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HomeMy WebLinkAbout02-0072PETITION FOR PROBATE and GRANT OF .LETTERS. also known as To: Deceased. Social Security No. ~ (o I- 0 I - 6 I I ! The petition of the undersigned respectfully represents that: Your petitioner(s), who is/are 18 years of age or older an the execut. At)(' in the last will of the above decedent, dated F £BROR R F ~ (~ and codicil(s) dated 4/o/V £ Register of Wills for the County of C'umberland Commonwealth of Pennsylvania in the named , .l~ ,v oo / (state relevant circumstances, e.g. renunciation, death of executor, etc.) Decendent was domiciled at death in C u F~Bt~R LA/V D County, pennsylvania, with .' , & (list street, number and muncipality) Decendent, then c]~-- years o~f age, died. ,-~-/9,~' o/~/~ ¥ / $ , t~ ~9 o o~ , at -F'p/-o,,o,~W~rt-D HOmE ) f.~RLISLE- Except as follows, decedent did not marry, was not divorced and did not have a child born or adopted after execution of t.hl~ ,.will offered for probate; was not the victim of a killing and was never adjudicated Decendent at death owned property with estimated values as follows: (If domiciled in Pa.) Ali 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 Pennsyly~nia D~lv~ situated as follows: //~ httLZ-5/D~ ¢_._ ,'q to,.I.., t S L E .~ ting, O O O , 0 0 I 30, Oao. o,o WHEREFORE, petitioner(s) respectfully request(s) the probate of'the last will and codicil(s) presented herewith and the grant of letters -/-E S T~r P/~/1) 7-8/~ )J (testamentary; administration c.t.a.; administration d.b.n.c.t.a.) theron. q. R R t.- I S L E ~ /::',4 ]70/.3 OATH OF' PERSONAL REPRESENTATIVE COMMONWEALTH OF PENNSYLVANIA ~ ss COUNTY OF Cumberland 3 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 kno.wledge and belief of petitioner(s) and that as personal represen- tative(s) of the above decedent petitioner(s) will well and trUly administer the estate according to law. Sworn to or affirmed and subscribed " before me this ,,, ( ~2~nd day of - t No. 21-2002-0072 Estate 6f Gertrude L. Mc Pherson , Deceased DECREE OF PROBATE AND GRANT OF LETTERS AND NOW January 23rd ..... !~rx 20.02n consideration o:f ',:he petition on the reverse side hereof, satisfactory proof having been presented before me, IT IS DECREED~that the instrument(s) dated February 26th, 2001 described therein be admitted to probate and filed of record as the last will of C~.rtrude L. Mc PherSon ; and Letters are hereby granted to Teste~nentary Ann Benjey · ~',~k\'~['~t!''' / f , FEES Probate, Letters, Etc...: ...... $ 235.00 Short Certificates( 11~ .......... $ 36.00 Renunciation ................ $ x-Pages ( 4 ) 12.00 JCP $ 5.00 TOTAL __ $ 288.00 Filed .. January. 2.3.rd, 2002 ............ ATTORNEY (Sup. Ct. I.D. No.) ADDRESS PHONE 'MAILED LETTERS AND ORDER TO EXEXUTRIX ANN ~ENJEY. 105.805 REV 9~86 LAST WILL AND TESTAMENT OF GERTRUDE L. McPHERSON ',, 21-2002-0072 I, Gertrude L. McPherson, presently of Carlisle, Cumberland Courity, Pennsylvania, declare this to be my will and hereby revoke all prior wills and codicils made by me. Requests of Personal Effects. I bequeath such items of my tangible personal prop6rty as are specifically itemized on a list, if any, in my handwriting, signed and dated by me at the end thereof, and attached to this, my Will, to the person(s) named thereuPon to receive such items, and all of my remaining tangible personal prOperty not used in business or for the production of income, including without limitation, furniture, furnishings, clothing, jewelry, objects of art and decoration, and the like; and any motor vehicles which I own, together with the insurance thereon,'I bequeath to my daughter, Ann Benjey, ~if she survives me, and if my daughter does nOt survive me, I bequeath such property equally between my granddaughters. If either of my granddaughters does not survive me, her share shall be distributed per stirpes among those of her issue that survive me. If there are no such issue, said property shall go to my other granddaughter. With regard to the property passing hereunder, if my granddaughters cannot agree about distribution between themselves, distribution shall be made between them on the basis of choiceS made in order determined by lot and by rotation, ~and the values as finally determined for inheritance tax purposes shall be determinative with regard to the values of the property chosen, and any ultimate disparity between them shall be equaled by such payment between them as necessary. If either of my granddaughters is not then living, the choices to which she would have been entitled shall be made by her issue in order determined by lot and by rotation. Residue. I bequeath, devise, and appoint all the rest of my property, of whatever nature and wherever situated, including property over which I hold a power of appointment, to the Trustee(s) under a Revocable Management Trust Agreement of Which I'-.was the Settlor, dated December 26, 1989, to be held by said Trustee(s) and added to and administered as part of the trust established by said Agreement. Said trust is in existence as of the date of execution of this will, and it is .my intention, if necessary tO validate the foregoing gift to the Trustee(s), to incorporate herein by reference its terms and any amendments thereto. Survival' Clause. If any beneficiary hereunder should die within sixty (60) days after me or within sixty (60) days after any other person the survival of whom determines his or her rights hereunder, then such beneficiary shall~.be deemed to have predeceased me or such other person for all purposes hereunder. Powers. In addition to such other powers and duties as may be granted elseWhere herein or by law, the fiduciaries hereunder shall have the following powers and duties, without the necessity of notice to or consent by any Court: (a) To retain all or any part of my property, real or personal, in the form in which it may be held at the time of its receipt, including any closely held business in which I have an interest and any stock of any corporate fiduciary hereunder, 'as long as in the exercise of their discretion it may be advisable so todo, notwithstanding that said property may not be of a character authorized by law. (b) To invest and reinvest any funds held hereunder in any property, real or personal, including, but not by way of limitation,' bonds, preferred stocksl common stocks, and other securities of domestic or foreign 'corporations or investment trust, mortgages or mortgage participations, and Common trust funds, even though such property would not be considered appropriate or legal for a fiduciary apart from this provision. (c) To sell, convey, exchange, partition, give options to buy or lease upon, or otherwise dispose of any property, real or personal, at any time held by them, with or without order of court at their option, at public or private sale or otherwise, for cash or other consideration or for such credit terms as they think proper, and upon such terms and for. such prices as they may determine, and to convey such property free of all trusts.. (d) To borrow money from any. person, including any fiduciary, hereunder, for any purpose in connection with the administration hereof,, to execute promissory notes or other obligations for amounts so borrowed, and to secure the payments of such amounts by mortgages or pledges of any property, real 'or personal, which may be held hereunder. (e) To make loans, secured or unsecured, in such amounts, upon such terms, at such rates of interest, and to such persons, firms or corporations .as they may deem advisable. (f) To renew or extend the time for payment of any obligations, secured or unsecured, payable to or by them, for as long a period of time and on such terms, as they may determine, and to adjust, settle, and arbitrate claims or demands in favor of or against them. (g) In dividing or distributing any.property, real or personal, included herein, to divide or distribute in cash, in kind, or partly in cash or partly in kind. (h) To hold, manage, and develop any real estate which may be held by them at any time, to mortgage any such property in such amounts and on such terms as they may deem advisable, to lease any such property for such term °r terms, and upon such conditions and rentals as they may deems advisable, whether or not the term of any such lease shall exceed the period permitted by law or any probable period of retention .under this instrument; to make repairs, replacements and improvements, structural and otherWise, in connection with any such property, to abandon any such property which they may deem to be, worthless or not of sufficient value to warrant keeping or protecting, and to ' permit any such property tO be lost by tax sale or any other proceedings. (i) To employ such brokers, banks, custodians, investment counsel, attorneys, and other agents, and to delegate to 'them such duties, fights and powers as they may determine, and for such periods as they think fit. (j) To register any securities at any time in their names as fiduciary, or in the names of nominees, with or without indicating the trust character of the securities so registered. .. (k) With respect to any securities held hereunder, to vote upon any proposition or election at any meeting or of the person or entity issuing such securities, and to grant proxies, discretionary or otherwise, to vote at any such meeting; to join or become a partY to any reorganization, readjustment, merger, voting trust, consolidation or exchange, and to deposit any such securities with any committee, depository, trustee or otherwise, and to pay out of the trust created herein, any fees, expenses, and assessments incurred in~ connection therewith; to exercise conversion, subscription or other rights and to receive or hold any new securities issued as a result of any such reorganization, readjustment, merger, voting trust, consolidation, exchange or exercise of conVersion, · subscription or other rights and generally to take all action with respect to any such securities as could be taken by the absolute owner thereof. (1) To engage in sales, leases, loans, and other transactions with my estate or any trust established by me, even if they are fiduciaries or beneficiaries thereof. (m) To make all necessary proofs of death under the insurancepolicies of which they are the beneficiary, to execute any receiPts for the proceeds and to institute any action to collect said proceeds and to make adjustments of any claim thereunder, provided, however, that they need not institute any action unless they shall have been indemnified against all expenses and liabilities to which they may become subject as a result thereof. Ifh0wever, they desire to institute such action without indemnification, they are hereby authorized to be reimbursed for all expenses and liabilities incurred as a result thereOf from any amounts which may be held in trust hereunder then or thereafter. (n) To exercise all elections Which they may have with respect to income, git~, estate, inheritance or other taxes, including without limitation execution of joint income tax returns, election to deduct expenses in computing one tax or another, election to split gilts, and election to pay or to defer payrnent of any. tax, in all events without their being bound to require contribution from any · other person. (o) To operate, own, or develop any business or property held hereunder in any form, including without limitati6o sole proprietorship, limited or general : partnership, corporation, association, tenancy in common, Condominium, or any other, whether or'not'they have restricted or no management rights, as they in their discretion think best. Spendthrilt Clause. No interest (whether in income or principal, whether or not a remainder interest, and whether vested or contingent) of any beneficiary hereunder shall be subject to anticiPation, pledge, assignment, sale or transfer in any manner, nor shall any beneficiary have power in any manner to charge or encumber his or her said interest, nor shall the said interest of any beneficiary be liable or subject in any manner while in the possession of the fiduciaries for any liability of such beneficiary, whether such liability ariseS from his debts, contracts, torts, or other engagements of any type. Facility of Payments for Minors or Incompetents. Any amounts or property which are payable or distributable hereunder to a'minor incompetent may, at the discretion of the fiduciaries, be paid to the parent or guardian of such minor or incompetent, to the person with whom such minor or incompetent resides, or directlY to such minOr incompetent, or may be applied for the use of benefit of such minor or incompetent. Taxes. I direct that all estate} inheritance, and succession taxes that may be assessed in consequence of my death, of Whatever nature and by whatever jurisdiction imposed, shall be paid out of the principal of my general estate to the same effect as if said taxes were expenses of administration, and all other property includible in my taxable estate for federal or state tax purposes, whether or not passing under this will, shall be free and clear thereof. No such taxes shall be paid out of assets, such as payments received from a qualified pension.or profit-sharing plan, that are not includible in my federal gross estate. · Fiduciaries. I appoint my daughter,. Ann Benjey, as Executrix hereunder, and if she is unable or unwilling so to serve, or to continue so to serVe, I appoint my granddaughter, Beth Ann Bautista, to serve in her place, and if ever Beth Ann is unable or unwilling to serve, or to Continue to serve, I appoint my granddaughter, Amy Stoner, to serve in her place, and if ever she is unable or unwilling to serve, or to continue to serve, I appoint Orrstown Bank or its successor to serve as Executor hereunder. My fiduciary(s) hereunder shall serve as guardian(s) of the property of any minor beneficiary(s) hereunder, under any instrument of trust executed by me, under any policies 0finsurance on my life, and in any other situation in which the power to make such appointment exists under the laws of Pennsylvania. No'individual fiduciary shall be liable for the acts, omissions, or defaults of any agent appointed and retained with due care or of any co-fiduciary. No fiduciary shall be required to furnish bond or other security for the proper performance.of his or her duties hereunder. 9. Gender. Unless the context indicates otherwise, any use of either gender herein shall also include the Other'gender. IN WITNESS WHEREOF, I, GERTRUDE L. McPHERSON, have hereunto set my hand and seal to the my Last Will and Testament, consisting of five (5) typewritten pages, including the self-proving attestation clause and signatures of witnesses, this day of February, 2001. Gert~d~ ~,. ML~Pherson Signed, sealed, published and declared by the above-named Testatrix, GERTRUDE L. McPHERSON, as and for her Last Will and Testament in the presence of us, who hereuntO subscribed our'names at her request as witnesses thereto, in the presence of said Testatrix and of each other. ADDRESS ADDRESS COMMONWEALTH OF PENNSYLVANIA COUNTY OF CUMBERLAND SS We, GERTRUDE L. McPHERSON, 3tX~ct, o.e ~ t30e~,;l~ and ~ ~., l~_o,/I..d,a the Testatrix and witnesses, respectively Whose names are signed to the foregoing or attached instrument, being first duly sworn, do hereby declare to the undersigned authority that the Testatrix signed and executed the instrument as her Last Will and Testament and that she signed . willingly and that she executed as her free and voluntary act for the purposes therein expressed, and that each of the witnesses, in the.presence and hearing of the Testatrix signed the Will as witnesses and.that to the best their knowledge and the Testatrix was at the time 18 or more years of age, of soUnd mind and under no constraint or undue influence. Witness Witness Subscribed, sworn to and acknowledged before me by GERTRUDE L. McPHERSON, the Testatrix, and subscribed to and sworn or affirmed to before me/~7~'c,~a4/~. ~U~ ~7 and ~2co/ fl ~,eu/,'~ , witnesses, this aoX;t~ day of February, 2001. t ' Nota.~.p..ublic COMMONWEALTH OF PENNSYLVANIA DEPARTMENT OF REVENUE BUREAU OF INDIVIDUAL TAXES DEPT. 280601 HARRISBURG, PA 17128-0601 RECEIVED FROM: PENNSYLVANIA INHERITANCE AND ESTATE TAX OFFICIAL RECEIPT NO. REV-1162 EX(11-96) CD O01056 BENJEY ANN 546 E SPRINGVILLE ROAD CARLISLE, PA 17013 ........ fold ESTATE INFORMATION: SSN: 361-01-6111 FILE NUMBER: 21 02-0072 DECEDENT NAME: MCPHERSON GERTRUDE L DATE OF PAYMENT: 04/11/2002 POSTMARK DATE: 00/00/0000 COUNTY: CUMBERLAND ' DATE OF DEATH: 01 / 13/2002 ACN ASSESSMENT CONTROL NUMBER AMOUNT 101 $50,000.00 TOTAL AMOUNT PAID: $50,000.00 REMARKS: ANN BENJEY SEAL CHECK#II2 INITIALS: JA RECEIVED BY: REGISTER OF WILLS MARY C. LEWIS REGISTER OF WILLS ~ 5.6(a) CERTIFICATION OF NOTICE UNDER RULE. Name of Decedent: Gertrude L. M~:Pher~on Date of Death: January 13, 2002 Will No. 00072 of 2002 Admin. No. 21-02-00~2 To the Register: · I certify that nOtice of (beneficial interest) estate administration reqhired by Rule 5.6(a) of the Orphans' Court Rules was served on or mailed to the following benefi}iaries of the above- captioned estate on. Name: Ann Benjey Address: 546 E. Springville Rload Carlisle, PA 17013 ' 5.6(a) Notice has now been given to all persons entitled thereto under Rule except NONE _~n Benjey Name ~lease type or print) 546 E. Springville Road _ Carlisle, PA 17013 Address 717-249-6165 Tel. No. CaOacity: ~X_ Personal r,~presentative Counsel fo~' personfl representative , 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 dependent died without a wi!l, whether you will receive any money or property will be determined by the intestacy laws of Pennsylvania. Before the Register of Wills, County bf Cumberlandl Pennsylvania. In re Estate of Gertrude L. McPherson, deceased. Estate No. 21-02-0072 To:. Ann Benjey 546 E. Springville Rd. Carlisle, PA 17013 Please take notice of the death of decedent and the grafit of letters to the personal representative(s) named be- low. The Decedent, Gertrude L. McPherson, died On the 13th day of January, 2002, at Cumberland County, Pennsyl- vania. ~ Decedent died X testate (with a Will), or intestate (withouf a Will). The personal representative of the Decedent is (Name, address and telephone number). 546 E. Springville Road Carlisle, PA 17013 71%249-6165 If the Decedent died testate, the xvill has.been filed With the office of the Register of Wills of Cumberland Count, 1 Courthouse Square, Carlisle, Pa. 17013. Phone No. 717-240-6345. If the Decedent died intestate, a Petition for the Grant of Letters of Administration was filed with the Office of the Register of Wills of Cumberland County, 1 Courthouse Square, Carlisle, Pa. 17013. Phone No. 717-240-6345. A copy of the Will or Petition may be obtained by cOntacting the Register of Wills and paying the charges for du- plication. Date: Capacity: Personal.representative Signature:' (~--~-~ Name (print): Ann Benjey Address: 546 E. Springville Road 'Carlisle, PA 17013 Phone #: 717-249-6165 ~REV-1500 EX + (6-00) COMMONWEALTH OF PENNSYLVANIA DEPARTMENT OF REVENUE DEPT. ~280601 HA~:iF~ISBURG; PA 17128-0601 · REV-1500 .35-°F"'C'A' USEONLY/ , INHERITANCE TAX RETURN F, LE.UMBE. RESIDENT DECEDENT 2COZU.TYCODE 2002 YEAR OO?2 NUMBER DECEDENT'S. NAME (LAST, FIRST, AND MIDDLE INITIAL) SOCIAL SECURITY NUMBER MCPHERSON, GERTRUDE 361-01-6111 DECE- DENT CHECK APPRO- PRIATE BLOCKS C0R- RE- SPON DENT RECA- PITULA- TION TAX COMPU- · TATION DATE C~I~ DEATH (MM-DD-YEAR) 01/13/'2002 I DATE OF BIRTH (MM-DD-YEAR) 1211411906 (IF APPLICABLE) SURVIVING SPOUSE'S NAME (LAST, FIRST, AND MIDDLE INITIAL) THIS RETURN MUST BE FILED IN DUPLICATE WITH THE REGISTER OF WILLS SOCIAL SECURITY NUMBER ii ' Original Retum 4. Limited Estate Decedent Died Testate (Attach copy of Will) Litigation Proceeds Received 2. Supplemental Return 4a. Future interest Compromise (date of death after 12-12-82) 7. Decedent Maintained a Living Trust (Attach a copy of Trust) 10. Spousal Poverty Credit (date of death between 12-31-91 and 1-1-95) 3. Remainder Return (date of death prior to 12-13-82) 5. Federal Estate Tax Return Required 8. Total Number of Safe Deposit Boxes r -] 11. Election to tax under Sec. 9113(A) (Attach Sch O) NAME MICHAEL B DEVLIN FIRM NAME (if Applicable) BOYER & RITTER TELEPHONE NUMBER 717-249-3414 COMPLETE MAILING ADDRESS P O BOX 668 CARLISLE, PA 17013 1. Real Estate (Schedule A) (1) 2. Stocks and Bonds (Schedule B) (2) 3. Closely Held Corporation, Partnership or Sole-Proprietorship (3) 4. Mortgages & Notes Receivable (Schedule D) (4) 5. Cash, Bank Deposits & Miscellaneous Personal Property (Schedule E) (5) 6. Jointly Owned Property (Schedule F) FI Separate Billing Requested (6) 7. Inter-Vivos Transfers & Miscellaneous Non-Probate Property (Schedule G or L) (7) 158,9oo.o07! 0.003 O. oO.~ 0.00: 113,234.00 0.00.. 1,294,763.00 OFFICIAL USE ONLY 8. Total Gross Assets (total Lines 1-7) (8) 9. Funeral Expenses & Administrative Costs (Schedule H)(9) 84, 613. 00 10. Debts of Decedent, Mortgage Liabilities, & Liens(Schedule I)(10) 83 ~ 85? · 00 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 (13) has not been made (Schedule J) 14. Net Value SubjeCt to Tax (Line 12 minus Line 13) (14) 1,566,897.00 168~470.00 ' 1¢398~427.00 13,000.00 1,385,427.00 SEE INSTRUCTIONS ON PAGE 2 FOR APPLICABLE RATES 15. Amount of Line 14 taxa ble at th e spousal tax rate, or transfers under Sec. 9110 (a)(1.2) 0 · 0 0 16. Amount of Li'ne 14 taxable at lineal rate I, 367,427.00 17. Amount of Line 14 taxable at sibling rate 0 · 0 0 18. Amount of Line 14 taxable at collateral rate18 , 000 . 00 19. Tax Due 20. x .00 (15) 0.00 x .045 (16) 61,534.00 x .12 (17) 0.00 x .15 (18) 2,700.00 (19) 64 ~ 234.00 0 PA15001 NTF 29755 Copyright 2000 Greatland/Nelco LP- Forms SoftwareOnly PA REV-1500 EX (8-00) Decedent's Complete Address: ...... ..... , .... STREET ADDRESS c/o ANN BENJEY 546 E SPRINGVILLE ROAD I STATE I Z'P c ,.zs 17013 Page 2 Tax Payments and Credits: 1. Tax Due (Page I Line 19) (1) 2. Credits/Payments A. Spousal Poverty Credit 0.00 B. Prior Payments 50 ~000.00 C. Discount 2 ~ 632.00 64~234.00 Interest/Penalty if applicable D. Interest E. Penalty Total Credits (A + B + C) (2) 52,632.00 0.00 0.00 Total Interest/Penalty (D + E) (3) 0.00 4. If Line 2 is greater than Line I + Line 3. enter the difference. This is the OVERPAYMENT. Check box on Page 1 Line 20 to request a refund (4) 5. If Line 1 + Line 3 is greater than Line 2. enter the difference. This is the TAX DUE. (5) 11,602.00 A. Enter the interest on the tax due. (SA) 0.00 B. Enter the total of Line 5 + 5A. This is the BALANCE DUE.. (5B) 11,602.00 Make Check Payable to: REGISTER OF WILLS, AGENT 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 properb/transferred; ....................................... I ~ b. ret-in the right to designate who shall use the property transferred or its income; ................. c. retain a reversionary interest; or ........................................................ d. receive the promise for life of either payments, benefits or care? .............................. 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 a beneficiary designation? ......................................................... ~] ' ~ contains IF THE ANSWER TO ANY OF THE ABOVE QUESTIONS IS YES, YOU MUST COMPLETE SCHEDULE G AND FILE IT AS PART OF THE RETURN. Under penalties of @erjury, I declare that I have examined this retum including accompanying schedules and statements, and to the best of my knowledge and behef, it is true, correct and complete. Declaration of preparer other than the personal representative is based on information of which preparer has an), knowledge. SIGNAT~.~).N ~FOR FILING RETURN DATE ,/~)/~/O . ADDRESS P O '~OX 668 CARLISLE, PA 17013 SIGNATURE ~: PREPARER OTHER 'I}'iAN F~PRESENTATIVE ADDRESS P-O BO~ 568 C~IS~, PA 17013 For dates of death oll or after ,.luly 1, 1994 and before January 1, 1995, the tax rate imposed on th e net value of transfers to or for th e use of the surviving spouse is 3% [7'2 P.S. i 9118 (a)(l.1)(i)]. For dates of death on or after January 1, 1995, th e tax rate is imposed on the net value of transfers to or for th e use of th e surviving spouse is 0% [72 P.S. § 9116 (a) (1,1) (ii)]. Th e statute does not exempt a transfer to a surviving spouse from tax, an d the statutory requirements for disclosure of assets and filing a tax return are still applicable even if the surviving spouse is the snly 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 th e child is 0% [72 P.S. §9115(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 4.5%, except as noted in 72, P,S. § 911~(1.2) [72 P,S, § 911§(aX1)]. The tax rate imposed on the net value of transfers to or for the use of the decedent's si blings is 12% [72 P,S, § 9115(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 PA15002 NTF 29756 Copyright 2000 Greatland/Nelco LP- Forms Software Only REV-1502 EX + (1-97) COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT SCHEDULE A REAL ESTATE ESTATE OF FILE NUMBER MCPHERSON, GERTRUDE 21-2002-0072 All reel property owned solely or as a tenant in common must be reported at fair market value. F~ir market value is defined es the price at which property would be exchanged between a willing buyer and a willing seller, neither being compelled to buy or sell both having reasonable knowledge of the relevant facts. Real property which Is Jointly-owned with right of survivorship must be disclosed on Schedule F. ITEM VALUE AT DATE NO. DESCRIPTION OF DEATH 1. 113 HILLSIDE DRIVE, CARLISLE, PA 158,900.00 TOTAL (Aisc enter on line 1, Recapitulation) $ 158,900 o 00 0 PA15021 NTF 3329g (If more space is needed, insert additbnal sheets of the same size) Copyright 2000 Greatland/Nelco LP- Forms SoftwAre Only A:-'Se'ttlement Statement - ~ ! U.S. Department of Housing FINAL i---B..:,TYpe~°f Lgan - and Urban Deve opment OMB No. 2502-0265 ~.~ 0v~ s. OC',,,,v. h,s. ST2002-1,1JF .' ] I ' - '" C Nolo' ,[h~rm ~ ~eo, to gwe y0t( a sta~m?t ut ac~a]~lllemenl costs Amounts pmo o aha uy the ~etllemenl agenl~(~~- J - - - ~ ....... .ems maraou '[p O C.)" were pale ouls~oe tho closing; tho~ aro show~ here for info, alien purposes and are not included in tt~e Iolals. ' WARNING. Il is a crime Io knowingl~ m~o false statements to tho Un od S a os on B s or any oilier Similar form Penalties upon : conviction car include a fine and impnsonmen. For delai s see: T lie 19 U. S.. Code Section 1~01 and Section 1010. I'). NAMI.-.' OF I/()RROWI~I{: Robert A. Chronister and Pearl M. Chronister AI)I)I{I!SS: E. NAMF. OF Sl!l,I ,I~R: Estate ot:-Gcrtrttde L. McPherson AI)I)RI'~SS: F. NAMI; ()F I.I.iNI)I-.R: The Washington Savings Bank, FSB ^nnm..'ss: ,1201 Mitchellville ROad, Suite 300, Bowie; MI) 20716 ¢;. vm~,~i~'rY ^DDm!SS: 113 Hillside Drive, Carlisle, PA 17013 Carlisle Borough ' ~. SF.'rn.~t~t~N'r ^(mN'r: Saidis, Shuff, Flower & Lindsay, Telephone: 717-243-6222 Fax: 717-243-6486 I'L^(;~: oF sr-:'n't.~,!N'r: 26 West High Street, Carlisle, PA 17013 I. SI':TTI.I~MI-:NT I)^'l'l!: 06/28/2002 J. SUMMARY OF BORROWER'S TRANSACTION: K. SUMMARY OF SELLER'S TRANSACTION: 100. GROSS. AMOUNT DUE FROM BORROWER 400. GROSS AMOUNT DUE TO SELLER: 101. Contract sales price ' 158,900.00 401. 102. Personal Prope!ly 103. Settlement char_ge~s to borrower (line 14001 104. 105. AdjustmentS for items paid by seller in advance .,106- City/town taxes 107. County taxes 108. School Taxes 7,319.15 109. 110. 06/28/02 t__o 1_~2/31/_02 06/28/02 to 0 6/_~_0..~2 120. GROSS AMOUNT DUE FROM BORROWER 200. AMOUNTS PAID BY OR ON BEHALF OF BORROWER 201. D__ep__osilor earnest money 202. Principal amount of newloans 203. Existing loan(s) taken subject to 402. 403. 404. 405. Contract sales price 158,900.00___ Personal Propei-ty Adi_ustments for items paid by seller in advance 204. 205. 206. 207. 208. 209. 210. 211. 382.85__ County taxes Adiustments for items unpaid_b_~_ seller Cit¥/tow~ taxe§ County taxes 13.09 16~z~.615.09 406. City/town taxes 407. 408. School Taxes 409. 410. 411. 412. 0__6_/2__8_/_ 0 2_ .t_.o ._!_2_ / 3_~ 0~2 __ 0 6 / 2 8 / 0~2_t_oO_6 3/_~9[ 0. 2 420. GROSS AMOUNT DUE TO SELLER: 1,000.00 10~90__0.~00 382.85 13.09 15 500. REDUCTIONS IN AMOUNT DUE TO SELLER 501. Excess__De_~j~osi~l(see instruclions) 502 Settlement charges to seller (line 1400) _ 503. Existing Ioan(s~)taken su.b_ject to 504. Payoff of First Mortqage t. oan 505. 506. Payoff of Second Mortga_9e Loan zL_7o6. 507. 508. 509. 510. 511. Adjustments for items u_n__p_aid b¥.s__e, ll_er City/town taxes Count~, taxes 212. SchoolTaxes 512. School Taxes 213. 513. 214. 514. -- 2151 515. 216. 5'16. ' ' 217. 517. 218. 518. ,.. 219. 519. 220. TOTAL PAID BY/FOR BORROWER 109~ 900. O0 520. TOTAL REDUCTION AMOUNT DUE SELLER 300. CASH AT SE'FrLEMENT FROM OR TO BORROWER 166,615.09 109,900.0.0__ 56,715.09 !!. Gross amount due from borrower (line 120) ",;'~,:2.~. Less amounts paid by/for borrower (line 220) 303. CASH FROM BORROWER 11,7 600. CASH AT SE-I-I'LEMENT TO OR FROM SELLER 601. Gross amount due to seller (,!ine 420) 602. Less reduction amount due'seller (line 520) 603. CASH TO SELLER 159~295.9~_ 1__~1 ~7 06.1~ 147,589.16 · , REV-1508 EX + (1-97) COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT SCHEDULE E CASH, BANK DEPOSITS, & MISC. PERSONAL PROPERTY ESTATE OF MCPHERSON~ GERTRUDE FILE NUMBER 21-2002-0072 Include proceeds of litigation & date proceeds were received by the estate. All prop. Jointly-owned with right of eurvlvorshl ITEM NO. 2 3 4 5 DESCRIPTION M & T BANK - Checking Personal Vehicle Refund- Capital Blue Cross Deposit in transit to M & T Bank Personal property TOTAL (Also enter on line 5, Recapitulation) must be disclosed on S~h. F. VALUE AT DATE OF DEATH 20,522.00 2,500.00 212.00 80,000.00 10,000.00 113,234.00 (If more space is needed, insert additional sheets of the same size) Copyright 2000 Greatland/Nelco LP- Forms Software Only 0 PA15081 NTF 33305 March 21, 2002 Estate Search The Estate of: Date of Death (D.O.D.) To Whom It May Concern: GERTRUDE L MCPHERSON 1/13/2002 Identified below is the account information requested. 1. M&T Bank accounts in which the decedent's name appears: Account Account Number Account Title Type CHK 2673065088 GERTRUDE L MCPHERSON Opening Branch 4334 D.O.D. Balances (Includes Accr. Int.) $20,522.37 Accrued Interest $1.40 2. Loans, Mortgages, or other obligations titled in the decedent's name Account Number Amount Owed Account Description NO Safe Deposit Box titled in the Decedent's name existed at our office. If you have any questions about the information provided, please contact our Records Department at (716) 635-4010 or 1-800-724- 2440 outside of the Buffalo, NY calling area. Thank you. Sincerely, M&T BANK CORPORATION BY: . -,, DATE: Authorized Signature '0 o Manufacturers and Traders Trust Company · 1100 Wehrle Drive, RO. Box 767, Buffalo, NY 14240-0767 REV-1510 EX + (1-97) COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT scHEDuLE G INTER-VIVOS TRANSFERS & MISC. NON-PROBATE PROPERTY ESTATE OF FILE NUMBER MCPHERSON, GERTRUDE 21-2002-0072 This schedule must be completed and filed if the answer to any of questions I through 4 on the reverse side of the REV-1500 COVER SHEET is yes. DESCRIPTION OF PROPERTY ~ % OF INCLUDE NAME OF THE TRANSFEREE, THEIR ITEM RELATIONSHIP TO DECD & DATE OF TRANSFER. DATE OF DEATH DECD'S EXCLUSION TAXABLE VALUE NO. ATTACH COPY OF THE DEED FOR REAL ESTATE. VALUE OF ASSET INTEREST (IF APPLICABLE) 1. GIFTS TO BENEFICIARIES WITHIN 582,009.00 100 6,000.00 576,009.00 ONE YEAR OF DEATH LESS $3000 ALLOWANCE PER BENEFICIARY 2 MCPHERSON MANAGEMENT TRUST - FR 15,000.00 100 0.00 15,000.00 ACTIONAL INT OIL&GAS LEASES 3 MCPHERSON MANAGEMENT TRUST (VAN 703,754.00 100 0~00 703,754.00 GUARD ) t TOTAL (Also enter on line 7. Recapitulation) $ 1,294,763.00 0 PA15101 NTF 33307 (If more space is needed, insert additional sheets of the same s~ze) Copyright 2000 Greatland/Nelco LP - Forms Software Only GERTRUDE L MCPHERSON Page: SS~: 361-01-6111 Schedule A -- Part 2 Gifts Which are Direct skips and are subject to Both Gift Tax and GST Tax A Item No. 1 2 B C D E Donee's name, relationship to donor, Donor's Adj. Date of . Value of address, and description Basis Gift Gift BETH ANN BAUTISTA (GRANDDAUGHTER) 5004 FORT SUMNER DRIVE BETHESDA, MD 20816 AMY STONER (GRANDDAUGHTER) 108 E WOODLAND AVE COURT MAY COURTHOUSE, NJ 08210 CASH AMY STONER (G~ANDDAUGHTER) BETH ANN BAUTISTA (GRANDDAUGHTER). 