Women Award PA Bankers Highlighting Young Professionals Excellence H Y P E Awards Achiever Achiever Change Agent Community Ambassador Developer Melissa Wilkins The Dime Bank Lindsey Snavely Levi Diltz Jessica Thorne Pillar Aught First Keystone Community Bank First Keystone Community Bank Paperless Initiative Strategic Thinker Team Player Valerie O Hare Jesse Brocious Laurel Fidrick The Dime Bank First Commonwealth Bank First Keystone Community Bank wrapping up OUR 125T H ANNIVERSARY QUARTER 4 VOLUME 22 3 PA BANKERS APP IS LAUNCHED paBanker MAGAZINE GOES DIGITAL Our readership continues to grow as we are able to produce comprehensive and time sensitive content for you each quarter Flip through previous editions on www pabankers com The PA Bankers App allows users to stay connected with the association and its members like never before Download the app today in the Google Play Apple App Stores THANK YOU FOR YOUR SUPPORT OVER THE LAST 125 YEARS Digital Banking We developed new digital banking resources for our members to help build support their digital approach including a digital banking statement worksheet digital banking framework worksheet and more Visit www pabankers com to view the resources today Diversity Equity Inclusion DEI We made great headway in our DEI initiative in 2020 by creating a DEI statement and resources for our members including a sample DEI scorecard research training recruiting supplier diversity resources self assessments etc Visit www pabankers com to view the resources today Additionally we created a DEI Advisory Group which will support and advise the board and senior staff on the association s DEI initiative PA Bankers Association Quarter 1 2021 19

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DIVERSITY EQUITY AND INCLUSION SURVEY RESULTS Where Does Our Membership Stand L ast fall we launched our Diversity Equity Inclusion DEI Advisory Group which has been working hard to support DEI efforts for our members the banking industry and the customers businesses they serve A key component in being able to make that happen is to find out where our member banks are in their DEI journey To start the data gathering phase we sent out a DEI membership survey in January to pulse our members around their DEI initiatives and progress We received input from 71 banks and the responses conveyed a great need across our membership for training resources and policy support We learned that some of our members have existing DEI programs Some of those programs are longstanding while others are fairly new Regardless of where our members are in their DEI journey they communicated a need for PA Bankers to support its membership Below you will find a few key takeaways from the survey We thank everyone who provided feedback by participating in the survey PA Bankers is shifting into a qualitative research phase in late March by conducting member focus groups Stay tuned for those results in our next magazine issue TOTAL SURVEY RESPONSES 71 Total Responses 50 of 71 Responses Included Bank Names 21 Responses Without a Bank Name EXISTING DEI PROGRAM 28 of the 71 responses have an existing DEI program 39 39 43 of the 71 responses do not have an existing DEI program 61 61 DESIGNATED DIVERSITY OFFICER 15 of the 28 banks that indicated they have an existing DEI program have a designed diversity officer 54 13 12 do not have a designated diversity officer 46 of the 15 banks with a designated diversity officer indicated DEI is one of that individual s responsibilities 80 WHERE DOES DEI RESPONSIBILITY RESIDE WITHIN THE BANK 11 of 27 responses indicate the responsibility resides in HR 41 6 indicated responsibility resides in the C suite reporting directly to the CEO 22 11 41 6 22 10 37 10 indicated the responsibility lies elsewhere 37 20 PA Bankers Association pabankers com

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Banks Monitor and Report DEI Efforts Progress to Board of Directors 24 of the 27 responses monitor and report to the board 89 11 3 of the 27 responses do not monitor report to the board 11 89 ASSISTANCE PA BANKERS COULD PROVIDE TO SUPPORT BANKS DEI EFFORTS 57 responses 14 skipped this question Scorecard or System Used to Measure DEI Efforts 38 10 of 26 responses indicate they 1 6 of the 26 responses indicate 62 do use a scorecard system to they do not use a scorecard measure DEI efforts 38 system to measure DEI efforts 62 67 Diversity training for employees Use of Employee Resource Groups 47 Supplier diversity 11 of 26 responses indicate they do have employee resource groups 42 15 of 26 responses indicate they do not have employee resource 58 groups 58 42 40 Employee resource groups 39 Community organizations support 39 Diversity assessments Ongoing DEI Training for Employees 18 of 25 responses indicate they do have ongoing DEI training for employees 72 58 Recruitment support 7 of 25 responses indicate they do not have ongoing DEI training for employees 28 28 72 33 Diversity officer support 32 Partnership development 23 Mentor program development 48 52 53 32 of the 60 responses indicate these partnerships do not exist RELATIONSHIPS WITH COMMUNITY LEADERS OR ORGANIZATIONS TO EXPAND DEI EFFORTS IN THE LOCAL COMMUNITY 21 of the 60 responses have current relationships 35 39 of the 60 responses 65 35 23 28 of the 60 responses indicate these partnerships exist 33 32 do not have a diversity leadership or mentoring program 52 40 39 39 47 13 of 25 responses indicate they 9 Other 47 they do have a diversity leadership development or mentoring program 48 7 None 67 12 of 25 responses indicate Established Partnerships with Local Colleges Universities or Business Groups Chambers of Commerce for Recruiting and Supplier Diversity 58 Diversity Leadership Development or Mentoring Program 34 7 Banks Ensuring Diversity in Suppliers Vendors 9 do not have these relationships 65 PEOPLE INDICATE THEY ENSURE DIVERSITY IN SUPPLIERS VENDORS PA Bankers Association Quarter 1 2021 21

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Diversity Equity and Inclusion Survey Results continued BANK SPECIFIC DETAILS BASED ON 50 RESPONSES Bank Deposits Number of Employees 22 Banks under 500 million 19 Banks with less than 100 employees 7 Banks between 501 million and 1 billion 23 Banks with 100 to 500 employees 1 Bank with 501 to 999 employees 21 Banks over 1 billion 6 Banks with 1 000 to 5 000 employees MORE THAN 5 000 EMPLOYEES 1 000 TO 5 000 EMPLOYEES 501 TO 999 EMPLOYEES Between 501 million and 1 billion 100 TO 500 EMPLOYEES Under 500 million LESS THAN 100 EMPLOYEES Over 1 billion Number of Banks 1 Bank with more than 5 000 employees Number of Employees Bank Location GROUP 1 9 Banks from Pittsburgh Northwest and Southwest PA GROUP 2 9 Banks from Southeast PA GROUP 3 9 Banks from Northeast PA GROUP 4 9 Banks from Northcentral PA GROUP 5 10 Banks from Southcentral PA GROUP 6 4 Banks from Central PA 22 PA Bankers Association pabankers com

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Celebrating WOMEN LEADERS IN THE INDUSTRY International Women s Day Group 1 MARIA W AMORUSO SVP Chief Marketing Officer NexTier Bank N A Over the past decade women have made incredible strides in leading and holding key roles in the financial services industry For many years it was a rarity to see a female CEO or other C level position but I believe women are really making their mark in banks across Pennsylvania Look no further than Patti Husic Lori Maley or Angie Sargent Wow Providing women with a voice and the opportunity to make a difference in our industry is extremely important and the Women In Banking Committee does just that As more and more women enter the financial services industry and aspire to take on a leadership role this committee supports encourages and celebrates them Understanding the unique challenges of women in the industry developing programs that build confidence and leadership skills and providing mentorship are just some of the benefits of having a Women In Banking committee The Women in Banking Conference the marquis event of this committee draws women from across the state and for a good reason These women want to connect to learn to support each other to grow As a result more and more women are stepping up and banks are better stronger and more prepared The amazing women on this committee are helping to build and develop tomorrow s leaders What could be more important than that 24 PA Bankers Association Group 4 MICHELLE RIOS DOMINGUEZ Talent Acquisition Manager C N In my experience I have found that there are too few arenas that afford women the opportunity to connect around the shared experiences of being a woman in their industry The Women in Banking Committee provides a support system and an avenue of advocacy in support of women s success The committee provides support in areas that women don t always have access to such as mentoring recognition networking and leadership These areas can directly contribute to success and career fulfillment for women and are needed for a greater equity Mary Church Terrell social activist for racial and gender rights once said And so lifting as we climb onward and upward we go struggling and striving and hoping that the buds and blossoms of our desires will burst into glorious fruition With courage born of success achieved in the past with a keen sense of the responsibility which we shall continue to assume we look forward to a future large with promise and hope This is the mantra of the Women in Banking Committee not by words but by actions The promise of hope through connection is what we find in women shared spaces such as WIB and this is what they provide to our community Group 6 KERRI MUELLER SVP Retail Division AmeriServ I thoroughly enjoy working in banking For women we play so many diverse roles from wife to mother to caregiver to cheerleader There are so many avenues to explore within the financial services and banking industry It s important to be a role model for tomorrow s women executives and I believe my role within banking enables me to reach out and mentor those who may be undecided discouraged or just looking for a change Banking has become so much more than visiting the teller and I have been very fortunate to be a part of this great transformation Through my involvement with the Women in Banking Committee I believe I will have an opportunity to work with my peers to affect change and promote banking careers for a whole new generation of young women pabankers com

