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Home My WebLink About02-0368REV- 1500 EX (8-00) Z .T: oo o.. D Z COMMONWEALTH OF PENNSYLVANIA DEPARTMENT OF REVENUE DEPT. 280601 HARRISBURG, PA 17128-0601 REV-1 500 INHERITANCE TAX RETURN RESIDENT DECEDENT OFFICIAL USE ONLY FILE NUMBER 2102--~368 COUNTY CODE YEAR NUMBER DECEDENT'S NAME (LAST, FIRST. AND MIDDLE INITIAL) SOCIAL SECURITY NUMBER 3nyder Paul B 209 - 28 - 8074 )ATE OF DEATH (MM-DD-YEAR) i/12/2002 IDATE OF BIRTH (MM-DD-YEAR) 6/ii/igll (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 ~ 1. Original Return ~]4. Limited Estate [----~ §. Decedent Died Testate (Attach copy of Will) r'~9. Litigation Proceeds Received ~'~ 2. Supplemental Return ~] 3. Remainder Return (date of death prior to 12-13-8 [~] 4a. Future Interest Compromise (date of death after 12-12-82) ~ 5. Federal Estate Tax Return Required ~ 7. Decedent Maintained a Living Trust (Attach copy of Tr~(~t) __ 8. Total Number of Safe Deposit Boxes ~ 10. Spousal Poverty Credit (date of death between 12-31-91 and 1-1-95) ~] 11. Election to tax under Sec. B 113(A) (Attach Sch THIS SECTION MUST BE COMPLETEDi ~ CoRRESpONDENCE :AND CONFiDE:NTI~ TA:X: iNFORMATioN SHOULD BE DiREcTED TO: NAME Duke Schneider, Esquire FIRM NAME (If Applicable) MacElree Harvey, Ltd. TELEPHONE NUMBER 610-840-0238 COMPLETE MAILING ADDRESS 17 W. Miner Street West Chester, PA 19381-0660 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) (§) [~ Separata Billing Requested 7. Intar-VivosTransfers & Miscellaneous Non-Probate Property (7) (Schedule G or L) 8. Total Gross Assets (total Lines 1-7) 9. Funeral Expenses & Administrative Costs (Schedule H) (9) 10. Debts of Decedent, Mortgage Liabilities. & Liens (Schedule I) (10) 11. Total Deductions (total Lines 9 & 10) 13. 0.00 0.00 0.00 0. O0 0.00 734,285.65 30,206.69 21,530.06 (11) Net Value of Estate (Line 8 minus Line 11 ) Charitable and Governmental Bequests/Sec 9113 Trusts for which an election to tax has not been made (Schedule J) (12) (13) OFFICIAL USE ONLY (~3 4,2 8 5 .,'6.5 51,736.75 682,548.90 0.00 682,548.90 14. Net Value Subject to Tax (Line 12 minus Line 13) (14) SEE INSTRUCTIONS ON REVERSE SIDE FOR APPLICABLE RATES 15. Amount of Line 14 taxable at the spousal tax rate, or transfers under Sec. 911 § (a)( 1.2) 10. Amount of Line 14 taxable at lineal rate 17. Amount of Line 14 taxable at sibling rate 18. Amount of Line 14 taxable at collateral rate. 19. Tax Due 20. 0.00 x.o 0'00(15) 0.00 682,548.90 x.o45 (lO) 30,714.70 0 . 00 x.12 (17) 0 . 00 0.00 x.15 (18) 0.00 (19) 30,714.70 HASPXXNUMBER Decedent's Complete Addres'~ STREET ADDRESS 1244 Creek Road CITY Carlisle STATEpA I ZIP 17013 Tax Payments and Credits: 1. Tax Due (Page 1 Line 19) 2. Credits/Payments A. Spousal Poverty Credit B. Prior Payments C. Discount Interest/Penalty if applicable D. Interest E. Penalty 0.00 34,200.00 1,535.74 0.00 0.00 Total Credits (A + B + C) (1) (2) Total Interest/Penalty (D + E) (3) 30,714.70 35r735.74 0.00 5,021.04 0.00 4. If Line 2 is greater than Line 1 + Line 3, enter the difference. This is the OVERPAYMENT. Check box on Page I 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) A. Enter the interest on the tax due. (sa) 0.00 B. Enter the total of Line 5 + 5A. This is the BALANCE DUE. (SB) 0.00 Make Check Payab/e 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 property transferred; ....................... ~ ~ b. retain the right to designate who shall use the property transferred or its income; ......... [~t [~ 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 securiW at his or her death? ~ [] 4. Did decedent own an Individual Retirement Account, annuity, or other non-probate property which contains a beneficiary designation? ................................ [] [] IF THE ANSWER TO ANY OF THE ABOVE QUESTIONS IS YES, YOU MUST COMPLETE SCHEDULE G AND FILE IT AS PART OF THE RETURN. Under penalties of perjury. I declare that I have examined this return, including accompanying schedule~nd statements, and to the best of my knowledge and belief, it is true, correct and complete. Declaration of preparer other than the personal representative is based on all information of which pre~ar~',~as any knowledge, /~ / SIGNA~TURE OF PERSON RESPONSIBLE FOR FILING RETURN \ ~ Z,~ ( /~ / DATE ADDRE1S P.~. Box 927 Milford, PA 18337 DATE ADDRESS 17 W. Miner Street West Chester, PA 19381-0660 For dates of death on or after July 1, 1994 and before January 1, 1995, the tax rate imposed on the net value of transfers to or for the use of the surviving spouse is 3% [72 P.S.§ 9910 (a) (1.1) (i)]. For dates of death on or after January 1. 