Loading...
HomeMy WebLinkAbout04-23-08 --.J 15056041125 REV-1500 EX (06-05) PA Department of Revenue '* Bureau of Individual Taxes INHERITANCE TAX RETURN PO BOX 280601 Harrisburg, PA 17128-0601 RESIDENT DECEDENT ENTER DECEDENT INFORMATION BELOW Social Security Number Date of Death OFFICIAL USE ONLY County Code Year 2 1 0 7 File Number o 7 9 0 Date of Birth 079268460 Decedent's Last Name P led g e r Suffix o 8 0 9 1 9 3 0 /" Decedent's First Name 072 720 0 7 W a 1 t e r MI R (If Applicable) Enter Surviving Spouse's Information Below Spouse's Last Name Suffix P led g e r Spouse's Social Security Number Spouse's First Name J a n e MI R 10422 704 6 THIS RETURN MUST BE FILED IN DUPLICATE WITH THE REGISTER OF WILLS FILL IN APPROPRIATE OVALS BELOW [XI 1. Original Return D 4. Limited Estate [XI 6. Decedent Died Testate (Attach Copy of Will) D 9. Litigation Proceeds Received D 2. Supplemental Return D 3. Remainder Return (date of death prior to 12-13-82) D 4a. Future Interest Compromise (date of D 5. Federal Estate Tax Return Required death after 12-12-82) D 7. Decedent Maintained a Living Trust (Attach Copy of Trust) D 10. Spousal Poverty Credit (date of death D 11. Election to tax under Sec. 9113(A) between 12-31-91 and 1-1-95) (Attach Sch. 0) CORRESPONDENT - THIS SECTION MUST BE COMPLETED. ALL CORRESPONDENCE AND CONFIDENTIAL TAX INFORMATION SHOULD BE DIRECTED TO: Name Daytime Telephone Number 8. Total Number of Safe Deposit Boxes R i c h a r d Firm Name (If Applicable) R i c h a r d L. L . Bushman, E s q ~ Bushman, E s q REGISTE~ ~LLS USE'" Y S:::o > ~B~() ;g "-~ r- :--:.. '~~~rn N ,>' (I) ~~ w OC) C') 0 -=n ':-.:)c ~ ::0 _Q-l DJfrE FILED -0 :a: r:? First line of address 16767 Pat h Valley R 0 a d Second line of address P 0 Box 5 1 City or Post Office S p r i n g State ZIP Code nc::) -'q Run P A 1 7 2 6 2 Correspondent's e-mail address: Under penalties of perjury, I declare that I have examined this return. including accompanying schedules and statements, and to the best of my knowledge and belief, it is true. correct and complete. Declaration of preparer other than the personal representative is based on all information of which preparer has any knowledge. IG RE OF PE~N R ~~~IB E FOR FILING RETURN D TE ~ lC. .JI.9-.. ~ B -oK ESS Rid Newville PA 17241 ADDRESS 16767 Road, PO Bo Spring Run PLEASE USE ORIGINAL FORM ONLY PA 17262 Side 1 L 15056041125 15056041125 --.J .i' '" .~~~' ...,;;' . " ~ <i ' . .... , ~ ). . ... ....,,~~ ...J 15056042126 REV-1500 EX Decedenfs Name: Wa 1 t erR. Pledge r 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. 6. Jointly OWned Property (Schedule F) D Separate Billing Requested . . . . . " 6. 7. Inter-Vivos Transfers & Miscellaneous N,Q.!l;Probate Property (Schedule G) U Separate Billing Requested. . . . . .. 7. 8. Total Gross Assets (total Lines 1-7) ........................... 8. 9. Funeral Expenses & Administrative Costs (Schedule H) ................ 9. 10. Debts of Decedent, Mortgage Liabilities, & Liens (Schedule I) . . . . . . . . . . . . 10. 11. Total Deductions (total Lines 9 & 10) . . . . . . . . . . . . . . . . . . . . . . . . . . . 11. 12. Net Value of Estate (Line 8 minus Line 11) . . . . . . . . . . . . . . . . . . . . . . . . . 12. 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. 513004.84 TAX COMPUTATION. SEE INSTRUCTIONS FOR APPLICABLE RATES 15. Amount of Line 14 taxable at the spousal tax rate, or transfers under Sec. 9116 2 7 8 3 . 4 (a)(1.2) X.O _ 0 5 3 15. 16. Amount of Line 14 taxable 3 0 5 1 5 1 . 4 1 at lineal rate X .04L 16. 17. Amount of Line 14 taxable o . 0 0 at sibling rate X .12 17. 18. Amount of Line 14 taxable o . 0 0 at collateral rate X .15 18. 19. Tax Due . . . . . . . . . . . . . . . . . . . . 19. 20. FILL IN THE OVAL IF YOU ARE REQUESTING A REFUND OF AN OVERPAYMENT Side 2 L.. 15056042126 Decedent's Social Security Number 079268460 474955.45 20211.03 4 0 5 1 6.2 4 535682.72 22677.88 22677.88 513004.84 o . 0 0 1 373 1 . 8 1 O. 0 0 o . 0 0 1 373 1 . 8 1 00 15056042126 ...J REV-1500 EX Page 3 Decedent's Complete Address: File Number 21 07 0790 DECEDENrs NAME Walter R. Pledger STREET ADDRESS --~----------~-----_._-_.__...._---_.._--_._..._...- 20 Ridge Lane _...__..__~_.._.__.._____..____..._ ,"n ..._.-. -..--..-..... .,.- .. --....-..-... ._...~..-- _.. .....-,-..---. ......-..,......-. ...... -.--..--..--.- --...--.... CITY -.---..---------...--...-.--. --....... -..-...---.----....--,..-...-.--...---- I STATE I ZIP i Newville I PA 17241 Tax Payments and Credits: 1. Tax Due (Page 2 Une 19) 2. Credits/Payments A. Spousal Poverty Credit 8. Prior Payments C. Discount (1 ) 13.731.81 Total Credits (A + 8 + C) (2) 3. 0.00 (3) (4) (5) (5A) (58) 0.00 0.00 13.731.81 4. 5. If 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. 8. Enter the total of Une 5 + 5A. This is the BALANCE DUE. 13.731.81 Make Check Payable to: REGISTER OF WILLS, AGENT ......"..~%1.._.>um__&..r 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; ...........,..................,....................................... 0 !XI b. retain the right to designate who shall use the property transferred or its income; ..... .... ..... ...... . .... .. .... D 00 c. retain a reversionary interest; or ................................................................................................ D 00 d. receive the promise for life of either payments, benefits or care? ........................ ........ ............. .......... D r&J 2. If death occurred after December 12, 1982, did decedent transfer property within one year of death without receiving adequate consideration? ... ..................................... >............................................ .. D 3. Did decedent own an "in trust fori or payable upon death bank account or security at his or her death? ......... 0 4. Did decedent own an Individual Retirement Account, annuity, or other non-probate property which t . b f" d' t' ? I)(l con alns a ene IClary eSlgna Ion. .................................................................................................. ~ !Xl !Xl o IF THE ANSWER TO ANY OF THE ABOVE QUESTIONS IS YES, YOU MUST COMPLETE SCHEDULE G AND FILE IT AS PART OF THE RETURN. .j'i~i.ijHil_~I~B;;~". ..". 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 exemot 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. ~g116(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. 99116(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. :> ~ "j ~~ \.7',..