4438 SHARES VANGUARD LT TAX EXEMPT FUND AMY STONER (GRANDDAUGHTER) BETH ANN BAUTISTA (GRANDDAUGHTER) 80,000.00 07/16/2001 80,000.00 80,000.00 07/16/2001 80,000.00 0.00 07/23/2001 27,959.00 0.00 07/23/2001 27,959.00 0.00 07/23/2001 86,425.00 0.00 07/23/2001 86,425.00 7786 SHARES VANGUARD ASSET ALLOCATION FUND BETH ANN BAUTISTA (GRANDDAUGHTER) 7587.25 SHARES FIDELITY SPARTAN MUNI. INC FD 0.00 12/21/2001 96,203.00 484,971.00 Form 709 ~,~10'~ Page 2 l,'[ei;lal~lll~l:~';I Computation of Taxable Gifts (Includin,q Transfers in Trust) A Does the value of an)' item listed on Schedule A reflect an), valuation discount? If the answer is "Yes," see instructions .Yes [] No La B [] 4 Check here if you elect under section 529(c)(2)(B) to treat any tra.nsfers made this year to a qualified state tuition program as made ratably over a 5-year period beginning this year. See instructions: Attach explanation. Part 1--Gifts Subject Only' to Gift Tax. Gifts less pofifical or~]anization, medical, and educational exclusions--see instructions A B C D E Item · Donee's name and address Donor's adjusted Date Value at number · Relationship to donor (if any) basis of gilt of gift date of gift · Description of gift · If the gift was made by means of a trust, enter trust's EIN and attach a description or copy ot the trust instrument (see instructions) · If trle gift was o[~ securities, give CUSIP number 1 Total of Part 1 (add amounts from Part 1, column E) . . · ................. b' Part 2--Gifts That are Direct Skips and are Subject to Both Gift Tax and Generation-Skipping Transfer Tax. You must list the gifts in chronological order. Gifts less political organization, medical, and educational exclusions--see instructions. (Also list here direct skips that are subject only to the GST tax at this time as the result of the termination of an "estate tax fl]clusion period." See instructions.) A B C D E Item · Oonee's name and address Donor's adjusted Date Value at number · Relationship to donor (if any) basis or gift of gi~t date of gift · Description of gift · If the gift was made by means of a trust, enter trust's EIN and attach a description or copy of the trust instrument (see instructions) i · If tl~e gilt was of securities, give CUSIP number 1 AMY STONER 0110912002 97,041 108 E WOODLAND AVE CAPE MAY COURTHOUSE, NJ 08210 GRANDDAUGHTER 7587.25 SH FIDELITY SPARTAN MUNI INC FD Total of Part 2 (add amounts from Part 2, column E) ................... I~ 97,041 Part 3~Taxable Gift Reconciliation I Total value of gifts of donor (add totals from column E of Parts 1 and 2) ......... . . 1 2 One-half of items ................................................ attributable to spouse (see instructions) 3 Balance (subtract line 2 from line 1} ..................... 4 Gifts or spouse to be included (from Schedule A, Part 3. line 2 of spouse's returr~--see instructions). . If any of the gifts included on this line are also subject to the generation-skipping transfer tax, check here I~ [] and enter those gifts also on Schedule C, Part 1. 5 Total gifts (add lines 3 and 4) ....................... 6 Total annual exclusions for gifts listed on Schedule A (including line 4, above) (see instructions) . . . 7 Total included amount of gifts (subtract line 6 from line 5) .............. Deductions (see instructions) 8 Gifts of interests to spouse for which a marital deduction will be claimed, based ; on items .................................... of Schedule A ...... 8 : 9 Exclusions attributable to gifts on line 8 ............ 9 10 Marital deduction--subtract line 9 from line 8 .......... 10 11 Charitable deduction, based on items .................. Jess exclusions . . 11 12 Total deductions--add lines '10 and 11 .................... 13 Subtract line 12 from line'7 ........................ 14 Generation-skipping transfer taxes payable with this Form 709 (from Schedule C, Part 3, col. H, Total) . 15 Taxable c, lifts (add lines 13 and 14). Enter here and on line 1 of the Tax Computation on pa~e 1 . . . 8 9 10 11 (if more space is needed, attach additional sheets of same size.) 97,041 97,041 97,041 11,000 86,041 86,041 86,041 form 709 0 000000 000000 Z 000000 ~0000 ~000~ ~ 00~ LU wZ ~Z 0 ~ ~ 0~ >d~ ~z GERTRUDE L MC PHERSON .MGMT TR MICHAEL A STONER & ANN E STONER 'I~FEES U/A DTD 12/26/89 546 E 'SPRINGVILLE RD CARLISLE PA 17013-9291 (800) 345:1344 - Account nUmber: Statement number: Brokerage Services 41¥-210369 643220000 SUM MARY OF HOLDINGS Value on 12/31/2001 % Holdings Value on 1/31/2002 % Holdings Stocks $ 679,144.40 85.0 $ 638,941.20 95.9 VBS held mutual funds 119,833.73 15.0 23,944.18 3.6 Tolal account value $ 798,978.13 100.0 $ 662,885.38 99.[, Income/Securities not yet paid .00 3,631.45 0.5 Total assets $ 798,978.13 100.0 $ 666,516.83 100.0 INCOME: SUMMARY '~is period Year-to-date TaX-exempt interest HOLDINGS $ 793.38 $ 793.38 (This section reflects sealed Irades only)" Balance Long market value. · . Quantity / Stocks Account type C~rent Dividend price status $ 662,885.38 Current Estimated Estimated value annual income yield INTERNATIONAL BUSINESS MACHS CORP COM SecurityiD: IBM ULLY ELI & CO. SecuritylD: LLY .. 1,600.00000 Cash '1,6O°.ooooo Cash $107.890000 $ 896.00 0.5% Cash $172,624.00 75.100000 1.7 Cash !20,160'00 1,984.00 Vanguard Broke~:age Services (VBS). member SIPC, is the introducing firm for VBS accounts. Your assets are held by VBS's clearing firm, pershing Division ol Donaldson, Lufkin & Jenrette Securities Corporation, member SIPC. Your VBS transactions 'settle through your Vanguard money market account, held separately by Vanguard or in accordance with the settlement procedures defined by your employer sponsored retirement plan. Maintaining covered put options requires that a segregated Vanguard money market fund be carried by our clearing firm. Prices listed reflect quotations on the statement date. Current · prices and estimated annual income and yield are listed to help you track your account and are not suitable for tax purposes. 5- 7 011602 239 406A M3'' GERTRUDE L MC'PHERSON MGMT TR MICHAEL A STONER & ANN E STONER TFEES U/A DTD 12/26/89 546 E SPRINGVILLE RD CARLISLE PA 17013-9291 (800) 345~1344 - Brokerage SerVices ACcount number: 41V-210369 Statement number: 643220000 HOLDINGS CONTINU ED Quantity / Stocks continued Account type Current Current Estimated Estimated Dividend price value annual income yield status NATIONAL CITY CORP SecuritylD: NCC 12,310.00000 Cash -28.120000 346,157.20 14,525.80 4.2 Cash Total Stocks $ 638,941.20 $17,405.80 2.7% VBS held mutual funds Quantity / Account type Price per share Current Estimated Estimated Dividend value annual income yield status FIDEUTY SPARTAN 1,863.36000 MUNICIPAL INCOME Cash FUND SecuritylD: FHIGX $12.850000 $ 23,944.18 $1,142.23 4.8% Cash Total VBS held mutual funds $ 23,944.18 $1,14223 4.8% ACTIVITY (This section rellects settled trades only) All transactions sweep to and from your Vanguard Tax-Exempt Money Marke! Fund, account number 9865140180. Money market assets are not held by Pershing. Trade Settle date date Transaction Quantity Description Price Amount 1/02 1/02 NON-TAXABLE DISTRIBUTION' FIDEUTY SPARTAN $ 793.38 RECEIVED MUNICIPAL INCOME FUND FOR ACCRUAL PERIOD ENDING 12/31/01 1/03 VANGUARD MUNI TX FR -793.38 1/09 -7,587.25000 FIDELITY SPARTAN .00 MUNICIPAL INCOME FUND TFR TO 4§Vg75374 A/O 12/21/01 4 - FRAC.2500- 1/03 MONEY FUND PURCHASE 1/09 CUSTOMER AUTHORIZED TRANSFER 6- 7 011603 239 406A M3 2 X REV-1511EX + (1-97) COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT SCHEDULE H FUNERAL EXPENSES & ADMINISTRATIVE COSTS ESTATE OF FILE NUMBER MCPI-DiIRSON, GER/IRUDE 21-2002-0072 Debts of decedent must be reported on Schedule I. rTEM NO. DESCRIPTION AMOUNT 2 3 4 9 10 11 12 13 14 FUNERAL EXPENSES: STONE & VAULT TRAVEL, FOOD, ETC RECEPTION, FLOWERS, FUNERAL COSTS ETC ADM IN ISTRATIVE COSTS: Personal Representative's Commissions Name of Personal Representative(s) Social Security Number(s)/EIN No. of Personal Representative(s) Street Address City State Zip Year(s) Commission Paid: Attorney Fees 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 Probate Fees Accountant's Fees Name: BOYER & RITTER Tax Return Preparsr's Fees MISCELLANEOUS ADMIN COSTS FLORIDA ADMIN COSTS PROPERTY MAINTENANCE INVESTMENT COUNSELLING REAL ESTATE TAX RESERVE APPRAISAL 1,424.00 905.00 1,032.00 8,205.00 50,000.00 0.00 0.00 288.00 7,500.00 0.00 310.00 2,500.00 6,377.00 2,500.00 747.00 2,500.00 325.00 TOTAL (Also enter on line 9, Recapitulation) $ 8 4,613.00 (If more space is needed, insert additional sheets of the same size) 0 PA15111 NTF 33308 Copyright 2000 Greatland/Nelco L P- Forms Software Only REV-1512 EX + (1;97) COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT SCHEDULE I DEBTS OF DECEDENT, MORTGAGE LIABILITIES, & LIENS ESTATE OF FILE NUMBER MCPHERSON, GERTRUDE 21-2002-0072 Include unreimbursed medical expenses. ITEM NO. DESCRIPTION AMOUNT 2 3 4 5 6 7 8 9 10 PA INCOME TAX INSURANCE THORNWALD HOME FEDERAL INCOME TAX INCOME TAX PREPARATION UTILITIES WEST SHORE EMS PROMISSORY NOTE - ANN BENJEY CLEANING HOUSE PERSONAL TAXES PHARMACIA 844.00 50.00 1,021.00 733.00 700.00 338.00 91.00 80,000.00 60.00 10.00 10.00 TOTAL (Also enter on line 10, Recapitulation) $ 83,857.00 (If more space is needed, insert additional sheets of the same size) 0 PA15121 NTF 33309 Copyright 2000 Greatland/Nelco LP- Forms Software Only PROMISSORY NOTE $80,000.00 Date: January 11, 2002 For value received, the undersigned GERTRUDE L. McPHERSON ("the Borrower"), at Hillside Dr., Carlisle, PA 170 i 3, promises to pay' to the order of ANN BENJEY, (the "Lender"), at 546 E. Spfingvil!e Rd., Carlisle, PA 17013, (or at such other place as the Lender may designate in whting) the sum of $80,000.00 with imerest from January' i I, 2002, on the unpaid principal at the rote of 7.00% per annum The unpaid principal and accrued interest shall be payable in monthly installments of $3,58 !. 81, beginning on February I I, 2002, m~d conti~ming until Jm~uary I I, 2004, (the "Due Date"), at which time the remaining unpaid principal or principal and interest shall be due in full. All payments on tbJs Note shall be applied first in payment of accrued interest and any remainder in payment of principal. The Borrower promises to pay a !ate charge of $25.00 for each installment that remains unpaid more than I0 day(s) after its due date. This late charge shall be paid as liquidated damages in lieu of actual damages, and not as a penalty. If any installment is not paid when due, the remaining unpaid balance and accrued interest shall become due immediately at the option of the Lender. The Borrower reserves the right to prepay this Note (in whole or in part) prior to the due date with no prepayment penalty'. If any payment obligation under this Note is not paid when due, the Borrower promises to pay all costs of collection, including reasonable attorney fees, whether or not a lawsuit is commenced as part of the collection process. If any of the following events of default OCCtLr, this Note and any other obligations of the Borrower to the Lender, shall become due immediately', without demand or notice: !) the failure of the Borrower to pay the principal and any accrued interest in fi_dl on or before the Due Date; 2) the death of the Borrower(s) or Lender(s); 3) the filing ofbankxuptcy proceedings involving the Borrower as a Debtor;' 4) the application for appointment of a receiver for the Borrower; 5) the making of a general assigmnem for the benefit of the Borrower's creditors; 6) the insolvency of the Borrower; 7) the misrepresentation by the Borrower to the Lender for the purpose of obtaining or extending credit. In addition, the Borrower shall be in default if there is a sale, transfer, assignment, or any other disposition of any assets pledged as security' for the payment of this Note, or if there is a default in any securiW agreemem which secures this Note. Borrower is required to maintain term__ life insurance payable to the lender in an amount sufficient to pay the principal and accraed interest in full in the event ofBorrower:s deahh. If any one or more of the provisions of this Note are determined to be unenforceable, in whole or in pm-t, for any reason, the remaining provisions shall remain fully operative. All payments of principal and interest on this Note shall be paid in the legal currency of the Uh-fited States. Borrower waives presenn'nent for payment, protest, and notice of protest and nonpayment of this Note. No renewal or extension of this Note, delay in enforcing any right of the Lender trader this Note, or assignment by' Lender of this Note shall affect the liability of the Borrower. Ali rights of the Lender trader t_his Note are cumulative and may be exercised concurrently or consecutively at the Lender's option. This Note shall be construed in accordance with the laws of the State of Pennsylvania. Signed this // day of,~.~ Borrower: GERTRUT)E L. McPiiERSON POA Payment Number AMORTIZATION SCHEDULE Annual Percentage Rate = 7.0000% - Principal = $ 80000.00 Payment Total Interest Principal Loan Date Payment Amount Amount Balance 0 1/11/02 0.00 0.00 0.00 80000.00 1 2/11/02 3581.81 466.67 3115.14 76884.86 2 3/11/02 3581.81 448.50 3133.31 73751.55 3 4/11/02 3581.81 430.22 3151.59 70599.96 4 5/11/02 3581.81 411.83 3169.98 67429.98 5 6/11/02 3581.81 393.34 3188.47 64241.51 6 7/11/02 3581.81 374.74 3207.07 61034.44 7 8/11/02 3581.81 356.03 3225.78 57808.66 8 9/11/02 3581.81 337.22 3244.59 54564.07 9 10/11/02 3581.81 318.29 3263.52 51300.55 10 11/11/02 3581.81 299.25 3282.56 48017.99 11 12/11/02 3581.81 280.10 3301.71 44716.28 Subtotal 39399.91 4116.19 35283.72 12' 1/11/03 3581.81 260.84 3320.97 13 2/11/03 3581.81 241.47 3340.34 14 3/11/03 3581.81 221.99 3359.82 15 4/11/03 3581.81 202.39 3379.42 16 5/11/03 3581.81 182.68 3399.13 17 6/11/03 3581.81 162.85 3418.96 18 7/11/03 3581.81 142.90 3438.91 19 8/11/03 3581.81 122.84 3458.97 20 9/11/03 3581.81 102.67 3479.14 21 10/11/03 3581.81 82.37 3499.44 22 11/11/03 3581.81 61.96 3519.85 23 12/11/03 3581.81 41.42 3540.39 41395.31 38054.97 34695.15 31315 73 27916 60 24497 64 21058 73 17599 76 14120 62 10621 18 7101.33 3560.94 Subtotal 42981.72 1826.38 41155.34 24 1/11/04 3581.71 20.77 3560.94 0.00 Subtotal 3581.71 20.77 3560.94 Grand Total 85963.34 5963.34 80000.00 -3- REV-1513 EX+ (9-00) COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT SCHEDULE J BENEFICIARIES ESTATE OF FILE NUMBER MCPHERSON, GERTRUDE 21-2002-0072 RELATIONSHIP TO DECEDENT AMOUNT OR SHARE NUMBER NAME AND ADDRESS OF PERSON(S) RECEIVING PROPERTY Do Not Mst Trustee(s) OF ESTATE 2 3 II 1. 2 3 4 5 6 7 8 9 TAXABLE DISTRIBUTIONS [include outright spousal distributions, and transfers under Sec. 9116 (a) (1.2)] HCPHERSON, MARK 8370 RIVERSIDE DRIVE BRIGHTON, MI 48116 MCCOMB, GERTRUDE L 280 GRAND STREET COLDWATER, MI 49036 BAILEY, CYNTHIA 209 E ERIE STREET ALBION, MI 49224 BOMMARITO, DEBRA 514 E MICHIGAN AVENUE ALBION, MI 49224 DOWNEY, JR, BRYAN 304 E MICHIGAN AVE ALBION, MI 49224 1,000.00 2,500.00 833.00 833.00 834.00 ENTER 'DOLLAR AMTS. FOR DISTRIBS. SHOWN ABOVE ON LINES 15 THROUGH 18, AS APPROPRIATE ON REV-1500 COVER SHEET NON-TAXABLE DISTRIBUTIONS: A. SPOUSAL DISTRIBUTIONS UNDER SEC. 9113 FOR WHICH AN ELECTION TO TAX IS NOT BEING MADE B. CHARITABLE ANDGOVERNMENTALDISTRIBUTIONS HOWELL-CARNEGIE DISTRICT LIBRARY, HOWELL, MI AMERICAN CANCER SOCIETY, CARLISLE, PA CIVIC CLUB OF CARLISLE, CARLISLE, PA LUPUS FOUND OF AMERICA, HARRISBURG, PA LIONS CLUB BLIND PROJECT, CARLISLE, PA 17013 ALZHEIMER~S FOUND, SOUTHFIELD, MI AMERICAN RED CROSS, CARLISLE, PA AMERICAN HEART ASSOC, CARLISLE, PA SALVATION ARMY, CARLISLE, PA TOTAL OF PART II -- ENTER TOTAL NON-TAXABLE DISTRIBS. ON LINE 13 OF REV-1500 COVER SHEET 1,000.00 1,000.00 1,000.00 1,000.00 2,000.00 2r500.00 1,000.00 1.000.00 2.500.00 13,000.00 (If mom space is needed, insert additional sheets of the same size) 0 PA15131 NTF 33293 Copyright 2000 Greatland/Nelco LP- Forms Software Only Estate of': MCPHERSON, GERTRUDE Schedule J Part i -- Beneficiaries Item No. Name and Address of Person(s) receiving p~operty Relationship Page 2 21-2002-0072 Amount or Share of Estate GILBERT, JOHN E 18406 WINTERSET SOUTHFIELD, MI 48076 7 STONER, AMY M 108 E WOODLAND AVE CAPE MAY COURT HOUSE, NJ 08210 CONNELY, JILL ANN M 12758 BARNES ROAD BYRON, MI 48418 9 MCPHERSON, ROBBIN GRANDDAUGHTER 2,500.00 308,425.00 1,000.00 1,000.00 10 MCPHERSON, JANET 6791 BERGIN ROAD HOWELL, MI 48843 11 STONER, MICHAEL A P O BOX 878 BOZEMAN, MT 59771 12 BAUTISTA, BETH ANN 5004 FORT SUMNER DRIVE BETHESDA, MD 20816 13 BENJEY, ANN E 546 E SPRINGVILLE ROAD CARLISLE, PA 17013 GRANDDAUGHTER DAUGHTER 2,500.00 5,000.00 307,587.00 751,415.00 12-19-89 REVOCABLE MANAGEMENT TRUST AGREEMENT THIS AGREEMENT, made, executed and delivered this ~ day of ~fp~nb~f , 198q, by and between GERTRUQE L. McPHERSON, an adult individual residing in the Borough of Carlisle, Cumberland County, Pennsylvania, hereinafter called the "Settlor", AND ANN E. STONER and MICHAEL A. STONER, adult individuals residing in the Borough of Carlisle, Cumberland County, Pennsylvania, hereinafter called the "Trustee(s)". WI TNES S E TH: WHEREAS, the Settlor desires to create a revocable trust for her sole and exclusive benefit and for the purposes herein set forth, and the Trustee(s) are willing to serve as the. fiduciary(s) hereunder and thereof, all on the conditions and terms hereinafter set forth. NOW THEREFORE, in consideration of these premises, and the mutual covenants herein contained, the parties hereto, each intending to be legally bound hereby, do now covenant and agree as follows: 1. Transfer. The Settlor does hereby transfer, assign and set-over to the Trustee(s), all of the Settlor's right, title and interest in and to all of the property described in Exhibit "A" attached hereto and hereby made an integral part hereof, the Trustee(s) to hold and administer the same in trust under and in accordance with the terms and conditions set forth in this Agreement. The Settlor, and any other persons, natural or legal, may at any time or times, by deed, Will or otherwise, transfer additional property to the Trustee(s) for the uses and purposes herein set forth, and the Trustee(s) shall accept and receive such additional property whenever tendered to it and shall hold and administer such additional property in trust under and in accordance with the~terms and conditions set forth in this Agreement. All property held in trust pursuant to the provisions of this Agreement collectively is hereinafter referred to as the "Trust Estate". The Settlor and the Trustee(s), and any persons transferring any property to the Trustee(s) hereunder, shall cooperate with one another at all times in preparing, completing, executing, delivering, filing and recording such deeds, instruments and other documents as may be necessary or appropriate to implement, effect or perfect.the transfer to the .Trustee(s) of the constituent assets and property of the Trust Estate. 2. Trustee(s). The Trustee(s) hereby accept the trust created by this Agreement under and subject to the terms and conditions herein set forth, and agrees tO~hold in trust and administer the Trust Estate in accordance with the provisions hereof. The interest'of the Trustee(s) in the Trust Estate and each of the constituent assets'.and properties thereof, and it is so acknowledged and agreed by all'parties hereto, is solely that of a fiduciary holding the TruSt Estate in trust for the exclusive benefit and enjoyment of the Settlor and for such other purposes as are herein provided. 3. Settlor's Lifetime. For and during the lifetime of the Settlor, the Trustee(s) shall manage and administer the Trust Estate in order to provide for the Settlor's long-term care, support, maintenance, health, and extraordinary needs, in accordance with the following terms and conditions: (a) The Trustee(s) shall invest the Trust Estate and receive and collect all income, earnings, interest, rents, gains, proceeds and profits arising from such investments of the Trust Estate. (b) The Trustee(s) shall distribute to the Settlor, or otherwise pay or apply as the Settlor may direct, all net income of and from the Trust Estate in sUch installments and with such frequency as may be directed by the Settlor, but in no event less frequently than quarterly each twelve (12) month time period; (c) The Trustee(s) shall distribute to the Settlor, or otherwise pay or apply as the Settlor may direct, principal of the Trust Estate as the Settlor from time to time may request; (d) If at any time the Settlor is adjudicated incompetent by a court of proper jurisdiction, or is, in the opinion of the Trustee(s), unable to manage her affairs properly by reason of illness or mental or physical disability, the Trustee(s) shall distribute, pay or apply from time to time such amounts of the net income, and if that be insufficient then from the principal of the Trust Estate as may be necessary or approPriate to maintain for the Settlor a standard of living approximately equivalent to that now enjoyed by her, to meet the. expenses and costs of maintaining her health such as medical, dental, hospital and nursing expenses arising from illness, accident, disability or invalidism, to provide for and meet any extraordinary or emergency expenses, and to provide for or meet any other purposes the Trustee(s) may deem to be in the best interests of the Settlor; in any such case, the Trustee(s) may - 2 - make or apply any payment under this subparagraph directly to the person or persons, natural or legal, to whom such payment is due. and owing for goods and/or services provided to or for the benefit of the Settlor, or to whom such payment otherwise is due and owing from the Settlor, and evidence of such payment or application shall be a full and complete discharge of the Trustee(s) to the extent thereof. 4. .Settlor's Death. Upon the death of the Settlor, there shall be paid from the then principal and accumulated income of the Trust, to the following persons and organizations, the following respective amounts: (a) Janet McPherson -- $5,000. (b) William Muse -- $2,500. (c) Robbin A. McPherson -- $1,000. (d) Jill Ann McPherson -- $1,000. (e) Mark McPherson -- $1,000. (f) Denise E. McPherson -- $1,000. (g) John Edward Gilbert -- $2,500. (h) Shirley Ann Downey -- $2,500. (i) Gertrude Laura McComb -- $2,500. (j) Margaret Jean Charters -- ~;2,500.' (k) Michael A. Stoner -- $5,000. (1) Melinda Heiberg - $5,000. (m) The Blind Project of the Lions Club of Carlisle -- $5,000. (n) The Bosler Library of Carlisle -- $5,000. (o) The Salvation Army Chapter of Carlisle --'$5,000. (p) The-Lupus Foundation -- $5,000. (q) The Alzheimer's Foundation -- $5,000. - 3 - (r)' The civil Engineering Department of the University of Michigan (in memory of the Settlor's husband, Lewis W. Fitch) -- $10,000. ' (s) The Carlisle Chapter of the American Cancer Society -- $1,000. (t) The Carlisle Chapter of the American Heart Association -- $1,000. (u) The Civic Club of Carlisle -- $1,000. If any beneficiary named above in this Section 4 is an individual, the above-stated amount for him or her shall be effective only if he or she survives the Settlor, except for Melinda Heiberg, and if she does not survive the Settlor, her share shall go per stirpes among her issue who survive the Settlor. The remaining principal and accumulated income of the Trust at the death of the Settlor shall be held in a continuing trust, the income and principal of which shall be distributed as follows: (a) The Trustee(s) shall from time to time pay such sums from the net income and principal of the Trust to or for the benefit of Ann E. Stoner (hereinafter "Ann") and her issue as may in the discretion of the Trustee(s) seem necessary for their support, maintenance and health care, for the maintenance by Ann of the standard of living maintained by her during the Settlor's lifetime, and for the education of Ann's issue, taking into account such other sources of income, support and estate that may be available to the beneficiary and the needs and resources of all the beneficiaries. Any of the foregoing distributions to or for the benefit of Ann's issue shall be based on their needs, rather than on a desire to maintain absolute equality of payment among them. The Settlor's first priority for the income and principal of the Trust taken together is the support, maintenance and health care of Ann for life, and the support, maintenance, health care and undergraduate education of each of Ann's issue until, completion of his or her undergraduate education. Any undistributed income of the Trust shall be added to and made part of the principal thereof. (b) The Trustee(s) may also pay from the principal of the Trust such sums as in the discretion of the Trustee(s) seems proper for the establishment of a grandchild of the Settlor in a business or profession or towards the acquisition or furnishing - 4 - of a home for a grandchild of the Settlor, taking into account the other resources of the grandchild, the.desirability of the transaction, and the reasonably anticipated needs and resources of all the beneficiaries under the Trust, provided, that the total distributions to or for the benefit.lof a grandchild of the Settlor under this sentence shall not exceed the reasonably anticipated amount that would be distributable to him or her pursuant to Subparagraph (e) below if no distributions were made under this Subparagraph (b); and each payment to him or her under this Subparagraph (b) shall be deemed an advancement to such grandchild (or to his or her issue) if he or she is not then living) in making the division of the property held in the Trust pursuant to Subparagraph (e) below, and shall be charged against his, her or their share. In making such division, an advancement shall be deemed as having changed in value in the same proportion as the Bureau of Labor Statistics. Consumer Price Index as applicable to Philadelphia has changed between the time of such advancement and such division. No beneficiary of the Trust shall participate as a co-trustee in any decision under this Subparagraph (b). (c) No payment, shall be made under Subparagraphs (a) or (b) above, which would discharge to any extent the legal obligation of any person for the support of the recipient of such payment. ~ (d) In addition to the foregoing, during any calendar year Ann shall have the unqualified right in her sole discretion to demand in one or more writings delivered by her to the Trustee(s) that she be paid up to Five Thousand Dollars ($5,000.00) from the principal of the Trust, and in addition, on December 31 of any such calendar year she shall have the unqualified right in her sole discretion to demand in a writing delivered by her to the Trustee(s) that she be paid from the principal of the Trust, an amount equal to five percent (5%) of the aggregate market value of the assets held in the Trust as of such date, minus all amounts distributed to her under this Subparagraph (d) during such calendar year. The right permitted Ann under this Subparagraph (d) may be exercised by her only as herein provided before the end of any given calendar year to which applicable and any amount as to which such right is not exercised for any such calendar year shall lapse and shall not accumulate or carry over to any future calendar year. (e) Upon the death of Ann, the Trustee(s) shall pay the balance held in the'Trust, outright or in trust, in such amounts or proportions to or for the benefit of any or all of the - 5 - Settlor's issue as Ann may direct in her will making specific reference to the Trust hereunder. To the extent that Ann should fail to exercise effectively her limited and special power of appointment over the Trust, then from and after her death, the principal remaining in the Trust shall.be distributed per stirpes to Ann's then issue, adjusted fqr any advancements pursuant to Subparagraph (b) above, prOvided, however, that if any such issue is then under the age of thirty-five (35)~.Years, his or her share shall be held for him or her in a separate trust hereunder under the terms of Subparagraph (f) below. (f) The income and principal of a separate trust in which a share in the Trust is held for a beneficiary pursuant to the terms of Subparagraph (e) above shall~be distributed as follows: · ' (i) The income shall be distributed at least quarterly to or for the benefit of the beneficiary. No payment shall be made under this Subparagraph (i) which would discharge to any extent the legal obligation of any person for the support of the beneficiary. (ii) The Trustee(s) shall pay from the principal such sums to or for the benefit of any or all of the beneficiary and his or her issue as in the discretion of the Trustee(s) seems proper for their support, maintenance, health care, and education, and such sums to or for the benefit of the beneficiary as in the discretion of the Trustee(s) seems proper to help establish him or her in a business or profession or acquire or furnish a home for him or her, taking into account the other sources of income, support and estate that are available to the distributee, the reasonably anticipated needs and resources of the beneficiary and his or her issue, their income and estate tax brackets, and the desirability of the transaction (if any). No payment shall be made under this Subparagraph (ii) which would discharge to any extent the legal obligation of any person for the support of the distributee. (iii) When such beneficiary shall have attained the age of twenty-five (25) years, the Trustee(s) shall distribute to him or her at his or her written request one third (1/3) of the remaining principal balance then held in his or her separate trust; when such beneficiary shall have attained the age of thirty (30) years, the Trustee(s) shall distribute to him or her at his or her written request one half (1/2) of the remaining prinCipal balance; and when such beneficiary shall have attained the age of thirty-five (35) years, the Trustee(s) shall - 6 - distribute to him or her at his or her written request the entire balance held in his or her separate trust..~ (iv) If such beneficiary should die before making proper request for the entire balance in his or her separate trust, then the entire balance in his or her separate trust shall at his or her death be distributed, outright or in trust, in such sums or proportions as such beneficiary may direct in his or her last will, expressly referring to his or her separate trust hereunder, but only among Ann's issue; and to the extent that such beneficiary shall fail to exercise effectively his or her limited power of appointment hereunder, the aforementioned balance in his or her separate trust shall then be distributed per stirpes to his or her issue, or, if no such issue survive him or her, per stirpes to the issue of his or her parent who was a child or more remote descendant of Ann, or, if no such issue survive him or her, per stirpes to the issue of his or her grandparent who was a child or more remote descendant of Ann or, if no such issue survive him or her, per stirpes to Ann's issue, with the share of any of such issue for whom property is then held in or payable to a separate trust under this Subparagraph (e) being added to such separate trust. (v) If during the lifetime of~a person for whom a separate trust under this Subparagraph (e) was established the interest of such person therein becomes void under the applicable rule against perpetuities, then the balance in such separate trust shall then be distributed outright to such person. 