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HomeMy WebLinkAbout00-0832Register of Wills of Cumberland County, Pennsylvania PETITION FOR GRANT OF LETTERS Estate of Ruth E. Knudsen also known as ,Deceased David C. Knudsen Petitioner(s), who is/are 18 years of age or older, apply(ies) for: (COMPLETE 'A' or 'B' BELOW:) No. _ a\ 6~ 6g3a Social Security No. 508 -10 - 8673 QX A. Probate and Grant of Letters Testamentary and aver that Petitioner(s) is/are the execut or named in the last Will of the Decedent, dated 03/06/2001 and codicil(s) dated None State relevant circumstances, e.g., renunciation, death of executor, etc. Except as follows, Decedent did not marry, was not divorced, and did not have a child born or adopted after execution of the documents offered for probate; was not the victim of a killing and was never adjudicated incompetent: B. Grant of Letters of Administration (c.t.a.; d.b.n.c.t.a; pendente life; durante absentia; durante rrlinoritate) ~ s Petitioner(s) after a proper search has/have ascertained that Decedent left no Will and was survived by the following spouse (if any) and heirs: or principal residence at 410 Bethany Drive, Lower Allen Township, Mechanicsburg, PA 17055 (list street, number, and municipality) Decedent, then 91 years of age, died 10/26/2007 at Bethany Village, Mechanicsburg, PA (Location) Decedent at death owned property with estimated values as follows: (If domiciled in PA) All personal property $ (If not domiciled in PA) Personal property in Pennsylvania $ (If not domiciled in PA) Personal property in County $ Value of real estate in Pennsylvania $ situated as follows: 25.000.00 Wherefore, Petitioner(s) respectfully request(s) the probate of the last Will and Codicil(s) presented with this Petition and the grant of letters jl~e appropriate form to the~ndersioned: Prepared by the Pennsylvania Bar Association Copyright (c) 1996 form software only CPSystems, Inc. Form RH/-1 (1991) (COMPLETE IN ALL CASES:) Attach additional sheets if necessary. Decedent was domiciled at death in Cumberland County, Pennsylvania with his/her last family Oath of Personal Representative Commonwealth of Pennsylvania County of Cumberland The Petitioner(s) above-named swear(s) or affirm(s) that the statements in the foregoing Petition are true and correct to the best of the knowledge and belief of Petitioner( a d that, as personal representative the Decedent, Petitioner(s) will well and truly administer the est a ording to ~w,/'~ ~ ~~~ Sworn to or affirmed and subscribed before me this g,, day of ~ou~~ , ac~~ For the Register vid C.- Knuds No. ~ ` bd ~ VP Estate of Ruth E . Knudsen Deceased Social Security No: 508-10-8673 Date of Death: 10/26/2007 -7 AND NOW, ~~fn ~ r ~ , o`~`~ / , in consideration of the Petition on the reverse side hereon, satisfactory proof having been presented before me, IT IS DECREED that Letters ~X Testamentary ~ Of Administration (c.t.a.; d. b.n.c.t.a.; pendente liter durante absentia; durante minoritate) are hereby granted to David C. Knudsen ;..~ , __ _ ~ -_ in the above estate and that the instrument(s) dated 03/06/2001 described in the Petition be admitted to probate and filed of record as the last Will of Decedent. FEES Letters . . ~ ~~, v~U $ ~~ Short Certificate(s) . . ~ $ RET1RT701'dtit3T1'. .~J 1 ~ ~. $ ~ J Attorney: Affidavits ( ) $ I.D. No: 25444 Boswell Tintner Piccola & Alford Extra Pages ( ) . $ Address: 315 N. Front Street P. 0. Box 741 Codicil....... $ Harrisburg, PA 17108-0741 JCP Fee . . ~~. ~~. $ ~ ~ Telephone: 717/236- 9377 Inventory. $ Other $ TOTAL. $ /~w0 Prepared by the Pennsylvania Bar Association Copyright (c) 1996 form software only CPSystems, Inc. Form f;Nl/-1 (1991) Jeffre Boswell, Es uire o 8 5~ (N ,o a 1 00 og3'a LOCAL REGISTRAR'S CERTIFICATION OF DEATH WARNING: It is illegal to duplicate this copy by photostat or photograph. Fee for this certificate, $6.00 This is to certify that the information here given is correctly copied from an original Certificate of Death duly filed with me as Local Registrar. The original certificate will be forwarded to the State Vital Records Office for permanent filing. P 1988491 Certification Number Local Registrar Date Issued i REV nrzods COMMONWEALTH OF PENNSYLVANIA • DEPARTMENT OF HEALTH • VITAL RECORDS 'PRIM IN dANEF1T CERTIFICATE OF DEATH ~ ~-~ .CK INK (See instructions and examples on reversal time t (FlrsL middle, led. suffix) 2. Sex 3. Social Security Number - ~~ ~. ` . ~" "V'•' ; pate of Death (Month, tlay,'yar) Ruth Ellen Knudsen female 508 - 10 - 8673 October ~ 2007 5. Age (Last Bintgay) Uakr 1 year Ihxler 1 day 8. Date of BirN (Month, day, art 7. Srihplaw (City antl date a fo n country) Sa. Place of Death (Check anty ax,) tknN, Days Hun Mhuae Hapilal: Other: 91 yrs. January 20, 1916 Thurman, Iowa ^Irpetient ^ER/Outpatient ^DOA ®NUreing Home ^Reddence ^gher~Spedry: Bb. County of Death &. CKy, Bom, Twp, of Death /b. Fadtity Name (N rid krotiNition, give sheet end number) 9. Wes Decedat of HLapenk: Origin? ®No ^ Yes 10. Race: American Indian, Black, Whhe, ek. Cumberland Lower Allen Twp. Bethan Villa e (0~a''I"cy0i~a"' (svaafyt Y g Mexican, Pwrto Rlwn, emJ whit e 11. Dewdem's Usual lion Kind of work tlara du' mod d warlo life. Do not date retire0 12. Was Decedem ever in the 13. Decedent's Etluption (Spedly anty highest grade completed) 14. ManWl Sates: Marie4 Never Mamietl, 15. Surirdrg Spouse (If wife give maiden name) , Kk7tl d Work KNd d Bwmess I Industry U.S. Amred Forces? Elementary /Secondary (0.12) College (7-4 or 5+) Wxbwetl, DNOrced (Speailyj Homemaker Domestic ^va ®Na 12 4 widowed 16. Decedenra Matting Address (Sreet sty /town, slate, zip code) 5225 Wilson Lane Decedenys D'd Decedent AdudRaidence na.slale Pennsylvania Livema 17c.®Ya Decedenlliuedin Lower Allen Mechanicsburg, PA 17055 , T,rp Township? 17tl. ^ No, Deadens Lhred within 7ro. caxdy Cumberland Adual limfls of cnY Boo 19. FaNer's Name (Fast, middle, lad, sufix) 19. Mdhefs Name (FlrsL mkltlle, maiden surname) Archibald Hutchinson Ruth Henderson 20a. Inlormenrs Name (Type /Print) 20b. Iniom~enPs Mailing Address (SreeL city /Town, dare, zip cede) Karen A. Knudsen 150 Spring Lane, Philadelphia, PA 19128 21a. McNal d Disposition I ^ Crertatia ^ pgytia ~ Burial ^ Removal tram state WasC tb p O A M i d 276. Date of Dispwilbn (Monty, day, year) 21c. Plow d Dispositlon (Name of wmetery, crematory a other plow) lid. Lowden (City I Town, date, zip code) ~ reme nor ona On u Or za ^ other-svaLyM byMtKNeslExamineryCaonen ^ves^Na October 30,2007 Rollin g Green Cemetery ower Allen Twp. , PA 17011 22a. S d Lxeaee (a person acting a such) 22b. License Number 22c. Name an0 Address of FadRty - "-' FD 012 848 L Parthemore FH & CS, Inc., P.O. Box 431, New Cumberland, PA 17070 re ems 23ac wfxan amtyNA physkder7 k rid avdlade d Ilene d dafll to 23a. To tire beet of my krmwledge, death occurred d dre Ume, Ode aM place dated. (Signature and Nle) 236. License Number 23c. Date Signed (Month, day, year) wrtly wwe d death. gam, Y4~ ~ be ~ by ce~ 24. Time of DeaN 25. Date Praiaxxwd Dad (Monts, day, year) 26. Was Case Referred to Medk;el Examiner / Coroner for a Reason ONer roan Cremation or Donation? who pranunces deeN. 2:10 PM M. October 26, 2007 ^ves ®No CAUSE OF DEATH (Sae InsWeUOns and examples) r Approximate interval: hem 27. Pan I: Enter the chain d rwera -diseases, Njrdet, a complicaeom -Nat tiredly woad the death. DO NOT ceder terminal events such as cardiac arrest r Opel N DaN i l d ld l Tb itl ti fl Pen II: Enter rxher ~ dx not resuflkg in Ne uabnykq ceua gWen in Pan I. 29. Dkf To6exo Use ContribNe W Death? ^ Vas ^ Probably resp ra ay erre , a ven a ar r a on w hoN sfowkg Ne didogy. lid tidy axs aua on each INe. r r ^ Na ^ Unknown IMMEdATE CAUSE IFmel draease a ~ _ atxf6on r9auNng n ) -~ a ~ ~ I~ 5 ( S r ~ C~a~, 29. If Female: . Dw to (a a a consequence off: ~ ^ Not pregnenl within pad year SegtarNelry lest rorideors, H any, b. LS R I (rv /A (L ~/' ~ K ~ (. Z 1 ti7 f E :~ IJ i I lNK T ^ Pre nant at time d daN ~ 71 b the arse lxded m fxN a. g Fitter UNOFALYWG CAUSE Dw re (or as a axxsequance of): ~ t ^ Nd pregnant hW pregnem wthin 42 days (diaeaee a e~ury Nat Vitiated Ne events resuflNg in dadh) LAST. c. i of deeN Due to (a as a ca7segwnce °0~ t ^ Nd pregnant, des pregnant 43 days to 1 year d. ~ hekre deeN ^ Unknovm fl pregnant wihin the pad year 30a. Was a Aurepsy Penom~ed? 306. Were Autopsy FNdrgs Available Prior to Complelpn 31. Manner of DaN 32e. Date d IMury (Mats, day, year) 32b. Describe How Inlury Oaurred 32c. Place al Iri Home, Farm, Sreet Fad ' ~ ~' d caws d DaN? ~ Natural ^ Fbmida Office Bu , etc. ~^9 /speaih) ^ Yea ~ No ^ Yes ^ No ^ AcGdent ^ Pendng Inveatigadon 32d. Tme of Iryury 32e. Inwry et Waa? 321. II Trenspatatbn InNry (Specify) 32g. Location of Injury (Slreel, oily l loan, date) ^ Sukkle ^ Cou10 Nd be Ddemnad ^ Ves ^ No ^ Dnva I Operates ^ Passenger ^Pedestnan M ONer - Spedfy: 33a Certifier (check mry one) 336. signature end Title d Certlfier ' ' c~IhlnB P6Y~~ (Physidan certirying cause of tlaN when another physidan bas Waraurxatl tlaN and wrtlpldad Item 23) `t U fM,x ~+ (~ ' C~~ ~ 1~ - To the bestWmy knoM•d0s, eeetA OCCUnetl ties Mthe auae(s)end ranrwraetared---------------------------------',+"' ' Pronouncing one tertlrying physician (Physidan boN pronamdng aaN and certityirp to caws M tlealh) To dte best of my krtowhdge, Bath occurred M the tans, dab, 7mtl p4a, and des to the pos(e) and manner a arered_ _ _ _ _ _ _ _ _ _ _ _ ^ ------ 33c. License Number 33d. Oere 5'ryratl (Monty, aY Yar) • Medial EZanar/cararor (Y~ p eC 71 ~ $li 4C ~ ~: ~~ r 2 Ca ~ On dis basic of examinellon one / a Invsstigalbn, in my opinion, death occumetl m its time, dale, ens piece, end des to the pose(s) and manner a staled., ^ 34. Name and Address of Person Who C ompleted Cause of DaN (Ite m 27) Type /Print 35. Registrar's signeWr~District ~ _, /~ / I O~ I / I ~+I 1 I (I - [ G 38. Dare Fed (Man ,day,ya0 tt Ncr.T a'7lzs i~l-rTl Cl.x ern 1' _ ~' c 1 Cc ~ 77-~ 1-h 1, -b Li St -~ i - cf I ~ )1 . rYi2.. ~ ~D D ~ p r r : ~ o .r ,v : I 1 t! Dlapositiort Permd No. (~ / l C~.'[ ~ C LAST WILL AND TESTAMENT OF R UTH E. KNUDSEN Introductory Clause. I, RUTHE. KNUDSEN, a resident of and domiciled in the Township of LOWER ALLEN, County of CUMBERLAND and Commonwealth of Pennsylvania, do hereby make, publish and declare this to be my Last Will and Testament, hereby revoking all Wills and Codicils at any time heretofore made by me. I am married to CLARENCE V. KNUDSEN. I have three living children: KARENA. KNUDSEN; PAUL R KNUDSEN; and DAVID C. KNUDSEN. ITEM I Direction to Pay Debts. I direct that all my legally enforceable debts, secured and unsecured, be paid as soon as practicable after my death. ITEM II General Bequest of Personal and Household Effects With a Precatory Memorandum. I give and bequeath all my personal and household effects of every kind including but not limited to furniture, appliances, furnishings, pictures, silverware, china, glass, books, jewelry, wearing apparel, boats, automobiles, and other vehicles, and all policies of fire, burglary, property damage, and other insurance on or in connection with the use of this property, to my husband, CLARENCE V. KNUDSEN, if he shall survive me. If my husband shall not survive me, I give and bequeath all this property to my children surviving me, in approximately equal shares; provided, however, the issue of a deceased child surviving me shall take per stirpes the share their parent would have taken had he or she survived me. If my issue do not agree to the division of the property among themselves, my Executor shall make such division among them, the decision of my Executor to be in all respects binding upon my issue. I request that my husband, my Executor and my issue abide by any memorandum by me directing the disposition of this property or any part thereof. This request is precatory and not mandatory. If any beneficiary hereunder is a minor, my Executor may distribute such minor's share to such minor or for such minor's use to any person with whom such minor is residing or who has the care or control of such minor without further responsibility and the receipt of the person to whom it is Last Will and Testament of RUTH E. KNiJDSEN Page 1 distributed shall be a complete discharge of my Executor. The cost of packing and shipping such property shall be charged against my estate as an expense of administration. ITEM III Pour-Over Gift to Trustee of Testatrix's Inter Vivos Trust. I give, devise and bequeath all the rest, residue and remainder of my property of every kind and description (including lapsed legacies and devises), wherever situate and whether acquired before or after the execution of this Will, to PNC BANK, N.A. and DAVID C. KNUDSEN as Trustee under that certain Trust Agreement between me as Settlor and PNC BANK, N.A. and DAVID C. KNUDSEN as Trustee executed prior to the execution of this Will on the day of March, 2001. My Trustee shall add the property bequeathed and devised by this Item to the principal of the above Trust and shall hold, administer and distribute the property in accordance with the provisions of the Trust Agreement, including any amendments thereto made before my death. ITEM IV Alternate Provision to Incorporate Trust by Reference if Pour-Over is Invalid. In the event for any reason the bequest and devise above is ineffective and invalid, then I hereby give, devise and bequeath the rest, residue and remainder of my property of every kind and description (including lapsed legacies and devises), wherever situate and whether acquired before or after the execution of this Will, to PNC BANK, N.A. and DAVID C. KNUDSEN as Trustee to be held, administered and distributed in accordance with the provisions of that certain Trust Agreement between me as Settlor and PNC BANK, N.A. and DAVID C. KNUDSEN as Trustee executed prior to the execution of this Will on the ~ day of March, 2001, which Trust Agreement is hereby incorporated by reference and made a part hereof the same as if the entire Trust Agreement were set forth herein. If for any reason PNC BANK, N.A. and DAVID C. KNUDSEN are unable or unwilling to serve then I hereby nominate, constitute and appoint as successor or substitute Trustee a bank or trust company qualified to do business in the State of my domicile at the time of my death, which successor or substitute Trustee shall be designated in a written instrument filed with the court having jurisdiction over the probate of my estate and signed by my husband or if he fails to act signed by or on behalf of my oldest living child or if he or she fails to act, by the court having jurisdiction over the probate of my estate. ITEM V Naming the Executor, Executor Succession, Executor's Fees and Other Matters. The provisions for naming the Executor, Executor succession, Executor's fees and other matters are set forth below: (1) Naming an Individual Executor. I hereby nominate, constitute and appoint as Executor of this my Last Will and Testament DAVID C. KNUDSEN and direct that he shall serve without bond. Last Will and Testament of RUTH E. KNUDSEN Page 2 (2) Naming Individual Successor or Substitute Executor. If my individual Executor should fail to qualify as Executor hereunder, or for any reason should cease to act in such capacity, the successor or substitute Executor who shall also serve without bond shall be KARENA. KNUDSEN. (3) Final Succession If Individual Successor Executor Cannot Act. If my individual successor Executor should fail to qualify as Executor hereunder, or for any reason should cease to act in such capacity, then the successor or substitute Executor who shall also serve without bond shall be PNC BANK, N.A. (4) Fee Schedule for Individual Executor. For its services as Executor, the individual Executor shall receive reasonable compensation for the services rendered and reimbursement for reasonable expenses. (5) Fee Schedule for Corporate Executor. For its services as Executor, the corporate Executor shall receive an amount determined by its Standard Fee Schedule in effect and applicable at the time of the performance of such services. If no such schedule shall be in effect at that time, it shall be entitled to reasonable compensation for the services rendered. (6) Change in Corporate Fiduciary. Any corporate successor to the trust business of the corporate fiduciary designated herein or at any time acting hereunder shall succeed to the capacity of its predecessor without conveyance or transfer. ITEM VI Definition of Executor. Whenever the word "Executor" or any modifying or substituted pronoun therefor is used in this my Will, such words and respective pronouns shall include both the singular and the plural, the masculine, feminine and neuter gender thereof, and shall apply equally to the Executor named herein and to any successor or substitute Executor acting hereunder, and such successor or substitute Executor shall possess all the rights, powers and duties, authority and responsibility conferred upon the Executor originally named herein. ITEM VII Powers for Executor. By way of illustration and not of limitation and in addition to any inherent, implied or statutory powers granted to Executors generally, my Executor is specifically authorized and empowered with respect to any property, real or personal, at any time held under any provision of this my Will: to allot, allocate between principal and income, assign, borrow, buy, care for, collect, compromise claims, contract with respect to, continue any business of mine, convey, convert, deal with, dispose of, enter into, exchange, hold, improve, incorporate any business of mine, invest, lease, manage, mortgage, grant and exercise options with respect to, take possession of, pledge, receive, release, repair, sell, sue for, to make distributions or divisions in cash or in kind or partly in each without regard to the income tax basis of such asset, and in Last Will and Testament of RUTH E. KNUDSEN Page 3 general, to exercise all the powers in the management of my Estate which any individual could exercise in the management of similar property owned in his or her own right, upon such terms and conditions as to my Executor may seem best, and to execute and deliver any and all instruments and to do all acts which my Executor may deem proper or necessary to carry out the purposes of this my Will, without being limited in any way by the specific grants of power made, and without the necessity of a court order. ITEM VIII Provision for Executor to Act as Trustee for Beneficiary Under Age Twenty-Five. If any share or property hereunder becomes distributable to a beneficiary who has not attained the age of Twenty-five (25) years or if any real property shall be devised to a person who has not attained the age of Twenty-five (25) years at the date of my death, then such share or property shall immediately vest in the beneficiary, but notwithstanding the provisions herein, my Executor acting as Trustee shall retain possession of the share or property in trust for the beneficiary until the beneficiary attains the age of Twenty-five (25), using so much of the net income and principal of the share or property as my Executor deems necessary to provide for the medical care, education, support and maintenance in reasonable comfort of the beneficiary, taking into consideration to the extent my Executor deems advisable any other income or resources of the beneficiary or his or her parents known to my Executor. Any income not so paid or applied shall be accumulated and added to principal. The beneficiary's share or property shall be paid over, distributed and conveyed to the beneficiary upon attaining age Twenty-five (25), or if he or she shall sooner die, to his or her executors or administrators. Whenever my Executor determines it appropriate to pay any money for the benefit of a beneficiary for whom a trust is created hereunder, then the amounts shall be paid out by my Executor in such of the following ways as my Executor deems best: (1) directly to the beneficiary; (2) to the legally appointed guardian of the beneficiary; (3) to some relative or friend for the care, support and education of the beneficiary; (4) by my Executor using such amounts directly for the beneficiary's care, support and education; (5) to a custodian for the beneficiary under the Uniform Gifts or Transfers to Minors Act. My Executor as trustee shall have with respect to each share or property so retained all the powers and discretions conferred upon it as Executor. ITEM IX Discretion Granted to Executor in Reference to Tax Matters. My Executor as the fiduciary of my estate shall have the discretion, but shall not be required when allocating receipts of my estate between income and principal, to make adjustments in the rights of any beneficiaries, or among the principal and income accounts to compensate for the consequences of any tax decision or election, or of any investment or administrative decision, that my Executor believes has had the effect, directly or indirectly, of preferring one beneficiary or group of beneficiaries over others; provided, however, my Executor shall not exercise its discretion in a manner which would cause the loss or reduction of the marital deduction as maybe herein provided. In determining the state or federal estate and income tax liabilities of my estate, my Executor shall have discretion to select the valuation date and to determine whether any or all of Last Will and Testament ofRUTH E. KNIIDSEN Page 4 the allowable administration expenses in my estate shall be used as state or federal estate tax deductions or as state or federal income tax deductions and shall have the discretion to file a joint income tax return with my husband. ITEM X Definition of Children. For purposes of this Will, "children" means the lawful blood descendants in the first degree of the parent designated; and "issue" and "descendants" mean the lawful blood descendants in any degree of the ancestor designated; provided, however, that if a person has been adopted, that person shall be considered a child of such adopting parent and such adopted child and his or her issue shall be considered as issue of the adopting parent or parents and of anyone who is by blood or adoption an ancestor of the adopting parent or either of the adopting parents. The terms "child," "children," "issue," "descendant" and "descendants" or those terms preceded by the terms "living" or "then living" shall include the lawful blood descendant in the first degree of the parent designated even though such descendant is born after the death of such parent. The term "per stirpes" as used herein has the identical meaning as the term "taking by representation" as defined in the Pennsylvania Probate Code. ITEM XI Definition of Words Relating to the Internal Revenue Code. As used herein, the words "gross estate," "adjusted gross estate," "taxable estate," "unified credit" ("unified credit" shall also mean "applicable credit amount"), "state death tax credit," "maximum marital deduction," "marital deduction," "pass," and any other word or words which from the context in which it or they are used refer to the Internal Revenue Code shall have the same meaning as such words have for the purposes of applying the Internal Revenue Code to my estate. For purposes of this Will, my "available generation-skipping transfer exemption" means the generation-skipping transfer tax exemption provided in section 2631 of the Internal Revenue Code of 1986, as amended, in effect at the time of my death reduced by the aggregate of (1) the amount, if any, of my exemption allocated to lifetime transfers of mine by me or by operation of law, and (2) the amount, if any, I have specifically allocated to other property of my gross estate for federal estate tax purposes. For purposes of this Will if at the time of my death I have made gifts with an inclusion ratio of greater than zero for which the gift tax return due date has not expired (including extensions) and I have not yet filed a return, it shall be deemed that my generation- skipping transfer exemption has been allocated to these transfers to the extent necessary (and possible) to exempt the transfer(s) from generation-skipping transfer tax. Reference to sections of the Internal Revenue Code and to the Internal Revenue Code shall refer to the Internal Revenue Code amended to the date of my death. Last Will and Testament of RUTH E. KNUDSEN Page 5 ITEM XII Statement by Testatrix of Intent Not to Exercise Power of Appointment. I hereby refrain from exercising any power of appointment that I may have at the time of my death. ITEM XIII Simultaneous Death Provision Presuming Beneficiary Predeceases Testatrix. If any beneficiary and I should die under such circumstances as would make it doubtful whether the beneficiary or I died first, then it shall be conclusively presumed for the purposes of this Will that the beneficiary predeceased me. Testimonium, Attestation and Self-Proving Affidavit. I, RUTHE. KNUDSEN, the Testatrix, sign my name to this instrument this _ ~ day of March, 2001, and being first duly sworn, do hereby declare to the undersigned authority that I sign and execute this instrument as my last will and that I sign it willingly (or willingly direct another to sign for me}, that I execute it as my free and voluntary act for the purposes therein expressed, and that I am eighteen years of age or older, of sound mind, and under no constraint or undue influence. ~~, ~~«~. R THE. KNUDSEN We, ~"Q~'~'.~~ aoswe tl and t7~4~i~> ~4 • g~w.~ ,the witnesses, sign our names to this instrument, being first duly sworn, and do hereby declare to the undersigned authority that the Testatrix signs and executes this instrument as her last will and that she signs it willingly (or willingly directs another to sign for her), and that each of us, in the presence and hearing of the Testatrix, and in the presence of each other, hereby signs this will as witness to the Testatrix's signing, and that to the best of our knowledge the Testatrix is eighteen years of age or older, of sound mind, and under no constraint or undue influence. (Witness) /1.~ ~- ~' (Witness) last Will and Testament of RUTH E. KNUDSEN Page 6 COMMONWEALTH OF PENNSYLVANIA COUNTY OF DAUPHIN ss. Subscribed, sworn to, and acknowledged before me by RUTHE. KNUDSEN, the Testatrix, and subscribed and sworn to before me by Te~~.~,,,, ~oswetl and ~w~4 ut ~ t3wwN ,witnesses, this ~ay of March, 2001. i' / ~- Seal) Notary Public for Pennsylvania My Commission Expires: ~t~t_Iriul:~cal j Gonrlie L. Hardy, iJotary Public Harrisburg, Dauphin Geuniy My GOIT1PTIiSSIQfi Expires Feb, i0, 2003 bast Will and Testament of RUTH E. KNUDSEN Page 7 Cumberland County - Register Of wills One Courthouse Square Carlisle, PA 17013 Phone: (717)240-6345 Date: 01/29/2008 BOSWELL JEFFREY R 315 N FRONT ST PO BOX 741 HARRISBURG, PA 17108-0741 RE: Estate of KNUDSEN RUTH E File Number: 2000-00832 Dear Sir/Madam: This notice is to serve as a reminder that the Certificate of Notice under Rule 5.6 (a) is due on the below listed date. As per the AMENDMENTS TO SUPREME COURT ORPHANS' COURT RULES, N0. 103 SUPREME COURT RULES DOCKET NO.1, for decedents dying on or after July 1, 1992, the personal representative or his councel, within ten (10) days after giving proper notice to the beneficiaries and intestate heirs as required by subdivision (a) of Rule 5.7, shall file with the Register of Wills or Clerk of the Orphans' Court his/her Certification of Notice. This filing is due by: 02/19/2008 Please feel free to contact this office with any questions you may have. If you have already filed your certificate, please disregard this notice. Sincerely, Glenda Farner Strasbaugh Clerk of the Orphans' Court cc: File Personal Representative(s) "U Cumberland County - Register Of Wills • One Courthouse Square Carlisle, PA 17013 Phone: (717)240-6345 Date: 01/29/2008 KNUDSEN DAVID C 1302 READING BLVD WYOMISSING, PA 19610 RE: Estate of KNUDSEN RUTH E File Number: 2000-00832 Dear Sir/Madam: This notice is to serve as a reminder that the Certificate of Notice under Rule 5.6(a) is due on the below listed date. As per the AMENDMENTS TO SUPREME COURT ORPHANS' COURT RULES, NO. 103 SUPREME COURT RULES DOCKET NO.1, for decedents dying on or after July 1, 1992, the personal representative or his councel, within ten (10) days after giving proper notice to the beneficiaries and intestate heirs as required by subdivision (a) of Rule 5.7, shall file with the Register of Wills or Clerk of the Orphans' Court his/her Certification of Notice. This filing is due by: 02/19/2008 Please feel free to contact this office with any questions you may have. If you have already filed your certificate, please disregard this notice. Sincerely, t;'^ Glenda Farner Strasbaugh Clerk of the Orphans' Court cc: File Counsel BEFORE THE REGISTER OF WILLS CUMBERLAND COUNTY, PENNSYLVANIA IN RE: : IN THE COURT OF COMMON PLEAS ESTATE OF :CUMBERLAND COUNTY, PENNSYLVANIA RUTH E. KNUDSEN ORPHANS' COURT DIVISION ESTATE NO. 2000-00832 SOCIAL SECURITY #508-10-8673 CERTIFICATION OF NOTICE UNDER RULE 5.6(a) Name of Decedent: Ruth E. Knudsen Date of Death Will No.: To the Register: Adm. No.: 2000-00832 I certify that notice of estate administration required by Rule 5.6(a) of the Orphans' Court Rules was served on or mailed to the following beneficiaries of the above-captioned estate on March 5, 2008. David C. Knudsen 1302 Reading Blvd. Wyomissing, PA 19610 Dr. Karen A. Knudsen 150 Spring Lane Philadelphia, PA 19128-3911 Paul Knudsen 18 S. York Road Dillsburg, PA 17019-9513 PNC Bank, N.A., Trustee and David C. Knudsen, Trustee of the Ruth E. Knudsen Trust Under Agreement dated March 6, 2001 Debra A. Smith, CTFA Trust Advisor -Assistant Vice President PNC Wealth Management 4242 Carlisle Pike Camp Hill, PA 17011 ..,.. BOSWELL, TI;<TTNER, PICCOLA & ALFORD :' l `~ _ . y: - ~ Jef oswell, Esquire `~ Supreme Court LD. #25444 ~'~ 315 North Front Street `~~~ _- P. O. Box 741 Harrisburg, PA 17108-0741 - `-~_' (717) 236-9377 ~, Capacity: Personal Representative X Counsel for personal representative October 26, 2007 Dated: March 6, 2008 IMPORTANT NOTICE NOTICE OF ESTATE ADMINISTRATION THIS NOTICE DOES NOT MEAN THAT YOU WILL RECEIVE ANY MONEY OR PROPERTY FROM THIS ESTATE OR OTHERWISE Whether you will receive any money or property will be determined wholly or partly by the decedent's will. If the decedent died without a will, whether you will receive any money or property will be determined by the intestacy laws of Pennsylvania. BEFORE THE REGISTER OF WILLS CUMBERLAND COUNTY, PENNSYLVANIA IN RE: : IN THE COURT OF COMMON PLEAS ESTATE OF :CUMBERLAND COUNTY, PENNSYLVANIA RUTH E. KNUDSEN . ORPHANS' COURT DIVISION ESTATE NO. 2000-00832 SOCIAL SECURITY #508-10-8673 NOTICE OF BENEFICIAL INTEREST IN ESTATE PURSUANT TO RULE 5.6 TO: David C. Knudsen 1302 Reading Blvd. Wyomissing, PA 19610 Dr. Karen A. Knudsen 150 Spring Lane Philadelphia, PA 19128-3911 Paul Knudsen 18 S. York Road Dillsburg, PA 17019-9513 PNC Bank, N.A., Trustee and David C. Knudsen, Trustee of the Ruth E. Knudsen Trust Under Agreement dated March 6, 2001 Debra A. Smith, CTFA Trust Advisor -Assistant Vice President PNC Wealth Management 4242 Carlisle Pike Camp Hi11, PA 17011 Please take notice of the death of decedent and the grant of letters to the personal representative(s) named below. The Decedent, Ruth E. Knudsen, died on the 26`" day of October, 2007, at Cumberland County, Pennsylvania. The Decedent died testate. The personal representative of the Decedent is David C. Knudsen, 1302 Reading Blvd., Wyomissing, PA 19610, telephone no. (610) 373-6814. The will has been filed with the Office of the Register of Wills of Cumberland County, Cumberland County Courthouse, 1 Courthouse Square, Carlisle, Pennsylvania 17013-3387. A copy of the Will or Petition may be obtained by contacting the Register of Wills and paying the charges for duplication. BOSWELL, TINTNER, PICCOLA & ALFORD By: Jeffrey ~. Bos""well, s ire Supreme Court I.D. #25444 3I5 North Front Street P. O. Box 741 Harrisburg, PA 17108-0741 (717) 236-9377 Capacity: Personal Representative _X_ Counsel for personal representative Dated: March 6, 2008 C~ O~QQBIW EALTH OF PENNSYLVANIA DEPARTMENT OF REVENUE BUREAU OF INDIVIDUAL TAXES DEPT. 280601 HARRISBURG, PA 1 7 1 28-0601 RECEIVED FROM: PENNSYLVANIA INHERITANCE AND ESTATE TAX OFFICIAL RECEIPT NO. CD 010034 KNUDSEN DAVID C 1302 READING BLVD WYOMISSING, PA 19610 fold ESTATE INFORMATION: SSN: 508-~0-8673 FILE NUMBER: 2100-0832 DECEDENT NAME: KNUDSEN RUTH E DATE OF PAYMENT: 07/ 1 8/2008 POSTMARK DATE: 07/18/2008 COUNTY: ~ CUMBERLAND DATE OF DEATH: 10/26/2007 REMARKS: RECEIPT TO ATTY CHECK# 001 SEAL ACN ASSESSMENT AMOUNT CONTROL NUMBER 101 ~ 526,400.37 TOTAL AMOUNT PAID: INITIALS: WZ REV-1162 EX111-96) 526,400.37 RECEIVED BY: GLENDA EARNER STRASBAUGH REGISTER OF WILLS REGISTER OF WILLS .- 15056041147 REV-1500 EX (06-05) OFFICIAL USE ONLY PA Department of Revenue County Code Year File Number Bureau of Individual Taxes INHERITANCE TAX RETURN PO 80X.280601 2 1 0 0 0 0 8 3 2 Harrisburg, PA 17128-0601 RESIDENT DECEDENT ENTER DECEDENT INFORMATION BELOW Social Security Number Date of Death Date of Birth 508 10 8673 10 26 2007 O1 20 1916 Decedent's Last Name Suffix Decedent's First Name MI KNUDSEN RUTH E (If Applicable) Enter Surviving Spouse's Information Below Spouse's Last Name Suffix Spouse's First Name MI Spouse's Social Security Number THIS RETURN MUST BE FILED IN DUPLICATE WITH THE REGISTER OF WILLS FILL IN APPROPRIATE OVALS BELOW I X ' 1. Original Return ` ( 2. Supplemental Return L_~ 3. Remainder Return (date of death prior to 12-13-82) 4. Limited Estate i ~ 4a. Future Interest Compromise ~ I 5. Federal Estate Tax Return Required ~- (date of death after 12-12-82) X g Decedent Died Testate 7. Decedent Maintained a Living Trust 8. Total Number of Safe Deposit Boxes (Attach Copy of W ill) J (Attach Copy of Trust) ~ 9. Litigation Proceeds Received ~ ~ 10. Spousal Poverty Credit (date of death ~ ~ 11, Election to tax under Sec. 9113(A) I__, between 12-31-91 and 1-1-95) ~- (Attach Sch. O) CORRESPONDENT -THIS SECTION MUST BE COMPLETED. ALL CORRESPONDENCE AND CONFIDENTIAL TAX INFORMATION SHOULD ~E DIRECTED TO: Name Daytime Tele~ne Numbec~~ JEFFREY R BOSWELL, ESQUIRE 717 23~o937'i~ Firm Name (If Applicable) BOSWELL, TITNTNER, PICCOLA First line of address 315 NORTH FRONT STREET Second line of address P. O. BOX 741 City or Post Office HARRISBURG '~~~ ~ REGISTER QF~IiI~D USG-0NLY.. _ ' =:~1~ as _ ~:~ ~ , ,.`j~~ ~ - ~ ~ -~ ---I .. D +:~7 State ZIP Code PA 17108-0741 Correspondent'se-mail address: jbosWell@btpalaw.COm DATE FILED Under nalties of perjury, I eclare that I h e examined this return, including accompanying schedules and statements, and to the best of my knowledge and belief, it is a correct and corn le . Declarat of prep rer other than the personal representative is based on all information of which preparer has any knowledge. S AT RE OF PE ONS FOR FILING ETUR DATE ~~,~ ~~~ David C. Knudsen, Executor ~ 17 ~~ ADDRESS 1302 Reading Blvd., Wyomissing, PA 19610 SIGNATURE OF PREPARER 071tER THAN REPRESENTATIVE Jeffrey R Boswell, Esquire DATE ADDRESS (-/~'`' ~ 315 North Front Street, Harrisburg, PA 17108-0741 Side 1 15056041147 15056041147 ~ ~~ s•• J 15056042148 REV-1500 EX Decedent's Social Security Number oecedent~s Name: Ruth E. Knudsen -- - - 5 0 8 10 8 6 7 3 __ - --- RECAPITULATION - - 1. Real Estate (Schedule A) ....................................................................................... 1. 2. Stocks and Bonds (Schedule B) ............................................................................. 2. 3. Closely Held Corporation, Partnership or Sole-Proprietorship (Schedule C)......... 3. 4. Mortgages & Notes Receivable (Schedule D) ........................................................ 4. 5• Cash, Bank Deposits & Miscellaneous Personal Property (Schedule E) ............... 5, 3 2 , 4 8 6 . 0 0 6. Jointly Owned Property (Schedule F) L I Separate Billing Requested............ 6. 7. Inter-Vivos Transfers & Miscellaneous Non-Probate Property (Schedule G) r~ Separate Billing Requested............ 7. 5 7 3, 9 5 3 1 7 8. Total Gross Assets (total Lines 1-7) ..................................................................... g, 6 O 6 , 4 3 9.17 9. Funeral Expenses & Administrative Costs (Schedule H) ............................. .......... 9. 1 8 , 9 2 5.19 10. Debts of Decedent, Mortgage Liabilities, & Liens (Schedule I) .............................. 10. 8 3 9 0 0 11. Total Deductions (total Lines 9 & 10) ................................................................... 11 • 19 , 7 6 4.19 12. Net Value of Estate (Line 8 minus Line 11) ........................................................... 12. 5 8 6 , 6 7 4 9 8 13. Charitable and Governmental Bequests/Sec 9113 Trusts for which an election to tax has not been made (Schedule J) ............................................... 13. 14. Net Value Subject to Tax (Line 12 minus Line 13) . ............................................ .. 14. 5 8 6 , 6 7 4 9 $ --- AX COMPUTATION -SEE INSTRUCTIONS FOR APPLICABLE RATES __ _. -_ 15. Amount of Line 14 taxable at the spousal tax rate, of transfers under Sec. 9116 (a)(1.2) x .00 0 0 0 15. 0 0 0 16. Amount of Line 14 taxable at linealratex .045 586, 674.98 16. 26, 400.37 17. Amount of Line 14 taxable at sibling rate X .12 0 0 0 17. 0 0 0 18. Amount of Line 14 taxable at collateral rate X .15 0 0 0 18. 0 0 0 19. Tax Due ..................................................................... ............................................ . 19. 26, 400.37 20. FILL IN THE OVAL IF YOU ARE REQUESTING A REFUND OF AN OVERPAYMENT. ^ Side 2 15056042148 15056042148 J 1 REV-1500 EX Page 3 Decedent's Complete Address: File Number 21-00-00832 DECEDENT'S NAME Ruth E. Knudsen __ - - ---- STREET ADDRESS 5225 Wilson Lane __ - _- -- CITY Mechanicsburg STATE ZIP ~ PA 17055 Tax Payments and Credits: 1. Tax Due (Page 1 Line 19) 2. Credits/Payments A, Spousal Poverty Credit g, Prior Payments C. Discount 3. InteresUPenalty if applicable p. Interest E. Penalty Total Credits (A + B + C) Total InteresUPenalty (D + E) 4. If Line 2 is greater than Line 1 + Line 3, enter the difference. This is the OVERPAYMENT. Check box on Page 2 Line 20 to request a refund 5. 1f Line 1 + Line 3 is greater than Line 2, enter the difference. This is the TAX DUE. A, Enter the interest on the tax due. B. Enter the total of Line 5 + 5A. This is the BALANCE DUE. Make Check Payable to: REGISTER OF WILLS, AGENT (1) 26,400.37 (2) 0.00 (3) (4) (5) 26,400.37 (5A) (5B) 26,400.37 PLEASE ANSWER THE FOLLOWING QUESTIONS BY PLACING AN "X" IN THE APPROPRIATE BLOCKS 1. Did decedent make a transfer and: Yes No a. retain the use or income of the property transferred :................................................................................ x b. retain the right to designate who shall use the property transferred or its income :.................................. ~ ~ L_~ c. retain a reversionary interest; or ............................................................................................................... ~~ ~~ d. receive the promise for life of either payments, benefits or care? ............................................................ ~~ ~ J 2. If death occurred after December 12, 1982, did decedent transfer property within one year of death without receiving adequate consideration? .................................................................................................................... ~~~ 3. Did decedent own an "in trust for" or payable upon death bank account or security at his or her death?........ ~~ ~~ 4. Did decedent own an individual Retirement Account, annuity, or other non-probate property which contains a beneficiary designation? .................................................................................................................. ~_~ ~~ IF THE ANSWER TO ANY OF THE ABOVE QUESTIONS IS YES, YOU MUST COMPLETE SCHEDULE G AND FILE IT AS PART OF THE RETURN. For dates of death on or after July 1, 1994 and before January 1, 1995, the tax rate imposed on the net value of transfers to or for the use of the surviving spouse is three (3) percent [72 P.S. §9116 (a) (1.1) (i)]. For dates of death on or after January 1, 1995, the tax rate imposed on the net value of transfers to or for the use of the surviving spouse is zero (0) percent [72 P.S. §9116 (a) (1.1) (ii)]. The statute does not exempt a transfer to a surviving spouse from tax, and the statutory requirements for disclosure of assets and filing a tax return are still applicable even if the surviving spouse is the only beneficiary. For dates of death on or after July 1, 2000: The tax rate imposed on the net value of transfers from a deceased child twenty-one years of age or younger at death to or for the use of a natural parent, an adoptive parent, or a stepparent of the child is zero (0) percent [72 P.S. §9116 (a) (1.2)]. The tax rate imposed on the net value of transfers to or for the use of the decedent's lineal beneficiaries is four and one-half (4.5) percent, except as noted in 72 P.S. §9116 1.2) [72 P.S. §9116 (a) (1)]. The tax rate imposed on the net value of transfers to or for the use of the decedent's siblings is twelve (12) percent [72 P.S. §9116 (a) (1.3)]. A sibling is defined under Section 9102, as an individual who has at least one parent in common with the decedent, whether by blood or adoption. -- - --_. 0.00 s Rev-1508 EX+ (6-98) SCHEDULE E CASH, BANK DEPOSITS, & MISC. PERSONAL PROPERTY COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT ESTATE OF Knudsen, Ruth E. FILE NUMBER 21-00-00832 Include the proceeds of litigation and the date the proceeds were received by the estate. All propertyjointlyowned with the right of survivorship must be disclosed on schedule F. ITEM NUMBER DESCRIPTION DHTE vA OF DEA 1 Capital Blue Cross -Medical Insurance refund 271.31 2 Clarence V. Knudsen Trust -Interest from 10/06/2007 to 10/26/2007 346.78 3 Clarence V. Knudsen Trust -Interest to 10/26/2007 915.67 4 Humana Insurance -Medicare Part D premium refund 14.80 5 PA Department of Revenue - 40-PA-2007 tax refund 354.00 6 Rolling Green Cemetery -refund 74.00 7 Wachovia -Certificate of Deposit 25,910.44 8 Parthemer Funeral Home -prepaid funeral 4,599.00 TOTAL (Also enter on Line 5, Recapitulation) I 32 486 00 (If more space is needed, additional pages of the same size) Copyright (c) 2002 form software only The Lackner Group, Inc. Form PA-1500 Schedule E (Rev. 6-98) i >Rev-1510 EX+(6-98) COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT ESTATE OF Knudsen, Ruth E. FILE NUMBER 21-00-00832 This schedule must be completed and filed if the answer to any of questions 1 through 4 on the reverse side of the REV-1500 COVER SHEET is yes. ITEM DESC I NUMBER INCLUDE NAME OF TRANSFEREE, THEIR RELATIONSHIP TO DECEDENT AND THE DATE OF TRANSFER. ATTACH A COPY OF THE DEED FOR REAL ESTATE. 1 Ruth E. Knudsen Trust Under Agreement -Inter vivos trust -see attached -Taxable value increased $27,000.00 pursuant to 72 P.S. §9107(c)(3) for gifts made 2/14/2007 DATE OF DEATH % OF DECD'S EXCLUSION VALUE OF ASSET INTEREST (IF APPLICABLE) 573,953.17 100.000 0.00 TOTAL (Also enter on Line 7, Recapitulation) (If more space is needed, additional pages of the same size) Copyright (c) 2002 form software only The Lackner Group, Inc. SCHEDULE G INTER-VIVOS TRANSFERS & MISC. NON-PROBATE PROPERTY TAXABLE VALUE 573,953.17 573,953.17 Form PA-1500 Schedule G (Rev. 6-98) ,REV-1151 EX+t12-B9} SCHEDULE H COMMONWEALTH OF PE NSYLVANIA FUNERAL EXPENSES & '""E"'T""ceTAxr~e,URN ADMINISTRATIVE COSTS RESIDENT DECEDENT ESTATE OF FILE NUMBER Knudsen, Ruth E. 21-00-00832 Debts of decedent must be reported on Schedule I. ITEM DESCRIP710N AMOUNT NUMBER A. FUNERAL EXPENSES: See continuation schedule(s) attached B. ADMINISTRATIVE COSTS: 1. Personal Representative's Commissions David C. Knudsen Social Security Number(s) / EIN Number of Personal Representative(s): street Address 1302 Reading Blvd. city Wyomissing state PA zip 19610 Year(s) Commission paid 2, Attorney's Fees Boswell, Tintner , Piccola 3, Family Exemption: (If decedent's address is not the same as claimant's, attach explanation) Claimant Street Address City State Zip Relationship of Claimant to Decedent 5,734.61 0.00 12,000.00 4. Probate Fees 106.00 5. Accountants Fees Michael A. Kunisky, CPA 275.00 6. Tax Return Preparer's Fees 7. Other Administrative Costs 809.58 See continuation schedule(s) attached TOTAL (Also enter on line 9, Recapitulation) 18,925.19 Copyright (c) 2002 form software only The Lackner GrOUp, Inc. Form PA-1500 Schedule H (Rev. 6-98) .Rev-1502 EX+ (6-98) SCHEDULE H-A FUNERAL EXPENSES continued COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT ESTATE OF FILE NUMBER Knudsen, Ruth E. 21-00-00832 ITEM NUMBER DESCRIPTION AMOUNT 1 David C. Knudsen -reimbursement for funeral meal 200.00 2 Parthemer Funeral Home -funeral 4,599.00 3 Parthemer Funeral Home -funeral 935.61 Subtotal I 5,734.61 Copyright (c) 2002 form software only The Lackner Group, Inc. Form PA-1500 Schedule H-A (Rev. 6-98) Rev-1502 EX+ (6-98) COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT SCHEDULE H-B7 OTHER ADMINISTRATIVE COSTS continued ESTATE OF FILE NUMBER Knudsen, Ruth E. 21-00-00832 ITEM NUMBER DESCRIPTION AMOUNT 1 Boswell, Tintner, Piccola 8 Alford -Closing costs 500.00 2 Cumberland County Law Journal -Advertise estate 75.00 3 Cumberland County Register of Wills -Additional probate fee 30.00 4 Cumberland County Register of Wills -Filing fee for Inheritance Tax Return and 30.00 Cumberland County Inventory 5 The Sentinel -Advertise estate 174.58 Copyright (c) 2002 form software only The Lackner Group, Inc. Subtotal I 809.58 Form PA-1500 Schedule H-B7 (Rev. 6-98) Rev-1512 EX+ (6-98) SCHEDULE 1 DEBTS OF DECEDENT, MORTGAGE LIABILITIES, & LIENS COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAx RETURN RESIDENT DECEDENT ESTATE OF FILE NUMBER Knudsen, Ruth E. 21-00-00832 Include unrelmbursed medical expenses. ITEM NUMBER DESCRIPTION vAOF DEATDHTE 1 Millennium Pharmacy Services - Flnal pharmacy bill 341.23 2 PNC Bank -Trustee compensation to date-of-death 497.77 TOTAL (Also enter on Line 10, Recapitulation) I 839 00 (If more space Is needed, additional pages of the same size) Copyright (c) 2002 form software only The Lackner Group, Inc. Form PA-1500 Schedule I (Rev. 6-98) , REV-1513 EX+(9-00) SCHED ULE J COMMONWEALTH OF PENNSYLVANIA BENEFICIARIES INHERITANCE TAX RETURN RESIDENT DECEDENT ESTATE OF Knudsen, Ruth E. NUMBER NAME AND ADDRESS OF PERSON(S) RECEIVING PROPERTY I- TAXABLE DISTRIBUTIONS [include outright sppou distributions, and tran under Sec. 9116(a)(1. 1 Paul R. Knundsen 18 S. York Road Dillsburg, PA 17019 2 David E. Knudsen 1302 Reading Blvd. Wyomissing, PA 19610 3 Karen A. Knudsen 150 Spring Lane Philadelphia, PA 19128-3911 FILE NUMBER 21-00-00832 RELATIONSHIP TO SHARE OF ESTATE AMOUNT OF ESTATE DECEDENT (Words) ($$$) Do Not List Trusteefs) Son 11/3 share of residue Son 11/3 share of residue Daughter 11/3 share of residue Total Enter dollar amounts for distributions shown above on lines 15 through 18, as appropriate, on Rev 1500 cover sheet II. NON-TAXABLE DISTRIBUTIONS: A. SPOUSAL DISTRIBUTIONS UNDER SECTION 9113 FOR WHICH AN ELECTION TO TAX IS NOT BEING MADE CHARITABLE AND GOVERNMENTAL DISTRIBUTIONS TOTAL OF PART II -ENTER TOTAL NON-TAXABLE DISTRIBUTIONS ON LINE 13 OF REV 1500 COVER SHEET 0 00 Copyright (c) 2002 form software only The Lackner Group, Inc. Form PA-1500 Schedule J (Rev. 6-98) 1 ' ~, ~ o~ c~g3a ,,, - , :~ LAST WILL OF R UTH E. KNUDSEN Jeffrey R. Boswell Boswell, Tintner, Piccola & Wickersham 315 North Front Street Harrisburg, Pennsylvania 17101 LAST WILL AND TESTAMENT OF R UTH E. KNUDSEN Introductory Clause. I, RUTHE. KNUDSEN, a resident of and domiciled in the Township of LOWER ALLEN, County of CUMBERLAND and Commonwealth of Pennsylvania, do hereby make, publish and declare this to be my Last Will and Testament, hereby revoking all Wills and Codicils at any time heretofore made by me. I am married to CLARENCE V. KNUDSEN. I have three living children: KARENA. KNUDSEN; PAUL R. KNUDSEN; and DAVID C. KNUDSEN. ITEM I Direction to Pay Debts. I direct that all my legally enforceable debts, secured and unsecured, be paid as soon as practicable after my death. ITEM II General Bequest of Personal and Household Effects With a Precatory Memorandum. I give and bequeath all my personal and household effects of every kind including but not limited to furniture, appliances, furnishings, pictures, silverware, china, glass, books, jewelry, wearing apparel, boats, automobiles, and other vehicles, and all policies of fire, burglary, property damage, and other insurance on or in connection with the use of this property, to my husband, CLARENCE i! KNUDSEN, if he shall survive me. If my husband shall not survive me, I give and bequeath all this property to my children surviving me, in approximately equal shares; provided, however, the issue of a deceased child surviving me shall take per stirpes the share their parent would have taken had he or she survived me. If my issue do not agree to the division of the property among themselves, my Executor shall make such division among them, the decision of my Executor to be in all respects binding upon my issue. I request that my husband, my Executor and my issue abide by any memorandum by me directing the disposition of this property or any part thereof. This request is precatory and not mandatory. If any beneficiary hereunder is a minor, my Executor may distribute such minor's share to such minor or for such minor's use to any person with whom such minor is residing or who has the care or control of such minor without further responsibility and the receipt of the person to whom it is Last Will and Tcstament of RUTH E. KNUDSEN Page 1 distributed shall be a complete discharge of my Executor. The cost of packing and shipping such property shall be charged against my estate as an expense of administration. ITEM III Pour-Over Gift to Trustee of Testatrix's Inter Vivos Trust. I give, devise and bequeath all the rest, residue and remainder of my property of every kind and description (including lapsed legacies and devises), wherever situate and whether acquired before or after the execution of this Will, to PNCBANK, N.A. and DAVID C. KNUDSEN as Trustee under that certain Trust Agreement between me as Settlor and PNC BANK, N.A. and DAVID C. KNUDSEN as Trustee executed prior to the execution of this Will on the ~ day of March, 2001. My Trustee shall add the property bequeathed and devised by this Item to the principal of the above Trust and shall hold, administer and distribute the property in accordance with the provisions of the Trust Agreement, including any amendments thereto made before my death. ITEM IV Alternate Provision to Incorporate Trust by Reference if Pour-Over is Invalid. In the event for any reason the bequest and devise above is ineffective and invalid, then I hereby give, devise and bequeath the rest, residue and remainder of my property of every kind and description (including lapsed legacies and devises), wherever situate and whether acquired before or after the execution of this Will, to PNCBANK, N.A. and DAVID C. KNUDSEN as Trustee to be held, administered and distributed in accordance with the provisions of that certain Trust Agreement between me as Settlor and PNCBANK, N.A. and DAVID C. KNUDSEN as Trustee executed prior to the execution of this Will on the ~ day of March, 2001, which Trust Agreement is hereby incorporated by reference and made a part hereof the same as if the entire Trust Agreement were set forth herein. If for any reason PNC BANK, N.A. and DAVID C. KNUDSEN are unable or unwilling to serve then I hereby nominate, constitute and appoint as successor or substitute Trustee a bank or trust company qualified to do business in the State of my domicile at the time of my death, which successor or substitute Trustee shall be designated in a written instrument filed with the court having jurisdiction over the probate of my estate and signed by my husband or if he fails to act signed by or on behalf of my oldest living child or if he or she fails to act, by the court having jurisdiction over the probate of my estate. ITEM V Naming the Executor, Executor Succession, Executor's Fees and Other Matters. The provisions for naming the Executor, Executor succession, Executor's fees and other matters are set forth below: (1) Naming an Individual Executor. I hereby nominate, constitute and appoint as Executor of this my Last Will and Testament DAVID C. KNUDSEN and direct that he shall serve without bond. Last Will and Testament of RL1'I'H E. IINIIDSEN Page 2 (2) Naming Individual Successor or Substitute Executor. If my individual Executor should fail to qualify as Executor hereunder, or for any reason should cease to act in such capacity, the successor or substitute Executor who shall also serve without bond shall be KAREN A. KNUDSEN. (3) Final Succession If Individual Successor Executor Cannot Act. If my individual successor Executor should fail to qualify as Executor hereunder, or for any reason should cease to act in such capacity, then the successor or substitute Executor who shall also serve without bond shall be PNC BANK, N.A. (4) Fee Schedule for Individual Executor. For its services as Executor, the individual Executor shall receive reasonable compensation for the services rendered and reimbursement for reasonable expenses. (5) Fee Schedule for Corporate Executor. For its services as Executor, the corporate Executor shall receive an amount determined by its Standard Fee Schedule in effect and applicable at the time of the performance of such services. If no such schedule shall be in effect at that time, it shall be entitled to reasonable compensation for the services rendered. (6) Change in Corporate Fiduciary. Any corporate successor to the trust business of the corporate fiduciary designated herein or at any time acting hereunder shall succeed to the capacity of its predecessor without conveyance or transfer. ITEM VI Definition of Executor. Whenever the word "Executor" or any modifying or substituted pronoun therefor is used in this my Will, such words and respective pronouns shall include both the singular and the plural, the masculine, feminine and neuter gender thereof, and shall apply equally to the Executor named herein and to any successor or substitute Executor acting hereunder, and such successor or substitute Executor shall possess all the rights, powers and duties, authority and responsibility conferred upon the Executor originally named herein. ITEM VII Powers for Executor. By way of illustration and not of limitation and in addition to any inherent, implied or statutory powers granted to Executors generally, my Executor is specifically authorized and empowered with respect to any property, real or personal, at any time held under any provision of this my Will: to allot, allocate between principal and income, assign, borrow, buy, care for, collect, compromise claims, contract with respect to, continue any business of mine, convey, convert, deal with, dispose of, enter into, exchange, hold, improve, incorporate any business of mine, invest, lease, manage, mortgage, grant and exercise options with respect to, take possession of, pledge, receive, release, repair, sell, sue for, to make distributions or divisions in cash or in kind or partly in each without regard to the income tax basis of such asset, and in Last Will and Testament of RUTH E. KNUDSEN Page 3 general, to exercise all the powers in the management of my Estate which any individual could exercise in the management of similar property owned in his or her own right, upon such terms and conditions as to my Executor may seem best, and to execute and deliver any and all instruments and to do all acts which my Executor may deem proper or necessary to carry out the purposes of this my Will, without being limited in any way by the specific grants of power made, and without the necessity of a court order. ITEM VIII Provision for Executor to Act as Trustee for Beneficiary Under Age Twenty-Five. If any share or property hereunder becomes distributable to a beneficiary who has not attained the age of Twenty-five (25) years or if any real property shall be devised to a person who has not attained the age of Twenty-five (25) years at the date of my death, then such share or property shall immediately vest in the beneficiary, but notwithstanding the provisions herein, my Executor acting as Trustee shall retain possession of the share or property in trust for the beneficiary until the beneficiary attains the age of Twenty-five (25), using so much of the net income and principal of the share or property as my Executor deems necessary to provide for the medical care, education, support and maintenance in reasonable comfort of the beneficiary, taking into consideration to the extent my Executor deems advisable any other income or resources of the beneficiary or his or her parents known to my Executor. Any income not so paid or applied shall be accumulated and added to principal. The beneficiary's share or property shall be paid over, distributed and conveyed to the beneficiary upon attaining age Twenty-five (25), or if he or she shall sooner die, to his or her executors or administrators. Whenever my Executor determines it appropriate to pay any money for the benefit of a beneficiary for whom a trust is created hereunder, then the amounts shall be paid out by my Executor in such of the following ways as my Executor deems best: (1) directly to the beneficiary; (2) to the legally appointed guardian of the beneficiary; (3) to some relative or friend for the care, support and education of the beneficiary; (4) by my Executor using such amounts directly for the beneficiary's care, support and education; (5) to a custodian for the beneficiary under the Uniform Gifts or Transfers to Minors Act. My Executor as trustee shall have with respect to each share or property so retained all the powers and discretions conferred upon it as Executor. ITEM IX Discretion Granted to Executor in Reference to Tax Matters. My Executor as the fiduciary of my estate shall have the discretion, but shall not be required when allocating receipts of my estate between income and principal, to make adjustments in the rights of any beneficiaries, or among the principal and income accounts to compensate for the consequences of any tax decision or election, or of any investment or administrative decision, that my Executor believes has had the effect, directly or indirectly, of preferring one beneficiary or group of beneficiaries over others; provided, however, my Executor shall not exercise its discretion in a manner which would cause the loss or reduction of the marital deduction as may be herein provided. In determining the state or federal estate and income tax liabilities of my estate, my Executor shall have discretion to select the valuation date and to determine whether any or all of Last Will and Testament of RUTH E. KNI.lDSEN Pagc 4 the allowable administration expenses in my estate shall be used as state or federal estate tax deductions or as state or federal income tax deductions and shall have the discretion to file a joint income tax return with my husband. ITEM X Definition of Children. For purposes of this Will, "children" means the lawful blood descendants in the first degree of the parent designated; and "issue" and "descendants" mean the lawful blood descendants in any degree of the ancestor designated; provided, however, that if a person has been adopted, that person shall be considered a child of such adopting parent and such adopted child and his or her issue shall be considered as issue of the adopting parent or parents and of anyone who is by blood or adoption an ancestor of the adopting parent or either of the adopting parents. The terms "child," "children," "issue," "descendant" and "descendants" or those terms preceded by the terms "living" or "then living" shall include the lawful blood descendant in the first degree of the parent designated even though such descendant is born after the death of such parent. The term "per stirpes" as used herein has the identical meaning as the term "taking by representation" as defined in the Pennsylvania Probate Code. ITEM XI Definition of Words Relating to the Internal Revenue Code. As used herein, the words "gross estate," "adjusted gross estate," "taxable estate," "unified credit" ("unified credit" shall also mean "applicable credit amount"), "state death tax credit," "maximum marital deduction," "marital deduction," "pass," and any other word or words which from the context in which it or they are used refer to the Internal Revenue Code shall have the same meaning as such words have for the purposes of applying the Internal Revenue Code to my estate. For purposes of this Will, my "available generation-skipping transfer exemption" means the generation-skipping transfer tax exemption provided in section 2631 of the Internal Revenue Code of 1986, as amended, in effect at the time of my death reduced by the aggregate of (1) the amount, if any, of my exemption allocated to lifetime transfers of mine by me or by operation of law, and (2) the amount, if any, I have specifically allocated to other property of my gross estate for federal estate tax purposes. For purposes of this Will if at the time of my death I have made gifts with an inclusion ratio of greater than zero for which the gift tax return due date has not expired (including extensions) and I have not yet filed a return, it shall be deemed that my generation- skipping transfer exemption has been allocated to these transfers to the extent necessary (and possible) to exempt the transfers} from generation-skipping transfer tax. Reference to sections of the Internal Revenue Code and to the Internal Revenue Code shall refer to the Internal Revenue Code amended to the date of my death. Last Will and Testament of RUTH E. IQdL1DSEN Page 5 ITEM XII Statement by Testatrix of Intent Not to Exercise Power of Appointment. I hereby refrain from exercising any power of appointment that I may have at the time of my death. ITEM XIII Simultaneous Death Provision Presuming Beneficiary Predeceases Testatrix. If any beneficiary and I should die under such circumstances as would make it doubtful whether the beneficiary or I died first, then it shall be conclusively presumed for the purposes of this Will that the beneficiary predeceased me. Testimonium, Attestation and Self-Proving Affidavit. I, RUTHE. KNUDSEN, the Testatrix, sign my name to this instrument this . ~ day of March, 2001, and being first duly sworn, do hereby declare to the undersigned authority that I sign and execute this instrument as my last will and that I sign it willingly (or willingly direct another to sign forme), that I execute it as my free and voluntary act for the purposes therein expressed, and that I am eighteen years of age or older, of sound mind, and under no constraint or undue influence. ,' R THE. KNUDSEN We, 3QFC-4y aosweil and ~r4~~~> ~-• ~3t~w..~ ,the witnesses, sign our names to this instnzment, being first duly sworn, and do hereby declare to the undersigned authority that the Testatrix signs and executes this instrument as her last will and that she signs it willingly (or willingly directs another to sign for her), and that each of us, in the presence and hearing of the Testatrix, and in the presence of each other, hereby signs this will as witness to the Testatrix's signing, and that to the best of our knowledge the Testatrix is eighteen years of age or older, of sound mind, and under no constraint or undue influence. 7f1` (Witness) (Witness) Last Will and Testament of RUTH E. [INLTDSEN Page 6 COMMONWEALTH OF PENNSYLVANIA . ss. COUNTY OF DAUPHIN Subscribed, sworn to, and acknowledged before~m~~ y R'~o He iKNUDn EN, the Testatrix, and subscribed and sworn toy b~day of March, 2001. -~~p ~ , t2,~ww/J ,witnesses, this (..~' ,.- . ~ /, Notary Public for Pennsylvania N1y Commission Expires: _~--.---~.-------_~~~e~~..°- Notarial Seal Donnie L. Narciy, Notary Public Narrisburo, Gauphln County My Commission Expires Feb. 10, 2003 Last Will and Testarncnt of R[JTH E. IQ`IUDSEN Page 7 ...~ , lYTa a sorted by ancuri ty. ESTATE TAX SECURITIES VALUATION PAGE NO. 1 ACCOUNT: 3843761 Name of Estate: RUTH E FQiUDSEN DATE of OEATx: Friday, October 26 2007 ITEM CVSIP NO. SHARES/ DESCRIPTION PAICE HIGBJASK LOW/HID MEAN SECURITY ACCRUED COMMENTS PAR VALUE DATE PRICE PRICE PRICE VALUE DIV/INT iS 166764100 100 CHEVRON CORP NEW 10/26 92.3000 91.1000 91.70000 9,170. 00 NYSE COM 2) 191216100 100 COCA COLA-CO 10/26 61.5900 60.8800 61.23500 6,123. 50 NXSE COM 3) 263534109 1,200 DU FONT E I D8 NEMOURS i CO 10/26 48.9500 67.9700 48.66000 58,152. 00 NYSE COM 4) 3133X1G27 50,000 FEDERAL HOME LN BKS 10/26 99.5625 99.56250 49,781. 25 GVT AGENCY CONS $D 4908 Int. From: 10/15/2007 to 20/26/2007 66.67 5) 3133XHFA5 50,000 FEDERAL HOME LN SKS 10/26 100.6375 100.43750 50,218. 75 GVT AGENCY CONS BD 5909 Int. From: 10/16/2007 to 10/26/2007 76.39 6) 3133XJKK3 50,000 FEDERAL xOME LN HKS 10/26 100.5625 100.56250 50,281. 25 GVT AGENCY CONS BD 5.01910 Int. From: 07/12/2007 to 10/26/2007 730.63 7) 3137EAAL3 50,000 FEDERAI. HOME LN MTG CORD 10/26 100.8125 100.81250 50,406. 25 GVT AGENCY GLBL NT 5909 Int. From: 07/16/2007 to 10/26/2007 701.39 B) 345838106 800 FOREST LABS INC 10/26 39.0000 38.0200 38.51000 30,608. 00 NXSE COM 9) 369604103 100 GENERAL ELECTRIC CO 10/26 40.5000 39.9600 40.23000 4,023 .00 NYSE COM 10) 438516106 600 HONEYWELL INTL INC 10/26 59.6600 58.8600 59.26000 35,556. 00 NYSE COM 11) 478160104 100 JOHNSOx L JOHNSON 10/26 64.6000 63.8200 64.21000 6,421 .00 NYSE coM 12) 693517106 1,200 PPL CORP 10/26 50.4400 49.2100 49.82500 59,790 .00 NYSE COM 13) 742718109 100 PROCTER i GAMBLE CO 10/26 71.7600 71.1200 71.44000 7,144 .00 NYSE CCM DIV 50.3500 EX 10/17/2007 REC 10/19/2007 PAY 11/15/2007 35.00 14) 9128274V1 50,000 UNITED STATE9 TREAS NT5 10/26 100.8516 100.85160 50,425 .80 GVT AGENCY 04.7509 11/15/08 Int. From: 05/15/2007 to 10/26/2007 1,064.88 15) 929903102 100 WACHOVIA CORP NEW 10/26 47.0000 44.9100 45.95500 4,595 .50 NYSE COM 16) 993077106 62,075.6600 BLACKROCK LIQUIDITY FD TEMP ADMN SH #H1 62,075 .66 61.13 MANUAL PRINCIPAL CASH 17) 999077100 9,191.1800 BLACKROCK LIQUIDITY FD TEMP ADMN SAI)81 9,191 ,18 53.94 MANUAL INVESTMENT CASH Grand Totals 544,163.14 2,790.03 Tota l Principal plus Accrued in terest and dividends ~ 546,953.17 This report was prepared using APPRAISE Ver. 7.4.1 software, an EVALUATION SERVICES, INC, product. Phone 201 786 8500. Visit our web sites at WWW.APPRAISENJ.COM and WWW.COSTHASZS.INFO. ~xz~-.,..t;-~ ~~~1 s jb/o, ~c ~ a( 3(13 /u; TRUST AGREEMENT OF RUTHE. KNUDSEN Jeffrey R. Boswell Boswell, Tintner, Piccola & Wickersham 315 North Front Street Harrisburg, Pennsylvania 17101 TRUST AGREEMENT Introductory Clause. This Agreement made this ~m day of March, 2001, between RUTH E. KNUDSEN, hereinafter referred to as the Settlor and PNCBANK, N.A., hereinafter referred to as the corporate trustee, and DAVID C. KNUDSEN, hereinafter sometimes referred to as the individual trustee. The corporate trustee and the individual trustee are hereinafter collectively referred to as the Trustee. The Settlor is married to CLARENCE V. KNUDSEN and has three living children: KAREN A. KNUDSEN; PAUL R. KNUDSEN; and DAVID C. KNUDSEN. ARTICLE I Description of Property Transferred. The Settlor has paid over, assigned, granted, conveyed, transferred and delivered, and by this Agreement does hereby pay over, assign, grant, convey, transfer and deliver unto the Trustee the property described in Schedule A, annexed hereto and made a part hereof. This property and any other property that may be received or which has been received by the Trustee hereunder, as invested and reinvested (hereinafter referred to as the "Trust Estate"), shall be held, administered and distributed by the Trustee as hereinafter set forth. ARTICLE II Rights of Settlor and Trustee in Insurance Policies. During the Settlor's lifetime, the Settlor shall have all rights under any life insurance policies payable to the Trustee, including the right to change the beneficiary, to receive any dividends or other earnings of such policies without accountability therefor to the Trustee or any beneficiary hereunder, and may assign any policies to any lender, including the Trustee, as security for any loan to the Settlor or any other person; and the Trustee shall have no responsibility with respect to any policies, for the payment of premiums or otherwise, except to hold any policies received by the Trustee in safekeeping and to deliver them upon the Settlor's written request and upon the payment to the Trustee of reasonable compensation for services. The rights of any assignee of any policy shall be superior to the rights of the Trustee. If any policy is surrendered or if the beneficiary of any policy is changed, this trust shall be revoked with respect to such policy. However, no revocation of the trust with respect to any policy, whether pursuant to the provisions of the preceding sentence or otherwise, shall be effective unless the surrender or change in beneficiary of the policy is accepted by the insurance company. Upon the death of the insured under any policy held by or known to, and payable to, the Trustee, or upon the occurrence of some event prior to the death of the Settlor that matures any such policy, the Trustee, in its discretion, either may collect the net proceeds and hold them as part of the principal of the Trust Estate, or may exercise any optional method of settlement available to it, and the Trustee shall deliver any policies on the Settlor's life Trust Agreement of R[JTH E. IQJUDSEN Page I held by it and payable to any other beneficiaries as those beneficiaries may direct. Payment to, and the receipt of, the Trustee shall be a full discharge of the liability of any insurance company, which need not take notice of this agreement or see to the application of any payment. The Trustee need not engage in litigation to enforce payment of any policy without indemnification satisfactory to it for any resulting expenses. ARTICLE III Provisions for Settlor During Lifetime. The Trustee shall hold, manage, invest and reinvest the Trust Estate (if any requires such management and investment). and shall collect the income, if any, therefrom and shall dispose of the net income and principal as follows: (1) During the lifetime of the Settlor, the Trustee shall pay to or apply for the benefit of the Settlor all the net income from this Trust. (2} During the lifetime of the Settlor, the Trustee may pay to or apply for the benefit of the Settlor such sums from the principal of this Trust as in its sole discretion shall be necessary or advisable from time to time for the medical care, education, support and maintenance in reasonable comfort of the Settlor, taking into consideration to the extent the Trustee deems advisable, any other income or resources of the Settlor known to the Trustee. ARTICLE IV Settlor's Rights to Amend, Change or Revoke the Trust Agreement. The Settlor may, by signed instruments delivered to the Trustee during the Settlor's life: (1} withdraw property from this Trust in any amount and at any time upon giving reasonable notice in writing to the Trustee; (2) add other property to the Trust; (3) change the beneficiaries, their respective shares and the plan of distribution; (4) amend this Trust Agreement in any other respect; (5) revoke this Trust in its entirety or any provision therein; provided, however, the duties or responsibilities of the Trustee shall not be enlarged without the Trustee's consent nor without satisfactory adjustment of the Trustee's compensation. ARTICLE V Discretionary Provisions for Trustee to Deal with Settlor's Estate and Make Payment of Debts and Taxes. After the Settlor's death, the Trustee, if in its discretion it deems it advisable, may pay all or any part of the Settlor's funeral expenses, legally enforceable claims against the Settlor or the Settlor's estate, reasonable expenses of administration of the Settlor's estate, any allowances by court order to those dependent upon the Settlor, any estate, inheritance, succession, death or similar taxes payable by reason of the Settlor's death, together with any interest thereon or other additions thereto, without reimbursement from the Settlor's executors or administrators, from any beneficiary of insurance upon the Settlor's life, or from any other person. All such payments, except of interest, shall be charged generally against the principal of the Trust Estate includable in the Settlor's estate for Federal estate tax purposes and any interest Trust Agreement of RUTH E. KNUDSEN Page 2 so paid shall be charged generally against the income thereof; provided, however, any such payments of estate, inheritance, succession, death or similar taxes (except generation-skipping transfer taxes) shall be charged against the principal constituting the KNUDSEN Family Trust and any interest so paid shall be charged against the income thereof. If such share or trust was created as a fraction, then such taxes thus paid shall reduce the numerator of that share or trust and the Trust Estate, thus likewise reducing the denominator of the fraction. The Trustee may make such payments directly or may pay over the amounts thereof to the executors or administrators of the Settlor's estate. Written statements by the executors or administrators of such sums due and payable by the estate shall be sufficient evidence of their amount and propriety for the protection of the Trustee and the Trustee shall be under no duty to see to the application of any such payments. The Trustee shall pay over to the executors or administrators of the Settlor's estate all obligations of the United States Government held hereunder which may be redeemed at par in payment of federal estate taxes. If administrative expenses are deducted on the estate's income tax return but paid from principal, then they shall be charged against tl:e KNUDSEN Family Trust. The Trustee shall have the power to charge expenses of administration against income or principal, or apportion such expenses; provided, however, this power may not be exercised in a way which would reduce or otherwise adversely affect the marital deduction otherwise available for federal estate tax purposes. The Trustee shall not exercise this discretion in a manner which would impose a material limitation on the income otherwise passing to the marital share as provided in the regulations now in effect or subsequently promulgated and if the decision in the United States Supreme Court case of Commissioner v. Estate of Otis C. Hubert (March 18, 1997) is reversed or overruled by future judicial action, regulation or legislation, then the Trustee shall not possess the power granted herein. ARTICLE VI Specific Distributions. Upon the death of the Settlor, the Trustee shall make the following distributions: (1) General Distribution of Personal and Household Effects With a Precatory Memorandum. All the Settlor's personal and household effects of every kind including but not limited to furniture, appliances, furnishings, pictures, silverware, china, glass, books, jewelry, wearing apparel, boats, automobiles, and other vehicles, and all policies of fire, burglary, property damage, and other insurance on or in connection with the use of this properly, shall be distributed to the Settlor's husband, CLARENCE Y. KNUDSEN, if he shall survive the Settlor. If he shall not survive the Settlor, all this property shall be distributed to the children surviving the Settlor, in approximately equal shares; provided, however, the issue of a deceased child surviving the Settlor shall take per stirpes the share their parent would have taken had he or she survived the Settlor. If the Settlor's issue do not agree to the division of the property among themselves, the Trustee shall make such division among them, the decision of the Trustee to be in all respects binding upon the Settlor's issue. The Settlor requests that the Settlor's husband, the Trustee and the Settlor's issue abide by any memorandum by the Settlor directing the disposition of this property or any part thereof. This request is precatory and not mandatory. If any beneficiary hereunder is a minor, the Trustee may distribute such minor's share to such minor or Tout Agrernxnt of RUTH E. KNUDSEN Page 3 for such minor's use to any person with whom such minor is residing or who has the care or control of such minor without further responsibility and the receipt of the person to whom it is distributed shall be a complete discharge of the Trustee. The cost of packing and shipping such property shall be charged as an expense of administration. (2) Definition of Trust Estate. As used in this Trust Agreement, the words"Trust Estate" shall mean the entire Trust Estate minus the specific distributions under this Article. ARTICLE VII Upon the death of the Settlor, the Trustee shall divide the Trust Estate (which shall include any property which maybe added from the Settlor's general estate) as follows: (1) Creation of The CLARENCE Y. KNUDSENSI:are and TheKNUDSEN Family Trust. If the Settlor is survived by the Settlor's husband, CLARENCE Y. KNUDSEN, the Trustee shall divide the Trust Estate into Two (2) separate shares, hereinafter designated as "the CLARENCE T~ KNUDSENShare" and "theKNUDSENFamily Trust." The CLARENCE Y. KNUDSENShare shall be composed of cash, securities or other property of the Trust Estate (undiminished by any estate, inheritance, succession, death or similar taxes) having a value equal to the maximum marital deduction as finally determined in the Settlor's federal estate tax proceedings, less the aggregate amount of marital deductions, if any, allowed for such estate tax purposes by reason of property or interests in property passing or which have passed to the 5ettlor's husband otherwise than pursuant to the provisions of this Article; provided, however, the amount for the CLARENCE V KNUDSENShare hereunder shall be reduced by the amount, if any, needed to increase the Settlor's taxable estate (for federal estate tax purposes) to the largest amount that, after allowing for the unified credit against the federal estate tax, and the state death tax credit against such tax (but only to the extent that the use of such state death tax credit does not increase the death tax payable to any state), will result in the smallest (if any) federal estate tax being imposed on the 5ettlor's estate. The term "maximum marital deduction" shall not be construed as a direction by the Settlor to exercise any election respecting the deduction of estate administration expenses, the determination of the estate tax valuation date, or any other tax election which maybe available under any tax laws, only in such manner as will result in a larger allowable estate tax marital deduction than if the contrary election had been made. The Trustee shall have the sole discretion to select the assets which shall constitute tl:e CLARENCE i~ KNUDSENShare. In no event, however, shall there be included in this the CLARENCE Y. KNUDSENShare any asset or the proceeds of any asset which will not qualify for the federal estate tax marital deduction, and this the CLARENCE T'. KNUDSENShare shall be reduced to the extent that it cannot be created with such qualifying assets. The Trustee shall value any asset selected by the Trustee for distribution in kind as a part of the CLARENCE V KNUDSENShare hereunder at the value of such asset at the date of distribution of such asset. The CLARENCE V KNUDSENShare shall be paid over and distributed to the Settlor's husband free of trust. The KNUDSEN Family Trust shall be the balance of the Trust Estate after the assets have been selected for the CLARENCE V. KNUDSENShare. Trust Agreement of AUTH E. KNlTllSEN Page 4 (2) Creation of The KNUDSEN Family Trust. If the Settlor's husband shall not survive the Settlor, the KNUDSEN Family Trust shall be the entire Trust Estate. The KNUDSEN Family Trust shall be administered as hereinafter set