~\,..." ~t~ > <' REV-1503EX +(6-98) * COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIO.ENT DECEDENT SCM1E,D;U,L.E B STOCKS & BONDS ESTATE OF Walter R. PledQer FILE NUMBER 21 07 0790 All property jointly-owned with right of survivorship must be disclosed on Schedule F. ITEM NUMBER t DESCRIPTION VALUE AT DATE OF DEATH 474,955.45 Stocks held with Smith Barney TOTAL (Also enter on line 2, Recapitulation) $ (If more soace is needed. insert additional sheets of the same size) 474..955.45 'REV'15Q8;EX.+. (~98) . COMMONWEALTH OF PENNSYLVANIA INHI;RI,.~N~~ TNC RETURN .. ',OeEENT seMi.DULI E CASH, SANK DEPOSITS, & MISC. PERSO,NALPROPERTY . ESTATE OF Walter R. Pledger FILE NUMBER 21 07 0790 Include the proceeds of litigation and the date the proceeds were received by the estate. All property Jointly-owned With right of survivorship must be disclosed on Schedule F. ITEM NUMBER 1. DESCRIPTION Bank Deposit Program with Smith Barney - $5,018.91 & accrued interest of $12.67 VALUE AT DATE OF DEATH 5,031.58 2. OnStar refund 125.75 3. CD with Smith Barney - Still Water Nat'l Bk and Trust 9,972.70 4. CD with Smith Barney - Washington Mutual Bank NV 4,981.00 5. Cumberland County VA 100.00 6. TOTAL (Also enter on line 5, Recapitulation) $ (If more space is needed, insert additional sheets of the same size) 20211.03 REV~t610ex ... (60098) .. COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIPENT [) _EOENT ESTATE OF Walter R. Pledger SCH..!ULE G INTER-VIVOS TRANSFERS & MISC. NON-PROBATE PROPERTY FILE NUMBER 21 07 0790 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. DESCRIPTION OF PROPERTY ITEM INCI.UDE THE NAMe OF THE TIWlSFEREE. THEIR RELATIONSHIP TO DECEDENT AND DATE OF DEATH % OF DECO'S EXCLUSION TAXABLE NUMBER THE DATE OF TRANSFER. ATTACH A COPY OF THE DEED FOR REAl ESTATE. VALUE OF ASSET INTEREST pF APPI.lCAlll.E) VALUE 1. Smith Barney IRA 40,516.24 100. 40,516.24 TOTAL (AlSO enter on line 7 RecaPitulation) $ 40516.24 IIf mnl'A c:nl:lt"O ill n~M inllArt ArlrlitinnAI !lhARt!; nf thA !lame size) REV-1511 EX + (12-99) .. SCM,EDU:LE M FUNERAL EXPENSES & ADMINISTRATIVE COSTS COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN . RESIDENT DECEDENT ESTATE OF WalterR. PledQer Debts of decedent must be reported on Schedule 1. ITEM NUMBER A. DESCRIPTION FUNERAL EXPENSES: Fogelsanger-Bricker Funeral Home 1. B. FILE NUMBER 21 07 0790 AMOUNT 3,382.27 ADMINISTRATIVE COSTS: Personal Representative's Commissions Name of Personal Representative (s) Jane R. Pledger Social Security Numbe~s)/EIN Number of Personal Representative(s) 104-22-7046 Street Address 20 Ridge Lane City Newville State P A Zip 17241 Yea~s) Commission Paid: waived Probate Fees filing fee of 2 codicils $30, Letters $410, filing fee of will $15, automation fee $5, Short Certficates $20, JCP fee $10, filing fee of PA Inheritance Tax Return $15, Accountanfs Fees 1. 2. 3. Attomey Fees Richard L. Bushman, Esquire, Family Exemption: (If decedenfs address is not the same as claimanfs, attach explanation) Claimant Jane R. Pledger Street Address 20 Ridge Lane City Newville State P A Relationship of Claimant to Decedent wife 4. 5. 6. Tax Return Preparer's Fees 7. 8. 9. 10. 11. Certified letter to DPW Carlisle Sentinal - Estate Advertising Cumberland County Legal Journal - Estate Advertising Sherry Rosenberry, Notary Public filing fee for First and Final Account 14,713.65 3,500.00 Zip 17241 505.00 5.20 102.76 75;00 14.00 380.00 TOTAL (Also enter on line 9, Recapitulation) $ (If more space is needed~lnsert additional sheets of the same size) 22.677.88 REV.,5,3EX+(* COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT ESTATE OF W It R PI d SCHEDULE J BENEFICIARIES a er elaer RELA TIONSHIP TO DECEDENT AMOUNT OR SHARE NUMBER NAME AND ADDRESS OF PERSON(S) RECEIVING PROPERTY Do Not List Trustee(s} OF ESTATE I. TAXABLE DISTRIBUTIONS pnclude outright s~ousal distributions, and transfers under Sec. 9116 (a)(1. )1 1. Jane R. Pledger Spousal 20.7,853.43 20 Ridge Lane Newville PA 17241 2. Victoria P. Krenitsky. $86,568.86 + $72,860.85 Lineal 159.429.71 6539 Little Mountain Terrace Chambersburg PA 17202 3. Linda S. Lowery Lineal 72,860.85 150 Holtzinger Lane Juliane PA 16844 4. Walter E. Pledger Lineal 72,860.85 43 Misty Meadow Drive Reinholds PA 17569 ENTER DOLLAR AMOUNTS FOR DISTRIBUTIONS SHOWN ABOVE ON LINES 15 THROUGH 18. AS APPROPRIATE, ON REV-1500 COVER SHEET n. NON-TAXABLE DISTRIBUTIONS: A. SPOUSAL DISTRIBUTIONS UNDER SECTION 9113 FOR WHICH AN ELECTION TO TAX IS NOT BEING MADE 1. B. CHARITABLE AND GOVERNMENTAL DISTRIBUTIONS 1. TOTAL OF PART II - ENTER TOTAL NON-TAXABLE DISTRIBUTIONS ON LINE 13 OF REV-1500 COVER SHEET $ . . FILE NUMBER 21 07 0790 (If more space IS needed, Insert additional sheets of the same size) COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT I SCMIi8\ILE K LIFE ESTATE, ANNUITY & TERM CERTAIN Check Box 4 on Rev.1500 Cover Sheet REV-1514 ex + (12~. ESTATE OF FILE NUMBER Walter R. Pledger 21 07 0790 This sChedule is to be used for all single life, joint or successive life estate and term certain calculations. For dates of death prior to 5-1-89, actuarial factors for single life calculations can be obtained from the Department of Revenue, Specialty Tax Unit. Actuarial factors can be found in IRS Publication 1457, Actuarial Values, Alpha Volume for dates of death from 5-1-89 to 4-30-99, and in Aleph Volume for dates of death from 5-1-99 and thereafter. Indicate the type of instrument which created the future interest below and attach a copy to the tax return. lZJ Will D Intervivos Deed of Trust D Other Jane R. Pled er 6/16/1930 77 [X] Life or DTerm of Years o Life or 0 Term of Years o Life or 0 Term of Years o Life or 0 Term of Years o Life or D Term of Years 1. Value of fund from which life estate is payable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2. Actuarial factor per appropriate table. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. .48742 Interest table rate - D 3 1/2% D 6% D 10% D Variable Rate % 3. Value of life estate (Line 1 multiplied by Line 2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 426,435.99 207.853.43 o Life or 0 Term of Years o Life or D Term of Years o Life or 0 Term of Years o Life or 0 Term of Years 1. Value of fund from which annuity is payable .......................................... $ 2. Check appropriate block below and enter corresponding (number) . . . . . . . . . . . . . . . . . . . . . . . . . . . Frequency of payout - D Weekly (52) D Bi-weekly (26) D Monthly (12) o Quarterly (4) D Semi-annually (2) D Annually (1) 0 Other ( ) 3. Amount of payout per period. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 4. Aggregate annual payment. Line 2 multiplied by Line 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5. Annuity Factor (see instructions) Interest table rate - 0 3 1/2% 0 6% 0 10% 0 Variable Rate % 6. Adjustment Factor (see instructions) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7. Value of annuity -If using 3 1/2%,6%, 10%, or if variable rate and period payout is at end of period, calculation is: Line 4 x Line 5 x Line 6 ...........................$ If using variable rate and period payout is at beginning of period, calculation is: (Line 4 x Line 5 x Line 6) + Line 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ NOTE: The values of the funds which create the above future interests must be reported as part of the estate assets on Schedules A through G of this tax return. The resulting life or annuity interest(s) should be reported at the appropriate tax rate on Lines 13 and 15 through 18. (If more space is needed, insert additional sheet! of the ::lame size) ...; \_r oJ, \_& LL., \r"~" \r'LI:IIU.~"'. IU L "",,,, ";~Uplll '~ LAST WILL AND TBSTAMBBT I, WALTER R. PLEDGER, of Shippensburg Township, Cumberland County, Pennsylvania, declare this to be my Last Will and Testament and revoke any will or Codicil previously made by me. ITEM I: I direct that all my just debts (except as may be barred by a statute of Limitations) and my funeral expenses (including ~y gravemarker and expenses of my last illness) shall be paid from my residuary estate as soon as practicable after my decease as a part of the administration of my estate. ITEM II: I bequeath those articles of my household furniture and furnishings and those articles of my personal effects. and personal property as set forth in a separate memorandum (which is signed by me, dated and makes specific reference to this Will and memorandum, which I shall place with my will or deposit with my attorney), to the persons therein designated. ITEM III: I give and bequeath all of the remainder of my tangible personal property, including but not limited to, any and all automobiles and other motor vehicles, household goods and furniture and furnishings, china, silverware, jewelry, ornaments, works of art, books, pictures, wearing apparel and personal effects, but excluding cash on hand and tangible evidences of intangible personal property, together with any policies of insurance applicable thereto including any prepaid premiums thereon to my wife, JANE R. PLEDGER, or if she fails to survive me, to such of my children as shall survive me, in as nearly equal shares as is ~ practicable. Should any child of mine pred:ecease me but leave descendants who surv~ve me, such descendants shall receive, per stirpes,' the share that their ancestor would have received. ITEM IV: If my wife, JANE R. PLEDGER, survives me, I devise and bequeath to my TRUSTEE, hereinafter named, to be held in a separate TRUST (referred to herein as the "By-pass Trust") the maximum amount that can pass at my death free of federal estate tax because of the unified credit and all other credits or deductions applicable to my estate other than the marital deduction, (provided however that the credit for state death taxes shall be taken into account only to the extent that doing so does not result in state death taxes that would otherwise not be payable). The amount of this By-pass Trust and its funding, administration and distribution shall be governed by the terms and provisions that are more specifically and completely specified and contained in Item XVII below, which Item is incorporated herein by reference. The goal of this By-pass Trust is to provide a relatively smooth flow of distributions to my wife, which distributions over the anticipated term of the By-pass Trust, may maintain to the extent practicable her real spending power in the face of inflation. A second and related goal is to maintain the real spending power of the principal of the By-pass Trust for the remainder beneficiaries. It is my intent by using this form of a By-pass Trust (that is a trust which does not distinguish in investment goal or distribution between the production of income and short and long term capital 2 ~ gains) to eliminate any conflict of interest which the Trustee might otherwise experience between attaining the two goals set forth above. ITEM V: I devise and bequeath all the residue of my estate of every nature and wherever situate (sometimes herein referred to as "Marital Deduction Share") to my wife, JANE R. PLEDGER, providing she shall survive me by thirty (30) days. ITEM VI: I remind my wife, JANE R. PLEDGER, (and her personal representative, guardian, agent acting under a power of attorney or other representative) that she may disclaim any part or all of this Marital Deduction Share or of any property passing to her, hereunder or otherwise as a result of or by virtue of my death. In particular it may be desirable for her to disclaim a portion of the Marital Deduction Share (ITEM V), or of other property passing otherwise by reason of my death, and if she does so (either personally or by her personal representative, guardian or agent acting under a power of attorney) the disclaimed property or portion shall pass as provided for in ITEM VII and as if she had died before my death. A disclaimer may be desirable even if the resul t of such disclaimer and passing should be the payment of Federal Estate Taxes by my Estate. ITEM VII: Any property disclaimed by my wife, JANE R. PLEDGER, except as is otherwise specifically provided differently elsewhere in this will (or any other applicable and relevant document), shall pass as a part of ITEM IV above (the By-pass Trust). ITEM VIII: Should my wife, JANE R. PLEDGER, predecease me, I 3 t:l devise and bequeath all the residue of my estate of every nature and wherever situate in equal shares to such of my children, VICTORIA J. KRENITSKY, LINDA S. LOWERY, and WALTER E. PLEDGER, as are living on the day of my death. Should any of my children, VICTORIA J. KRENITSKY, LINDA S. LOWERY, and WALTER E. PLEDGER, predecease me but leaving descendants who survive me, such descendants shall receive, per stirpes, the share that such predeceased child would have received had he or she survived me, provided however that the share for any person under the age of thirty (30) years shall be held, administered, and distributed in accordance with ITEM XVII.C.12 below. ITEM IX: If any property passes outright and not in Trust (either under this will or otherwise) to a minor (which shall be defined as anyone under twenty-one (21) years of age) and with respect to which minor I am authorized to appoint a guardian and have not otherwise specifically done so, I decline to appoint any guardian but instead authorize my Executor to distribute such property to a Custodian selected by my Executor (and my Executor