5. Spendthrift Provisions. No interest of any beneficiary or distributee hereunder in either the principal or income of any trust created hereunder shall be liable or subject in any manner while in the possession of the Trustee(s) to anticipation, pledge, assignment, sale, transfer, charge or encumbrance, whether voluntary or involuntary, or for any liabilities or obligations of such beneficiary or distributee whether arising from his or her death, debts, contracts, torts or engagements of any type. 6. Trustee(s)' Powers. Subject to.any restrictions or directions elsewhere contained in this Agreement, and except as otherwise specifically provided by law, in the administration of the Trust Estate and each trust created hereunder, the Trustee(s) shall have the following powers, which may be exercised without seeking or obtaining leave of court, in addition to all those powers as the Trustee(s) may have by law: - 7 - (a) At any time, to retain any property, real or personal, tangible or intangible, or mixed,, or interests therein, wheresoever situate, in the form in which it may be at the time of the Trustee(s), receipt thereof or thereafter, including without limitation any business owned or controlled by the Settlor, so long as in the exercise of the Trustee(s), discretion it may be advisable so to do, notwithstanding that said property may not be of a character authorized by law, and to conduct or participate in any such business as a sole proprietorship, corporation, partnership or joint venture,' even though it was not so organized or conducted at the time of ~he Trustee(s), receipt thereof. (b) To purchase, subscribe for, invest and reinvest, with any funds held in trust hereunder, in any property, real or personal, tangible or intangible, or mixed, or interests therein, wheresoever situate, as and in such proportions as the Trustee(s) may deem best, including, notwithstanding any contrary laws regarding conflict of interest, securities issued by the Trustee(s) hereunder or any affiliate thereof, and any common trust fund maintained by the Trustee(s) (a part of the Trust Estate so transferred to any such common trust fund being subject to all the terms and provisions of such common trust fund, which contemplates the commingling for investment purposes of assets of the Trust Estate with trust assets of other trusts), even though such property would not be considered appropriate or legal..for a fiduciary in the absence of this provision, it being the Settlor's intention to give the Trustee(s) the same power of investment ~and reinvestment that the Settlor would possess if present and acting. ~ (c) To sell, convey, exchange, partition, redeem, convert, surrender, give options upon, or otherwise dispose of any property, real or personal, tangible or intangible, or mixed, or interests therein, wheresoever situate, at any time held by the Trustee(s), at public or private sale or otherwise, for cash or any other consideration, or on credit, in such manner, to'such persons, for such price, and upon such terms and conditions as the Trustee(s) may.deem best, and no person dealing with the Trustee(s) shall be bound to see to the application of any funds paid to it. To lend and borrow money, to and from such persons or entities(d~including the executor or other personal representative of the Settlor or any deceased trust income beneficiary hereunder), in such amount or amounts, payable at such time or times and at such rates of interest, either - 8 - unsecured or with such security, and unde~ such other terms as the Trustee(s) may deem advisable, and for.any monies borrowed by the Trustee(s), to execute and deliver promissory notes or other evidence of obligation and as security mortgage, pledge or encumber any property, real or personal, .tangible or intangible, held in trust hereunder. (e) To renew or extend the time for payment of any obligation, secured or unsecured, payable to or by any trust hereunder, for such period or periods of time and upon such terms as the Trustee(s) may determine, and to adjust, settle, compromise and arbitrate claims or demands in favor of or against any trust hereunder. (f) To hold, manage, operate, improve, partition or subdivide any real estate that may be held by the Trustee(s) at any time, wheresoever situate, to mortgage any such property in such amounts and upon such terms as the Trustee(s) may consider proper, to lease any such property for such term or terms and under such conditions and.rentals as the Trustee(s) may deem advisable, irrespective of whether the term of any such lease shall exceed the period permitted by law or the probable period of retention in trust, and to make'repairs, replacements and improvements, structural or otherwise, in connection with any such property. (g) To abandon any property held'by the Trustee(s) that is of no value or that the Trustee(s) may deem to be of insufficient value to warrant keeping, maintaining or protecting, and to permit any such Property to be lost at tax sale or other proceeding. (h) To the extent that the Trustee(s) deems it advisable, to acquire and continue in forCe insurance on the life of the Settlor and pay the premiums therefor out of the income or principal of the Trust Estate, and upon the Settlor's death, to acquire and continue in force insurance on the life of any income beneficiary of any separate trust createdi!for his or her benefit hereunder and pay the premiums therefor out of the income or principal of such beneficiary,s separate trust; to obtain any cash surrender value of any such policies and add the same to trust principal, or to convert any such policies to permanent paid-up insurance; and to deal with such'policies~in any way that the Trustee(s) in their discretion may determine to be in the best interests of the Settlor and other trust beneficiaries hereunder, including without limitation borrowing against such insurance policies in order to pay the premiums thereon. - 9 - (i) In dividing or distributing any property hereunder, real or personal, tangible or intangible, or mixed, or interests therein, to divide or distribute in cash, in kind, or partly in Cash and partly in kind, and in shares different in kind from other shares, as the Trustee(s) may determine, and to that end to allot specific securities or other property, or an undivided interest therein, to any share,~part, trust or distributable portion; however, no statut6rily provided interest shall be allowed or paid on any distribution of property made by or from the Trust Estate or any trust hereunder, and all net income thereof shall be allocated and distributed as herein provided with no requirement that such income be accrued for or apportioned between any successive beneficiaries hereunder. (j) To retain, employ and pay agents,~employees, accountants and counsel, including but not limited to investment counsel or advisors, brokers, banks, custodians and other agents, for advice and other professional services, and to delegate to them such duties, rights and powers as the Trustee(s) may determine, for such time period or periods as it may deem advisable. (k) To register any securities held in trust hereunder at any time in the Trustee(s) own name, in their name as fiduciary, or in the name of a nominee, with or without indicating the trust character of the securities so registered. (1) With respect to any securities held in trust hereunder: to vote upon any proposition or election at any meeting of the corporation issuing such securities, to grant' discretionary or other proxies, to join and participate in any merger, reorganization, readjustment, voting trust plan, consolidation, exchange or other concerted action of holders of securities for the deposit of securities under agreements and payment of assessments, to deposit any such securities with any committee, trustee or other depository, to subscribe for stocks and bonds, to grant, obtain or exercise options, and generally exercise all rights of holders.of securities and take all actions with respect to any such securities as could be taken by the absolute owner thereof, including without limitation the delegation of discretionary duties with respect thereto. (m) In dealing with the stock of any close or other corporation, partnership interest, or other business held in or forming part of any trust hereunder, to disregard any principle of investment diversification and retain any part or all of it - 10 - for so long as the Trustee(s) may deem advisable; to do anything that the Trustee(s) may consider appropriate with regard to its operation, expansion, reduction, liquidati6n or termination, or any change in its purpose, nature or structure; to delegate authority or duties to any director, stockholder, manager, partner, employee or agent, and to approve its payment of reasonable compensation to any such person; to cause it to borrow money at reasonable terms from the banking department of a corporate co-trustee hereunder, notwithstanding any contrary laws regarding conflict of interest; to make additional investments in it if such action appears to be in the best interests of the beneficiaries hereunder; and, to participate actively in the management thereof and receive compensation for such services in addition to any fees or compensation to which the Trustee(s) are otherwise entitled as a fiduciarY. (n) Unless exercised by the Settlor, or upon her death by the Settlor's executor or other personal representative, and to the extent permitted by law, to exercise any election, right or privilege given by federal tax laws, or the tax laws of Pennsylvania or any other jurisdictions, and to determine and pay from the Trust Estate, or any trust hereunder, any taxes properly payable by or assessed against the Trust Estate or such trust, or the income or assets thereof, unless liability for payment of such taxes is assumed by the Settlor or one or more beneficiaries hereunder in a manner satisfactory to the Trustee(s), and in any such case to make or not make such compensating adjustments as between income and principal of any trust'hereunder as the Trustee(s) may deem appropriate. (o) To exercise all rights, options, powers and privileges granted to the Trustee(s) as the named beneficiary by, under or with respect to any life insurance or annuity policy, or any pension, retirement, welfare or other benefit plan or program, the proceeds or benefits of, from or under which are payable to the Trustee(s) hereunder as such beneficiary thereof, to collect and receive payment of such proceeds or benefits with no payor thereof to be responsible for the Trustee(s), application of the payment so made, and to compromise or settle any questions relating thereto as the Trustee(s) may deem best; provided however, that the Trustee(s) shall not be required to institute litigation to recover any such proceeds or benefits unless the Trustee(s) are reasonably indemnified for costs, counsel fees and other expenses of such litigation. (p) To combine for purposes of.administration and investment any or all of the trusts created hereunder; provided - 11 - however, that neither this power nor its exercise shall alter their status as separate trusts. (q) In general, to exercise all powers in the management of the assets and properties held in trust hereunder that any individual could exercise in the management of similar property held in his or her own right, upon such terms and conditions as to the Trustee(s) may seem best, and to execute and deliver all instruments and documents and. do all acts that the Trustee(s) may deem necessary or proper to carry out such management and their duties in the administration of any trust under this Agreement. .i 7. Accountings. Within a reasonable period of time, but in no event later than sixty (60) days, after the expiration of each trust year hereunder, the Trustee(s) shall prepare and furnish to the Settlor in the case of the Trust Estate, and to each income beneficiary of any separate trust created hereunder, a copy of a detailed accounting,· statement of receipts and disbursements, and balance sheet reflecting all transactions of the Trust Estate of such separate trust, as the case may be, for such trust year. 8. Taxes. (a) .Upon the death of the Settlor, or any income beneficiary of a separate trust created hereunder, the Trustee(s) may, if in their sole discretion the Trustee(s) deems it necessary or advisable to protect the Trust Estate, or such separate trust, as the case may be, or to~.ifacilitate the settlement of the estate of such decedent~ but shall have no duty or obligation to: (i) purchase with funds of the Trust Estate, or such separate trust, as the case may be, any securities or other property, or portions thereof or interests therein, tendered by such decedent's executor or other personal representative at any time or times within the period of nine (9) months after the date of the 'decedent,s death, at the market value thereof at the time of purchase, with any difference of opinion as to such market value to be fixed by the decedent's executor or other personal representative whose determination thereof shall be conclusively binding upon the Trustee(s) and all persons claiming hereunder or interested therein; (ii) pay from the Trust Estate, or such separate trust, as the case may be, any or all estate, inheritance, - 12 - legacy, transfer, succession or death taxes, of whatsoever nature or kind and by whatsoever jurisdiction imposed, including but not limited to generation-skipping transfer taxes imposed under the Internal Revenue Code of 1986, as amended~ payable or assesSed in consequence of the death of such decedent, and any or all interest and penalties thereon. (b) Upon the death of the Settlor, if any estate, inheritance, legacy, transfer,~succession or death taxes, of whatsoever nature or kind and by whatsoever jurisdictions imposed (excluding however any generation-skipping transfer taxes imposed under the Internal Revenue Code of 1986, as amended), are payable or assessed in consequence of the.Settlor,s death against, by reason of or with respect to the Trust Estate or any assets or property thereof, then unless the Settlor's Last Will in effect as of the date of her death shall provide that such taxes shall be paid by her executor from her estate, the Trustee(s) shall pay all such taxes, including any interest and penalties thereon (but excluding any of the aforesaid generation-skipping transfer taxes, and any interest or penalties thereon) from the principal of the Trust Estate, or make provision or allowance for such payment, without contribution, recovery or collection from any beneficiary or distributee hereunder. If any such taxes are payable or assessed partly by reason of the Trust Estate and partly by reason of assets or property not included in the Trust Estate, then unless the Settlor's Last Will in effect as of the date of her death shall provide otherwise, the Trustee(s) shall pay from the principal of the Trust Estate the difference between (a) the sum of all such taxes, and any interest and penalties thereon (but excluding any of the aforesaid generation-skipping transfer taxes, and any interest or penalties thereon) payable or assessed in consequence of the Settlor's death, and (b) the sum of all such taxes, interest and penalties (excluding any of the aforesaid generation-skipping transfer taxes, and any interest or penalties thereon) that would have been payable'or assessed in the absence of the Trust Estate or the assets or property thereof, it being hereby intended and directed that unless the Settlor otherwise provides in her Last Will, the principal of th~ Trust Estate shall pay the incremental~portion of such taxes, interest and penalties (excluding any of the aforesaid generation-skipping transfer taxes, and interest and penalties thereon) attributable to the Trust Estate or the assets or property thereof. (c) Payment of all taxes authorized or required under the preceding provisions of this paragraph shall be made by the Trustee(s) to the proper taxing authorities, or in the - 13 - Trustee(s)' sole discretion to the executor or other personal representative of the Settlor or other decedent for delivery to sUch taxing authorities, after receiving from such executor or other personal representative a written certification as to the amount of such taxes, interest and penalties, upon which certification the Trustee(s) shall be entitled to rely conclusively. 9. Restriction. Notwithstanding any other provisions hereof, in no case shall any annuity or other payments, or the proceeds of any life insurance policy, receivable by the Trustee(s) in consequence of the death of the Settlor or any trust income beneficiary hereunder, which with respect to.such decedent's estate are not subject in whole or in part to federal estate taxes under the Internal Revenue Code of 1986, as amended, or to state inheritance estate or other death taxes under the laws of the Commonwealth of Pennsylvania Or any other applicable jurisdiction, be receivable or received by, paid or loaned to, or used by or applied for the benefit of the estate or executor of such decedent, or any other person or purpose, to the extent that such nontaxable annuity or other payments or life insurance proceeds thereby would be subject to federal estate taxes or said state death taxes. 10. Trustee(s)' Compensation. The Trustee(s) shall be entitled to receive fair, equitable and reasonable compensation for his, her or its services hereunder as and when such services are rendered, in accordance with his, her or its then prevailing schedule-of fees, if any, in no event however to exceed trust fiduciary fees usually charged for such services by similar trustees in the same geographical area. In addition, the Trustee(s) shall be entitled to receive reimbursement for any expenses incurred by acting as a fiduciary hereunder. All trust fiduciary fees and expenses hereunder shall be deducted from and charged to the income, and if that be insUfficient then the principal, of each trust hereunder on .accOunt of which such fees and expenses were incurred or to which they are otherwise attributable or allocable, as and when the Trustee(s) shall determine, but not less frequently than once each trust year. 11. No Bond. The Trustee(s) shall not be required in any jurisdiction to file, enter or post bond or any other security for the faithful performance of their duties under this Agreement. 12. Revocation. The Settlor may revoke this Agreement or the Trust Estate hereunder, in whole or in part, at anytime or - 14 - times hereafter by written instrument executed by the Settlor and delivered to the Trustee(s) during the lifetime of the Settlor. 13. Amendment. The Settlor may amend or modify this Agreement or any provisions hereof, in whole or in part, at any time or times hereafter by written instrument executed by the Settlor and delivered to the Trustee(s) during the lifetime of the Settlor, provided, however~ that no provisions hereof that are for the benefit or protection of the Trustee(s), or that relate-to the duties of the Trustee(s) hereunder, may be amended or modified exCept by written instrument executed by both the Settlor and the Trustee(s). 14. Construction. Ail questions pertaining to the validity, interpretation, construction, administration and enforcement of this Agreement and each trust created hereunder shall be determined in accordance with the laws of the Commonwealth of Pennsylvania. Where Used in this Agreement, unless the context otherwise clearly requires: the plural shall include the singular, and the singular shall include the plural; the neuter gender shall include all genders; and the words "hereof", "hereto", "hereunder', and other similar compounds of the word "here" shall mean and refer to this entire Agreement and not to any particular provision or paragraph hereof, unless the context otherwise clearly requires. The captions of the numbered paragraphs of this Agreement have been inserted solely for convenience, and shall not limit, control or affect the meaning, interpretation or construction of this Agreement or any provisions hereof. 15. Bindinq Effect. The provisions of this Agreement shall be binding upon and inure to the benefit of the named parties hereto,'the beneficiaries and distributees herein identified, and their respective heirs, personal representatives, successors and assigns. · 16. Successor Trustee(s). If ever..Ann E. Stoner is Unable or unwilling to serve or to continue serVing, as a Trustee hereunder, no successor shall be appointed to serve in her place. If ever Michael A. 'Stoner is unable or unwilling to serve, or to continue serving, as a Trustee hereunder, he shall be succeeded as a Trustee by Michael B. Devlin. Upon the death of the Settlor, Michael B. Devlin shall become an additional Trustee hereunder, no matter who then is otherwise serving as a Trustee(s) hereunder. If ever Michael B. Devlin is unable or unwilling so.to serve as a Trustee hereunder, or to continue so serving as a Trustee hereunder, he shall be succeeded as Trustee - 15 - by such person or corporate fiduciary as he designates in a written'document delivered to the party he-has named, and if Michael B. Devlin fails to name such a successor to himself, or if the successor he names is unable or unwilling so to serve, or to continue so serving, Commonwealth National Bank shall serve as Trustee hereunder. IN WITNESS WHEREOF, the parties hereto, intending to be legally bound hereby, have duly executed this Agreement on this day, month and year first above written. Witness: SETTLOR: EAL) GERTRUDE ~L. McPHERSON ' Attest: TRUSTEE: ANN E. STONER MICHAEL A. STONER - 16 - EXHIBIT A - 17 - COMMONWEALTH OF PENNSYLVANIA COUNTY OF SS: : On this, the ~ day 0f~~Wj~ , 1989, before me, a Notary Public, the undersigned officer, personally appeared GERTRUDE L. McPHERSON, known to me (or satisfactorily proven) to be the person whose name is subscribed to the within Agreement of Trust, who acknowledged to me that she executed the same for the purposes therein contained. IN WITNESS WHEREOF, I hereunto set my hand and official seal. - 18 - FOURTHAMENDMENT TO REVOCABLE MANAGEMENT TRUST AGREEMENT This amendment, executed and delivered this ,/.:~t~'. day of ~.~.3,'~.ce3/~ ,2001 made by GERTRUDE L. MC PHERSON, an adult res~dmg ~n Carhsle, Pennsylvania, hereinafter called the "settlor", hereby amends in its entirety the third amendment dated the 28~ of August, 1997 to the said revocable management trust agreement as follows: WITNESSETH: Whereas, the settlor desires to amend the revocable management trust agreement between herself as settlor and ANN E. BENJEY and MICHAEL A. STONER, as trustees, dated December 26, 1989; Whereas, under section 13 of said trust agreement the settlor may amend or modify the said trust agreement, or any provisions thereof, in whole or in part, at any time or times, by written instrument executed by the settlor, and delivered to the trustees during the.lifetime of the settlor; NOW THEREFORE, the following amendments and modifications are made by the settlor to the 'said trust agreement: I. 'The opening paragraph of the trust agreement designating that ANN E. BENJEY and MICHAEL A. STONER are the trustees of the said trust is changed to delete MICHAEL A. STONER as a trustee thereof and the language changed so that ANN E. BENJEY is the onlytrustee. ANN E. BENJEY is hereby empowered to engage advisors to provide such services as legal, money management, accounting as she sees fit. The fact that MICHAEL A. STONER is no longer a trustee hereunder will not preclude him from being engaged by a trustee as an advisor. If ANN E. BENJEY is unwilling or unable to serve as trustee, alternate trustees shall be appointed according to section 16 of the Revocable Management Trust Agreement as amended by this third amendment. ANN E. BENJEY or her successor trustee shall retain the power to replace any advisor or professional service provider engaged by her under this trust. Section 4 of said trust agreement (beginning on page 3 thereof and ending on page on page 7 thereof) and any amendments thereto are deleted therefrom, and the following section 4 is inserted in place thereof: SETTLOR'S DEATH. Upon the death of the settlor, there shall be paid from the then principal and accumulated income of the trust, to the following persons and organizations the following respective amounts (a) Beth Stoner Bautista --$20,000 (b) Amy Michele Stoner-- $20,000 ' (c) Janet McPherson--$2,500 (d) Robbin McPherson--$1,000 (e) Jill Ann McPherson --$1,000 (f) Mark McPherson--$1,000 (g) DeniseE. McPherson--$1,000 (h) John Edward Gilbert--S2,500 (i) The surviving children of Shirley Ann Downey--S2,500 equally divided (.j) Gertrude Laura McComb--$2,500 (k) Mictiael A. Stoner--S5,000 (1) The Blind Project of the Lions Club of Carlisle, PA--S2,000 (m) Howell-Carnegie Districy Library of Howell, Michigan--S1,000 (n) The Salvation Army Chapter of Carlisle, PA--$2,500 (o) The Lupus Foundation--$1,000 (p) The Alzheimer's Foundation--S2,500 (q) The Carlisle, PA Chapter of the American Cancer Society--S1,000 (r) The Carlisle, PA Chapter of the American Heart Association--S1,000 (s) The Civic Club of Carlisle, PA--S1,000 (t) Carlisle, PA Chapter of The American Red Cross--S1,000 If any beneficiary named above in this section 4 is an individual, the above-stated amount for him or her shall be effective only if he or she survives the settlor, except for Beth Stoner Bautista and Amy Michele Stoner, and if one of such two persons does not survive the settlor, her share shall go per stirpes among her issue, if any, who survive the settlor. The remaining principal and accumulated income of the trust at the death of the settlor shall be distributed outright to the settlor's daughter, Ann E. Benjey, and if she does not survive the settlor, shall be distributed equally to the settlor's granddaughters, provided however, that if any such granddaughter is not then living, her share shall be distributed per stirpes to her issue who are then living, and, provided, further, that if any such granddaughter or any such issue is then under the age of thirty- five (35) years, his or her share shall be held for him or her in a separate trust hereunder under the terms of subparagraph (a) below. a) The income and principal of a separate trust in which a share in the trust is held for a beneficiary pursuant to the aforegoing terms of this section shall be distributed as follows: h) (i) The income shall be distributed at least quarterly to or for the benefit of the beneficiary. No payment shall be made under this subparagraph (i) which would discharge to any extent the legal obligation of any person for the support of the beneficiary. (ii) The trustee(s) may pay from the principal such sums to or for the benefit of any or all of the beneficiaries and his or her issue as in the discretion of the trustee(s) seems proper for their support, maintenance, health care, and education, and such' items to or for the benefit of the beneficiary as in the discretion of the trustee(s) seems proper to establish him or her in a business or profession or acquire or furnish a home for him or her, taking into account the other resources of income, support and estate that are available to the distributee, the reasonably anticipated needs and resources of the beneficiary and his or her issue, their income and estate tax brackets, and the desirability of the transaction (if any). No payment shall be made under this subparagraph (ii) which would discharge to any extent the legal obligation of any person for the support of the distributee. (iii) When such beneficiary shall have attained the age of twenty-five (25) years, the trustee(s) shall distribute to him or her at his or her written request one third (1/3) of the remaining principal balance then held in his or. her separate trust; when such beneficiary shall have attained the age of thirty (30) years, the trustee(s) shall distribute to him or her at his or her written request one half(l/2) of the remaining principal balance, and when such beneficiary shall have attained the age of thirty five (35) years, the trustee(s) shall distribute to him or to her at his or her ~vritten request the entire balance held in his or her separate trust. (iv) If such beneficiary should die before ma~ing proper request for the entire balance in his or her separate trust, then the entire balance in his or her separate trust shall at his or her death be distributed, outright or in trust, in such sums or proportions as such beneficiary may direct in his or her last will, expressly referring to his or her separate trust hereunder, but only among Ann's issue; and to the extent that such beneficiary shall fail to exercise effectively his or her limited power of appointment hereunder, the aforementioned balance in his or her separate trust shall then be distributed per stirpes to his or her issue, or, if no such issue survive him or her, per stripes to the issue of his or her parent who was issue of Ann, or, if no such issue survive him or her, per stirpes to Ann's issue, with the share of any such issue for whom property is then held in or payable to a separate trust under this subparagraph (a) being added to such separate trust. (v)If during the lifetime of a pers°n for whom a separate trust under this subparagraph (a) was established the interest of such person therein becomes void under the applicable role against perpetuities, then the balance in such separate trust shall then be distributed outright to each person. 3. Section 16 of the said trust agreement (beginning on page 15 thereof and ending on page 16 thereof) is deleted therel~om: 16. Successor Trustee(s). If ever Ann E. Benjey is unable Or unwilling to serve or to continue so serving, as a trustee hereunder, she shall be succeeded as a trustee hereunder by Beth Stoner Bautista. If ever Ann E. Benjey and Beth Stoner Bautista are both unable or unwilling to serve, or to continue so serving as a trustee hereunder, Amy Stoner shall serve as the trustee hereunder. If none of the persons named above is able to serve as trustee hereunder, then Farmers'- Trust shall serve as trustee. 4. In all other respects, said trust agreement shall remain in full force and effect as hereby amended and modified. IN WITNESS WHEREOF, the parties hereto, intending to be legallY bound hereby, have duly executed this agreement on the day, month and year first above written. Comr~onwealth of Pennsylvania By: GERTR~E L. MC P~ON County of Cumberland On this the/~, day of~/£A-'('*~c~? , 2001, before me, a Notary Public, the undersigned officer, personally appeared GERTRUDE L. MC PHERSON, known to me (or satisfactorily proven) to be the person whose name is subscribed to the within agreement of trust, who acknowledged to me that she executed the same for the purpoges therein contained. Notary PUblic Fo m 706 (Rev. November 2001) D apartment of the Treasury Internal Revenue Service United States Estate (and Generation-Skipping Transfer) .Tax.Retu rn Estate of a citize~ or resident Of th~ Uhi~ed $~te~ (see separate instructions). To be filed for decedents dying after December 31, 2000, and before January 1, 2002.~ For Paperwork Reduction Act Notice~ see page 25 of the separate instructions. la Decedent's first name and middle initial(and maiden name, if any) GERTRUDE OMB No. 1545-0015 lb Oecedent's lastname · 2 Decedent'a $SN No. 36i-01-61 1 3b ~;~;~,e 4 Date of birth 5 Date of death 1982 12/14/1906 01/13/2002 6b Executor's address (number and street including apartment or suite no. or rural route; city, town, or post office; state; and ZIP code) · 546 E SPRINGVILLE ROAD ICARLISLE, PA 17013 ' 3a Legal residence (domicile) at ti me of death (county, state, and ZIP code. or foreign country) COH~..RZ~,ND CO, PA 6a Name of executor (see page 4 of the instructions) ANN E BENJEY 6c Executor's social secudty number (see page 4 of the instructions) 377-42-3361 78 Name and location of court where will was probated or estate administered CUMBERLAND COUNTY ORPHAN' S COURT 8 10 1 2 3 Total gross estate less exclusion (from Part 5, Recapitulation, page 3, item 12) ................... Total allowable deductions (from Part 5, Recapitulation, page 3, item 23) ........................ Taxable estate (subtract line 2 from line 1 ) ............................................... 4 Adjusted taxable gifts (total taxable gifts (within the meaning of section 2503) made by the decedent after Dec. 31, 1976, other than gifts that are includible in decedent's gross estate (section 2001 (b)))... ~ Add lines3 and 4 ................................................................... § Tentative tax on the amount on line 5 from Table A on page 12 of the instructions ................. 7a If line 5 exceeds $10,000,000, enter lesser of line 5 or $17,184,000. If line 5 is $10,000,000 or less, skip lines 7a & 7b & enter -0- on line 7c 7a 0.0 0 b Subtract $10,000,000 from line 7a ............................. 7b 0,00 C Enter 5% (,05) of line 7b ............................................................. P 8 Total tentative tax (add lines 6 and 7c) ' A R g Total gift tax payable with respect to gifts made by the decedent after December 31, 1976. Include gift T taxes by the decedent's spouse for such spouse's share of split gifts (section 2513) only if the decedent 2 was the donor of these gifts and they are includible in the decedent's gross estate (see instructions) .. T 10 Gross estate tax (subtract line 9 from line 8) X 11 Maximumunifiedcredit(spplicablecreditamount) againstestatetax.. 1112 345,000,00 c 12 Adjustment to unified credit (applicable credit amount). (This O M adjustment may not exceed $6,000. See page 4 of the instructions.) .. 0.00 P 13 Allowable unified credit (applicable credit amount) (subtract line 12 from line 11).. T 14 Subtract line 13 from line 10 (but do not enter less than zero) ................................ A T 15 Credit for state death taxes. Do not enter more than line 14. Figure the credit by using the amount on I line 3 less $60,000. See Table B in the instructions and attach credit evidence (see instructions). N 16 Subtract line 15 from line 14 .......................................................... 17 Credit for Fed. gift taxes on pre-1977 gifts ( .... 2012)(att~chcomputation) 1917 0.00 18 Credit for foreign death taxes (from Schedule(s) P). (Attach Form(s)705-CE.).. 18 0.0 0 19 Credit for tax on prior transfers (from Schedule Q) ................ 0,0 0 20 Total (add lines 17, 18, and 19).. ' 21 Net estate tax (subtract line 20 from line 16) .............................................. 22 Generation-skipping transfer taxes (from Schedule R, Part 2, line 10) .......................... 23 Total transfer taxes (add lines 21 and 22) ................................................ 24 Prior payments. Explain in an attached statement ................. 24 0.00 25 United States Treasury bonds redeemed in payment, of estate tax .... 25 0.00 26 Total (add lines 24 and 25) ...... : .................................................... 27 Balance due (or overpayment) (subtract line 26 from line 23) ................................. 7b C~.number 21-02-0072 1~040,370.00 181~470.00 858~900.00 551,012.00 1,409,912.00 517,062.00 0.00 517,062.00 0.00 517,062.00 345,000.00 172,062.00 25,627.00 146,435.00 0.00 146,435.00 0.00 146,435.00 0.00 146,435.00 Under penalties of perjury, I declare that I have examined this return, including acco mpan ying sch edutes and statements, and to th e best of my knowledge and belief, it is true, correct, and complete. Declaration of preparer other than the executor is based on all information of which preparer has any knowledge. P 0 BOX 668 CARLISLE, PA 17013 Date ./ CAA t 70S1 NTF 2557525 Address (and ZIP code) Copyright 2001 Greatland/Nelco - Forms Software Only LAST WiLL AND TESTAMENT OF, GERTRUDE L. McPHERSON I, Gertrude L. McPherson, presently of Carlisle, Cumberland County, Pennsylvania, declare this to be my will and hereby revoke ali prior wills and codicils made by me. Requests of Personal Effects. I bequeath such items of my tangible personal property as are specifically itemized on a list, if any, in my handwriting, signed and dated by me at the end thereof, and attached to this, my Will, to the person(s) named thereupon to receive such items, and all of my remaining tangible personal property not used in business or for the production of income, including without limitation, furniture, furnishings, clothing, jewelry, objects of art and decoration, and the like, and any motor vehicles which I own, together with the insurance thereon, I bequeath to my daughter, Ann Benjey, if she survives me, and if my daughter does not survive me, I bequeath such property equally between my granddaughters. If either of my granddaughters does not survive me, her share shall be distribUted per stirpes among those of her issue that survive me. If there are no such issue, said property shall go to my other granddaughter. With regard to the property passing hereunder, if my granddaughters cannot agree about distribution between themselves, distribution shall be made between them on the basis of choices made in order determined by lot and by rotation, and the values as finally determined for inheritance tax purposes shall be determinative with regard to the values of the property chosen, and any ultimate disparity between them shall be equaled by such payment between them as necessary. If either of my granddaughters is not then living, the choices to Which she would have been entitled shall be made by her issue in order determined by lot and by rotation. Residue. I bequeath, devise, and appoint all the rest of my property, of whatever nature and wherever situated, including property over which I hold a power of appointment, to the Trustee(s) under a Revocable Management Trust Agreement of which I was the Settlor, dated December 26, 1989, to be held by said Trustee(s) and added to and administered as part of the trust established by said Agreement. Said trust is in existence as of the date of execution of this will, and it is my intention, if necessary to validate the foregoing gift to the Trustee(s), to incorporate herein by reference its terms and any amendments thereto. , Survival Clause. If any beneficiary hereunder should die within sixty (60) days after me or within sixty (60) days after any other person the survival of whom determines his or her rights hereunder, then such beneficiary shall be deemed to have predeceased me or such other person for all purposes hereunder. Powers. In addition to such other powers and duties as may be granted elsewhere herein or by law, the fiduciaries hereunder shall have the .following powers and duties, without the necessity of notice to or consent by any Court: (a) To retain all or any part of my property, real or personal, in the form in which it may be held at the time of its receipt, including any closely held business in which I have an interest and any stock of any corporate fiduciary hereunder, as long as in the exercise of their discretion it may be advisable so to do, notwithstanding that said property may not.be of a character authorized by law. (b) To invest and reinvest any funds held hereunder in any property, real or personal, including, but not by way of limitation, bonds, preferred stocks, common stocks, and other securities of domestic or foreign corporations or investment trust, mortgages or mortgage participations, and common trust funds, even though such property would not be considered appropriate or legal for afiduciary apart.from this provision. (c) To sell, convey, exchange, partition, give options to buy or lease upon, or otherwise diSpose of any property, real or personal, at any time held by them, with or without order of court at their option, at'public or private sale or otherwise, for cash or other consideration or for such credit terms as they think proper, and upon such terms and for such prices as they may determine, and to convey such property free of all trusts. (d) To borrow money from any person, including any fiduciary hereunder, for any purpose in connection with the administration hereo( to execute promissory notes or other obligations for amounts so borrowed, and to secure the payments of such amounts by mortgages or pledges of any property, real or personal, which may be held hereunder. (e) To make loans, secured or unsecured, in such amounts, upon such terms, at such rates of interest, and to such persons, .firms or corporations as they may deem advisable. (f) To renew or extend the time for payment of any obligations, secured or unsecured, payable to or by them, for as long a period of time and on such termS, as they may determine, and to adjust, settle, and arbitrate claims or demands in favor of or against them. (g) In dividing or distributing any property, real or personal, included herein, to divide or distribute in cash, in kind, or partly in cash or partly in kind. (h) To hold, manage, and develop any real estate which may be held by them at any time, to mortgage any such property in such amounts and on such terms as they may deem advisable; to lease any such property for such term or terms, and upon such conditions and rentals as they may deems advisable, whether or not the term of any such lease shall exceed the period permitted by law or any probable period of retention under this instrument; to make repairs, replacements and improvements, structural and otherwise, in connection with any such property, to abandon any such property xvhich they may deem to be worthless or not of sufficient value to warrant keeping or protecting, and to permit any such property to be lost by tax sale or any other proceedings. (i) To employ such brokers, banks, custodians, investment counsel, attorneys, and other agents, and to delegate to them such duties, rights and powers as they may determine, and for such periods as they think fit. (j) To register any securities at any time in their names as fiduciary, or in the names of nominees, with or without indicating the trust character of the securities so registered. (k) With respect to any securities held hereunder, to vote upon any proposition or election at any meeting or of the person or entity issuing such securities, and to grant proxies, discretionary or otherwise, to vote at any such meeting;' to join or become a party to .any reorganization, readjustment, merger, voting trust, consolidation or exchange, and to deposit any such securities with any committee, depository, trustee or otherwise, and to pay out of the trust created herein, any fees, expenses, and assessments incurred in connection therewith; to exercise conversiOn, subscription or other rights and to receive or hold any new securities issued as a result of any such reorganization, readjustment, merger, voting trust, consolidation, exchange or exercise of conversion, subscription or other fights and generally to take all action with respect to any such securities as could be taken by the absolute owner thereof. (1) To engage in sales, leases, loans, and other transactions with my estate or any trust established by me, even if they are fiduciaries or beneficiaries thereof. (m) To make all necessary proofs of death under the insurance policies of which they are the beneficiary, to execute any receipts for the proceeds and to institute any action to collect said proceeds and to make adjustments of any claim thereunder, provided,, however, that they need not institute any action unless they shall have been indemnified against all expenses and liabilities to which they may become subject as a result thereof. If however, they desire to institute such action without indemnification, they are hereby authorized to be reimbursed for all expenses and liabilities incurred as a result thereof from any amounts which may be held in trust hereunder then or thereafter. (n) To exercise all elections which they may have with respect to income, gift, estate, inheritance or other taxes, including without limitation execution of joint income tax returns, election to deduct expenses in computing one tax or another, election to split gifts, and election to pay or to defer payment of any tax, in all events without their being bound to require contribution from any other person. (o) To operate, own, or develop any business or property held hereunder in any form, including without limitation sole proprietorship, limited or general partnership, corporation, association, tenancy in common, condominium, or any other, whether or not'they have restricted or no management rights, as they in their discretion think best. Spendthrift Clause. No interest (whether in income or principal, whether or not a remainder interest, and whether vested or contingent) of any beneficiary hereunder shall be subject to anticipation, pledge, assignment, sale or transfer in any manner, nor shall any beneficiary have power in any manner to charge or encumber his or her said interest, nor shall the said interest of any beneficiarY be liable or subject in any manner while in the possession of the fiduciaries for any liability of such beneficiary, whether such iiabliity arises i'rom his debts, contracts, torts, or other engagements of any type. Facility of Payments for Minors or Incompetents. Any amounts or property which are payable or distributable hereunder to a minor incompetent may, at the discretion of the fiduciaries, be paid to the parent or guardian of such minor or incompetent, to the person with whom such minor or incompetent resides, or directly, to. such. minor or incompetent, or may be.apPlied for the use of benefit of such minor or incompetent. Taxes. I direct that all estate, inheritance, and succession taxes that may be assessed in consequence of my death, of Whatever nature and by Whatever jurisdiction imposed, shall be paid out of the principal of my general estate to the same effect as if said taxes were expenses of administration, and all other property includible in my taxable estate for federal or state tax purposes, whether or not'passing under this will, shall be free and clear thereof. No such taxes shall be paid out of assets, such as payments received from a qualified pension or profit-sharing plan, that are not includible in my federal gross' estate. · Fiduciaries. I appoint my daUghter, Ann Benjey, as Executrix hereunder, and it' she is unable or unwilling so to serve, or to Continue so to serve, I appoint my granddaughter, Beth Ann Bautista, to serve in her place, and if ever Beth Ann is unable or unwilling to serve, or to continue to serve; I appoint my granddaughter, Amy Stoner, to serve in her place, and if ever she is unable or unwilling to serve, or to continue to serve, I appoint Orrstown Bank or its successor to serye as Executor hereunder. My fiduciary(s) hereunder shall serve as guardian(s) of the property of any minor beneficiary(s) hereunder, under any instrument of trust executed by me, under any policies of insurance on my life, and in any other situation in which the power to make such aPpointment exists under the laws of Pennsylvania.. 'N0 individual fiduciary shall be liable for the acts, omissions, or defaults of any agent appointed and retained with due care or of any co-fiduciary. No fiduciary shall be required to furnish bond or other security for the proper performance o.fhis or her duties hereunder. 9. Gender. Unless the context indicates otherwise, any use of either gender herein shall als° include the other gender. IN WITNESS WHEREOF, I, GERTRUDE L. McPHERSON, have hereunto set my hand and seal to the my Last Will and Testament, consisting of five (5) typewritten pages, including the self-proving attestation clause and signatures of witnesses, this day of February, 2001. Gertmd6 L. McPherson Signed, sealed, published and declared by the above-named Testatrix, GERTRUDE L. McPHERSON, as and for her Last Will and TeStament in the presence of Us, who hereunto subscribed our names at her request as witnesses thereto, in the presence of said Testatrix and of each other. ADDRESS ADDRESS COMMONWEALTH OF PENNSYLVANIA COUNTY OF CUMBERLAND "SS We, GERTRLrDEL. McPHERSON, Pe~c~xe ~ t3 f~,rt,.J and (.~xr~'~ ~ I' [ Q~- ~ II { ~ the Testatrix and witnesses, respectively Whose names are si~ed to the foregoing or attached instrument, being first duly sworn, do hereby declare to the undersized aUthority that the Testatrix signed and executed the instrument as her Last Will and Testament and that she signed willingly ~d that she executed as her ~ee and volunta~ act for the purposes therein expressed, and that each of the ~tnesses, in the presence and hearing of the Iestatfix signed the Will as ~tnesses and that to the best their knowledge ~d the Testatrix was at the time 18 or more years of age, of sound mind and under'no constraim or undue i~uence. , ...7 ... :~ /.-~::' Ge~mde L. McPherson Witness Subscribed, sworn to and acknowledged before me by GERTRUDE L. McPHERSON,,., the Testatrix, and subscribed to and sworn or affirmed to before me /?,:&'¢_'/ /;: ~c~//i~'? and 03co/ ,.',_'I L).c~u'i,'r'9 , witnesses, this ..x~"°'-//~ day of February, 2001. REV-1500 EX + (6-00) COMMONWEALTH OF PENNSYLVANIA DEPARTMENT OF REVENUE DEPT. 280601 HARRISBURG, PA 17128-0601 REV-1500 I O F,C,AL USE ONLY INHERITANCE TAX RETURNIFILENUMBER RESIDENT DECEDENT 21 2002 0072 COUNTYCODE YEAR NUMBER DECE- DENT CHECK APPRO- PRIATE BLOCKS CDR- RE- SPON DENT RECA- PITULA- TION TAX COMPU- TATION DECEDENT'S NAME (LAST, FIRST, AND MIDDLE INITIAL) MCPHERSON, GERTRUDE DATE OF DEATH (MM-DD-YEAR) I DATE OF BIRTH (MM-DD-YEAR) 01/13/2002 I 12/14/1906 (IF APPLICABLE) SURVIVING SPOUSE'S NAME (LAST, FIRST, AND MIDDLE INITIAL) SOCIAL SECURITY NUMBER 361-01-6111 THIS RETURN MUST BE FILED IN DUPLICATE WITH THE REGISTER OF WILLS SOCIAL SECURITY NUMBER  1. Original Return ' 4. Limited Estate 6. Decedent Died Testate (Attach copy of Will) . 9. Litigation Proceeds Received 2. Supplemental Return 4a. Future Interest Compromise (date of death after 12-12-82) 7. Decedent Maintained a Living Trust (Attach a copy of Trust) 10. Spousal Poverty Credit(date of death between 12-31-91 and 1-1-95) 3. Remainder Return (date of death prior to 12-13-82) 5. Federal Estate Tax Return Required 8. Total Number of Safe Deposit Boxes D11. Election to tax under Sec. 9113(A) (Attach Sch O) NAME MICHAEL B DEVLIN FIRM NAME (If Applicable) BOYER & RITTER TELEPHONE NUMBER 717-249-3414 COMPLETE MAILINGADDRESS P O BOX 668 CARLIST.;., PA 17013 OFFICIAL USE ONLY 1. Real Estate (Schedule A) (1) 2. Stocks and Bonds (Schedule B) (2) 3. CloSejy Held Corporation, Partnership or Sole-Proprietorship (3) 4. Mortgages & Notes Receivable (Schedule D) (4) 5. Cash, Bank Deposits & Miscellaneous Personal Property (Schedule E) (5) 6. Jointly Owned Property (Schedule F) ~-'~ Separate Billing Requested (6) 7. Inter-Vivos Transfers & Miscellaneous Non-Probate Property (Schedule G or L) 158,900.00 0.00 0.00 0.00 113~234.00 0.00 .(7) 1,294,763.00 8. Total Gross Assets (total Lines 1-7) (8) 9. Funeral Expenses & Administrative Costs (Schedule H)(9) 8 4, 613. 00 10. Debts of Decedent, Mortgage Liabilities, & Liens (Schedule I)(10) 8 3, 8 57. 00 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 (13) has not been made (Schedule J) 14. Net Value Subject to Tax (Line 12 minus Line 13) (14) 1,566,897.00 168,470.00 1~398~427.00 13,000.00 1,385,427.00 SEE INSTRUCTIONS ON PAGE 2 FOR APPLICABLE RATES 15. Amount of Line 14 taxa ble at the spousal tax rate, or transfers under Sec. 9116 (aX1.2) 0 · 0 0 X .0 0 (15) 16. Amount of Line 14 taxable at lineal rate i, 3 6 7,42 7 · 0 0 X .045 (16) 17. Amount of Line 14 taxable at sibling rate 0. 00 X .12 (17) 18. Amount of Line 14 taxable at co Ilateral rate 18, 0 0 0 · 0 0 X . 1.5 (18) 19. Tax Due (19) 0.00 61,534.00 0.00 2~700.00 64~234.00 0 PA15001 NTF 29755 Copyright 2000 Greatland/Nelco LP- Forms Software Only PA REV-1500 EX (8-0o) Decedent's Complete Address: Page 2 STREET ADDRESS c/o ~ BEN,.T~Y 546 E SPRINGVILLE ROAD CrTY CARLISLE ISTATE PA IZIP 17013 Tax Payments and Credits: 1. Tax Due (Page I Line 19) 2. Credits/Payments A. Spousal Poverty Credit B. Prior Payments C. Discount (1) 64,234.00 Interest/Penalty if applicable O. Interest E, Penalty' 0.00 50,000.00' 2f632.00 Total Credits (A + B + C) (2) 52,632.00 0.00 0.00 Total Interest/Penalty (D + E) (3) 0 o 00 4. If Line2 is greater than Line I + Line 3, enter the difference, This is the OVERPAYMENT. Check box on Page 1 Line 20 to request a refund (4) 5. If Line 1 + Line 3 is greater than Line 2, enter the difference. This is the TAX DUE. (5) 11,602.00 A. Enter the interest on the tax due. (SA) 0 o 00 B. Enter the total of Line 5 + SA. This is the BALANCE DUE. (5B) 11 ~ 602.00 Make Check Payable to: REGISTER OF WILLS, AGENT PLEASE ANSWER THE FOLLOWING QUESTIONS BY PLACING AN "X" IN THE APPROPRIATE BLOCKS 1. Did decadent make a transfer and: Yes No a. retalntheuseorincomeofthepropertytransferred; ....................................... I ~ b. retain the right to designate who shall use the property transferred or its income; ................. c. retain a reversionary interest; or ....................... ' ................................. d. receive the promise for life of either payments, benefits or care? ............................... 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? ................. ....................................... U ]~ IF THE ANSWER TO ANY OF THE ABOVE QUESTIONS IS YES, YOU MUST COMPLETE SCHEDULE G AND FILE IT AS PART OF THE RETURN. 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 behef, it is true, correct and complete. Declaration of preparer other than the personal representative is based on information of which preparer has any knowledge. SIGNATURE OF PERSON RESPONSIBLE FOR FILING RETURN DATE ADDRESS P O BOX 668 CARLISLE, PA 17013 SIGNATURE OF PREPARER OTHER THAN REPRESENTATIVE DATE ADDRESS P O 1=.OX 668 CARLISLE, PA 17013 For dates of death on or after July 1, 1994 and before January 1, 1995, the tax rate imposed on th e net value of transfers to or for the use of the surviving spouse is 3% [72 P.S. 0 9115 (a) (1.1) (i)]. For dates of death on or after January 1, 1995, the tax rate is imposed on the net value of transfers to or for the use of the surviving spouse is 0% [72 P.S. ~ 911~1 (a) (1.1) (ii~]. Th e statute does not exer~Pt a transfer to a surviving spouse from tax, an d the statutory req uire merits for disclosure of assets an d 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 th e child is 0% [72 P.S. ~1911 ~aX1.2)]. The tax rate imposed on the net value of transfers to or for the use of the decedent's lineal beneficiaries is 4.5%, except as noted in 72. P.S, § 9116(1.2) [72 P.S.§ 9115(a)(1)]. The tax rate imposed on the net value of transfers to or for the use of the decedent's siblings is 12% [72 P.S. § 9116(a)(1.3)]. A si bling is defined, under Section 9102, as an individual who has at least one parent in common with the decedent, wheth er by blood or adoption. 0 PAI~02 NTF 29756 Copyright 2000 Greatiand/Nelco LP- Forms Sof~ware Only Form 708 (Rev. 11-01 ) Estate of: GERTRUDE MCPHERSON 361-01-6111 Part 3 -- Elections by the Executor Please check the "Yes" or "No" box for each question. (See instructions beginning on page 5.) Yea No 1 Do you elect alternate valuation? ............ ~ ........................................................ , I x 2 Do you elect special use valuation? ' X If "Yes," you must complete and attach Schedule A-1. 2 3 Do you elect to pay the taxes in installments as described in section 6166? ..................................... ~ X If "Yes," you must attach the additional information described on page 8 of the instructions. 3 4 Do you elect to postpone the part of the taxes attributable to a reversionary or remainder interest as described in section 6163? .................................................................................... 4 x Part 4 -- General Information (Note: Please attach the necessary supplemental documents. You must attach the death certificate.) (See instructions on page 9.) Authorization to receive confidential tax information under Regs. sec. 601.504(b)(2)(i); to act as the estate's representative before the IRS; and to make written or oral presentations on behalf of the estate if return prepared by an attorney, accountant, or enrolled agent for the executor: Name of representative (print or type) State Address (number, street, and room or suite no., city, state, and ZiP code) MICHAEL B DEVLIN PA P O BOX 668 CARLISLE, PA 17013 I declare that I am the I I attorney/lXI cert, public U enrolled agent (you must check applicable box) for the executor & prepared this return accountant/ for the executor. I am not under suspension or disbarment from practice before the IRS and am qualified to practice in the state shown above. ~ />~.~.__....~._ CAF number Date Telephone number 2600-57451R 717-249-3414 I Death certificate number and issuing authority (attach a copy of the death certificate to this return). P 7913708 COMM OF PA~ DEPT. OF HEALTH 2 Decedent's buan. or occupation. If retired, check here I~ ~XI and state decedent's former business or occupation. HOMEMAKER ~ 3 Marital status of the decedent at time of death: [Married Widow or widower -- Name, SSN, and date of death of deceased spouse  Single Legally separated Divorced -- Date divorce decree became final 4a Surviving spouse's name 14b Social security number 14¢ Amount received (see page g of the instructions) 0,00 5 Individuals (other than surviving spouse), trusts, or other estates who receive benefits from the estate (do not include charitable beneficiaries shown in Schedule O) (see inst.). For Privacy Act Notice (applicable to individual beneficiaries only), see the Instructions for Form 1040. Name of individual, trust, or estate receiving $5,000 or more Identifying number Relationship to decedent Amount (see inst.) AMY M STONER MICHAEL A STONER BETH ANN BAUTISTA ANN E BENJEY 201-52-1657 192-30-0954 201-52-1775 377-42-3361 GRANDDAUGHTER GRANDDAUGHTER DAUGHTER All unascertainable beneficiaries and those who receive less than $5,000 ..................................... I~ Total ........................................................................................... 20,000.00 5,000.00 20,000.00 666,465.00 14,000.00 725,465.00 Please check the "Yes'~ or "No" box for each question. Yes No 6 Does the gross estate contain any section 2044 property (qualified terminable interest properly (QTIP) from a prior gift or estate) (see page 9 of the instructions)? ..................................................................... X (continued on next page) CAA I 70S2 NTF 2557526A Copyright 2001 Greattand/Nelco - Forms Software Only * Page 2 ['his is. to certi~ that the infbrmation here given is- correttly copied £rom an original certificate of death duly fired with me as Local Rtlgistrar. The origin',d certificate.will be fbrWarded'to the State Vital Records Office for permanent filing. WARNING: It is illegal to duplicate this copy by Photostat' or photograph.. Fee for this certificate, $2.00 Local Registrar 791.3 708 JAN i 7 2002 · No. Date COMMONWEALTH OF PENNSYLVANIA · OEPARTMENT OF HEALTH * VITAL RECORDS CERTIFICATE OF DEATH I 95 L Cumberland ,,~ Homemaker I,,~. Own Home' 113 .HilIside DZ'.:' Carlisle~PA 17013 I ,,.' ~yron Burton Carlisle Thornwald Home I,,. -- r~ I .'3 ¢'a I ('~ ~ S''4 ..... wid~~ '~.~ ~rland ~ ,~,.~ ~ Carlisle ,L E~t~e ~de ~att I~ ~ S. Sprzngvzlle Rd., ~rl[sle PA 17013 ~verside Cemtew ,~¢bion, 'Ann E; Benjey -~,E~O~o~ss~r~..rn, Hoffman-Rot~ Funeral Home · -,,219 N. Hanover S~.. Carlisle PA 170:1.3 LICENSE NUMBER ID~'E $1GNEO = ,.,---o -r · ,,,.2Ta3a_a_,q/~. E ED OMEOC. A~EXAMINER~,~3RO, NEA?~ / 1 O' 'i". '. " 0 [] I~'. I:~, ". LI~E~SE Numee~ o~rE S~Eo~. ~. ~) STATE OF PENNSYLVANIA COUNTY OF CUMBERLAND estate of MCPHERSON GERTRUDE L in said county, deceased, to SHORT'CERTIFICATE MARY C. LEWIS Register for the Probate of Wills and Granting .Letters of Administration &c. in and for said County of CUMBERLAND do hereby certify that on the 23rd day of January A.D., Two Thousand and Two, Letters TESTAMENTARY in common form were granted by the Register of said County, on the , late of CARLISLE BOROUGH BENJEY ANN (~AS'~', ~'±~'~', and that same has not since been revoked. IN TESTIMONY WHEREOF, I have hereunto set my hand and affixed the seal of said office at CARLISLE, PENNSYLVANIA, this 23rd day of January A.D., Two Thousand.and Two.. 2002-00072 21-02-0072 1/13/2002 361-01-6111 File No. PA File No. Date of Death s.s. # Register NOT VALID WITHOUT ORIGINAL SIGNATURE AND IMPRESSED SEAL F~m 706 (Rev. 11-01 ) ' Part 4 -- General Information (continued) 361-01-6111 Please check the 'Yes" or 'No' box for each question. 7a Have Federal gift tax returns ever been filed? ................................................................ X If "Yes," please attach copies of the returns, if available, and furnish the following information: 7b Period(s) covered I 7C Internal Revenue office(s) where filed See Schedule attachectI . . If you answer'~' "Yes to any of questions 8-16. you must attach additional information aa described in the instructions. aa was there any insurance on the decedent's life that is not included on the return as part of the gross estate? ............... b Did the decedent own any insurance on the life of another that is not included in the gross estate? ....................... g Did the decedent at the time of death own any properly as a joint tenant with right of survivorship in which (a} one or more of the other joint tenants was someone other than the decedent's spouse, and (b) less than the tull value of the property is included on.the return as part of the gross estate? If "Yes," you must complete and attach Schedule E .................... 10 Did the decedent, at the time of death, own any interest in a partnership or unincorporated business or any stock in an inactive or closely held corporation? ....................................................... · ....................... 11 Did the decedent make any transfer described in section 2035, 2036, 2/037, or 2038 (see the instructions for Schedule G beginning on page 11 of the separate instructions)? If "Yes," you must complete and attach Schedule G ................... 12 Were there in existence at the time of the decedent's death: a Any trusts created by the decedent during his or her lifetime? .................................................... b Any trusts not created by the decedent under which the decedent possessed any power, beneficial interest, or trusteeship? 13 Did decedent ever possess, exercise, or release any general power of appointment? If "Yes," you must complete & attach Sch. H 14 was the marital deduction computed under transitional rule of Public Law 97-34, sec. 403(e)(3) (Economic RecoveryTaxActof 1981)? If "Yes," attach a separate computation of the marital deduction, enter the amount on item 20 of the Recapitulation, and note on item 20 "computation attached." 15 was the decedent, immediately before death, receiving an annuity described in the "General" paragraph of the instructions for Schedule I? If "Yes," you must complete and attach Schedule I ................................................ 16 Was the decedent ever the beneficiary of a trust for which a deduction was claimed by the estate of a pre-deceased spouse under section 2056(b)(7) and which is not reported on this return? If "Yes," attach an explanation ........................ Part 5 -- Recapitulation . No ====================== X X X X Item Gross estate Alternate value Value at date of death no. I Schedule A-- Real Estate .......................................... I :[58 , 900 . 00 ' 158,900.0~: 2 Schedule B -- Stocks and Bonds .................................... 2 0.00 0.0( 3 ' Schedule C -- Mortgages, Notes, and Cash ............................ 3 20,522.00 20,522.0( 4 Schedule D -- Insurance on the Decedent's Life (attach Form(s) 712) ......... 4 0.00 0.0~: 5 Schedule E -- Jointly Owned Property (attach Form(s) 712 for life insurance)... $ ' 152,500.00 152,500.0( 6 Schedule F -- Other Miscellaneous Properly (attach Form(s)712 for life insurance) . . . 