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In honor of International Women s Day on March 8 we asked six women from the PA Bankers Women in Banking Committee to highlight the importance of the Women in Banking Initiative Group 3 JILL GEORGE SVP Human Resources Chair of WIB Committee The Dime Bank Since the committee s formation in 2013 I ve been interested in involvement because I believe that women are underrepresented and underutilized in bank leadership Patti Husic s vision to develop a peer group within PA Bankers to assist with the leadership development of women in the banking industry was instantly something that I knew I could support Working with PA Bankers and the committee to bring about opportunities for career development mentoring and recognition has been both challenging and gratifying The annual Women in Banking Conference has grown every year since inception impacting hundreds of women in numerous meaningful ways Taking part in the committee meetings conferences and networking events with other talented professional women bankers across the state has not only yielded new lifelong friendships it has been one of the most rewarding experiences of my career Group 5 RACHEL BITNER SVP Controller Ephrata National Bank I believe that having the Women in Banking Committee is foundational to supporting women and encouraging their involvement in higher level roles within the banking industry in Pennsylvania A committee of this nature provides the environment women need to gain perspective from other women express their challenges and successes and invest in their personal growth to advance to the next level I have always been a firm believer that women are just as capable and talented as their male counterparts within financial institutions and should be encouraged to overcome any obstacles to achieve their career goals The Women in Banking Committee provides a place where like minded women can learn and grow together and encourage the next generation of female bankers to do the same By gaining industry knowledge learning from other successful female leaders and being challenged to step out of their comfort zones and take risks female bankers are benefiting from this committee and will continue to have the support they need to achieve their goals Group 2 ANN BAVARIA SVP Human Resources Marketing Regulatory Compliance New Tripoli Bank I was lucky to have a wonderful mentor when I started in banking 30 some years ago so the Women in Banking Committee is a way for me to give back I ve learned a lot along the way and am really honored I was asked to help plan this year s conference The committee is composed of great representatives of many banks and we are currently sharing topics for the conference We ve had GREAT discussions surrounding pay parity diversity the role of technology in banking today and remote workers I hope that many Pennsylvania bankers will attend the conference to see what a special opportunity is being offered to learn and grow PA Bankers Association Quarter 1 2021 25

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from yourPEERS Meet Your Retired Bankers Program Co Chairs P A Bankers is pleased to welcome Rebecca Becky Stapleton as our new Retired Bankers Program co chair She will join Co Chair Alan Dakey in leading the association s Retired Bankers initiative and finding meaningful ways for retired bankers to maintain an open door to the industry including identifying future bankers through their support of financial literacy initiatives and the CSBS Community Bank Case Study Competition exercising their opportunity to advocate on behalf of the industry and networking with other retired bankers Get to know your co chairs below Rebecca Becky Stapleton Becky was formerly the senior executive vice president and chief banking officer at S T Bank where she was responsible for the strategic direction of the retail and marketing divisions as well as the collaboration between markets and lines of business Becky worked at S T Bank for 32 years working her way through various roles within the human resources department before she was named executive vice president and director of human resources and employee communications in 2008 and then CBO in 2015 A strong advocate for women Becky spearheaded many women s initiatives at the bank including its sponsorship of the Pittsburgh Magazine Women in Business series Women s Health Conversations and the PGA Executive Women s Day She was honored with the inaugural PA Bankers Champion for Women award in 2017 joined the PA Bankers Board of Directors as Group 1 chair in July 2018 and finished her career as the PA Bankers Women in Banking Committee Chair 26 PA Bankers Association Stapleton was inducted into Indiana University of Pennsylvania s Eberly College of Business and Information Technology s Business Hall of Distinction in 2018 She is a founding member and continues to serve on The Eberly College s Business Advisory Council and has served on the Hall of Distinction selection committee and its Women s Advisory Program She is a graduate of IUP with a degree in government and public service and a minor in economics She earned a master of public affairs budgeting and finance degree from Indiana University Bloomington After retirement from S T Becky formed Rebecca Stapleton Consulting LLC working with organizations of all sizes on HR and other C suite strategic initiatives She also serves as an adjunct business professor at IUP Alan Dakey Alan has been the chair of the Retired Bankers Program since July 2019 He has greatly enjoyed his career as a community banker which began with a summer banking job at The Dime Bank and has included 20 years as a CEO of three Pennsylvania pabankers com

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based community banks including Mid Penn Bank and Peoples Neighborhood Bank Alan most recently served as president and CEO of the Bank of Bird In Hand a de novo bank located in Lancaster County Pa prior to his retirement Alan currently serves as president of Pennsylvania Council on Financial Literacy whose mission is to provide K 12 students with economics personal finance and entrepreneurship skills that elevate their standard of living quality of life and professional success He has been active in community activities having served as a school board director of the Millersburg Area School District a PA Bankers board member and a former member of the Board of the Honesdale Harrisburg Area and Scranton Area YMCAs He currently serves as an advisory board member for the Bloomsburg University Ziegler College of Business He has been active in a number of nonprofit organizations including The United Way various chambers of commerce and economic development organizations Alan holds an MBA in Finance from the University of Scranton and a BS in Accounting from Bloomsburg University and he is a graduate of the Stonier Graduate School of Banking and the PA Bankers School of Banking Alan and his wife Diana reside in Dalton Pa Interested in joining the Retired Bankers Program or want to refer a friend colleague It is complimentary Contact Karen McDermott kmcdermott pabankers com today FINANCIAL INSTITUTIONS SERVICES GROUP HELPING BANKS STAY COMPLIANT AHEAD OF THE CURVE BY PROVIDING RESPONSIVE FORWARD THINKING INNOVATIVE SOLUTIONS Internal Audit Model Validation Staff Augmentation BSA AML Consulting Regulatory Compliance SOX FDICIA Consulting Enterprise Risk Management Information Technology Audits Marijuana Related Business Consulting Salvatore Zerilli CPA CAMS Managing Director Chair Financial Institutions Services szerilli mercadien com Princeton NJ 609 689 9700 Philadelphia PA 215 854 4059 Mercadien com PA Bankers Association Quarter 1 2021 27

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from yourPEERS ITems of Interest W e are eager to welcome in 2021 with hopes of relief from the many challenges we ve overcome in 2020 however many things went well in 2020 The 2020 Digital Banking Conference held its first alldigital conference and it was very successful This year s conference covered everything from ensuring a stable and secure digital banking environment to choosing the right digital channels for your bank with a discussion of the future of FinTech The presenters included professionals in these areas as well as other banking colleagues The conference kicked off with Robert Gaines presentation on Dynamic Incident Response How to Address the constantly Changing Threat Landscape Robert is the director of technology risk at Accume Partners and he shared several critical considerations to ensure a stable digital banking environment including incident response and threat intelligence all requirements for maintaining a resilient infrastructure which is important for providing digital capabilities for banking customers Larissa Murphy digital channel and content marketing specialist for First Commonwealth Bank joined Alana Levine CRO and founding member of Fintel Connect and Anthony Costanzo director of new business development at QuinStreet to discuss marketing tactics that exist on how to choose the right digital channels for your bank Their informative presentation included several factors regarding technologies and marketing effective targeting new customer acquisitions and advertising and messaging strategies utilizing the right mix of traditional media email marketing the web and social media Strong governance is a key foundational component to providing a stable and reliable digital banking platform The next session Cyber and the C Suite What Top Management Needs to Know about Cybersecurity addressed just that Paul Viancourt vice president solutions architect at NContracts provided conference attendees with an understanding of the responsibilities of bank executives and board members with regards to cybersecurity and disaster recovery resiliency The conference wrapped up with a discussion of the future of FinTech The Way Forward Are you Ready for the FinTech Future Virginia Heyburn VP business development of Fiserv s Global Sales Organization advised C Level executives on industry and consumer trends business drivers and technology strategies that align with a faster pace of consumer and business innovation Virginia frequently facilitates discussions regarding the future of financial services technology innovation and outpacing expectations of Gen Y and Gen Z customers who view innovation as a brand and trust builder Virginia provided conference attendees with insight on next generation banking services that are conversational and responsive and provide ways for banks to deliver personable advice and services to their future customer base The PA Bankers Association thanks all of this year s speakers for their valuable contributions to making the 2020 Digital Banking Conference a success as well as the IT Committee s guidance on the selection of topics timing and speakers for this event We look forward to seeing you all at the 2021 Digital Banking Conference later this year dates and location are TBD ABOUT THE AUTHOR MICHAEL MCGRAW SENIOR VICE PRESIDENT INFORMATION TECHNOLOGY MARS BANK CHAIR PA BANKERS IT COMMITTEE 28 PA Bankers Association pabankers com

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SOMEONE IS MAKING MONEY ON TITLE INSURANCE IT SHOULD BE YOU It s like owning your own title insurance company only better PA Bankers Services Corporation along with Investors Title Insurance Company will help you become part of a multi bank owned title insurance agency and share in the pro ts every time title insurance is written To learn more simply give us a call at 717 255 6925 and we ll show you how your bank can earn non interest income from title insurance PA Bankers Association Quarter 1 2021 29 PA Bankers Association 50 Volume 21 1 Quarter 1