may act as such CUstodian) as Custodian for the minor under the Pennsylvania Uniform Transfers to Minors Act. Provided, however, that this appointment shall not supersede the right of any fiduciary to distribute a share where possible to the minor or to another for the minor's benefit. ITEM X: I appoint my wife, JANE R. PLEDGER, Executrix of this my Last will. Should she fail to qualify or cease to act as 4 w! Executrix, I appoint my children, VICTORIA J. KRENITSKY, LINDA S. LOWERY, and WALTER E. PLEDGER, Co-Executors of this my Last will. ITEM XI: I appoint DAUPHIN DEPOSIT BANK AND TRUST COMPANY, Trustee of any trusts created by this my Last will. ITEM XII: I direct that my Executrix or Trustee or their successors shall not be required to give bond for the faithful performance of their duties in any jurisdiction. ITEM XIII: Any corporate fiduciary shall be entitled to compensation based upon its regular schedule of fees for such services in effect from time to time during the period over which its services are performed. ITEM XIV: Any individual fiduciary shall be entitled to reasonable compensation for his or her services rendered from time to time and/or to reimbursement of out of pocket expenses. ITEM XV: I specifically give unto my Attorney, HAMILTON C. DAVIS, ESQUIRE, or should he be unable or unwilling to act, JOEL R. ZULLINGER, ESQUIRE, (or the successor to their firm), as the case may be, in his sole discretion, the right and authority to revoke the appointment of any corporate fiduciary designated in my Will or in any Codicil thereto, provided that he consult prior to doing so with my wife and children and he simultaneously appoint a substitute corporate fiduciary. ITEM XVI: The interests of the beneficiaries hereunder shall not be subject to anticipation or to voluntary or involuntary 5 ~ alienation. ITEM XVII: The By-pass Trust created by the provisions of Item IV, above, (which is incorporated herein by reference and into which the provisions hereof are incorporated so that both Items are an integrated whole) shall be funded, held, administered and distributed in accordance with the followings terms and provisions and for the following uses and purposes: A. The amount of the By-pass Trust shall be reduced by the aggregate of (1) all items includable in my estate for Federal Estate Tax purposes which either are taxable gifts made during my lifetime or are disposed of in previous articles of this Will or pass outside of this will but only if such items do not qualify for the Federal Estate Tax marital deduction or the Federal Estate Tax charitable deduction and (2) the amount of any administration expenses claimed as income tax rather than estate tax deductions, to the extent that such would result in a material limitation on the rights of my spouse or any charitable beneficiary. B. My executor shall allocate and set aside or distribute to the By-pass Trust any (up to all) assets (or proceeds of assets) which do not qualify for the marital deduction for Federal Estate taxes. But in no event shall assets be distributed in kind to the By-pass Trust to the extent the effect would be to permit diminution of the Marital Deduction Share (created in ITEM V) by more than a pro-rata 6 thj? ,.....- share of all depreciation occurring in my estate between date of my death and the date of distribution to this By-pass Trust. Any allocation of assets between this By-pass Trust and the Marital Deduction Share shall, with respect to each share, be comprised of assets having an aggregate market value at the time of allocation fairly representative of the net appreciation or depreciation in value to the date of distribution of all assets then available for distribution. c. My Trustee shall hold this By-pass Trust, IN TRUST, for the following uses and purposes and under the following terms and conditions: 1. Durina wife's life. My Trustee shall pay the distribution amount set forth below to or for the benefit of my wife, JANE R. PLEDGER, during her life, in quarter-annual installments. 2. Distribution amount. The Trustee shall pay to my wife in each tax year of this Trust during her life an amount (herein the "DISTRIBUTION AMOUNT") equal to five (5%) percent of the average of the fair market values of the assets of the Trust as of the close of the last business day of the Trust's three previous tax years (or such lesser number of tax years as are available for the first three tax years of the Trust). In the case of a short tax year, the distribution shall be calculated as set forth in subparagraph 3. below. 7 ~ In the case of contributions to or distributions from the Trust, including initial funding, the distribution amount shall be determined as set forth in subparagraph 4. below. 3 . Short year. For a short tax year, the distribution amount shall be based upon a prorated portion of the distribution amount set forth above comparing the number of days in the short tax year to the number of days in the calendar year in which the short tax year is a part. 4 . contributions and Distributions. In a tax year in which assets are added to or distributed from the Trust (other than the distribution amount) (hereinafter "adjustment year"), the distribution amount shall be increased (in the case of a contribution) or decreased (in the case of a distribution) by an amount equal to five (5%) percent times the fair market value of the assets contributed or distributed (as of the date or dates of the contribution or distribution), multiplied by a fraction, the numerator of which is the number of days from the contribution or distribution to the end of the tax year and the denominator of which is the days in the tax year. Further, the year end values for the two tax years preceding the 8 vi? adjustment year shall be increased by the amount of such addition, or decreased by the amount of such distribution, for purposes of computing the average values used in determining the distribution amount for years following the adjustment year. S. All computations of the Trust I s assets I fair market value, or the value of any contributions or distributions as set forth above, shall include accounting income and principal, but no accruals shall be required. If the Trust includes assets for which there is not a ready market, the Trustee shall adopt such method of valuation as he deems reasonable in his discretion under the circumstances. 6. Income earned in estate Drior to Trust fundina. In addition to the distribution amount as determined above, the net accounting income earned in my estate and allocable to the residue shall be paid to the Trust, and distributed to my wife in addition to the distribution amount set forth above. 