6 92,712.00 92,712.0( 7 Schedule G -- Transfers During Decedent's Life (att. Form(s)712 for lifeinsurance)... 7 615,736.00 718,754.0( 8 Schedule H -- Powers of Appointment ................................ 8 0.00 0.0( 9 Schedule I -- Annuities ............................................ D 0.00 0.0( J0 Total grose estate (add items 1 through 9) .............................. 10 1,040,370.00 1,143,388.0( 11 Schedule U -- Qualified Conservation Easement Exclusion ................. 11 o. co 0.0( 12 Total gross estate less exclusion (subtract item 11 from item 10). Enter here and on line 1 of Part 2 -- Tax Computation ................................. 12 1,040,370.00 :].,:[43,388.0( Item Deductions Amount no. 13 Schedule J -- Funeral Expenses and Expenses Incurred in Administering Property Subject to Claims .... 13 84,6:[3. o( 14 Schedule K -- Debts of the Decedent ..................................................... 14 83,857.0( ! 5 Schedule K -- Mortgages and Liens ...................................................... 15 0.0( 16 Total of items 13 through 15 ........................................... · .................. 16 168,470.0( 17 Allowable amount of deductions from item 16 (see the instructions for item 17 of the Recapitulation) ..... 17 168,470.0( 18 Schedule L -- Net Losses During Administration ............................................. 18 0.0( ! g Schedule L -- Expenses Incurred in Administering Property Not Subject to Claims ................... 19 0.0( 20 Schedule M -- Bequests, etc., to Surviving Spouse ........................................... 20 0.0( 21 Schedule O -- Charitable, Public, and Similar Gifts and Bequests ........................... ' ..... 21 :[3,000.0( 22 Schedule T -- Qualified Family-Owned Business Interest Deduction .............................. 22 0.0( 23 Total allowable deductions (add items 17 through 22). Enter here and on line 2 of the Tax Computation .. 23 181,470.0( Page 3 CAA I 7063 NTF 2557277 Copyright 2001 Greatland/Nelco - Forms Software Only Estate of: GERTRUDE MCPHERSON Period Covered Gift Tax Returns I.R.S. Office 361-01-6111 2001 2002 CINCINNATI CINCINNATI Form 709 Department of the Treasury Internal Revenue Service United States Gift (& Generation-Skipping Transfer) Tax Return (Section 6019 of the Internal Revenue Code) (For gifts made during calendar year 2001 ) · See separate Instructions. OMB No. 1545-0020 2001 P A R T G E N E R A L I N F O R M A T I O N I Donors first name and middle initial GERTRUDe. L 2 Donor's last name MCPHERSON 3 Donor's social security number 361-01-6111 4 Address (number, street, and apartment number) 5 Leg~lresidence (domicile)(county & state) c/o ANN BENJEY 546 E SPRINGVILLE ROAD CUMBERLAND CO 6 City, state, and ZIP code C~/~.LIS~.~., PA 17013 7 Citizenship US 8 If the donor died during the year, check here · I J and enter date of death . , . Yes No 9 If you received an ex[ of time to file this Form 709, check hers · [] & attach the Fo-rm 4868,2688, 2350, or extension letter 10 Enter the total number of separate donees listed on Schedule A -- count each person only once... · 2 11a H ave you (the donor) previously filed a Form 709 (or 709-A) for any other year?. If answer is "No," do not complete line 11 b.. 11b If the answer to line 11a is "Yes," has your address changed since you last filed Form 709 (or 709-A)? .................. 12 Gifts by husband or wife to third parties. -- Do you consent to have the gifts (including generation-skipping transfers) made by you and by your spouse to third parties during the calendar year considered as made one-half by each of you? (See instructions.) (If the answer is "Yes," the following information must be furnished and your spouse must sign the consent shown below. If the answer la "No,' skip lines 13-18 and go to Schedule A.) ............................. 13 Name of consenting spouse I 14 SSN 15 Were you married to one another during the entire calendar year?. (see instructions) ................................. 16 If answer to 15 is "No," check whetherI Imarriedl Idiv°rced °ri I widowed, & give date (see inst.) · 17 Will a gift tax return for this calendar year be filed by your spouse? .............................................. 18 Consenting spouse's signature · Consent of Spouse -- I Consent to have th,e gifts (and generation-skipping transfers) made by me and by my spouse to third parties during the calendar year considered as mace one-half by each of us. We are both aware of the joint and severs/liability for tax created by the execution of this consent Date · Enter the amount from Schedule A, Part 3, line 15 ......................................... Enter the amount from Schedule B, line 3 ............................................... Total taxable gifts (add lines 1 and 2) ................................................... Tax computed, on amount on line 3 (see Table for Computing Tax in separate instructions) ......... Tax computed on amount on line 2 (see Table for Computing Tax in separate instructions) ......... Balance (subtract line 5 from line 4) .................................................... Maximum unified credit (nonresident aliens, see instructions) ...... .............. ' ....... · ..... Enter the unified credit against tax allowable for all prior periods (from Sch. B, line 1, col. C) ........ Balance (subtract line 8 from line 7) .................................................... Enter 20% (.20) of the amount allowed as a specific exemption for gifts made after September 8, 1976, and before Janua~ 1, 1977 (see instructi6ns) ....................... · ..................... Balance (subtract line 10 from line 9) ................................................... Unified credit (enter the smaller of line 6 or line 11 ) ........................................ Credit for foreign gift taxes (see instructions) ............................................. 464,971 00 0 00 464,971 00 143,890 14 0 00 143,890 14 220,550.00 0.00 220,550.00 0.00 220 550.00 143,890.14 0.00 143,890.14 0.00 0.00 0.00 0.00 0.00 0.00 14 Total credits (add lines 12 and 13) ..................................................... T 15 Balance (subtract line 14 from line 6) (do not enter less than zero) ............................ T A 16 Generation-skipping transfer taxes (from Schedule C, Part 3, col. H, Total) ...................... C H .E C K or O R D E R H E R 17 Total tax (add lines 15 and 16) ........................................................ 18 Gift and generation-skipping transfer taxes prepaid with extension of time to file ................. 19 If line 18 is less than line 17, enter balance due (see instructions) ............................. 20 If line 18 is greater than line 17, enter amount to be refunded ............................... Sign Under penalties of perjury, I declare that I have examined this return, including any accompanying schedules and statements, and to the best of my knowledge an d belief, it is true, correct, and co mpte~te. Declaration of preparer (other than donor) is based on all information of which preparer has any Here Paid Preparer'a Use Only knowledg~.,~ , ~1~ Signature of donor ~~ c/ (/ signature · Firm's name (or ~ ~OYER & RITTER youm if ~ · ~ O ~OX 668 ~lf-employed), address, & ZIP ~de--C~[S~ IDate /O//0/~'~ I Phoneno. ·717-249-3414 For Disclosure, Privacy Act, and Paperwork Reduction Act Notice, see the separate i. nstructions for this form. CAA I 7091 NTF2555§47 GED 4222 Copyright2001 Greatland/Nelco- Forms Software Only Form 709 (2001) Form 70~ (2001) Page 2 · liS.CHED.ULEiA?I Computation of.Taxable Gifts (In. cludi~ng Transfe~ in Trust) A Does the value of any item.listed on Schedule A reflect any va~uatioh discount?. If the answer is 'Yes," see instructions ...... Yes I I No B I I '~ Check here if you elect under section 529(c)(2)(B) to treat any transfers made this year to a qualified state tuition program as made ratably over a 5-year pedod beginning this year. See instructions. Attach explanation. Part 1 -- Gifts Subject Only to Gift Tax. Gifts less political organization, medical, and educational exclusions -- see instructions A B C D E Item · Donee's name and address Donor's adjusted Date Value at number · Relationship to donor (if any) · Description of gift basis of gift of gift date of gift · If gift was made by means of trust, enter trust's EIN & attach a description or copy of trust instrument (see instructions) · If the gift was of securities, give CUSIP number Total of Part 1 (add amounts from Part 1, column E) ..................................................... · O. 00 Part 2 -- Gifts That are Direct Skips and are Subject to Both Gift Tax and Generation-Skipping Transfer Tax. You must list the gifts In chronological order. Gifts less political organization medical, and educational exclusions -- see instructions. (Also list h.ere direct skips that are subject only to the GST tax at th~s time as the result of the termination of an "estate tax nc us on per od. See nstructions.) A B C D E Item · Donee's name and address Donor's adjusted Date Value at number · Relationship to donor (if any) · Description of gift basis of gift of gift date of gift · If gift was made by means of trust, enter trust's EIN & attach a description or copy of trust instrument (see instructions) · If the gift was of securities, give CUSIP number See Schedule attached Total of Part 2 (add amounts from Part 2, column E) ..................................................... · 484,971.00 Part 3 -- Taxable Gift Reconciliation 1 2 3 4 5 6 7 Deductions (see instructions) Total value of gifts of donor (add totals from column E of Parts I and 2) ............................. One-half of items attributable to spouse (see instructions) . Balance (subtract line 2 from line 1) ......................................................... Gifts of spouse to be included (from Schedule A, Part 3, line 2 of spouse's return ~- see instructions) ....... If any of the gifts included on this line are also subject to the generation-skipping transfer tax, check here I~ II and enter those gifts also on Schedule C, Part 1. Total gifts (add lines 3 and 4) ..................................................... , ......... Total annual exclusions for gifts listed on Schedule A (including line 4, above) (see instructions) ........... Total included amount of gifts (subtract line 0 from line ,5) ........................................ Gifts of interests to spouse for which a marital deduction will be claimed, basedII (~ on items of Schedule A .............. Exclusions attributable to gifts on line 8 ................................ Marital deduction -- subtract line 9 from line 8 .................. ' ........ 10 Charitable deduction, based on items less exclusions ..... 1 1 8 0.00 9 0.00 10 o.oo 11 o.o0 12 Total deductions -- add lines 10 and 11 ...................................................... 13 Subtract line 12 from line 7 ................................................................ 14 Generation-skipping transfer taxes payable with this Form 709 (from Schedule C, Part 3, col. H, Total) ...... 15 Taxable gilts (add lines 13 and 14). Enter here and on line I of the Tax Computation on page 1 ........... (11 more space is needed, attach additional sheets o! same size.) CAA 1 7092 NTF 2555648 eLD 4222 Copyright 2001 Greatland/Nelco - Forms Softw&re Only 484,971.00 0.00 484,971.00 0.00 484,971.00 20,000.00 464,971.00 0.00 464,971.00 0.00 464,971.00 Form 709 (2OOl) GERTRUDE L MCPHERSON Page: SS~: 361'-01-6111 Schedule A -- Part 2 Gifts Which are Direct Skips and are Subject to Both Gift Tax and GST Tax A B C D E Item Donee~s name, relationship to donor, Donor's Adj. D~te of Value of No. address, and description Basis Gift Gift I 07/16/2001 80,000.00 BETH ANN BAUTISTA (GRANDDAUGHTER) 5004 FORT SUMNER.DRIVE BETHESDA, MD 20816 AMY STONER (GRANDDAUGHTER) 108 E WOODLAND AVE COURT MAY COURTHOUSE, NJ 08210 CASH AMY STONER (GRANDDAUGHTER) BETH ANN BAUTISTA (GRANDDAUGHTER) 4438 SHARES VANGUARD LT TAX EXEMPT FUND AMY STONER (GRANDDAUGHTER) BETH ANN BAUTISTA (GRANDDAUGHTER) 80,000.00 80,000.00 0.00 0.00 0.00 0.00 07/16/2001 80,000.00 07/23/2001 27,959.00 07/23/2001 27,959.00 07/23/2001 86,425.00 07/23/2001 86,425.00 7786 SHARES VANGUARD ASSET ALLOCATION FUND 4 BETH ANN BAUTISTA (GRANDDAUGHTER) 0.00 12/21/2001 96,203~00 7587.25 SHARES FIDELITY SPARTAN MUNI INC FD 484,971.00 Form709 (2001) Page 3 liSCHEDUEEilAiiI Computation of Taxable Gifts (continued) 16 Terminable Interest (QTIP). Marital Deduc{ion. (See instrU~tidhs for line ~ (~i ~L;hedule A.) If a trust (or other property) meets the requirements of qualified terminable interest property under section 2523(0, and a. The trust (or other property) is listed on Schedule A, and b. The value of the trust (or other property) is entered in whole or in part as a deduction on line 8, Part3 of Schedule A, then the donor shall be deemed to have made an election to have such trust (or other property) treated as qualified terminable interest properly under section 2523(f), If less than the entire value of the trust (or other property) that the donor has included in Part I of Schedule A is entered as a deduction on line 8, the donor shall be considered to have made an election only as to a fraction of the trust (or other property). The numerator of this fraction is equal to the amount of the trust (or other property) deducted on line 10 of Part 3, Schedule A. The denominator is equal to the total value of the trust (or other property) listed in Part I of Schedule A. ~ If you make the QTIP election (see instructions for line 8 of Schedule A), the terminable interest property involved.will be included in your spouse's gross estate upon his or her death (section 2044). If your spouse disposes (by gift or otherwise) of all or part of the qualifying life income interest, he or she will be considered to have made a transfer of the entire property that is subject to the gift tax (see Transfer of Certain Life Estates in the instructions). 17 Election Out of QTIP Treatment of Annuities r-~,~ check here if you elect under 2523(f)(6) as qualified property any section NOT to treat terminable interest joint and survivor annuities that are reported on Schedule A and would otherwise be treated as qualified terminable interest property under section 2523(0. (See instructions.) Enter the item numbers (from Schedule A) for the annuities for which you are making this election I~ I:SCHEDUEE:.!::BiiI Gifts From Prior Periods If you answered "Yea" on line 1 la of page 1, Part 1, see the instructions for completing Schedule B. If you answered "No," skip to the Tax Computation on page 1 (or Schedule C, if applicable). A C D B Amount of unified Amount of specific E Calendar year or Internal Revenue office credit against gift tax exemption for prior Amount of calendar quarter where prior return was filed for periods after periods end. before taxable gifts (see instructions) December 31, 1976 January 1, 1977 I Totals for prior periods (without adjustment for reduced specific I exemption) ........................................I 1 2 Amount, if any, by which total specific exemption, line 1, column D, is more than $30,000 ................ 2 3 Total amount of taxable gifts for prior periods (add amount, column E, line 1, and amount, if any, on line 2). (Enter here and on line 2 of the Tax Computation on page 1.) ................................ 3 (If more space is needed, attach additional sheets of same size.) CAA 1 7093 NTF 2555649 GLD 5850 Copyright 2001 Greatland/Nelco - Forms Software Only Form 709 (2001) Form 709 (2001) Page 4 ~ lii:SCHEDUEEiilCI Computation of Generation-Skipping Transfer Tax Note: Inter vivos direct ~ki~;s ~ · .i , 'i.., ~;~;: ,..~ - -; that are ,.omp,e,e,y e,, .... e,, ~)y the GST exemption must still be fully reported (including value and exemptions claimed) on Schedule C. Part 1 -- Generation-Skipping Transfers A B C D E F Item No. Value Split Gifts Net Transfer (from Schedule A (from Schedule A, (enter 1/2 of col. B) Subtract col. C Nontaxable (subtract col. E Part 2, col. A) Part 2, col. E) (see instructions) from col. B portion of transfer from col. D) I 160,000. O0 O. O0 160,000. O0 20,000. O0 140,000. O0 2 55,918. O0 O. O0 55,918. O0 O. O0 55,918.00 3 172,850. O0 O. O0 172,850. O0 O. O0 172,850.00 4 96,203. O0 O. O0 96,203. O0 O. O0 96,203.00 5 6 If you elected gift splitting and your spouse Split gifts from Value included Net transfer was required to file a separate Form 709 spouse's Form 709 from spouse's Nontaxable (subtract col. E portion of transfer (see the instructions for"Split Gifts'3, you (enter item number) Form 709 from col. D) must enter all of the gifts shown on Schedule A, Part 2, of your spouse's Form 709 here. S- In column C, enter the item number of each S- gift in the order it appears in column A of your spouse's Schedule A, Part 2. We have S- preprinted the prefix "S-"to distinguish your S- spouse's item numbers from your own when you complete column A of Schedule C, S- Part 3. S- In column D, for each gift, enter the amount reported in column C, Schedule C, Part 1, S- of your spouse's Form 70g. S- Part 2 -- GST Exemption Reconciliation (Section 2631) and Section 2652(a)(3) Election 1,060,000.00 0.00 1,060,000.00 464,971.00 0.00 464,971.00 Check box · I I if you are making a section 2652(a)(3) (special QTIP) election (see instructions) Enter the item numbers (from Schedule A) of the gifts for which you are making this election · . IMaximum allowable exemption (see instructions) .......................................... ' ........1 2 Total exemption used for periods before filing this return ............................. ............... 2 3 Exemption available for this return (subtract line 2 from line 1) ........................................ 4 Exemption claimed on this return (from Part 3, col. C total, below) ........... i ......................... 4 5 Exemption allocated to transfers not shown on Part 3, below. You must attach a Notice of Allocation. (See instructions.) .............................................................................. 6 Add lines 4 and 5 .......................................................................... 7 Exemption available for future transfers (subtract line 6 from line 3) .................................... 595 f 02 9.00 Part 3 -- Tax Computation A B C D E F G H Item No. Net transfer Inclusion Ratio Maximum Applicable Rate Generation-Skipping s(from (from Schedule C, GST Exemption Divide col. C (subtract col. D Estate (multiply col. E ~ Transfer Tax ch. C, Allocated by col. B ' · Part 1) Part 1, c01. F) from 1.000) Tax Rate by col. F) I (multiply col. B by col. G) 1 140,000.00 140,000.00 1.000 0.000 55%(.55) 0.0000% 0.00 2 55~918.00 55~918.00 1.000 0.000 55%(.55) 0.0000% 0.00 3 172,850.00 172,850.00 1.000 0.000 55%(.55) 0.0000% 0.00 ¢ 96,203.00 96,203.00 1.000 0.000 55% (.55) 0.0000% 0.00 5 55% (.55) s 55% (.55) 55% (.55) 55% (.55) 55% (.55) 55% (.55) Total exemption claimed. Enter Total generation-skipping transfer tax. Enter here, on here and on line 4, Part 2, above, line 14 of Schedule A, Part 3, and on line 16 of the Tax May not exceed line 3, Part 2, 464 9'71.00 Computation on page 1 above ..................... ' .............................. 0,00 (If more space is needed, attach additional sheets of same size.) CAA I W709C1 NTF 2557590 Copyright 2001 Greatland/Nelco - Forms Software Only Form 709 (20or) 709 Form Depo[tment of the Inze~nal Revenue Sen/~e ~ See separate instructions. I Donor's first name a~ middle initial ~ 2 Donor's last name GERTRUDE L ~ MCPHERSON 4 Address (nu~. street, and a~t number) cio ANN BENJEY, 546 E SPRINGVILLE ROAD I United States Gift (and Generation-Skipping Transfer) Tax Return I°NS No, 1545-0020 (Section 6019 of the Internal Revenue Code) (For gifts made dudn§ calendar year 2001) I ~Q02 3 DonoKs =iai ~cu~ty num~ . 361~ 01 ~6111 5 Legal residence (~miciie) (county a~ 5~ate) CUMBERLAND, PA 6 City. state, and ZIP code 7 Citizenship CARLISLE, PA 17013 US 8 If the donor died during the year, check here ~' [] and enter date of death ........ .J..A..N..!.3. ............. .2.0..0.2. .... ~./Y~//s.~ 9 If you received an extension of time to file this Form 709, check here i~ [] and attach the Form 4868, 2688. 2350, or extension letter. ~ 10 Enter the total number of separate donees listed on Schedule A--count each person only once. I~ ~'///~ 11a Have you (the donor) previously filed a Form 709 (or 709-A) for any other year? If the answer is "No," do not complete line 11b. I~ 11b If the answer to line 11a is "Yes," has :/our address chanc~ed since you last filed Form 709 {or 709-A)? ........ 12 Gifl. s by husband or wife to third parties.--Do you consent to have the gifts (including generation-skipping transfers) made by you and by your spouse to third parties during the calendar year considered as made one-half by each of you? (See instructions.) (If the answer is "Yes," the following information must be furnished and your spouse must sign the consent shown below. If the answer is "No," skip lines 13-18 and ~1o to Schedule A.). .......... ' · - 13 Name of consenting spouse I 14 SSN 15 Were ~jou married to one another durin~l the entire calendar )/ear? (see instructions) ........... 16 If the answer to 15 is 'No," check whether [] married [] divorced or [] widowed, and (live date (see instructions) b. 17 Will a gift tax return for this calendar year be filed by your spouse? ] No 18 co~sent of Spouse--I consent to have the gifts (and generation-skipping transfers) made by me and by my spouse to t~ird parties during the calendar year considered as made one-half by each of us. We are both aware of the joint and several liability for tax created by the execution of this consent. I Enter the amount from Schedule A, Part 3, line 15 ............... 2 Enter the amount from Schedule B, line 3 ................. 3 Total taxable gifts (add lines 1 and 2) ................... 4 Tax computed on amount on line 3 (see Table for Computing Tax in separate instructions). 5 Tax computed on amount on line 2 (see Table for Computing Tax in separate instructions). 6 Balance (subtract line 5 from line 4) ................... ? Maximum unified credit (nonresident aliens, see instructions) ........... 8 Enter the unified credit against tax allowable for all prior periods (from Sch. B, line 1, col. C} . 9 Balance (subtract line 8 from line 7) ................... 10 Enter 20% (.20) of the amount allowed as a specific exemption for gifts made after September 8, 1976, and before January 1. 1977 {see instructions) .............. 11 Balance (subtract line 30 from line 9} ................... 12 Unified credit (enter the smaller of line 6 or line 11) . ; ............ 13 Credit for foreign gift taxes (see instructions) ................ 14 Total credits (add lines 12 and 13) ................... 15 Balance {subtract line 14 from line 6) (do not enter less than zero) .......... 16 Generation-skipping transfer taxes (from Schedule C,'Part 3, col. H. Total) ....... 17 Total tax (add lines 15 and 16) ...................... 18 Gift and generation-skipping transfer taxes prepaid with extension of time to file ...... 19 If line 18 is less than line 17, enter balance due(see instrt:ctions) 20 If line 18 is greater than line 17, enter amount to be reiunded ........... Sign Here Paid Preparer's Use Only Date ~ 86,041, 464,971 551,012 174,674 143,890 30,784 220,550 00 14; 76,660 0 76,660 30,784 0 0 0 0 0 Under penalties of perjury, I declare that I have examined this return, including any accompanying sche~ules and statements, and to the best of my knowledge and belief, it is true, correct, and complete. Declaration of preparer (other than 'dollOfJ'is based on all information of which preparer has any knowledge. ·'~/" ~ self-employed I~ [] I Phone.o, ~ ( 717 )249-3414 Preparer's · \ k Firm's name (or { B~ER & RITTER yours if self-employed),~ address, end Z~P code-- P O BOX 668, CARLISLE, PA 17013 For Disclosure, Privacy Act, and Paperwork Reduction Act Notice, see page 12 of the separate instructions for this term. Cat. No. 16783M Form 709 (2001) Form 709 Computation of Taxable Gifts ilnCludin.q Transfers in Trust) Page 2 A Does the value of any item listed on Schedule A reflect an), valuation discount.'? If the answer is "Yes." see instructions . Yes [] No U B [] ~ Check here if you elect under section 529(c)(2)(B) to treat any transfers made this year to a qualified state tuition program as made ratably over a S-year period beginning this year. See instructions. Attach explanation. to Gift Tax. Gifts less ~olitical or~lanization, medical, and educational exclusions--see instructions A 8 C D E Item · Donee's name and address Donor's adjusted Date Value at number · Relationship to donor (if any) basis of gift of gift date of gil~ · Description of gift · If the gift was made by means of a trust, enter trust's EtN and artacll a description or copy o[ the trust instrument (see instructions} · If the gift was of securities, give CUSIP number 1 Total of Part I (add amounts from Part 1, column E) ................... I~- Part 2--Gifts That are Direct Skips and are subject to Both Gift Tax and Generation-Skipping Transfer Tax. You must list the gifts in chronological order. Gifts less political organization, medical, and educational exclusions--see instructions. (Also list here direct skips that are sub rect only to the GST tax at this time as the result of the termination of an "estate tax inclusion period." See instructions.) A B C D E Item · Donee's name and address Donor's adjusted Date Value at number · Relationship to donor (if any) basis of gift of gift date of gift · Descriptior~ of gift ·If the gift was made by means or a trust, enter trust's EIN and attach a description or copy of the trust iostrument (see instructions) · · If the gift was of securities, give CUSIP number 1 AMY STONER 0110912002 97,041 108 E WOODLAND AVE CAPE MAY COURTHOUSE, NJ 08210 GRANDDAUGHTER 7587.25 SH FIDELITY SPARTAN MUNI INC FD Total of Part 2 (add amounts from Part 2, column E) ................... I~ 97,041 Part 3--Taxable Gift Reconciliation 8 9 10 11 1 1 Total value of gifts of donor (add totals front column E of Parts 1 and 2) .......... 2 One-half of items ................................................ attributable to spouse (see instructions) 3 Balance (subtract line 2 from line 1) .............. ~ ....... 4 Gifts of spouse to be included (from Schedule A, Part 3. line 2 ol' spouse's return--see instructions). If any of the gifts included on this line are also subject to the generation-skipping transfer tax, check· here I~ [] and enter those gilts also on Schedule C, Part 1. 5 Total giRs {add lines 3 and 4) ....................... 6 Total annual exclusions for gifts listed on Schedule A (including line 4, above) {see instructions) ? Total included amount of gifts (subtract line 6 from line 5) .............. Deductions (see instructions) 8 Gifts of interests to spouse lor which a marital deduction will be claimed, based on items .................................... of Schedule A ...... 9 Exclusions attributable to giRs on line 8 ............ 10 Marital deduction--subtract line 9 from line 8 .......... 11 Charitable deduction, based on items ................... Jess exclusions . 12 Total deductions--add lines 10 and 11 .................... 13 Subtract line 12 from line'7 ........................ 14 Generation-skipping Iransi~er taxes payable with this Form 709 (from Schedule C, Part 3. col. H, Total) . 15 Taxable c. lifts (add lines 13 and 14). Enter here and on line 1 of the Tax Computation on pac~e 1 . (If more space is needed, attach additional sheets of same size.) 97,041 97,041 97,041 11,000 86,041 86,041 86,041 Form 709 2Om) Computation of Taxable Gifts (c~ntinued)' ~-'¥' ..... Page 3 16 Terminable Interest (QTIP) Marital Deduction. (See instructions for line 8 of Schedule A.) If a trust. (or other property) meets the requirements of qualified terminable interest property under section 2523(0, and a. The trust {or other property) is listed on Schedule A, and b. The value of the trust (or other property) is entered in whole or in p~rt as a deduction on line 8, Part 3 of Schedule A. then the donor shall be deemed to have made an election to have such trust {or other property) treated as qualified terminable interest property under section 2523(1). If less than the entire value of the trust (or other property) that the donor has included in Part 1' of Schedule A is entered as a deduction on line 8, the donor shall be considered to have made an election only as to a fraction of the [rust {or other property). The numerator of this fraction is equal to the amount of the trust (or other property) deducted on line 10 of Part 3, Schedule A. The denominator is equal to the total value of the trust (or other property) listed in Part 1 of Schedule A. If you make the QTIP election (see instructions for line 8 of Schedule'A), the terminable interest property involved will be included in your spouse°s gross estate upon his or her death (section 2044). If your Spouse disposes (by gift or otherwise) of all or part of the qualilying life income interest, he or she will be considered to have made a Iransfer of the entire property that is subject to the gift tax (see Transfer of Certain Life Estates on page 4 of the instructions}, 17 Election Out o1' QTIP Treatment of Annuities [] d Check here if you elect under section 2523(1)(6) NOT to treat as qualified terminable interest property anyjoint and survivor annuities that are reported on Schedule A and would otherwise be treated as qualified terminable interest property under section 2523(I). (See instructions.) Enter the item numbers (from Schedule A) for the annuities for which you are making this election t, I."~d | l =l ~]ll l :l :! Gifts From Prior Periods If you answered "Yes" on line 11a of page 1, Part 1, see the instructions for completing Schedule B, If you answered "No," skip to the Tax Corn ~utation on 1 (or Schedule C, if a dicable). C D A . B Amount of unified Amount of specific E Calendar year or Intern~t Revenue office credit against gift tax exemption for prior Amount of calendar quarter where prior return was filed for periods after periods ending before taxable girt5 (see instructions) December 31. 1976 January 1. 1977 2001 CINCINNATI 143,890 464,971 I Totals for.prior periods (without adjustment for reduced specific I 143,890 464,971 ' exemption) ................I 1 2 Amount, if any, by which total specific exemption, line 1, column D, is more than' $30,000 ..... 2 3 Total amount of taxable gifts [or prior periods (add amount, column E, line 1, and amount, ir any, on 464,971, line 2). (Enter here and on line 2 of the Tax Computation on pac~e 1.) ........... 3 (If more space is needed, attach additional sheets of same size.) Form 70! (200~) Form 709 ~ Computation of Generation,SkiP~ii~'.q Tra~Sf&r Tax Page 4 Note: Inter vivos direct skips that are completely excluded by the GST exemption must still be fully reported (including value and exemptions claimed) on Schedule C. Part 1--Generation-Ski F)ping Transfers F A B C D E Net Transfer Item No. Value Split Gifts Subtract col. C Nontaxable (subtract col. E (from Schedule A. (from Schedule A, (enter ~.~. of col. B} from col. B P°rtion of transfer Part 2. col. A)~ Part 2, col. £) {see instructions) from col. D) 97,04t 0 97,041 11,000 86,041 6 If you elected giCt splitting and your spouse Net transfer was required to file a separate Form 709 Split gifts from Value iocluded Nontaxable {subtract col. E spouse's Form 709 from spouse's portion of transfer (se~ the instructions lot "Split Gil'ts~), you (enter item number) Form 709 from col. D) must enter all of the gifts shown on Schedule A, Part 2, of your spouse's Form 709 hem. ..S.= ..................................................................................................... In column C, enter the item number of each ..S.