1995. the tax rate imposed on the net value of transfers to or for the use of the surviving spouse is 0% [72 P.S. § 9110 (a) ( 1.1 ) (ii)] The statute does not exempt a transfer to a surviving spouse from tax. and the statutory requirements for disclosure of assets and filing a tax return are still applicable even if the surviving spouse is the only beneficiary. For dates of death on or after July 1. 2000: The tax rate imposed on the net value of transfers from a deceased child twenty-one years of age or younger at death to or for the use of a natural parent, an adoptive parent, or a stepparent of the child is 0% [72 P.S. § 9110(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 §(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. § 9110(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. HASPXXNUMBER REV-1510 EX + (1-97) SCHEDULE G INTER-VIVOS TRANSFERS & MISC. NON-PROBATE PROPERTY COMMONWEALTH OF PENNSYLVANIA iNHERITANCE TAX RETURN RESIDENT DECEDENT ESTATE OF FILE NUMBER Paul B. Snyder 2102-0368 This schedule must be completed and filed if the answer to any of questions I throu, h 4 on the reverse side of the REV-1500 COVER SHEET is ,/es. DESCRIPTION OF PROPER~ % OF ITEM INCLUDE THE NAME OF THE T~NSFEREE, THEIR RE~TIONSHIP TO DATE OF DEATH DECD'S EXCLUSION TAXABLE VALUE DECEDENT AND THE DATE OF TRANSFER, ATTACH A COPY OF THE NUMBEF DEED FOR REAL ESTATE, VALUE OF ASSET INTEREST (~F APPLICABLE) 1. 1244 Creek Road, Carlisle, PA 206,500.00 100.000 0.00 206,500.00 One-half of appraisal attached. See Joint Revocable Living Trust and Marital Trust of Anna Mary F. Snyder and Paul B. Snyder dated 9/93. 2 1265 Creek Road, Carlisle, PA 55,000.00 100.000 0.00 55,000.00 One-half value of appraisal attached. See Joint Revocable Living Trust and Marital Trust of Anna Mary F. Snyder and Paul B. Snyder dated 9/93. 3 259 Horseshoe Road, Carlisle, PA 35,000.00 100.000 0.00 35,000.00 One-half value of settlement sheet attached. See Joint Revocable Living Trust and Marital Trust of Anna Mary F. Snyder and Paul B. Snyder dated 9/93. 4 280 Pinedale Road, Carlisle, PA 253,500.00 100.000 0.00 253,500.00 One-half value of appraisal attached. See Joint Revocable Living Trust and Marital Trust of Anna Mary F. Snyder and Paul B. Snyder dated 9/93. 5 Canada Life Annuity #B539172 87,121.00 100.000 0.00 87,121.00 Beneficiary: Revocable Living Trust 6 Farm Equipment 28,587.88 100.000 0.00 28,587.88 Total from continuation pages 68,576.77 TOTAL(Alsoenteronline7, Recapitulation) $ 734,285.65 (if more space is needed, insert additional sheets of same size.) HASPXXNUMBER Schedule G (Page 2) Estate of: Paul B. Snyder Item No. Description One-half value. See Joint Revocable Living Trust and Marital Trust of Anna Mary F. Snyder and Paul B. Snyder dated 9/93. Marital Trust FBO Paul B. Snyder 21,929.77 Face Note due from Chris Snyder One-half value. See Joint Revocable Living Trust and Marital Trust of Anna Mary F. Snyder and Paul B. Snyder dated 9/93. 9 Personal Property One-half value. See Revocable Living Trust and Marital Trust of Anna Mary F. Snyder and Paul B. Snyder dated 9/93. DOD Value of Asset 29,395.80 21,929.77 17,251.20 % Int. 100.000 100.000 100.000 Exclusion 0.00 0.00 0.00 Taxable Value 29,395.80 21,929.77 17,251.20 Total (Carry forward to main schedule) 68,576.77 REd-1511 EX + (1-97) COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT SCHEDULE H FUNERAL EXPENSES & ADMINISTRATIVE COSTS ESTATE OF FILE NUMBER Paul B. Snyder 2102-0368 Debts of decedent must be reported on Schedule I. ITEM NUMBER DESCRIPTION AMOUNT FUNERALEXPENSES: Cumberland Valley Memorial Gardens Grave Opening Hoffman Roth Funeral Home Funeral Services ADMINISTRATIVE COSTS: Personal Representative's Commissions Name of Personal Representative(s) Social Security Number(s) / EIN Number of Personal Representative(s) Street Address City State __ Zip Yeer(s) Commission Paid: Attorney Fees Family Exemption: (If decedent's address is not the same as claimant's, attach explanation) Claimant Street Add ress City State__ Zip Relationship of Claimant to Decedent Probate Fees Accountant's Fees Tax Return Preparer's Fees Carlisle Farm Service - new batteries for corn picker CREP Program Measure farm Total from continuation pages 815.00 7,748.10 13,442.00 2,000.00 277.26 16.00 5,908.33 TOTAL(Also enter on line 9. Recapitulation) $ 3 0,2 0 6.6 9 HASPXXNUMBER (If more space is needed, insert additional sheets of same size) Schedule H part 2 (Page 2) Estate of: Paul B. Snyder Item No. Description Amount 9 10 11 12 13 Cumberland County Assessment Appeal 1244 Creek Road, Carlisle, PA DD Septic Repair 1244 Creek Road and 280 Pinedale Road, Carlisle, PA. One-half amount of bill paid. Deborah Kepner, Tax Collector Property tax - 280 Pinedale Road, Carlisle, PA One-half amount of bill paid. Deborah Kepner, Tax Collector 2002 School Taxes - One-half amount of bill paid - 280 Pinedale Road, Carlisle, PA Deborah Piper, Tax Collector Property tax - 1244 & 1265 Creek Road, Carlisle, PA. One-half