7 . Source of distribution amounts. The distribution amounts from the Trust shall be paid first from net accounting income, next from net realized short term capital gains, then from net 9 ~ realized long term capital gains, and as necessary from the principal of the Trust. 8. In the event my wife, JANE R. PLEDGER, disclaims all or any portion of this Distribution Amount, such disclaimed portion shall be payable in equal shares to my children, VICTORIA J. KRENITSKY, LINDA S. LOWERY, and WALTER E. PLEDGER, if they shall be then living or to the descendants, per stirpes, of any child not then living, upon the same terms as are specified above and any disclaimer of this DISTRIBUTION AMOUNT shall not act to accelerate the remainder interests provided for in subparagraph 12 below. 9. Discretionary distributions of additional amounts. In addition to the distribution amounts as set forth above, my Trustee may distribute such additional amounts, if any, of accounting income, capital gain or principal to or for the benefit of wife, and my children and grandchildren (or their spouses) as the Trustee, in his sole discretion, deems advisable for the education, health, support and maintenance in reasonable comfort of my wife, children and grandchildren (or their spouses) after taking into account other income or assets which are available to them. 10. Goals of Trust 10 and Trustee 's tl9~er to J alter distribution rate. The goals of this Trust are as specified in Item IV above. I have set the distribution rate at five (5%) percent based upon my hope that, over long periods of time, this distribution rate can be maintained and still have the distributions increase sufficiently to offset inflation. If this goal is achieved, the principal of the Trust will also have maintained its value. I recognize that these goals will not be attainable, every year or even over the long term. I accept that the setting of the five (5%) percent distribution rate is my own decision and recognize that the two goals set forth above may not be attainable, even if my Trustee acts with reasonable prudence. If my Trustee becomes convinced that the goals as set forth above cannot be attained (due to substantial and long term changes in the investment marketplace, because of inflation, deflation, or other secular economic change which would make a change in the percentage distribution rate used for determining the distribution amount advisable) then my Trustee shall have the discretion to modify such distribution rate as he may deem necessary. Such a change in distribution rate shall be within the sole discretion of my Trustee given the investment 11 ~ and distribution goals for this Trust. My Trustee shall not be held accountable for such discretionary act by any party provided that he has acted in good faith. 11. My Trustee may apply any distributions from this Trust for the benefit of my wife, JANE R. PLEDGER, or my children or grandchildren (or their spouses), should any of them by reason of age, illness or any other cause in the opinion of my Trustee be incapable of appropriately receiving or disbursing it. 12. Upon the death of my wife, JANE R. PLEDGER, the then remaining principal and any undistributed income shall be distributed in equal shares to such of my children, VICTORIA J. KRENITSKY, LINDA S. LOWERY, and WALTER E. PLEDGER, as shall then be living. However, if a child has died before the death of the latter of my wife and me but leaves descendants who are living at the death of the latter of my wife and me, such descendants shall receive, per stirpes, the share that such child would have received had he or she been then living, provided, however, that the share for any person who shall not have attained the age of thirty (30) years shall be held by my Trustee in 12 1 a separate Trust to be administered and distributed in accordance with the provisions hereinafter set forth. Il from his Trust in accordance with the following formula: i. At any time after attaining the age of twenty-five (25) years and prior to attaining the age of thirty (30) years, such sums as shall not exceed one- half (1/2) of the market value of the principal as constituted on his twenty- fifth (25th) birthday or on the creation of his separate Trust, whichever shall last occur; ii. At any time after attaining the age of thirty (30) years, any and all principal remaining. iii. Upon the death of any person, his Trust shall terminate and the then remaining principal shall be distributed, per stirpes, to his then living issue, or, if there shall be no such issue, to my then living issue, per stirpes. c. In addition to the beneficiary's rights of withdrawal of Principal provided for in subparagraphs i and ii above, any grandchild of mine shall have the cumulative right to withdraw from his separate Trust on 14 J an annual basis, an amount of Principal equal to that grandchild's EARNED INCOME for Federal Income Tax Purposes for the prior calendar year. This right of withdrawal may be exercised by the grandchild by written notice to the TRUSTEE making specific reference hereto. d. Anything herein to the contrary notwithstanding, any provision of this Trust would result in actuality in a violation of the pennsylvania rule against perpetuities is amended to require that the Trust be terminated and the principal disbursed to the persons then entitled to the income in the proportions of their entitlement to income, one day before the date of violation. ITEM XVIII: All Federal, state and other death taxes payable because of my death with respect to the property forming my gross estate for tax purposes, whether or not passing under this Will, including any interest or penalty imposed in connection with such tax and not caused by negligent delay, shall be considered a part of the expense of the administration of my estate and shall be paid from the By-pass Trust portion of my estate under ITEM IV (or the share under ITEM VIII) without apportionment or right of reimbursement, except for the following specified death taxes, 15 i which shall be payable from the sources specified herein (and if no source is specified, from the source determined under the provisions of Chapter 37 of the pennsylvania Probate, Estates and Fiduciaries Code, as in effect on the date of execution of this Will): A. Any tax imposed by Chapter 13 of the Internal Revenue Code of 1986, as amended, (herein "CODE") (generation-skipping transfer tax) shall be payable from the property constituting such taxable transfer (except as may be provided otherwise in later provisions hereof or in