forth. ARTICLE VIII The KNUDSEN Family Trust Introductory Provision. The KNUDSENFamily Trust shall be held, administered and distributed as follows: (1) Payment to Husband of All Income. If the Settlor's husband shall survive the Settlor, then commencing with the date of the Settlor's death, the Trustee shall pay to or apply for the benefit of the Settlor's husband during his lifetime all the net income from the KNUDSEN Family Trust in convenient installments but no less frequently than quarter-annually. (2) Discretionary Payments of Principal for Husband. If the Settlor's husband shall survive the Settlor, the Trustee may pay to or apply for the benefit of the Settlor's husband during his lifetime, such sums from the principal of the KNUDSEN Family Trust as in its sole discretion shall be necessary or advisable from time to time for the medical care, education, support and maintenance in reasonable comfort of the Settlor's husband, taking into consideration to the extent the Trustee deems advisable, any other income or resources of the Settlor's husband known to the Trustee. (3) Limited Withdrawal by Husband. In addition to the income and discretionary payments of principal from this Trust, there shall be paid to the Settlor's husband during his lifetime from the principal of this Trust upon his written request during the last month of each fiscal year of the Trust an amount not to exceed during such fiscal year the greater of Five Thousand ($5,000.00) Dollars or Five (5%) per cent of the total value of the principal of the KNUDSEN Family Trust on the last day of such fiscal year without reduction for the principal payment for such fiscal year. This right of withdrawal is noncumulative, so that if the Settlor's husband does not withdraw, during such fiscal year, the full amount to which he is entitled under this Paragraph, his right to withdraw the amount not withdrawn shall lapse at the end of that fiscal year. (4) Division Into Shares for Children. Upon or after the death of the survivor of the Settlor's husband and the Settlor, the Trustee shall divide this Trust as then constituted into equal separate shares so as to provide One (1) share for each then living child of the Settlor and One (1) share for each deceased child of the Settlor who shall leave issue then living. Each share for a living child of the Settlor shall be distributed to such child. Each share for a deceased child who shall leave- issue then living shall be distributed per stirpes to such issue. Trust Agreemrnt of RUTH E. KNUDSEN Page 5 ARTICLE IX Trustee Succession, Trustee's Fees and Other Matters. The provisions for naming the Trustee, Trustee succession, Trustee's fees and other matters are set forth below: (1) Naming Corporate Successor or Substitute Trustee. Except as otherwise provided herein, if PNC BANK, N.A. or any successor as herein defined should fail to qualify as corporate Trustee hereunder, or for any reason should cease to act in such capacity, the successor or substitute corporate Trustee shall be some other bank or trust company qualified to do business in the State of the Settlor's domicile at the time of the Settlor's death, which successor or substitute shall be designated in a written instrument filed with the court having jurisdiction over this Trust and signed by a majority of the adult beneficiaries of this Trust, or if they fail to act, by the court having jurisdiction over this Trust. (2) Naming Individual Successor or Substitute Trustee. If the individual Trustee should fail to qualify as Trustee hereunder, or for any reason should cease to act in such capacity, the successor or substitute Trustee who shall also serve without bond shall be KARENA. KNUDSEN. (3) Fee Schedule for Corporate Trustee. For its services as Trustee, the corporate Trustee shall receive an amount determined by its Standard Fee Schedule in effect and applicable at the time of the performance of such services. If no such schedule shall be in effect at that time, it shall be entitled to reasonable compensation for the services rendered. (4) Fee Schedule for Individual Trustee. For its services as Trustee, the individual Trustee shall receive reasonable compensation for the services rendered and reimbursement for reasonable expenses. (5) Trustee Voting Rights. If there is more than one Trustee serving, then the vote of the Trustees for any action hereunder must be by unanimous vote of the Trustees. (6) Change in Corporate Fiduciary. Any corporate successor to the trust business of the corporate fiduciary designated herein or at any time acting hereunder shall succeed to the capacity of its predecessor without conveyance or transfer. (7) Limitations on Trustees. No person who at any time is acting as Trustee hereunder shall have any power or obligation to participate in any discretionary authority which the Settlor has given to the Trustee to pay principal or income to such person, or for his or her benefit or in relief of his or her legal obligations; provided, however, if an individual trustee (who is also a beneficiary) is the sole trustee or at any time is acting as the sole trustee, and such trustee has discretion to invade principal for himself or herself and such discretionary authority is limited by an ascertainable standard, then such trustee may invade principal (if limited by such standard) for himself or herself but not in relief of his or her legal obligations. Tract Agrcement of RUTH E. [INUDSEN Page 6 (8) Corporate Trustee Resignation. PNC Bank, N.A., or any successor corporate Trustee, shall have the ability to resign as corporate trustee without court approval or prior consent. ARTICLE X Definition of Trustee. Whenever the word "Trustee" or any modifying or substituted pronoun therefor is used in this Trust, such words and respective pronouns shall include both the singular and the plural, the masculine, feminine and neuter gender thereof, and shall apply equally to the Trustee named herein and to any successor or substitute Trustee acting hereunder, and such successor or substitute Trustee shall have all the rights, powers and duties, authority and responsibility conferred upon the Trustee originally named herein. ARTICLE XI Powers for Trustee. The Trustee is authorized in its fiduciary discretion (which shall be subject to the standard of reasonableness and good faith to all beneficiaries) with respect to any property, real or personal, at any time held under any provision of this Trust Agreement and without authorization by any court and in addition to any other rights, powers, authority and privileges granted by any other provision of this Trust Agreement or by statute or general rules of law: (1) To retain in the form received any property or undivided interests in property donated to, or otherwise acquired as a part of the Trust Estate, including residential property and shares of the Trustee's own stock, regardless of any lack of diversification, risk or nonproductivity, as long as it deems advisable, and to exchange any such security or property for other securities or properties and to retain such items received in exchange, although such property represents a large percentage of the total property of the Trust Estate or even the entirety thereof. (2) To invest and reinvest all or any part of the Trust Estate in any property and undivided interests in property, wherever located, including bonds, debentures, notes, secured or unsecured, stocks of corporations regardless of class, interests in limited partnerships, limited liability companies or similar entities, real estate or any interest in real estate whether or not productive at the time of investment, interests in trusts, investment trusts, whether of the open and/or closed fund types, and participation in common, collective or pooled trust funds of the Trustee, insurance contracts on the life of any beneficiary or annuity contracts for any beneficiary, without being limited by any statute or rule of law concerning investments by fiduciaries. (3) To sell or dispose of or grant options to purchase any property, real or personal, constituting a part of the Trust Estate, for cash or upon credit, to exchange any property of the Trust Estate for other property, at such times and upon such terms and conditions as it may deem best, and no person dealing with it shall be bound to see to the application of any monies paid. Trust Agrecmrnt of RUTH E. KNUDSEN Page 7 (4) To hold any securities or other property in its own name as Trustee, in its own name, in the name of a nominee (with or without disclosure of any fiduciary relationship) or in bearer form. (5) To keep, at any time and from time to time, all or any portion of the Trust Estate in cash and uninvested for such period or periods of time as it may deem advisable, without liability for any loss in income by reason thereof. (6) To sell or exercise stock subscription or conversion rights. (7) To refrain from voting or to vote shares of stock which are a part of the Trust Estate at shareholders' meetings in person or by special, limited, or general proxy and in general to exercise all the rights, powers and privileges of an owner in respect to any securities constituting a part of the Trust Estate. (8) To participate in any plan of reorganization or consolidation or merger involving any company or companies whose stock or other securities shall be part of the Trust Estate, and to deposit such stock or other securities under any plan of reorganization or with any protective committee and to delegate to such committee discretionary power with relation thereto, to pay a proportionate part of the expenses of such committee and any assessments levied under any such plan, to accept and retain new securities received by the Trustee pursuant to any such plan, to exercise all conversion, subscription, voting and other rights, of whatsoever nature pertaining to such property, and to pay any amount or amounts of money as it may deem advisable in connection therewith. (9) To borrow money and to encumber, mortgage or pledge any asset of the Trust Estate for a term within or extending beyond the term of the trust, in connection with the exercise of any power vested in the Trustee. (10) To enter for any purpose into a lease as lessor or lessee with or without option to purchase or renew for a term within or extending beyond the term of the trust. (11) To subdivide, develop, or dedicate real property to public use or to make or obtain the vacation of plats and adjust boundaries, to adjust differences in valuation on exchange or partition by giving or receiving consideration, and to dedicate easements to public use without consideration. (12) To make ordinary or extraordinary repairs or alterations in buildings or other structures, to demolish any improvements, to raze existing or erect new party walls or buildings. (13) To continue and operate any business owned by the Settlor at the Settlor's death and to do any and all things deemed needful or appropriate by the Trustee, including the power to incorporate the business and to put additional capital into the business, for such time as it shall deem advisable, without liability for loss resulting from the continuance or operation of the Trust Agrecmen[ of RUTH E. KNUDSEN Page 8 business except for its own negligence; and to close out, liquidate or sell the business at such time and upon such terms as it shall deem best. (14) To collect, receive, and receipt far rents, issues, profits, and income of the Trust Estate. (15) To insure the assets of the Trust Estate against damage or loss and the Trustee against liability with respect to third persons. (16) In buying and selling assets, in lending and borrowing money, and in all other transactions, irrespective of the occupancy by the same person of dual positions, to deal with itself in its separate, or any fiduciary capacity. (17) To compromise, adjust, arbitrate, sue on or defend, abandon, or otherwise deal with and settle claims in favor of or against the Trust Estate as the Trustee shall deem best. (18) To employ and compensate agents, accountants, investment advisers, brokers, attorneys-in-fact, attorneys-at-law, tax specialists, realtors, and other assistants and advisors deemed by the Trustee needful for the proper administration of the Trust Estate, and to do so without liability for any neglect, omission, misconduct, or default of any such agent or professional representative provided such person was selected and retained with reasonable care. (19) To determine what shall be fairly and equitably charged or credited to income and what to principal. (20) To hold and retain the principal of the Trust Estate undivided until actual division shall become necessary in order to make distributions; to hold, manage, invest, and account for the several shares or parts thereof by appropriate entries on the Trustee's books of account; and to allocate to each share or part of share its proportionate part of all receipts and expenses; provided, however, the carrying of several trusts as one shall not defer the vesting in title or in possession of any share or part of share thereof. (21) To make payment in cash or in kind, or partly in cash and partly in kind upon any division or distribution of the Trust Estate (including the satisfaction of any pecuniary distribution) without regard to the income tax basis of any specific property allocated to any beneficiary and to value and appraise any asset and to distribute such asset in kind at its appraised value; and when dividing fractional interests in property among several beneficiaries to allocate entire interests in some property to one beneficiary and entire interests in other property to another beneficiary or beneficiaries. (22) In general, to exercise all powers in the management of the Trust Estate which any individual could exercise in his or her own right, upon such terms and conditions as it may reasonably deem best, and to do all acts which it may deem reasonably necessary or proper to carry out the purposes of this Trust Agreement. Trust Agreement of RU'T'H E. IQJUDSEN Page 9 (23) To purchase property, real or personal, from the Settlor's general estate upon such terms and conditions as to price and terms of payment as the Settlor's executors or administrators and the Trustee shall agree, to hold the property so purchased as a part of the Trust Estate although it may not qualify as an authorized trust investment except for this provision, and to dispose of such property as and when the Trustee shall deem advisable. The fact that the Settlor's executors or administrators and the Trustee are the same shall in no way affect the validity of this provision. (24) To lend funds to the Settlor's general estate upon such terms and conditions as to interest rates, maturities, and security as the Settlor's executors or administrators and the Trustee shall agree, the fact that they maybe the same in no way affecting the validity of this provision. (25} To receive property bequeathed, devised or donated to the Trustee by the Settlor or any other person; to receive the proceeds of any insurance policy which names the Trustee as beneficiary; to execute all necessary receipts and releases to Executors, donors, insurance companies and other parties adding property to the Trust Estate. (26) To combine assets of two or more trusts if the provisions and terms of each trust are substantially identical, and to administer them as a single trust, if the Trustee reasonably determines that the administration as a single trust is consistent with the Settlor's intent, and facilitates the trust's administration without defeating or impairing the interests of the beneficiaries. (27) To divide any trust into separate shares or separate trusts or to create separate trusts if the Trustee reasonably deems it appropriate and the division or creation is consistent with the Settlor's intent, and facilitates the trust's administration without defeating or impairing the interests of the beneficiaries. (28) To divide property in any trust being held hereunder with an inclusion ratio, as defined in section 2642(a)(1) ofthe Internal Revenue Code of 1986, as from time to time amended or under similar future legislation, of neither one nor zero into two separate trusts representing two fractional shares of the property being divided, one to have an inclusion ratio of one and the other to have an inclusion ratio of zero, to create trusts to receive property with an inclusion ratio of either one or zero and if this cannot be done to refuse to accept property which does not have a matching inclusion ratio to the receiving trust's ratio, all as the Trustee in its sole discretion deems best. (29) If the Trustee shall act as the Executor of the Settlor's estate, to elect to allocate any portion or all the Settlor's generation-skipping transfer exemption provided for in Code section 2631 or under similar future legislation, in effect at the time of the Settlor's death, to any portion or all of any other trusts or bequests in the 5ettlor's Will or any other transfer which the Settlor is the transferror for purposes of the generation-skipping tax. Generally, the Settlor anticipates that the Settlor's Executor will elect to allocate this exemption first to direct skips as defined in Code section 2612, then to the ICNUDSEN Family Trust, unless it would be Tnut Agrecment of RUTH E. KN(JDSEN Page 10 inadvisable based on all the circumstances at the time of making the allocation; and to make the special election under section 2652(a)(3) of the Code to the extent the Settlor's Executor deems in the best interest of the Settlor's estate. (30) Concerning Self-Dealing, no rule of law against self-dealing, divided loyalty, or conflict of interest shall be applied to render any transaction effected by the fiduciaries void, voidable, or otherwise subject to attack solely for violation of such rule, nor shall the fiduciaries incur any liability, nor shall any fiduciary commissions for acting hereunder be reduced, solely for violation of such rule. Any transaction which involves self-dealing, divided loyalty, or conflict of interest by the fiduciaries shall be judged by the rules of law which would apply to the same transaction at arm's length between strangers free of any element ofself-dealing, divided loyalty, or conflict of interest. Thus, by way of illustration and not of limitation, all fiduciaries are authorized, without giving any notice required by statute, to: (a) Employ and compensate any fiduciary or any affiliate as broker, agent, or professional advisor for any purpose. (b) Borrow from the commercial department of any corporate fiduciary or any affiliate at current interest rates. (c) Buy, retain and sell any debt or equity security issued or underwritten by any corporate fiduciary or any affiliate and any debt security secured, supported, and/or otherwise enhanced by a letter of credit issued by any corporate fiduciary or any affiliate. (d) Buy, retain, and sell any security of any investment company or trust registered under the Investment Company Act of 1940 to which any corporate fiduciary or any affiliate renders services for compensation. (e) Buy property from or sell property to any beneficiary or fiduciary acting hereunder or otherwise on arm's length terms. An "affiliate" means any entity which owns, directly or indirectly, an interest in any corporate fiduciary, any entity in which any corporate fiduciary owns an interest, directly or indirectly, and any entity in common control with any corporate fiduciary. ARTICLE XII Marital Deduction Savings Clause for The CLARENCE Y. KNUDSENShare. It is expressly provided that the grant of rights, powers, privileges and authority to the Trustee in connection with the imposition of duties upon the Trustee by any provision of this Trust Agreement or by any statute relating thereto shall not be effective if and to the extent that the same, if effective, would disqualify the marital deduction as established in the CLARENCE i! KNUDSENShare hereof. It is expressly provided that the Trustee shall not in the exercise of its discretion make any determination inconsistent with the foregoing intention. Trust Agreement of RUfH E. [INUDSEN Page 1 ] ARTICLE XIII Provision for Trustee to Act as Trustee for Beneficiary Under Age Twenty-Five. If any share hereunder becomes distributable to a beneficiary who has not attained the age of Twenty-five (25), such share shall immediately vest in the beneficiary, but notwithstanding the provisions herein, the Trustee shall retain possession of the share in trust for the beneficiary until the beneficiary attains the age of Twenty-five (25), using so much of the net income and principal of the share as the Trustee deems necessary to provide for the medical care, education, support and maintenance in reasonable comfort of the beneficiary, taking into consideration to the extent the Trustee deems advisable any other income or resources of the beneficiary or his or her parents known to the Trustee. Any income not so paid or applied shall be accumulated and added to principal. The beneficiary's share shall be paid over and distributed to the beneficiary upon attaining age Twenty-five (25), or if he or she shall sooner die, to his or her executors or administrators. The Trustee shall have with respect to each share so retained all the powers and discretions it had with respect to the trusts created herein generally. ARTICLE XIV Trustee's Discretion in Making Payments to a Person Under Age Twenty-Five, Incompetent, or Incapacitated Person. In case the income or principal payment under any trust created hereunder or any share thereof shall become payable to a person under the age of Twenty-five (25), or to a person under legal disability, or to a person not adjudicated incompetent, but who, by reason of illness or mental or physical disability, is, in the opinion of the Trustee unable properly to administer such amounts, then such amounts shall be paid out by the Trustee in such of the following ways as the Trustee deems best: (1} directly to the beneficiary; (2) to the legally appointed guardian of the beneficiary; (3) to some relative or friend for the medical care, education, support and maintenance in reasonable comfort of the beneficiary; (4) by the Trustee using such amounts directly for the beneficiary's care, support and education; (5) to a custodian for the beneficiary under the Uniform Gifts or Transfers to Minors Act. ARTICLE XV Power of Trustee to Resign During Settlor's Lifetime. The Trustee may resign this trusteeship during the Settlor's lifetime by giving the Settlor Thirty (30) days notice in writing delivered to the Settlor in person or mailed to the Settlor's last known address, the resignation to become effective as hereinafter provided. Upon receipt of such notice, the Settlor shall appoint a successor Trustee which shall be a bank or trust company qualified to do business in the state of the Settlor's domicile. Upon the failure of the Settlor to appoint a successor Trustee who accepts the trust within Thirty (30) days from the time notice was delivered in person or mailed to the Settlor, the Trustee may resign to the court having jurisdiction over this trust, which court may, if it deems advisable, accept the resignation and appoint a successor Trustee which shall be a bank or trust company qualified to do business in the state of the Settlor's domicile. Upon the appointment of and acceptance by the successor Trustee, the original Trustee shall pay over, Trust Agreement of RUTH E. IINUDSEN Page 12 deliver, assign, transfer or convey to such successor Trustee the Trust Estate and make a full and proper accounting to the Settlor, whereupon its resignation shall become effective. The substitute or successor Trustee upon acceptance of this trust and the Trust Estate shall succeed to and have all the rights, powers and duties, authority and responsibility conferred upon the Trustee originally named herein. ARTICLE XVI Settlor During Lifetime to Designate Substitute or Successor Trustee. The Settlor during the Settlor's lifetime may name a substitute or successor Trustee which shall be a bank or trust company qualified to do business in the Settlor's domicile by delivery to the Trustee herein a notice naming the successor or substitute Trustee and indicating an intent to replace the Trustee named herein. Upon receipt of such notice the Trustee named herein shall pay over, deliver, assign, transfer or convey to such substitute or successor Trustee (which accepts the appointment as trustee), the Trust Estate and make a full and proper accounting to the Settlor, whereupon the Trustee named herein shall be discharged and have no further responsibility under this Trust Agreement. Upon the failure of the Trustee to make such conveyance the Settlor may apply to the court having jurisdiction of this trust and such court may compel the conveyance by the Trustee. The substitute or successor Trustee upon acceptance of this trust and the Trust Estate shall succeed to and possess all the rights, powers and duties, authority and responsibility conferred upon the Trustee originally named herein. ARTICLE XVII Settlor's Husband, If No Longer a Resident of Trustee's Domicile, to Designate Substitute or Successor Trustee. After the Settlor's death, if the Settlor's husband is not a resident of the state in which a trust administration office of the Trustee is located, the Settlor's husband may name a substitute or successor Trustee which shall be a bank or trust company qualified to do business in the Settlor's husband's domicile by delivering to the Trustee herein a notice naming the successor or substitute Trustee and indicating an intent to replace the Trustee. Upon receipt of such notice the Trustee shall pay over, deliver, assign, transfer or convey to such substitute or successor Trustee (which accepts the appointment as trustee), the Trust Estate and make a full and proper accounting to the Settlor's husband and the other beneficiaries under this Trust Agreement, whereupon the Trustee named herein shall be discharged and have no further responsibility under this Trust Agreement. Upon the failure of the Trustee to make the conveyance the Settlor's husband may apply to the court having jurisdiction of this trust and such court may compel the conveyance by the Trustee. The substitute or successor Trustee upon acceptance of this trust and the Trust Estate shall succeed to and have all the rights, powers and duties, authority and responsibility conferred upon the Trustee originally named herein. ARTICLE XVIII Definition of Children. For purposes of this Trust, "children" means the lawful blood descendants in the first degree of the parent designated; and "issue" and "descendants" mean the Trust Agreemrnt of RUTH E. KNUDSEN Page 13 lawful blood descendants in any degree of the ancestor designated; provided, however, that if a person has been adopted, that person shall be considered a child of such adopting parent and such adopted child and his or her issue shall be considered as issue of the adopting parent or parents and of anyone who is by blood or adoption an ancestor of the adopting parent or either of the adopting parents. The terms "child," "children," "issue," "descendant" and "descendants" or those terms preceded by the terms "living" or "then living" shall include the lawful blood descendant in the first degree of the parent designated even though such descendant is born after the death of such parent. The term "per stirpes" as used herein has the identical meaning as the term "taking by representation" as defined in the Pennsylvania Probate Code. ARTICLE XIX Definition of Words Relating to the Internal Revenue Code. As used herein, the words "gross estate," "adjusted gross estate," "taxable estate," "unified credit" ("unified credit" shall also mean "applicable credit amount"), "state death tax credit," "maximum marital deduction," "marital deduction," "pass," and any other word or words which from the context in which it or they are used refer to the Internal Revenue Code shall have the same meaning as such words have for the purposes of applying the Internal Revenue Code to the Settlor's estate. For purposes of this Trust Agreement, the Settlor's "available generation-skipping transfer exemption" means the generation-skipping transfer tax exemption provided in section 2631 of the Internal Revenue Code of 1986, as amended, in effect at the time of the Settlor's death reduced by the aggregate of (1) the amount, if any, of the Settlor's exemption allocated to lifetime transfers of the Settlor by the Settlor or by operation of law, and (2) the amount, if any, the Settlor has specifically allocated to other property of the Settlor's gross estate for federal estate tax purposes. For purposes of this Trust Agreement if at the time of the Settlor's death the Settlor has made gifts with an inclusion ratio of greater than zero for which the gift tax return due date has not expired (including extensions) and the Settlor has not yet filed a return, it shall be deemed that the Settlor's generation-skipping transfer exemption has been allocated to these transfers to the extent necessary (and possible) to exempt the transfer(s) from generation- skipping transfer tax. Reference to sections of the Internal Revenue Code and to the Internal Revenue Code shall refer to the Internal Revenue Code amended to the date of the Settlor's death. ARTICLE XX Simultaneous Death Provision Presuming Beneficiary Predeceases Settlor. If any beneficiary and the Settlor should die under such circumstances as would make it doubtful whether the beneficiary or the Settlor died first, then it shall be conclusively presumed for the purposes of this Trust that the beneficiary predeceased the Settlor. Tres[ Agreement of RUTH E. KNUDSEN Page l4 r ' ARTICLE XXI Payment of Funeral Expenses and Expenses of Last Illness of Income Beneficiary. On the death of any person entitled to income or support from any Trust hereunder, the Trustee is authorized to pay the funeral expenses and the expenses of the last illness of such person from the principal of the Trust from which such person was entitled to income or support. ARTICLE XXII State Law to Govern. This Trust Agreement and the trusts created hereby shall be construed, regulated and governed by and in accordance with the laws of the Commonwealth of Pennsylvania. ARTICLE XXIII Spendthrift Provision. Except as otherwise provided herein, all payments of principal and income payable, or to become payable, to the beneficiary of any trust created hereunder shall not be subject to anticipation, assignment, pledge, sale or transfer in any manner, nor shall any beneficiary have the power to anticipate or encumber such interest, nor shall such interest, while in the possession of the fiduciary hereunder, be liable for, or subject to, the debts, contracts, obligations, liabilities or torts of any beneficiary. ARTICLE XXIV Perpetuities Savings Clause. Notwithstanding anything herein to the contrary, the trusts created hereunder shall terminate not later than Twenty-one (21) years after the death of the last survivor of the Settlor's husband, the Settlor's issue, the trust beneficiaries hereunder, their issue, and any person or persons or their issue used to define the trust beneficiaries under this trust, living on the date of the Settlor's death (or when this trust becomes irrevocable, if sooner), when the Trustee shall distribute each remaining trust hereunder to the beneficiary or beneficiaries of the current income thereof, and if there is more than one beneficiary, in the proportion in which they are beneficiaries or if no proportion is designated in equal shares to such beneficiaries. Trust Agrcert~cnt of RUTH E. IINIIDSEN Page 1 S t Testimonium Clause. IN WITNESS WHEREOF, the Settlor and the Trustee have executed this Trust Agreement. WITNESSES: ~ u~ ~.,.~ UTHE. KNUDSEN SETTLOR PNC BANK, N.A. ~-: By~~ ~,~1~~~ ,,~~ Its ~ ~ V~ ~- P,~~ CORPORATE T STEE C DA i~ID C. KNUDSEN INDIVIDUAL TRUSTEE Trust Agreement of RUTH E. KNL7DSEN Page t6 COMMONWEALTH OF PENNSYLVANIA : COUNTY OF DAUPHIN ACKNOWLEDGMENT I, a Notary Public, within and for the Commonwealth and County aforesaid, do hereby certify that the foregoing instrument of writing was this day produced to me in the above Commonwealth and County byRUTHE. KNUDSEN, Settlor, party hereto and was executed and acknowledged by the Settlor to be the Settlor's free act and voluntary deed. WITNESS my signature thisday of Marrch, 2001. cc.,~ Signature of Notary Public Connie L Hardy Typed Name of Notary Public Notary Public for: Pennsylvania My Commission expires: Notarial seal Connie L. Hardy, Notary Public Harrisburg, Dauphin County My Commission Expires Feb. 10, 2003 Trust Agreemrnt of RUTH E. KNUDSEN Page I7 * . COMMONWEALTH OF PENNSYLVANIA COUNTY OF DAUPHIN ACKNOWLEDGMENT I, a Notary Public, within and for the Commonwealth and County aforesaid do hereby certify that the foregoing instrument of writing was this day produced to me in the above Commonwealth and County by DAVID C. KNUDSEN, Individual Trustee, party hereto and was executed and acknowledged by the Individual Trustee to be the free and voluntary act and deed of the Individual Trustee. WITNESS my signature this~~day of March, 2001. Signature of Notary Public Connie L Hardy Typed Name of Notary Public Notary Public for: Pennsylvania My commission ex Tres: P Notarial Seal Connie !. Hardy, Notary Public Harrisburg, Dauphin County My Commission Expires Feb. 10, 2003 Trust Agreement of RVI'H E. KNUDSEN Page 19 COMMONWEALTH OF PENNSYLVANIA : COUNTY OF DAUPHIN ACKNOWLEDGMENT I, a Notary Public, within and for the Commonwealth and County aforesaid, do hereby certify that the foregoing instrument of writing was this day produced to me in the above Commonwealth and County and was executed and acknowledged by ~ ~~,- ~ ~~, ~ ; yo,.r as gust officer of PNC BANK, N.A., to be the free and voluntary act and deed of the corporate Trustee. WITNESS my signature this ~ day of March, 2001. Signature o Notary Public Denise ilenberger Typed Name of Notary Public Notary Public for: Pennsylvania My Commission expires: DENISE C• Slit g~G~E~R, Ham en T Notary Pubilc Pd wp•, Cumberland Coun Nty Commission l=xp~res Nov. 22, 20D4 Trust Agreement of RUTH E. KNUDSEN Page l8 'v ' SCHEDULE "A" List of Assets MONEY MARKET FUNDS 342,851 Blackrock Money Market -Principal -Institutional Class 4,456 Blackrock Money market -Income -Institutional Blass STOCKS 1,200 Honeywell Intl. Inc. 217 Viacom, Inc. Class B 1,800 DuPont E I De Nemours & Co. 300 Conectiv, Inc. 25 Conective Inc. Class A 400 First Energy Corp. 600 PPL Corporation 646 Public Service Enterprise Group, Inc. 460 UGI Holding Corp. New BONDS 1,378 Delaware Group American Government Bond Fund 50,000 USA Treasury Notes 05.250% Due 05/15/2004 Trust Agreement of RUTH E. KNUDSEN Page 20 '»` f ~ OTHER 38,035 Equity Focus Trs. Unit Uncommon Values RT 1999 RUTHE. KIVUDS~N SETTLOR PNC BANK, N.A. `~ ~ Its ~ - ~I- ~ P,~. ~ ~ ~; CORPORATE TR TE DA T~ID C. KN • DSEN INDIVIDUAL TRUSTEE Trust Agreemrnt of RUTH E. KNUDSEN Page 2l r REGISTER OF WILLS OF INVENTORY CUMBERLAND COUNTY, PENNSYLVANIA ~., ~ ~~ c0 COMMONWEALTH OF PENNSYLVANIA ~~ ~-- COUNTY OF Cumberland } ss File Number _00832 _ '~c~ ~ .~~~ rn David C Knudsen rn Personal Representative(s) of the Estate of Ruth E. Knudsen t -~C'i ~ - C~ C : .s,.. ' ' deceased, depose(s) and say(s). that the items appearing in the following inventory include all of the pperso s~ssets wh~ver ' , situate and all of the real estate In the Commonwealth of Pennsylvania of said Decedent, that the valuatiolaced oppo I each item of said inventory represents its fair value as of the date of the edent's death, d that cedent owned no real ate outside of the Commonwealth of Pennsylvania except that whic p ars in a m o ndu the end of this inventory. I verify that the statements made in this Inven- ~ x~~_ _ tory are true and correct. I understand that false state- } _ - ments herein are made subject to the penalties of David C. Knudsen 18 Pa.C.S. § 4904 relating to unsworn falsification to } - - - - - - --- - authorities. Attorney -- (Name) Jeffrey R B I, Esquire (Supreme Court I.D. No.) 25444 Piccola & Alford (Firm) Boswell, Tintner, _ _ _ _ _ - Address) _ __ 5 North Front Street, Harrisburg, PA 17108-0741 ( 31 . (Telephone) 717-236-9377 DATE OF DEATH LAST RESIDENCE 5225 Wilson Lane DECEDENT'S SOC. SEC. NO. 10/26/2007 Mechanicsburg, PA 17055 508-10-8673 FIGURES MUST BE TOTALED Personal Property Cash ............................................................................................... 55,743.18 Personal Property ......................................................................... 4,599.00 Stocks/Listed ................................................................................. Stocks/Closely Held ...................................................................... Bonds ............................................................................................. Partnerships and Sole Proprietorships ..................................... Mortgages and Notes Receivable ................................................ All Other Property ......................................................................... Total Personal Property ......................................... 60,342.18 Total Real Property ................................................ Total Personal and Real Property ......................... 60,342.18 NOTE: The Memorandum of real estate outside the Commonwealth of Pennsylvania may, at the election of the personal representative include the value of each item, but such figures should not be extended into the total of the Inventory. (See 20 Pa. C.S. § 3301(b)) Form RW-09 Rey. io-~3-zoos \\ ti ~ INVENTORY REGISTER OF WILLS OF CUMBERLAND COUNTY, PENNSYLVANIA COMMONWEALTH OF PENNSYLVANIA COUNTY OF Cumberland } SS File Number 00832 DATE OF DEATH LAST RESIDENCE 5225 Wilson Lane DECEDENT'S SOC. SEC. NO. 10/26/2007 Mechanicsburg, PA 17055 508-10-8673 Cash Capital Blue Cross -Medical Insurance refund Clarence V. Knudsen Trust -Interest from 10/06/2007 to 10/26/2007 Clarence V. Knudsen Trust -Interest to 10/26/2007 Humana Insurance -Medicare Part D premium refund New York Life Insurance Company -Death Benefit PA Department of Revenue - 40-PA-2007 tax refund Rolling Green Cemetary -refund Wachovia -Certificate of Deposit Total Cash Personal Property Parthemer Funeral Home -prepaid funeral Total Personal Property 271.31 346.78 915.67 14.80 27,856.18 354.00 74.00 25,910.44 55,743.18 4,599.00 4,599.00 (Attach additional sheets if necessary) Total Personal Property and Real Estate 60,342.18 ~ ~~ ~, oaD .