= ..................................................................................................... gift in the order it appears in column A of your spouse's Schedule A., Part 2. We have .~'- .... : ............................................................................................... prepdnted tile prefix "S-" to distinguish your ..S.~ ..................................................................................................... spouse's item numbers from your own wi'ten you complete column A of Schedule C. ..S.-. ..................................................................................................... In column D,. for each girt, enter the amount reported in column C, Schedule C, Part 1. of ..S.: ...................................................................................................... yOUr Spouse's Form 709. S- Part 2~GST Exemption Reconciliation (Section 2631) and Section 2652(a)(3) Election Check box · [] if you are making a section 2652(a)(3) (special QTIP) election (see instructions) Enter the item numbers (from Schedule A) of the gifts for which you are making this election · ...................... I Maximum allowable exemption (see instructions) ............. ' ...... 1 2 Total exemption used for periods before filing this return ........ - ........ . . 2 3 Exemption available for this return (subtract line 2 from line 1) ..... .......... 4 Exemption claimed on this'return (from Part 3, cot. C total, below) ............... 4 5 Exemption allocated to transfers not shown on Part 3. below. You must attach a Notice o1' Allocation. (See instructions,) ...... ' ........................ 6 Add lines 4 and 5 ............................ 7 Exemption available for future transfers (subtract line 6 from line 3) ............. 1,060,000 464,971 595,029 86,041 0 86,041 508,988 Part 3--Tax Computation E F G H A B C D Inclusion Ratio Applicable Rate Generation-Skipping Item No. Net transfer GST Exemption Divide col. C Maximum Estate (multiply col. E Transfer Tax (from Schedule (from Schedule C. (subtract col. D Tax Rate C. Part 1) Part 1, col. F) Allocated by col. B 'from 1.000) by col. F) (multiply col. B by col. G} ....... .~ ................... s..s.,.o.4. ! ....... .s..~:.o?.? ........ ?:.o.o. ?. ..... .0...o. 9.0. .......... ~5.?.o. 1..5.~.). .......... .o:.o.o..o ............................ o.:9.0. ....... .z ............................................................................... .5. L°/.o.l..s.~.). ................................................. ..................................... 55% 55) ....... .4 ............................................................................... .s.s. ~. !..~?.). ................................................. 5 55% (.55) ....... .s ........ ....................................................................... .5.s..o4,. !..5.s.)..: .............................................. ......................................................................................... .5.L°~. !..5.5). ................................................ ........................................................................................ ~5..°/.o. !..5.5)...= ............................................. ........................................................................................ .5.~..°/.o. 1..5.5.). ................................................ 55% (.551 Total exemption claimed. Enter here and on line 4. Part 2, Total generation-skipping transfer tax. Enter here, on line 34 of above. May not exceed line 3, Schedule A, Part 3, and on line 16 of the Tax Computation on Part 2, above ..... page 1 .................. (if more space is needed, at~ach additional sheets of same size.) {~ Form 709 (20ol) Form 706 (Rev. 11-01 ) Estate of: GERTRUDE MCPHERSON 361-01-6111 SCHEDULE A-- Real Estate · For jointly owned property that must be disclosed on Schedule E, see the instructions for Schedule E. · Real estate that is part of a sole proprietorship should be shown on Schedule F. · Real estate that is included in the gross estate under section 2035, 2036, 2037, or 2038 should be shown on Schedule G. · Real estate that is included in the gross estate under section 2041 should be shown on Schedule H. · If you elect section 2032A valuation, you must complete Schedule A and Schedule A-I. Item I A!temate I Value at date Description valuation date Alternate value of death no. i 113 HILLSIDE DRIVE, CARLISLE, PA 07/13/2002 158,900.00 158,900.0, Total from continuation schedules or additional sheets attached to this schedule ....... 0.00 0.0~ TOTAL. (Also enter on Part 5, Recapitulation, page 3, at item 1 .) ................... 158,900.00 158,900.0~ (If more space is needed, attach the continuation schedule from the end of this package or additional sheets of the same s~ze.) (See the instructions on page 5.) CAA I 70SA1 NTF 2557527A Copyright 2001 Greatland/Nelco- Forms Software Only Schedule A -- Page 4 ^.," emement tatement '"' , .... ~" U.S. Department of Housing FINAL B. Type,of Loan . and Urban Development OMB No. 2502-0265 I.'[]I.'IIA -. DI'mlIA 3. ~-_]£.'onv. tJnms. -- 6. F'ilc Nunlbcr t 7, I.imn Nmnl~cr ' f ~. Mortgage lusur;ulcc (.'aec Nunll~t,.r · 4. [3vA 5. Oc'onv. h,s. I S1'3002-14JF .. · · [' · ! n~s for~'~-f~'~-s~[~- o~-~u aT-~'~il~'ment ol aclual s,ultlemenl co~ls. Amounts pa~d to an~ I~y me sellterrlen-"{~-c~(e'-~l~-~- -" C. Note: lie[ns marked "(p.o c )" were paid outside the closing; ihey are shown here for informallon purposes and are not included in the conviction can irc ude a fine aha impr sonmen , For deta $ see Title 19 U S Code Section 10Df and Secdon 10'10 ' I'). NAMI-: OF I)OI*,ROWEIt: AI'II)I~I!SN: Robert A. Chronister and Pearl M. Chronister. IL NAMI! ()F 5;1!1.1,1!1{: Estate of:Gertrude L. McPherson AI)I)RI.~NS: F. NAMli ¢)1: IJ{NI)[-~R: The Washington Savings Bank, FSB .4m)ltt~ss: ,1201 Mitchellville Road, Suite 300, Bowie, MI) 20716 · (1. I'I,t()I'I'],t'I'Y AI)I)RI{SS: J 13 Hillside Drive, Carlisle, PA 17013 Carlisle Borough ' IL s~Trrl.liM~iNr.^ci~!Nr: Saidis, Shufl', Flower& Lindsay, Telephone: 71%243-6222 Fax: 717-243-6486 I'I.ACli t)F Nli'I'I'I.F3tlI!NI': 26 West High Street, Carlisle, PA 17013 L SFrU.EMI~NT t)A'rli: 06~28/2002. J. SUMMARY OF BORROWER'S TRANSACTION: K. SUMMARY OF SELLER'S TRANSACTION: 100. GROSS AMOUNT DUE FROM BORROWER 101. Contract sales pnce 102. Personal Property 103. Settlement char(les to boi'rower (line 1400) 158,9.oo.oo .__ . 7c~9.15 104. 105. Adjustments for items paid by seller in advance 106. City/town taxes 107. Count), taxes 108. School Taxes 109. 110. 120. ~6_L_~8/o2t~ol~2/31/g2 9.6/28/02to06/30.~0_2 GROSS AMOUNT DUE FROM BORROWER 200. AMOUNTS PAID BY OR ON BEHALF OF BORROWER 202. 382.85 13.09 166,615.0~ earnest money Principal amount of new loans 203. Existing loan(s) taken subjec~t!o 204. 205, 206. 1,000.00 108,909.00 400. GROSS AMOUNT DUE TO SELLER: 401. Contract sales price __ 402.. Personal Property . 403. 404. 405. 406. 407. 408. 409. 410. 411. 412. Ad'ustmentsj ............. for items paid b__y_s.e_[!e_rin advance City/town taxes Coun.l¥ laxes School Taxes _ _ q_6_/~2 _8.L~.2_. t__o :l_2_ / 3 1/0__2__ (3_6/2 8 / 0__~2 fo(3_6_/3_.._~0Z 0 2 420. GROSS AMOUNT DUE TO SELLER: 500. REDUCTIONS IN AMOUNT DUE TO SELLER 501. Excess D__eposit'(.see instructions) 502· Settlement cha_rges to seller_~o.e 1400) 503· Existing Io_an~ taken sqb_je_c.t, to 504. Payoff of First Mortgage t_oan 505. 506. 207. 507. 208. 508. 209. 509· Adjustments for items unp_~jd__~bx_seller drown taxes 211. County_ taxes 212. School Taxes 213. 214. 215. 216. Z17. 510. 511. Payoff of Second M__o. rlg~age Loan' Adjustments for items unpa_i_d_b_y_.s_e[l_er City/to__wn taxes County taxes 512. School Taxes 513· 514· 515. 516.' 158,9~00 .___gO0__ 517. 218. 518, ", .. 219. 519. 220. TOTAL PAID BY/FOR BORROWER 109 ~ 900.0~_ 520. TOTAL REDUCTION AMOUNT DUE SELLER 300. CASH AT SETTLEMENT FROM OR TO BORROWER 166,615.09 109,900.:00 382.85 13.09 56,715.09 Gross amount due from borrower I~e 120)__ 303. t.essamountspaidb/l~gL_borrower¢ine220) CASH FROM BORROWER - Ti, 7 o 6 ."5;i-] 147~_5.89.16 j 600. CASH AT SE'I-FLEMENT TO OR FROM SELLER 601. Gross amount due to seller.(lin__e 4~20) 602. Less reduction amount due'seller (line 520} 603. CASH TO SELLER ' Form 7~)6 (Rev. 11-01 ) Estate of: G~.RTRt~D~. HCDh~RSON 361-01-6111 SCHEDULE C -- Mortgages, Notes, and Cash (For jointly owned property that must be disclosed on Schedule E, see the instructions for Schedule E. Item Description Alternate Alternate value Value et no. valuation date date of death I M & T BANK - Checking 07/13/2002 20,522.00 20,522.01 Total from continuation schedules (or additional sheets) attached to this schedule ....... 0.0(] 0.0 TOTAL. (AJso enter on Part 5, Recapitulation, page 3, at item 3.) .................... 20,522.0C 20,522.0 (If more space is needed, attach the continuation schedule from the end o! this package or additional sheets of the same size.) (See the instructions on page 14.) Schedule C -- Page 13 · CAA ~ '~0SCl NTF 2557533C Copyright 2001 Greatiand/Nelco - Forms Software Only March 2 l, 2002 RE: Estate Search The Estate of: Date of Death (D.O.D.) To Whom It May Concern: Identified beloTM is the account information requested. 1. M&T Bank accounts in which the decedent's name appears: GERTRUDE L MCPHERSON 1/13/2002 Account Account Number Account Title Opening Branch D.O.D. Accrued Interest Type Balances (Includes Accr. Int.) CHK 2673065088 GERTRUDE L 4334 $20,522.37 $1.40 MCPHERSON 2. Loans, Mortgages, or other obligations titled in the decedent's name Account Number ' Amount Owed Account Description NO Safe Deposit Box titled in the Decedent's name existed at our office. If you have any questions about the information provided, please contact our Records Department at (716) 635-4010 or 1-800-724- 2440 outside of the Buffalo, NY calling area. Thank you. Sincerely, DATE: M&T BANK CORPORATION Authorized Signature Manufacturers and Traders T.,-ust Co~npany · !100 Wehrle Drive, RO. Box 767, Buffalo, NY 14240.0F67 Fo~n 708 (Rev. 11-01 ) · Estate of: GERTRUDE MCPHERSON 361-01-6111 SCHEDULE E -- Jointly Owned Property (If you elect section 2032A valuation, you must complete Schedule E and ScHedule A-1 .) PART 1. -- Qualified Joint Interests -- Interests Held by the Decedent and His or Her Spouse es the Only Joint Tenants (Section 2040(b)(2)) Item Description Alternate Value at no. For securities, give CUSIP number, valuation date Alternate value date of death Total from continuation schedules (or additional sheets) attached to this schedule ...... la Totals I la 0.00 0.0(~ lb Amounts included in gross estate (one-half of line la) ....................I lb 0.00 0.00 PART 2. -- All Other Joint Interests 0.00 0.00 2a Stats the name and address of each surv~ing co-tenant, lfthere are more than three surviving co-tenants, listthe additionalco-tenants on an attached sheet. Name Address (number and street, city, state, and ZIP code) 546 E SPRINGVILLE RO~D A. ANN BENJEY CARLISLE,PA 17013 B. Item no. Enter Description (including alternate valuation date if any) For securities, give CUSIP number. See Schedule attached Percentage includible Includible alternate value Includible value at date of death Total from continuation schedules (or additional sheets) attached to this schedule ...... 152,500.00 152,500.00 2b Total other joint interests .................................................. 152,500.00 152 , 500.00 3 Total includible joint interests (add lines 1 b and 2b). Aisc enter on Part 5, Recapitulation, page 3, at item 5 ............................................ 152; 500.00 152,500.00 (If more space is needed, attach the continuation schedule from the end of this package or additional sheets of the same size.) (See the instructions on page 18.) CAA 1 70SE1 NTF 2557535A Copyright 2001 Oreatland/Nelco - Forms SoftwAre Only Schedule E -- Page 17 Estate' of,: GERTRUDE MCPHERSON · Schedule E, Item Cot. No. Let. Description Part 2 -- Ail O~her Joint Interests Unit Val. Percent Alternate CUSIP Includible Value Page 2 361-01-6111 Value at Date of Death' i A FLORIDA CONDO 50.0000% 152,500.00 152',500.00 TOTAL. (Carry forward to main schedule) 152,500.00 152,500.00 correct. 4. I stated 'in the appraisal report only my own personal, unbiased, and professional analysis, opinions, and conclusions, which are subject only to the contingent and limiting conditions specified in this form. 5. I have no present or prospective interest in the property that is the subject of this report, and I have no present or prospective personal interest or bias with respect to the participants in the transaction. I did not base, either partially or completely, my analysis and/or the estimate of market value in the appraisal report on the race, color, religion, sex, age, madtat status, handicap, familial status, or national origin of either the prospective owners or occupants of the subject property or of the present owners or occupants of the properties in the vicinity of the subject property or on any other basis prohibited by law. 6. I have no present or contemplated future interest in the subject property, and neither my current or future employment nor my ,.:.c. ompensation for performing this appraisal is contingent on the appraised value of the property. I'. ':?~ I was not required to report a predetermined value' or direction in value that favors the cause of the client or any related party, the amount of the value estimate, the attainment of a specific result, or the occurrence of a subsequent event in order to receive my compensation and/or employment for performing the appraisal. I did not base the appraisal report on a requested minimum valuation, a specific valuation, or the need to approve a specific mortgage loan. 8. I estimated the market value of the refil property that is the subject of this report based on the sales comparison approach to value. I further certify that I considered the cost and income approaches to value, but, through mutual agreement with the client, did not develop them, unless I have noted otherwise in this report. 9. I performed this appraisal as a limited appraisal, subject to the Departure Provision of the Uniform Standards of Professional Appraisal Practice that were adopted and promulgated by the Appraisal Standards Board of The Appraisal Foundation and that were in place as of the effective date of the appraisal (unless I have otherwise indicated in this report that the appraisal is a complete appraisal, in which case, the Departure Provision does not apply). 10. I acknowledge that an estimate of a reasonable time for exposure in the open market is a condition in the definition of market value. The exposure time associated with the estimate of market value for the subject property is consistent with the marketing time noted in the Neighborhood section of this report. The marketing period concluded for the subject property at the estimated market value is also consistent with the marketing time noted in the Neighborhood section. 11. I personally prepared all conclusions and opinions about the real estate that were set forth in the appraisal report. I further certify that no one provided significant professional assistance to me in the development of this appraisal. SUPERVISORY APPRAISER'S CERTIFICATION: If a supervisory appraiser signed the appraisal report, he or she certifies and agrees that: I directly supervise the appraiser who prepared the appraisal report, have examined the appraisal report for the compliance with the Uniform Standards of Professional Appraisal Practice, agree with the statements and conclusions of the appraiser, agree to be bound by the appraiser's certifications numbered 5 through 7 above, and am taking full responsibility for the appraisal and the appraisal report. ~APPRAISER: . Signature: Name: PETER D. ARMFIELD,MAI SRA Company Name: ARMFIELD & WAGNER Company Address: 1940 10TH AVENUE VERO BEACH, FL 32960 Date of Report / Signature: JUNE 20, 2002 State Certification ii: ST CERT GEN REA 0000524 or State License #: State: FL Expiration Date of Certification or License: 10/30/2002 ADDRESS OF PROPERTY APPRAISED: 1700 OCEAN DR, #304 VERO BEACH, FL 32963 APPRAISED VALUE OF SUBJECT PROPERTY $ 30,.5,000 EFFECTIVE DATE OF APPRAISAL I INSPECTION 01/13/02 LENDER/CLIENT: Name: Company Name: N/A Company Address: N/A, SUPERVISORY APPRAISER (ONLY IF REQUIRED): Signature: Name: PETER D. ARMFIELD, MAI SRA Company Name: ARMFIELD & WAGNER Company Address: 1940 10TH AVENUE VERO BEACH, FL 32960 Date of RePOrt / Signature: JUNE 22, 2001 State Certification #: ST CERT GEN REA #0000524 or State License #: State: FL Expiration Date of Certification or License: 11/30/2002 SUPERVISORY APPRAISER: SUBJECT PROPERTY Did not inspect subject property [] Did inspect extedor of subject property from street [] Did inspect intedor and exterior of subject property COMPARABLE SALES ~__--j Did not inspect exterior of comparable sales from street [~--] Did inspect extedor of comparable sales from.street 10 CH. PAGE 3 OF 3 ARMFIELD & WAGNER Fannie Mae Form 2055 9-96 ' Form 7D6 (Rev. 11-01) Estate of: GERTRUDE MCPHERSON 361-01-6111 SCHEDULE F -- Other Miscellaneous Property Not Reportable Under Any Other Schedule (For jointly owned property that must be disclosed on Schedule E, see the instructions for Schedule E.) (If you elect Section 2032A valuation, you must complete Schedule F and Schedule' A-1 .) Did the decedent at the time of death own any articles of artistic or collectible value in excess of $3,000 or any collections whose artistic or collectible value combined at date of death exceeded $10,0007 ............................................ If "Yes," submit full details on this schedule and attach appraisals. 2 Has the decedent's estate, spouse, or any other person, received (or will receive) any bonus or award as a result of the decedent's employment or death? .......................................................................... If "Yes," submit full details on this schedule. 3 Did the decedent at the time of death have, or have access to, a safe deposit box? ..................................... If "Yes," state location, and if held in joint names of decedent and another, state name and relationship of joint depositor. If any of the contents of the safe deposit box are omitted from the schedules in this return, explain fully wh~ omitted. Item Description Altemate Alternate value Value at no. For securities, give CUSIP number, valuation date date of death 1 2 3 4 Personal Vehicle Refund- Capital Blue Cross Deposit in transit to M & T Bank Personal property 07/13/2002 07/13/2002 07/13/2002 07/13/2002 2,500.00 212.00 80,000.00 10,000.00 2,500.00 212.00 80,000.00 10,000.00 Schedule F--Page 19 Total from continuation schedules (or additional sheets) attached to this schedule ...... 0. TOTAL. (Also enter on Part 5, Recapitulation, page 3, at item 6.) ................... 92,712.00 (If more space is needed, attach the continuation schedule from the end of this package or additional sheets of the same size.) (See the instructions on Page 20.) CAA I 705F1 NTF 2557536A Copyright 2001 Greatland/Nelco- Forms Software Only 0.00 92,712.00 , Form 7~6 (Rev. 11-01) Estate of: GERTRUDE MCPHERSON . . .-. 361-0'1-6111 SCHEDULE G '-- Transfers During Decedent's Life (If you elect section 2032A valuation, you must complete Schedule (3 and Schedule A-1.) Item Description Alternate Alternate value Value a~ no. For securities, give CUSIP number, valuation date date of death ~ Gift tax paid by the decedent or the estate for all gifts made by the decedent or his or her spouse within 3 years before the decedent's death (section 2035(b)) ........................ X X X X 0.00 0.0( a. Transfers includible under section 2035(a), 2036, 2037, or 2038: See Schedule attached Total from continuation schedules (or additional sheets) attached to this schedule .... 615,736.00 718,754.0~ TOTAL. (Aisc enter on Part 5, Recapitulation, page 3, at item 7.) .................. 615,736.00 718,754.01 SCHEDULE H -- Powers of Appointment (include "5 and 5 lapsing" powers (section 2041(b)(2)) held by the decedent.) (If you elect section 2032A valuation, you must complete Schedule H and Schedule A-I.) Item Description Alternate Altemate value Value at no. valuation date date of death Total from continuation schedules (or additional sheets) attached to this schedule .... 0.00 0.0 TOTAL. (Aisc enter on Part 5, Recapitulation, page 3, at item 8.) .................. 0.00 0.0 (If mom space is needed, attach the continuation schedule from the end of this package or additional sheets of the same s~ze.) (The instructions to Schedules G and H are in the separate instructions.) Schedules G and H -- Page 21 CAA I 70SG1 NTF 2557537A Copyright 2001 Greatland/Nelco - Forms Software Only Estate of: GERTRUDE MCPHERSON Schedule G -- Transfers During Decedent's Life Item Unit Val. Alternate Alternate No. Description CUSIP Val. Date Value Page 2 361-01-6111 Value at Date of Death I MCPHERSON MANAGEMENT TRUST ( VANGUARD ) 2 MCPHERSON MANAGEMENT TRUST FRACTIONAL INTEREST IN OIL & GAS LEASES 07/13/2002 600,736.00 703,754.00 07/13/2002 15,000.00 15,000.00 TOTAL. (Carry forward to main schedule) ...... 615,736.00 718,754.00 LLI . 000000 GERTRUDE L MC PHERSON MGMT TR MICHAEL A STONER & ANN E STONER TREES U/A DTD 1/J26/89 546 E SPRINGVILLE RD CARLISLE PA 17013-9291 (800) 345z1344 - Account number: Statement number: Brokerage Services 41V~210369 643220000 Page5 of. 7 SU NNARY OF HOLDINGS Value on 12/31/2001 % Holdings Value on 1/31/2002 % Holdings Stocks $ 679,144.40 85.0 $ 638,941.20 95.y VBS held mutual funds 119,833.73 15.0 23,944.18 3.6 Total account value $ 798,978.13 100.0 $ 662,885.38 99.b Income/Securities not yet paid .00 3,631.45 0.5 Total assets $ 798,978.13 100.0 $ 666,516.83 100.0 INGOblE SUMMARY 'Il'tis period Year-to-date Tax-exempt interest HOLDiNGs $ 793.38 $ 793.38 · .. (This section rellects settled'lrades only) · Long market value · ' ' Balance Current Current Quantity / Account type Stocks price value $ 662,885.38 · Estimated Estimated Dividend amual income yield status INTERNATIONAL BUSINESS MACHS CORP COM. SecuriiylD: IBM LILLY ELI & CO. SecuritylD: LLY. 1,600.00000 $ 107.890000 $ 172,624.00 Cash 1,6®.00000 75.100000 120,160.00 Cash $ 896.00 0.5% Cash 1,984.00 1.7 Cash Vanguard Brokerage serVices (VBS), member SIPC, is the introducing firm for VBS accounts. Your aSSets are held by VBS's clearing firm, pershing Division ol Donaldson, Lufkin & Jenrette Securities Corporation, member SIPC. Your VBS transactions seitle through your Vanguard money market account, held separately by Vanguard or in accordance with the settlement procedures defined by your employer sponsored relirement plan. Maintaining covered put options requires thai a segregated Vanguard money market fund be carried by our clearing firm. Prices listed reflect quotations on the statement date. Current prices and estimated annUal income and yield are listed to help you track your account and are not suitable for tax purposes. 5- 7 011602 239 406A M3 2 X GERTRUDE L MC PHERSON MGMT TR MICHAEL ASTONER & . . ANN E STONER TIEES , U/A DTD 12./26/89 · 546 E. SPRINGVILLE RD. CARLISLE PA 17013-9291 · (800) 345-1344 '- Account number: ' Statement number: Brokerage Services 41V-210369. 643220000 · HOLDINGS CONTINUED. stocks continued Quantity ! Account type · C%ent price Current value Estknated Estimated Dividend annual ~corne yield . status 'NATIONAL CITY CoRp. ,~z~curi~D: NCC Total stocks 12,310.00000. Cash 28.12OOOO 346,157.20. 14,525.80 4.2 $ 638,941 ~0 $17,405.80 2.7% Cash VBS held mutual funds Quanta// · Account type Price per share Current value Estimated Estimated Dividend annual income yield status RDELffY SPARTAN ' MUNICIPAL INCOME FUND SecuritYtD': FHIGX 1,863.36000 Cash $12.850000 $23,944.18 $1,142-23 4.8% Cash Total VBS held mutual funds $ 23,944.18 .$1,1 42,23 4.8% ACTIVITY (This section reflects settled trades only) All transactions sweep to and from yOur Vanguard Tax-ExemPt Money Market Fund, account number · 9865140180. Money market assets are not held by Pershing. Trade . Settle . QUantity Description' 'Price date date Transaction Amount 1/02 1/02 NON-TAXABLE DISTRIBUTION RECEIVED - 1/03 1/O9 1/03 MONEY FUND PURCHASE 1/09 CUSTOMER AUTHORIZED TRANSFER -7,587.25000 FIDELITY SPARTAN MUNICIPAL INCOME FUND FOR ACCRUAL PERIOD ENDING 12/31/01 VANGUARD MUNI 'IX FR FIDEM'fY SPARTAN MUNICIPAL INCOME . FUND 'IFR TO 4§V975374 A/O 12/21/01 4 - FRAC.2500- $ 793.38 -793.38 .00 011603 239 406A M3 2 X REVOCABLE MANAGEMENT TRUST AGREEMENT THIS AGREEMENT, made, executed and delivered this ~ day of ~.cp~b~ , 1989, by and between GERTRUDE L. McPHERSON, an adult individual.residing in the Borough of Carlisle, Cumberland County, Pennsylvania, hereinafter called the "Settlor", AND ANN E. STONER and MICHAEL A. STONER, adult individuals residing in the Borough of Carlisle, Cumberland County, Pennsylvania, hereinafter called the "Trustee(s)". WI T N E S S E TH: WHEREAS, the Settlor desires to create a revocable trust for her sole and exclusive benefit and for the purposes herein set forth, and the Trustee(s) are willing to serve as the fiduciary(s) hereunder and thereof, all on the conditions and terms hereinafter set forth. NOW THEREFORE, in consideration of these premises, and the mutual covenants herein contained, the parties hereto, each' intending to be legally bound hereby, do now covenant and agree as follows: 1. Transfer. The Settlor does hereby transfer, assign and set-over to the Trustee(s), all of the Settlor's right, title and interest in and to all of the property described in Exhibit "A" attached hereto and hereby made an integral part hereof, the Trustee(s) to hold and administer the same in trust under and in accordance with the terms and conditions set forth in this Agreement. The Settlor, and any other persons, natural or legal, may at any time or times, by deed, Will or otherwise, transfer additional property to the Trustee(s) for the uses and purposes herein set forth, and the Trustee(s) shall accept and receive such additional property whenever tendered to it and shall hold and administer such additional property in trust under and in accordance with the terms and conditions set forth in this' Agreement. All property held in trust pursuant to the provisions of this Agreement collectively is hereinafter referred to as the "Trust Estate". The Settlor and the Trustee(s), and any persons transferring any property to the Trustee(s) hereunder, shall cooperate with one another at all times in preparing, completing, executing, delivering, filing and recording such deeds, instruments, and other documents as may be necessary or appropriate to implement, effect or perfect the transfer to the Trustee(s) of the constituent assets and property, of the Trust Estate. 2. Trustee(s). The Trustee(s) hereby accept the trust created by this Agreement under and subject to the terms and conditions herein set forth, and agrees to hold in trust and administer the Trust Estate.in accordance'with the provisions hereof. The interest of the Trustee(s) in the Trust Estate and each of the constituent assets and properties thereof, and it is so acknowledged and agreed by all parties hereto, is solely that of a fiduciary holding the Trust Estate in trust for the exclusive benefit and. enjoyment of the Settlor and for such other purposes as are herein provided. 3. Settlor's Lifetime~ For and during the lifetime of the Settlor, the Trustee(s) shall manage and administer the Trust Estate in order to provide for the Settlor's long-term care, support, maintenance, health, and extraordinary needs, in accordance with the following terms and conditions: (a) The Trustee(s) shall invest the Trust Estate and receive and collect all income, earnings, interest, rents, gains, proceeds and profits arising from such investments of the Trust Estate. (b) The Trustee(s) shall distribute to the Settlor, or otherwise pay or apply as the Settlor may direct, all net income of and from the Trust Estate in such installments-and with such frequency as may be 'directed by the Settlor, but in no event less frequently than quarterly each twelve (12) month time period; (c) The Trustee(s) shall distribute to the Settlor, or otherwise pay or apply as the Settlor may direct, principal of the Trust Estate as the Settlor from time to time may request; (d) If at any time the Settlor is adjudicated incompetent by a court of proper jurisdiction, or is, in the opinion of the Trustee(s), unable to manage her affairs properly by reason of illness or mental or physical disability, the Trustee(s) shall distribute, pay or apply from time to time such amounts of the net income, and if that be insufficient then from the principal of the Trust Estate as may be necessary or appropriate to maintain for the Settlor a standard of living approximately equivalent to that now enjoyed by her, to meet the expenses and costs of maintaining her health such as medical, dental, hospital and nursing expenses arising from illness, accident, disability or invalidism, to provide for and meet any extraordinary or emergency expenses, and to provide for or meet any other purposes the Trustee(s) may deem to be in the best interests of the Settlor; in any such case, the Trustee(s) may - 2 - make or apply any payment under this subparagraph directly to the person or persons, natural or legal, to whom such payment is due and owing ~for goods and/or services provided to or for the benefit of the Settlor, or to whom such payment otherwise is due and owing from the. Settlor, and evidence of such payment or application shall be a full and complete discharge'of the Trustee(s) to the extent thereof. 4. Settlor's Death. Upon the death of the Settlor, there shall be paid from the then principal and accumulated income of the.Trust, to the following persons and organizations, the following respective amounts: (a) Janet McPherson -- $5,000. (b) William Muse -- $2,500. (c) Robbin A. McPherson -- $1,000. (d) Jill Ann McPherson -- $1,000. (e) Mark McPherson -- $1,000. (f) Denise E. McPherson -- $1,000. (g) John Edward'Gilbert -- $2,500. (h) Shirley Ann Downey --'$2,500. (i) Gertrude Laura McComb -- $2,500. (j) Margaret Jean Charters -- ~2,500.