relevant Trust instrument); B. Any tax resulting from the inclusion in my estate of any qualified retirement plan benefit under CODE Section 2039 (b) (whether such amounts are included in the probate estate) and any tax resulting from excess retirement accumulation under CODE Section 4980A(d), shall be payable by the recipient(s) of any such benefits. c. Any tax reSUlting from the inclusion of any property in my estate under CODE Section 2044 and/or CODE Section 2056(b) (7) (certain property for which marital deduction was previously allowed), whether or not such taxes are statutorily payable by my estate or ~he recipient of any such property shall be payable by the recipient of or from such property. D. Any additional estate tax imposed by CODE section 2032A (valuation of certain farms, etc., real property) shali be payable by the qualified heir or heirs whose actions result 16 vi? in the imposition of such additional estate tax. E. Any tax resulting from the inclusion in my estate under CODE section 2040 of the value of any jointly owned property shall be payable by the surviving joint tenant(s) of such property. F. Any tax resulting from the inclusion in my estate under CODE Section 2042 of the proceeds of life insurance shall be payable by the beneficiary(s) of such life insurance. G. Any tax resulting from the inclusion in my estate under CODE Section 2041 of the value of any property subject to a Power of Appointment, shall be payable by the appointee of such property. H. Any tax payable from a trust or other source which instrument specifically provides therein for the payment of taxes shall be paid as provided for in the relevant instrument. I. I authorize my Executor, in my Executor's sole discretion, to make' an election, in whole or in part, to cause a Pennsylvania Inheritance Tax to be payable by my estate on property passing to or for the benefit of my spouse or to defer the Pennsylvania Inheritance Tax on such property. My Executor shall be without liability to anyone for making or failing to make such election. ITEM XIX: My executors, trustees, custodians and guardians, whether masculine or feminine, singular or plural, individual or corporate, as may from time to time be qualified or acting, (herein 17 ,R sometimes referred to as "fiduciaries" or "fiduciary") shall have the following powers in addition to those vested in them by law and by other provisions of my will applicable to all property, whether principal or income, including property held for minors, exercisable without court approval, and effective until actual distribution of all property: A. General Manaqement and Investment Powers. The Executor and Trustee shall have full power and authority to manage and control any trust and my estate, to borrow money from any source (including. the power to borrow from a Trustee or any affiliate of a Trustee) and to sell, exchange, lease, grant options, rent, mortgage, pledge, assign, transfer or otherwise dispose of or encumber (including sales to a Trustee) all or any part of any trust or my estate (for terms extending beyond the termination of the trust or otherwise), upon such terms and conditions as the Trustee may see fit. The Trustee may invest and reinvest all or any part of any trust in such stocks, common and preferred (including the corporate stock of any corporate Trustee, or any of its affiliates), debentures, shares or participations in any common or mutual fund, interests in any general, limited, or limited liability partnership or in any limited liability company, bonds, notes, repurchase agreements and deposi t accounts of any kind from or in any bank (including any corporate Trustee, or any of its affiliates), savings and loan 18 0(( outright or in trust, such amounts of the principal of this trust as she in her sole discretion shall designate by written instrument delivered to my trustee during her lifetime with specific reference hereto. d. As much of the principal of this trust as my trustee may from time to time, in its discretion, think advisable for the support and maintenance in reasonable comfort of my wife, JANE R. PLEDGER, and for the protection and preservation of her property or during illness. or emergency shall be either paid to her or else applied directly for her benefit by my trustee. e. If my wife, JANE R. PLEDGER, shall fail, either wholly or in part, to exercise effectively the power of appointment created in either sub- paragraph b. or c. hereof, the unappointed principal shall be added to, and thereafter treated as part of, the principal of my residuary estate passing under ITEM VII. hereof. f. If any provision of this section shall result in depriving my estate of the marital deduction for Federal Estate Tax purposes, such provision is hereby revoked and this section shall be read as if any portion thereof inconsistent with 27 l I . allowance of the marital deduction for Federal Estate Tax purposes is null and void. 4. The receipt for any distribution made in conformity with the above provisions will fully discharge trustee from any further liability for that distribution. S. No fiduciary will exercise any discretionary authority to distribute principal or income for the benefit of any beneficiary to reimburse any governmental entity which may have incurred expense for the benefit of that beneficiary or pay any obligation of a beneficiary if that expense or obligation is otherwise payable by any governmental entity or pursuant to any governmental program of reimbursement or payment. 6. TRUSTEE shall have the authority and power, with a view towards administration of income taxes, to deal with income other than the DISTRIBUTION AMOUNT in anyone or more of the following ways: a. To accumulate income; b. To. distribute income to a custodian for the benefit of minors (under 21), under the Uniform Transfers for Minors Act of any appropriate state. The Custodian may be the TRUSTEE or may be selected by the TRUSTEE; c. To distribute income to a person who is twenty-one (21) years of age or older. These powers2~Y be exercised or not exerCised~....... , . claiming to be interested in any trust hereunder. S: If there are co-fiduciaries serving hereunder, they may delegate any and all management duties and responsibilities to one of them. My co~fiduciaries may, for example, designate one of them to maintain a bank account or accounts, and in that instance the siqpature of only that fiduciary shall be required to open and maintain such account, to deposit funds to such account and to write checks on such account. T: In the event of any disagreement between or among my fiduciaries, the decision of a majority of my fiduciaries shall control. No fiduciary shall be liable for any loss resulting from a decision in which that fiduciary did not join. IN WITNESS WHEREOF, I hereunto set my hand and seal to this my Last Will and Testament, written on thirty-one (31) sheets of paper, dated this I (, ~ day of U [!;1.... 