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governmentRELATIONS Highlights of the 2019 20 State Legislative Session P A Bankers continued to be the leading industry advocate on a wide range of legislative issues affecting banking that were considered by the General Assembly in Harrisburg during the 2019 20 legislative session which concluded Nov 30 Typically there are close to 5 000 pieces of legislation introduced in the House and Senate in each two year legislative session and PA Bankers identifies establishes a position and priority and advocates for or against those that most impact the business of banking in the commonwealth Here are some of the key issues in which PA Bankers focused its advocacy efforts on in 2019 20 SALES AND USE TAX EXEMPTION FOR CANNED SOFTWARE USED IN THE BUSINESS OF BANKING The PA Department of Revenue had begun to audit and assess sales and use tax on financial institutions use of customized software in their core processing even though customized software is excluded from sales and use tax PA Bankers strongly advocated for the enactment of Act 90 of 2019 signed into law on Nov 27 which added language to the sales and use tax law providing that the sale at retail or use by a financial institution of canned computer software directly utilized in conducting the business of banking is exempt from the sales and use tax A financial institution is defined as an institution subject to the Bank and Trust Company Shares Tax or the Mutual Thrifts Institutions Tax Specifically the exclusion applies to the purchase of canned computer software to be used in transactions with customers and service providers and does not include the purchase of canned computer software by entities other than a financial institution such as holding companies and subsidiaries of a financial institution 30 PA Bankers Association ELDER FINANCIAL EXPLOITATION PREVENTION For several legislative sessions PA Bankers has advocated for the enactment of legislation amending the PA Older Adult Protective Services Act OAPSA to provide additional tools for financial institutions to utilize in preventing elder financial exploitation One of the key provisions of the legislation would authorize financial institutions to suspend a transaction for 15 days if a financial institution suspected elder financial exploitation were occurring as part of the transaction The financial institution would have to report the suspected elder abuse to the local county area agency on aging for investigation While the elder financial exploitation provisions of the legislation have been largely non controversial other changes to OAPSA proposed in the legislative proposals were a cause for concern by other stakeholder groups and resulted in the legislation not being enacted During the 2019 20 session the bills were Senate Bill 819 sponsored by Senator Bob Mensch R Bucks Montgomery which pabankers com

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passed the Senate Oct 29 2019 and House Bill 1930 which was voted out of the House Aging Committee on June 23 2020 but did not see further action in the House government with the rationale being that a transfer from a separate trust fund would be more difficult to implement None of these three bills became law BANKING FUND PANDEMIC RESPONSE PA Bankers sought enactment of legislation to discourage further transfers from the Banking Fund into the General Fund which occurred in 2018 and 2019 when the Budget Secretary transferred 21 million each year out of the Banking Fund The Banking Fund is a separate fund within state government in which state chartered institutions pay twice a year assessments to provide for the operations of the Department of Banking and Securities Former Representative and Commerce Committee Chairman Mark Keller R Perry introduced House Bill 1957 and his successor as Commerce Committee Chair Rep Sheryl Delozier R Cumberland introduced a revised version of the legislation as House Bill 2862 which passed the House on Oct 19 2020 In the Senate Senator Dan Laughlin R Erie introduced Senate Bill 1331 which was voted out of the Senate Banking and Insurance Committee on Oct 21 2020 All three pieces of legislation sought to establish the Banking Fund as a separate trust fund within state PA Bankers fully engaged and continues to do so with various state government officials on COVID 19 pandemic health and economic activity directives and policy initiatives that were proposed in 2020 including business closures and restrictions and mortgage foreclosure and forbearance proposals PA Bankers also continues to engage on a regulators basis with the Department of Banking and Securities REMOTE NOTARY AUTHORIZATION Remote notarization authority took on new importance in 2020 due to the COVID 19 pandemic and PA Bankers successfully advocated for the enactment of legislation providing for this authorization House Bill 2370 introduced by former Rep Mark Keller R Perry was signed into law by Governor Wolf on Oct 29 2020 as Act 97 adINDEX AMERICAN BANKERS ASSOCIATION 35 APPI ENERGY 4 BANK HEALTH CARE CONSORTIUM OF PA IFC BANK TALENT HQ IBC BANKERS ALLIANCE BC BOENNING SCATTERGOOD INVESTMENT BANKING 53 CINNAIRE 37 COMPLIANCE ALLIANCE 56 FINANCIAL OUTSOURCING SOLUTIONS LLC 45 MERCADIEN GROUP 27 PW CAMPBELL 39 S R SNODGRASS 23 THE BAKER GROUP 13 TITLE INSURANCE 29 PA Bankers Association Quarter 1 2021 31

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governmentRELATIONS Spotlight on PA s First Two Women Leaders A fter the general election the four caucuses gather to hold leadership elections in the state General Assembly With retirements and election losses there were some new faces elected including the first two women to ever hold the title of Leader Senator Kim Ward R Westmoreland was the first elected by her peers in the Senate Republican Caucus to hold the position of Senate Majority Leader Later that day Representative Joanna McClinton D Philadelphia was elected by her peers in the House Democratic Caucus to serve as House Minority Leader PA Bankers is pleased to highlight Leader Ward and Leader McClinton in the interviews below SENATE MAJORITY LEADER SENATOR KIM WARD R Westmoreland HOUSE MINORITY LEADER REPRESENTATIVE JOANNA MCCLINTON D Philadelphia Q What all does your job entail Q What all does your job entail Leader McClinton As the new Leader of the House Democratic caucus I am responsible for helping to set the priorities and guide the caucus in the new legislative session I m also tasked with working with individual members to achieve their legislative goals and reaching across the aisle to work with my Republican counterparts Even though we have our differences I believe we can work together on several issues this session This session will also mark our once in a decade redistricting process where I ll be our caucus s representative on the commission to redraw legislative district lines It s a huge responsibility and one I am ready for Senator Ward Majority Leader is the secondhighest ranked post in the Senate My duties include overseeing the legislative agenda developing policies and strategies for the Senate Republican Caucus chairing the Senate Rules and Executive Nominations Committee and playing a key role in floor debates I also have a major role in negotiating budgets and other issues with the Administration and House of Representatives and in supervising action on the Senate floor Q What are the differences between this Leadership role and your Leadership role last session Ward This position is much more encompassing Since Majority Leader is the second highest ranked post in the Senate I will be working with the House and the Governor on the budget and legislative issues Q What are the differences between this Leadership role and your Leadership role last session McClinton Last session I was honored to serve as the continued on page 31 32 PA Bankers Association pabankers com

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SENATE MAJORITY LEADER SENATOR KIM WARD continued Q What is your biggest challenge in the upcoming session Q Who are your mentors Ward My priorities are focused on the budget while working on bipartisan issues that can help all Pennsylvanians Recovering from the pandemic and helping small businesses reopen and get workers back on their feet is a vital goal Pennsylvanians are hardworking and want to get back out there and working I want to do what we can on the State government side to help make that happen Q What advice do you have for women who want to ascend to a leadership position like you Q What prepared you for this role Ward Twelve years of Senate experience under my belt and knowing the ins and outs of what needs to be done Ward My mom instilled fight and determination in me She has been my mentor since I was a kid Ward We have to fight a little harder here on this side of the gender horizon Just fight stay focused on your goals don t take your eye off it and go and you ll get there Q What is one thing most people don t know about you Ward I love singing I love music and I love shoes HOUSE MINORITY LEADER REPRESENTATIVE JOANNA MCCLINTON continued House Democratic Caucus Chair In that role my primary duty was facilitating our daily caucus meetings where we discussed legislation that was being voted that day and strategy to move us forward I worked with our dedicated committee staff to ensure that our members had the information they needed to cast votes and defend their positions As Leader I no longer run those caucus meetings and I m more focused on the broader goals of the caucus as we enter the new session Q What is your biggest challenge in the upcoming session McClinton The challenges are two fold first we re still in the middle of this devastating COVID 19 pandemic The vaccine is on its way thank goodness But until we get more folks vaccinated we know we re going to have to continue to keep our distance use strategic mitigation tactics and stay the course It s hard on folks Businesses are hurting people are depressed families feel torn We know that hope is on the horizon but we have to weather these next few months Second we have a very partisan environment right now which makes it hard to govern I m dedicated to working with my Republican colleagues to advance the shared goals we have But I also know that we have real differences in thought and approach and it will take time energy and compassion for us to work together and get things done Q What prepared you for this role McClinton I feel as if everything leading up to this moment has prepared me for the new role as Leader Growing up with my family in Philadelphia I learned the morals and values that guide my decision making Working my way through law school as a barista spending days in the courtroom as a public defender and later serving as Chief Counsel to Senator Anthony Williams were all experiences that shaped my work ethic and honed my skills Q Who are your mentors McClinton My mother and my grandmother were my first role models These strong women showed me how to live a life of compassion and dignity They provided for me and started me on a spiritual journey that I still follow today Q What advice do you have for women who want to ascend to a leadership position like you McClinton It s possible We now have a strong woman serving as the Vice President of the United States and one serving as the Speaker of the United State House of Representatives Closer to home I m honored to join Senator Kim Ward as the first female Floor leaders in the Pennsylvania General Assembly We have women leading organizations all across the globe The days of women taking a back seat or settling for anything less than a position of leadership are over I m a testament to the power of hard work strong values and perseverance and I ll support any woman who shares those ideals Q What is one thing most people don t know about you McClinton I love to cook delicious meals for my family When I m not on a zoom meeting helping my constituents in the district or casting votes on the House floor I love to be in the kitchen working on recipes and cooking for my family Congratulations to Leader Ward and Leader McClinton We wish you the best of luck in your new roles PA Bankers Association Quarter 1 2021 33