· (k) Michael A. Stoner -- $5,000. (1) Melinda Heiberg - $5,000. (m) The Blind Project of the Lions Club of Carlisle -- $5,000. (n) The Bosler Library of Carlisle -- $5',000. (o) The Salvation Army Chapter of Carlisle -- $5,000~ (p) The Lupus Foundation -- $5,000. (q) The Alzheimer's Foundation -- $~,000o - 3 - (r) The civil Engineering Department of the University of Michigan (in memory of the Settlor's husband, Lewis W. Fitch) -- $10,000. (s) The Carlisle Chapter of the American Cancer Society --$1,000. (t) The Carlisle Chapter of the American Heart Association -- $1,000. (u) The civic Club of Carlisle -- $1,000. If any beneficiary named above in this Section 4 is an individual, the above-stated amount for him or her shall be effective only if he or she survives the Settlor, except for Melinda Heiberg, and if she does not survive the Settlor, her share shall go per stirpes among her issue who survive the Settlor. The remaining principal and accumulated income of the. Trust at the death of the Settlor shall be held in a continuing trust, the income and principal of which shall be distributed as follows: (a) The Trustee(s) shall from time to time pay such sums from the net income and principal of the Trust t° or for the benefit of Ann E. Stoner (hereinafter "Ann") and her issue as may in the discretion of the Trustee(s) seem necessary for their support, maintenance and health care, for the maintenance by Ann of the standard of living maintained by her during the Settlor's lifetime, and for the education of Ann's issue, taking into account such other sources of income, support and estate that may be available to the beneficiary and the needs and resources of all the beneficiaries. Any of the foregoing distributions to or. for the benefit of Ann's issUe shall be based on their needs, rather than on a desire to'maintain absolute equality of payment among them. The Settlor's first priority for the income and principal of the Trust taken together is the support, maintenance and health care of Ann for life,, and the support, maintenance, health care and undergraduate education of each of Ann's issue until completion of his or her undergraduate education. Any undistributed income of the Trust shall be added to and made part of the principal thereof. (b) The Trustee(s) may also pay from the principal of the Trust such sums as in the discretion of the Trustee(s) seems proper for the establishment of a grandchild of the Settlor in a business or profession or towards the acquisition or furnishing - 4 - of a home for a grandchild of the Settlor, taking into account the other resources of the grandchild, the~.desirability of the transaction, and the reasonably anticipated needs'and resources of all the beneficiaries under the Trust,~provided, that the total distributions to or for the benefit~of a'grandchild of the Settlor under this sentence shall not exceed the reasonably anticipated amount that would be distributable to him or her pursuant to Subparagraph (e) below if no distributions were made under this Subparagraph (b); and each payment to him or her under this Subparagraph (b) shall be deemed an advancement to such grandchild (or to his or her issue) if he or she is not then living) in making the division of the property held in the Trust pursuant to Subparagraph (e) below, and shall be charged against his, her or their share. In making such division, an advancement shall be deemed as having changed in value in the same proportion as the Bureau of Labor Statistics Consumer Price Index as applicable to Philadelphia has changed between the time of such advancement and such division. No beneficiary of the Trust shall participate as a co-trustee in any decision under this Subparagraph (b). (c) No payment shall be made under Subparagraphs (a) or (b) above, which would discharge to any extent the legal obligation.of any person for the Support of the recipient of such payment. '. (d) In addition to the foregoing, during any calendar year Ann shall have the unqualified right in her sole discretion to demand in one or more writings delivered by her to the Trustee(s) that she be paid up to Five Thousand Dollars ($5,000.00) from the principal of the Trust, and in addition, on December 31 of any such calendar year she shall have the unqualified right in her sole discretion to demand in a writing delivered by her to the Trustee(s) that she be paid from the principal of the Trust, an amount equal to five percent (5%) of the aggregate market value of the assets held in the Trust as of such date, minus all amounts distributed to her under this Subparagraph (d) during such calendar year. The right permitted Ann under this Subparagraph (d) may be exercised by her only as herein provided before the end of any given calendar year to which applicable and any amount as to which such right is not exercised for any such calendar year shall lapse and shall not accumulate or carry over to any future calendar year. (e) Upon the death of Ann, the Trustee(s) shall pay the balance held in the Trust, outright or in trust, in such amounts or proportions to or for the benefit of any or all of the - 5 - Settlor's issue as Ann may direct in her will making specific reference to the Trust hereunder. To the extent that Ann should fail to exercise effectively her limited and special power of appointment over the Trust, then from and after her death, the principal remaining in the Trust shall be distributed per stirpes to Ann's then issue, adjusted f~r any advancements pursuant to Subparagraph (b) above, provided, however, that if any such issue is then.under the age of thirty-five (35) years, his or her share shall be held for him or her in a separate trust hereunder under the terms of Subparagraph (f) below. (f) The income and principal of a separate trust in which a share in the Trust is held for a beneficiary pursuant to the terms of Subparagraph (e) above shall be distributed as follows: (i) The income shall be distributed at least quarterly to or for the benefit of the beneficiary. No payment shall be made under this Subparagraph (i) which would discharge to any extent the legal obligation of any person for the support of the beneficiary. (ii) The Trustee(s) shall pay from the principal such sums to or for the benefit of any or all of the beneficiary and his or her issue as in the discretion of the Trustee(s) Seems proper for their support, maintenance, health care, and education, and such sums to or for the benefit of the beneficiary as in the discretion of the Trustee(s) seems proper to help establish him or her in a business or profession or acquire or furnish a home for him or her, taking into account the other sources of income~ support and estate that are available to the distributee, the reasonably anticipated n~eds and resources of the beneficiary and his or her issue, their.income and estate tax brackets, and the desirability of the transaction (if any). No payment shall be made under this Subparagraph (ii) which would discharge to any extent the legal obligation of any person for the support of the distributee. (iii) When such beneficiary shall have attained the age of twenty-five (25) years, the Trustee(s) shall distribute to him or her at his or her written request one third (1/3) of the remaining principal balance then held in his or her separate trust; when such beneficiary shall have attained the age of thirty (30) years, the Trustee(s) shall distribute to him or her at his or her written request one half (1/2) of the remaining principal .balance; and when such beneficiary shall have attained the age of thirty-five (35) years, the Trustee(s) shall - 6 - distribute to him or her at his or her written request the entire balance held in his or her separate trust.~. (iv) If such beneficiary should die before making proper request for the entire balance in his or her separate trust, then the entire balance in his or her separate trust shall at his or her death be distributed, Outright or in trust, in such sums or proportions as such beneficiary may direct in his or her last will, expressly referring to his or her separate trust hereunder, but only among Ann's issue; and to the extent that such beneficiary shall fail to exercise effectively his or her limited power of appointment hereunder,, the aforementioned balance in his or her separate trust shall then be distributed per stirpes to his or her issue, or, if no such issue surviVe him or her, per stirpes to the issue of his or her parent who was a child or more remote descendant of Ann, or, if no such issue survive him or her, Per stirpes to the issue of his or her grandparent who was a child or more remote descendant of Ann or, if no such issue survive him or her, per stirpes to Ann's issue, with the share of any of such issue for whom property is then held in or payable to a separate trust under this Subparagraph (e) being added to such separate trust. (v) If during the lifetime of a person for whom a separate trust under this Subparagraph (e) was established the interest of such person therein becomes void under the applicable rule against perpetuities, then the balance in such separate trust shall then be distributed outright to such person. 5. Spendthrift Provisions. No interest of any beneficiary or distributee hereunder in either the principal or income of any trust created hereunder Shall be liable or subject in any manner while in the possession of the Trustee(s) to anticipation, pledge, assignment, sale, transfer, charge or encumbrance, whether voluntary or involuntary, or for any liabilities or obligations of such beneficiary or distributee whether arising from his or her death,· debts, contracts,~ torts or engagements of any type. 6. Trustee(s)' Powers. Subject to any restrictions or directions elsewhere contained in this Agreement, and except as otherwise specifically provided by law, i~ the administration of the Trust Estate and each trust created h~reunder, the Trustee(s) shall have the following powers, which may be exercised without Seeking or obtaining leave of court, in addition 'to all those powers as the Trustee(s) may have by law: - 7 - (a) At any time, to retain any property, real or personal, tangible or intangible, or mixed,, or interests therein, wheresoever situate, in the form in which it may be at the time of the Trustee(s)' receipt thereof or thereafter, including without limitation any business owned or controlled by the settlor, so long as in the exercise of the Trustee(s)' discretion it may be advisable so to do, notwithstanding that said property may not be of a character authorized by law, and to conduct or participate in any such business as ~a sole proprietorship, corporation, partnership.or joint venture~ even though it was not so organized or conducted at the time of the Trustee(s)' receipt thereof. (b) To purchase, subscribe for, invest and reinvest, with any funds held in trust hereunder, in any property, real or personal, tangible or intangible, or mixed, or interests therein, wheresoever situate, as and in such proportions as the Trustee(s) may deem best, including, notwithstanding any contrary laws regarding conflict of interest, securities issued by the Trustee(s) hereunder or any affiliate thereof, and any common trust fund maintained by the Trustee(s) (a part of the Trust Estate so transferred to any such common trust fund being subject to all the terms and provisions of such common trust fund, which contemplates the commingling for investment purposes of assets of the Trust Estate with trust assets of other trusts), even though such'property would not be considered appropriate or legal for a fiduciary in the absence of this provision, it being the Settlor's intention to give the Trustee(s) the same power of investment and reinvestment that the Settlor would possess if present and acting. ~ (c) To sell, convey, exchange, partition, redeem, convert, surrender, give options upon, or otherwise dispose of any property, real or personal, tangible or intangible, or mixed, or interests therein, wheresoever situate, at any time held by the Trustee(s), at public or private sale or otherwise, for cash or any other consideration, or on credit., in such manner, to'such Persons, for such price, and upon such~terms and conditions as the Trustee(s) may deem best, and no person dealing with the Trustee(s) shall be bound to see to the application of any funds paid to it. (d) To lend and borrow money, to and from such persons or entities (including the executor or other personal representative of the Settlor or any deceased trust income beneficiary hereunder), in such amount or amounts, payable at such time or times and at such rates of interest, either - 8 - unsecured or with such security, and unde~ such other terms as the Trustee(s) may deem advisable, and for.any monies borrowed by the Trustee(s), to execute and deliver promissory notes or other evidence of obligation and as security mortgage, pledge or encumber any property, real or personal, tangible or intangible, held in trust hereunder. (e) To renew or extend the time for payment of any obligation, secured or unsecured,, payable to or by any trust hereunder, for such period or periods of time and upon such terms as the Trustee(s) may determine, and to adjust, settle, compromise and arbitrate claims or demands in'favor of or against any trust hereunder. (f) To hold, manage, operate, improve, partition or subdivide any real estate that may be held by the Trustee(s) at any time, wheresoever situate, to mortgage any such property'in such amounts and upon such~terms as the Trustee(s) may consider proper, to lease.any such property for such term or terms and under such conditions and rentals as the Trustee(s) may deem advisable, irrespective of whether the term of any such lease shall exceed the period permitted by law or the probable period Of retention in trust, and to make repairs, replacements and improvements, structural or otherwise, in connection with any such property~ (g) To abandon any property held by the Trustee(s) that is of no value or that the Trustee(s) may deem to be of insufficient value to warrant keeping, maintaining or protecting, and to permit any such property to be lost at tax sale or other proceeding. (h) To the extent that the Trustee(s) deems it advisable, to acquire and continue in force insurance on the life of the Settlor and pay the premiums therefor out of the income or principal of the Trust Estate, and upon the Settlor's death, to acquire and continue in force insurance on the life of any income beneficiary of any separate trust created for his or her'benefit hereunder and pay the premiums therefor o~t of the income or principal of such beneficiary's separate trust; to obtain any cash surrender value of any such policies and add the same to trust principal, Or to convert any such policies to permanent paid-up insurance; and to deal with such policies.in any way that the Trustee(s)'in their discretion may determine to be in the best interests of the Settlor and other trust beneficiaries hereunder, including without limitation borrowing against such insurance policies in order to pay the premiums thereon. - 9 - (i) In dividing or distributing any property hereunder, real or personal, tangible or intangible, or mixed, or interests therein, to divide or distribute in cash, in kind, or partly in cash and partly in kind, and in shares different in kind from other shares, as the Trustee(s) may determine, and~to that end to allot specific securities or other property, or an undivided interest therein, to any share,..part, trust or distributable portion; however, no statut0rily provided interest shall be allowed or paid on any distribution of property made by or from the Trust Estate or any.trust hereunder, and all net income thereof shall be allocated and distributed as herein provided with no requirement that such income be accrued for~or apportioned between any successive beneficiaries hereunder. (j) To retain, employ and pay agents, employees, accountants and counsel, .including but not limited to investment counsel ~or advisors, brokers, banks, custodians and other agents, for advice and other professional services, and to delegate to them such duties, rights and powers as the Trustee(s) may determine, for such time period or periods as it may deem advisable. (k) To register any securities held in trust hereunder at any time in the Trustee(s) own name, in their name as fiduciary, or in the name of a nominee, with or without indicating the trust character of the securities so registered. (1) With respect to any securities held in~ trust hereunder: to vote upon any proposition or election at any meeting of the corporation issuing such securities, to grant discretionary or other proxies, to join and participate in any merger, reorganization, readjustment, voting trust plan, consolidation, exchange or other concerted action of holders of securities for the deposit of securities under agreements and payment of assessments, to deposit any such securities with any committee, trustee or other depository, .to subscribe for stocks and bonds, to grant, obtain or exercise options, and generally exercise all rights of holders of securities and take all actions with respect to any such securities as could be taken by the absolute owner thereof, including without limitation the delegation of discretionary duties with respect thereto. (m) In dealing with the stock of any close or other corporation,, partnership interest, or other business held in or forming part of any trust hereunder, .to disregard any principle of investment diversification and retain any part or all of it - 10 - for so long as the Trustee(s) may deem advisable; to do anything that the Trustee(s) may consider appropriate with regard to its operation, expansion, reduction, liquidation or termination, or any change in its purpose, nature or structure; to delegate authority or duties to any director, stockholder, manager, partner, employee or agent, and to approve its payment of reasonable compensation to any such person; to cause it to borrow money at reasonable terms from the banking department of a corporate co-trustee hereunder, notwithstanding any contrary laws regarding conflict of interest; to make additional investments in it if such action appears to be in the best interests of the beneficiaries hereunder; and, to participate actively in the management thereof ~and receive compensation for such services in addition to any fees or compensation to which the TrUstee(s) are otherwise entitled as a fiduciary. (n) Unless exercised by the Set.tlor, or upon.her death by the Settlor,s executor or other personal representative, and to the extent permitted by law, to exercise any election, right or privilege given by federal tax laws, or the tax laws of Pennsylvania or any other jurisdictions, and to determine and pay from the Trust Estate, or any trust hereunder, any taxes properly payable by or assessed against the Trust Estate or such trust, or the income or assets thereof, unless liability for payment of such taxes is assumed by the Settlor or one or more beneficiaries hereunder in a manner satisfactory to the Trustee(s), and in any such case to make or not make such compensating adjustments as between income and principal of any trust hereunder as the Trustee(s) may deem appropriate. (o) To exercise all rights, options, powers and privileges granted to the Trustee(s) as the named beneficiary by, under or with respect to any life insurance or annuity policy, or any pension, retirement, welfare or other benefit plan or program, the proceeds or benefits of, from or under which are payable to the Trustee(s) hereunder as such beneficiary thereof, to collect and receive payment of such proceeds or benefits with no payor thereof to be responsible for the Trustee(s), application of the payment so made, and to compromise or settle any questions relating thereto as the Trustee(s) may deem best; provided however, that the Trustee(s) shall not be required to institute litigation to recover any such proceeds or benefits unless the Trustee(s) are reasonably indemnified for costs, counsel fees and other expenses of such litigation. (p) To combine for purposes of administration and investment any or all of the trusts created hereunder; provided - 11 - however, that neither this power nor its exercise shall alter their status as separate trusts. (q) In general, to exercise all powers in the management of the assets and properties held in trust hereunder that any individual could exercise in the management of similar property held in his or her own right, upon such terms and conditions as to the Trustee(s) may seem best, and to execute'and deliver all instruments and documents and do all acts that the Trustee(s) may deem necessary or proper to carry out such management and their duties in the administration of any trust under this Agreement. 7. 'Accountinqs. Within a reasonable period of time, but in no event later than sixty (60) days, after the expiration of each trust year hereunder, the Trustee(s) shall prepare and furnish tq the Settlor in the case of the Trust Estate, and to each income beneficiary of any separate trust created hereunder, a copy of a detailed accounting, statement of receipts and disbursements, and balance sheet reflecting all transactions of the Trust Estate of such separate trust, as the case may be, for such trust year. 8. Taxes. (a) Upon the death of the Settlor, or any income beneficiary of a separate trust created hereunder, the Trustee(s) may, if in their sole discretion the Trustee(s) deems it necessary or advisable to protect the Trust. Estate, or such separate trust, as the case may be, or to~facilitate the settlement of the'estate of such decedent~ but shall have no duty or obligation to: (i) purchase with funds of the Trust Estate, or such separate trust, as the case may be, any securities or other property, or portions thereof or interests therein, tendered by such decedent's executor or other personal representative at any .time or times within the period of nine (9) months after the date of the decedent's death, at the market value thereof at the time of purchase, with any difference of opinion as to such market value to be fixed by the decedent,s executor or other personal representative whose determination thereof shall be conclusively binding upon the Trustee(s) and all persons claiming hereunder or interested therein; (ii) pay from the Trust Estate, or such separate trust, as the case may be, any or all estate, inheritance, - 12 - legacy, transfer, succession or death taxes, of whatsoever nature or kind and by whatsoever jurisdiction imposed, including but not limited to generation-skipping transfer taxes imposed under the Internal Revenue Code of 1986, as amended, payable or assesSed in consequence of the death of such decedent, and any or all interest and penalties thereon. (b) Upon the death of the Settlor, if any estate, inheritance, legacy, transfer, succession~or death taxes, of whatsoever nature or kind and by whatsoever jurisdictions imposed (excluding however any generation'skipping transfer taxes imposed under the Internal Revenue Code of 1986, as amended), are payable or assessed in consequence of the Settlor's death against, by reason of or with respect to the Trust Estate or any assets or property thereof, then unless the Settlor's Last Will in effect as of the date of her death shall provide that such taxes shall be paid by her executor from her estate, the Trustee(s) shall pay all such taxes, including any interest and penalties thereon (but ~exc!uding any of the aforesaid generation-skipping transfer taxes, and any interest or penalties thereon) from the principal of the Trust Estate, or make provision or allowance for such payment, without contribution, recovery or collection from any beneficiary or distributee hereunder. If any such taxes are payable or assessed partly.by reason of the Trust Estate and partly by reason of assets or property not included in the Trust Estate, then unleSs the Settlor's Last Will in effect as of the date of her death.shall provide otherwise, the Trustee(s) shall pay from the principal of the Trust Estate the difference between (a) the sum of all such taxes, and any interest and penalties thereon (but excluding any of the aforesaid generation-skipping transfer taxes, and any interest or penalties thereon) payable or assessed in consequence of the Settlor's death, and (b) the sum of all such taxes, interest 'and penalties (excluding any of the aforesaid generation-skipping transfer taxes, and any interest or penalties thereon) that would have been payable or assessed in the absence of the Trust Estate or the assets or property thereof, it being hereby intended and directed that unless the Settlor otherwise provides in her Last Will, the principal of the Trust Estate shall pay the incremental portion of such taxes, interest and penalties (excluding any of the aforesaid generation-skipping transfer taxes, and interest and penalties thereon) attributable to the Trust Estate or the assets or property thereof. (c) Payment of all taxes authorized or required under the preceding provisions of this paragraph shall be made by the Trustee(s) to the proper taxing authorities, or in the - 13 - Trustee(s)' sole discretion to the executor or other personal representative of the Settlor or other decedent for delivery to such taxing authorities, after receiving from such executor or other personal representative a written certification as to the amount of sUch taxes, interest and penalties, upon which certification the Trustee(s) shall be entitled to rely conclusively. 9. Restriction. Notwithstanding any other provisions hereof, in no case shall any annuity or other payments, or the proceeds of any life insurance policy, receivable by the Trustee(s) in consequence of the death of the Settlor or any trust income beneficiary hereunder, which with respect to such decedent's estate are not subject in whole or in part to federal estate taxes under the Internal Revenue Code of 1986, as amended, or to state inheritance estate or other death taxes under the laws of the Commonwealth of Pennsylvania or any other applicable jurisdiction, be receivable or received by, paid or loaned to, or used by or applied for the benefit of the estate or executor of such decedent, or any other~person or purpose, to the extent that such nontaxable annuity or other payments or life insurance proceeds thereby would be subject to federal estate taxes or said state death taxes. 10. Trustee(s), Compensation. The Trustee(s) shall be entitled to receive fair, equitable and reasonable compensation for his, her or its services hereunder as and when such services are rendered, in accordance with his, her or its then prevailing schedule of fees, if any, in no event however to exceed trust fiduciary fees usually charged for such services by similar trustees in the same geographical area. In addition, the Trustee(s) shall be entitled to receive reimbursement for any expenses incurred by acting as a fiduciary hereunder. All trust fiduciary fees and expenses hereunder shall be deducted from and charged, to the income, and if that be insufficient then the principal, of each trust hereunder on account of which such fees and~expenses were incurred or to which they are otherwise attributable or allocable, as and when the Trustee(s) shall determine, but not less frequently than once each trust year. 11. No Bond. The Trustee(s) shall not be required in any jurisdiction to file, enter or post bond or any other security for the faithful performance of their duties under this Agreement. 12. Revocation. The Settlor may revoke this Agreement or the Trust Estate hereunder, in whole or in part, at any time or - 14 - times hereafter by written instrument executed by the Settlor and delivered to the Trustee(s) during the lifetime of the Settlor. 13. Amendment. The Settlor may amend or modify this Agreement or any provisions hereof, in whole or in part, at any time or times 'hereafter by written instrument executed by the Settlor and delivered to the Trustee(s) during the lifetime of the Settlor, provided, however, that no provisions hereof that are for the benefit or protection of the Trustee(s), or that relate to the duties of the Trustee(s) hereunder, may be amended or modified except by written instrument executed by both the Settlor and the Trustee(s). 14. Construction. Ail questions pertaining to the validity, interpretation, construction, administration and enforcement of this Agreement and each trust created hereunder shall be determined in accordance with the laws of the Commonwealth of Pennsylvania. Where used in this Agreement, unless the context otherwise clearly requires: the plural shall include the singular, and the singular shall include the plural; the neuter gender shall include all genders; and the words "hereof", "hereto", "hereunder" and other similar compounds of the word "here" shall mean and refer to this entire Agreement and not to any particular provision or paragraph hereof, unless the context otherwise clearly requires. The captions of the numbered paragraphs of this Agreement have been inserted solely for convenience, and shall not limit, control or affect the meaning, interpretation or construction of this Agreement or any provisions hereof. 15. Binding'Effect. The provisions of this Agreement shall be binding upon and inure to the benefit of the named parties hereto, the beneficiaries and distributees herein identified, and their respective heirs, personal representatives successors and assigns. ' 16. Successor Trustee(s) i If ever~Ann E. Stoner is unable or unwilling to serve or 'to continue serving, as a Trustee hereunder, no successor shall be appointed to serve in her place. If ever Michael A. Stoner is unable or unwilling to serve, or to continue serving, as a Trustee hereunder, he shall be succeeded as a Trustee by Michael B. Devlin. Upon the death of the Settlor, Michael B. Devlin shall become an additional Trustee hereunder, no matter who then is otherwise serving as a Trustee(s) hereunder, If ever Michael B. Devlin is unable or unwilling so'to serve as a Trustee hereunder, or to continue so serving as a Trustee hereunder, he shall be succeeded as Trustee - 15 - by such person or corporate fiduciary as he designates in a written document delivered to the party he.has named, and if Michael B. Devlin fails to name such a successor to himself, or if the successor he names is unable or unwilling so to serve, or to continue so serving, Commonwealth National Bank shall serve as Trustee hereunder.. IN WITNESS WHEREOF, the parties hereto, intending to be legally bound hereby, have duly executed this Agreement on this day, month and year first above written. Witness: SETTLOR: GERTRUDE ~L. M~P~ERSON Attest: TRUSTEE: ANN E. STONER MICHAEL A. STONER - 16 - EXHIBIT A - 17 - COMMONWEALTH OF PENNSYLVANIA COUNTY OF SS: : On this, the cQ~ day of ~-~~f- , 1989, before me, a Notary Public, the undersigned' officer, personally appeared GERTRUDE L. McPHERSON, known to me (or satisfactorily proven) to be the person whose name is subscribed to the within Agreement of Trust, who acknowledged to me that she executed the same for the purposes therein contained. seal. IN WITNESS WHEREOF, I hereunto set my hand and official - 18 - FOURTH AMENDMENT TO REVOCABLE MANAGEMENT TRUST AGREEMENT · . · . . .~/'..:..,,7 Th~s amendment, executed and dehvered th~s /~-ff. day of ff...'[t?~: ', .'