~3 PNCBANK IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PA ORPHANS' COURT DIVISION No.2oo0 - doE32 FIRST AND FINAL ACCOUNT FOR THE TRUST ESTABLISHED UNDER THE AGREEMENT OF RUTH E KNUDSEN, SETTLOR DATED 03/06/01 STATED BY PNC BANK, NATIONAL ASSOCIATION, AND DAVID C KNUDSEN TRUSTEES RUTH E KNUDSEN, DIED: 10/26/07 DATE OF FIRST RECEIPT OF FUNDS: 03/06/01 AGCOUNTING FOR THE PERIOD: 03/06/01 TO 07/02/08 PURPOSE OF ACCOUNT: THE TRUSTEES OFFER THIS ACCOUNT TO ACQUAINT INTERESTED PARTIES WITH THE TRANSACTIONS THAT HAVE OCCURRED DURING THE ADMINTSTRATION. IT IS IMPORTANT THAT THE ACCOUNT BE CAREFULLY EXAMINED. REQUESTS FOR ADDITIONAL INFORMATION, QUESTIONS OR OBJECTIONS CAN BE DISCUSSED WITH; PNC BANK, NATIONAL ASSOCIATION C/0 DEBRA A SMITH ASSISTANT VICE PRESIDENT 4242 CARLISLE PIKE P 0 BOX 308 CAMP HILL, PA 17011 TELEPHONE 1717) 730-2275 JEFFREY R BOSWELL ESQUIRE ATTORNEY I.D. #25444 BOSWELL TINTNER PICCOLA 315 N FRONT STREET HARRISBURG, PA 17108 TELEPHONE (717) Z36-~9~77 - 1 - lRS N1:1 fill/U/; (~ PNCBANK RUTH E KNUDSEN PRINCIPAL RECEIPTS NET GAIN/LOSS ON CONVERSIONS ADJUSTED BALANCE LESS DISBURSEMENTS FEES AND COMMISSIONS GENERAL DISBURSEMENTS TOTAL PRINCIPAL DISBURSEMENTS BALANCE BEFORE DISTRIBUTIONS DISTRIBUTIONS TO BENEFICIARIES PRINCIPAL BALANCE ON HAND INVESTMENTS MADE CHANGES IN HOLDINGS INCOME RECEIPTS LESS DISBURSEMENTS BALANCE BEFORE DISTRIBUTIONS DISTRIBUTIONS TO BENEFICIARIES INCOME BALANCE ON HAND COMBINED BALANCES REMAINING VERIFICATION SUMMARY AND INDEX PAGES 3 - 4 5 - 8 9 - 9 9 - 9 9 - 9 10 - 11 12 - 12 13 - 13 14 - 15 16 - 28 29 - 31 32 - 38 39 - 39 40 - 40 - 2 - 27-27-001-3893761 21,734.82- 42,727.84- 763,893.95 155,561.72 919,455.67 64,462.66- 854,993.01 371,937.92- 483,055.09 404,476.43 74,757.48- 329,718.95 320,773.51- 8,945.44 492,000.53 TRSNOi f10/071 Pl~lCBAIVK RUTH E KNUDSEN 27-27-001-3893761 RECEIPTS OF PRINCIPAL RUTH E KNUDSEN IN ACCORDANCE WITH AGREEMENT OF TRUST DATED 03/06/01 3/Ob/O1 CASH 341,730.13 3/06/01 300 SHS CONECTIV INC COMMON 3,226.00 3/06/01 25 SHS CONECTIV INC CLASS A COMMON 1.00 3/06/01 1,800 SHS DUPONT E I DE NEMOURS & CO COMMON 74,475.00 3/06/01 38,035 SHS EQUITY FOCUS TRS UNIT UNCOMMON VALUES TR 1.00 3/06/01 400 SHS FIRSTENERGY CORP COMMON 1.00 3/06/01 1,200 SHS HONEYWELL INTL ING COMMON 42,975.60 3106/01 600 SHS PPL CORPORATION COMMON 1.00 3/06/01 646 SHS PUBLIC SERVICE ENTERPRISE GROUP INC COMMON 28,827.75 3!06/01 460 SHS U G I HOLDING CORP COMMON 10,593.98 3/06/01 50,000 PAR USA TREASURY NOTES 5.25% DUE 05/15/04 50,433.59 3/06/01 1,378.387 UTS DELAWARE GROUP CORE PLUS BOND CLASS A FD 1.00 3/06/01 217 SHS VIACOM INC CLASS B COMMON 1.00 OTHER RECEIPTS -------------- 2/11/02 PENNA DEPARTMENT OF REVENUE REFUND 2001 INDIVIDUAL INCOME TAX 374.54 PNC BANK NATIONAL ASSOCIATION AND KNUDSEN TRUSTEES UNDER THE DEED OF TRUST OF CLARENCE KNUDSEN DATED 03/03/01 ON ACCOUNT 10/16/02 500 SHS FOREST LABORATORIES INC COMMON 48,530.00 11/26/02 PROCEEDS FIRST UNION CD #247412053583739 21,176.60 4/28/03 PROCEED5 FIRST UNION C/D #41160256 20,880.37 - 3 - TR"iN 07 (7010,1 PNCBANK RUTH E KNUDSEN 4/06/06 4/06/06 9/11/06 11/07/07 11/07/07 11/07/07 2/13/08 RECEIPTS OF PRINCIPAL PNC BANK NATIONAL ASSOCIATION AND KNUDSEN TRUSTEES UNDER THE DEED OF TRUST OF CLARENCE KNUDSEN DATED 03/03/01 ON ACCOUNT 50,000 PAR FEDERAL HOME LOAN BANKS 4% DUE 10/15/08 50,000 PAR USA TREASURY NOTES 3.125% DUE 05/15/07 TRANSFER FROM INCOME CAPITAL BLUE CROSS REFUND MEDICAL INSURANCE PREMIUM TRANSFER FROM INCOME ACCRUED INCOME AS OF 10/26/07 DATE OF DEATH TRANSFER FROM INCOME ACCRUED INTEREST TO 10/26/07 DATE OF DEATH RECEIVED AFTER 10/26/07 INCOME EARNED FROM CLARENCE KNUDSEN TRUST FROM 10/6/07 TO 10/26/07 PAYABLE TO RUTH E KNUDSEN TOTAL PRINCIPAL RECEIPTS - 4 - 27-27-001-3893761 50,000.00 49,939.45 10,000.00 271.31 9,191.18 346.78 915.67 763,893.95 TRSN07 (10/0 ]) PNCBAI~lK RUTH E KNUDSEN 27-27-001-3893761 GAINS AND LOSSES ON SALES AND OTHER DISPOSITIONS GAIN 1/10/02 217 SHS VIACOM INC CLASS B COMMON PROCEEDS: 10,144.60 ACQUISITION VALUE: 1.00 10,143.60 8/07/02 38,035 SHS EQUITY FOCUS TRS UNIT UNCOMMON VALUES TR PROCEEDS: 23,300.28 ACQUISITION VALUE: 1.00 23,299.28 8/21/02 1.42 SHS PEPCO HOLDINGS INC COMMON PROCEEDS: 28.51 ACQUISITION VALUE: 11.11 17.40 5/12/03 50,000 PAR FEDERAL HOME LOAN BANKS 3.45% DUE 05/12/06 PROCEEDS: 50,OD0.00 ACQUISITION VALUE: 50,000.00 .00 8/15/03 50,000 PAR USA TREASURY NOTES 5.25% DUE 08/15/03 PROCEEDS: 50,000.00 ACQUISITION VALUE: 52,318.36 8/21/03 400 SHS FIRSTENERGY CORP COMMON PROCEEDS; 10,939.49 ACQUISITION VALUE: 1.00 10,938.49 4/23/04 50,000 PAR FEDERAL HOME LOAN BANKS 3.01% DUE 04/23/07 PROCEEDS: 50,000.00 ACQUISITION VALUE: 50,000.00 .00 5/17/04 50,000 PAR USA TREASURY NOTES 5.25% DUE 05/15/04 PROCEEDS: 50,000.00 ACQUISITION VALUE: 50,433.59 12/27/04 1,378.387 UTS DELAWARE GROUP CORE PLUS BOND CLASS A FD PROCEEDS: 10,619.86 ACQUISITION VALUE: 1.00 10,618.86 - 5 - LOSS 2,318.36- 433.59- TR3N 01 (10/077 Pl\1CBAlVK RUTH E KNUDSEN 27-27-001-3893761 GAINS AND LOSSES ON SALES AND OTHER DISPOSITIONS GAIN LOSS 12/30!04 400 SHS HONEYWELL INTL INC COMMON PROCEEDS: 14,307.66 ACQUISITION VALUE: 14,325.20 17.54- 2/17/05 400 SHS DUPONT E I DE NEMOURS 8 CO COMMON PROCEEDS: 20,482.32 ACQUISITION VALUE: 16,550.00 3,932.32 2/16/06 100 SHS BANK OF AMERICA CORP COMMON PROCEEDS: 4,349.86 ACQUISITION VALUE: 4,697.00 347.14- 2/16/06 200 SHS FOREST LABORATORIES INC COMMON PROCEEDS: 9,083.72 ACQUISITION VALUE: 9.706.00 622,28- 2/16l06 200 SHS HONEYWELL INTL INC COMMON PROCEEDS: 7,969.75 ACQUISITION VALUE: 7,162.60 807.15 2/16/06 380 SHS U G I HOLDING CORP COMMON PROCEEDS: 8,169.74 ACQUISITION VALUE: 2,917.18 5,252.56 6/12/06 50,000 PAR FEDERAL HOME LOAN BANKS PROCEEDS: 50,000.00 ACQUISITION VALUE: 50,000.00 .00 11/15/06 100,000 PAR USA TREASURY NOTES 3.50% DUE 11/15/06 PROCEEDS: 100,000.00 ACQUISITION VALUE: 96,780.00 3,220.00 2/20/07 100,000 PAR USA TREASURY NOTES 3.125% DUE 05/15/07 PROCEEDS: 99,535.16 ACQUISITION VALUE: 99,878.91 343.75- 2/22/07 200 SHS DUPONT E I DE NEMOURS & CO COMMON PROCEEDS: 10,441.67 ACQUISITION VALUE: 8,275.00 2,166.67 - 6 - 7RSN01 X70/071 (~~ PN CBANK RUTH E KNUDSEN 27-27-001-3893761 GAINS AND LOSSES ON SALES AND OTHER DISPOSITIONS GAIN LOSS 5/30/07 100 SHS KINDER MORGAN INC COMMON PROCEEDS: 10,750.00 ACQUISITION VALUE: 7,486.00 3,264.00 9/19/07 50,000 PAR FEDERAL HOME LOAN BANKS 3.50% DUE 10/15/07 PROCEEDS: 49,906.50 ACQUISITION VALUE: 49,968.75 62.25- 10/26l07 50,000 PAR FEDERAL HOME LOAN BANKS 3.675% DUE 10!26/07 PROCEEDS: 50,000.00 ACQUISITION VALUE: 50,000.00 .00 10/31/07 50,000 PAR FEDERAL HOME LN BANKS 5% DUE 10/16/09 PROCEEDS: 49,937.50 ACQUISITION VALUE: 49,900.00 37.50 10/31/07 50,000 PAR FEDERAL HOME LOAN BANKS 5.01% DUE 01/12/10 PROCEEDS: 50,062.50 ACQUISITION VALUE: 50.000.00 62.50 10/31/07 50,000 PAR FEDERAL HOME LOAN BANKS 4% DUE 10/15/08 PROCEEDS: 49,625.00 ACQUISITION VALUE: 50.000.00 375.00- 10/31/07 50,000 PAR USA TREASURY NOTES 4.75% DUE 11/15/08 PROCEEDS: 50,410.16 ACQUISITION VALUE: 49.000.00 1,410.16 11/01/07 50,000 PAR FEDERAL HOME LN MTG CORP NTS 5% DUE 01/16/09 PROCEEDS: 50,409.80 ACQUISITION VALUE: 49.898.05 511.75 11/02/07 100 SHS CHEVRON CORPORATION COMMON PROCEEDS: 8,970.36 ACQUISITION VALUE: 5.254.00 3,716.36 - 7 - TRSNOI (111/071 PNCBANK RUTH E KNUDSEN 27-27-001-3893761 GAINS AND LOSSES ON SALES AND OTHER DISPOSITIONS GAIN LOSS 11/02/07 100 SHS COCA COLA CO COMMON PROCEEDS: 6,194.40 ACQUISITION VALUE: 4,172.00 2,022.40 11/02/07 1,200 SHS DUPONT E I DE NEMOURS & CO COMMON PROCEEDS: 58,556.34 ACQUISITION VALUE: 49,650.00 8,906.34 11/02/07 800 SHS FOREST LABORATORIES INC COMMON PROCEEDS: 31,387.51 ACQUISITION VALUE: 38,824.00 7,436.49- 11/02/07 100 SHS GENERAL ELECTRIC CO COMMON PROCEEDS: 4,049.43 ACQUISITION VALUE: 3,630.00 419.43 11/02/07 600 SHS HONEYWELL INTL INC COMMON PROCEEDS: 36,218.44 ACQUISITION VALUE: 21 487.80 14,730.64 11/02/07 100 SHS JOHNSON 8 JOHNSON CO COMMON PROCEEDS: 6,489.40 ACQUISITION VALUE: 6,128.00 361.40 11/02/07 1,200 SHS PPL CORPORATION COMMON PROCEEDS: 60,894.50 ACQUISITION VALUE: 1.00 60,893.50 11/02/07 100 SHS PROCTER & GAMBLE CO COMMON PROCEEDS: 6,898.39 ACQUISITION VALUE: 5,276.00 1,622.39 11/02/07 100 SHS WACHOVIA CORP NEW COMMON PROCEEDS: 4,613.42 ACQUISITION VALUE: 5,450.00 836.58- TOTAL GAINS AND LOSSES 168,354.70 12,792.98- LESS LOSS 12,792.98- NET GAIN 155,561.72 - 8 - ZRSN OI )/O/071 (8 PN CBA~lK RUTH E KNUDSEN 27-27-001-3893761 DISBURSEMENTS OF PRINCIPAL 11/15/07 PARTHEMORE FUNERAL HOME FUNERAL ARRANGEMENTS 935.61- 11/16/07 MILLENNIUM PHARMACY INC PRESCRIPTION5 341.23- 4/09/08 PENNA DEPARTMENT OF REVENUE FIDUCIARY INCOME TAX ON CAPITAL GAINS 178.00- 4/09l08 INTERNAL REVENUE SERUICE FIDUCIARY INCOME TAX ON CAPITAL GAIN5 273.00- 4/10/08 BOSWELL TINTNER PICCOLA & ALFORD LEGAL SERVICES 14,913.10- 6/16/08 ESTATE OF RUTH KNUDSEN DECEASED TO PAY ESTATE TAXES AND EXPENSES 41,000.00- 6/16/08 BOSWELL TINTNER PICCOLA & ALFORD LEGAL SERUICES 2,346.72- 6/17/08 MICHAEL A KUNISKY 1/2 SHARE 2007 INDIVIDUAL INCOME TAX PREPARATION FEE 275.00- 7102/08 CLERK OF THE ORPHANS COURT RESERVE FILING FEE 1,200.00- 7102/08 BOSWELL TINTNER & PICCOLA RESERVE ATTORNEY FEE FOR CONFIRMATION HEARING 3,000.00- TOTAI PRINCIPAL DISBURSEMENTS ~ 64,462.66- - 9 - TRSNOI 11070]) P1~CBANK RUTH E KNUDSEN DISTRIBUTIONS OF PRINCIPAL TO BENEFICIARIES 27-27-001-3893761 PNC BANK NATIONAL ASSOCIATION AND DAVID C KNUDSEN TRUSTEES UNDER THE AGREEMENT OF TRUST OF CLARENCE KNUDSEN DATED 03/06/01 10/16/02 CASH DISTRIBUTED 70,000.00- 4106/06 646 SHS PUBLIC SERVICE ENTERPRISE GROUP INC COMMON 28,827.75- 600 SHS U G I HOLDING CORP COMMON 4,606.08- 400 SHS U G I HOLDING CORP COMMON 3,070.72- 5/08/06 411 SHS PEPGO HOLDINGS INC COMMON 3,215.89- 109,720.44- FOR ACCOUNT' OF RUTH KNUDSEN CASH DISTRIBUTED TRANSFERS TO INCOME 4/10/03 10,088.15- 4/30/03 480.52- 6/20/03 500.00- 6/24/03 500.00- 9/11/03 4,000.00- 2/27l04 1,000.00- 5/16/05 10,000.00- 7/14/05 5,000.00- 8/09l05 10,000.00- 11/15/05 5,000.00- 1/25/06 5,000.00- 2/13/06 5,000.00- 3/09/06 4,000.00- 3/31/06 1,000.00- 4/17/06 10,000.00- 8/14/06 10,000.00- 9/12/06 20,000.00- 12/29/06 5,000.00- 2/15/07 5,000.00- 3/16/07 10,000.00- 4/24/07 10,000.00- 6/05/07 5,000.00- 6/25/07 5,000.00- 8/13/07 25,000.00- 9/04/07 10,000.00- 9l17/07 5,000.00- 9/20/07 40,000.00- - 10 - 221,568.67- TRSN01 (7010,1 PNCBANK RUTH E KNUDSEN DISTRIBUTIONS OF PRINCIPAL TO BENEFICIARIES 27-27-001-3893761 CONTINUED: FOR ACCOUNT OF RUTH KNUDSEN 11/05/01 PARTHEMORE FUNERAL HOME PREPAID FUNERAL EXPENSES 6/30/03 ALERT PHARMACY AT BETHANY VILLAGE PRESCRIPTIONS 2/14/07 KAREN KNUDSEN GIFT CHARLOTTE KNUDSEN GIFT DAVID C KNUDSEN GIFT 4,594.00- 49.81- 12,000.00- 12,000.00- 12,000.00- 262,217.48- TOTAL PRINCIPAL DISTRIBUTIONS - 11 - 371,937.92- /RSNOI (10/0,) PI~JCBANK RUTH E KNUDSEN PRINCIPAL BALANCE ON HAND INVESTED CASH TOTAL PRINCIPAL - 12 - 27-27-001-3893761 VALUE 7/07/08 ACQUISITION VALUE 483,055.09 483,055.09 483,055.09 483,055.09 iRSN 01 (70/07) PNCBAIVK RUTH E KNUDSEN 27-27-001-3893761 PRINCIPAL INFORMATION SCHEDULES - INVESTMENTS MADE 10/09/01 50,000 PAR USA TREASURY NOTES 5.25% DUE 08/15/03 52,318.36 2/15/02 100,000 PAR USA TREASURY NOTES 3.50% DUE 11/15/06 96,780.00 3/15/02 50,000 PAR USA TREASURY NOTES 4.75% DUE 11/15/08 49,000.00 11/12/02 50,000 PAR FEDERAL HOME LOAN BANKS 3.45% DUE 05/12/06 50,000.00 6/12/03 50,000 PAR FEDERAL HOME LOAN BANKS 5O,OOO.DO 10/15/03 50,000 PAR FEDERAL HOME LOAN BANKS 3.50% DUE 10/15/07 49,968.75 10/23/03 50,000 PAR FEDERAL HOME LOAN BANKS 3.01% DUE 04/23/07 50,000,00 12/30/04 100 SHS CHEVRON CORPORATION COMMON 5,254.00 12/30104 100 SHS COCA COLA CO COMMON 4,172.00 12/30/04 50 SHS KINDER MORGAN INC COMMON 3,608.50 12/31/04 50,000 PAR USA TREASURY NOTES 3.125% DUE 05/15/07 49,939.46 1/26/05 50,000 PAR FEDERAL HOME LOAN BANKS 3.675% DUE 10/26/07 50,000.00 2/17/05 100 SHS BANK OF AMERICA CORP COMMON ~ 4,697.00 2/17/05 100 SHS GENERAL ELECTRIC CO COMMON 3,630.00 2/17/05 50 SHS KINDER MORGAN INC COMMON 3,877.50 2/17/05 100 SHS PROCTER & GAMBLE CO COMMON 5,276.00 11/10/05 ~ 100 SHS JOHNSON & JOHNSON CO COMMON 6,128.00 2!16/06 100 SHS WACHDVIA CORP NEW COMMON 5,450.00 1/12/07 50,000 PAR FEDERAL HOME LOAN BANKS 5.01% DUE 01/12!10 50,000.00 2/05/07 50,000 PAR FEDERAL HOME IN MTG CORP NTS S% DUE 01/16/09 49,898.05 2/21/07 50,000 PAR FEDERAL HOME LN BANKS 5% DUE 10/16/09 49,900.00 TOTAL PRINCIPAL INVESTMENTS 689,897.62 - 13 - iR5N01 i70/07) Q PNC16AlVK RUTH E KNUDSEN PRINCIPAL INFORMATION SCHEDULES - CHANGES IN HOLDINGS 3/06/01 RECEIVED 300 SHS CONECTIV INC COMMON 8/14/02 300 SHS CONECTIV INC COMMON EXCHANGED FOR 384.614 SHS PEPCO HOLDINGS INC COMMON 0 SHS 3/06/01 RECEIVED 25 SHS CONECTIV INC CLASS A COMMON 8/14/02 25 SHS CONECTIV INC CLASS A COMMON EXCHANGED FOR 27.806 SHS PEPCO HOLDINGS INC COMMON 0 SHS 3/06/01 RECEIVED 1,378.387 UTS DELAWARE GROUP CORE PLUS BOND CLASS A FD 12/27/04 SOLD 1,378.387 UTS DELAWARE GROUP CORE PLUS BOND CLASS A FD 0 UTS 10/16/02 RECEIVED 500 SHS FOREST LABORATORIES INC COMMON 1/09103 STOCK SPLIT 2-1 500 SHS FOREST LABORATORIES INC COMMON 2!16/06 SOLD 200 SHS FOREST LABORATORIES INC COMMON 11/02/07 SOLD 800 SHS FOREST LABORATORIES INC COMMON -0 SHS 3/06/01 RECEIVED 600 SHS PPL CORPORATION COMMON 8/25105 STOCK SPLIT 2-1 600 SHS PPL CORPORATION COMMON 11/02/07 SOLD 1,200 SHS PPL CORPORATION COMMON - 14 - 27-27-001-3893761 3,226.00 3,226.00- .00 1.00 1.00- --------00 1.00 1.00- .00 48,530.00 9,706.00- 38,824.00- - .00 1.00 1.00- RS NOl 110/077 e PNCBAI\1K RUTH E KNUDSEN 27-27-001-3893761 PRINCIPAL INFORMATION SCHEDULES - CHANGES IN HOLDINGS CONTINUED: PPL CORPORATION COMMON 0 SHS 00 8/14/02 27.806 SHS PEPCO HOLDINGS INC COMMON IN EXCHANGE FOR 25 SHS CONECTIV INC CLASS A COMMON 1.00 8/14/02 384.614 SHS PEPCO HOLDINGS INC COMMON IN EXCHANGE FOR 300 SHS CONECTIV INC COMMON 3,226.00 8/21102 SOLD 1.42 SHS PEPCO HOLDINGS INC COMMON 11.11- 5/08/06 DISTRIBUTED 411 SHS PEPCO HOLDINGS INC COMMON 3,215.89- -------- -------- 0 -- -- SHS ---------- ---------- .00 3/06/01 RECEIVED 460 SHS U G I HOLDING CORP COMMON 10,593.98 4/02/03 STOCK SPLIT 3-2 230 SHS U G I HOLDING CORP COMMON 5/25/05 STOCK SPLIT 2-1 690 SHS U G I HOLDING CORP COMMON 2/16/06 SOLD 380 SHS U G I HOLDING CORP COMMON 2,917.18- 4/06/06 DISTRIBUTED 600 SHS U G I HOLDING CORP COMMON 4,606.08- 4/06/06 DISTRIBUTED 400 SHS U G I HOLDING CORP COMMON 3,070.72- -------- -------- 0 -- -- SHS ---------- ---------- .00 - 15 - TRSN 01 (10[(1]1 ~'NCBANK RUTH E KNUDSEN 27-27-001-3893761 RECEIPTS OF INCOME INTEREST FEDERAL HOME LOAN BANKS 3.45% DUE 05/12/06 5/12/03 862.50 862.50 FEDERAL HOME LOAN BANKS 3.675% DUE 10/26/07 4/26/05 459.38 10/26/05 918.75 4/26/D6 918.75 10/26/06 918.75 4/26/07 918.75 10/26/07 918.75 5,053.13 FEDERAL HOME LN BANKS 5% DUE 10/16/09 2/21/07 868.06- 4/16/07 1,250.00 1D/16/D7 1,250.00 10/31/07 104.17 1,736.11 FEDERAL HOME LOAN BANKS 5.01% DUE 01/12/10 7/12/07 1,252.50 10/31/07 758.46 2,010.96 FEDERAL HOME LOAN BANKS " 3.50% DUE 10/15/07 4/15/04 875.00 10/15/04 875.00 4/15/05 875.00 10/17/05 875.00 4/17/D6 875.00 10/16/06 875.00 4/16/07 875.00 9/19/07 748.61 6,873.61 FEDERAL HOME LOAN BANKS 4% DUE 10!15/08 4/17/06 1,000.00 10/16/06 1,000.00 4116!07 1,000.00 10/15/07 1,000.00 10/31/07 88.89 4,088.89 FEDERAL HOME LOAN BANKS 3.01% DUE 04/23/07 4/23/04 752.50 752.50 FEDERAL HOME LN MTG CORP NTS 5% DUE 01/16/09 2/05/07 131.94- 7/lb/07 1,250.00 11/01/07 729.17 1,847.23 - 16 - fRSN0l i111i07V B PNCBANK RUTH E KNUDSEN RECEIPTS OF INCOME 27-27-001-3893761 USA TREASURY NOTES 5.25% DUE 08/15/03 10/09/01 392.32- 2/15/02 ~ 1,312.50 8/15/02 1,312.50 2/18/03 1,312.50 8/15/03 1,312.50 4,857.68 USA TREASURY NOTES 4.75% DUE 11/15/08 3/15/02 787.29- 5/15/02 1,187.50 11/15/02 1,187.50 5/15/03 1,187.50 11/17/03 1,187.50 5/17/04 1,187.50 11!15!04 1,187.50 5/16/05 1,187.50 11/15/05 1,187.50 5/15/06 1,187.50 11/15/06 1,187.50 5/15/07 1,187.50 10/31/07 1,090.69 13,365.90 USA TREASURY NOTES 5.25% DUE 05/15/04 5/15/01 1,312.50 11/15/01 1,312.50 5/15/02 1,312.50 11/15/02 1,312.50 5115/03 1,312.50 11/17/03 1,312.50 5/17/04 1,312.50 9,187.50 USA TREASURY NOTES 3.50% DUE 11/15/06 2/15/02 889.50- 5/15/02 1,750.00 11/15/02 1,750.00 5/15/03 1,750.00 11/17/03 1,750.00 5/17/04 1,750.00 11/15/04 1,750.00 5/16/05 1,750.00 11/15/05 1,750.00 5/15/06 1,750.00 11/15/06 1,750.00 16,610.50 USA TREASURY NOTES 3.125% DUE 05/15/07 12/31/04 198.55- 5/16/05 781.25 11/15/05 781.25 5/15/06 1,562.50 11/15/06 1,562.50 2/20/07 837.36 5,326.31 - 17 - TRSNOI (I(1/~71 (~ PNCBAI\1K RUTH E KNUDSEN RECEIPTS OF INCOME 27-c7-001-3893761 DIVIDEND BANK OF AMERICA CORP COMMON 3/25/05 45.00 6/24/05 45.00 9/23/05 50.00 12/23/05 50.00 190.00 CHEVRON CORPORATION COMMON 3/10/05 40.00 6/10/05 45.00 4/12/05 45.00 12/12/05 45.00 3/10/06 45.00 6112/06 52.00 9/11/06 52.00 12/11/06 52.00 3/12/07 52.00 6/11/07 58.00 9/10/07 58.00 544.00 COCA COLA CO COMMON 4/01/05 28.00 7/01/05 28.00 10/03/05 28.00 12/15/05 28.00 4/03/06 31.00 7/03/06 31.00 10/02/06 31.00 12/15/06 31.00 4/02/07 34.00 7/02/07 34.DO 10/01/07 34.00 338.00 CONECTIV INC COMMON 7/31/01 66.00 10!31/O1 66.00 1/31/OZ 66.00 4/30/02 66.00 7131/02 66.00 8/16/02 21.00 351.00 CONECTIV INC CLASS A COMMON 7/31/01 6.25 10/31/01 6.25 1!31/02 6.25 4/30/02 12.50 7/31/02 6.25 8!15/02 2.00 39.50 DUPONT E I DE NEMOURS 8 CO COMMON 6/12/01 630.00 9/12/01 630.00 12/14/01 630.00 3/14/02 630.00 6/12/02 630.00 9112/02 630.00 - 18 - TRSN OI (10!071 ®~ PNCBANK ,RUTH E KNUDSEN RECEIPTS OF INCOME 27-27-001-3893761 CONTINUED: DUPONT E I DE NEMOURS & CO COMMON 12/16/02 630.00 3/14/03 630.00 6/12/03 630.00 9/12/03 630.00 12/15/03 630.00 3/15/04 630.00 6/14/D4 630.00 9/13/04 630.00 12/14/04 630.00 3/14/05 630.00 6/13/05 518.00 9/12/05 518.00 12!14/05 518.00 3/14/06 518.00 6/12/06 518.00 9!12/06 518.00 12/14/06 518.00 3/14/07 518.00 6/12107 444.00 9/12/07 444.00 • 15,112.00 FEDERAL HOME LOAN BANKS 12/12/03 512.50 6/14/04 512.50 12/13/04 512.50 6/13/05 512.50 12/12/05 512.50 6/12/06 512.50 ' 3,075.00 FIRSTENERGY CORP COMMON 6/01/01 150.00 9/04/01 150.00 12/03101 111.68 12/07/01 38.32 3/01/02 150.00 6/03/02 150.00 9/03/02 150.00 12/02/02 150.00 3!03/03 150.00 6/02/03 150.00 9/02/03 150.00 1,500.00 GENERAL ELECTRIC CO COMMON 4/25/05 22.00 7/25/05 22.00 10/25/05 22.00 1/25!06 25.00 4/25/06 25.00 7/25/06 25.00 10/25/06 25.00 1/25/07 28.00 4/25/07 28.00 7/25/07 28.00 10/25/07 28.00 278.00 - 19 - iR5N01 (10/071 PNCBANK RUTH E KNUDSEN RECEIPTS OF INCOME 27-27-001-3893761 HONEYWELL INTL INC COMMON 7/25/01 225.00 9/10/01 225.00 12/10/01 225.00 3/08/02 225.00 6/10!02 225.00 9/10/02 225.00 12/10/02 225.00 3/10!03 225.00 6/10/03 225.00 9/10/03 225.00 12/10/03 225.00 3/10/04 225.00 6/10/04 225.00 9/10/04 225.00 12/10/04 225.00 3/1D/05 165.00 6/10/05 165.00 9/09/05 165.00 12/09/05 165.00 3/10/06 136.13 6/09/06 136.13 9/08/06 136.13 12/08/06 136.13 3/09/07 150.00 6/08/07 150.00 9/10/07 150.00 5,029.52 JOHNSON & JOHNSON CO COMMON 12/13/05 33.00 3/14/06 33.00 6/13/06 37.50 9/12/06 37.50 12/12/06 37.50 3/13/07 37.50 6/12/07 41.50 9/11/07 41.50 299.00 KINDER MORGAN INC COMMON 2/14/05 35.00 5/13/05 70.00 8/12/05 75.00 11114105 75.00 2/14/06 87.50 5/15/06 87.50 8!14/06 87.50 11/14/06 87.50 2/14/07 87.50 5/15!07 87.50 780.00 PPL CORPORATION COMMON 7/02/01 159.00 10/O1/O1 159.00 1/02/02 159.00 4/01/02 216.00 7/01/02 216.00 10/01/02 216.00 - 20 - TRSN OI (10/07) B. PNCBANK RUTH E KNUDSEN RECEIPTS OF INCOME 27-27-001-3893761 CONTINUED: PPl CORPORATION COMMON 1/02/03 216.00 4/01/03 231.00 7/01/03 231.00 10!01/D3 231.00 1/02/04 231.00 4/01/04 246.00 7/01!04 246.00 10/01/04 246.00 1/03/05 246.00 4/01/05 276.00 7/01/05 276.00 10/03/05 300.00 1!03/06 300.00 4/03/06 330.00 7/03/06 330.00 10/02/06 330.00 1/02/07 330.00 4/02/07 366.00 7/02!07 366.D0 10/01/07 366.00 PEPCO HOLDINGS INC COMMON 9/30/02 68.13 12/31/02 102.75 3/31/03 102.75 6/30/03 102.75 9/30/03 102.75 12/31/03 102.75 3/31/04 102.75 6/30/04 102.75 9/30/04 102.75 12/31/04 102.75 3/31!05 102.75 6/30/05 102.75 9/30/05 102.75 12/30/05 102.75 3/31/06 106.86 PROCTER & GAMBLE CO COMMON 5/16/05 28.00 8!15/05 28.00 11/15/05 28.00 2/15/06 28.00 5/15/06 31.00 8/15/06 31.00 11/15/06 31.00 2/15!07 31.00 5/15/07 35.00 8/15/07 35.00 11/15/07 35.00 PUBLIC 5ERVICE ENTERPRISE GROUP INC COMMON 6/29/01 348.84 9/28/01 348.84 - 21 - 6,819.00 1,510.74 341.00 iRSNO~ uoron PNC~ANIC RUTH E KNUDSEN RECEIPTS OF INCOME 27-27-001-3893761 CONTINUED: PUBLIC SERVICE ENTERPRISE GROUP 12/31/01 348.84 3/29!02 348.84 6/28/02 348.84 9130/02 348.84 12/31/02 348.84 3/31/03 348.84 6/30/03 348.84 9/30/03 348.84 12/31/03 348.84 3!31/04 355.30 6/30/04 355.30 9/30/04 355.30 12!31104 355.30 3/31/05 361.76 6/30/05 361.76 9/30/05 361.7b 12/30/05 361.76 3/31/06 368.22 U G I HOLDING CORP COMMON 7/02/01 184.00 10/01/01 184.00 1/02/02 184.00 4/01/02 184.00 7/01/02 189.75 10/01/02 189.75 1/02/03 189.75 4/01/03 196.65 7/01/03 196.65 10/01/03 196.65 1/02/04 196.65 4/01/04 196.65 7!01104 215.63 10/01/04 215.63 1/03/05 215.63 4/01/05 215.63 7/01/05 232.88 10/03/05 232.88 1/03!06 232.88 4/03/06 168.75 WACHOVIA CORP NEW COMMON 3/15/06 51.00 6/15/06 51.00 9/15/06 56.00 12/15/06 56.00 3/15/07 56.00 6/15/07 56.00 9/17/07 64.00 OTHER INCOME DELAWARE GROUP CORE PLUS BOND CLASS A FD 5/30/01 46.89 - 22 - 7,073.70 4,018.41 390.00 TRSN OI (10/0/) PI~ICBANK RUTH E KNUDSEN RECEIPTS OF INCOME CONTINUED: DELAWARE GROUP CORE PLUS BOND 6/25/01 8/01!01 8/23/01 10/O1/O1 10/26/01 11/26/01 12/24/01 1/29/02 2/25/02 3/25/02 4/23!02 5/23/02 6/24/02 7/24/02 8/23/02 9/23/02 10/23/02 11/25/02 12/23/02 1/24/03 2/24/03 3!24103 4/23/03 5/23/03 6/23/03 7/23/03 8/25/03 9/23!03 10/23/03 11/24/03 12/23/03 1/23/04 2/23/04 3/23/04 4/23/04 5/24/04 6/23/04 7/23/04 8/23/04 9/23/04 10/25/04 11/24!04 12/23/04 46.76 43.40 50.07 50.06 47.73 49.32 42.03 46.39 49.43 42.41 48.03 45.43 46.70 42.79 44.06 45.19 44.11 44.03 40.57 40.69 39.36 37.06 43.26 39.08 34.34 31.77 35.30 36.28 34.83 38.27 36.11 36.49 37.73 36.57 40.53 40.51 39.33 38.09 41.66 40.54 37.59 40.69 39.80 EpUITY FOCUS TRS UNIT UNCOMMON VALUES TR 1/07/02 349.54 8/07/02 220.60 BLACKROCK MONEY MARKET INSTITUTIONAL CLASS FD #O1 5/01/01 4.30 5101/01 171.44 6/01/01 38.45 6/01/01 1,256.38 - 23 - 27-27-001-3893761 1,831.28 570.14 TRSNOI 110/071 PNCBANK RUTH E KNUDSEN 27-27-001-3893761 RECEIPTS OF INCOME CONTINUED: BLACKROCK MONEY MARKET 7/02/01 35.58 7/02/01 1,133.78 8/01/01 26.65 8/01/01 1,093.62 9/04/01 19.51 9/04/01 1,019.88 10/D1/O1 15.87 10/O1/O1 935.08 11/O1/O1 14.27 11/O1/O1 698.56 12/03/01 13.29 12/03/01 535.65 1/02/02 11.41 1/02/02 489.57 2/01/02 11.25 2!01/02 464.79 3/01/02 10.10 3/01/02 357.39 4/01/02 11.38 4/01/02 266.26 5/01/02 5.70 5/01/02 220.60 6/03/02 4.81 6/03/02 218.08 7/01/02 5.74 7/01/02 206.26 8!01/02 4.88 8/01/02 204.44 9/03/02 5.17 9/03/02 217.95 10/01/02 4.39 10/01/02 212.30 11/01/02 4.64 11/01/02 174.49 12/02/02 5.80 12/02/02 86.39 1/02/03 6.67 1/02/03 77.26 2/03/03 6.13 2/03/03 71.64 3/03/03 5.03 3/03/03 58.30 4/01/03 5.96 4/01/03 62.73 5/02/03 1.84 5/02/03 53.54 6/02/03 2.02 6/02/03 89.14 7/01/03 1.34 7/01/03 78.57 8/01/03 .41 8/01/03 58.69 9!02103 .45 9/02/03 72.82 10/01/03 .47 - 24 - rasNOi noon PNC~ANK RUTH E KNUDSEN 27-27-001-3893761 RECEIPTS OF INCOME CONTINUED: BLACKROCK MONEY MARKET 10101/03 87.04 11/03/03 .59 11/03/03 63.68 12/01/03 1.45 12/01/03 25.12 1/02/04 2.08 1102/04 26.36 2/02/04 .54 2/02/04 26.07 3/03!04 .21 3/03/04 24.00 4/01/04 .67 4/01/04 24.53 5/03/04 1.33 5/03/04 28.30 6/01/04 2.88 6/01/04 67.88 7/01/04 2.80 7101/04 56.35 BLACKROCK LIQUIDITY FUNDS TEMPFUND ADMINISTRATION SHARES #H1 7/01/04 1.78 7!01/04 34.10 8/02/04 7.03 8/02/04 125.93 9/01/04 7.65 9/01/04 144.40 10/01/04 8.33 10/01/04 157.23 11/01/04 10.64 11/01/04 175.73 12/01/04 14.01 12/01/04 190.80 1103/05 19.59 1/03/05 233.99 2/01/05 22.22 2/01!05 171.58 3/01/05 21.24 3/01/05 91.90 4/01/05 24.15 4/01/05 111.63 5/02/05 15.90 5/02/05 115.54 6/01/05 10.93 6/01/05 116.83 7/01/05 16.02 7/01/05 104.35 8/01/05 11.80 8/01!05 107.40 9/01/05 22.50 9/01/05 87.86 10/03/05 17.37 10/03/05 81.39 11/01/05 7.22 - 25 - 11,310.99 TI25 N01 ~inron PNCBANK RUTH E KNUDSEN 27-27-001-3893761 RECEIPTS OF INCOME CONTINUED: BLACKROCK LIQUIDITY FUNDS TEMPFUND 11/01/05 89.16 12/01/05 11.22 12/01/05 72.44 1/03/06 10.42 1/03/06 62.12 2/01/06 4.13 2!01/06 59.99 3/01/06 3.03 3/01/06 68.26 4!03/06 ~ 1.87 4/03/06 109.34 5/01/06 19.39 5!01/06 85.98 6/01/06 36.91 6/01/06 69.37 7/03106 27.40 7/03/06 188.42 8/02/06 9.78 8/02106 288.94 9/01/06 15.58 9/01/06 266.91 10/02/06 30.51 10/02/06 214.67 11/01/06 23.23 11/01/06 204.13 12/01/06 20.14 12/O1/Ob 406.63 1/02/07 8.20 1/02/07 636.18 2101/07 11.22 2/01/07 503.16 3/01/07 8.53 3/01/07 192.17 4/02/07 18.23 4/02/07 247.70 5/01!07 33.26 5/01/07 206.93 6/01/07 60.21 6/01/07 180.54 7/02/07 63.32 7/02/07 197.19 8/01/07 72.16 8/01/07 182.21 9/04/07 65.13 9/04/07 119.79 10/01/07 66.01 10/01/07 47.81 11/01/07 64.31 11/01/07 72.89 12!03/07 19.15 12/03/07 2,064.00 1/02/08 15.77 1/02/08 2,201.18 2/01/08 21.71 2/01/08 2,078.86 - 26 - TRFN07 (10/U 71 PNCBANK RUTH E KNUDSEN RECEIPTS DF INCOME 27-27-001-3893761 CONTINUED: BLACKROCK LIQUIDITY FUNDS TEMPFUND 7/29/05 3/03/08 21.48 3/03/08 1,628.48 4/01/08 23.79 4/01108 1,551.16 5/01/08 18.10 5/01/08 1,256.49 6/02108 17.15 6/02/08 1,189.19 7/01/08 16.81 7/01108 1,042.84 MISCELLANEOUS ACCOUNT 27-27-007-3884756 CASH 3/06/01 8,$62.88 4/30/01 50.40 5/04/01 1,284.98 TRANSFER FROM PRINCIPAL 4/10!03 10,088.15 4/30/03 480.52 6/20/03 500.00 6/24/03 500.00 9/11/03 4,000.00 2/27/04 1,000.00 5!16/05 10,000.00 7/14/05 5,000.00 8/09/05 10,000.00 11/15!05 5,000.00 1/25/06 5,000.00 2/13!06 5,000.00 3/09/06 4,000.00 3/31/06 1,000.00 4/17/06 10,000.00 8/14/06 10,000.00 9/12/06 20,000.00 12129/06 5,000.00 2/15/07 5,000.00 3/16/07 10,000.00 4/24/07 10,000.00 6/05/07 5,000.00 6/25/07 5,000.00 8/13/07 25,000.00 9/04/07 10,000.00 9/17/07 5,000.00 9/20!07 40,000.00 CAPITAL BLUE CROSS CLAIM #05181398900 SOCIAL SECURITY BENEFITS 3/06/06 887.00 4/04/06 887.00 5/04/06 887.00 - 27 - 20,912.32 10,198.26 221,568.67 38.28 (RSNOI t10f~71 PIVCBANK RUTH E KNUDSEN RECEIPTS OF INCOME 27-27-001-3893761 6/12/06 834.00 7/05/06 834.00 7/06/06 26.50 8/04/06 860.50 9/06/06 860.50 10/04/06 860.50 11/06/06 860.50 12/05/06 860.50 1/04/07 891.80 ' 2/06/07 891.80 3/06/07 891.80 3!07/07 23.20 3/07/07 23.20 4/04/07 915.00 5!04107 915.00 6/05/07 915.00 7/05/07 915.00 8!06!07 915.00 9/05/07 915.00 10/04/07 915.00 17,784.80 TOTAL INCOME 404,476.43 - 28 - 1RSN01 (10/07) Q PNCBANK RUTH E KNUDSEN 27-27-001-3893761 DISBURSEMENTS OF INCOME 7/13/01 BOSWELL TINTNER PICCOLA & ALFORD LEGAL SERVICES 3,515.00- 3/28/03 BOSWELL TINTNER PICCOLA & ALFORD LEGAL SERVICES 151.50- 9/11/06 TRANSFER TO PRINCIPAL 10,000.00- 11/07/07 TRANSFER TO PRINCIPAL INCOME BALANCE AS OF 10/26/07 DATE OF DEATH 9,191.18- 11/07/07 TRANSFER TO PRINCIPAL ACCRUED INTEREST SINCE 10/26/07 DATE OF DEATH 346.78- TRUSTEE'S COMPENSATION PNC BANK NATIONAL ASSOCIATION COMPENSATION BASED ON PRINCIPAL MARKET VALUE 4/26/01 277.01- 5/29/01 583.37- 6/26/01 563.98- 7/26l01 545.44- 8/28/01 553.22- 9/26/01 520.41- 10l26/01 528.D9- 11/27/O1 539.95- 12/27/01 533.19- 1/28/02 534.87- 2/26/02 545.62- 3/26/02 550.86- 4/26/02 544.18- 5/29/02 550.76- 6/26/02 537.16- 7/26/02 516.28- 8/27/02 534.81- 9/26/02 512.46- 10/29/02 499.19- 11/26/02 515.05- 12/27/02 530.71- 1/28/03 531.09- 2/26/03 523.71- 3/26l03 532.01- 4/28/03 523.78- 5/28/03 552.27- 6/26/03 560.46- 7/28/03 547.80- 8/26/03 542.81- 9/26/03 538.28- 10/28/03 538.08- 11/26/03 544.62- 12/29/03 565.25- 1/27/04 576.46- 2/26/04 579.39- 3/26/04 567.41- 4/27/04 568.42- - 29 - 7RSN 01 f10/071 PNCBAI~IK RUTH E KNUDSEN DISBURSEMENTS OF INCOME 27-27-001-3893761 CONTINUED: TRUSTEE'S COMPENSATION 5/26/04 553.07- 6/28l04 560.11- 7/27/04 551.25- 8/26/04 553.23- 9/28/04 551.75- 10/26/04 552.22- 11/29l04 561.93- 12/28/04 578.55- 1/26/05 566.68- 2/28/05 643.36- 3/28/05 630.97- 4/26/05 620.72- 5/26105 626.71- 6/28/05 624.69- 7/26/05 625.48- 8/26/05 616.22- 9/28/05 612.00- 10/26/05 593.73- 11/28/05 599.10- 12/28/05 599.77- 1/26/06 596.82- 2/28/06 598.64- 3/28/06 590.96- 4/26/06 620.74- 5/26/06 602.88- 6/27/06 602.10- 7l26/Ob 607.04- 8/28/06 609.73- 9/26/06 605.45- 10/26/06 612.85- 11/28/06 613.12- 12/27/06 613.76- 1/26/07 615.70- 2/27/07 586.90- 3/27/07 582.85- 4/26/07 590.54- 5/29/07 586.91- 6/26/07 580.68- 7126l07 581.52- 8/28/07 549.15- 9/26/07 521.00- 10/26/07 497.77- 11/27/07 502.26- 12/27/07 503.71- 1/28/08 505.28- 2/26/08 507.58- 3/26l08 508.63- 4/28/08 493.02- 5/28/08 493.74- 6/26/08 454.30- GUMBERLAND COUNTY LOWER ALLEN TWP PER CAPITA TAX 7/24/01 9.80- 3/21/02 9.80- - 30 - 48,565.62- TR5N07 770(071 (~ PNCBANK RUTH E KNUDSEN DISBURSEMENTS OF INCOME 27-27-001-3893761 CONTINUED: CUMBERLAND COUNTY LOWER ALLEN TWP 7/17/02 9.80- 4/04103 9.80- 8/15/03 9.80- 4/16/04 9.80- 8/10/04 9.80- 4/18/05 9.80- 8/17/05 9.80- 7/13/06 11.00- 8/11/06 9.80- " 4!10/07 9.80- 8/14/07 9.80- 8/14/07 9.80- INTERNAL REVENUE SERVICE FIDUCIARY INCOME TAX BALANCE AND INSTALLMENT PAYMENTS 4/09/08 1,349.00- 4/09/08 1,066.00- PENNA DEPARTMENT OF REVE NUE FIDUCIARY INCOME TAX BALANCE AND INSTALLMENT PAYMENTS 4/09/08 160.00- 4/09/08 156.00- 6/10/08 118.00- TOTAL INCOME DISBURSEMENTS - 31 - 138.40- 2,415.00- 434.00- 74,757.48- iR5N07 (10!07) B PNCBANK RUTH E KNUDSEN DISTRIBUTIONS OF INCOME TO BENEFICIARIES 27-27-001-3893761 FOR ACCOUNT OF RUTH KNUDSEN CASH DISTRIBUTED BETHANY VILLAGE MONTHLY ROOM AND BOARD 5!07/02 695.80- 4/19/05 11,909.00- 5/13/05 4,683.00- 6/16/05 4,555.45- 7/13/05 4,709.00- 8/08/05 4,681.00- 9/09l05 4,560.00- 10/11/05 4,708.00- 11/14/05 4,542.00- 12/15/05 4,691.00- 1/24/06 4,983.00- 2l10106 4,548.00- 3/08/06 5,065.00- 4/13/06 4,942.00- 5/11/06 5,065.00- 6/14/06 4,884.00- 7/12/06 4,993.00- 8/11106 5,040.00- 9/11/06 4,948.50- 9/20/06 4,948.50- 10/13/06 4,968.00- 11/14/06 4,828.50- 12/11/06 5,062.50- 1/11/07 5,255.00- 2/16/07 4,738.00- 3/19/07 5,284.50- 4/10/07 5,101.00- 5/08/07 5,252.00- 6/13/07 5,182.50- 7/12/07 5,294.00- 8/09/07 5,286.50- 8/24/07 8,385.20- 9/04/07 8,864.00- 9/20/07 10,926.80- 10101/07 6,570.50- 10/11/07 6,570.50- 10/11/07 9,007.00- 10/24/07 1,602.31- 207,330.06- INDEPENDENCE BLUE CROSS BLUE CROSS & BLUE SHIELD SECURITY 65 PLAN C GROUP PREMIUMS 6/11!01 318.45- 9/10/01 318.45- 12/10/01 337.35- 3/08/02 337.35- 6/07/02 337.35- 9/13/02 337.35- 12/23/02 367.32- 3/12/03 367.32- 6/23/03 367.32- - 32 - TRtiN01 (10/071 B PNCBAIVK RUTH E KNUDSEN 27-27=001-3893761 DISTRIBUTIONS OF INCOME TO BENEFICIARIES CONTINUED: FOR ACCOUNT OF RUTH KNUDSEN 9/25/03 367.32- 12/15/03 367.32- 3/12/04 367.32- 6/15/04 367.32- 9/14/04 367.32- 12/09/04 367.32- 3/09/05 367.32- 6/04/05 444,33- 9/13/05 444.33- 12/16/05 409,20- 3/13/06 409.20- 6/14/06 409.20- 9/11/06 409.20- 12/11/06 409.20- 3/09/07 409.20- 6/11l07 409.20- 9/12/07 409.20- 9/12/07 409.20- 10,230.96- ALERT PHARMACY SERVICES ING PRESCRIPTIONS 4/07/03 6.11- 5/16/03 49.07- 8/26/03 44.09- 9/24/03 1.54- 11/17/03 23.50- 12/30/03 76.34- 1/14/04 53.63- 9/16/04 1.69- 12/09/04 62.48- 1/07/05 62.48- 2/03l05 84.08- 4/05/05 78.03- 5/05/05 67.04- 6/15/05 122.28- 7/01/05 300.42- 9/15/05 195.65- 10l11/05 96.16- 11/14/05 203.54- 12/08/05 114.35- 2/07/06 490.67- 3/02/06 174.24- 3/30/06 - 272.97- 5/02l06 285.40- 6/07/06 329.07- 7/03/06 15.76- 8/01106 143.74- 8/31/06 208.24- 10/02/06 192.45- 11/15/06 283.04- 12/05/06 201.15- 1/11/07 214.60- 2/02/07 246.80- 3/07/07 276.53- 4/10/07 111.60- - 33 - iR4N 01 t10/071 PNCBANK RUTH E KNUDSEN DISTRIBUTIONS OF INCOME TO BENEFICIARIES 27-27-001-3893761 CONTINUED: FOR ACCOUNT OF RUTH KNUDSEN BETHANY VILLAGE MONTHLY BEAUTY SHOP CHARGES 8/10/01 45.00- 9/12/01 20.00- 1/13105 48.00- 2/11/05 34.50- 4/08/05 51.00- HUMANA INSURANCE CO MEDICARE PART D COVERAGE 2/13/07 29.60- 3/12/07 14.80- 4l10l07 14.80- 5/10/07 14.80- 6/11/07 14.80- 7/10/07 14.80- 8/10/07 14.80- 9/10/07 14.80- 10/10/07 14.80- NEW YORK LIFE ANNUAL WHOLE LIFE PREMIUM b/05!06 417.00- 5/31/07 417.00- MILLENNIUM PHARMACY SERVICES INC MONTHLY PHARMACY CHARGES 4/18/07 145.46- 5/14/07 39.40- 6/15/07 61.72- 7/16/07 88.12- 7/19/07 88.82- 8/10/07 82.40- 8/15/07 82.62- 9/14/07 12.37- 9/20/07 437.05- 10/01/07 28.96- 10/16/07 420.96- CAMP HILL PRESBYTERIAN CHURCH DONATION 8/01/07 200.00- 9/04/07 200.00- 10/01/07 200.00- GRISWOLD SPECIAL CARE CAREGIVER 7/30/07 207.00- 8l07/07 208.50- - 34 - 5,088.74- 198.50- 148.00- 834.00- 1,487.88- 600.00- 1N5N07 nn~nn PNCBANK RUTH E KNUDSEN DISTRIBUTIONS OF TNCOME TO BENEFICIARIES 27-27-001-3893761 CONTINUED: FOR ACCOUNT OF RUTH KNUDSEN 8/14/07 220.50- 8/23/07 220.50- 8/29/07 184.50- 9/10/07 88.50- MARY JANE KNIGHT CAREGIVER 7/30/07 451.20- 8/07l07 338.40- 8/14/07 451.20- 8/23/07 564.00- 8/29/07 451.20- 9/10/07 317.05- EVA RAVENELL CAREGIVER 7/30/07 225.60- 8/07/07 225.60- 8/14/07 225.60- 8/23/07 225.60- 8/29/07 209.55- INTERNAL REVENUE SERVICE INDIVIDUAL INCOME TAX BALANCE AND INSTALLMENT PAYMENTS 6/08/01 2,000.00- 7/16/01 2,000.00- 9/10/01 2,000.00- 12/11/01 2,000.00- 4/10l02 1,700.00- 4/10/02 3,929.00- 6/13/02 1,700.00- 9/10/02 1,700.OD- 12/09/02 1,700.00- 4/D9/03 4,500.00- 4/09/03 11,327.00- 6/11/03 4,500.00- 9/09/D3 4,500.00- 12/19/03 4,5D0.00- PENNA DEPARTMENT OF REVENUE INDIVIDUAL INCOME TAX BALANCE AND INSTALLMENT PAYMENTS 6/08/01 360.00- 7/16/01 360.00- 9/10!01 360.D0- 12/11/O1 360.00- 4/10/02 290.00- 4/10/02 213.00- 6/13/02 290.00- 9/10/02 290.00- 12/09/02 290.00- - 35 - 1,129.50- 2,573.05- 1,111.95- 48,056.00- rasHOi mm~n Pl~ICB1aNK RUTH E KNUDSEN DISTRIBUTIONS OF INCOME TO BENEFICIARIES 27-27-001-3893761 CONTINUED: FOR ACCOUNT OF RUTH KNUDSEN 4/09/03 1,303.00- 4l09/03 620.00- 6/11/03 620.00- 9/09/03 620.00- 12/19l03 620.00- 6/10/04 356.00- 4/12/05 410.00- 6/13/05 410.00- 9/06/05 410.00- 12/19/05 410.00- 4/11/06 520.00- 6/12/06 520.00- 9/13/06 520.00- 12/14/06 520.00- 6/12/07 640.00- 9/11/07 640.00- 7/10/02 ASHWAY AND HAAR PREPARATION OF 2001 PERSONAL TAXES 2!19/03 PAUL KNUDSEN REIMBURSEMENT FOR PRESCRIPTIONS 4/07/03 PINNACLE HEALTH HOSPITALS PROFESSIONAL SERVICES 5/16/03 PAUL KNUDSEN REIMBURSEMENT FOR PRESCRIPTIONS ROBERT J KANTOR MEDICAL SERVICES PINNACLE HEALTH HOSPITALS PROFESSIONAL SERVICES 6/05/03 LINDA M WILLIAMS REIMBURSEMENT FOR PERSONAL ITEMS AND CAREGIVER SERVICES 6/19/03 ROBERT J KANTOR MEDICAL SERVICES 6/30/03 FIREMANS ASSN OF THE STATE OF PA DONATION - 36 - 11,952.00- 697.50- 152.50- 22.05- 135.21- 83.34- 22.05- 121.59- 83.33- 15.D0- TRSN07 110/071 PNCBAI~IK RUTH E KNUDSEN DISTRIBUTIONS OF INCOME TO BENEFICIARIES CONTINUED: FOR ACCOUNT OF RUTH KNUDSEN BETHANY VILLAGE DONATION TO EMPLOYEE APPRECIATION FUND 2/02/05 EAST PENNSBORO AMBULANCE SERVICE PROFESSIONAL SERVICES 3/30/05 KILMORE EYE ASSOCIATES PROFESSIONAL SERVICES CAMP HILL FIRE CO NO 1 PROFESSIONAL SERVICES 5/09106 FAMILY EYE CARE INC PROFESSIONAL SERVICES 3/22/07 EAST PENNSBORO AMBULANCE SERVICE AMBULANCE SERVICE 7/30/07 TERRY COMERER CAREGIVER 8/07/07 JANET BUSH CAREGIVER BARB CROUT CAREGIVER 8/14/07 ESTRELLA MASSON CAREGIVER 9/07/07 MARK B COHEN OD PROFESSIONAL SERVICES 9/11/07 EVA RAVENELL GIFT MARY JANE KNIGHT GIFT 9/13!07 QUANTUM IMAGING & THERAPEUTIC PROFESSIONAL SERVICES 27-27-OOI-3893761 25.00- 29.00- 20.00- 653.00- 15.00- 33.00- 64.50- 112.80- 69.80- 112.80- 20.00- 75.00- 200.00- 494.70- 293,997.81- - 37 - TR S'N01 f107~71 ®~ PNCBANK RUTH E KNUDSEN DISTRIBUTIONS OF INCOME TO BENEFICIARIES 27-27-001-3893761 FOR ACCOUNT OF CLARENCE KNUDSEN CASH DISTRIBUTED BETHANY VILLAGE MONTHLY ROOM AND BOARD 8/10/D7 9,078.50- 9/14/07 8,708.00- 17,786.50- MILLENNIUM PHARMACY SERVICES INC MONTHLY PHARMACY CHARGES 8/15/07 104.92- 9/17/07 396.85- 501.77- IN YOUR HOME CARE PERSONAL CARE CAREGIVER 7/30/07 896.00- 8/07/07 720.00- 8/13/07 896.00- 8/20/07 720.00- 8/27/07 824.00- 9/05/07 848.00- 9/10/07 960.00- 9/18/07 688.00- 9/24/07 896.00- 10/04/07 784.00- 8,232.00- 8/22/07 DAVID C KNUDSEN REIMBURSE LENS CRAFTERS 182.45- 9/06/07 KAREN KNUDSEN REIMBURSE MISCELLANEOUS ITEMS 52.98- 9/07/07 MARK B COHEN OPTOMETRIST PROFESSIONAL SERVICES 20.00- 2b,775.70- TOTAL INCOME DISTRIBUTIONS 320,773.51- - 38 - TftSN OI I107o 71 ~~ PN CBANK RUTH E KNUDSEN PNC BANK NATIONAL ASSOCIATION BALANCE OF INCOME ON HAND 27-27-001-3893761 VALUE ACpUISITION 7/07/08 VALUE INVESTED CASH TOTAL INCOME BY AND 8,945.44 8,945.44 8,945.44 8,945.44 r- . G<.. 1~, ~Y`~,~1`"~ " ~ D SMITH ~" ASS TANT VI E PR SIDE "~ AVID C NODS !~ - " ~~ ~ l~C.~ - 39 - rRSNni iroro~i PNCBANK VERIFICATION DEBRA A SMITH ASSISTANT VICE PRESIDENT OF PNC BANK, NATIONAL ASSOCIATION ONE OF THE TRUSTEES UNDER THE DEED OF RUTH E KNUDSEN DECEASED, HEREBY DECLARES UNDER OATH THAT THE TRUSTEES HAVE FULLY AND FAITHFULLY DISCHARGED THE DUTIES OF THEIR OFFICE; THAT THE FOREGOING FIRST AND FINAL ACCOUNT IS TRUE AND CORRECT AND FULLY DISCLOSES ALL SIGNIFICANT TRANSACTIONS OCCURRING DURING THE ACCOUNTING PERIOD; THAT ALL KNOWN CLAIMS AGAINST THE TRUST HAVE BEEN PAID IN FULL; THAT, TO THEIR KNOWLEDGE THERE ARE NO CLAIMS NOW OUTSTANDING AGAINST THE TRUST; AND THAT ALL TAXES PRESENTLY DUE FROM THE TRUST HAVE BEEN PAID. THIS STATEMENT IS MADE SUBJECT TO THE PENALTIES OF 18 PA. C.S.A. SECTION 4904 RELATING TO UNSWORN FALSIFICATION TO AUTHORITIES. DEBRA A SMITH DATED : ~ ®~ - 40 - TNSN01 I10/071 TRUST COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA ORPHANS' COURT DIVISION NAME OF TRUST (TRUST UNDER WILL OF or TRUST UNDER DEED OF R UTH E. KNUDSEN, SETTLOR DATED MARCH 6, 2001 No. 2000-00832 PETITION FOR ADJUDICATION / STATEMENT OF PROPOSED DISTRIBUTION PURSUANT TO Pa. O.C. Rule 6.9 This form may be used in all cases involving the Audit of Trust Accounts riders may be attached. ~~ ~~ _~ ,,~ ~-~ ~~ -; r _ ,~ c :. • r `~ rv _ c % ~ c.~ -- ._J r ~., ='-i N If space is insufficient, INCL UDE ATTACHMENTS AT THE BACK OF THIS FORM. Name of Counsel: Jeffrey R. Boswell, Esquire Supreme Court I.D. No.: 25444 Name of Law Firm: Boswell, Tintner, Piccola Address: 315 N. Front Street, P. O. Box 741, Harrisburg, PA 17108-0741 Telephone: 717/236-9377 Fax: 717/236-9316 -, ~_ ~- _.~ r=,~~ ~; -a Furm Oc-U2 rev 10.13.06 Page 1 of 10 Name of Trust: RUTH E. KNUDSEN, SETTLOR, TUA DATED MARCH 6, 2001 1. Name(s) and address(es) of Petitioner(s): Petitioner: Name: PNC Bank, N.A. Address: 4200 Carlisle Pike Petitioner: David C. Knudsen, Trustee 1302 Reading Blvd. Camp Hill, PA 17011 Wyomissing, PA 19610 2. Check if any of the following issues are involved in this case: A. Appointment of Trustee ........................................... ~ B. Interpretation ................................................... C. Discharge of Trustee ............................................. ®/ D. Transfer of Situs ................................................. E. Appointment of Ad Litem ......................................... . F. Minor, Unborn or Unascertained Beneficiary(ies) ...................... 0 G. Principal Distribution ............................................. iJ H. Partial/Full Termination of Trust .................................... I. Missing Beneficiary(ies) .......................................... 0 J. Cy Pres ........................................................ Q K. Williamson Issue* ............................................... L. Other Issues .................................................... ~/ List: Distribution of equal, one-third (1/3) share to the Clarence V. Knudsen and Ruth E. Knudsen Supplemental Needs Trust for the benefit of Paul R. Knudsen, Sovereign Bank, a federal savings association, Trustee, because of Please note: A detailed explanation of issues checked should be set forth at item 13 below. * See Williamson Estate, 368 Pa. 343, 82 A.2d 49 (1951), if Trustee was also Executor of the settlor/decedent's estate and received commissions in such capacity. Form OC-02 rev 10.13.06 Page 2 of 10 Supplemental Needs Trust for the benefit of Paul R. Knudsen, Sovereign Bank, a Federal Savings Association, Trustee, because of the diminished capacity of the Settlor's son, Paul R. Knudsen, as more fully set forth in the Petition for Adjudication filed contemporaneously with this form petition. Name of Trust: RUTH E. KNUDSEN, SETTLOR, TUA DATED MARCH 6, 2001 3. Testamentary Trust: Decedent's date of death: Date of Decedent's Will: Date(s) of Codicil(s): Date of probate: or Inter Vivos Trust: Date of Trust: March 6, 2001 Date(s) of Amendment(s): None 4. A. If any other Court has taken jurisdiction of any matter relating to this Trust, explain: N/A B. Identify all prior accountings and provide dates of adjudication. None 5. A. State how each Trustee was appointed: By Trustee, Trust Under Agreement, dated March 6, 2001 B. If a Petitioner is not a Trustee, explain: N/A Form OC-02 rev 10.13.06 Page 3 of 10 Name of Trust: RUTH E. KNUDSEN, SETTLOR, TUA DATED MARCH 6, 2001 6. State how and when the present fund was awarded to Trustee(s): Directly from Settlor, pursuant to the Trust Under Agreement, dated March 6, 2001 7. Period covered by accounting: March 6, 2001 to July 2, 2008 8 Current fair market value of the Trust principal is $ 483,055.09 12 of Account.) (See page 9. State concisely the dispositive provisions of the Trust: The Trust in Article VII provides the distribution to the Settlor's surviving children, namely Karen A. Knudsen, David C. Knudsen, and Paul R. Knudsen. 10. Explain the reason for filing this Account (if filed because of the death of a party, state name of person, relationship to Trust and date of death): The Settlor, Ruth E. Knudsen, died on October 26, 2007. Form OG02 rev 10.13.06 Page 4 of 10 Name of Trust: RUTH E. KNUDSEN, SETTLOR, TUA DATED MARCH 6, 2001 11. State why a Petition for Guardian/Trustee Ad Litem has or has not been filed for this Audit (see Pa. O.C. Rule 12.4): Trust distributees, Karen A. Knudsen and David C. Knudsen, are adults. Charlotte Knudsen, spouse of Paul R. Knudsen, and Agent under his Durable Financial Power of Attorney, has executed a Consent incorporated in the Petition for Adjudication consenting to distribution of Paul R. Knudsen's equal one-third (1/3) share to Sovereign Bank, Trustee of the Clarence V. Knudsen and Ruth E. Knudsen Supplemental Needs Trust for the benefit of Paul R. Knudsen, who has diminished capacity and who has not been declared incompetent. 