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governmentRELATIONS Pennsylvania s Neighborhood Assistance Program Provides Banks Additional Opportunities to Improve Their Communities P ennsylvania s Neighborhood Assistance Program NAP has served as a resource for nonprofits businesses and neighborhoods for over 30 years Administered by the Department of Community and Economic Development DCED the NAP is a tax credit program that includes five subparts regular NAP NPP Neighborhood Partnership Program SPP Special Priorities Program CFP Charitable Food Program and EZP Enterprise Zone Program The goals of NAP are to promote community participation and collaborations among nonprofits and businesses including banks and residents while producing outcomes that assist a distressed area or the low income population in a neighborhood In the NAP a project must serve distressed areas or support neighborhood conservation Projects must fall under one of the following categories affordable housing programs community services crime prevention education job training or neighborhood assistance A tax credit of up to 55 percent can be given The NPP consists of long term collaborations five years or more of business government and community leaders to produce a comprehensive asset based and relationshipdriven approach to community development A tax credit of 75 percent or 80 percent can be given based on the length of the program The SPP targets specific problems and projects that the state has designated as priorities in a distressed area The tax benefit to a business firm contributing to an approved SPP application would be up to a 75 percent tax credit The CFP is designed to help regional food banks or emergency food providers Funding to CFP is supplied through tax credits given to businesses making contributions to an approved provider A tax credit of up to 55 percent can be given In the EZP tax credits are provided to private companies investing in rehabilitating expanding or improving buildings or land located within designated enterprise zones For each fiscal year between 2012 13 and 2018 19 the NAP awarded 18 million in tax credits to support projects across the state Due to high demand for NAP tax credits the program increased available tax credits to 36 million in the 2019 20 fiscal year With the change in economic situations over the last several years tax credit programs have become a more attractive resource for organizations and businesses looking to perform community based improvement programs Recent COVID 19 pandemic recovery and 34 PA Bankers Association ongoing structural racism and social injustice issues have shown that vulnerable communities are in significant need of assistance now more than ever As a result activities that seek to address these issues are being given priority for the 2020 2021 program year These activities can include emergency food distribution social injustice solutions employment services pandemic relief activities and many others Businesses are encouraged to participate with agencies that are undertaking these activities Bill Schenck former Secretary of Banking and Securities and now vice chairman of TriState Capital Holdings Inc in Pittsburgh has long been a strong advocate and supporter of the NAP We believe that distressed communities begin to return to economic vitality only when the local residents come together develop a plan with broad community support and hire a full time professional to implement that plan The NPP is designed around this effort because funders commit for 5 to 6 years assuring that the money will be there to pay the professional We have seen this approach bring dramatic positive change in Western Pennsylvania It is a public private partnership with a relatively low cost A bank can contribute 100 000 to a community organization and after State tax credits and Federal tax deductions spend less than 15 000 out of pocket The paperwork is simple and there is strong accountability I would be pleased to talk with anyone who would like to discuss this further Bill can be reached at 412 304 0333 bschenck tscbank com Joe Arthur executive director of the Central Pennsylvania Food Bank an approved CFP nonprofit has appreciated the support banks have given to the Charitable Food Network and encourages institutions throughout the state to consider the CFP component of the NAP The food bank utilizes the availability of NAP Tax Credits to encourage donors to make generous gifts to the food bank Donations through this program enhance the food bank s ability to serve our neighbors who are facing hunger Over the last year building new and strengthening existing partnerships to leverage the 55 percent tax credit has been critical to meeting the increased demand for our services as the pandemic and economic crisis continues said Arthur We are grateful for our partners and this program as well If you would like to learn more about how the NAP CFP helps in the fight against hunger please call Dave Carl or Joe Arthur at 717 564 1700 Technical information about the NAP is also available from the DCED at 1 866 466 3972 or ra dcedcs pa gov pabankers com

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what Stonier has to offer The ABA Wharton partnership is the only one of its kind combining Wharton s cutting edge research leadership insights and top faculty with the distinctive Stonier program Apply by May 1 2021 for your chance to be surrounded by the industry s finest a diverse body of rising stars who will inspire you to be your best Learn through team activities case studies peer presentations computer simulations customized electives and more all in an Ivy League setting Join us on June 3 10 2021 and see for yourself what Stonier has to offer experience aba com StonierPA Stonier21 PA 8 5x11 indd 1 11 19 20 5 51 PM

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governmentRELATIONS COVID 19 Turns One Lessons Learned from a Global Health Crisis A s impossible as it is to believe we have been living in a global pandemic for an entire year What began as a headline from a distant corner of the world quickly became a worldwide health crisis that continues to wreak havoc on our way of life and has unfortunately claimed the lives of too many of our fellow citizens As I reflect on the last twelve months and the incredible changes that occurred virtually overnight to keep our society moving in the face of perilous uncertainty I am filled with a deep sense of pride in how the banking industry stepped up to help make that happen It speaks to the can do spirit of America s 2 million bank employees that as the world was shutting down as daily routines were being upended bankers embraced their role as economic first responders and got to work extending aid that helped keep individuals and businesses afloat With vaccines now being rolled out to certain groups we are anxiously awaiting the day when we can finally return to some semblance of a normal life But achieving herd immunity from the virus will take time and as we prepare to mark one full year of quarantines social distancing and face coverings I d like to offer a few observations OUR FINANCIAL SYSTEM IS RESILIENT After the last financial crisis banks worked diligently to increase safety and soundness and manage risk 36 PA Bankers Association more effectively The post 2008 reforms were intended to help banks better absorb financial shocks and the success of those reforms was borne out in the crisis response It was widely acknowledged by everyone from Financial Services Committee Chairwoman Maxine Waters D Calif to Federal Reserve Chairman Jerome Powell that banks performed well and were part of the solution to the coronavirus crisis Thanks to the strength of our financial system there is reason to be hopeful for the economic recovery In fact the top economists at some of the nation s largest banks who serve on ABA s Economic Advisory Committee agree that we could see growth topping 4 in 2021 We must of course temper that expectation with the knowledge that the recovery will likely be uneven and that labor markets could lag behind overall growth given the massive job losses that occurred That s why going forward our advocacy for pro growth policies will be more important than ever THE DIGITAL REVOLUTION HAS BEEN RAPIDLY ACCELERATED Banks were already well on their way toward digital transformation before COVID 19 But the pandemic provided a push to bank customers who may not have fully embraced digital banking to do so in earnest That will accelerate the digital transition even further and will surely lead to efficiencies for banks down the road The robust digital banking landscape also bodes well for financial inclusion the ability to remotely access banking services will enable a broader set of customers to take advantage of the full panoply of financial tools and resources at their fingertips THE RELATIONSHIPS WITH OUR STATE ASSOCIATIONS ARE CRITICAL From the earliest days of the pandemic state associations played pabankers com

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an instrumental role in analyzing and disseminating information that bankers needed to make PPP loans facilitate economic impact payments and continue operating amid constantly changing health and safety guidelines With the help of our State Association Alliance partners we delivered free resources to ABA members and nonmembers alike including 33 free webinars operational aids crisis communications toolkits scientific analyses and more recognizing the importance of helping all banks weather the crisis Through weekly calls and sometimes daily calls there was a continuous flow of information and feedback between ABA in Washington and all 50 states This collaboration was vital as policymakers worked to calibrate and re calibrate rules and regulations implementing the first CARES Act I have no doubt that this engagement will continue now that a second stimulus has been passed and a third package could soon follow These are just a few takeaways from this historic period In the years ahead I m sure there will be even more robust lookbacks and more lessons that can be extrapolated from the coronavirus crisis And the result of all of that learning I hope will only serve to make us stronger safer and even more prepared for the future ABOUT THE AUTHOR ROB NICHOLS PRESIDENT AND CEO AMERICAN BANKERS ASSOCIATION It takes more than good intentions to transform communities It takes capital development capacity and trusted partnerships In 25 years we ve delivered more than 7 3 billion in community impact Overcoming challenges Solving problems Backed by a commitment to creating healthy communities that has never wavered The Return on Investment Safe Affordable Homes Healthy Communities Better Lives CINNAIRE COM Transforming Communities Transforming Lives PA Bankers Association Quarter 1 2021 37

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alookahead As you plan your training and development for 2021 2022 we hope you ll consider learning with us Here s a sneak peek at some of the opportunities to learn with PA Bankers this coming year Visit www pabankers com for more information and pricing details about each event Please note all dates and locations are subject to change Accounting Auditing Tax and Compliance Regulatory Risk Management 4 8 CALL REPORT PREPARATION SEMINAR VIRTUAL TRAINING General Association 5 25 5 27 6 14 18 7 18 23 10 2911 2 38 PA Bankers Association PA BANKERS CLASSIC East SAUCON VALLEY COUNTRY CLUB BETHLEHEM PA BANKERS CLASSIC West SUNNEHANNA COUNTRY CLUB JOHNSTOWN SCHOOL OF BANKING VIRTUAL TRAINING ADVANCED SCHOOL OF BANKING VIRTUAL TRAINING PA BANKERS 2021 CONVENTION JW MARRIOTT MARCO ISLAND BEACH RESORT MARCO ISLAND FLA pabankers com

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PA Bankers Association Quarter 1 2021 39