amount of bill paid. Deborah Piper, Tax Collector 2002 School Taxes - One half amount of bill paid - 1244 & 1265 Creek Road, Carlisle, PA Diversified Appraisal Service Edwin Bowman House repairs Everett Cash - insurance premiums 1244 & 1265 Creek Road and 280 Pinedale Road, Carlisle, PA - One half amount of bill paid. Old Country Buffet Gift certificates for help at house for clean up. R. W. Sipe - repair rototiller 50.00 951.74 138.23 593.54 261.86 1,101.47 1,250.00 47.49 478.00 600.00 56.00 Total (Carry forward to main schedule) 5,528.33 Schedule H part 2 (Page 3) Estate of: Paul B. Snyder Item No. Description 14 Settlement Expenses Relating to the sale of 259 Horseshoe Road, Carlisle, PA 1/2 of 1% transfer tax 15 Settlement Expenses Relating to the sale of 259 Horseshoe Road, Carlisle, PA 1/2 of Filing of Easement Agreement 16 South Central Agency 259 Horseshoe Road, Carlisle, PA. One-half amount of bill paid. Amount 350.00 14.00 16.00 Total (Carry forward to main schedule) 380.00 REV-1512 EX + (1-97) COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT SCHEDULEI DEBTS OF DECEDENT, MORTGAGELIABILITIES,& LIENS ESTATE OF FILE NUMBER Paul B. Snyder 2102-0368 Include unreimbursed medical expenses. ITEM DESCRIPTION AMOUNT NUMBER 1. Belaindere Medical Group doctor bill Brockie Pharmtech Medical Supplies Church of God Home - assisted living facility MacElree Harvey, Ltd. Outstanding fee from Anna Snyder's Estate. PA Dept. of Revenue 2001 income taxes TOTAL (Also enter on line 10, Recapitulation) $ 21,530.06 29.10 164.64 12,928.32 8,000.00 408.00 HASPXXNUMBER (if more space is needed, insert additional sheets of the same size) REV-1513 EX+ (9-00) COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT SCHEDULE J BENEFICIARIES ESTATE OF Paul B. Snyder NUMBER NAMEAND ADDRESS OFPERSON(S) RECEIVING PROPERTY II. TAXABLEDISTRIBUTIONS[includeoutrightspousaldistributions, andtran~em underSec. 9116(a)(1.2)] Richard L. Snyder, Trustee of the Carol S. Nichols Special Needs Trust P.O. Box 927 Milford, PA 18337 25% of residue of trust. Christopher Snyder 375 York Road Carlisle, PA 17013 12.5% residue of Trust. FILE NUMBER 2102-0368 RELATIONSHIP TO DECEDENT AMOUNT OR SHARE Do Not List Trustee(s) OF ESTATE Daughter ;randson NTER DOLLAR AMOUNTS FOR DISTRIBUTIONS SHOWN ABOVE ON LINES 15 THROUGH 18, AS APPROPRIATE 0.00 0.00 ON REV-1500 COVER SHEET NON-TAXABLE DISTRIBUTIONS: A. SPOUSAL DISTRIBUTIONS UNDER SECTION 9113 FOR WHICH AN ELECTION TO TAX IS NOT BEING MADE B. CHARITABLE AND GOVERNMENTAL DISTRIBUTIONS TOTAL OF PART II - ENTER TOTAL NON-TAXABLE DISTRIBUTIONS ON LINE 13 OF REV-1500 COVER SHEET HASPXXNUMBER (If more space is needed, insert additional sheets of the same size) Schedule J part 1 (Page 2) Estate of: Paul B. Snyder Item No. Description Relation Amount John K. Snyder 1234 Creek Road Carlisle, PA 17013 25% residue of Trust. Son 0.00 Marcus Snyder 855 Longs Gap Road Carlisle, PA 17013 12.5% residue of Trust. Grandson 0.00 James Snyder and Christopher Snyder, Co-Trustees of the Richard L. Snyder Irrevocable Trust dated 7/31/91FBO Carol S. Nichols P.O. Box 927 Milford, PA 18337 25% residue of Trust. Son 0.00 Total (Carry forward to main schedule) 0.00 ESTATE OF PAUL B. SNYDER SOCIAL SECURITY NO. 209-28-8074 DATE OF DEATH - JANUARY 12, 2002 FILE NO. 2102-0368 TABLE OF CONTENTS - PENNSYLVANIA INHERITANCE TAX RETURN o 5. 6. 7. 8. Snyder Living Trust dated September 8, 1993 ........................................ Exhibit A The First Amendment to the Paul B. Snyder/Mary F. Snyder Living Trust dated December 16, 1997 ................................................... Exhibit B Pennsylvania Inheritance Tax Receipt ..................................................... Exhibit C Real Estate Appraisal for 1244 Creek Road, Carlisle, PA ....................... Exhibit D Real Estate Appraisal for 1265 Creek Road, Carlisle, PA ....................... Exhibit E Settlement Sheet for 259 Horseshoe Road, Carlisle, PA .......................... Exhibit F Real Estate Appraisal for 280 Pinedale Road, Carlisle, PA .................... Exhibit G 213733 1 EXHIBIT A This LOVING° TRUST prepared for PAUL B. SNYDER and MARY F. SNYDER John J. Schneider Weinstein & Schneider Attorneys at Law 403 Broad Street Milford, PA 18337 Telephone: (717) 296-6471 Copyright° 1993 John J. Schneider Table of Contents The SNYDER Loving~ Trust Introduction Article One ................ Creation of Our Trust Article Two ................ Our Family Article Three ............... Funding Our Trust Providing for Us and Our Family during Our Lifetimes Article Four ................ Administration of Our Trust during Our Lives Article Five ................ Insurance Policies and Retirement Plans Providing for Us and Our Family upon Our Deaths Article Six ................. Administration of Our Trust upon the Death of a Trustmaker Article Seven ............... Distribution of Our Tangible Personal Property and Specific Distributions Article Eight ............... Creation of the Marital and Family Trusts Article Nine ................ The Marital Trust Article Ten ................ The Family Trust Article Eleven .............. The Common Trust Article Twelve .............. Distribution of Our Trust Property Article Thirteen ............. Ultimate Distribution Pattern Article Fourteen ............ Methods of Distribution and Trust Admi- nistration with Regard to Minor and Dis- abled Beneficiaries Provisions Regarding Our Trustee Article Fifteen .............. The Resignation, Replacement, and Suc- cession of Our Trustees Article Sixteen .............. General Matters and Instructions with Regard to the Trusteeship General and Administrative Provisions Article Seventeen ............ Our Trustee's Administrative and Invest- ment Powers Article Eighteen ............. Definitions and General Provisions ii The SNYDER Loving Trust Article One Creation of Our Trust Section 1. Our Trust We are husband and wife. This is our Loving® Trust, dated , by PAUL B. SNYDER, the husband Trustmaker, MARY F. SNYDER, the wife Trustmaker, and the following initial Trustees: PAUL B. SNYDER MARY F. SNYDER Our trust is a joint revocable living trust that contains our instructions for our own well-being and that of our loved ones. All references to "our trust" or "trust," unless otherwise stated, shall refer to this Loving® Trust and the trusts created in it. All references to "Trustee" shall refer to our initial Trustee or Trustees, or their successor or successors in trust. When the term 'Trustmaker" is used in our trust, it shall have the same legal meaning as "Grantor," "Settlor," 'Trustor," or any other term referring to the maker of a trust. Notwithstanding anything in our trust to the contrary, when we are serving as Trustees under our trust, either of us may act for and conduct business on behalf of our trust as a Trustee without the consent of any other Trustee. Section 2. The Name of Our Trust For convenience, our trust shall be known as the: SNYDER LIVING TRUST, dated 1-1 For purposes of beneficiary designations and transfers directly to our trust, our trust shall be referred to as: PAUL B. SNYDER and MARY F. SNYDER, Trustees, or their successors in trust, under the SNYDER LIVING TRUST, dated , and any amendments thereto. 1-2 Article Two Our Family The names and birth dates of our children are: JOHN K. SNYDER, born September 18, 1938 RICHARD L. SNYDER, born June 24, 1940 CAROL S. NICHOLS, born May 20, 1948 The name of our deceased child who is survived by descendants is: RONALD SNYDER All references to our children in this agreement are to these children, as well as any children subsequently born to us, or legally adopted by us. 2-1 Article Three Funding Our Trust Section 1. Initial Funding We hereby transfer, assign, and convey all of our right, title, and interest in and to all of our property that is permitted by law to be held in trust, wherever situated, whether personal or real, tangible or intangible, separate or community, to our Trustee to hold and administer for our benefit and for the benefit of our beneficiaries pursuant to the terms of this trust. We shall also each initially fund our trust with $10 concurrent with its execution. a. Reliance by Third Parties Upon presentation by our Trustee of this Article of our trust and a separate Affidavit of Trust stating the name and address of our Trustee, affirming that our trust is in full force and effect, and containing any pertinent provisions of our trust, all third parties shall rely on this transfer and follow all of our Trustee's instructions without risk of incurring any liability to us, our Trustee, or our beneficiaries. b. Specific Transfers of Property Our trust may be additionally funded with property interests of all kinds by either of us or by any other person in any manner. All property interests assigned, conveyed, or delivered to our Trustee must be acceptable to our Trustee. Section 2. Funding with Community Property Any community property which is or becomes trust property, and the proceeds from such community property, shall remain community property during our lives. 