12. A. State the amount of Pennsylvania Transfer Inheritance Tax and Pennsylvania Estate Tax paid (including postponed tax on remainder interests), the dates of payment and the interests upon which such amounts were paid: Date 07/ 18/2008 B. If any such taxes remain unpaid or are in dispute, explain: None 13. Describe any questions requiring Adjudication and state the position of Petitioner(s) and give details of any issues identified in item 2: Distribution of equal one-third (1/3) share to Sovereign Bank, a Federal Savings Association, Trustee, Clarence V. Knudsen and Ruth E. Knudsen Supplemental Needs Trust for the benefit of Paul R. Knudsen, is more fully set forth in the attached Petition for Adjudication. Payment Interest 26,400.37 N/A Form oc-oz rev /0.13.06 Page 5 of 10 Name of Trust: RUTH E. KNUDSEN, SETTLOR, TUA DATED MARCH 6, 2001 14. Written notice of the Audit as required by Pa. O.C. Rules 6.3, 6.7 and 6.8 has been or will be given to all parties in interest listed in item 15 below. In addition, notice of any questions requiring Adjudication as discussed in item 13 above has been or will be given to all persons affected thereby. A. If Notice has been given, attach a copy of the Notice as well as a list of the names and addresses of the parties receiving such notice. B. If Notice is yet to be given, a copy of the Notice as well as a list of the names and addresses of the parties receiving such Notice shall be submitted at the Audit together with a statement executed by Petitioner(s) or counsel certifying that such Notice has been given. C. If any such party in interest is not sui juris (e.g., minors or incapacitated persons), Notice of the Audit has been or will be given to the appropriate representative on such party's behalf as required by Pa. O.C. Rule 5.2. D. If any charitable interest is involved, Notice of the Audit has been or will also be given to the Attorney General as required under Pa. O.C. Rule 5.5. In addition, the Attorney General's clearance certificate (or proof of service of Notice and a copy of such Notice) must be submitted herewith or at the Audit. 15. List all parties of whom Petitioner(s) has/have notice or knowledge, having or claiming any interest in the Trust, whether such interest is vested or contingent, charitable or non-charitable. This list shall: A. State each party's relationship to the Settlor/Decedent and the nature of each party's interest(s); Name and Address orEach Parry in Interest ~ Relationship and Karen A. Knudsen Daughter 150 Spring Lane Philadelphia, PA 19128 David C. Knudsen 1302 Reading Blvd. Wyomissing, PA 19610 Son Interest 1/3 interest 1/3 interest For,n oc-oz rev 10.13.06 Page 6 of 10 Name of Trust: RUTH E. KNUDSEN, SETTLOR, TUA DATED MARCH 6, 2001 Name and Address ol'Each Party in Interest ~ Relationship and Interest Sovereign Bank, a Federal Savings Trustee of Knudsen 1/3 interest Association Suplemental Needs 235 North Second Street Trust for benefit of Harrisburg, PA 17101 Paul R. Knudsen Charlotte Knudsen Spouse of Paul R. contingent 18 S. York Road Knudsen Dillsburg, PA 17019-9513 B. Identify each party who is not sui juris (e.g., minors or incapacitated persons). For each such party, give date of birth, the name of each Guardian and how each Guardian was appointed. If no Guardian has been appointed, identify the next of kin of such party, giving the name, address and relationship of each; and Paul R. Knudsen (DOB -May 6, 1946) Charlotte Knudsen (spouse) Adult Children: Dawn M. Lusk, Paula K. Knudsen Burke, Claudia A. Braymer C. If distribution is to be made to the personal representative of a deceased party, state date of death, date and place of grant of Letters and type of Letters granted. N/A 16. If Petitioner(s) has/have knowledge that a Trust share has been assigned or attached, provide a copy of the assignment or attachment, together with any relevant supporting documentation. 17. If a trustee's principal commission is claimed: A. If based on a written agreement, attach a copy thereof. Form OG02 rev 70.13.06 Page 7 of 10 Page 7 of 10 (continued) A. State each party's relationship to the Settlor/Decedent and the nature of each party's interest(s); Dawn M. Lusk 131 Campground Road Dillsburg, PA 17019 Paula K. Knudsen Burke 18 South York Road Dillsburg, PA 17019 Claudia A. Braymer 28 Royal Oak Drive Clifton Park, NY 12065 Daughter of Paul R. Knudsen contingent Daughter of Paul R. Knudsen contingent Daughter of Paul R. Knudsen contingent Name of Trust: RUTH E. KNUDSEN, SETTLOR, TUA DATED MARCH 6, 2001 B. If a principal commission is claimed, state amount. Principal commission paid as per PNC Bank standard fee schedule C. If a principal commission is claimed, state the amounts and dates of any principal commissions previously paid in prior accounting periods. Amount Date Paid Principal commission paid periodically, as detailed in First and Final Account 18. If a reserve is requested, state amount and purpose. Amount: 4,200.00 Purpose: $1,200 for filing fees; $3,000 for counsel fees, pertinent to filing a First and Final Account Adjudication and Confirmation If a reserve is requested for counsel fees, has notice of the amount of fees to be paid from the reserve been given to the parties in interest? ........................................ ~ Yes 'ONo If so, attach a copy of the notice. 19. Is the Court being asked to direct the filing of a Schedule of Distribution? .......................... '/~ Yes ONo Form OC-O2 rev 10.13.06 Page 8 of 10 Name of Trust: RUTH E. KNUDSEN, SETTLOR, TUA DATED MARCH 6, 2001 Wherefore, your Petitioner(s) ask(s) that distribution be awarded to the parties entitled and suggest(s) that the distributive shares of income and principal (residuary shares being stated in proportions, not amounts) are as follows: A. Income: Proposed Distributee(s) Karen A. Knudsen David C. Knudsen Sovereign Bank, Trustee/Paul R. Knudsen B. Principal: Proposed Distributee(s) Karen A. Knudsen David C. Knudsen Sovereign Bank, Trustee/Paul R. Knudsen Amount/Proportion 2,981.81 2,981.82 2,981.81 Amount/Proportion 161,018.36 161,018.37 161,018.36 Submitted By: (All petitioners must sign. Add additional lines if necessary): ~ ~~ Name of Petitioner: pNC Bank, N.A. Name of Petitioner: David C. Knudsen, Trustee Porm oc-oa rev 10.13.06 Page 9 of 10 avid C. Knudse ,Trustee Dated: July ~_, 2008 Name of Trust: RUTH E. KNUDSEN, SETTLOR, TUA DATED MARCH 6, 2001 Verification of Petitioner (Verification must be by at least one petitioner.) The undersigned hereby verifies * jthat heishe she is rime Asst. V.P. and Trust Adv. of the above-named name of corporation PNC Bank, National Association and] that the facts set forth in the foregoing Petition for Adjudication /Statement of Proposed Distribution which are within the personal knowledge of the Petitioner are true, and as to facts based on the information of others, the Petitioner, after diligent inquiry, believes them to be true; and that any false statements herein are made subject to the penalties of 18 Pa. C.S. § 4904 (relating to unsworn falsification to authorities). Signature of Petitioner * Corporate petitioners must complete bracketed information. Certification of Counsel The undersigned counsel hereby certifies that the foregoing Petition for Adjudication / Statement of Proposed Distribution is a true and accurate reproduction of the form Petition authorized by the Supreme Court, and that no changes to the form have been made beyond the responses herein. Signatu o Counsel for Petitioner Form OC-02 rev 10.13.06 Page 10 of 10 IN THE ORPHANS' COURT DIVISION OF THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY ~ ~ -- ., COMMONWEALTH OF PENNSYLVANIA ~ `~ ' _~~ ~-, -~' ' `a Ruth E. Knudsen, Settlor, Trust Under Agreement, Dated March 6~2±~01 `'~ -_ - PNC Bank, National Association, Trustee, and David C. Knudsen,,'i'~y~,~ee, e and the Accountants ~= =; ~. __- ~`~'~~ =a •• - No.2000-00832 }~ ~'' PETITION FOR ADJUDICATION, CONFIRMATION OF FIRST AND FINAL ACCOUNT, AND STATEMENT OF PROPOSED DISTRIBUTION, PURSUANT TO PENNSYLVANIA ORPHANS' COURT RULE 6.9 AND NOW, come PNC Bank, National Association, Trustee, and David C. Knudsen, Trustee, of the Ruth E. Knudsen Trust Under Agreement, dated March 6, 2001, by and through their attorneys, Jeffrey R. Boswell, Esquire, of Boswell, Tintner, Piccola & Alford, and respectfully represent, as follows: 1. On March 6, 2001, Ruth E. Knudsen, an adult individual residing in Cumberland County, executed the Ruth E. Knudsen Trust Under Agreement, dated March 6, 2001 ("the Trust"), as Settlor, naming PNC Bank, National Association, and (her son) David C. Knudsen, as the Trustees. 2. PNC Bank, National Association, is a corporate fiduciary with an office at 4200 Carlisle Pike, Camp Hill, PA 17011. David C. Knudsen, who is an adult son of Ruth E. Knudsen, resides at 1302 Reading Blvd., Wyomissing (Berks County), PA 19610. 1 3. The Settlor was a resident of Cumberland County, and PNC Bank, National Association, Trustee, is a corporate fiduciary properly authorized to do business in the Commonwealth of Pennsylvania. 4. The Court of Common Pleas of Cumberland County, Orphans' Court Division, has jurisdiction of matters relating to this Trust. 5. PNC Bank, National Association, as Trustee, with the agreement of the Trustee, David C. Knudsen, administered the Trust for the benefit of Ruth E. Knudsen during her lifetime. 6. Ruth E. Knudsen died on October 26, 2007, leaving her Last Will and Testament, dated March 6, 2001, which Last Will and Testament was submitted for probate before the Register of Wills of Cumberland County, Pennsylvania, who then granted Letters Testamentary to David C. Knudsen, on November 9, 2007. In the Last Will and Testament, in Item V, the Testatrix named her son, David C. Knudsen, as the individual executor of her estate. No bond was required to be filed. The executor advertised the estate, as required. 7. The Testatrix's spouse, Clarence V. Knudsen, predeceased her on October 5, 2007. 8. The Trust was administered by PNC Bank, National Association, and David C. Knudsen, as Trustees, as set forth by the accountant in the attached First and Final Account, stated from March 6, 2001, to July 2, 2008. 2 9. Written notice of the audit, as required by Pennsylvania Orphans' Court Rule 6.3, will be given to all parties in interest and to certain next of kin, as listed in paragraphs 22 and 23 . 10. The Trust in Article II provides for rights of the Settlor and the Trustees in insurance policies payable to the Trustees, as to which there were none. 11. PNC Bank, National Association, and David C. Knudsen, Trustees, administered the Trust according to Article III, providing for management and investment of the Trust estate, collection of income, and distribution of net income and such portion of principal as the Trustees in their sole discretion deemed necessary from time to time for the medical care, education, support, and maintenance, in reasonable comfort of the Settlor. 12. The Trust in Article V provides that the Trustee may, in its discretion, pay all or any part of Settlor's funeral expenses, legally enforceable claims against the Settlor or the Settlor's estate, reasonable expenses of administration of the Settlor's estate, and any inheritance taxes without reimbursement from the Settlor's executor, noting that such payments shall be charged generally against the principal of the Trust estate. After consultation with the executor, PNC Bank, National Association, and David C. Knudsen, the Trustees, paid $41,000.00 to the Settlor's estate, consistent with the allowance provided for in this Article V. 13. The Trust in Article VI provides for general distribution of personal and household effects to Settlor's children because her husband, Clarence V. Knudsen, predeceased her. However, the Trustees determined that there were no items of personal property in the Trust. 3 14. The Trust in Article VII provides for distribution to the Settlor's children through the Knudsen Family Trust upon the Settlor's death. Because the Settlor's spouse, Clarence V. Knudsen, died on October 5, 2007, which is less than one month before the Settlor's death on October 26, 2007, PNC Bank, National Association, and David C. Knudsen, the Trustees, administered the Trust as they had during Settlor's lifetime, treating the Trust after her death as the Knudsen Family Trust, managing and investing the principal and income, and now the Trustees seek to make distribution to the Settlor's children. 15. The Trust in Article VIII provides for payments to Settlor's children, all principal and any net income from the Knudsen Family Trust, which payments are set forth in the First and Final Account. 16. The Trust in Article VIII provides that the Trust shall be divided into equal, separate shares for each living child, after the death of the Settlor and Settlor's spouse and that each share shall be distributed to that child. 17. The Settlor and the Settlor's spouse are survived by their adult children, Karen A. Knudsen, David C. Knudsen, and Paul R. Knudsen. 18. However, the Trust in Article XIV provides, as follows: "Trustee's Discretion in Making Payments to a Person Under Age Twenty-Five, Incompetent, or Incapacitated Person. In case the income or principal payment under any trust created hereunder or any share thereof shall become payable to a person under the age of Twenty- five (25), or to a person under legal disability, or to a person not adjudicated incompetent, but who, by reason of illness or mental or physical disability, is, in the opinion of the Trustee unable properly to administer such amounts, then such amounts shall be paid out by the Trustee in such of the following ways as the Trustee deems best: (1) directly to the beneficiary; (2) to the legally appointed guardian of the 4 beneficiary; (3) to some relative or friend for the medical care, education, support and maintenance in reasonable comfort of the beneficiary; (4) by the Trustee using such amounts directly for the beneficiary's care, support and education; (5) to a custodian for the beneficiary under the Uniform Gifts or Transfers to Minors Act." Based on information provided to the Trustees, the Trustees, by their authority granted by the Settlor, have determined that Settlor's son, Paul R. Knudsen, is not adjudicated incompetent, but who, by reason of illness or mental disability, in their opinion, is unable to administer such amounts of principal or income to be distributed upon confirmation of the First and Final Account and the Statement of Proposed Distribution. By express direction of the Settlor, the Trustees have discretionary authority to determine what amounts shall be paid directly for the benefit of Settlor's son, Paul R. Knudsen. Therefore, the Trustees intend to create an Irrevocable Special Needs Trust for the benefit of Paul R. Knudsen, pursuant to authority given by the Uniform Trust Act, §§ 7731 and 7732, requiring the Trustee to administer the Trust in accordance with its provisions and purposes in the interest of the beneficiary, pursuant to the Uniform Trust Act § 7771, et. seq. The Trustees assert that distribution to an Irrevocable Special Needs Trust for the benefit of Paul R. Knudsen comports with the accepted rationale that plenary-guardian authority should not be granted where a less restrictive alternative exists. "In Pennsylvania, the law honors a settlor's right to determine the disposition of his estate." Trust Agreement of Cyrus D. Jones, Dated June 24, 1926, 414 Pa. Superior Court 361, 366-368, 607 A. 2d 265, 268 (1992). As the Pennsylvania Superior Court opined, "When interpreting a trust instrument, the intent of the settlor is 5 paramount, and if that intent is not unlawful, it must prevail." In Re McCune, 705 A. 2d 861 (Pa. Super. 1997). 19. According to the Settlor's Trust Article IX (8), PNC Bank, National Association, can resign as corporate trustee without Court approval or prior consent. The Trust, Article IX (1) provides that if PNC Bank, National Association, " ...for any reason should cease to act in such capacity, the successor or substitute Trustee shall be some other bank or trust company qualified to do business in the State of the Settlor's domicile at the time of Settlor's death, which substitute shall be designated by written instrument filed with the court having jurisdiction over the Trust and signed by a majority of the adult beneficiaries of this Trust, or if they fail to act, by the court having jurisdiction over this Trust." Karen A. Knudsen, the Settlor's daughter, and David C. Knudsen, the Settlor's son, indicate their agreement to the Court's naming a successor trustee, namely Sovereign Bank, a federal savings association, as Trustee of the Irrevocable Supplemental Needs Trust for the benefit of Paul R. Knudsen, by executing a "Consent" which is attached and incorporated in this Petition as Exhibit A and Exhibit B. Charlote Knudsen, Paul R. Knudsen's spouse and Agent under Power of Attorney, dated~e.~r~--f- y d~ , ago? indicates her consent to the Court's naming Sovereign Bank, a federal savings association, as Trustee of the Irrevocable Supplemental Needs Trust for 6 the benefit of Paul R. Knudsen by executing a "Consent" which is attached and incorporated in this Petition, as Exhibit C. Dawn M. Kusk, Paula K. Knudsen Burke, and Claudia A. Braymer, Paul R. Knudsen's children, also indicate their respective consents to the Court's naming Sovereign Bank, a federal savings association, as Trustee of the (irrevocable) Clarence V. Knudsen and Ruth E. Knudsen Supplemental Needs Trust for the benefit of Paul R. Knudsen, which "Consents" are attached and incorporated in this Petition as Exhibit D, Exhibit E, and Exhibit F. Sovereign Bank, a federal savings association, agrees to serve as the Trustee of the Irrevocable Supplemental Needs Trust for the benefit of Paul R. Knudsen, as acknowledged in the Consent of Sovereign Bank, a federal savings association, which is attached and incorporated as Exhibit G, and has approved the Irrevocable Supplemental Needs Trust Agreement in the form attached and incorporated in this Petition as Exhibit H. The Uniform Trust Act provides authority for the Court to appoint the successor trustee, 20 Pa. C.S.A. § 7764 to administer Paul R. Knudsen's share. Thus, the Trustees request this Court's approval to distribute principal and accumulated income as per the First and Final Account and the Statement of Proposed Distribution to Karen A. Knudsen, to David C. Knudsen, and to Sovereign Bank, Trustee of the Clarence V. Knudsen and Ruth E. Knudsen Supplemental Needs Trust for the benefit of Paul R. Knudsen, containing administrative provisions and powers acceptable to Sovereign Bank. 7 20. The fund now before this Court, as to which the Trustees seek approval for distribution, including principal and income, is not subject to the payment of taxes, as the account provides for distribution to the Settlor's estate funds sufficient for the payment of Pennsylvania Inheritance Tax. The Trustees shall prepare final fiduciary income tax returns for income earned in 2008. 21. No accounts as to these funds have previously been filed by the Trustees. 22. PNC Bank, National Association, and David C. Knudsen, as Trustees, file this Petition for Adjudication and Confirmation of the First and Final Account, so this Court can confirm the First and Final Account and approve the Trustees' distribution of the Trust's principal and income as per the Statement of Proposed Distribution, as follows: A. Karen A. Knudsen: daughter (adult/no disability) - 1/3 share 150 Spring Lane Philadelphia, PA 19128 B. David C. Knudsen: son (adult/no disability) - 1/3 share 1302 Reading Blvd. Wyomissing, PA 19610 C. Sovereign Bank, a federal savings association, Trustee of the Clarence V. Knudsen and Ruth E. Knudsen Supplemental Needs Trust for the benefit of Paul R. Knudsen: son (adult/under disability) - 1 /3 share Wealth Management 235 North Second Street Harrisburg, PA 17101 23. The said Paul R. Knudsen is married and has three adult children. Neither his wife, nor his children, are distributees of the Settlor's Trust. They are identified for 8 the purpose of legal notice of the audit of this First and Final Account, as follows: Charlotte Knudsen (spouse of Paul R. Knudsen) 18 S. York Road Dillsburg, PA 17019-9513 Paul R. Knudsen has three living adult children, namely: Dawn M. Lusk 131 Campground Road Dillsburg, PA 17019 Paula K. Knudsen Burke 18 South York Road Dillsburg, PA 17019 Claudia A. Braymer 28 Royal Oak Drive Clifton Park, NY 12065 24. The claims of all creditors and other persons, excepting the Settlor's children, to which distribution will be made as set forth in the previous paragraph, have been resolved prior to the filing of this First and Final Account by the Trustees. 25. There are no questions for possible adjudication concerning the investment, management, administration, disposition of the principal and income of this Trust, as all items are included for the accounting period. 26. No share or any part of the principal and interest of this Trust has been assigned or attached. 27. There are attached to this Petition pertinent documents, as follows: A. First and Final Account; B. Copy of Trust Under Agreement of Ruth E. Knudsen, Settlor; dated March 6, 2001, certified by counsel; 9 C. Copy of the Clarence V. Knudsen and Ruth E. Knudsen Irrevocable Supplemental Needs Trust for the benefit of Paul R. Knudsen; and D. Attorney's Certificate of Notice. 28. The distributive shares of principal and income and the persons or entity are requested are set forth in the Statement of Proposed Distribution, made pursuant to Orphans' Court Rule 6.9, which is attached and incorporated as Exhibit WHEREFORE, your petitioners respectfully request that the First and Final Account be confirmed and further request approval for distribution of the Trust's principal and income pursuant to the Statement of Proposed Distribution. Respectfully submitted, By: J r y R. Boswell, Esquire Attorney for Trustees, PNC Bank, National Association, and David C. Knudsen Ruth E. Knudsen Trust Under Agreement, dated March 6, 2001 By: ~ 1 C~ ~;~. i~ Debra A. Smith, C.T.F.A., Assistant Vice President and Trust Advisor, PNC Bank, National Association, Trustee By: avid C. Knud n, rustee Dated: July / ~ , 2008 10 COMMONWEALTH OF PENNSYLVANIA COUNTY OF CUMBERLAND ss. On this, the ~~ day of , 20 8, before me, the undersigned, personally appeared De a . Smi , C.T.F.A., who acknowledged herself to be an Assistant Vice Preside a Trus dvisor of PNC Bank, National Association, Trustee of the Ruth E. Knudsen Trust~CJnder Agreement, dated March 6, 2001, executed the foregoing instrument for the purposes therein contained. IN WITNESS WHEREOF, I hereunto set my hand and official seal. ~ _ ,'r ~ .. ~~..~ . x Notars'al;;eal Denise C. ~ullenberge~r, Notary Pubic ~iampden Twap., Cumberland Coun~• M~ Cammission expires Dec. 1, 20~~ 11 COMMONWEALTH OF PENNSYLVANIA COUNTY OF DAUPHIN ss. On this, the 17th day of July, 2008, before me, the undersigned, personally appeared David C. Knudsen, Trustee of the Ruth E. Knudsen Trust Under Agreement, dated March 6, 2001, who executed the foregoing instrument for the purposes therein contained. IN WITNESS WHEREOF, I hereunto set my hand and official seal. NOTARY PUBLIC COMMOiVWc{;~3'r-i ~F ~tNNSYLVANIA Notarial Seal Connie L. Hardy, Notary Public City Of Harrisburg, Dauphin County My Commission Fires Feb. 16, 2011 Member, Penns~s9~sn+a Association of Notaries 12 CONSENT WHEREAS, I am Karen A. Knudsen, a legally competent adult, daughter of Ruth E. Knudsen, who died on October 26, 2007; WHEREAS, I acknowledge that Karen A. Knudsen, David C. Knudsen, and Paul R. Knudsen, are the adult children of Ruth E. Knudsen; WHEREAS, I acknowledge the Ruth E. Knudsen Trust Under Agreement, dated March 6, 2001 ("Trust"), provides for distribution to the Settlor's surviving spouse and to the Knudsen Family Trust, upon the Settlor's death, and upon his death, into equal separate shares for each living child; WHEREAS, I acknowledge that the Settlor's spouse, Clarence V. Knudsen's death on October 5, 2007, predated her death. WHEREAS, I acknowledge that my brother, Paul R. Knudsen, is an adult, who, by reason of mental disability, is unable properly to administer the income and principal to be distributed, though he has not been adjudicated incompetent; and WHEREAS, I acknowledge that the Trustee may determine how payment shall be made to any incapacitated person; NOW, THEREFORE, I consent to distribution of the income and principal of the Trust, as follows: Karen A. Knudsen - 1/3 share; 2. David C. Knudsen - 1/3 share; and 3. Sovereign Bank, Trustee of the Knudsen Irrevocable Special Needs Trust for the benefit of Paul R. Knudsen - 1/3 share. I state that the statements contained in the foregoing Consent are true and correct, based on my personal knowledge, information, and belief. I understand that false statements herein are made subject to the penalties of 18 Pa. C.S. § 4904 relating to unsworn falsification to authorities. C~ ~ ~ Karen A. Knudsen Dated: ~% ~' EXHIBIT CONSENT WHEREAS, I am David C. Knudsen, a legally competent adult, son of Ruth E. Knudsen, who died on October 26, 2007; WHEREAS, I acknowledge that Karen A. Knudsen, David C. Knudsen, and Paul R. Knudsen, are the adult children of Ruth E. Knudsen; WHEREAS, I acknowledge the Ruth E. Knudsen Trust Under Agreement, dated March 6, 2001 ("Trust"), provides for distribution to the Settlor's surviving spouse and to the Knudsen Family Trust, upon the Settlor's death, and upon his death, into equal separate shares for each living child; WHEREAS, I acknowledge that the Settlor's spouse, Clarence V. Knudsen's death on October 5, 2007, predated her death. WHEREAS, I acknowledge that my brother, Paul R. Knudsen, is an adult, who, by reason of mental disability, is unable properly to administer the income and principal to be distributed, though he has not been adjudicated incompetent; and WHEREAS, I acknowledge that the Trustee may determine how payment shall be made to any incapacitated person; NOW, THEREFORE, I consent to distribution of the income and principal of the Trust, as follows: Karen A. Knudsen - 1/3 share; 2. David C. Knudsen - 1/3 share; and 3. Sovereign Bank, Trustee of the Knudsen Irrevocable Special Needs Trust for the benefit of Paul R. Knudsen - 1/3 share. I state that the statements contained in the foregoing Consent are true and correct, based on my personal knowledge, information, and belief. I understand that false statements herein are made subject to the penalties of 18 Pa. C.S. § 4904 relating to unsworn falsification to authorities. ~~ / _~ C David C. Knudsen Dated: `'~ ~ ~F ~ EXHIBIT CONSENT WHEREAS, I am Charlotte Knudsen, a legally competent adult, an Individual, Agent Under Power of Attorney of Paul R. Knudsen, and spouse of Paul R. Knudsen, son of Ruth E. Knudsen, who died on October 26, 2007; WHEREAS, I acknowledge that Karen A. Knudsen, David C. Knudsen, and Paul R. :Knudsen, are the adult children of Ruth E. Knudsen; WHEREAS, I acknowledge the Ruth E. Knudsen Trust Under Agreement, dated March 6, 2001 ("Trust"), provides for distribution to the Settlor's surviving spouse and to the Knudsen Family Trust, upon. the Settlor's death, and upon his death, into enr!al sen~rate chares for each living child; WHEREAS, I acknowledge that the Settlor's spouse, Clarence V. Knudsen's death on October 5, 2007, predated her death. WHEREAS, I acknowledge that my spouse, Paul R. Knudsen, is an adult, who, by reason of mental disability, is unable properly to administer the income and principal to be distributed, though he has not been adjudicated incompetent; and WHEREAS, I acknowledge that the Trustee may determine how payment shall be made to any incapacitated person; NOW, THEREFORE, I consent to distribution of the income and principal of the Trust, as follows: 1. Karen A. Knudsen - 1/3 share; 2. David C. Knudsen - 1/3 share; and 3. Sovereign Bank, Trustee of the Knudsen Irrevocahi_e ~nPral NPPrI.g Tr»ct fnr the benefit of Paul R. Knudsen - 1/3 share. I state that the statements contained in the foregoing Consent are true and correct, based on my personal knowledge, information, and belief. I understand that false statements herein are made subject to the penalties of 18 Pa. C.S. § 4904 relating to unsworn falsification to authorities. Charlotte Knudsen, Individually and as Agent Under Power of Attorney of -~ Paul R. Knudsen Dated: ~ +~`~-~ EXHIBIT c CONSENT WHEREAS, I am Dawn M. Lusk, a legally competent adult, daughter of Paul R. Knudsen, son of Ruth E. Knudsen, who died on October 26, 2007; WHEREAS, I acknowledge that Karen A. Knudsen, David C. Knudsen, and Paul R. Knudsen, are the adult children of Ruth E. Knudsen; WHEREAS, I acknowledge the Ruth E. Knudsen Trust Under Agreement, dated March 6, 2001 ("Trust"), provides for distribution to the Settlor's surviving spouse and to the Knudsen Family Trust, upon the Settlor's death, and upon his death, into equal separate shares for each living child; WHEREAS, I acknowledge that the Settlor's spouse, Clarence V. Knudsen's death on October 5, 2007, predated her death. WHEREAS, I acknowledge that my father, Paul R. Knudsen, is an adult, who, by reason of mental disability, is unable properly to administer the income and principal to be distributed, though he has not been adjudicated incompetent; and WHEREAS, I acknowledge that the Trustee may determine how payment shall be made to any incapacitated person; NOW, THEREFORE, I consent to distribution of the income and principal of the Trust, as follows: Karen A. Knudsen - 1/3 share; 2. David C. Knudsen - 1/3 share; and 3. Sovereign Bank, Trustee of the Knudsen Irrevocable Special Needs Trust for the benefit of Paul R. Knudsen - 1/3 share. I state that the statements contained in the foregoing Consent are true and correct, based on my personal knowledge, information, and belief. I understand that false statements herein are made subject to the penalties of 18 Pa. C.S. § 4904 relating to unsworn falsification to authorities. Dawn M. Lusk :Dated: ~ ~~ - G~ ~ EXHIBIT ~~l~J~ CONSENT WHEREAS, I am Paula K. Knudsen Burke, a legally competent adult, daughter of Paul R. Knudsen, son of Ruth E. Knudsen, who died on October 26, 2007; WHEREAS, I acknowledge that Karen A. Knudsen, David C. Knudsen, and Paul R. Knudsen, are the adult children of Ruth E. Knudsen; WHEREAS, I acknowledge the Ruth E. Knudsen Trust Under Agreement, dated March 6, 2001 ("Trust"), provides for distribution to the Settlor's surviving spouse and to the Knudsen Family Trust, upon the Settlor's death, and upon his death, into equal separate shares for each living child; WHEREAS, I acknowledge that the Settlor's spouse, Clarence V. Knudsen's death on October 5, 2007, predated her death. WHEREAS, I acknowledge that my father, Paul R. Knudsen, is an adult, who, by reason of mental disability, is unable properly to administer the income and principal to be distributed, though he has not been adjudicated incompetent; and WHEREAS, I acknowledge that the Trustee may determine how payment shall be made to any incapacitated person; NOW, THEREFORE, I consent to distribution of the income and principal of the Trust, as follows: Karen A. Knudsen - 1/3 share; 2. David C. Knudsen - 1/3 share; and 3. Sovereign Bank, Trustee of the Knudsen Irrevocable Special Needs Trust for the benefit of Paul. R. Knudsen - 1/3 share. I state that the statements contained in the foregoing Consent are true and correct, based on my personal knowledge, information, and belief. I understand that false statements herein are made subject to the penalties of 18 Pa. C.S. § 4904 relating to unsworn falsification to authorities. Paula .Knudsen Burke Dated: ~ ~ ~~ ~~ EXHIBfT CONSENT WHEREAS, I am Claudia A. Braymer, a legally competent adult, daughter of Paul R. Knudsen, son of Ruth E. Knudsen, who died on October 26, 2007; WHEREAS, I acknowledge that Karen A. Knudsen, David C. Knudsen, and Paul R. Knudsen, are the adult children of Ruth E. Knudsen; WHEREAS, I acknowledge the Ruth E. Knudsen Trust Under Agreement, dated March 6, 2001 ("Trust"), provides for distribution to the Settlor's surviving spouse and to the Knudsen Family Trust, upon the Settlor's death, and upon his death, into equal separate shares for each living child; WHEREAS, I acknowledge that the Settlor's spouse, Clarence V. Knudsen's death on October 5, 2007, predated her death. WHEREAS, I acknowledge that my father, Paul R. Knudsen, is an adult, who, by reason of mental disability, is unable properly to administer the income and principal to be distributed, though he has not been adjudicated incompetent; and WHEREAS, I acknowledge that the Trustee may determine how payment shall be made to any incapacitated person; NOW, THEREFORE, I consent to distribution of the income and principal of the Trust, as follows: Karen A. Knudsen - 1/3 share; 2. David C. Knudsen - 1/3 share; and 3. Sovereign Bank, Trustee of the Knudsen Irrevocable Special Needs Trust for the benefit of Paul R. Knudsen - 1/3 share. I state that the statements contained in the foregoing Consent are true and correct, based on my personal knowledge, information, and belief. I understand that false statements herein are made subject to the penalties of 18 Pa. C.S. § 4904 relating to unsworn falsification to authorities. V C audia A. Braymer Dated: ~ `'~~ EXHIBIT CONSENT OF SOVEREIGN BANK A FEDERAL SAVINGS ASSOCIATION Sovereign Bank, a federal savings association, with an office at Second and Pine Streets, Harrisburg, Pennsylvania 17101, is a corporate fiduciary property authorized to do business in the Commonwealth of Pennsylvania. Sovereign Bank, a federal savings association, consents to its appointment as Trustee of the Irrevocable Special Needs Trust for the benefit of Paul R. Knudsen to administer same, pursuant to the Uniform Trust Act § 7771, et. seq. SOVEREIGN BANK, a federal savings association ! ,~ Charlene E. Hoff Vice President COMMONWEALTH OF PENNSYLVANIA COUNTY OF DAUPHIN ss. On the ~ day of April, 2008, before me, a Notary Public, personally appeared (:harlene E. Hoffman, who acknowledged herself to be the Vice President of Sovereign Bank, a federal savings association, and being authorized to do so as such officer has executed the within instrument for the purposes therein contained by signing the name of the corporation by herself as such officer. IN WITNESS WHEREOF, I have hereunto set my hand and official seal. ~,,~ 1(_LL.L'Ltt... i. ~ X11 -L~,i~~L Notary Publicf' My commission expires: COMMONWEALTH OF PENNSYLVANIA Notarial Seal Laura L. Burridge, Notary Public City Of Harrisburg, Dauphin County My Commission Expires Nov. 29, 2010 Member, Pennsylvania A69ACiatlOn of Nctaries EXHIBIT IRREVOCABLE TRUST AGREEMENT OF CLARENCE V. KNUDSEN AND RUTH E. KNUDSEN Jeffrey R. Boswell, Esquire Boswell, Tintner, Piccola & Alford 315 N. Front Street P. O. Box 741 Harrisburg, Pennsylvania 17101-0741 EXHIBIT ~_ IRREVOCABLE SUPPLEMENTAL NEEDS TRUST AGREEMENT Introductory Clause. This Irrevocable Trust Agreement made this the ;Z9* day of April, 2008 between CLARENCE V. KNUDSEN, by his Trustees, namely PNC Bank, National Association, and David C. Knudsen, of his Trust Under Agreement, dated March 6, 2001, and RUTH E. KNUDSEN, by her Trustees, namely PNC Bank, National Association, and David C. Knudsen, of her Trust Under Agreement, dated March 6, 2001, both Clarence V. Knudsen and Ruth E. Knudsen, hereinafter referred to as the Settlor and SOVEREIGN BANK, a federal savings association, hereinafter referred to as the Trustee. The Trust Agreement shall be known as the Clarence V. Knudsen and Ruth E. Knudsen Supplemental Needs Trust for the benefit of Paul R. Knudsen, dated April ~, 2008. This Trust Agreement shall become effective upon the execution hereof by the Settlor and any initial Trustee. The Settlor's adult child: PAUL R. KNUDSEN suffers from a mental disability to render him incapable of administering tangible and intangible property that he may otherwise possess.. ARTICLE I Description of Property Transferred. Pursuant to the Order of Court entered in the Court of Common Pleas of Cumberland County, Orphans' Court Division, No. 2000-00831 and the Order of Court entered in the Court of Common Pleas of Cumberland County, Orphans' Court Division, No. 2000-00832, the Settlor has irrevocably paid over, assigned, granted, conveyed, transferred and delivered, and by this Agreement does hereby pay over, assign, grant, convey, transfer and deliver unto the Trustee the property described in Schedule A, annexed hereto and made a part hereof. This property and any other assets of any kind or character whatever which may be added to the Trust by the Settlor or anyone else, under the terms of the Settlor's Will or the terms of any trusts established by the Settlor, or in any other manner, as invested or reinvested (hereinafter referred to as the "Trust Estate"), shall be held, administered and distributed by the Trustee as hereinafter set forth. ARTICLE II Irrevocability. The Settlor hereby divests the Settlor irrevocably of any right to annul, retract or diminish the initial gift or any future gifts hereunder or to alter, revoke, terminate or amend this Trust Agreement or any of its terms and does irrevocably renounce and release (1) all possession and enjoyment of, and the right to the income from the Trust Estate, whether directly or indirectly, as well as any benefit from or interest of any nature, present or future, vested or contingent in the Trust Estate; (2) any power of any kind over the Trust or the Trustee or any successor or any power to designate the persons who shall possess or enjoy the Trust Estate or the income from it, and (3) any right or power to be a substitute or successor Trustee by court order, operation of any law or otherwise. -2- ARTICLE III Settlor's Intention and Purpose of Trust. The following is a statement of the Settlor's intent and purpose for this Trust. (1) Designation of Trust Beneficiary. The Settlor desires to create an irrevocable trust to benefit PAUL R. KivUDSEN (hereinafter called the "named beneficiary"), in accordance with the terms of this Trust, and thereafter to benefit the residuary beneficiaries specified in this Agreement. (2) Statement of Trust Purpose. The Settlor's intent is that this Trust is to supplement any benefits either received or receivable by PAUL R. KivunsEN through or from various governmental assistance programs and not to supplant any such benefits. It is the Settlor's intention that this Trust shall not supplant or replace public assistance benefits of any county, state, federal, or other governmental agency, which has a legal responsibility to serve persons with disabilities, including Supplemental Security Income (SSI), federal Social Security Disability Insurance (SSDI), and other federal, state, or local governmental assistance programs. All actions of the Trustee shall be directed toward carrying out this intent. For purposes of determining the named beneficiary's public benefits programs, no part of the principal or income of this Trust shall be considered available to said named beneficiary. In the event the Trustee is requested by any department or agency administering any benefits to release principal or income of this Trust to or on behalf of the named beneficiary to pay for any services which any government benefit program is authorized to provide, or in the event the Trustee is requested by any department or agency administering any benefits to petition the court or any other actministrative agency for the release of trust principal or income for this purpose, the Trustee is authorized to deny such request and is authorized to defend, at the expense of the Trust, any demand, contest, or attack. It is the Settlor's intent that the named beneficiary continue to have these