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alookahead Lending Credit 4 20 6 14 18 AGRICULTURAL BANKERS CONFERENCE SCHOOL OF COMMERCIAL LENDING VIRTUAL TRAINING VIRTUAL TRAINING 11 18 19 LENDING CONFERENCE VIRTUAL TRAINING Management 5 4 10 6 7 12 1 2 40 PA Bankers Association CHANGING THE RETAIL LANDSCAPE SEMINAR VIRTUAL TRAINING 2021 22 LEADERSHIP INSTITUTE PA BANKERS TRAINING ROOM HARRISBURG DATES IN 2022 2 2 3 2022 4 6 7 2022 6 8 9 2022 9 14 15 2022 pabankers com

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alookahead Marketing and Communications 3 25 6 1 OBL MARKETING CONFERENCE VIRTUAL TRAINING COMMUNICATION THE NEXT LEVEL SEMINAR VIRTUAL TRAINING Networks 9 20 9 26 27 EMERGING LEADERS CONFERENCE WOMEN IN BANKING CONFERENCE RENAISSANCE HOTEL PITTSBURGH HERSHEY LODGE CONVENTION CENTER HERSHEY Training Employee Development 4 6 MANAGING EMOTIONS IN TURBULENT TIMES SEMINAR VIRTUAL TRAINING Wealth Management Trust Investment Services 10 27 28 WEALTH MANAGEMENT TRUST CONFERENCE HERSHEY LODGE CONVENTION CENTER HERSHEY PA Bankers Association Quarter 1 2021 41

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vendorARTICLES Today s State of the Community Banking Market Five Topics Being Discussed Among Bankers W all Street vs Main Street the discussion of the differences between the two is age old Throughout this COVID19 Pandemic OTC Markets has seen America s community banks step up to support the small businesses in their local communities by providing loans and other much needed financial support Collectively community banks have lent a total of 510 Billion dollars to help protect jobs between both rounds of 2020 the Paycheck Protection Plan PPP Funding According to the Wall Street Journal banks with less than 1 billion in assets approved nearly 20 of total loan dollars The SBA even allowed for an 8 hour window where only banks with less than 1 billion in assets could submit their loan requests Unlike in 2008 when the banks were considered villains 2020 might be the year banks are characterized in the heroes category alongside frontline healthcare and essential workers Seeing the work that has been accomplished in such a short period of time what will come next and what will the state of the market look like in 3 6 or 12 months from now M A One of the biggest questions from the last few months has been What will happen to M A According to Kirk Hovde Managing Principal Head of Investment Banking at Hovde Group M A is expected to essentially remain 42 PA Bankers Association on pause through at least 3Q in 2020 While we need to see a clearer picture on the credit front there are other drivers that may cause M A to pick back up With discussions around board and management retirement turnover becoming an ever more present topic due to C Suite and Directors nearing retirement how many want to stay in high stressed jobs We saw peak pricing take about 10 years after the Great Recession do these same boards and management teams want to potentially wait another 10 years We may see sales simply due to it being the time to say this bank had a good run The press typically does not discuss what happens after a deal closes there are system integrations cultural changes and new employees For banks already working around the clock and at capacity how will there be time to do this on top of supporting local community businesses Another thought for bankers considering deals surrounds the current state of credit portfolios If a bank can t put a value on their own portfolio how can they evaluate the loan book of another bank Even though the M A market is on pause this does not mean that conversations between potential buy and sell candidates has halted Ajay Asija Senior Managing Director of Financial Institutions at B Riley commented M A is essentially on pause till buyers and sellers understand the true nature of the impact of the shutdown and the trajectory of the losses through the banks balance sheet Most bank CEO s and Boards are not sure about their own credit situation meaning they most certainly are not in the position to appropriately mark the loan book of a target bank In addition the depressed valuations of many acquirers are likely not going to produce acceptable shareholder results of the acquiring bank and its shareholders Matt Veneri Head of Investment Banking at Janney Montgomery Scott added Strategic thinking will be accelerated especially with smaller banks as a result of COVID We will see more sellers testing the waters as they do not need to wait until the next market peak This combination could result in a late 2020 spike in new deal conversations with activity increasing throughout 2021 However expect to see a larger cash component in M A deals than we have seen historically NEW DEPOSITS A positive impact of the recent PPP program is that it showed local consumers the benefits of banking with their community bank While the large banks are being sued for processing higher dollar amount loans first instead of sticking with the first come first served model that the government authorized community banks dealt with their customers as partners rather than revenue drivers This has opened the door for community banks to take market share and gain new deposits after the PPP experience Speaking with CEOs of community banks many saw an increase of new pabankers com

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accounts that were transferred from larger banks when the community banks were able to help facilitate PPP funding Simply put the big banks did not deliver and have lost deposits as a result Moving accounts is tedious which should help in retaining the new accounts This stickiness in new deposits will be something to look for in future earnings as gaining deposits is always a challenge CAPITAL RAISING Capital raising in today s environment is another key topic of conversation amongst community bankers According to Veneri We expect to continue to see capital markets deals with debt and preferred stock However there will be minimal common equity raises until valuations return Veneri also noted Banks have more offensive capital better underwriting procedures and are better positioned now than they were pre 2008 cycle Even with rates being higher than they were 6 months ago debt is still significantly less expensive than equity Ajay Asija commented As provision costs have gone up by orders of magnitude even without CECL banks are looking to shore up the balance sheet with non common less expensive capital instruments However it is quite possible that depending on the length of the shutdown and potential re emergence of a second wave of the virus banks may have to tap common equity markets to meet the needs of the shareholders and regulators Bankers have been advising on equity raises since the last recession to ensure the banks were well capitalized when the time came for the next downturn As the saying goes the best time to raise capital is when you don t need it While no one thought the downturn would be related to a health pandemic fortunately banks have been wellpositioned for this scenario TRADING VOLUMES Bank stocks have been volatile throughout the market downturn with some banks being reduced to 50 of their market value virtually overnight Per Veneri The initial panic caused a flight to liquidity based on the market cap of banks We saw a lot of investors trading out of smaller names into larger names because there was not much tangible book value differential Luckily some of these bank stocks have rebounded but we need more time to see how the bank stocks play out OTCQX Bank stocks have traded 21 million shares totaling 336 million in dollar volume in the first five months of 2020 From March through May the number of OTCQX Bank trades increased by 22 compared to the prior three months The OTCQX Bank index has continued to outperform the SNL Bank index by 50 since 2015 Alternatively the June 2020 rebalancing of the Russell Index has seen the market cap requirement for inclusion drop by nearly 50 million WHAT MANAGEMENT TEAMS SHOULD BE THINKING ABOUT Strategic planning by management teams has shifted since COVID19 began States across the country are issuing guidance of what businesses need to do in order to safely reopen Some of these manuals are upwards of 50 pages long and will require significant spending that was not initially budgeted for Management teams will need to think about how to safely bring employees back to work while continuing to serve their customers This includes ordering and figuring out where to source plexiglass partitions to keep customers 6 feet from staff other consumers Cleaning supplies are still hard to source in bulk so knowing when there will be enough hand sanitizer and other products available may impact opening dates of branches Furthermore branch optimization will play a part in future planning Employees of banks have stepped up to serve their customers while working remotely The question that will be asked is Will there be a need for as many branches going forward Real estate is expensive so if a bank can reduce the number of branches they may be able to return the cost savings to their bottom line or shareholders Lastly technology will be a big part of the conversation going forward Asija noted The pandemic has forced digital delivery on the population across all age groups As such bank management teams need to fully adopt the digital delivery channel to provide banking services for its customers We may see an increase in mobile banking or other fintech initiatives from community banks Only time will tell how the market and economy plays out What we do know is that the need for community banks has been reaffirmed and they will continue to serve the needs of their communities for years to come ABOUT THE AUTHOR OTC MARKETS PA Bankers Association Quarter 1 2021 43