3-1 a. Transfer or Conveyance of Community Property A conveyance or transfer of community property to our trust, whether directly transferred or transferred to a nominee or agent on behalf of our trust, shall not be construed as a partition of the community property unless there is an express written agreement to that effect between us. b. Withdrawals of Community Property If withdrawals of community property are made from the trust, the property that is withdrawn shall retain its character as community property. If we revoke our trust, any and all community property held on behalf of our trust shall be reconveyed by our Trustee to us as community property. During our lives: The net income from the community property shall retain its community character regardless of whether it is accumu- lated or to whom our Trustee is directed to distribute it. Our Trustee shall have no power with respect to communi- ty property that would be greater than that power that each of us would have over that same community property were it free of trust. Section 3. Funding with Separate Property Any separate property, including any individual interests in property, and the proceeds from such property, which is or becomes trust property, shall remain the separate property of a Trustmaker. A separate schedule of such property shall be maintained to facilitate the payment of income or the transfer of all or part of the principal the Trustmaker who is entitled to such distributions. Either of us shall have the unrestricted right to remove all or part of our respective separate property at any time. 3-2 Article Four Administration of Our Trust during Our Lives Section 1. Our Lifetime Powers While we are both living, we shall have the following powers: a. Control and Direct Payments Our Trustee shall distribute or retain the principal and net income of the community estate, if any, as we may direct from time to time, except that we shall have no power to direct our Trustee to make gifts of principal or income from the community estate to a third party. Our Trustee shall distribute or retain the principal and net income of a Trustmaker's separate estate as that Trustmaker shall direct, except that a Trustmaker shall have no power to direct our Trustee to make gifts of principal or income from the Trustmaker's separate estate to a third party. Any gift made directly by our Trustee to a third party in violation of these provisions shall be construed as a distribution made directly to either or both of us, and then a gift from one or both of us to such third party. Absent directions from us, our Trustee shall distribute the trust income from the community estate, if any, at least monthly and shall distribute the trust income from a Trustmaker's separate estate to that Trustmaker at least monthly. b. Add or Remove Trust Property We shall have the absolute right, either individually or jointly, to add to the trust property at any time. A Trustmaker shall also have the absolute right to remove his or her own separate property, in whole or in part, from the trust at any time. Both of these rights shall be exercised in writing. 4-1 Each of us shall have the absolute right to remove as community property as much of our respective interests in the community estate, if any, as we shall request in writing at any time. c. Amend or Revoke the Trust We shall have the absolute right to amend or revoke our trust, in whole or in part, at any time. Any amendment or revocation must be in writing, signed by both of us, and delivered to our Trustee. This right to amend or revoke is personal to us and may not be exercised by a legal representative of either of us. After the death of one of us, this agreement shall not be subject to amendment or revocation. Section 2. The Definition of Our Disability Our disability, for purposes of this agreement, shall be defined as follows: a. The Opinion of Two Licensed Physicians A Trustmaker shall be deemed disabled during any period when, in the opinion of two licensed physicians, a Trustmaker is incapacitated or disabled because of illness, age, or any other cause which results in the Trustmaker's inability to effectively manage his or her property or financial affairs. b. Court Determination A Trustmaker shall also be deemed to be disabled upon the determination of a court of competent jurisdiction that a Trustmaker is incompetent, incapacitated, or otherwise legally unable to effectively manage his or her property or financial affairs. c. Disappearance or Absence A Trustmaker shall be deemed to be disabled upon the unexplained disappearance or absence of a Trustmaker, or if a Trustmaker is being detained under duress where the Trustmaker is unable to effectively manage his or her property or financial affairs. 