199~. _ , ~ (SEAL) Walter R. Pledger tI. The preceding instrument, consisting of this and thirty (30) other typewritten pages, each identified by the signature or initials of the Testator, was on the day and date thereof signed, published and declared by the Testator therein named, as and for his Last Will, in the presence of us, who, at his request, in his presence, and in the presence of each other have subscribed our n~n(7~eto. residing at 4J/,r! & p~_ 30 , . COMMONWEALTH OF PENNSYLVANIA SSe COUNTY OF CUMBERLAND I, WALTER R. PLEDGER, the Testator whose name is signed to the attached or foregoing instrument, having been duly qualified according to law, do hereby acknowledge that I signed and executed the instrument as my Last Will: an that I signed it willinqlyand as my free and vOluntary act for e purposes ~n expressed. I{J.JL d. AL) , Walter R. Pledger Sworn to or affirmed and acknowledged before me by J18t.:1FJl,. tZ. () LEO tE72. , the Testator, this/fIJ~ day of IJtnlltdJ , 1997. NOTARIAL SEAL ~ TalA M. BROOkENS, NDtary PubIc Shippensburo Boro, Cun""MI Co., PA N . &pires NGy 8. 2000 COMMONWEALTH OF PENNSYLVANIA SSe and Ut.I 1.. p~ . ' the witnesses w ose names are s1gned to the attached or foregoing instrument, being duly qualified according to law, do depose and say that we were present and saw the Testator sign and execute the instrument as his Last will; that the Testator signed willingly and executed it as his free and voluntary act for the purposes therein expressed; that each subscribing witness in the hearing and sight of the Testator signed the will as a witness; and that to the best of our knowledge the Testator was at the time eighteen (18) or more years of age and of sound mind and und no constraint or undue influence. We, , ,.s cr~ l' $/J/t Sworn to or affirmed andOsubscribed to. 7 befo~e me by .l:l:hmlt.Jl)tJ C RV,j and U~, 1. ~MtL , witnesses, this J'" "., day of -Ot:.t1J ~J:;7L , 1997. NOTARIAL seAL tNNA M. 8ROQICEH$, Nokary Public 5hippeMburg Boro. CIImberkmd Co., PA My Commialon expires NtIy 8, 2000 32 FIRST CODICIL TO LAST WILL AND TESTAMENT I, Walter R. Pledger, of Shippensburg Township, Cumberland County, Pennsylvania , declare this to be the First Codicil to my last will dated October 16, 1997. ITEM I: I do hereby revoke the appointment of Dauphin Deposit Bank & Trust Company as Trustee contained in ITEM XI of my last will (which is dated October 16, 1997) and I do hereby nominate and appoint Legg Mason Trust Company as Trustee of any trusts created by my will" together with all of the powers and authorizations therein given to my Trustee. . ITEM II: ADDITIONAL POWERS OF TRUSTEES. In addition to all powers given by law and by the provisions of my Will dated October 16, 1997, LEGG MASON TRUST COMPANY ("LMTC") AS TRUSTEE is authorized: A. To retain as a trust investment any assets which I or anyone else transfers to the trust, including any securities of Legg Mason, Inc. ("LMI"), or any parent, successor or subsidiary of that corporation, without liability for any loss ich may result from its retention. B. I acknowledge that LMTC is an affiliate of Legg Mason Wood Walker, Incorporated ("LMWW"), and that whenever LMTC is acting as Trustee and exercises discretionary authority, it is authorized to engage the services of LMWW and any of its affiliates. These services include, but are not limited to, management or advice with respect to investments in mutual funds or other accounts offered, managed or administered by affiliates of LMWW, acting as broker or dealer to execute transactions and purchasing any securities currently written or issued by affiliated corporations. LMTC may use an affiliate for any of the preceding purposes, even though the costs associated with a particular purpose rendered by an affiliate may not be the lowest. c. To invest in mutual funds offered or managed by an affiliate of LMWW.' D. To invest in assets which will produce a high income yield, even though little or no appreciation in value may result from those investments. E. To exercise all conversion, subscription, voting and other rights pertaining to any asset, including shares of any mutual fund for which LMWW, or its affiliate is advisor; to grant proxies with respect to any asset, including shares of any mutual funds for which LMWW, or its afffliate, is advisor, and to enter 1 to any voting trust agreement or other similar arrangement. F. To cause any asset to be registered in the name of a nominee, including a nominee of LMTC or an affiliate of LMTC, a clearing corporation, or a depository, or in book entry form, or to hold any asset in unregistered form or in a form 2 . . . permitting transfer by delivery. G. To employ brokers, banks, custodians, investment advisors, attorneys, accountants and other agents, including any of the Trustees; to pay agent's fees and expenses out of the trust assets; and to delegate any of their powers to any agent (including those affiliated with LMTC). The authority to employ investment advisors shall include those affiliates of LMWW and to pay compensation and fees of that investment advisor out of the trust assets without offset against the compensation of LMTC (including those affiliated with LMTC) . H. LMTC shall be entitled to receive reasonable compensation for its services for each trust created under this Will in accordance with its scheduled rates as published from time to time, and in effect at the time the compensation is paid. It shall also be entitled to receive reasonable additional compensation for any services not required in the normal administration of the trust, such as investigations it may make in connection with the exercise of any discretionary authority conferred upon the Trustees. If in any year, the commissions which would otherwise be payable to LMTC are less than its minimum annual commissions, it shall be paid an additional amount which will cause the total commissions paid to it to equal its minimum annual commission. This additional amount shall be charged against the principal of the trust. Upon death of the Spouse of the Estate, LMTC shall also be entitled to a reasonable fee, commensurate with the time expended and the services 3 . ' performed, not exceeding one percent (1%) of the fair market value of the principal of the trust at that time. It is my intention