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vendorARTICLES Does Your Bank Have an Energy Management Strategy in Place F or many of you an energy strategy that makes sense saves you time and money and increases efficiencies and sustainability is already on your short list for 2021 goals whether that means re tuning your current strategy or building one from the ground up But for others it may seem more daunting in nature or one of those cost effective measures that you know makes sense but regardless you still let slide to the back burner month over month year over year Let s take a closer look at the core motivators in securing smarter energy solutions CREATING BUDGET CERTAINTY ON THE PROCUREMENT PROCESS Did you know that organization leaders in deregulated energy markets have the flexibility to create energy management strategies that align with community goals budgets and fiscal calendars There are numerous benefits to energy deregulation and procurement such as negotiating lower prices for electricity and natural gas peace of mind provided with budget certainty and a worry free fixed all in pricing to name a few Effectively managing energy supply contracts yields substantial cost reductions and improved business performance Despite these benefits deregulation can sometimes lead to confusion and misinformation on your end which stands to reason WHEN TO TAKE ACTION A common misconception centers around the timing of when energy supply agreements can be executed Many executives and leaders believe they must wait until just before their current contract expires to decide what to do next They are not aware they can begin the process much earlier in fact at any time during their current contract term Favorable electricity price trends also greatly determine when business leaders evaluate prices and suppliers as well as when to go the route of a consultant A core component of risk management is mitigating exposure to volatile energy prices that can cause budget uncertainty and operating cost increases The question is do you have adequate time and knowledge to track energy price trends and compare suppliers For an organization that consumes one million kilowatt hours of electricity annually the cost difference between supplier price quotes could be several thousand dollars annually An integral component of an energy management strategy is to seek consultation regarding market timing the procurement process and suppliers and supply contracts Leaders that are proactive have a competitive advantage when addressing their energy supply needs They are positioned to make more fully informed decisions that decrease costs and provide improved budget planning and forecasting MAKE AN ENERGY MANAGEMENT STRATEGY A PRIORITY Energy is among one of the biggest cost factors of a business large or small but ironically enough it s also one that isn t always a top priority Re prioritizing how your organization approaches energy management and spend is the first step but how do you move from talking about energy strategy to executing on smarter strategies Start by exploring your current energy costs demand objectives and issues so that you can make informed decisions about how to move forward No two businesses are the same and no two strategies are alike either so think in terms of what works for your bank your team and your budgetary goals and objectives Exploring your options is a great first step in any process and energy management is no exception to that rule A great place to start is by contacting the PA Bankers Association endorsed energy provider APPI Energy To learn more about how they can assist you visit www appienergy com email info appienergy com or call 800520 6685 ABOUT THE AUTHOR MICHAEL S PAYNE J D L L M EXECUTIVE VICE PRESIDENT AND CORPORATE COUNSEL AFFILIATED POWER PURCHASERS INTERNATIONAL LLC APPI ENERGY Mr Payne is an APPI Energy executive responsible for managing consulting services due diligence of vendors and energy suppliers and corporate legal matters He has more than 40 years of experience in business development strategic planning and financial management as an entrepreneur in energy financial services and investment banking 44 PA Bankers Association pabankers com

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WHERE WE ARE TODAY In an emergency Sunday meeting on March 15 2020 the Federal Reserve announced it was dropping its benchmark interest rate to zero and launched a new round of open ended quantitative easing The move was a direct response to the coronavirus outbreak which had disrupted economic activity around the world including the United States During this time the 10 year and 30 year treasury bond yields reached new all time low as dollars flowed into the treasury markets seeking the full faith and credit of the United States government The moves by the Fed and the markets left financial institutions with a U S Treasury Curve at historic lows As a result institutions with asset sensitive balance sheets are facing the likelihood of margin compression So here we are with low interest rates following a severe economic downturn Hey I ve seen that movie before In 2008 the Fed sharply cut its target funds rate down to zero in an effort to spur lending and jumpstart overall economic activity In the crisis environment of 2008 2009 many banks were tempted to purchase investments outside their typical investment purchases in order to find yield Private label MBS and CMOs trust preferred securities preferred stock and subordinated debt were a handful of the types of investments that were purchased In the wake of that crisis many of those securities experienced major losses or became worthless More than a decade later and we re seeing a resurgence of some of these same types of investments DODGING BULLETS If you are shown an investment offering a yield that seems a little too good to director for the Class of 2021 HOW DO YOU SPREAD THE WORD ABOUT PA BANKERS TO YOUR INSTITUTION As a PA Bankers Champion I am set up to receive all PA Bankers alerts When I receive information that is specific to a certain function I relay that information to the appropriate individuals at Ephrata PA Bankers Association Quarter 1 2021 45

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vendorARTICLES Building a Discipline to Drive Digital Banking Strategy Smaller banks bring unique value to the mobile arms race O ver the last two years the largest financial institutions in the U S marketplace have made significant investments in their mobile applications centered around improving the client experience Mobile app store ratings have gone from an average of 4 2 to 4 8 with increased functionality improved experience and ease of use This fast pace has banks contemplating how they can compete in this mobile arms race and what unique value smaller institutions can bring to the table With megabanks spending billions on digital investments each year regional and community bank executives understand they cannot compete on resources Instead these players are focusing on specific niches brand strategies and community connections to differentiate themselves For these institutions digital strategy should be focused on a disciplined allocation of resources and a management team obsessed with understanding performance competition and the voice of the digital customer During the past six months of the pandemic the need for a disciplined voice of the customer process has become even more pronounced Customers are communicating their frustration with experiences that are not ready for prime time in the digital world Key frustrations revealed include Service requests that cannot be processed in real time A lack of recurring digital status reporting on customer requests Functionality that is available through online banking but not in the mobile app An inability to quickly connect 46 PA Bankers Association with a service representative when challenged with a digital session either through chat or an immediate call from the bank Best practice institutions are not managing the digital shift in a reactive fashion Instead they are building a disciplined voice of the digital customer process focused on six key areas 1 MAKE DIGITAL BENCHMARKS AND KPIS VISIBLE Creating a recurring digital snapshot allows executive management to track key performance indicators in each stage of a customer s digital experience with the bank Cornerstone s Growth Engine Framework illustrated below summarizes common measurements used to monitor the digital customer through the capture acquire and nurture stages of relationship development These metrics monitor activity across a bank s website marketing automation digital account and loan origination platforms and digital banking platforms Executives should ensure dashboards with these types of measures and benchmarks are bubbling up to the C suites each month to provide effective oversight 2 MONITOR COMPETITION AND VENDOR FUNCTIONALITY Bank executives often hear their frontline lament Our digital app is so behind others yet they have no formal competitive intelligence monitoring to validate this perception Digital strategy requires frequent monitoring of the local competition as well as national and best practice institutions that a bank s customers can easily access A key element of Cornerstone s digital strategy work is an evaluation of a bank s competitive capabilities along key criteria such as Authentication and registration fingerprint facial recognition PIN etc Account information and custom views Alerting quick balance alerts real timeline alerts Money movement P2P external transfers bill payment ACH Account opening Loan origination Fraud controls Channel integration Communication and feedback Statements and reporting Banks should also review how well their digital platform capabilities compare to others in the market such as NCR Q2 Alkami Fiserv FIS Jack Henry and Temenos The bank should monitor app store ratings versus the competition looking at the median on both Apple and Android devices This competitive information should be actively shared with senior leaders board members and frontline staff The branch and contact center are getting the tough questions from customers and sharing this information may make them more confident in serving customers 3 ENGAGE NET PROMOTER AND CLIENT FEEDBACK CHANNELS Evolving a bank s digital strategy requires digging into the details of customer loyalty and feedback Typically some of the lowest Net Promoter scores NPS in banking come from frustrated digital banking and payments users To ensure an effective digital customer feedback process banks should Utilize a surveying system that can easily be linked from a mobile app online and on your website Keep it simple with the number and phrasing of questions pabankers com

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Integrate feedback with app stores reviews Digital banking vendors such as Alkami NCR and Q2 are working to provide sentiment applications where mobile banking app user feedback is leveraged to create an app store rating Thirdparty vendors such as Airship or OneSignal can also provide these capabilities Track the NPS of active customers whose primary channel usage is digital separately from customers who primarily use the branch so management can focus on accelerated improvements to this score Pay special attention to detractor comments and quickly convert commonly mentioned items into experience improvement sprints 4 ADDRESS INACTIVE USER ENGAGEMENT A deliberate approach to addressing inactive digital users should include the following A campaign targeting inactive users every 90 120 270 and 360 days will allow the bank to engage with them Cornerstone s experience shows that 20 25 of clients will reengage after 90 days of inactivity with these efforts Even 12 of those who have been inactive 270 days or more can be transformed into active digital users After a full year of inactivity customers most likely will not re engage and banks should give customers an early warning regarding deactivation and any paper statement fees that may be triggered In order to support the bank s brand it is important to stress the fraud risk perspective of shutting down access if the customer will use the channel 5 APPOINT DIGITAL AMBASSADORS An effective digital strategy requires strong engagement with branch and contact center staff These team members are the linchpin in promoting educating and communicating the features and benefits of the bank s digital banking offerings A formal program focused on frontline outreach provides a huge opportunity to set the bank apart Executives should consider appointing a digital ambassador in each branch and in the contact center These team members can participate in a specialized training program with monthly meetings centered around digital banking product knowledge new releases and new features These ambassadors become the voice of the digital channel in their department and act as go tos for more complex customer questions 6 PROMOTE YOUR SUCCESS A digital strategy requires proactively promoting the bank s successes Every time a new app or feature is rolled out the bank should make a splash Every time a customer provides positive commentary it warrants a testimonial Customers trust their peers more than any other source so these reviews matter in building the bank s brand Banks need to embrace the buzz that accompanies the release strategies of players like Apple and Samsung and share via customer communications and social media cool new things the organization is getting out the door Bank executives have woken up to the urgency of executing on a digital strategy to compete with larger players yet the gritty discipline to manage this strategy from the C suites has been lacking By integrating performance and competitive customer data at the top of the house leaders can truly drive and influence better outcomes from the digital channel ABOUT THE AUTHOR CHRIS MILLER CORNERSTONE ADVISORS has nearly a decade of experience in digital marketing and innovation Chris is skilled at translating data driven insights into actionable strategies that drive organizational growth In his role as director in Cornerstone s Delivery Channels practice area Chris helps clients develop and execute their digital strategies utilizing key marketing initiatives to support growth drive product expansion and secure beneficial contracts Before Cornerstone Chris headed up the electronic banking division at 1st Source Bank Chris has a bachelor s degree in business management with a minor in marketing from Indiana University at South Bend Ind ABOUT THE AUTHOR AMANDA SWANSON CORNERSTONE ADVISORS is focused on delivery channel strategy and planning marketing strategy and planning customer experience improvement and digital systems selections and implementations Prior to Cornerstone Amanda managed a regional bank s digital channel payment digital wallet ACH technology and debit card and virtual products strategy She also spent six years with Wells Fargo where she worked on brand and marketing initiatives across the retail mortgage commercial and corporate trust departments Amanda has served as a creative manager for global consumer brands and financial institutions where her energies were focused on product development marketing strategy marketing communications campaigns budgeting marketing research and vendor management Amanda is a contributing author for GonzoBanker Cornerstone s blog and has been quoted in industry publications including CU Management Amanda has a master s degree in integrated marketing communications from West Virginia University Morgantown W Va a bachelor s degree in marketing management from the University of Saint Thomas St Paul Minn and an associate degree in Graphic Design from Brown College Mendota Heights Minn PA Bankers Association Quarter 1 2021 47