4-2 Section 3. Procedural Guidelines for Our Disability During any period of time when one or both of us are disabled, our Trustee shall apply the trust property, including its income, exclusively for our benefit and for our valid obligations by observing the following procedural guidelines: a. The Disability of One of Us Our Trustee shall provide as much of the principal and net income of a disabled Trustmaker's separate estate, and as much of the principal and net income of the disabled Trustmaker's share of the community estate, if any, as is necessary or advisable, in its sole and absolute discretion, for the health, support, maintenance, and general welfare of the disabled Trustmaker. b. Provide for the Other Trustmaker During any period of time that one of us is disabled, our Trustee, in its sole and absolute discretion, shall provide as much of the principal and net income of the disabled Trustmaker's separate estate and as much of the principal and net income of the disabled Trustmaker's community estate, if any, as is necessary for the education, health, maintenance, and support of the other Trustmaker. c. Provide for Our Obligations Our Trustee shall provide as much of the principal and net income of our trust as our Trustee, in its sole and absolute discretion, deems advisable for the payment of any valid obligations as confirmed by our Trustee. A payment shall be paid from any community estate, if an obligation of both of us, and out of a Trustmaker's separate share or out of a Trustmaker's share of the community estate, if any, ff an obligation of that Trustmaker. Our Trustee shall provide as much of the principal and net income of our trust as our Trustee deems advisable for the payment of insurance premiums on policies owned by one of us, either directly or beneficially, or our trust. Our Trustee shall pay premiums for any life insurance policies that are the sole and separate property of one of us from that Trustmaker's sole and separate property. 4-3 d. Procedural Guidelines In making distributions under this Section, our Trustee shall, at all times, give primary consideration to the needs of the disabled Trustmaker and thereafter to the other Trustmaker. When making such distributions to the other Trustmaker, our Trustee shall consider other income and resources available to the other Trustmaker and that are known to our Trustee. A distribution made to a Trustmaker shall not be charged against the ultimate share which may be distributable to the Trustmaker under any other provision of this agreement. Section 4. Undistributed Net Income Any net income which is not distributed under this Article shall be accumulat- ed and added to principal. 4-4 Article Five Insurance Policies and Retirement Plans Section 1. During Our Lives During our lives, we shall have the following rights, and our Trustee shall have the following duties, with respect to insurance policies or retirement plans owned by or made payable to our trust, to the extent of our community or sole and separate interest in those policies or plans. a. A Trustmaker's Rights Each of us reserves, and may exercise without the approval of our Trustee or any beneficiary, all of the rights, powers, options, and privileges with respect to any insurance policy, retirement plan, annuity, or any other third-party beneficiary contract made payable to our trust or deposited with our Trustee. b. Our Trustee's Obligations Our Trustee shall deliver to a Trustmaker or the Trustmaker's designee, upon the Trustmaker's written request, any and all insurance policies, retirement plan documents, annuity contracts, and all other third-party beneficiary contracts, as well as all related documents, which are owned by or deposited with our Trustee pursuant to our trust. Our Trustee shall not be under any obligation to have any or all of such documents returned. Our Trustee shall have no obligation to see that premiums or other sums that may be due and payable under any insurance policy, retirement plan, annuity contract, or any other third-party beneficiary contract are paid. Further, our Trustee shall have no obligation with respect to any insurance policy, retirement plan, annuity contract, or other third-party beneficiary contract, as well as any documents related thereto, deposited with our Trustee, other than to provide for their safekeeping. 5-1 No provision of this agreement shall be construed to impose any obligation on either of us to maintain any insurance policy, retire- ment plan, annuity contract, or any other third-party beneficiary contract in force. Section 2. Upon a TrustmakerSs Death Upon the death of a Trustmaker, our Trustee shall make all appropriate elections with respect to insurance policies, retirement plans, and other death benefits which constitute the separate estate of the deceased Trustmaker. As to all insurance policies, retirement plans, and other death benefits which are a part of the community estate, our Trustee and the surviving Trustmaker shall together make all appropriate elections consistent with the laws of the state having jurisdiction over such property. a. Collection of Insurance Proceeds and Other Nonretirement Death Proceeds Our Trustee shall make every reasonable effort to collect all sums made payable to our trust or our Trustee under all life insurance policies, or other