programs available to the named beneficiary in order to maintain a level of human dignity and humane care. (3) Prohibition on Certain Distributions. The Trustee is prohibited from making any distribution to any governmental entity to replace or reimburse or supplant any public assistance benefit of any county, state, federal, or other governmental agency which has a legal responsibility to serve persons with disabilities which are the same or similar to the impairment(s) of the named beneficiary herein, and shall not distribute trust assets to or for the benefit of the named beneficiary for such needs as would be provided for in the absence of this Trust by governmental financial assistance or benefits or by any provider of services. In no event shall Trust property be distributed in such manner that any governmental financial assistance, which would be available to the named beneficiary if this Trust did not exist, is in any way reduced, diminished, altered, or denied. All terms of this Trust, wherever they may appear, shall be interpreted to conform to this primary goal, namely that the governmental financial assistance which would otherwise be available to the named beneficiary if this Trust did not exist will in no way be reduced, diminished, altered, or denied. -3- ARTICLE IV Distributions. This Trust shall be held, administered, and distributed as set forth below: (1) Discretionary Distributions for Named Beneficiary. The Trustee shall, in the Trustee's sole and absolute discretion, distribute so much income and principal to or for the benefit of the named beneficiary as the Trustee shall, in the Trustee's sole discretion, determine in order to provide supplemental benefits, as hereinafter defined, to the benefits otherwise receivable by the named beneficiary through or from various governmental assistance programs. The Trustee shall not be required to distribute income currently. Any income not distributed shall be added to and become a part of the principal. (2) Definition of Supplemental Needs. The following are examples of supplemental disbursements that may be appropriate for the Trustee to fund from this Trust, when there are no public funds available: (a) Medical treatments and diagnostic work, including but not limited to independent medical check-ups, second opinions, rehabilitation, medical equipment, and drugs. (b) Dental treatment and diagnostic work, and dental appliances. (c) Supplemental nursing care or rehabilitative services. (d) Private rooms and types of suitable accommodations, while institutionalized. (e) Housing, including but not limited to rent for suitable housing, furniture, furnishings, etc. (f) Utilities, including but not limited to electricity, water, gas, cable television, Internet service, etc. (g) Basic living expenses, including but not limited to food and special dietary needs, clothing, toiletries, transportation (including vehicle purchase), spending money, electronic and computer equipment, medical, property, liability, and other types of insurance, appropriate recurring allowance, etc. (h) Educational, training, and vocational program expenses, including but not limited to tuition, books, fees, travel expenses, etc. (3) Direction to Trustee to Obtain Legal Assistance for Named Beneficiary. The Trustee shall, on an annual basis or as deemed reasonably necessary by the Trustee, consult with ati attorney with appropriate expertise in the area of public benefits and trust law to review state and federal legislation, regulations, and other requirements to ensure that the public benefits eligibility of the named beneficiary is not jeopardized by inappropriate actions or distributions by the Trustee. The cost of such attorney consultations shall be paid by the Trustee from Trust assets. The Trustee shall have a legal advocate to protect the legal rights of the named -4- beneficiary and to ensure that the named beneficiary shall receive services that will assist the named beneficiary in achieving a reasonably normal lifestyle. (4) Direction to Trustee to Obtain Advice from Friends and Family. The Trustee may, when the Trustee deems necessary, consult with friends and family members of the named beneficiary to determine what actions of the Trust will be in the best interests of the named beneficiary. The Trustee may seek such advice as the Trustee deems appropriate to assist the named beneficiary and to help the named beneficiary achieve a reasonably normal lifestyle. (5) Priority of Beneficiaries. This Trust shall be primarily for the benefit of the named beneficiary, and the rights of the remainder beneficiary(ies) shall be of secondary importance. The Trustee shall not be held accountable to any remainder beneficiary if part or all of the principal shall be depleted as a result of distributions under this Trust in accordance with the terms of this Trust. Any determination made by the Trustee in good faith as to the manner in which or the extent to which the powers granted by this Trust shall be exercised shall be binding and conclusive upon all persons who might then or thereafter have or claim any interest in the Trust property. (6) Authorization to Apply on Beneficiary's Behalf for Public Benefits. The Settlor declares that it is the Settlor's intent, as expressed herein, that because the named beneficiary is disabled and will be unable to maintain and support himself independently, the Trustee shall, in the exercise of the Trustee's best judgment and fiduciary duty and to the extent permitted by law, seek support and maintenance for the named beneficiary from all available public resources, including Supplemental Security Income (SSI), federal Social Security Disability Insurance (SSDI), and other governmental benefits. (7) Commingling. No public assistance benefits for the named beneficiary of this Trust shall be added to this Trust. (8) Payment of Beneficiary's Debts and Taxes. Upon the death of the named beneficiary, the Trustee, in the Trustee's sole discretion, may pay any inheritance, estate, or other death faxes that may be due by reason of the named beneficiary's death, and any expenses of such named beneficiary's last illness and funeral, and expenses related to administration and distribution of the named beneficiary's estate (including the fees of accounting, legal, and other professionals), if other satisfactory provisions have not been made for the payment of such taxes and expenses. The Trustee shall make no payments for obligations incurred for said named beneficiary's health, support, and maintenance if the Trustee shall determine in the Trustee's sole discretion that payment therefor is the obligation of any county, state, federal, or other governmental agency which has a legal responsibility to serve persons with disabilities which are the same as or similar to the impairment(s) of the named beneficiary herein. ARTICLE V Definition of Trust Term. The Trust term shall be defined as follows: -5- Definition of Trust Term. The "Trust term" shall begin as of its date of execution and shall end upon the death of PAUL. R. KNUDSEN. Upon such termination, the undistributed balance of the Trust Estate shall be distributed free of trust to the remainder beneficiaries. ARTICLE VI Distributions Upon Termination. The Trust distribution provisions upon termination shall be defined, as follows: Distribution to Named Beneficiary's Issue. Contingent to Designated Beneficiary. Upon the termination of the Trust, the Trustee shall divide this Trust as then constituted into equal separate shares so as to provide One (1) share for each then living child of Paul R. Knudsen and One (1) share for each deceased child of Paul R. Knudsen, which deceased child shall leave issue then living. The Trustee shall thereafter distribute each such share. If no issue shall then survive, then the Trust Estate shall be distributed in equal shares to Paul R. Knudsen's brother and sister, and to their respective issue of either of them has predeceased Paul R. Knudsen. ARTICLE VII Trustee Succession, Trustee's Fees and Other Matters. The provisions for naming the Trustee, Trustee succession, Trustee's fees and other matters are set forth below: (1) Limitation of Liability. Sovereign Bank, a federal saving association, shall have no liability or responsibility for any acts or omissions of any prior Trustee. Furthermore, Sovereign Bank shall not be liable for losses incurred as a result of investment directions of another or any prior Trustee, or as a result of retaining property pursuant to directions to do so. (2) Naming Corporate Successor or Substitute Trustee. Except as otherwise provided herein, if SOVEREIGN BANK, a federal savings association, or any successor as herein defined should fail to qualify as Trustee hereunder, or for any reason should cease to act in such capacity, the successor or substitute corporate Trustee shall be some other bank or trust company qualified to do business in the State of the Settlor's domicile at the time of the Settlor's death, which successor or substitute shall be designated by the court having jurisdiction over this Trust. Sovereign Bank may, upon thirty (30) days written notice resign if the Trust's market value, including principal and accumulated income, is less than $100,000, and may contemporaneously, prior to resignation, name a successor Trustee, which may be corporate trustee authorized to serve in that capacity in the Commonwealth of Pennsylvania or an individual who may be related to the named beneficiary, excluding his spouse or his children, his grandchildren, and their respective spouses. (3) Fee Schedule for Corporate Trustee. For its services as Trustee, the corporate Trustee shall receive an annual fee based on its standard fee schedule, which may or may not change periodically. (4) Change in Corporate Fiduciary. Any corporate successor to the trust business of the corporate fiduciary designated herein or at any time acting hereunder shall succeed to the capacity of its predecessor without conveyance or transfer. -6- (5) Trustee Accountings and Settlement. The Trustee shall report on Trust activities and account to the beneficiaries, as follows: (a) Trustee Accountings. If there are more than nominal assets in the Trust, the Trustee shall render an accounting of the Trust's receipts and disbursements and a statement of the assets and liability of the Trust at least annually to each current income beneficiary and all beneficiaries entitled by law to receive an accounting. The Trustee may,_but shall not be required to, file such accountings with the Court having jurisdiction of the Trust. The Settlor specifically waives any requirement for formal or court approved accounting. If the Trustee provides an accounting to each current income beneficiary and all beneficiaries entitled by law and those beneficiaries do not notify the Trustee in writing of an objection to such accounting within ninety (90) days of the receipt of such accounting, then the accounting shall be deemed accepted and approved by such beneficiary. (b) Settlement of Trustee Accounting by Beneficiaries. The Trustee may at any time settle its account with respect to the Trust Estate, or any separate share of the Trust Estate, by a written agreement. The written agreement shall be between the Trustee and all appropriate living income beneficiaries and remainder beneficiaries for the Trust Estate, or separate Trust share as appropriate. If a beneficiary is either a minor or incompetent, then the guardian for such person may represent such individual. Such agreement shall bind all persons then or thereafter entitled to such share of the Trust Estate for which the Trustee and beneficiaries reached written agreement. Such agreement shall constitute a complete release and discharge of the Trustee for the acts of the Trustee covered in the accounting and the period covered by the agreement. (c) Settlement of Trustee Accounting Upon Termination of Trust. Prior to either delivering the Trust Estate to a successor Trustee or making a complete distribution of all or a separate share of the Trust Estate, the Trustee shall prepare and deliver its accounting of the Trust or the applicable Trust share, as appropriate, to the appropriate beneficiaries. The Settlor and/or applicable beneficiaries may waive such requirements for such accounting. (6) Limitation of Liability and Duties of Successor Trustee for Acts of Prior Trustee. No successor Trustee shall have any liability or responsibility for any acts or omissions of any prior Trustee. The Trust shall indemnify and hold harmless any currently serving Trustee for the acts or omissions of any such prior Trustee. A current Trustee may, but shall not have the obligation to, audit or investigate the accounts or administration of any prior Trustee. In the event that any present or future beneficiary shall request in writing that the Trustee investigate or take any action against a prior Trustee, the current Trustee may, but not be required to, either i) determine if such action is either inappropriate or unlikely to result in a favorable conclusion for the Trust and therefore decline to take such action or ii) require that the beneficiary requesting such action indemnify the Trust and Trustee and fund all the expenses of such action to the extent that the Trustee deems appropriate. The Trustee shall have the sole discretion to act with regard to these decisions. -7- ARTICLE VIII Definition of Trustee. Whenever the word "Trustee" or any modifying or substituted pronoun therefor is used in this Trust, such words and respective pronouns shall include both the singular and the plural, the masculine, feminine and neuter gender thereof, and shall apply equally to the Trustee named herein and to any successor or substitute Trustee acting hereunder, and such successor or substitute Trustee shall have all the rights, powers and duties, authority and responsibility conferred upon the Trustee originally named herein. ARTICLE IX Powers for Trustee. The Trustee is authorized in its fiduciary discretion (which shall be subject to the standard of reasonableness and good faith to all beneficiaries) with respect to any property, real or personal, at any time held under any provision of this Trust Agreement and without authorization by any court and in addition to any other rights, powers, authority and privileges granted by any other provision of this Trust Agreement or by statute or general rules of law: (1) To collect trust property and accept or reject additions to the Trust Estate from a Settlor or any other person. (2) To retain in the form received any property or undivided interests in property donated to, or otherwise acquired as a part of the Trust Estate, including residential property and shares of the Trustee's own stock, regardless of any lack of diversification, risk or nonproductivity, as long as it deems advisable, and to exchange any such security or property for other securities or properties and to retain such items received in exchange, although such property represents a large percentage of the total property of the Trust Estate or even the entirety thereof. (3) To deposit trust money in accounts of all types, including margin accounts, in all types of regulated financial service institutions. (4) To invest and reinvest all or any part of the Trust Estate in any property and undivided interests in property, wherever located, including bonds, debentures, notes, secured or unsecured, stocks of corporations regardless of class, interests in limited partnerships, limited liability companies or similar entities, real estate. or any interest in real estate whether or not productive at the time of investment, interests in trusts, investment trusts, whether of the open and/or closed fund types, and participation in common, collective or pooled trust funds of the Trustee, insurance contracts on the life of any beneficiary or annuity contracts for any beneficiary, without being limited by any statute or rule of law concerning investments by fiduciaries. (5) To abandon or decline to administer property of no value or of insufficient value to justify its collection or continued administration. (6) To sell or dispose of or grant options to purchase any property, real or personal, constituting a part of the Trust Estate, for cash or on credit, at public or private sale, to exchange -8- any property of the Trust Estate for other property, at such times and upon such terms and conditions as it may deem best, and no person dealing with it shall be bound to see to the application of any monies paid. (7) To hold any securities or other property in its own name as Trustee, in its own name, in the name of a nominee (with or without disclosure of any fiduciary relationship) or in bearer form. (8) To keep, at any time and from time to time, all or any portion of the Trust Estate in cash and uninvested for such period or periods of time as it may deem advisable, without liability for any loss in income by reason thereof. (9) To sell or exercise stock subscription or conversion rights. (10) To refrain from voting or to vote shares of stock which are a part of the Trust Estate at shareholders' meetings in person or by special, limited, or general proxy and in general to exercise all the rights, powers and privileges of an owner in respect to any securities constituting a part of the Trust Estate. (11) To participate in any plan of reorganization or consolidation or merger involving any company or companies whose stock or other securities shall be part of the Trust Estate, and to deposit such stock or other securities under any plan of reorganization or with any protective committee and to delegate to such committee discretionary power with relation thereto, to pay a proportionate part of the expenses of such committee and any assessments levied under any such plan, to accept and retain new securities received by the Trustee pursuant to any such plan, to exercise all conversion, subscription, voting and other rights, of whatsoever nature pertaining to such property, and to pay any amount or amounts of money as it may deem advisable in connection therewith. (12) To borrow money with or without security and to encumber, mortgage, or pledge any asset of the Trust Estate for a term within or extending beyond the term of the trust, in connection with the exercise of any power vested in the Trustee. (13) To authorize transactions (including the purchase of government, corporate, municipal, or like securities from the corporate trustee's own inventory) that may be carried out through brokers and dealers selected by the trustees, including any appropriate division of the corporate trustee or any affiliate and any broker or dealer from whom the corporate trustee receives research and investment services, so long as the trustee engages in such transactions in good faith, and in its judgment for the best interest of the Trust Estate. Any such division, affiliate, broker, or dealer may receive a commission or retain a profit on such transactions. (14) To invest in proprietary funds or bank stock without liability for self-dealing, to retain, purchase as an investment, sell, vote, or refrain from voting securities that were issued by any corporate fiduciary or by any corporate fiduciary's affiliates; exercise or refrain from exercising any option, rights, or provileges that are available to Trustee for the purchase of any such securities; invest principal or income in any corporate fiduciary's common trust funds or -9- mutual funds, or in the common trust funds or mutual funds of any corporate affiliates; receive fees from any common trust fund or mutual fund for services rendered; borrow money from an affiliate of a corporate fiduciary and delegate any part of the corporate fiduciary's responsibilities to one or more of that fiduciary's affiliate or third parties. (15) To collect, receive, and receipt for rents, issues, profits, and income of the Trust Estate. (16) To insure the assets of the Trust Estate against damage or loss and to insure the Trustee, the Trustee's agents, and beneficiaries against liability arising from the administration of the Trust. (17) To select a mode of payment under any employee benefit or retirement plan, annuity, or life insurance payable to the Trustee, exercise rights thereunder, including exercise of the right to indemnification for expenses and against liabilities, and take appropriate action to collect the proceeds. - (18) In buying and selling assets, in lending and borrowing money, and in all other transactions, irrespective of the occupancy by the same person of dual positions, to deal with itself in its separate, or any fiduciary capacity. (19) To compromise, adjust, arbitrate, sue on or defend, abandon or decline to administer property of no value or of insufficient value to justify its collection or continued administration, or otherwise deal with and settle claims in favor of or against the Trust Estate or to prosecute or defend an action, claim, or judicial proceeding in any jurisdiction to protect the Trust Estate and the Trustee in the performance of the Trustee's duties, as the Trustee shall deem best. (20) To exercise elections with respect to federal, state, and local taxes. (21) To employ and compensate agents, accountants, investment advisors, brokers, attorneys-in-fact, attorneys-at-law, tax specialists, realtors, appraisers, and other assistants and advisors deemed by the Trustee needful for the proper administration of the Trust Estate, and to do so without liability for any neglect, omission, misconduct, or default of any such agent or professional representative provided such person was selected and retained with reasonable care. (22) To appoint a Trustee to act in another jurisdiction with respect to the Trust Estate located in the other jurisdiction, confer upon the appointed Trustee all of the powers and duties of the appointing Trustee, require that the appointed Trustee furnish security, and remove any Trustee so appointed. (23) To determine what shall be fairly and equitably charged or credited to income and what to principal. (24) To resolve a dispute concerning the interpretation of the Trust or its administration by mediation, arbitration, or other procedure for alternative dispute resolution. -10- (25) To hold and retain the principal of the Trust Estate undivided until actual division shall become necessary in order to make distributions; to hold, manage, invest, and account for the several shares or parts thereof by appropriate entries on the Trustee's books of account; and to allocate to each share or part of share its proportionate part of -all receipts and expenses; provided, however, the carrying of several trusts as one shall not defer the vesting in title or in possession of any share or part of share thereof. (26) To make payment in cash or in kind, or partly in cash and partly in kind upon any division or distribution of the Trust Estate (including the satisfaction of any pecuniary distribution) without regard to the income tax basis of any specific property allocated to any beneficiary and to value and appraise any asset and to distribute such asset in kind at its appraised value; and when dividing fractional interests in property among several beneficiaries to allocate entire interests in some property to one beneficiary and entire interests in other property to another beneficiary or beneficiaries. (27) In general, to exercise all powers in the management of the Trust Estate which any individual could exercise in his or her own right, upon such terms and conditions as it may reasonably deem best, and to do all acts which it may deem reasonably necessary or proper to carry out the purposes of this Trust Agreement. (28) To receive property bequeathed, devised or donated to the Trustee by the Settlor or any other person; to receive the proceeds of any insurance policy which names the Trustee as beneficiary; to execute all necessary receipts and releases to Personal Representatives, donors, insurance companies and other parties adding property to the Trust Estate. (29) To combine assets of two or more trusts if the provisions and terms of each trust are substantially identical, and to administer them as a single trust, if the Trustee reasonably determines that the administration as a single trust is consistent with the Settlor's intent, and facilitates the trust's administration without defeating or impairing the interests of the beneficiaries. (30) To divide any trust into separate shares or separate trusts or to create separate trusts if the Trustee reasonably deems it appropriate and the division or creation is consistent with the Settlor's intent, and facilitates the trust's administration without defeating or impairing the interests of the beneficiaries. (31) To divide property in any trust being held hereunder with an inclusion ratio, as defined in section 2642(a)(1) of the Internal Revenue Code of 1986, as from time to time amended or under similar future legislation, of neither one nor zero into two separate trusts representing two fractional shares of the property being divided, one to have an inclusion ratio of one and the other to have an inclusion ratio of zero, to create trusts to receive property with an inclusion ratio of either one or zero and if this cannot be done to refuse to accept property which does not have a matching inclusion ratio to the receiving trust's ratio, all as the Trustee in its sole discretion deems best. -11- ARTICLE X Restriction on Powers. Notwithstanding any other provisions of this Trust Agreement: (1) Limitations on Settlor's Borrowing from Trustee. The Settlor may not borrow from the Trust, directly or indirectly. (2) Limitations on Voting. No person other than the Trustee shall have or exercise the power to vote or direct the voting of any shares or other securities of the Trust Estate, to control the investment of the Trust Estate either by directing investments or reinvestments or by vetoing proposed investments or reinvestments, or to reacquire or exchange any property of the Trust by substituting other property of an equivalent value. ARTICLE XI Provision for Trustee to Act as Trustee for Beneficiary Under Age Twenty-One. If any share hereunder becomes distributable to a beneficiary who has not attained the age of Twenty-one (21), such share shall immediately vest in the beneficiary, but notwithstanding the provisions herein, the Trustee shall retain possession of the share in trust for the beneficiary until the beneficiary attains the age of Twenty-one (21), using so much of the net income and principal of the share as the Trustee deems necessary to provide for the medical care, education, support and maintenance in reasonable comfort of the beneficiary, taking into consideration to the extent the Trustee deems advisable any other income or resources of the beneficiary or his or her parents known to the Trustee. Any income not so paid or applied shall be accumulated and added to principal. The beneficiary's share shall be paid over and distributed to the beneficiary upon attaining age Twenty-one (21), or if he or she shall sooner die, to his or her personal representatives. The Trustee shall have with respect to each share so retained all the powers and discretions it had with respect to the trusts created herein generally. ARTICLE XII Trustee's Discretion in Making Payments to a Person Under Age Twenty-One, Incompetent, or Incapacitated Person. In case the income or principal payment under any tnzst created hereunder or any share thereof shall become payable to a person under the age of Twenty-one (21), or to a person under legal disability, or to a person not adjudicated incompetent, but who, by reason of illness or mental or physical disability, is, in the opinion of the Trustee unable properly to administer such amounts, then such amounts shall be paid out by the Trustee in such of the following ways as the Trustee deems best: (1) directly to the beneficiary; (2) to the legally appointed guardian of the beneficiary; (3) to some relative or friend for the medical care, education, support and maintenance in reasonable comfort of the beneficiary; (4) by the Trustee using such amounts directly for the beneficiary's care, support and education; (5) to a custodian for the beneficiary under the Uniform Gifts or Transfers to Minors Act. -12- ARTICLE XIII Definitions of Family. The following definitions shall be used to define the family: (1) Definition of Children. For purposes of this Trust, "children" means the lawful blood descendants in the first degree of the parent designated; and "issue" and "descendants" mean the lawful blood descendants in any degree of the ancestor designated. The terms "child," "children," "issue," "descendant" and "descendants" or those terms preceded by the terms "living" or "then living" shall include the lawful blood descendant in the first degree of the parent designated even though such descendant is born after the death of such parent. (2) Definition of Per Stirpes. The term "per stirpes" as used herein has the identical meaning as the term "taking by representation" as .defined in the Pennsylvania Probate Code. Definition of Words Relating to the Internal Revenue Code. As used herein, any word or words which from the context in which it or they are used refer to the Internal Revenue Code shall have the same meaning as such words have for the purposes of applying the Internal Revenue Code to the Settlor's estate. For purposes of this Trust Agreement, the Settlor's "available generation-skipping transfer exemption" means the generation-skipping transfer tax exemption provided in section 2631 of the Internal Revenue Code of 1986, as amended, in effect at the time of the Settlor's death reduced by the aggregate of (1) the amount, if any, of the Settlor's exemption allocated to lifetime transfers of the Settlor by the Settlor or by operation of law, and (2) the amount, if any, the Settlor has specifically allocated to other property of the Settlor's gross estate for federal estate tax purposes. For purposes of this Trust Agreement if at the time of the Settlor's death the Settlor has made gifts with an inclusion ratio of greater than zero for which the gift tax return due date has not expired (including extensions) and the Settlor has not yet filed a return, it shall be deemed that the Settlor's generation-skipping transfer exemption has been allocated to these transfers to the extent necessary (and possible) to exempt the transfer(s) from generation-skipping transfer tax. Reference to sections of the Internal Revenue Code and to the Internal Revenue Code shall refer to the Internal Revenue Code amended to the date of the Settlor's death. ARTICLE XIV Simultaneous Death Provision Presuming Remainder Beneficiary Predeceases. If the named beneficiary and any successor beneficiary should die under circumstances in which the order of the deaths of those beneficiaries can not be determined, then it shall be conclusively presumed that the remainder beneficiary predeceased the named beneficiary. If any beneficiary of a younger generation should die under circumstances in which the order of the deaths of that younger generation beneficiary and the beneficiary of the older generation can not be determined, then it shall be conclusively presumed that the beneficiary of the younger generation predeceased the beneficiary of the older generation. -13- ARTICLE XV Spendthrift Provision. Except as otherwise provided herein, all payments of principal and income payable, or to become payable, to the beneficiary of any trust created hereunder shall not be subject to anticipation, assignment, pledge, sale or transfer in any manner, nor shall any beneficiary have the power to anticipate or encumber such interest, nor shall such interest, while in the possession of the fiduciary hereunder, be liable for, or subject to, the debts, contracts, obligations, liabilities or torts of any beneficiary. ARTICLE XVI Perpetuities Savings Clause. Notwithstanding anything herein to the contrary, the trusts created hereunder shall terminate not later than twenty one (21) years after the death of the last survivor of PAUL R. KNUDSEN living on the date of the Settlor's death, when the Trustee shall distribute each remaining trust hereunder to the beneficiary or beneficiaries of the current income thereof, and if there is more than one beneficiary, in the proportion in which they are beneficiaries or if no proportion is designated in equal shares to such beneficiaries. ARTICLE XVII State Law to Govern. This Trust Agreement and the trusts created hereby shall be construed, regulated and governed by and in accordance with the laws of the Commonwealth of Pennsylvania. Testimonium Clause. IN WITNESS WHEREOF, the Settlor and the Trustee have executed this Trust Agreement. WITNESSES: CLARENCE V. KNUDSEN, SETTLOR ~~ ~~~~ ll By: \ ~ ~ ~~Y~ "S V , PNC BANK, NATIONAL ASSOCIATION, TRUSTEE And B Y~ DA ID C. UDSEN, TRUSTEE -14- RUTH E. KNUDSEN, SETTLOR f ~ (~~~ \~ ~ ~~-~ ~ ~ ~ By: ~ ,, J CJ rNC BANK, NATIONAL ASSOCIATION, TRUSTEE An By: DAVID C. KNUDSEN, RUSTEE -15- COMMONWEALTH OF PENNSYLVANIA COUNTY OF CUMBERLAND . ss. S~ On this, the day of ~'" ~- ,; -•'"~~ , 2008, before me, the undersigned, personally appeared Debra A. Smith, ~ :T.F.A., who acknowledged herself to be an Assistant Vice President and Trust Advisor of P Wealth Management -Central, PNC Bank, National Association, Trustee of the Clarence V. Knudsen Trust Under Agreement, dated March 6, 2001, executed the foregoing instrument for the purposes therein contained. IN WITNESS WHEREOF, I hereunto set my hand anelzsf#ici~k'seal: COMMONWEALTH OF PENNSYLVANIA COUNTY OF ~ ~~ ~°N-~- ^l TAR {r:, v ;~~~~~~~~! ~~i Den€se C. S~hEns~crf.~Ar, N ~ ark F~u~;v i~i~rYipden i~/p., ~ u~~.~e end ~©~r ~r i~gy Cc:mrnissi~~ ~`x€~;,..s C?~:c~E, 2L ~3 ._. J. . ss. On this, the ~ ~ day of , 2008, before me, the undersigned, personally appeared David C. Knudse ,Trustee of the Clarence V. Knudsen Trust Under Agreement, dated March 6, 2001, who executed the foregoing instrument for the purposes therein contained. IN WITNESS WHEREOF, I hereunto set my hand and official seal. ~ ~~ NOTARY PUBLIC COMMONWEALTH OF PENNSYLVANIA Notarial Seal Connie L. Hardy, Notary Public City Of Harrisburg, Dauphin County My Commission E~iras Feb.16, 2011 Mamber, Pennsylvania Association of Notaries -16- COMMONWEALTH OF PENNSYLVANIA COUNTY OF CUMBERLAND . ss. On this, the Sf day of `' ~f ~ -'''~ , 2008, before me, the undersigned, personally appeared Debra A. Smith,, •.T.F.A., who acknowledged herself to be an Assistant Vice President and Trust Advisor of P Wealth Management -Central, PNC Bank, National Association, Trustee of the Ruth E. Knudsen Trust Under Agreement, dated March 6, 2001, executed the foregoing instrument for the purposes therein contained. __. IN WITNESS WHEREOF, I hereunto set my hand"and official ~,__ P COMMONWEALTH OF PENNSYLVANIA COUNTY OF ~ ~ ~-' ~~1 x~ ~~ ~~ ~ ~I x ~sl „ .~~~~ ~ .~.atx~trerlar~i ~' ~ ~- . ss. On this, the (off day of , 2008, before me, the undersigned, personally appeared David C. Knudsen, Trustee of the Ruth E. Knudsen Trust Under Agreement, dated March 6, 2001, who executed the foregoing instrument for the purposes therein contained. IN WITNESS WHEREOF, I hereunto set my hand and official seal. Gj~~-~-~ NOTARY P LIC -17- COMMONWEALtIi OF PENNSYLVANIA Notarial Seal Connie L Hardy, Notary PubCx; City Of Harrisburg, Dauphin County My Commission Expires Feb. 16, 2011 Member, Penns~~hrania Association of Notaries CONSENT OF SOVEREIGN BANK, A FEDERAL SAVINGS ASSOCIATION Sovereign Bank, a federal savings association, with an office at Second and Pine Streets, Harrisburg, Pennsylvania 17101, is a corporate fiduciary property authorized to do business in the Commonwealth of Pennsylvania. Sovereign Bank, a federal savings association, consents to its appointment as Trustee of the Irrevocable Special Needs Trust for the benefit of Paul R. Knudsen to administer same, pursuant to the Uniform Trust Act § 7771, et. seq. SOVEREIGN BANK, a federal savings association 1 Charlene E. Hoffman, e President COMMONWEALTH OF PENNSYLVANIA COUNTY OF DAUPHIN ss. On the ~~ day of April, 2008, before me, a Notary Public, personally appeared Charlene E. Hoffman, who acknowledged herself to be the Vice President of Sovereign Bank, a federal savings association, and being authorized to do so as such officer has executed the within instrument for the purposes therein contained by signing the name of the corporation by herself as such officer. IN WITNESS WHEREOF, I have hereunto set my hand and official seal. ,.~ I ,' ^ ? Notary Pub ~" My commission expires: COMMONWEALTH OF PENNSYLVANIA Natarial Seal Laura L. Sunidge, Not2ry Public City Of Harrisburg, Dauphin County My Commission Expires Nov. 29, 2010 Member, Pennsylvania Association of Notaries -18- IN THE ORPHANS' COURT DIVISION OF THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY COMMONWEALTH OF PENNSYLVANIA TRUST UNDER AGREEMENT OF RUTH E. KNUDSEN, SETTLOR, DATED 03/06/2001 No. 2000-00832 STATEMENT OF PROPOSED DISTRIBUTION PURSUANT TO ORPHANS' COURT RULE 6.9 PNC Bank, National Association, and David C. Knudsen, Trustees, respectfully request approval of the distributive shares of principal and income of the Trust Under Agreement of Ruth E. Knudsen, Settlor, dated 03/06/2001, by the stated Trustees, as follows: Principal Balance on Hand: To: Karen A. Knudsen $483,055.09 161,018.36 To: Sovereign Bank, a national federal savings 161,018.36 association, Trustee, Clarence V. Knudsen and Ruth E. Knudsen Supplemental Needs Trust for the benefit of Paul R. Knudsen To: David C. Knudsen TOTAL PRINCIPAL 161,018.37 $483,055.09 EXHIBIT ~_ a Income balance on hand: $8,945.44 To: Karen A. Knudsen 2,981.81 To: Sovereign Bank, a national federal savings association, Trustee, Clarence V. Knudsen and Ruth E. Knudsen Supplemental Needs Trust for the benefit of Paul R. Knudsen 2,981.81 To: David C. Knudsen 2,981.82 TOTAL INCOME $8,945.44 F~~~P ~~~ 3/!e~`o~ iv..c{ of 3~~~~~ ,,.w . 