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vendorARTICLES Going Digital Fundamentals of a Strong Marketing Strategy to Grow Your Bank Online T his year has been an incredible catalyst for change and innovation in the banking industry While the current climate has created immense pressure on financial institutions to adapt quickly to changing ecosystems evolving customer needs and shifting regulatory frameworks it also presents an exciting opportunity for bank marketers to really strengthen their banks digital strategies We are now in a new normal where comprehensive digital marketing strategies are no longer a nice to have they are a must COVID has created greater urgency to adapt to digital on top of the ever present competitive influences and increasing costs of doing business It s no surprise that 71 of financial services organizations plan to increase their digital marketing spend in the year to come according to a recent Adobe study Now before diving into the world of Facebook email marketing and yes TikTok it is important to start with the key foundational pieces that will set your bank s digital strategy up for success The following fundamentals can help ensure that moving forward your marketing strategy makes a positive impact on your bank s bottom line ONE START WITH A STRONG DIGITAL FOUNDATION Think about your digital foundation just as if you were opening a new branch As a customer centric business you take careful consideration for how the branch is laid out positioning and language of signage and marketing materials available and the accessibility and friendliness of the team The same care and quality must be applied when creating a digital environment through your web and mobile banking experience This is important for two reasons A well structured contemporary website creates trust and credibility with your customers More and more financial institutions are making this a primary focus In fact 81 of financial services companies say that digital customer experience optimization will be central to their marketing efforts this year according to a PwC survey Quick win areas to strengthen your digital foundation include Website structure and layout make it easy to find information about your value and products Messaging and language make it accessible and friendly Clear calls to action make it clear what actions you want your customers to take Account opening functionality make it frictionless and quick to become a customer TWO SET RESULTS BASED GOALS This may seem like an obvious one and yet this is often an area that falls secondary in the marketing planning process Taking it back to basics for an impactful strategy your digital marketing goals must be SMART as a refresher this means goals that are specific measurable attainable relevant and time based As you look to plan and allocate marketing dollars you want to ensure that these marketing dollars are going to move the needle and have a net positive impact for your bank Your marketing goals can actually tie directly back to your bank s overall business objectives to achieve this For example if the bank is focused on growing its deposit base ensure marketing initiatives directly support this goal and within the bank s capacity We recommend focusing on a balance of money based goals and conversion based goals to ensure campaigns not only achieve bottom line objectives but also within your budgets A good question to ask is whether you know what your current cost is to acquire a new customer If not now is an opportunity to start to explore this internally as you set results based goals Survey We asked banker attendees of a recent webinar what their typical objectives are for their bank s marketing activities and here are the results More importantly a clean and friendly user journey also makes it easy for website visitors to ultimately become customers Millennials are twice as likely to open an account based on experiential factors which means this is a must if you re wanting to reach younger customers PwC 48 PA Bankers Association pabankers com

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THREE TRANSPARENCY IS KEY One of digital marketing s greatest strengths is the ability to have complete transparency on marketing efforts Before ever looking to implement digital marketing strategies make sure your tracking and measurement fundamentals are in place This will set your marketing up for success and provide you with a clear picture of where your budget is working for you and whether you re achieving your results based goals As a first step Google Analytics is a great place to start to give you visibility on campaigns and customer activity on your website and mobile app In addition it is equally important to be able to track and measure your end to end customer journey This means following where website visitors are coming from all the way through to when they sign up for an account This is what allows fintechs neobanks and even the larger banks to quickly adapt their marketing efforts to what s working and what s not by having transparency What s exciting is this is equally achievable and accessible to banks of any size willing to invest in this foundational piece and it s not as expensive or involved as you may think We ve started seeing this shift in mindset already According to a recent webinar survey thirty eight percent of bankers believe being able to measure results would make the biggest impact to their bank s marketing efforts Another thirty eight percent plan to focus on having clear resultsbased goals which means transparency will be part of their marketing foundation FOUR FIND THE RIGHT CHANNEL MIX In choosing where to allocate your digital marketing budget there are a number of factors that can help determine which channels or tactics are right for your bank Having clear results based goals is the start What are you aiming to achieve with your efforts For example is it net new mortgage customers or growth in customer deposits Next is your audience define who you are looking to target and their needs Are you wanting to reach first time homebuyers or retirees From there you can choose the channels and messaging to help achieve those goals There are a range of digital marketing channels at your disposal each with their own strengths and weaknesses For example search engine optimization tactics SEO is a great way for your bank to use content to get in front of high intent customers looking for a specific product or service The downside is it is a timeintensive channel Some Midwest banks have done very well with keyword driven strategies that position their bank s website as the top result in search engines for construction or agricultural loans in their areas One channel in particular that is often overlooked is performance marketing also known as affiliate marketing This type of marketing involves partnering with websites and bloggers in finance who will promote your bank via articles reviews and even podcasts and the best part is it is on a results basis cost per acquisition Tracking is a must for this type of marketing No matter the channel mix you choose remember to maintain consistency tie your efforts back to your goals and be able to measure what s working FIVE START SMALL AND TEST Like anything take your digital strategy one step at a time Look at how much of your budget is currently allocated to digital marketing and where there is opportunity to reallocate budgets to new tactics We asked bankers through a recent webinar what percentage of their marketing budget goes to digital marketing activities and discovered that eighty percent of respondents spend less than twenty percent of their bank s marketing budget on digital As a benchmark most other industries allocate on average more than forty percent of their budgets to digital spend As banks can look to narrow this gap by shifting their focus to digital the key is to start small Start to invest in certain channels and measure what is working to be able to adjust accordingly By testing and learning you ll start to refine your strategy and identify the areas that are making the biggest impact KEY TAKEAWAYS There has never been a more important time for banks to make the shift to digital As you and your team look to incorporate more digital tactics into your marketing strategy use these fundamentals to help guide your approach Remember that not all banks are alike and all strategies are unique Ensure you have a strong digital foundation that s right for your bank Set clear goals that are measurable and align with bank objectives in order to direct your marketing channel mix Have the tools in place to be able to measure what s really working and always be testing and learning With these fundamentals in place your bank will be wellpoised for digital growth in this evolving ecosystem ABOUT THE AUTHOR ALANA LEVINE is CRO and founding member of FINTEL CONNECT an award winning performance marketing company dedicated to driving scalable cost effective growth in financial services She has experience across multiple niche verticals servicing 50 markets worldwide with a passion for partnerships marketing and business development Alana holds bachelors degrees in economics and psychology and a post graduate degree in finance from McGill University PA Bankers Association Quarter 1 2021 49

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brand perception THE ART OF SURVIVIAL DURING A GLOBAL PANDEMIC A few years ago my daughter was getting married After spending the day touring different venues she came home and exclaimed that she found the perfect place I asked her the cost per plate the capacity the availablity all the information that a father needs to know before footing the bill but all to which she did not know Better yet she never thought to ask When I asked her how she was able to determine this venue was the place without knowing any of the facts she responded by telling me it was all in the look She made the decision within five minutes of walking in based solely on aesthetic appeal The venue was recently renovated immaculately clean and really portrayed something out of a fairy tale So strong was the perception of the venue that it trumped costs and logistics Too expensive We ll make it work Awkward hours We ll make it work Awful food We ll bring in a caterer It is simply amazing how we as consumers are willing to make sacrifices to our convenience and our wallets when dealing with something that we perceive to be great by James G Caliendo Perception is powerful It can question our reasoning and alter our judgement even when we know our perception may be wrong It latches on to our psyche and drives us to make decisions both rational and irrational How many times have you driven out of your way to go to a restaurant based on a review or a past experience How many restaurants did you pass along the way to get there How many times have you made an expensive purchase on something you thought would be revolutionary a TV a laptop a phone or a car How many less expensive models did you pass up to buy it Whether we have to have it have to drive it or have to be married in it the way we perceive something to be will dictate our drive to engage with it as consumers President CEO PWCampbell James G Caliendo is a former bank executive and now President and CEO at the 110 year old design build and retail services firm In the past 20 years alone under Jim s direction PWCampbell has worked with over 500 financial institutions influencing millions of square feet of retail and operational space to create engaging impactful and scalable solutions for every sized facility project 50 PA Bankers Association pabankers com