nonretirement death benefit plans, which provide for death proceeds made payable to or owned by the trust. In collecting policy or death benefit proceeds, our Trustee may, in its sole and absolute discretion, exercise any of the settlement options that may be available under the terms of a policy or any other third-party beneficiary contract with regard to the interest of the deceased Trustmaker in those policy or death benefit proceeds. Our Trustee shall not be liable to any beneficiary for the settlement option ultimately selected. b. Retirement Plan Elections Our Trustee shall have the right, in its sole and absolute discretion, to elect to receive any retirement plan death proceeds, whether under a qualified pension, profit sharing, Keogh, individual retire- ment account, or any other retirement plan, either in a lump sum or 5-2 in any other manner permitted by the terms of the particular retirement plan, to the extent of the interest of the deceased Trustmaker. Our Trustee shall not be liable to any beneficiary for the death benefit election ultimately selected. Our Trustee, in its sole and absolute discretion, may disclaim the benefits of any retirement plan payable to our trust, including individual retirement accounts that are payable to our trust. Such disclaimed benefits shall be payable to the surviving Trustmaker. c. Collection Proceedings Our Trustee may institute proceedings, whether in law or equity, administrative or otherwise, to enforce payment of such proceeds. Our Trustee need not, except at its option, enter into or maintain any litigation or take action to enforce any payment until it has been indemnified to its satisfaction for all expenses and liabilities to which, in its sole judgment, it may be subjected. Our Trustee is expressly authorized, in its sole and absolute discretion, to adjust, settle, and compromise any and all claims that may arise from the collection of any death proceeds. The decisions of our Trustee shall be binding and conclusive on all beneficiaries. d. Liability of Payor No person or entity which pays insurance proceeds or other death proceeds to our Trustee as beneficiary shall be required to inquire into any of the provisions of this trust or to see to the application of any such proceeds by our Trustee. The receipt of the proceeds by our Trustee shall relieve the payor of any further liability as a result of making such payment. 5-3 Article Six Administration of Our Trust upon the Death of a Trustmaker Section 1. Payment of Expenses, Claims, and Taxes Upon the death of thc first one of us to die, our Trustee is authorized, but not directed, to pay thc following: Expenses of the last illness, funeral, and burial, including memorials of all types and memorial services of such kind as our Trustee in its sole discretion shall approve. Legally enforceable claims against the deceased or the estate. Expenses with regard to the administration of the estate. Federal estate tax, applicable state inheritance or estate taxes, or any other taxes occasioned by death. Statutory or court-ordered allowances for qualifying family members. The payments authorized under this Section are discretionary, and no claims or right to payment by third parties may be enforced against our trust by virtue of such discretionary authority. Our Trustee shah be indemnified from the trust property for any damages sustained by our Trustee as a result of its exercising, in good faith, the authority granted it under this Section. The payments authorized under this Section shall be paid only to the extent that the probate assets (other than real estate, tangible personal property, or property that, in our Trustee's judgment, is not readily marketable) are insufficient to make these payments. 6-1 Section 2. Redemption of Treasury Bonds If our trust holds United States Treasury Bonds which are eligible for redemption at par in payment of the federal estate tax, our Trustee shall redeem such bonds to the extent necessary to pay federal estate tax as a result of a death. Section 3. Coordination with the Personal Representative This Section shall be utilized to help facilitate the coordination between the personal representative of the deceased Trustmaker's probate estate, if any, and our Trustee with respect to any property, whether owned solely or held as community property, to the extent of the deceased Trustmaker's interest in such property owned by the Trustmaker outside of this trust agreement on the Trustmaker's death. a. Authorized Payments Our Trustee, in its sole and absolute discretion, may elect to make the payments authorized under this Article either directly to the appropriate persons or institutions or to the personal representative of the deceased Trustmaker's probate estate. Our Trustee may rely upon the written statements of the deceased Trustmaker's personal representative as to all material facts relating to these payments; our Trustee shall not have any duty to see to the application of such payments. b. Purchase of Assets and Loans Our Trustee is authorized to purchase and retain in the form received, as an addition to our trust, any property which is a part of the deceased Trustmaker's probate estate. In addition, our Trustee may make loans, with or without security, to the deceased Trustmaker's probate estate. Our Trustee shall not be liable for any loss suffered by our trust as a result of the exercise of the powers granted in this paragraph. 