~.' ~..' , 2001 made by GERTRUDE L. MC PHERSON, an adult residing in Carlisle, Penns~yivania, hereinafter called the "senior", hereby amends in its entirety the third amendment dated the'28t~ of August, 1997 to the said revocable management trust agreement as follows: WITNESSETH: Whereas, the Settlor desires to amend the revocable management trust agreement between herself as settlor and ANN E. BENJEY and MICHAEL A. STONER, as trustees, dated December 26, ·1989; Whereas, under section 13 of said trust agreement the settlor may amend or modify the said trust agreement, or any provisions thereof; in whole or in part, at any time or times, by written instrument executed by the settlor, and delivered to the trustees during the lifetime of the settlor; NOW THEREFORE, the following amendments and modifications are made bythe settlor to the said trust agreement: 1. The opening paragraph of the trust agreement designating that ANN E. BENJEY and MICHAEL A. STONER are the trustees of the said trust is changed to delete MICHAEL A. STONER as a trustee thereof and the language changed so that ANN E. BENJEY is the only trustee. ANN E. BENJEY is hereby empowered to engage advisors to provide such services as legal, money management, accounting as she sees fit. The fact that MICHAEL A. STONER is no longer a trustee hereunder will not preclude him from being engaged by a trustee as an advisor. If ANN E. BENJEY is unwilling or unable to serve as trustee, alternate trustees shall be appointed according to section 16 of the Revocable Management Trust Agreement as amended by this third amendment. ANN E. BENJEY or her successor trustee shall retain the power to replace any advisor or professional service provider engaged by her under this trust. Section 4 of said trust agreement (beginning on page 3 thereof and ending on page on page 7 thereof) and any amendments thereto are deleted therefrom, and the following Section 4 is inserted in place thereof2 SETTLOR'S DEATH. Upon the death of the settlor, there shall be paid from the then principal and accumulated income of the trust, to the following persons and organizations the following respective amounts (a) Beth Stoner Bautista -$20,000 (b) Amy Michele Stoner-- $20,000 (c) Janet McPherson-$2,500 (d) Robbin McPherson--$1,000 (e) Jill Ann McPherson -$1,000 (f) M~xrk MePherson--$1,000 (g) Denise E. McPherson--$1,000 (h) John Edward Gilbert--S2,500 (i) The surviving children of Shirley Ann Downey-S2,500 equally divided 0) Gertrude Laura McComb--$2,500 (k) Michael A. Stoner--S5,000 (1) The Blind Project of the Lions Club of Carlisle, PA--S2,000 (m) Howell-Carnegie Districy Library of Howell, Michigan--$1,000 (n) The Salvation Army Chapter of Carlisle, PA--$2,500 (o) The Lupus Foundation--$1,000 (p) The Alzheimer's Foundation-S2,500 (q) The Carlisle, PA Chapter of the American Cancer Society--S1,000 (r) The Carlisle, PA Chapter of the American Heart ASsociation--S1,000 (s) The Civic Club of Carlisle, PA--$1,000 (t) Carlisle, PA Chapter of The American Red Cross--S1,000 If any beneficiary named above in this section 4 is an individual, the above-stated amount for' him or her shall be effective only if he or she survives the settlor, except for Beth Stoner Bautista and Amy Michele Stoner, and if one of such two persons does not survive the settlor, her share shall go per stirpes among her issue, if any, who Survive the settlor. The remaining principal and accumulated income of the trust at the death of the settlor shall be distributed outright to the settlor's daughter, Ann E. Benjey, and if she does not survive the settlor, shall be distributed equally to the settlor's granddaughters, provided however, that if any such granddaughter is not then living, her share shall be distributed per stirpes to her issue who are then liv. ing, and, provided, further, that if any such granddaughter or any such issue is then under the age of thirty- five (35) years, his or her share shall be held for him or her in a separate trust hereunder under the terms of subparagraph (a) below. a) The income and principal cfa separate trust in which a share in the trust is held for a beneficiary pursuant to the aforegoing terms of this section shall be distributed as follows: b) (i) The income shall be distributed at least quarterly to or for the benefit of the beneficiary. No payment shall be made under this subparagraph (i) which would discharge to any extent the legal obligation of any person for the support of the beneficiary. (ii) The trustee(s) may pay from the principal such sums to or for the benefit of any or all of the beneficiaries and his or her issue as in the disc{etion of the trustee(s) seems proper for their support, maintenance, health care, and education, and such items to or for the benefit of the beneficiary as in the discretion of the trustee(s) seems proper to establish him or her in a business or profession or acquire or furnish a home for him or her, taking into account the other resources of income, support and estate that are available to the distributee, the reasonably anticipated needs and resources of the beneficiary and his or her issue, their income and estate tax brackets, and the desirability of the transaction (if any). No payment shall be made under this subparagraph (ii) which would discharge to any extent the legal obligation of any person for the support of the distributee. (iii) When such beneficiary shall have attained the age of twenty-five (25) years, the trustee(s) shall distribute to him or her at his or her written request one third (1/3) of · the remaining principal balance then held in his or her separate trust; when such beneficiary shall have attained the age of thirty (30) years, the trustee(s) shall distribute to him or her at his or her written request one half(l/2) of the remaining principal balance, and when such beneficiary shall have attained the age of thin3' five (35) years, the trustee(s) shall distribute to him 'or to her at his or her written request the entire balance held in his or her separate trust. (iv) If such beneficiary should die before making proper request for the entire balance in his or her separate trust, then the entire balance in his or her separate trust shall at his or her death be distributed, outright or in trust, in such sums or proportions as such beneficiary may direct in his or h~r last will, expressly referring to his or her separate trust hereunder, but only among Ann's issue; and to the extent that such beneficiary shall fail to exercise effectively his or her limited power of appointment hereunder, the aforementioned balance in his or her separate trust shall then be distributed per stirpes to his or her issue, or, if no such issue survive him or her, per stripes to the issue of his or her parent who was issue of Ann, or, if no such issue survive him or her, per stirpes to Ann's issue, with the share of any such issue for whom property is then held in or payable to a separate trust under this subparagraph (a) being added to such separate trust. (v)If during the lifetime of a person for whom a separate trust under this subparagraph (a) was established the interest of such person therein becomes void under the applicable rule against perpetuities, then the balance in such separate trust shall then be distributed outright to each person. 3. Section 16 of the said trust agreement (beginning on page 15 thereof and ending on page 16 thereof) is deleted therefrom: 16. Successor Trustee(s). If ever Ann E. Benjey is unable or unwilling to serve or to continue so serving, as a trustee hereunder, she shall be succeeded as a trustee hereunder by Beth Stoner Bautista. If ever Ann E. Benjey and Beth Stoner Bautista are both unable or unwilling to serve, or to continue so serving' as a trustee hereunder, Amy Stoner shall serve as the trustee hereunder. If none of the persons named above is able to serve as trustee hereunder, then Farmers Trust shall serve as trustee. 4. In all other respects, said trust agreement shall remain in full force and effect as hereby amended and modified. IN WITNESS WHEREOF, the parties hereto, intending to be legally bound hereby, have duly executed this agreement on the day, month and year first above written.. Commonwealth of Pennsylvania - _.L~d~, :,. ,.."" ..,.' GERTRUDE L. MC PHERSON County of Cumberland On this the/~3r~, day of~'"':~,'~*(, .'....."., 2001, before me, a Notary Public, the undersigned officer, personally appeared GERTRUDE L. MC PHERSON, known to me (or satisfactorily proven) to be the person whose name is subscribed to the within agreement of trust, who acknowledged to me that she executed the same for the purposes therein contained. . NOtary Public' (-_~/' ~- Notarial Seal ($~al) .I I~,brs A. Zlnn. Notary Publt~ [ g~Cj~th Middle,on Twp., Cuml:~Mand _C~I~_ _ , Fo~m7Q6 (Rev. 11-01) Estate of: GERTRUDE MCPHERSON 361-01-6111 SCHEDULE J -- Funeral Expenses and Expenses Incurred in Administering Property Subject to Claims Note: Do not list on this schedule expenses o! administering property not subject to claims. For those expenses, See instructions for Schedule L. If executors' commissions, attorney fees, etc.. are claimed and allowed as a deduction for estate tax purposes, they are not allowable as a deduction in computing the taxable income of the estate for Federal income tax purposes. They are allowable as an income tax deduction on Form 1041 if a waiver is filed to waive the deduction on Form 706 (see the Form 1041 instructions). Item Description Expense amount Total amount no. A. Funeral expenses: I FUNERAL COSTS 8,205.00 2 RECEPTION, FLOWERS, ETC 1,032.00 Total funeral expenses .......................................... · 11,566.0( B. Administration expenses: I Executors' commissions -- amount estimated/~,~r~d upc,~.,';_-!~. ,'Strike out the words that do not apply.) . 50,000.0( 2 Attorney fees -- amount estimated/,~,==d uwu~,/w&[d. (Strike out the words that do not apply.) .......... 0.0( 3 Accountant fees -- amount estimated/,,~,==J uwu, ,/~&G. (Strike out the words that do not apply.).' ....... .7,500.0( 4 Miscellaneous expenses: Expense amount 4 FILING FEES 288.00 5 APPRAISAL 325.00 6 MAINTENANCE OF. ESTATE. PROPERTY 6,377.00 7 REAL ESTATE TAX ~' 747.00 8 MISCELLANEOUS ADMINISTRATIVE COSTS 310.00 9 INVESTMENT COUNSELING 2,500.00 10 FLORIDA ADMINISTRATIVE COSTS 2,500.00 11 RESERVE FOR ADMINISTRATION COSTS 2,500.00 . Total miscellaneous expenses from continuation schedules (or additional sheets) attached to this schedule ............................................... 0.0 ¢ Total miscellaneous expenses .............................................................. ~. 15,54'7.0( TOTAL. (Also enter on Part 5, Recapitulation, page 3, at item 13.) ................................... · 84,613.0¢ (If more space is needed, attach the continuation schedule from the end of this package or additional sheets of the sam, size.) (See the instructions on page 24.) Schedule J -- Page 23 CAA I ?0SJ1 NTF 2557552 Copyright 2001 Greatland/Nelco ~ Forms Software Onty Estate* of,: GERTRUDE MCPHERSON · Schedule J, Part A -- Funeral Expenses Item No. Description 3- STONE & VAULT 4 TRAVEL, FOOD, ETC Page 2 361-01-6111 Amount 1,424.00 905.00 TOTAL. (Carry forward to main schedule) ...... 2,329.00 Form 7d6 (Rev. 11-Ol) Estate of: GERTRUDE MCPHERSON 361-01-6111 SCHEDULE K -- Debts of the Decedent, and Mortgages and Liens Item no, 2 3 5 6 7 8 9 10 Debts of the Decedent -- Creditor and nature of claim, and allowable death taxes Promissory note - Ann Benjey INCOME TAX PREPARATION UTILITIES Amount unpaid to date 00 00 00 HOUSE C?,~3%NING INSURANCE THORNWALD HOME WEST SHORE EMS PHARMACIA FEDERAL INCOME TAX PA INCOME TAX 0 O0 0 O0 0 O0 0 O0 0 O0 0 O0 0 O0 Amount in contest 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Total from continuation schedules (or additional sheets) atlached to this schedule ........................... TOTAL. (Also enter on Part 5, Recapitulation, page 3, at item 14.) ....................................... Item Mortgages and Liens -- Description nO, Total from continuation schedules (or additionaJ sheets) attached to this schedule ........ '. .................. TOTAL (Also enter on Part 5, Recapitulation, page 3, at item 15.) ................ . ...................... (If mom space is needed, attach the continuation schedule from the end of this package or additional sheets of the same size.) (The instructions to Schedule K are in the separate instructions.) CAA 1 ?OSK1 NTF 2557553B Copyright 2001 Greatland/Nelco - Forms Software Only Amount clalrned as a deduction 80,000.00 700.00 338.00 60.00 50.00 1,021.00 91.00 10.00 733.00 844.00 10.00 83,857.00 Amount 0.00 0.00 Schedule K--Page 25 Estat~ of: GERTRUDE MCPHERSON Schedule K, Part i -- Debts of the Decedent Item - Amo~H~ ~npaid. Amount No. Description to date in contest Page 2 361-01-6111 Deduction amount 11 PERSONAL TAXES 0.00 0.00 10.00 TOTAL. (Carry forward to main schedule) ...... 10.00 PR O..~I$$OR Y .NO TE $80,000.00 Date: Januaw ! !, 2002 For value received, the undersigned GERTRUDE L. McPHERSON ("the Borrower"), at Hillside Dr., Carlisle, PA i 7013, promises to pay to the order of ANN BENJEY, (the "Lender"), at 546 E. Spfingvil!e Rd., Carlisle, PA !7013, (or at such other place as the Lender may designate in writing) the stun of $80,000.00 with interest from January' 1 I, 2002, on the unpaid principal at the rote of 7.00% per annum The Unpaid principal' and accrued interest shall be payable in monthly installments of $3,581.81, beginning on Febmm-y 11, 2002, mhd continuing tmtii January i I, 2004, (the "Dt~e Date'"), at which time the remaining unpaid principal or principal and interest shall be due in fid[ All payments on this Note shall be applied first in payment of accrued interest and any remainder in payment of principal. The Borrower promises to pay a late charge of $25.00 for each installment that remains unpaid more than 10 day(s) after its due date. Tiffs late charge shall be paid as liquidated damages in lieu of actual damages, and not asa penalW If any io_qtal!ment is not paid when due, the remaining unpaid balance and accrued interest shall become due immediately at the option of the Lender. The Borrower reserves the right to prepay this Note (in whole or in part)prior to the due date with no prepayment penalty. If any payment obligation under this Note is not paid when due, the Borrower promises to pay all costs of collection, including reasonable attorney fees, wlnether or not a lawsuit is commenced as part of the collection Process. If any of the following events of default occur, this Note and any other obligations of the Borrower to the Lender, shall become due ' -~: "-' ' lmm~utat~ty, without demand or notice: 1) the failure of the Borrower to pay the p_dnc/pa! and any accrued interest in _flail on or before the Due Date; 2) the death of the Borrower(s) or Lender(s); 3) the filing ofbank_mptcy proceedings involving the Borrower as a Debtor; 4) the application for appointment of a receiver for the Borrower; 5) the making of a general assignment for the benefit of the Borrower's creditors; 6) the insolvency of the Borrower; 7) the misrepresentation by the Borrower to the Lender for the purpose of obtaining or extending credit. In addition, the Borrower shall be in default if there is a sa!e, transfer, assignment, or any other disposition of any assets pledged as security for the pay~ient of this Note, or if there is a in any securi~ agreement which secures this Note. Borrower is required to maintain term life insurance payable to the Lender in an amount sufficient to pay' the principal and accrued interest in full in ff~e event of Borrower's death. !f any one or more of the provisions of this Note are determined, to be unenforceable, in whole or in Pm-t, for any reason, the remaining provisions shall remain fully operative. All payments of principal and interest on this Note shall be paid in the legal currency of the United States. Borrower waives presentment for payment, protest, and notice of protest and nonpaymentofthis Note. No renewal or extension of this Note; delay in enforcing any right of the Lender under this Note, or assignment by Lender of this Note shall affect the liabili¢' of the Borrower. Ali rights of the Lender trader th/s Note are cumulative and may be exercised concuxrent!y or consecutively at the Lender's option. This Note shall be const_med in accordance w/._'th the laws of the State of Pennsy!vania Signed this / / day r , ,:/ . Bowower~ GERTRUDE L. McPi[ERSON Payment Number ~MORTIZATION SCHEDULE Annual Percentage Rate = 7.0000% - Principal = $ 80000.00 Payment Total Interest Principal Loan Date Payment Amount Amount Balance 0 1/11/02 0.00 0.00 0.00 80000.00 1 2/11/02 3581.81 466.67 3115.14 76884.86 2 3/11/02 3581.81 448.50 3133.31 73751.55 3 4/11/02 3581.81 430.22 3151.59 70599.96 4 5/11/02 3581.81 411.83 3169.98 67429.98 5 6/11/02 3581.81 393.34 3188.47 64241.51 6 7/11/02 3581.81 374.74 3207.07 61034.44 7 8/11/02 3581.81 356.03 3225.78 57808.66 8 9/11/02 3581.81 337.22 3244.59 54564.07 9 10/11/02 3581.81 318.29 3263.52 51300.55 10 11/11/02 3581.81 299.25 3282.56 48017.99 11 12/11/02 3581.81 280.10 3301.71 44716.28 Subtotal 39399.91 4i16.19 35283.72 12 1/11/03 3581.81 260.84 3320.97 41395.31 13 2/11/03 3581.81 241.47 3340.34 38054.97 14 3/11/03 3581.81 221.99 3359.82 34695.15 15 4/11/03 3581.81 202.39 3379.42 31315.73 16 5/11/03 3581.81 182.68 3399.13 27916.60 17 6/11/03 3581.81 162.85 3418.96 24497.64 18 7/11/03 3581.81 142.90 3438.91 21058.73 19 8/11/03 3581.81 122.84 3458.97 17599.76 20 9/11/03 3581.81 102.67 3479.14 14120.62 21 10/11/03 3581.81 82.37 3499.44 10621.18 22 11/11/03 3581.81 61.96 3519.85 7101.33 23 12/11/03 3581.81 41.42 3540.39 3560.94 1826.38 41155.34 Subtotal 42981.72 24 1/11/04 3581.71 20.77 3560.94 0.00 Subtotal 3581.71 20.77 3560.94 Grand Total 85963.34 5963.34 80000.00 -3- Form 706 (Rev. 11-01) Estate of: GERTRUDE MCPHERSON 361-01'6111 SCHEDULE O -- Charitable, Public, and Similar Gifts and Bequests la If the transfer was made by will, has any action been instituted to have interpreted or to contest the will or any of its provisions affecting the charitable deductions claimed in this schedule? ........................................ If "Yes," full details must be submitted with this schedule. b According to the information and belief of the person or persons filing this return, is any such action planned? If '"Yes," full details must be submitted with this schedule. 2 Did any property Pass to charity as the result of a qualified disclaimer?. ............................................. If '~'es," attach a copy of the written disclaimer required by section 2518(b). Item 1 2 3 Name and address of beneficiary LIONS CLUB BLIND PROJECT CARLISLE, PA 17013 HOWELL-CARNEGIE DISTRICT LIBRARY HOWELL, MI SALVATION ARMY 20 E POMFRET STREET CARLISLE, PA 17013 THE LUPUS FOUNDATION ALZHEIt~ER'S FOUNDATION' AMERICAN CANCER SOCIETY .. CARLISLE, PA' 17013 AMERICAN HEART ASSOCIATION CARLISLE, PA 17013 CIVIC CLUB OF CARLISLE 246 W POMFRET STREET Character of institution CHARITY PUBLIC CHARITY SCIENTIFIC SCIENTIFIC SCIENTIFIC SCIENTIFIC CHARITY Total from continuation schedules (or additional sheets) attached to this schedule .............................. 3 Tot~ ........................................................... i .................... 3 4a Federal estate tax payable out of property interests listed above ......... 4a o.0o b Other death taxes payable out of property interests listed above ......... 4b 0.00 c Federal and state GST taxes payable out of property interests listed above I ZlC I 0. I d Add items 4a, b, and c ...................................... ' ............................ I 4d I 5 Net value of property interests listed above (subtract 4d from 3). Also enter on Part 5, Recapitulation, ' page 3, at item 21 ..................................................................... I 5 (If more space is needed, attach the continuation schedule from the end of this package or additional sheets of the same size.) (The instructions to Schedule O are in the separate instructions.) Amount 2,000.00 1,000.00 2,500.00 1,000.00 2,500.00 1,000.00 1,000..00 1,000.00 1,000.00 13,000.00 0.00 13,000.00 Schedule O -- Page 31 CAA I 70S01 NTF 2557556 Copyright 2001 Greatland/Nelco- Forms Software Onty Estat~ ~f,: GERTRUDE MCPHERSON ' ~' Schedule O -- Charitable, Public, and Similar Gifts and Bequests Character 'of Item No. Name and address of beneficiary institution Page 2 361-01-6111 Amount 8 CARLISLE, PA 17013 9 AMERICAN RED CROSS 1710 RITNERHWY CARLISLE, PA 17013 CHARITY 1,000.00 TOTAL. (Carr~ forward to main schedule) .... .. . 1,000.00 ~00 COMMONWEALTH OF PENNSYLVANIA 'DEPARTMENT OF REVENUE BUREAU OF INDIVIDUAL TAXES DEPT. 280601 HARRISBURG, PA 17128-0601 RECEIVED FROM: PENNSYLVANIA INHERITANCE AND ESTATE TAX OFFICIAL RECEIPT NO. REV-1162 EX(11-96) CD 001717 BENJEY ANN 546 E SPRINGVILLE ROAD CARLISLE, PA 17013 ........ fold ESTATE INFORMATION: SSN: 361-01-6111 FILE NUMBER: 2102-0072 DECEDENT NAME: MCPHERSON GERTRUDE L DATE OF PAYMENT: 10/11/2002 POSTMARK DATE: 10/10/2002 COUNTY: CUMBERLAND DATE OF DEATH: 01/13/2002 .ACN ASSESSMENT CONTROL ' NUMBER AMOUNT 101 $11,602.00 TOTAL AMOUNT PAID: $11,602.00 REMARKS: ANN BENJEY SEAL CHECK# 154 INITIALS: CW RECEIVED BY: MARY C. LEWIS REGISTER OF WILLS REGISTER OF WILLS BUREAU OF ZNDZVZDUAL TAXES INHERTTANCE TAX DTVISION DEPT. 280601 HARRTSBURG, PA 17118-0601 COHMONWEALTH OF PENNSYLVANIA DEPARTMENT OF REVENUE NOTICE OF DETERMINATION AND ASSESSMENT OF PENNSYLVANIA ESTATE TAX BASED ON FEDERAL ESTATE TAX RETURN REV-d83 EX AFP (01-03) HICHAEL B DEVLIN BOYER & RITTER PO BOX 668' CARLISLE PA 17~5'n~L; ,~: :: ........ ....~ ,.:,.~DATE 02-17-2005 F~*,:.:, .... :...:', ..'~ :&. ESTATE OF MCPHERSON DATE OF DEATH 01-15-2002 " FILE NUMBER 21 OZ-O07Z '03 FEB ] 9 i.t!1:58 COUNTY CUMBERLAND ACN 201 Aeoun'l: Reei'l:*l:ed GERTRUDE L MAKE CHECK PAYABLE AND REMIT PAYMENT TO: REGISTER OF WILLS CUMBERLAND CO COURT HOUSE CARLISLE, PA 17015 NOTE: To Ansure proper credi~ ~(o your account, sube/~ ~he upper por~ion of ~his fore wASh your ~ax peyeen~. CUT ALONG THIS LTNE ~ RETAIN LOWER PORTION FOR YOUR FILES ~ REV-q83 EX AFP (01-03) ~ NOTTCE OF DETERNTNATZON AND ASSESSMENT OF PENNSYLVANTA ESTATE TAX BASED ON FEDERAL ESTATE TAX RETURN ~# ESTATE OF MCPHERSON GERTRUDE L FTLE N0.21 02-0072 ACN 201 DATE 02-17-2005 ESTATE TAX DETER~IZNATZON 1. Cred/~ For State Death Taxes as Verified 2. Penns¥1vanAa Inheritance Tax Assessed (Exclud/ng DAscoun~ and/or Interest) 5. Inheritance Tax Assessed by O~her States or Territories o~ the Uni*ed Sta~es (Excluding Discoun~ and/or Interest) ~. To,al Inheritance Tax Assessed 5. Pennsylvan/a Es~a~e Tax Due TAX CREDITS: 61/602.~2 .00 · 25/627.00 61/602.~2 .00 PAYMENT RECEIPT DISCOUNT (+) AMOUNT PAID DATE NUMBER INTEREST/PEN PAID*(-) ~ZF PA/D AFTER TH/S DATE, SEE REVERSE S/DE FOR CALCULATION OF ADD/TZONAL INTEREST. TOTAL TAX CREDZT I .00 BALANCE OF TAX DUEl .00 INTEREST AND PEN. .00 TOTAL DUE .00 (ZF TOTAL DUE IS LESS THAN $1~ NO PAYHENT IS REQUIRED ZF TOTAL,DUE 1S REFLECTED AS A "CRED/T' (CR), YOU HAY BE DUE A REFUND. SEE REVERSE S/DE OF THIS FORH FOR /NSTRUCTZONS.} PURPOSE OF NOTICE: PAYNENT: REFUND (CR): OBJECTIONS: ADH/N- ISTRATIVE CORRECTIONS: PENALTY: INTEREST: To fulfill the requirements of Section ZI~O (b) of the Inheritance and Estate Tax Act, Act Z3 of ZOO0. (7Z P.S. Section 91~0). Detach,the top portion of this Notice and submit with your payment to the Register of Hills printed on the reverse side. -- Hake check or money order payable to: REGISTER OF HILLS, AGENT. A' refund of a tax credit may be rmquested by completing an "Application for Refund of Pennsylvania Inheritance and Estate Tax" (REV-1313). Applications ara available at the Office'of the Register of Nills, any of the Z3 Revenue District Offices or from the Department's Iq-hour answering service for forms ordering: 1-800-STZ-Z050; services for taxpayers mith. ~pecial hearing and / or speaking needs: 1-800-qq7-3OZO (TT only). Any Party in interest not satisfied ~ith the assessment of tax as shomn on this notice may object mithin sixty (60) days of receipt of this Notice by: --~bitten protest to the PA Department of Revenue, Board of Appeals, Dept. Z81021, Harrisburg, PA 171ZS-lOZl', --electing to have the matter determined at audit of the personal representative, OR --appeal to tho Orphans' Court. .* OR Factual errors discovered on this assessment should be addressed in eriting to: PA Department of Revenue, Bureau of Individual Taxes, ATTN: Post Assessment Raviem Unit, Dept. Z80601, Harrisburg, PA 17128-0601, Phone (717} 787-6805. Sea page S of the booklet "Instructions far Inheritance Tax Return for a Resident Decedent" (REV-1501) far an explanation of administratively correctable errors. · The 1SI tax amnesty non-participation penalty is computed on the total ortho tax and interest assessed, and not paid before January 18, 1996, the first day after the end of the tax amnesty period. This non-participation penalty is appealable in the same manner and in the the same.tiaa period as you mould appeal the tax and interest that has been assessed as indicated on this notice. For dates of death on or after 10-3-91, Pennsylvania Estate Tax based on the Federal Estate Tax return becomes delinquent at the expiration of nine (09) months from the date of death. For dates of death prior to 10-3-91, Pennsylvania Estate Tax based on the Federal Estate Tax return becomes delinquent at the expiration of eighteen (18) months from the date of death. Taxes ~hich became d~llnquent before January ~,' 198Z bear interest at the rate of six (6~) percent per annum calculated at a daily rate of .OOOl6q. All taxes mhich became delinquent an or after January ~, 1982 Hill bear interest at a rate.~hich mill vary from calendpr year to calendar year ~ith that rate announced by tho PA Department of Revenue. The applicable interest rates for 198Z through ZOO3 are: Interest Daily Yea~ Rate Factor Year 1982 20Z . oogsq8 1987 1983 iGZ .000q38 1988-1991 198~, 112 · 000801 1992 1985 132 · 000856 1993~199q 1986 .102 .O00ZTq 1995~1998 --Interest is calculated as follo~s: INTEREST = BALANCE OF TAX UNPAID Interest Daily Rate Factor 9Z .OOOZ~7 11Z .000301 9Z .O00Z~7 7Z .00019Z 9Z .OOOZ~7 Interest Daily Year Rate Factor 1999 7Z .00Olgz z000 8Z .000219 ZOO1 92 .O00Zq7 ZOOZ 62 .OOOlGq ZOOS 5Z .000137 X NUtiBER OF DAYS DELINQUENT X DAILY INTEREST FACTOR --Any Notice issued after the tax becomes delinquent will reflect an interest calculation to fifteen (15) days beyond the data.of the assessment. If payment is made after the interest computation date sheen on-the Notice, additionai interest must be calculated. BUREAU OF INDIVIDUAL TAXES TNHERTTANCE TAX DZVZSTON DEPT. 280601 HARRTSBURG, PA 17128-0601 MICHAEL B DEVLIN BOYER & RITTER PO BOX 668 CARLISLE COMMONWEALTH OF PENNSYLVANIA DEPARTMENT OF REVENUE NOTICE OF ZNHER/TANCE TAX APPRAZSEHENT, ALLO#ANCE OR DISALLOWANCE OF DEDUCTIONS AND ASSESSMENT OF TAX '0~ F£~ 21 DATE 02-17-2005 ESTATE OF MCPHERSON DATE OF DEATH 01-13-2002 FILE NUMBER 21 02-0072 COUNTY CUMBERLAND ACN 101 I Amoun~ Remi~ed REV-1547 EX AFP (01-03) GERTRUDE L HAKE CHECK PAYABLE AND REMIT PAYMENT TO: REGISTER OF WILLS CUMBERLAND CO COURT HOUSE CARLISLE, PA 17013 .CUT ALONG THZS LZNE ~ RETAIN LOWER PORTION FOR YOUR RECORDS ~ DISALLOWANCE OF DEDUCTIONS AND ASSESSMENT OF TAX ESTATE OF MCPHERSON GERTRUDE L FILE NO. 21 02-0072 ACM 101 DATE 02-17-2005 TAX RETURN WAS: (X) ACCEPTED AS FTLED ( ) CHANGED RESERVATION CONCERNING FUTURE INTEREST - SEE REVERSE APPRAISED VALUE OF RETURN BASED ON: ORIGINAL RETURN 1. Real Es~a~e (Schedule A) (1) 2. S~ocks and Bonds (Schedule B) (2) $. Closely Held S~ock/Par*nership Zn~ores~ (Schedule C) (SS 4. Nor*gages/No,es Receivable (Schedule D) (4) 5. Cash/Bank Deposits/Misc. Personal Proper~y (Schedule E) (5) 6. Jointly Owned Proper~y (Schedule F) (6) 7. Transfers (Schedule G) (7) 8. T°~a! Asse~s APPROVED DEDUCTIONS AND EXEMPTZONS: 9. Funeral Expenses/Adm. Cos~s/M~sc. Expenses (Schedule Hi (9) 10. Deb~s/Hor*gage Liabili~Aes/Liens (Schedule I) (10) 11. To~al Deductions 12. Ne~ Value of Tax Re~urn 158~900.00 .00 .0O .00 113~23~.00 .00 NOTE: To insure proper credi~ ~o your account, submi~ ~he upper portion of ~his form wi~h your ~ax payment. 1~29q~763.00 (8) 1'566,897.00 8q,613.00 15. 14. NOTE: 83~857.00 (11) 168.~70.00 (12) 1,398,~27.00 Charitable/Government:al Bequests; Non-elected 9115 Trusts (Schedule J) (13) 13,000.00 Ne~ Value of Es~:a~:e SubSec* ~o Tax (14) 1,385,fi27.00 :If an assessment ~as ~ssued previously, l~nes 1~, 15 and/or 16, 17, 18 and 19 ~11 reflect fAgures that ~nclude the total of ALL returns assessed to date. (15) .00 X O0 : .00 (16) 1,367,~27.00 x Oq5: 61,53fi.00 (17) .00 x 1Z : .00 (18) 18,000.00 x 15 : 2,700.00 (19)= 6~,23~.00 ASSESSMENT OF TAX; 15. Amoun~ of Line 1~ a~ Spousal ra~e 16. Amoun~ of L/no 14 ~:axable a~: Lineal/Class A ra~e 17. Amoun~ of Line 14 a~ Sibling ra*e 18. Amoun* of L/ne 14 ~axablo a~c Colla*oral/Class B ra~e 19. Principal Tax Due TAX CREDITS: PAYMENT RECEIPT DISCOUNT DATE NUMBER INTEREST/PEN PAID (-) 0~-11-2002 CD001056 2,631.58 10-10-2002 CD001717 .00 AMOUNT PAID ZF PA/D AFTER DATE INDICATED~ SEE REVERSE FOR CALCULATION OF ADDITIONAL INTEREST. 50,000.00 11,602.00 TOTAL TAX CREDIT BALANCE OF TAX DUE] INTEREST AND PEN. TOTAL DUE 6~,233.58 .~2 .01 .43 ( IF TOTAL DUE IS LESS THAN $1, NO PAYMENT 1S REQUIRED. ZF TOTAL DUE 1S REFLECTED AS A 'CREDIT' (CR), YOU MAY BE DUE A REFUND. SEE REVERSE SIDE OF THIS FORH FOR INSTRUCT/OHS.) RESERVATION: PURPOSE OF NOTICE: PAYHENT: REFUND (CR): OBJECTZONS: ADNIN- ISTRATIVE CORRECTIONS: DISCOUNT: PENALTY: ZNTEREST: Estates of dec'dents dying on or before December 12, 1981 -- if any future*interest in the estate is transferred in possession or enjoyment to Class B (collateral) beneficiaries of the decedent after the expiration of any estate for life or for years, the Commonwealth hereby expressly reserves the right to appraise and assess transfer Inheritance Taxes at the lawful Class ~ (collatera1) rate on any such future interest. To fulfill the requirements of Section 2140 of the Inheritance and Estate Tax Act, Act ZS of ZOOO. (72 P.S. Section 9140). Detach the top portion of this Notice and submit with your payment to the Register of Hills printed on the reverse side. --Hake check ar money order payable to: REGISTER OF NILLS~ AGENT A refund of a tax credit, which was not' requested on the Tax Return, may be requested bY completing an "Application for Refund ~f Pennsylvania Inheritance and Estate Tax" (REV-1313). Applications are available at the Office. of the Register of Hills, any of the 25 Revenue District Offices, or by calling the special Z4-hour answering service for forms ordering: 1-B00-562-1050; services for taxpayers with special hearing and / or speaking needs: 1-8gp-447-5020 (TT.only). . Any party in interest not satisfied with the appraisement, allowance, or disallowance af deductions, or assessment of tax (including discount er interest) as shown on this Notice must object within sixty (60) days of receipt of this Notice by: --written protest to tho PA Department of Revenue, Board of Appeals, Dept. 281021, Harrisburg, PA 17128-1021, OR --election to have the matter determined at audit of the account of the personal representative, OR --appeal to the Orphans' Court. ' Factual errors discovered on this assessaedt should be addressed in writing to: PA Department of Revenue, Bureau of IndividuaZ Taxes, ATTN: Post Assessment Review Unit, Dept. 280601, Harrisburg, PA 17128-0601 Phone (717) 787:6505. See page 5 of the booklet "Instructions for Inheritance Tax Return for a Resident Decmdent" (REV-lBO1) for an explanation of administratively correctable arrors. If any tax due is paid within three (5) calendar months after the deceda~t's death, a five percent (SI) discount of the tax paid.is allowed. The 1SI tax amnesty non'participation penalty is computed on the tara! of the tax and interest assessed, and net paid before January 18, 1996, the first day after the end of the tax amnesty period. This nan-participation penalty is appealable in the same manner and in the the same time period as you would appeal the tax and interest that has been assessed as indicated on this notice. Interest is charged beginning aith first ~ay a~ delinquency, or nine (9) months and one (1) day from the date o~ death, to the date of'payment. Taxes which became delinquent before January 1~ 1982 bear interest at the rate of si~ (6Z) percent par annum calculated at a daily rate of .~8~164. All taxas~hich became delinquent'on and after January 1, 1982 will bear interest at a rata which will vary from calendar year to calendar year mith that rate announced by the PA Department of Revenue. The applicable interest rates for 198Z through 2002 are: Interest Daily Year Rata Factor 1982 lOX .0005~8 1982 161. .0004~8 1984 .111 .000501 1985 131 .000356 1986 IOZ .000274 --Interest is calculated as falZoms: INTER~ST'= BALANCE OF 'TAX UNPAID Interest Daily Interest Daily Year Rate Factor Year Rate Factor 1987 91 .000247 . 1999 7X .000192 1988-1991 llZ .000~01- '* ZOO0 81 .000219 1992 9Z .000247 2001 9Z .000247 1995-199~ 72 .000192 2001 6Z .000164 1995-1998 92 .000247 2002 51 ,0§0157 X NUtIBER OF DAYS* DELINgUENT'-X DALLY INTEREST FACTOR --Any Notice issued after the tax-becomes del[nquent will reflect an interest calculation to fifteen (15) days beyond the data of the assessment. If payment is made after the interest computation date shown on the Notice, additional interest must bm calculated. STATUS REPORT UNDER RULE 6.12 Name of Decedent: Gertrude L. McPherson Date of Death: 1/13/2002 Will No. 2002-00072 Admin. No. 21-02-00072 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 is :No, st~tb wti'en the personal repi~esentative reasonable believes that the administration will be complete: ~ 3. If the answer to No. 1 is Yes, state the following: a. Did the personal representative file a final account with the Court? Yes No X is' b. The separate Orphans' Court No. (if any) for the personal representative's account c. Did the personal representative state an account informally to the parties of interest? Yes X No d. Copies of receipts, releases, joinders and approvals of formal or informal accounts may be filed with the Clerk of the Orphans' Court and may be attached to this report. Date: Aun Benjey LC5: I.[~/ [g '~I~IP P0, Capacity: Personal Representative