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Branches are exactly the same way and the perception that you give your consumers will dictate your success in the industry If your branch is outdated lacking in technology not operationally logical cluttered or unbranded you need to understand the message that you are sending your consumers Throw a global pandemic into the mix and that message is magnified tenfold For example in normal times an outdated branch may give the perception of being behind the times or maybe just getting by but during a pandemic it serves doubt on whether or not you will even make it out alive Everything you have done will do right now is under a microscope Make the wrong move and you can very well be feeling the repercussions of a bad decision for years to come However make the right move and you will be set up for success by capturing market share and outperforming your competitive set That sounds like a lot of pressure but it is a lot easier than you think The key is all in perception The goal is to drive the perception that you are here to stay and that your institution is financially sound sound enough to withstand the hardships and mounting pressure of anything even a global pandemic And the best way to do that is by making investments in your branches now Whether it be improvements to the space expanding to a new location or integrating technology you need to show your consumers and your community that you are here to win SOME THINGS TO CONSIDER NEXT GEN BANKER Statistically speaking millennials and Gen X make up the overwhelming majority of the U S workforce Whether we like it or not this next gen banker is on the rise and on the prowl Understand that your outdated branch could be the deciding factor between attracting retaining or losing new customers for years to come Invest in capital improvements to renovate modernize or reimagine your space to appeal to the new age consumer while still appealing to your existing customer base PANDEMIC RESPONSE The pandemic has caused trying times for businesses all over the globe We are hearing stories every day of local businesses constantly having to adjust their daily operations while learning to adapt to shifting consumer behaviors Some businesses have been forced to close their doors permanently as a result of the ever changing mandates s Your customers will be looking very closely at what you do now more than ever to assess your stability and even the smallest misstep will be scrutinized SOMETHING IS BETTER THAN NOTHING A lack of action in your branches now will give off a perception that your brand is remaining complacent a losing strategy for future growth and survival Complacency means uncertainty and uncertainty leads to worry By not investing now the message you are sending to your consumers is we are going to wait it out and see if we can survive first not the message you want to send to your existing and potential consumer base On the flip side investing in your branches now screams we are here for the long haul And this is especially true when your competition is not spending It shows stability as well as success It is a sure fire way to enhance the perception of your institution BEEF UP TECH Specifically enhancing your technology profile within your branches sends a clear message to consumers We see future in our institution By adopting and integrating technology in the branch not only are you enhancing the overall customer experience but the perception is that you are future proofing your branches to meet the needs of the modern banker and the industry for years to come The underlying message is that you will continue to be there as a stronghold in the community From digital signage to iPad integration touchscreen kiosks and more the opportunities are endless Pick one or pick them all and run with it STOP WORKING IN YOUR BRANCHES And start working on your branches Read that again The biggest and most common mistake that CEOs and executives make especially in stressful times is that they get so caught up in the day to day that they lose sight of the long term vision and strategic mission of the brand Remember the vision and perception come from the top down so leading by example is a must If you want to drive a positive perception to your consumers establishing one for your employees is equally important as they are the ones on the front line driving the customer journey In the end it is important not to lose sight of the end goal of the brand to grow And investing in your branches especially at a time like this is the best way to show it As the saying goes the best defense is a stronger offense Act now invest in your branches and push the positive perception that will continue to generate return for years to come PA Bankers Association Quarter 1 2021 51

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PA Bankers Services Corporation Select Vendors Provide PA Bankers Members Savings Service and Quality BANKERS ALLIANCE ABA INSURANCE SERVICES Bond D O Cyber Insurance and Employment Practices Liability Patricia Williams 216 220 1280 pwilliams abais com ACCUME PARTNERS Outsourced Internal Auditing and Risk Management Services Nicole Lloyd 717 903 3142 nlloyd accumepartners com ANDERSON GROUP Integrated Marketing and Communications and Business Intelligence Ray Melcher 610 678 1506 rmelcher thinkanderson com APPI ENERGY Electricity and Natural Gas Procurement Services Utilities Management Platform Margo Madden 667 330 1239 mmadden appienergy com 52 PA Bankers Association APPROVAL PAYMENT SOLUTIONS INC Merchant Processing Search Engine Optimization Website Design and Social Media Management Danielle Lausch 717 892 8988 dlausch apsolutions net THE BAKER GROUP Asset Liability Management Software and Services Charles Amis 405 415 7231 Charlie gobaker com BANK HEALTH CARE CONSORTIUM OF PA 34 banks received credits in surplus of over 8 9 million in 2018 with an average net funding increase in single digits Wayne Whipple 717 255 6925 wwhipple pabankers com BANK TALENT HQ Diversity is Essential Find Talent in all the Right Places Wayne Whipple 717 255 6925 wwhipple pabankers com A Family of Bank Compliance Services That Includes Compliance Alliance Review Alliance and Virtual Compliance Officer Wayne Whipple 717 255 6925 wwhipple pabankers com BANZAI Interactive award winning course teaching students real world finance No Upfront Cost Jake Finlinson 214 417 9426 jake teachbanzai com BITS Managed Service Provider for Voice and Data Communication Christian Ericson 973 474 1828 christian ericson bitsnetwork com COMMONWEALTH CHARITABLE MANAGEMENT Application and Administration of EITC programs Cristine Clayton 570 278 3800 cclayton commonwealthcharitable org pabankers com

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CORNERSTONE ADVISORS Core Debit EFT Card Program Loan Origination Bill Pay Mobile Banking ATM Contract Negotiation Jennifer Wagner 480 425 5204 jwagner crnrstone com CRA PARTNERS Receive High Yielding CRA Credit Terry B Rooker 901 529 4781 terry rooker SHCPFoundation org GRADIENT CYBER Automated CAT Tool Digital Forensic Investigation Network Consensus Cybersecurity Chris Warman 412 600 7860 cwarmanjr gradientcyber com INVESTORS TITLE INSURANCE COMPANY THE FULCRUM GROUP INTERNATIONAL INC Reviewing Re negotiating and Bidding Check Printing Relationship Ted Amon 770 736 5787 ted thefulcrumgroupintl com GLOBALVISION SYSTEMS INC Anti Money Laundering Catherine Lew 818 998 7851 x128 clew gv systems com NFP EXECUTIVE BENEFITS BOLI Executive Compensation and Long Term Care Multi Bank Owned Title Insurance Program Karen Barnett 419 577 5900 kbarnett invtitle com David Shoemaker CPA PFS CFP 901 754 4924 david shoemaker nfp com THE KAFAFIAN GROUP Performance Measurement Robert E Kafafian 973 299 0300 x106 rkafafian kafafiangroup com ONE POINT Outsourced Internal Purchasing Office Supplies Inventory Control and IP Address Marketing Sales Pat McMahon 570 207 5107 pmcmahon opoffice com DEALERTRACK COLLATERAL MANAGEMENT SERVICES INC Electronic Lien and Title Program Wayne Whipple 717 255 6925 wwhipple pabankers com DELUXE CORPORATION Check Program Todd Wroblewski 724 625 5599 todd wroblewski deluxe com NCONTRACTS Integrated Compliance Vendor and Risk Management Michael Harrison 888 370 5552 Michael Harrison ncontracts com KEYSTATE CAPTIVE MANAGEMENT Captive Management and Investment Portfolio Services Brian Amend 302 425 5158 bamend key state com PAYLOCITY HCM Solutions and Engagement Software Lisa DeJoy 717 303 7663 ldejoy paylocity com L R WEBBER Multiple Medical Drug Dental Vision Options and EB Solutions Brad Webber 814 695 8066 bwebber lrwebber com PWCAMPBELL Planning Design Coordination and Construction Management Erin Campbell 800 253 7430 erin campbell pwcampbell com Vendor selections and recommendations are made in accordance with PA Bankers Services Corporation s stated mission It is believed that the promoted products and services merit strong consideration by PA Bankers member banks PA Bankers Services Corporation due diligence and selection criteria should not be construed as a guarantee as the ultimate appropriateness may vary from bank to bank In addition member banks are encouraged to conduct their own due diligence reviews of recommended vendors Remuneration received by PA Bankers Services Corporation is utilized in part to support the PA Bankers Association through contracted agreements corporate sponsorships and overhead coverage This financial support expands resources and strengthens the services and programs of the PA Bankers Association PA Bankers Association Quarter 1 2021 53

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TALENT GATHERS HERE Hiring quality employees has never been so easy THE PREFERRED FOR THE CAREER BANKING NEW E H R T YOU FIND O T ION T I D DAY AD O T TEAM CENTER INDUSTRY Make your jobs easy to find Attract qualified applicants Endless HR resources Engage job seekers Exclusive to the financial services industry VISIT BANKTALENTHQ COM SPECIALOFFER ON EVERY JOB TO RECEIVE SAVINGS POSTING When you post an available position on BankTalentHQ that job is automatically distributed to a network comprised of 15 500 community based organizations including women minorities individuals with disabilities veterans LGBTQIA older workers and many more BankTalentHQ com

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What s Your Next Competitive Advantage Two new services from Bankers Alliance were designed to give you an edge in your market by giving you access to our experts Virtual Compliance Officer VCO helps you take stock and move forward with ongoing monitoring reporting and guidance from our remote experts Review Alliance R A kick starts your compliance and BSA reviews through external audits of your processes and previous transactions Together they re a set of remarkable tools making you more effective and accelerating your profitability Talk to us about your requirements today by calling 833 683 0701 or by inquiring at info bankersalliance org bankersalliance org