3 ~Z g TRUST AGREEMENT OF R UTH E. KNUDSEN Jeffrey R. Boswell Boswell, Tintner, Piccola & Wickersham 315 North Front Street Harrisburg, Pennsylvania 17101 TRUST AGREEMENT Introductory Clause. This Agreement made this ~m day of March, 2001, between R UTH E. KNUDSEN, hereinafter referred to as the Settlor and PNC BANK, N.A., hereinafter referred to as the corporate trustee, and DAVID C. KNUDSEN, hereinafter sometimes referred to as the individual trustee. The corporate trustee and the individual trustee are hereinafter collectively referred to as the Trustee. The Settlor is married to CLARENCE V. KNUDSEN and has three living children: KAREN A. KNUDSEN; PAUL R. KNUDSEN; and DAVID C. KNUDSEN. ARTICLE I Description of Property Transferred. The Settlor has paid over, assigned, granted, conveyed, transferred and delivered, and by this Agreement does hereby pay over, assign, grant, convey, transfer and deliver unto the Trustee the property described in Schedule A, annexed hereto and made a part hereof. This property and any other property that maybe received or which has been received by the Trustee hereunder, as invested and reinvested (hereinafter referred to as the "Trust Estate"), shall be held, administered and distributed by the Trustee as hereinafter set forth. ARTICLE II Rights of Settlor and Trustee in Insurance Policies. During the Settlor's lifetime, the Settlor shall have all rights under any life insurance policies payable to the Trustee, including the right to change the beneficiary, to receive any dividends or other earnings of such policies without accountability therefor to the Trustee or any beneficiary hereunder, and may assign any policies to any lender, including the Trustee, as security for any loan to the Settlor or any other person; and the Trustee shall have no responsibility with respect to any policies, for the payment of premiums or otherwise, except to hold any policies received by the Trustee in safekeeping and to deliver them upon the Settlor's written request and upon the payment to the Trustee of reasonable compensation for services. The rights of any assignee of any policy shall be superior to the rights of the Trustee. If any policy is surrendered or if the beneficiary of any policy is changed, this trust shall be revoked with respect to such policy. However, no revocation of the trust with respect to any policy, whether pursuant to the provisions of the preceding sentence or otherwise, shall be effective unless the surrender or change in beneficiary of the policy is accepted by the insurance company. Upon the death of the insured under any policy held by or known to, and payable to, the Trustee, or upon the occurrence of some event prior to the death of the Settlor that matures any such policy, the Trustee, in its discretion, either may collect the net proceeds and hold them as part of the principal of the Trust Estate, or may exercise any optional method of settlement available to it, and the Trustee shall deliver any policies on the Settlor's life Trust Agreement of RUTH E. KNUDSEN Page I held by it and payable to any other beneficiaries as those beneficiaries may direct. Payment to, and the receipt of, the Trustee shall be a full discharge of the liability of any insurance company, which need not take notice of this agreement or see to the application of any payment. The Trustee need not engage in litigation to enforce payment of any policy without indemnification satisfactory to it for any resulting expenses. ARTICLE III Provisions for Settlor During Lifetime. The Trustee shall hold, manage, invest and reinvest the Trust Estate (if any requires such management and investment). and shall collect the income, if any, therefrom and shall dispose of the net income and principal as follows: (1) During the lifetime of the Settlor, the Trustee shall pay to or apply for the benefit of the Settlor all the net income from this Trust. (2) During the lifetime of the Settlor, the Trustee may pay to or apply for the benefit of the Settlor such sums from the principal of this Trust as in its sole discretion shall be necessary or advisable from time to time for the medical care, education, support and maintenance in reasonable comfort of the Settlor, taking into consideration to the extent the Trustee deems advisable, any other income or resources of the Settlor known to the Trustee. ARTICLE IV Settlor's Rights to Amend, Change or Revoke the Trust Agreement. The Settlor may, by signed instruments delivered to the Trustee during the Settlor's life: (1) withdraw property from this Trust in any amount and at any time upon giving reasonable notice in writing to the Trustee; (2) add other property to the Trust; (3) change the beneficiaries, their respective shares and the plan of distribution; (4) amend this Trust Agreement in any other respect; (5) revoke this Trust in its entirety or any provision therein; provided, however, the duties or responsibilities of the Trustee shall not be enlarged without the Trustee's consent nor without satisfactory adjustment of the Trustee's compensation. ARTICLE V Discretionary Provisions for Trustee to Deal with Settlor's Estate and Make Payment of Debts and Taxes. After the 5ettlor's death, the Trustee, if in its discretion it deems it advisable, may pay all or any part of the Settlor's funeral expenses, legally enforceable claims against the Settlor or the Settlor's estate, reasonable expenses of administration of the Settlor's estate, any allowances by court order to those dependent upon the Settlor, any estate, inheritance, succession, death or similar taxes payable by reason of the Settlor's death, together with any interest thereon or other additions thereto, without reimbursement from the Settlor's executors or administrators, from any beneficiary of insurance upon the 5ettlor's life, or from any other person. All such payments, except of interest, shall be charged generally against the principal of the Trust Estate includable in the Settlor's estate for Federal estate tax purposes and any interest Trust Agrtemrnt of RUTH E. IINUDSEN Page 2 so paid shall be charged generally against the income thereof; provided, however, any such payments of estate, inheritance, succession, death or similar taxes (except generation-skipping transfer taxes) shall be charged against the principal constituting the KNUDSENFamily Trust and any interest so paid shall be charged against the income thereof. If such share or trust was created as a fraction, then such taxes thus paid shall reduce the numerator of that share or trust and the Trust Estate, thus likewise reducing the denominator of the fraction. The Trustee may make such payments directly or may pay over the amounts thereof to the executors or administrators of the Settlor's estate. Written statements by the executors or administrators of such sums due and payable by the estate shall be sufficient evidence of their amount and propriety for the protection of the Trustee and the Trustee shall be under no duty to see to the application of any such payments. The Trustee shall pay over to the executors or administrators of the Settlor's estate all obligations of the United States Government held hereunder which may be redeemed at par in payment of federal estate taxes. If administrative expenses are deducted on the estate's income tax return but paid from principal, then they shall be charged against tl:e KNUDSENFamily Trust. The Trustee shall have the power to charge expenses of administration against income or principal, or apportion such expenses; provided, however, this power may not be exercised in a way which would reduce or otherwise adversely affect the marital deduction otherwise available for federal estate tax purposes. The Trustee shall not exercise this discretion in a manner which would impose a material limitation on the income otherwise passing to the marital share as provided in the regulations now in effect or subsequently promulgated and if the decision in the United States Supreme Court case of Commissioner v. Estate of Otis C. Hubert (March 18, 1997} is reversed or overruled by future judicial action, regulation or legislation, then the Trustee shall not possess the power granted herein. ARTICLE VI Specific Distributions. Upon the death of the Settlor, the Trustee shall make the following distributions: (1) General Distribution of Personal and Household Effects With a Precatory Memorandum. All the Settlor's personal and household effects of every kind including but not limited to furniture, appliances, furnishings, pictures, silverware, china, glass, books, jewelry, wearing apparel, boats, automobiles, and other vehicles, and all policies of fire, burglary, property damage, and other insurance on or in connection with the use of this property, shall be distributed to the Settlor's husband, CLARENCE Y. KNUDSEN, if he shall survive the Settlor. If he shall not survive the Settlor, all this property shall be distributed to the children surviving the Settlor, in approximately equal shares; provided, however, the issue of a deceased child surviving the Settlor shall take per stirpes the share their parent would have taken had he or she survived the Settlor. If the Settlor's issue do not agree to the division of the property among themselves, the Trustee shall make such division among them, the decision of the Trustee to be in all respects binding upon the Settlor's issue. The Settlor requests that the Settlor's husband, the Trustee and the Settlor's issue abide by any memorandum by the Settlor directing the disposition of this property or any part thereof. This request is precatory and not mandatory. If any beneficiary hereunder is a minor, the Trustee may distribute such minor's share to such minor or Trust AgreertKnt of RUTH E. KNiJDSEN Page 3 for such minor's use to any person with whom such minor is residing or who has the care or control of such minor without further responsibility and the receipt of the person to whom it is distributed. shall be a complete discharge of the Trustee. The cost of packing and shipping such property shall be charged as an expense of administration. (2) Definition of Trust Estate. As used in this Trust Agreement, the words "Trust Estate" shall mean the entire Trust Estate minus the specific distributions under this Article. ARTICLE VII Upon the death of the Settlor, the Trustee shall divide the Trust Estate (which shall include any property which maybe added from the Settlor's general estate) as follows: (1) Creation of The CLARENCE Y. KNUDSENShare and TheKNUDSEN Famity Trust. If the Settlor is survived by the Settlor's husband, CLARENCE V KNUDSEN, the Trustee shall divide the Trust Estate into Two (2) separate shares, hereinafter designated as "the CLARENCE v KNUDSENShare" and "theKNUDSENFamily Trust." The CLARENCE v KNUDSENShare shall be composed of cash, securities or other property of the Trust Estate (undiminished by any estate, inheritance, succession, death or similar taxes) having a value equal to the maximum marital deduction as finally determined in the Settlor's federal estate tax proceedings, less the aggregate amount of marital deductions, if any, allowed for such estate tax purposes by reason of property or interests in property passing or which have passed to the Settlor's husband otherwise than pursuant to the provisions of this Article; provided, however, the amount for the CLARENCE Y. KNUDSENShare hereunder shall be reduced by the amount, if any, needed to increase the Settlor's taxable estate (for federal estate tax purposes) to the largest amount that, after allowing for the unified credit against the federal estate tax, and the state death tax credit against such tax (but only to the extent that the use of such state death tax credit does not increase the death tax payable to any state}, will result in the smallest (if any) federal estate tax being imposed on the Settlor's estate. The term "maximum marital deduction" shall not be construed as a direction by the Settlor to exercise any election respecting the deduction of estate administration expenses, the. determination of the estate tax valuation date, or any other tax election which maybe available under any tax laws, only in such manner as will result in a larger allowable estate tax marital deduction than if the contrary election had been made. The Trustee shall have the sole discretion to select the assets which shall constitute tlse CLARENCE V. KNUDSENShare. In no event, however, shall there be included in this tlse CLARENCE i~ KNUDSENShare any asset or the proceeds of any asset which will not qualify for the federal estate tax marital deduction, and this the CLARENCE Y. KNUDSENShare shall be reduced to the extent that it cannot be created with such qualifying assets. The Trustee shall value any asset selected by the Trustee for distribution in kind as a part of the CLARENCE V. KNUDSENShare hereunder at the value of such asset at the date of distribution of such asset. The CLARENCE Y. KNUDSENShare shall be paid over and distributed to the Settlor's husband free of trust. The KNUDSEN Family Trust shall be the balance of the Trust Estate after the assets have been selected for the CLARENCE i~ KNUDSENShare. Trust Agreement ofRUTH E. lINUDSEN Page 4 (2) Creation of The KNUDSEN Family Trust. If the Settlor's husband shall not survive the Settlor, the KNUDSENFamily Trust shall be the entire Trust Estate. The KNUDSEN Family Trust shall be administered as hereinafter set forth. ARTICLE VIII The KNUDSEN Family Trust Introductory Provision. The KNUDSEN Family Trust shall be held, administered and distributed as follows: (1) Payment to Husband of All Income. If the Settlor's husband shall survive the Settlor, then commencing with the date of the Settlor's death, the Trustee shall pay to or apply for the benefit of the Settlor's husband during his lifetime all the net income from the KNUDSEN Family Trust in convenient installments but no less frequently than quarter-annually. (2) Discretionary Payments of Principal for Husband. If the Settlor's husband shall survive the Settlor, the Trustee may pay to or apply for the benefit of the Settlor's husband during his lifetime, such sums from the principal of the KNUDSEN Family Trust as in its sole discretion shall be necessary or advisable from time to time for the medical care, education, support and maintenance in reasonable comfort of the Settlor's husband, taking into consideration to the extent the Trustee deems advisable, any other income or resources of the Settlor's husband known to the Trustee. (3) Limited Withdrawal by Husband. In addition to the income and discretionary payments of principal from this Trust, there shall be paid to the Settlor's husband during his lifetime from the principal of this Trust upon his written request during the last month of each fiscal year of the Trust an amount not to exceed during such fiscal year the greater of Five Thousand ($5,000.00) Dollars or Five (5%) per cent of the total value of the principal of the KNUDSEN Family Trust on the last day of such fiscal year without reduction for the principal payment for such fiscal year. This right of withdrawal is noncumulative, so that if the Settlor's husband does not withdraw, during such fiscal year, the full amount to which he is entitled under this Paragraph, his right to withdraw the amount not withdrawn shall lapse at the end of that fiscal year. (4) Division Into Shares for Children. Upon or after the death of the survivor of the Settlor's husband and the Settlor, the Trustee shall divide this Trust as then constituted into equal separate shares so as to provide One (1) share for each then living child of the Settlor and One (1) share for each deceased child of the Settlor who shall leave issue then living. Each share for a living child of the Settlor shall be distributed to such child. Each share for a deceased child who shall leave issue then living shall be distributed per stirpes to such issue. Trust Agreement of RUTH E. KNUDSEN Page 5 ARTICLE I~ Trustee Succession, Trustee's Fees and Other Matters. The provisions for naming the Trustee, Trustee succession, Trustee's fees and other matters are set forth below: (1) Naming Corporate Successor or Substitute Trustee. Except as otherwise provided herein, if PNC BANK, N.A. or any successor as herein defined should fail to qualify as corporate Trustee hereunder, or for any reason should cease to act in such capacity, the successor or substitute corporate Trustee shall be some other bank or trust company qualified to do business in the State of the Settlor's domicile at the time of the Settlor's death, which successor or substitute shall be designated in a written instrument filed with the court having jurisdiction over this Trust and signed by a majority of the adult beneficiaries of this Trust, or if they fail to act, by the court having jurisdiction over this Trust. (2) Naming Individual Successor or Substitute Trustee. If the individual Trustee should fail to qualify as Trustee hereunder, or for any reason should cease to act in such capacity, the successor or substitute Trustee who shall also serve without bond shall be KARENA. KNUDSEN. (3) Fee Schedule for Corporate Trustee. For its services as Trustee, the corporate Tnistee shall receive an amount determined by its Standard Fee Schedule in effect and applicable at the time of the performance of such services. If no such schedule shall be in effect at that time, it shall be entitled to reasonable compensation for the services rendered. (4) Fee Schedule for Individual Trustee. For its services as Trustee, the individual Trustee shall receive reasonable compensation for the services rendered and reimbursement for reasonable expenses. (5) Trustee Voting Rights. If there is more than one Trustee serving, then the vote of the Trustees for any action hereunder must be by unanimous vote of the Trustees. (6) Change in Corporate Fiduciary. Any corporate successor to the trust business of the corporate fiduciary designated herein or at any time acting hereunder shall succeed to the capacity of its predecessor without conveyance or transfer. (7) Limitations on Trustees. No person who at any time is acting as Trustee hereunder shall have any power or obligation to participate in any discretionary authority which the Settlor has given to the Trustee to pay principal or income to such person, or for his or her benefit or in relief of his or her legal obligations; provided, however, if an individual trustee (who is also a beneficiary) is the sole trustee or at any time is acting as the sole trustee, and such trustee has discretion to invade principal for himself or herself and such discretionary authority is limited by an ascertainable standard, then such trustee may invade principal (if limited by such standard) for himself or herself but not in relief of his or her legal obligations. Trust Agreement of RUTH E. [QJL7DSEN Page 6 (8) Corporate Trustee Resignation. PNC Bank, N.A., or any successor corporate Trustee, shall have the ability to resign as corporate trustee without court approval or prior consent. ARTICLE X Definition of Trustee. Whenever the word "Trustee" or any modifying or substituted pronoun therefor is used in this Trust, such words and respective pronouns shall include both the singular and the plural, the masculine, feminine and neuter gender thereof, and shall apply equally to the Trustee named herein and to any successor or substitute Trustee acting hereunder, and such successor or substitute Trustee shall have all the rights, powers and duties, authority and responsibility conferred upon the Trustee originally named herein. ARTICLE XI Powers for Trustee. The Trustee is authorized in its fiduciary discretion (which shall be subject to the standard of reasonableness and good faith to all beneficiaries) with respect to any property, real or personal, at any time held under any provision of this Trust Agreement and without authorization by any court and in addition to any other rights, powers, authority and privileges granted by any other provision of this Trust Agreement or by statute or general rules of law: (1) To retain in the form received any property or undivided interests in property donated to, or otherwise acquired as a part of the Trust Estate, including residential property and shares of the Trustee's own stock, regardless of any lack of diversification, risk or nonproductivity, as long as it deems advisable, and to exchange any such security or property for other securities or properties and to retain such items received in exchange, although such property represents a large percentage of the total property of the Trust Estate or even the entirety thereof. (2} To invest and reinvest all or any part of the Trust Estate in any property and undivided interests in property, wherever located, including bonds, debentures, notes, secured or unsecured, stocks of corporations regardless of class, interests in limited partnerships, limited liability companies or similar entities, real estate or any interest in real estate whether or not productive at the time of investment, interests in trusts, investment trusts, whether of the open andlor closed fund types, and participation in common, collective or pooled trust funds of the Trustee, insurance contracts on the life of any beneficiary or annuity contracts for any beneficiary, without being limited by any statute or rule of law concerning investments by fiduciaries. (3) To sell or dispose of or grant options to purchase any property, real or personal, constituting a part of the Trust Estate, for cash or upon credit, to exchange any property of the Trust Estate for other property, at such times and upon such terms and conditions as it may deem best, and no person dealing with it shall be bound to see to the application of any monies paid. Trust Agrmttcnt of RIJTf{ E. KN[IDSEN Page 7 (4) To hold any securities or other property in its own name as Trustee, in its own name, in the name of a nominee (with or without disclosure of any fiduciary relationship) or in bearer form. (5) To keep, at any time and from time to time, all or any portion of the Trust Estate in cash and uninvested for such period or periods of time as it may deem advisable, without liability for any loss in income by reason thereof. (6) To sell or exercise stock subscription or conversion rights. (7) To refrain from voting or to vote shares of stock which are a part of the Trust Estate at shareholders' meetings in person or by special, limited, or general proxy and in general to exercise all the rights, powers and privileges of an owner in respect to any securities constituting a part of the Trust Estate. (8) To participate in any plan of reorganization or consolidation or merger involving any company or companies whose stock or other securities shall be part of the Trust Estate, and to deposit such stock or other securities under any plan of reorganization or with any protective conunittee and to delegate to such committee discretionary power with relation thereto, to pay a proportionate part of the expenses of such committee and any assessments levied under any such plan, to accept and retain new securities received by the Trustee pursuant to any such plan, to exercise all conversion, subscription, voting and other rights, of whatsoever nature pertaining to such property, and to pay any amount or amounts of money as it may deem advisable in connection therewith. (9) To borrow money and to encumber, mortgage or pledge any asset of the Trust Estate for a term within or extending beyond the term of the trust, in connection with the exercise of any power vested in the Trustee. (10) To enter for any purpose into a lease as lessor or lessee with or without option to purchase or renew for a term within or extending beyond the term of the trust. (11) To subdivide, develop, or dedicate real property to public use or to make or obtain the vacation of plats and adjust boundaries, to adjust differences in valuation on exchange or partition by giving or receiving consideration, and to dedicate easements to public use without consideration. (12) To make ordinary or extraordinary repairs or alterations in buildings or other structures, to demolish any improvements, to raze existing or erect new party walls or buildings. (13) To continue and operate any business owned by the Settlor at the Settlor's death and to do any and all things deemed needful or appropriate by the Trustee, including the power to incorporate the business and to put additional capital into the business, for such time as it shall deem advisable, without liability for loss resulting from the continuance or operation of the Trust Agrcemcnt of RUTH E. KNUDSEN Page 8 business except for its own negligence; and to close out, liquidate or sell the business at such time and upon such terms as it shall deem best. (14) To collect, receive, and receipt for rents, issues, profits, and income of the Trust Estate. (15) To insure the assets of the Trust Estate against damage or loss and the Trustee against liability with respect to third persons. (16) In buying and selling assets, in lending and borrowing money, and in all other transactions, irrespective of the occupancy by the same person of dual positions, to deal with itself in its separate, or any fiduciary capacity. (17) To compromise, adjust, arbitrate, sue on or defend, abandon, or otherwise deal with and settle claims in favor of or against the Trust Estate as the Trustee shall deem best. (18) To employ and compensate agents, accountants, investment advisers, brokers, attorneys-in-fact, attorneys-at-law, tax specialists, realtors, and other assistants and advisors deemed by the Trustee needful for the proper administration of the Trust Estate, and to do so without liability for any neglect, omission, misconduct, or default of any such agent or professional representative provided such person was selected and retained with reasonable care. (19) To determine what shall be fairly and equitably charged or credited to income and what to principal. (20) To hold and retain the principal of the Trust Estate undivided until actual division shall become necessary in order to make distributions; to hold, manage, invest, and account for the several shares or parts thereof by appropriate entries on the Trustee's books of account; and to allocate to each share or part of share its proportionate part of all receipts and expenses; provided, however, the carrying of several trusts as one shall not defer the vesting in title or in possession of any share or part of share thereof. (21) To make payment in cash or in kind, or partly in cash and partly in kind upon any division or distribution of the Trust Estate (including the satisfaction of any pecuniary distribution) without regard to the income tax basis of any specific property allocated to any beneficiary and to value and appraise any asset and to distribute such asset in kind at its appraised value; and when dividing fractional interests in property among several beneficiaries to allocate entire interests in some property to one beneficiary and entire interests in other property to another beneficiary or beneficiaries. (22) In general, to exercise all powers in the management of the Trust Estate which any individual could exercise in his or her own right, upon such terms and conditions as it may reasonably deem best, and to do all acts which it may deem reasonably necessary or proper to carry out the purposes of this Trust Agreement. trust Agreement of RUTH E. KNUDSEN Page 9 (23) To purchase property, real or personal, from the Settlor's general estate upon such terms and conditions as to price and terms of payment as the Settlor's executors or administrators and the Trustee shall agree, to hold the property so purchased as a part of the Trust Estate although it may not qualify as an authorized trust investment except for this provision, and to dispose of such property as and when the Trustee shall deem advisable. The fact that the Settlor's executors or administrators and the Trustee are the same shall in no way affect the validity of this provision. (24) To lend funds to the Settlor's general estate upon such terms and conditions as to interest rates, maturities, and security as the Settlor's executors or administrators and the Trustee shall agree, the fact that they maybe the same in no way affecting the validity of this provision. (25) To receive property bequeathed, devised or donated to the Trustee by the Settlor or any other person; to receive the proceeds of any insurance policy which names the Trustee as beneficiary; to execute all necessary receipts and releases to Executors, donors, insurance companies and other parties adding property to the Trust Estate. (26) To combine assets of two or more trusts if the provisions and terms of each trust are substantially identical, and to administer them as a single trust, if the Trustee reasonably determines that the administration as a single trust is consistent with the Settlor's intent, and facilitates the trust's administration without defeating or impairing the interests of the beneficiaries. (27) To divide any trust into separate shares or separate trusts or to create separate trusts if the Trustee reasonably deems it appropriate and the division or creation is consistent with the Settlor's intent, and facilitates the trust's administration without defeating or impairing the interests of the beneficiaries. (28) To divide property in any trust being held hereunder with an inclusion ratio, as defined in section 2642(a)(1) of the Internal Revenue Code of 1986, as from time to time amended or under similar future legislation, of neither one nor zero into two separate trusts representing two fractional shares of the property being divided, one to have an inclusion ratio of one and the other to have an inclusion ratio of zero, to create trusts to receive property with an inclusion ratio of either one or zero and if this cannot be done to refuse to accept property which does not have a matching inclusion ratio to the receiving trust's ratio, all as the Trustee in its sole discretion deems best. (29) If the Trustee shall act as the Executor of the Settlor's estate, to elect to allocate any portion or all the Settlor's generation-skipping transfer exemption provided for in Code section 2631 or under similar future legislation, in effect at the time of the Settlor's death, to any portion or all of any other trusts or bequests in the Settlor's Will or any other transfer which the Settlor is the transferror for purposes of the generation-skipping tax. Generally, the Settlor anticipates that the Settlor's Executor will elect to allocate this exemption first to direct skips as defined in Code section 2612, then to the ICNUDSEN Family Trust, unless it would be Trust Agreemrnt of RUTH E. KN(JDSEN Page to inadvisable based on all the circumstances at the time of making the allocation; and to make the special election under section 2652(a)(3) of the Code to the extent the Settlor's Executor deems in the best interest of the Settlor's estate. (30) Concerning Self-Dealing, no rule of law against self-dealing, divided loyalty, or conflict of interest shall be applied to render any transaction effected by the fiduciaries void, voidable, or otherwise subject to attack solely for violation of such rule, nor shall the fiduciaries incur any liability, nor shall any fiduciary commissions for acting hereunder be reduced, solely for violation of such rule. Any transaction which involves self-dealing, divided loyalty, or conflict of interest by the fiduciaries shall be judged by the rules of law which would apply to the same transaction at arm's length between strangers free of any element ofself-dealing, divided loyalty, or conflict of interest. Thus, by way of illustration and not of limitation, all fiduciaries are authorized, without giving any notice required by statute, to: (a} Employ and compensate any fiduciary or any affiliate as broker, agent, or professional advisor for any purpose. (b) Borrow from the commercial department of any corporate fiduciary or any affiliate at current interest rates. (c} Buy, retain and sell any debt or equity security issued or underwritten by any corporate fiduciary or any affiliate and any debt security secured, supported, and/or otherwise enhanced by a letter of credit issued by any corporate fiduciary or any affiliate. (d) Buy, retain, and sell any security of any investment company or trust registered under the Investment Company Act of 1940 to which any corporate fiduciary or any affiliate renders services for compensation. (e) Buy property from or sell property to any beneficiary or fiduciary acting hereunder or otherwise on arm's length terms. An "affiliate" means any entity which owns, directly or indirectly, an interest in any corporate fiduciary, any entity in which any corporate fiduciary owns an interest, directly or indirectly, and any entity in common control with any corporate fiduciary. ARTICLE XII Marital Deduction Savings Clause for The CLARENCE V. KN~DSENShare. It is expressly provided that the grant of rights, powers, privileges and authority to the Trustee in connection with the imposition of duties upon the Trustee by any provision of this Trust Agreement or by any statute relating thereto shall not be effective if and to the extent that the same, if effective, would disqualify the marital deduction as established in the CLARENCE Y. KNUDSENShare hereof. It is expressly provided that the Trustee shall not in the exercise of its discretion make any determination inconsistent with the foregoing intention. TtuTt Agreement of RL11'H E. KNCiDSEN Page I l ARTICLE XIII Provision for Trustee to Act as Trustee for Beneficiary Under Age Twenty-Five. If any share hereunder becomes distributable to a beneficiary who has not attained the age of Twenty-five (25), such share shall immediately vest in the beneficiary, but notwithstanding the provisions herein, the Trustee shall retain possession of the share in trust for the beneficiary until the beneficiary attains the age of Twenty-five (25), using so much of the net income and principal of the share as the Trustee deems necessary to provide for the medical care, education, support and maintenance in reasonable comfort of the beneficiary, taking into consideration to the extent the Trustee deems advisable any other income or resources of the beneficiary or his or her parents known to the Trustee. Any income not so paid or applied shall be accumulated and added to principal. The beneficiary's share shall be paid over and distributed to the beneficiary upon attaining age Twenty-five (25), or if he or she shall sooner die, to his or her executors or administrators. The Trustee shall have with respect to each share so retained all the powers and discretions it had with respect to the trusts created herein generally. ARTICLE XIV Trustee's Discretion in Making Payments to a Person Under Age Twenty-Five, Incompetent, or Incapacitated Person. In case the income or principal payment under any trust created hereunder or any share thereof shall become payable to a person under the age of Twenty-five (25), or to a person under legal disability, or to a person not adjudicated incompetent, but who, by reason of illness or mental or physical disability, is, in the opinion of the Trustee unable properly to administer such amounts, then such amounts shall be paid out by the Trustee in such of the following ways as the Trustee deems best: (1) directly to the beneficiary; (2) to the legally appointed guardian of the beneficiary; (3) to some relative or friend for the medical care, education, support and maintenance in reasonable comfort of the beneficiary; (4) by the Trustee using such amounts directly for the beneficiary's care, support and education; (5) to a custodian for the beneficiary under the Uniform Gifts or Transfers to Minors Act. ARTICLE XV Power of Trustee to Resign During Settlor's Lifetime. The Trustee may resign this trusteeship during the Settlor's lifetime by giving the Settlor Thirty (30) days notice in writing delivered to the Settlor in person or mailed to the Settlor's last known address, the resignation to become effective as hereinafter provided. Upon receipt of such notice, the Settlor shall appoint a successor Trustee which shall be a bank or trust company qualified to do business in the state of the Settlor's domicile. Upon the failure of the Settlor to appoint a successor Trustee who accepts the trust within Thirty (30) days from the time notice was delivered in person or mailed to the Settlor, the Trustee may resign to the court having jurisdiction over this trust, which court may, if it deems advisable, accept the resignation and appoint a successor Trustee which shall be a bank or trust company qualified to do business in the state of the Settlor's domicile. Upon the appointment of and acceptance by the successor Trustee, the original Trustee shall pay over, Tnut Agrccmcnt of RUTH E. IINUDSEN Page 12 deliver, assign, transfer or convey to such successor Trustee the Trust Estate and make a full and proper accounting to the Settlor, whereupon its resignation shall become effective. The substitute or successor Trustee upon acceptance of this trust and the Trust Estate shall succeed to and have all the rights, powers and duties, authority and responsibility conferred upon the Trustee originally named herein. ARTICLE XVI Settlor During Lifetime to Designate Substitute or Successor Trustee. The Settlor during the Settlor's lifetime may name a substitute or successor Trustee which shall be a bank or trust company qualified to do business in the Settlor's domicile by delivery to the Trustee herein a notice naming the successor or substitute Trustee and indicating an intent to replace the Trustee named herein. Upon receipt of such notice the Trustee named herein shall pay over, deliver, assign, transfer or convey to such substitute or successor Trustee (which accepts the appointment as trustee), the Trust Estate and make a full and proper accounting to the Settlor, whereupon the Trustee named herein shall be discharged and have no further responsibility under this Trust Agreement. Upon the failure of the Trustee to make such conveyance the Settlor may apply to the court having jurisdiction of this trust and such court may compel the conveyance by the Trustee. The substitute or successor Trustee upon acceptance of this trust and the Trust Estate shall succeed to and possess all the rights, powers and duties, authority and responsibility conferred upon the Trustee originally named herein. ARTICLE XVII Settlor's Husband, If No Longer a Resident of Trustee's Domicile, to Designate Substitute or Successor Trustee. After the Settlor's death, if the Settlor's husband is not a resident of the state in which a trust administration office of the Trustee is located, the Settlor's husband may name a substitute or successor Trustee which shall be a bank or trust company qualified to do business in the Settlor's husband's domicile by delivering to the Trustee herein a notice naming the successor or substitute Trustee and indicating an intent to replace the Trustee. Upon receipt of such notice the Trustee shall pay over, deliver, assign, transfer or convey to such substitute or successor Trustee (which accepts the appointment as trustee), the Trust Estate and make a full and proper accounting to the Settlor's husband and the other beneficiaries under this Trust Agreement, whereupon the Trustee named herein shall be discharged and have no further responsibility under this Trust Agreement. Upon the failure of the Trustee to make the conveyance the Settlor's husband may apply to the court having jurisdiction of this trust and such court may compel the conveyance by the Trustee. The substitute or successor Trustee upon acceptance of this trust and the Trust Estate shall succeed to and have all the rights, powers and duties, authority and responsibility conferred upon the Trustee originally named herein. ARTICLE XVIII Definition of Children. For purposes of this Trust, "children" means the lawful blood descendants in the first degree of the parent designated; and "issue" and "descendants" mean the Trust Agreement of AUTf- E. KNUDSEN Page 13 lawful blood descendants in any degree of the ancestor designated; provided, however, that if a person has been adopted, that person shall be considered a child of such adopting pazent and such adopted child and his or her issue shall be considered as issue of the adopting parent or pazents and of anyone who is by blood or adoption an ancestor of the adopting parent or either of the adopting parents. The terms "child," "children," "issue," "descendant" and "descendants" or those terms preceded by the terms "living" or "then living" shall include the lawful blood descendant in the first degree of the parent designated even though such descendant is born after the death of such parent. The term "per stirpes" as used herein has the identical meaning as the term "taking by representation" as defined in the Pennsylvania Probate Code. ARTICLE XIX Definition of Words Relating to the Internal Revenue Code. As used herein, the words "gross estate," "adjusted gross estate," "taxable estate," "unified credit" ("unified credit" shall also mean "applicable credit amount"), "state death tax credit," "maximum marital deduction," "marital deduction," "pass," and any other word or words which from the context in which it or they are used refer to the Internal Revenue Code shall have the same meaning as such words have for the purposes of applying the Internal Revenue Code to the Settlor's estate. For purposes of this Trust Agreement, the Settlor's "available generation-skipping transfer exemption" means the generation-skipping transfer tax exemption provided in section 2631 of the Internal Revenue Code of 1986, as amended, in effect at the time of the Settlor's death reduced by the aggregate of (1) the amount, if any, of the Settlor's exemption allocated to lifetime transfers of the Settlor by the Settlor or by operation of law, and (2) the amount, if any, the Settlor has specifically allocated to other property of the Settlor's gross estate for federal estate tax purposes. For purposes of this Trust Agreement if at the time of the Settlor's death the Settlor has made gifts with an inclusion ratio of greater than zero for which the gift tax return due date has not expired (including extensions) and the Settlor has not yet filed a return, it shall be deemed that the Settlor's generation-skipping transfer exemption has been allocated to these transfers to the extent necessary (and possible) to exempt the transfer(s) from generation- skipping transfer tax. Reference to sections of the Internal Revenue Code and to the Internal Revenue Code shall refer to the Internal Revenue Code amended to the date of the Settlor's death. ARTICLE XX Simultaneous Death Provision Presuming Beneficiary Predeceases Settlor. If any beneficiary and the Settlor should die under such circumstances as would make it doubtful whether the beneficiary or the Settlor died first, then it shall be conclusively presumed for the purposes of this Trust that the beneficiary predeceased the Settlor. Trust Agrcemrnt of RUTH E. KNLiDSEN Page 14 ARTICLE XXI Payment of Funeral Expenses and Expenses of Last Illness of Income Beneficiary. On the death of any person entitled to income or support from any Trust hereunder, the Trustee is authorized to pay the funeral expenses and the expenses of the last illness of such person from the principal of the Trust from which such person was entitled to income or support. ARTICLE XXII State Law to Govern. This Trust Agreement and the trusts created hereby shall be construed, regulated and governed by and in accordance with the laws of the Commonwealth of Pennsylvania. ARTICLE XXIII Spendthrift Provision. Except as otherwise provided herein, all payments of principal and income payable, or to become payable, to the beneficiary of any trust created hereunder shall not be subject to anticipation, assignment, pledge, sale or transfer in any manner, nor shall any beneficiary have the power to anticipate or encumber such interest, nor shall such interest, while in the possession of the fiduciary hereunder, be liable for, or subject to, the debts, contracts, obligations, liabilities or torts of any beneficiary. ARTICLE XXIV Perpetuities Savings Clause. Notwithstanding anything herein to the contrary, the trusts created hereunder shall terminate not later than Twenty-one (21) years after the death of the last survivor of the Settlor's husband, the Settlor's issue, the trust beneficiaries hereunder, their issue, and any person or persons or their issue used to define the trust beneficiaries under this trust, living on the date of the 5ettlor's death (or when this trust becomes irrevocable, if sooner), when the Trustee shall distribute each remaining trust hereunder to the beneficiary or beneficiaries of the current income thereof, and if there is more than one beneficiary, in the proportion in which they are beneficiaries or if no proportion is designated in equal shares to such beneficiaries. Trust Agreement of RUTH E. IQJUDSEN Page I S Testimonium Clause. IN WITNESS WHEREOF, the Settlor and the Trustee have executed this Trust Agreement. WITNESSES: ~ u-- !