that the foregoing "Additional Powers of Trustees" be interpreted whenever possible as being supplementary to and consistent with those fiduciary powers contained in ITEM XIX of my Will dated October 16, 1997, and further it is my intention that none of the foregoing "Additional Powers of Trustees" shall not be interpreted in any manner which would result in any share of my estate passing to my wife, Jane R. Pledger, not qualifying for the Federal Estate Tax Marital Deduction. ITEM III: In all other respects, I hereby ratify, confirm and republish my Will dated October 16, 1997, together with this First Codicil, as and for my last Will. IN WITNESS WHEREOF, I have hereunto set my hand and seal this ~ day of ~~99_9~~ ~ /- ~SEAL) Wal ter R. Pledger II Signed, published, and declared on the daqe above specified by the above named Walter R. Pledger as and for the First Codicil to his last will dated October 16, 1997, in the presence of us, who at his request, in his presence, and in the presence of each other, have subscribed our names as witnesses hereto. ~t4 ~1#h~, residing at ,tIewv-, · / It" l;i.. (J-h~ ~ · residing at 4 . . COMMONWEALTH OF PENNSYLVANIA SSe COUNTY OF CUMBERLAND I, Walter R. Pledger, the Testator whose name is signed to the attached or foregoing instrument, having been duly qualified according to law, do hereby acknowledge that I signed and executed the instrument as my Codicil to my last Will dated ; and that I signed it willingly and as my ee and vo y act for the purposes therein expressed. ( EAL) Sworn to or affirmed and acknowledged before me by WAt..fO<. tL PL.EDbEJt. , the Testator, this 2...1~" day of J ~ , 1999. COMMONWEALTH OF PENNSYLVANIA SSe COUNTY OF CUMBERLAND We, ~ e - )),orv ,....} and -rA-t;.A- 1<. tbLbTA'c.j , the witnesses whose names are signed to the attached instrument, being duly qualified according to law, do depose and say that we were present and saw the Testator sign and execute the instrument as his Codicil; that the Testator signed willingly and executed it as his free and voluntary act for the purposes therein expressed; that each subscribing witness in 'the hearing and sight of the Testator signed the Codicil as a witness; and that to the best of our knowledge the Testator was at the time eighteen (18) or more years of age and of sound mind and under no constraint or undue influence. 4(2tYH1~ (:' <9- - ----- ~~ ) Sworn to or affirmed and subscribed to before me ~ ~U1N c.. .bAVIS a~d J~'" ~ lie;.: . , w~ tnesses I th~s 21sr day of U L\.f ' 1999. y~ . ary PubliCI HOT AAlAl SCAl MNA M. BPOOiCENS, Notory Mn-: ~ ShiP1'HlMburo 80m. Cvmb-e-ri1,)~d 0.>,. PA ~ My (~mis.stol"\ fKp<r.tS. f<.tody 1=1, '2<,t;)J i.,.....:.ot........;,.~~~r..~~.lc=;;:r......'%r~.". 5 . . SECOND CODICIL TO LAST WILL AND TESTAMENT I, WALTER R. PLEDGER, of Shippensburg Township, Cumberland County, Pennsylvania, declare this to be the Second Codicil to my last Will dated October 16, 1997. ITEM I: My wife, JANE R. PLEDGER, and I have embarked on a program of gifting for the benefit of our children. In the event that this gifting program shall not have been complete during my lifetime, I wish to provide in my Will for its completion and my wife, JANE R. PLEDGER, intends to do the same in her Will. In furtherance of these goals and in this context, should my wife, JANE R. PLEDGER, survive me, I make the following gifts and direct my Executor to take whatever actions are necessary in cooperation with my wife to accomplish these: A. I give and devise whatever portion, if any, that I own at my death in the improved real estate situated in Milo Township, Yates County, New York (which has an address of: 526 East Lake Road, Penn Yan, New York 14527), in equal shares to my daughter, LINDA S. LOWERY, and my son, WALTER E. PLEDGER. B. I gi ve and bequeath to my daughter, VICTORIA J. KRENITSKY, a sum of money equal to the future value, computed to the date of my death, of the . . , . sum of $70,000.00, increased based upon a reasonable rate of return from December 1, 1998, to the date of my death. This adjustment is made to take into consideration that the other two children by virtue of the gifts during my lifetime have already had the beneficial enjoyment and appreciation of the gifted real estate and I hope my children will understand and appreciate that this is an attempt to be fair and treat them all equal while giving due regard for their preferences vis-a-vis ownership of the Penn Yan property. ITEM II: In all other respects, I hereby ratify, confirm and republish my last Will dated October 16, 1997, together with my First Codicil dated July 21,1999, and together with this Second Codicil, as and for my Last Will. set~d and seal this . ~l:L..t.~ f~EAL) Walter R. Pledger (j Signed, published, and declared on the date above specified by the above named Walter R. Pledger as and for the Second Codicil to his last Will dated October 16, 1997, in the presence of us, who at his request, in his presence, and in the presence of each ~~SC~: n::::d::9W::~:::~~~~: t>~, ~~ residing at ;:a . 2 . . . . ~ COMMONWEALTH OF PENNSYLVANIA ss. COUNTY OF .CUMBERLAND I, Walter R. Pledger, the Testator whose name is signed to the attached or foregoing instrument, having been duly qualified according to law, do hereby acknowledge that I sig ed and executed the instrument as my Codicil to my last Will dated ; and that I' it willingly and as my free and voluntary act for th purpos th xpressed. Sworn to or affirmed and acknowledged before me by WALTER R. PLEDGER, the Testator, this ~ day of r:ebY~ ' 2000. NOTARIAL seAl. TRINA M. BROOKENS. Notaty Pub!it ShIppemburg Ioro, Cumbettand ('".0., PA rnit4ion Expfts NDy 8, 2000 ~ Public COMMONWEALTH OF PENNSYLVANIA ss. COUNTY OF CUMBERLAND We, HAMILTON C. DAVIS and ttl./1l..,!2. I-h~ ' the witnesses whose names are signed to the attached instrume t, being duly qualified according to law, do depose and say that we were present and saw the Testator sign and execute the instrument as his Codicil; that the Testator signed willingly and executed it as his free and voluntary act for the purposes therein expressed; that each subscribing witness in the hearing and sight of the Testator signed the Codicil as a witness; and that to the best of our knowledge the Testator was at the time eighteen (18) or more years of ag~e and of sound mind and under no constraint or undue influence. ./7'/ /1 ~r (./fL-- ~. ~lJ-' Sworn to or affirmed and subscribed to TON C. DAVIS and , witnesses, this , 2000. iv-a Public ~.. ........._ ~ NOT AllAL SEAL ~ TRSNA M. BROOKENS, NoIory PubIc ShIppenIbufo Iofo, CumlMdand Co., PA NIt ConniIIion EIpI.- "., ., 2000 3