~-~ UTH E. KNUDSEN SETTLOR PNC BANK, N.A. r~. ~~ B V ~1~~~ ~ v / l~~ J --~~{{ i Its ~. _ cl, ~~- P~ ~ ~ ~ CORPORATE T STEE CC DAVID C. KNUDSEN INDIVIDUAL TRUSTEE Trust AgrecrtKnt of RUTH E. [QJUDSEN Pagc I6 COMMONWEALTH OF PENNSYLVANIA COUNTY OF DAUPHIN ACKNOWLEDGMENT I, a Notary Public, within and for the Commonwealth and County aforesaid, do hereby certify that the foregoing instrument of writing was this day produced to me in the above Commonwealth and County by RUTHE. KNUDSEN, Settlor, party hereto and was executed and acknowledged by the Settlor to be the Settlor's free act and voluntary deed. WITNESS my signature thisday of ~l~larrch, 2001. i u..~ ,. _ Signature of Notary Public Connie L Hardy Typed Name of Notary Public Notary Public for: Pennsylvania My Commission expires: Notarial seal Connie t.. Hardy, Notary Public Harrisburg, Dauphin County My Commission Expires Feb. 10, 2003 Trust Agrcertxnt of RUTH E. KNUDSEN Page 17 COMMONWEALTH OF PENNSYLVANIA COUNTY OF DAUPHIN ACKNOWLEDGMENT I, a Notary Public, within and for the Commonwealth and County aforesaid do hereby certify that the foregoing instrument of writing was this day produced to me in the above Commonwealth and County by DAVID C. KNUDSEN, Individual Trustee, party hereto and was executed and acknowledged by the Individual Trustee to be the free and voluntary act and deed of the Individual Trustee. WITNESS my signature this ~~day of March, 2001. Signature of Notary Public Connie L Hardy Typed Name of Notary Public Notary Public for: Pennsylvania My commission expires: Notarial seat Connie L. Hardy, Notary Public Harrisburg, Dauphin County My Commission Expires Feb.10, 2003 Trust Agreement of RUTH E. KNiIDSEN Page 19 COMMONWEALTH OF PENNSYLVANIA COUNTY OF DAUPHIN ACKNOWLEDGMENT I, a Notary Public, within and for the Commonwealth and County aforesaid, do hereby certify that the foregoing instrument of writing was this day produced to me in the above Commonwealth and County and was executed and acknowledged by ~ ~~ ro /e ~ . Ya~'1 as ZYust officer of PNC BANK, N.A., to be the free and voluntary act and deed of the corporate Trustee. WITNESS my signature this ~ day of March, 2001. Signature o~Notary Public Denise G~ llenberger Typed Name of Notary Public Notary Public for: Pennsylvania My Commission expires: ..~...~. NOTARIAL SEAL OENISE C. SULLENB~tGER, Notary Public Hampden Twp., Cumb~tand Counttyy My Commission Expires Nov. 22, 204 Trust Agrcemrnt of RUTH E. KNUDSEN Page I S SCHEDULE "A" List of Assets MONEY MARKET FUNDS 342,851 Blackrock Money Market -Principal -Institutional Class 4,456 Blackrock Money market -Income -Institutional Blass STOCKS 1,200 Honeywell Intl. Inc. 217 Viacom, Inc. Class B 1,800 DuPont E I De Nemours & Co. 300 Conectiv, Inc. 25 Conective Inc. Class A 400 First Energy Corp. 600 PPL Corporation 646 Public Service Enterprise Group, Inc. 460 UGI Holding Corp. New BONDS 1,378 Delaware Group American Government Bond Fund 50,000 USA Treasury Notes 05.250% Due 05/15/2004 Trust Aga'eerncnt of RUTH E. IQJIJDSEN Page 20 OTHER 38,035 Equity Focus Trs. Unit Uncommon Values RT 1999 RUTH E. KNUDS~N SETTLOR PNC BANK, N.A. y '~'L.C its ~ - ~~ ~ P~ ~ ~ ~, CORPORATE TR TE DAVID C. KN DSEN INDIVIDUAL TRUSTEE Trust Agreement of RiITH E. IQJUDSEN Page 21 ~-a C7 c o - e,:a , -.-~ ~ . -~ ~~ Z ~ ~ _, - ~-- ~~- - ~= ~ ~ rte,--\ i~) = Fi _V ~ ~ ;-, ~ ~ ~ IN THE ORPHANS' COURT DIVISION OF THE ~ --- COURT OF COMMON PLEAS OF CUMBERLAND COUNTY ~" COMMONWEALTH OF PENNSYLVANIA TRUST UNDER AGREEMENT OF RUTH E. KNUDSEN, SETTLOR, DATED 03/06/2001 No. 2000-00832 STATEMENT OF PROPOSED DISTRIBUTION PURSUANT TO ORPHANS' COURT RULE 6.9 PNC Bank, National Association, and David C. Knudsen, Trustees, respectfully request approval of the distributive shares of principal and income of the Trust Under Agreement of Ruth E. Knudsen, Settlor, dated 03/06/2001, by the stated Trustees, as follows: Principal Balance on Hand: To: Karen A. Knudsen $483,055.09 161,018.36 To: Sovereign Bank, a national federal savings 161,018.36 association, Trustee, Clarence V. Knudsen and Ruth E. Knudsen Supplemental Needs Trust for the benefit of Paul R. Knudsen To: David C. Knudsen 161,018.37 TOTAL PRINCIPAL $483,055.09 Income balance on hand: $8,945.44 To: Karen A. Knudsen 2,981.81 To: Sovereign Bank, a national federal savings association, Trustee, Clarence V. Knudsen and Ruth E. Knudsen Supplemental Needs Trust for the benefit of Paul R. Knudsen 2,981.81 To: David C. Knudsen 2,981.82 TOTAL INCOME $8,945.44 IN THE ORPHANS' COURT DIVISION OF THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY COMMONWEALTH OF PENNSYLVANIA Ruth E. Knudsen, Settlor, Trust Under Agreement, Dated March 6, 2001 PNC Bank, National Association, Trustee, and David C. Knudsen, Trustee, and the Accountants No. 2000-00832 NOTICE OF FILING OF FIRST & FINAL ACCOUNT Notice is hereby given to beneficiaries, heirs, or next of kin, of the filing of the First & Final Account and this Statement of Proposed Distribution pursuant to Orphans' Court Rule 6.3, as follows: PNC Bank National Assocation Debra A. Smith, CTFA Trust Advisor -Assistant Vice President PNC Wealth Management 4242 Carlisle Pike Camp Hill, PA 17011 David C. Knudsen, 1302 Reading Blvd. Wyomissing, PA 19610 Ms. Charlotte Knudsen 18 S. York Road Dillsburg, PA 17019 c =o a ~'7 ' _ t7 Karen A. Knudsen 150 Spring Lane Philadelphia, PA 19`1~$~~ _~~ ~_ .__, Ms. Dawn M. Lusk 131 Campground Road Dillsburg, PA 17019 Ms. Claudia A. Braymer 28 Royal Oak Drive Clifton Park, NY 12065 ~~ ~w C.' f rJ w ._, Ms. Paula K. Knudsen Burk`' 18 South York Road Dillsburg, PA 17019 PNC Bank, National Association Trustee, and David C. Knudsen, Trustee, of the Ruth E. Knudsen Trust Under Agreement, dated March 6, 2001, have filed their First & Final Account for audit and confirmation on July 18, 2008. Any objections to the First & Final Account and the Statement of Proposed Distribution must be filed, in writing, with the Clerk of the Orphans' Court at the office of the Register of Wills in and for Cumberland County, Cumberland County Court, S. Hanover Street, Carlisle, Pennsylvania, by 9:00 a.m., on Tuesday, August 26, 2008, which is the date for confirmation of this Account. The Audit for this First & Final Account will be in a courtroom of the Court of Common Pleas of Cumberland County, as scheduled by the Clerk of the Orphans' Court. BOSWELL, TINTNER & PICCOLA By: Jeffrey R. Boswell, Esquire Supreme Court #25444 315 N. Front Street/PO Box 741 Harrisburg, PA 17108-0741 (717) 236-9377 Attorneys for Trust DATE: July 18, 2008 IN THE ORPHANS' COURT DIVISION OF THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY COMMONWEALTH OF PENNSYLVANIA Ruth E. Knudsen, Settlor, Trust Under Agreement, Dated March 6, 2001 PNC Bank, National Association, Trustee, and David C. Knudsen, Trustee, and the Accountants No. 2000-00832 CERTIFICATE OF SERVICE I, Jeffrey R. Boswell, Esquire, do hereby certify that I have served the Notice of First & Final Account, by first-class mail, on the following: PNC Bank National Assocation Debra A. Smith, CTFA Trust Advisor -Assistant Vice President PNC Wealth Management 4242 Carlisle Pike Camp Hill, PA 17011 Ms. Charlotte Knudsen 18 S. York Road Dillsburg, PA 17019 David C. Knudsen, 1302 Reading Blvd. Wyomissing, PA 19610 Ms. Dawn M. Lusk 131 Campground Road Dillsburg, PA 17019 Ms. Claudia A. Braymer 28 Royal Oak Drive Clifton Park, NY 12065 Karen A. Knudsen 150 Spring Lane Philadelphia, PA 19128 Ms. Paula K. Knudsen Burke 18 South York Road Dillsburg, PA 17019 BOSWELL, TINTNER & PICCOLA By ~~-_ Jeffrey R. Boswell DATE: July 18, 2008 COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNYSLVANIA ORPHANS' COURT DIVISION Docket No: 21-2000-0832 IN RE: FIRST AND FINAL ACCOUNT OF PNC BANK, NATIONAL ASSOCIATION, AND DAVID C. KNUDSEN, TRUSTEES FOR THE ESTATE OF FOR THE TRUST ESTABLISHED UNDER THE AGREEMENT OF RUTH E. KNUDSEN, SETTLOR DATED 03/06/01 AND PETITION FOR ADJUDICATION/STATEMENT OF PROPOSED DISTRIBUTION ORDER OF COURT AN NOW, this 26th day of August, 2008, the herein account is confirmed absolutely and distribution is decreed in accordance with the proposed schedule of distribution herewith. u _' ~~, c~:`„ c-, r"~ "~-~ ~~ uv ~ru~ ~nrTn-r BUREAU OF INDIVIDUAL TAXES INHERITANCE TAX DIVISION PO BOX 280601 HARRISBURG PA 17128-0601 COMMONWEALTH OF PENNSYLVANIA DEPARTMENT OF REVENUE NOTICE OF INHERITANCE TAX APPRAISEMENT, ALLOWANCE OR DISALLOWANCE OF DEDUCTIONS AND ASSESSMENT OF TAX J ~ ~~~ JEFFREY R BOSWELL '~~~~ '~ BOSWELL ETAL PO BOX 741 HBG PA 17108 REY-1547 EX AFP (06-05) DATE 10-13-2008 ESTATE OF KNUDSEN RUTH E DATE OF DEATH 10-26-2007 FILE NUMBER 21 00-0832 COUNTY CUMBERLAND ACN 101 APPEAL DATE: 12-12-2008 (See reverse side under Objections) Amount Remitted MAKE CHECK PAYABLE AND REMIT PAYMENT T0: REGISTER OF WILLS CUMBERLAND CO COURT HOUSE CARLISLE, PA 17013 CUT ALONG THIS LINE ---) RETAIN LOWER PORTION FOR YOUR RECORDS E'-- REV-1547 EX AFP C03-05) NOTICE OF INHERITANCE TAX APPRAISEMENT, ALLOWANCE OR DISALLOWANCE OF DEDUCTIONS AND ASSESSMENT OF TAX ESTATE OF KNUDSEN RUTH E FILE N0. 21 00-0832 ACN 101 DATE 10-13-2008 TAX RETURN WAS: C X) ACCEPTED AS FILED ( ) CHANGED RESERVATION CONCERNING FUTURE INTEREST - SEE REVERSE APPRAISED VALUE OF RETURN BASED ON: ORIGINAL RETURN 1. Real Estate (Schedule A) (1) .00 NOTE: To insure proper 2. Stocks and Bonds (Schedule B) (2) .00 credit to your account, 3. Closely Held Stock/Partnership Interest (Schedule C) C3) .00 submit the upper portion of this form with your 4. Mortgages/Notes Receivable (Schedule D) C4) .00 tax payment. 5. Cash/Bank Deposits/Misc. Personal Property (Schedule E) (5) 3 2,4 8 6.00 6. Jointly Owned Property (Schedule F) (6) .00 7. Transfers (Schedule G) (7) 573,953.17 8. Total Assets ~B) 606,439.17 APPROVE D DEDUCTIONS AND EXEMPTIONS: 18,925.19 9. Funeral Expenses/Adm. Costs/Misc. Expenses (Schedule H) C9) 10. Debts/Mortgage Liabilities/Liens (Schedule I) C10) 839.00 11. Total Deductions C11) 19.764.19 12. Net Value of Tax Return (12) 586,674.98 13. Charitable/Governmental Bequests; Non-elected 9113 Trusts (Schedule J) (13) .00 14. Net Value of Estate Subject to Tax (14) 586, 674.98 NOTE: If an assessment was issued previously, lines 14, 15 and/or 16, 17, 18 and 19 will reflect figures that include the total of ALL returns assessed to date. ASSESSIMENT OF TAX: 15. Amount of Line 14 at Spousal rate C15) • 00 X 00 = . 00 16. Amount of Line 14 taxable at Lineal/Class A rate C16) 586,674.98 X 045 = 26,400.37 17. Amount of Line 14 at Sibling rate C17) • 00 X 12 = . 00 18. Amount of Line 14 taxable at Collateral/Class B rate (18) •00 X 15 _ .00 19. Principal Tax Due Tex racnrTC. c19)= 26,400.37 PAYMENT DATE RECE PT NUMBER DISCO NT (+) INTEREST/PEN PAID (-) AMOUNT PAID 07-18-2008 CD010034 .00 26,400.37 TOTAL TAX CREDIT 26,400.37 BALANCE OF TAX DUE .00 INTEREST AND PEN. .00 TOTAL DUE .00 ~ IF PAID AFTER DATE INDICATED, SEE REVERSE C IF TOTAL DUE IS LESS THAN 81, NO PAYMENT IS REQUIRED. FOR CALCULATION OF ADDITIONAL INTEREST. IF TOTAL DUE IS REFLECTED AS A "CREDIT" CCR), YOU MAY BE DUE e aFFUNn_ sEE REVERSE SIDE OF THIS FORM FoR INSTRUCTIONS.) STATUS REPORT UNDER RULE 6.1.2 Name of Decedent: Ruth E. Knudsen Gate of Death: October 26, 2007 V'dill No. Social Security No. 508-10-8673 Register File No. 2000-00832 Pursuant to Rule 6.12 of the Supreme Court Orphans' Court Rules, I report the following with respect to completion of the administration of the above-captioned estate: 1. State whether administration of the estate is complete: Yes X No _ 2. If the answer to #1 is No, state when the personal representative reasonably believes that the administration will be complete: 3. II'the answer to #1 is Yes, state the following: a. Did the personal representative file a final account with the Court`? Yes No X b. The separate Orphans' Court No. (if any) for the personal representative's account is: c. Did the personal representative state an account informally to the parties in interest? Yes _X No d. Copies of receipts, releases, joinders, and approvals of formal or information accounts may be filed with the Clerk of the Orphans' Court and may be attached to this report. - Copy of Estate Settlement Agreement, dated as of December 1l, 2008, attached. Date: December 19, 2008 Signature: ~`~~ • p~ ~°1 ~.~ ~ _ Name: Jeffre ~ . ~ oswell Es wire Address: 315 North Front Street. Harrisburg. PA ] 7101 Telephone: (717 236-9377 Capacity: Personal Representative ~~ ~, X Counsel _~ ~- ~':, .~: w i .~-, ~~ ~~ w :~~ .~ , ~' THE ESTATE OF RUTH E. KNUDSEN, DECEASED No. 2000-00832 PA No. 21-00-0832 ESTATE SETTLEMENT AGREEMENT THIS ESTATE SETTLEMENT AGREEMENT(referred to as "Agreement") is made as of the day of December, 2008, between DAVID C. KNUDSEN, Executor of the Estate of Ruth E. Knudsen (referred to as "Estate" and as "Executor"), of 1302 Reading Blvd., Wyomissing, PA, 19610 (referred to as `Beneficiary"), and, individually and collectively, KAREN A. KNUDSEN, of 150 Spring Lane, Philadelphia, PA 19128, CHARLOTTE K. I~NUDSEN, Agent under Durable Power of Attorney of Paul R. Knudsen, dated February 22, 2007, of l ~ S. Yorl: Road, Dillsburg, PA 18019-9513, and DAVID C. KNUDSEN, of 1302 Reading Blvd., Wyomissing, PA 19610, Beneficiaries under Last Will and Testament of Ruth E. Knudsen, dated March 6, 2001, (referred to as `Beneficiaries"). In accordance with their desire that the administration of the Estate of Ruth L~:. Knudsen he completed, and in consideration of the mutual covenants expressed, the stated Executor and Beneficiary, intending to be legally bound, agree, as follows: 1. Ruth E. Knudsen died on October 25; 200?_ 2. The Register of Wills of Cumberland County granted Letters Testamentary unto David C. Knudsen on November 9, 2007, filed to No. 2000-00832, PA No. 21-00-0832. Jeffrey R. Bos~~~eLl, Esquire, served as legal counsel. 3. In March, 2008, counsel prepared and arranged for the publication of the required legal advertisements in The Sentinel and the Cumberland County Reporter, which proofs of publication are attached as Exhibit "A" and "B." 4. The Beneficiaries of the Estate of Ruth E. Knudsen, acknowledge receipt of the Rule 5.6 Notice regarding notice of their beneficial interest in the estate. Counsel prepared a Certification of Notice Under Rule 5.6 (a), dated March 6, 2007, and filed same with the Register- of Wills of Cumberland County. 5. The decedent, in her Last Will and Testament, ITEM II, provided for a general bequest of personal and household effects, with a precatory memorandum, as follows: I give and bequeath all my personal and household effects of every kind including but not limited to furniture, appliances, furnishings, pictures, silverware, china, glass, books, jewelry, wearing apparel, boats, automobiles, and other vehicles, and ail policies of fire, burglary, property damage, and other insurance on or in connection with the use of this property, to my husband, CLARENCE V. KNUDSEN, if he shall survive me. If my husband shall not survive me, I give and bequeath all this property to my children surviving me, in approximately equal shares; provided, however, the issue of a deceased child surviving me shall take per stirpes the share their parent would have taken had he or she survived me. If my issue do not agree to the division of the property among themselves, my Executor shall make such division among them, the decision of my Executor to be in all respects binding upon my issue. I request that my wife, my Executor and my issue abide by any memorandum by me directing the disposition of this property or any part thereof. This request is precatory and not mandatory ... . The Executor determined thatpersonal and household effects were distributed or disposed of more than one year before decedent's death when health concerns required a change in her living arr,_ulgements to skilled nursing care. 6. Prior to the execution of his Last Will and Testament, Ruth E. Knudsen, as Settlor. created an Inter Vivos Trust as per the Trust Agreement of Ruth E. Knudsen, dated March 6, 2001 (referred to as "Trust Agreement)" with PNC Bank, N.A., and David C. Knudsen, as Trustees (collectively referred to as "Trustee"). The decedent, in her Last Will and Testament, ITEM III, provided for apour-over distribution ofher residuary estate to the Trustee of her Inter Vivos 'Crust, as follows: I give, devise and bequeath all the rest, residue and remainder oI~ my property of every kind and description (including lapsed legacies and devises), wherever situate and whether acquired before or after the execution of this Will, to PNC BANK, N..A. and DA T~ID G KNUDSEN as Trustee under that certain Trust Agreement between me as Settlor and PNC BANK, N.A, and DAVID C. KNUDSEN as Trustee executed prior to the execution of this Will on the 6`~ day of March, 2001. My Tnistee shall add the property bequeathed and devised by this Item to the principal of the above Trust and shall hold, administer and -2- distribute the property in accordance with the provisions of the Trust Agreement, including any amendments thereto made before my death. 7. Ruth E. Knudsen, the Settlor, in her Trust Agreement in Article V, provided for authorization of the Trustee's payment of Settlor's funeral expenses, estate administration expenses, taxes, and debts, as follows: After the Settlor's death, the Tnlstee, if in its discretion it deems it advisable, may pay all or any part of the Settlor's funeral expenses, legally enforceable claims against the Settlor or the Settlor's estate, reasonable expenses of administration of the Settlor's estate, any allowances by court order to those dependent upon the Settlor, any estate, inheritance, succession, death or similar taxes payable by reason of the Settlor's death, together with any interest thereon or other additions thereto, without reimbursement from the Settlor's executors or administrators, from any beneficiary of insurance upon the Settlor's life, or from any other person. All such payments, except of interest, shall be charged generally against the principal of the Trust Estate includable in the Settlor's estate for Federal estate tax purposes and any interest so paid shall be charged generally against the income thereof; provided, however, any such payments of estate, inheritance, succession, death or similar taxes (except generation- skipping transfer taxes) shall be charged against the principal constituting t/ie KNUDSEN Family Trust and any interest so paid shall be charged against the income thereof.... The Trustee may make such payments directly or may pay over the amounts thereof to the executors or administrators of the Settlor's estate. Written statements by the executors or administrators of such sums due and payable by the estate shall be sufficient evidence of their amount and propriety for the protection of the Trustee and the Trustee shall be under no duty to see to the application of any such payments.... If administrative expenses are deducted on the estate's income tax return but paid from principal, then they shall be charged against the KNUDSEN Fancily Trust. The Trustee shall have the power to charge expenses of administration against income or principal, or apportion such expenses... . 8. Ruth E. Knudsen, the Settlor, provided in her Trust Agreement in Article VII for the creation of the Clarence V. Knudsen share and the Knudsen Family Trust. The Settlor directed that the Clarence V. Knudsen share shall have a value equal to the maximum marital deduction, as finally determined according to federal estate tax law with the remaining value to be distributed to the Knudsen Family Trust, ifthe Settlor's husband, Clarence V. Knudsen, survived the Settlor. 9. Ruth E. Knudsen, the Settlor, provided in her Trust Agreement in Article VII[ concerning the administration of the Knudsen Family Trust, for payment of all income to her surviving husband, for discretionary payments of principal to her surviving husband for specified purposes, for limited withdrawal ofprincipal by her surviving husband, and for division into shares for her children upon her surviving husband's death, as follows: ~, -~- Upon or after the death of the survivor of the Settlor's husband and the Settfar, the Trustee shall divide this Tn-st as then constituted into equal separate shares so as to provide One (1) share for each then living child of the Settlor .... Each share for a living child of the Settlor shall be distributed to such child... . 10. The decedent's husband Clarence V. Knudsen, died on October 5, 2007, prior to the decedent, who died on October 26, 2007. Thus, the Executor will make final distribution of the residuary estate, the net Estate assets, in equal shares to the three children, the Beneficiaries, as detailed in this Agreement, as per the intent expressed by the decedent in his Trust Agreement. 11. Ruth E. Knudsen is survived by her three children, Karen A. Knudsen, Paul R. Knudsen, and David C. Knudsen. 12. Ruth E. Knudsen, the Settlor, provided in her Trust Agreement in Article XIV con~;;erningthis Trustee's discretion in making payments to an incompetent or incapacitated person, as fi~(lows: In case the income or principal payment under any trust created hereunder or any share thereof shall become payable ... to a person under legal disability, or to a person not adjudicated incompetent, but who, by reason of illness or mental or physical disability, is, in the opinion of the Trustee unable properly to administer such amounts, then such amounts shall be paid out by the Trustee ... as the Trustee deems best ... by the Trustee using such amounts directly for the beneficiary's care, support and education ... . I3. The Executor determined that the filing of a Form 706 U.S. Estate Tax Return was not regl.-ired because the value of gross assets did not exceed the value that would require filing. 14. The Trustee of the Trust Agreement of Clarence V. Knudsen, dated March 6, 2001, paid to the Trustee of the Trust Agreement of Ruth E. Knudsen, dated March 6, 2001, all income earned from October 5, 2007, through October 26, 2007, Ruth E. Knudsen's date of death. 15. After the decedent's death, the Trustee continued to administer in the Trust Agreement net assets that were distributed to the Beneficiaries, as noted later in this Agreement. 16. The Executor created an estate checking account at PNC Bank, N.A., Account No. XXXX8345, with total credits of $97,675.42, and total debits of $33,409.95, for a net balance as of December 1, 2008, of $64,265.47. The credits include payments from the Trustee for funeral -4- expense, estate administration expenses, and inheritance tax, generally estimated to be $41,000.00, Redemption of a Wachovia Bank certificate of deposit of $25,910.44, a New York Life insurance death benefit of $27,856.18, and various refunds. 17. The decedent's three children were at least 25 years of age at the time of Seltlor's death and, therefore, were entitled to receive equal shares of the final distribution of the net Trust principal and accumulated income. 18. The Trustee filed a First and Final Account on July 23, 2008, and, on August 26, 2008, an Order of Court was entered to Docket No.: 21-2000-0832, confirming the account absolutely and decreeing that distribution be made by the Trustee in accordance with the proposed schedule of distribution. Thereafter, the Trustee made distribution in equal shares to Karen A. Knudsen, to Sovereign Banlc, a national federal savings association, Trustee, Clarence V. Knudsen and Ruth E. Knudsen Supplemental Needs Trust for the benefit of Paul R. Knudsen, and to David C. Knudsen. The Executor declared the taxable Trust asset as an Estate asset, and he paid the appropriate inheritance tax, thereby discharging the stated trust distributees of this tax liability. 19. The Executor worked with counsel to complete the estate administration, including the payment of all debts, expenses of administration, and inheritance tax. Counsel prepared for the Executor's review and execution the Pennsylvania Inheritance Tax Return (REV-1500), ~~~hich counsel then tiled with the Register of Wills of Cumberland County on July 18, 2008, making payment to the Cumberland County Register of Wills, Agent, in the amount of $26,400.37, on account of Inheritance Tax. Thereafter, the Pennsylvania Department ofRevenue, Inheritance Tax Division, reviewed the Pennsylvania Inheritance Tax Return and issued aNotice of Inheritance Tax Appraisement, dated October 13, 2008, accepting the rehirn as filed and showing a zero balance. Thus, all inheritance tax issues are settled with the inheritance tax paid in full. 20. All funeral expenses, debts, taxes, and administrative expenses are paid or accounted for in this Agreement, and all administrative details are properly completed or will be completed as noted in this Agreement. -~- 21. The Executor filed a joint federal income tax return Form 1040 for 2007, which, due to significant itemized deductions, resulted in zero tax due and zero overpayment. The filing resulted in the receipt of an economic stimulus payment of $600.00 that was credited to the Ruth E. Knudsen Estate checking account. Michael Kunisky, CPA, prepared separate Pennsylvania individual income tax returns (PA-40) because both taxpayers died in 2007, dividing the estimated tax payment between the two tax returns. 22. The Executor filed the separate Pennsylvania income tax returns (PA040) for 2007. The PA-40 for Clarence V. Knudsen showed an overpayment of $396.00. The PA-40 for Ruth E. Knudsen showed an overpayment of $3 54. The Department of Revenue reviewed both returns and approved refunds for the overpayments as noted on the tax returns. However, the PA Department of Revenue had to apply any credits, overpayments, and refunds to Clarence V. Knudsen, the primary taxpayer. According to its regulations, estimated tax payments paid under the priulary taxpayer (Clarence) could not be applied to the spouse. Thus, the PA Department of Revenue issued a check for $1,356.00, payable to Clarence V. Knudsen, constituting both overpayments and the $606.00 tax payment as declared on Ruth E. Knudsen's PA-40 tax return. This $1,356.00 was credited in the Clarence V. Knudsen Estate checking account. To settle the PA income tax liability for Ruth E. Knudsen for 2007, the Executor agreed to pay the tax due, plus interest and penalty, a total of $664.00. 23. The Executor will pay final expenses of administration, as follows: Boswell, Tintner & Piccola: $6,161.20 PA Department of Revenue: $664.00 -6- 24. The Executor will make final distribution of the residuary estate, the net cash assets to the Contingent Beneficiaries upon execution by all parties of this Agreement, as follows: Karen A. Knudsen: $19,146.76 Charlotte K. Knudsen, Agent under Durable Power of Attorney of Paul R. Knudsen, dated February 22, 2007: $19,146.76 David C. Knudsen: $19,146.75 25. The Executor will close the PNC, N.A., Estate checking account, Account No. XXXX8345, after payment of final checks, including distributions to Beneficiaries. 26. Jeffrey R. Boswell, Esquire, as counsel, will file the final Rule 6.12 noting the completion of the Estate administration and will attach a copy of this Agreement to the Rule 6.12 Report to confirm this informal accounting made to Beneficiaries. 27. The parties, and each of them, agree to rehlrn to the Estate from his or her respectiee distribution from this Estate or from the Trust Agreement any proportionate share so the Executor can pay any expense, debt, and/or tax, received and determined by the Executor to be proper for payanent, which total amount to be returned to the Estate shall not exceed the total distribution paid to the Beneficiaries from the Executor or from the Trustee. 28. The parties, and each of them, hereby forever fully release, compromise, settle, and discharge any and all claims, demands, actions, or causes of action, legal or equitable, absolute or contingent, vested or hereafter to accrue, which any of them may have against each other and any other party hereto or against the Estate, or the agents of the estate, including the Etecutor, his accountants and attorneys, by reason of any matter, cause or things growing out of or relating to any property or assets of said estate, or growing out of or relating to any act of the Executor, his administration of the said estate, even if attributable to negligence, and agree that any period of the limitation as to actions on claims and distributions shall commence only at such time as the Executor shall have obtained actual knowledge of said claims or distributions, which period shall end two (2) years after actual discovery. -7- 29. Each party agrees that this Agreement shall be an Acknowledgment and Release as to the payment of estate debts, expenses of administration, and inheritance tax, and to the receipt of his or her respective proper distributive share of the residuary share, the net Estate assets. 30. Each party agrees to execute such additional documents and releases as the Executor may submit to him, her, or them in order to complete any administrative details and to confirm discharge of the Executor, his accountants and attorneys, from arty further liability to the parties in connection with this Estate. 31. This agreement maybe executed in multiple counterparts and, when so executed, sha] 1 be binding upon all parties, and their respective heirs, next of kin, personal representatives, and aSSIGrnS. IN WITNESS WFIEREOF, the parties have hereunto set their hands and seals the day and year first above-written. DA"f E: ! -~ ~~~ DATE: /~~ ~S i DATE: , ~ ~~. i;~ f"~,', ~' DATE: 1 -' - -' l'}" ~ / '~ ~ ~ ~ ~i Karen A. Knudsen, a Beneficiary of the Estate of Ruth E. Knudsen Charlotte K. Knudsen, Agent under Durable Power of Attorney of Paul R Knudsen, dated February 22, 2007, a Beneficiary of the Estate of Ruth E. Knudsen -8- Estate of Ruth E. Knudsen 29. Each party agrees that this Agreement shall be an Acknowledgment and Release as to the payment of estate debts, expenses of administration, and inheritance tax, and to the receipt of his or her respective proper distributive share of the residuary share, the net Estate assets. 30. Each party agrees to execute such additional documents and releases as the Executor may submit to him, her, or them in order to complete any administrative details and to confirm discharge; of the Executor, his accountants and attorneys, from any further liability to the parties in connection with this Estate. 31. This agreement maybe executed in multiple counterparts and, when so executed, shall be binding upon all parties, and their respective heirs, next of kin, personal representatives, and ass-gns. 1N WITNESS WHEREOF, the parties have hereunto set their hands and seals the day and year first above-written. `~ DATE: ~G ~~ ~ DATE:~~~ 1~' -~ C.~ DATE: Karen A. Knudsen, a Beneficiary of the Estate of Ruth E. Knudsen - ~ ~ /. Charlotte K. Knu sen, Agent under Durable Power of Attorney of Patel R. Knudsen, dated February 22, 2007, a Beneficiary of the Estate of Ruth E. Knudsen -8- Estate of Ruth E. Knudsen CO1VIl~10NWEALTH OF PENNSYLVANIA COUNTY OF I~fl v ~°N/N ss. On this, the ~_day of December, 2008, before me, the undersigned, personally appeared David C. Knudsen, who acknowledged himself to be the Executor of the Estate of Ruth E. Knudsen, Deceased, and executed the foregoing instrument for the purposes therein contained. IN WITNESS WHEREOF, I hereunto set my hand and off cial seal. NOTARY PUBLIC 3 n ,~ ~. __. ...-..__ _ .,.___~.._-,~_._.__.,._.._.__-.~Y._s _it t _. COVI~IONWEALTH OF PENNSYLVANIA J~~-I/h~ ss. COCNT~ OF ~~ On this, theS~ day of December, 2008, before me, the undersigned, personally appeared David C. Knudsen, who acknowledged himself to be a Beneficiary of the Estate of Ruth E. Knudsen, and executed the foregoing instrument for the purposes therein contained. IN WITNESS WHEREOF, I hereunto set my hand and official seal. - NOTARY PUBLIC e t :VII ~ Y`..:a al . 5. ~~-' i COI~TMONWEALTH OF PENNSYLVANIA _ ss. COIUNTY OF /~/~,,,,,....~ On this, the %/ `~' day of December, 2008, before me, the undersigned, personally appE~ared Karen A. Knudsen, who acknowledged herself to be a Beneficiary of the Estate of Ruth F. Knudsen, and executed the foregoing instrument for the purposes therein contained. IN WITNESS WHEREOF, I hereunto set my hand and official seal. `- NOTARY PUBLIC COMMONWEALiN OF PEt~tNSY1,yANi,~ Che NOtARlAL Si:AL "„•ffi'T,~.~. ~'i Denise NEnrich, Notary pU Lo~yef Merion Township, M ~li~ ~ ~Y Cor~ission Expires Jo nigambry ~~yn(y , COP/IMONWEALTH OF PENNSYLVANIA ss. COUNTY OF ~u.nb~la~~ ~~ Un this, the ~ day of December, 2008, before me, the undersigned, personally appeared Charlotte K. Knudsen, Agent under Durable Power of Attorney ofPaul R. Knudsen, dated February 22, 2007, who acknowledged herself to be the Agent for Paul R Knudsen who is a Beneficiary of the Estate of Ruth E. Knudsen, and as such Agent she executed the foregoing instrument for the purposes therein contained. III WITNESS WHEREOF, I hereunto set my hand and official seal. `~" • - NOT Y PUBLIC COMMOI~Vy~,,kl`.i sa 04 PEiVNSYLVANIA t.otarsai Seal Lisa P. Sn;.~dcr, Notary Public Upper Allen ~"wp., Cumberland County My Comrnissian Eypi:os i~/larch 12, 2009 ?~,~einb?r ~ ~,-v; ~, ation of Notaries L~ b~{ l L Z~~Z~ PROOF OF PUBLICATION State of Pennsylvania, County of Cumberland Troy Whitesel, Classified Advertising Manager, of The Sentinel, of the County and State aforesaid, being duly sworn, deposes and says that THE SENTINEL, a newspaper of general circulation in the Borough of Carlisle, County and State aforesaid, was established December 13th, 1881, since which date THE SENTINEL has been regularly issued in said County, and that the printed notice or publication attached hereto is exactly the same as was printed and published in the regular editions and issues of THE SENTINEL on the following day(s): ivlarch 15. 22, 29.2008 COPY OF NOTICE OF PUBLICATION NOTICE NOTICE IS HEREBY GIVEN that the Register of Wills has granted Letters Testamentary to the person named.-All persons having claims or demands against the estate are requested to make known;the claim oEdemand, and all persons indebted to the estate are requested to makepayment, without delay; to the Executor or to his attorney hamedbeldw: '', The Estate of RUTH E. KNUDSEN, late dt Cower Allen I, Township, Cumberland County, Pennsylvania. :Executor: ,pavid Q. KnudsEn 1302 Reading i~Ivd. Wyomissing; PA 99610_ Attorney:. Jeffrey R. Boswell, Esquire Boswell, Tintner, Piccola & Alford 315 North Front Street, PA: Box 741 Harrisburg, PA 97108-0741 Affiant further deposes that he/she is not interested in the subject matter of the aforesaid notice or advertisement, and that all allegations in the foregoing statement as to time, place and character of publication are true. Sworn to and subscribed before me this 31st day of March, 2008. Notary Pub My commission expires: q/~~~ COMMONWEALTH OF PENNSYLVANIA Notarial Seal Christina L. Wolfe, Notary Public Carlisle Born, Cumberland County My Commission Expires Sept 1,2008 Member. Pennsylvania Association Of Notaries D ~k e ~i~p 4 (0~ PROOF OF PUBLICATION OF NOTICE IN CUMBERLAND LAW JOURNAL (Under Act No. 587, approved May 16, 1929), P. L.1784 CGMMONWEALTH OF PENNSYLVANIA COUNTY OF CUMBERLAND ss. Lisa Marie Coyne, Esquire, Editor of the Cumberland Law Journal, of the County and State aforesaid, being duly sworn, according to law, deposes and says that the Cumberland Law Journal, a legal periodical published in the Borough of Carlisle in the County and State aforesaid, was established January 2, 1952, and designated by the local courts as the official legal periodical for the publication of all legal notices, and has, since January 2, 1952, been regularly issued weekly in the said County, and that the printed notice or publication attached hereto is exactly the same as was printed in the regular editions and issues of the said Cumberland Law Journal on the following dates, V1Z: March 21, March 28, and Apri14, 2008 Affiant further deposes that he is authorized to verify this statement by the Cumberland Law Journal, a legal periodical of general circulation, and that he is not interested in the subject matter of the aforesaid notice or advertisement, and that all allegations in the foregoing statements as to time, place and character of publication are true. isa Marie Coyn ,Editor SWORN TO AND SUBSCRIBED before me this 4 day of April, 2008 Knudsen, Ruth E., deed. Late of Lower Allen Township. Executor: David C. Knudsen, 1302 Reading Blvd., Wyomissing, PA 19610. Attorneys: Jeffrey R. Boswell, Esquire, Boswell, Tintner, Piccola & Alford, 315 N. Front St., P.O. Box 741, Harrisburg, PA 17108- 0741. Notary r 7~ N ~ it l ~ " ~ , l NOTARIAL cEgt, DEBORAH A COLUNS Notary Public CARLISLE 80R0, CUMBERLAND COUNTY My Commission Expires Apr 28, 2010