6-2 c. Distributions from the Personal Representative Our Trustee is authorized to accept distributions from the personal representative of the deceased Trustmaker's probate estate without audit and our Trustee shall be under no obligation to examine the records or accounts of the personal representative of the deceased Trustmaker's probate estate. Section 4. Treatment of Exempt Property In making any payments pursuant to this Article, our Trustee shall not use any property to the extent it is not included in the deceased Trustmaker's gross estate for federal estate tax purposes. However, if our Trustee makes the determination, in its sole and absolute discretion, that other nonexempt property is not available for payments pursuant to this Article, or that it is not economically prudent to use nonexempt property for the payment of such expenses, it may then use such exempt property. Section 5. Apportionment All expenses and claims and all estate, inheritance, and death taxes, excluding any generation-skipping transfer tax, resulting from the death of a Trustmaker shall be paid without apportionment and without reimbursement from any person, except as otherwise specifically provided in this trust. a. Protection of Marital Trust Notwithstanding anything to the contrary in our trust, no death taxes payable as a result of the death of the first Trustmaker to die shall be allocated to or paid from the Marital Trust or from any assets passing to the surviving Trustmaker and qualifying for the federal estate tax marital deduction unless our Trustee has first used all other assets available to our Trustee. 6-3 b. Property Passing Outside Our Trust Notwithstanding anything to the contrary in our trust, estate, inheritance, and death taxes assessed with regard to property passing outside of our trust or outside of our probate estates, but included in the gross estate of a Trustmaker for federal estate tax purposes, shall be chargeable against the persons receiving such property. Section 6. Our Trustee's Authority to Make Tax Elections Our Trustee may exercise any available elections with regard to state or federal income, inheritance, estate, succession, or gift tax law. a. Alternate Valuation Date The authority granted our Trustee in this Section includes the right to elect any alternate valuation date for federal estate or state estate or inheritance tax purposes. b. Deduction of Administration Expenses The authority granted our Trustee in this Section shall include the right to elect whether all or any parts of the administration expenses of a deceased Trustmaker's estate are to be used as estate tax deductions or income tax deductions. No compensating adjustments need be made between income and principal as a result of such elections unless our Trustee, in its sole and absolute discretion, shall determine otherwise, or unless required by law. c. Election for Qualified Terminable Interest Property Our Trustee, in its sole and absolute discretion, may elect to have trust property qualify for the federal estate tax marital deduction as qualified terminable interest property under the appropriate provisions of the Internal Revenue Code and its regulations. 6-4 d. Taxes and Returns Our Trustee may also: Sign joint tax returns. Pay any taxes, interest, or penalties with regard to taxes. Apply for and collect tax refunds and interest thereon. 6-5 Article Seven Distribution of Our Tangible Personal Property and Specific Distributions Section 1. Nonbusiness Tangible Personal Property On the death of each of us, our Trustee shall distribute the nonbusiness tangible personal property belonging to thc deceased Trustmakcr as follows: a. Use of Memorandum Our Trustee shall distribute the jewelry, clothing, household furniture, furnishings and fvctures, chinaware, silver, photographs, works of art, books, boats, automobiles, sporting goods, artifacts relating to the hobbies of the deceased Trustmaker, and all other tangible articles of household or personal use in accordance with any written, signed, and dated memorandum left by the deceased Trustmaker directing the distribution of such property. Any memorandum written, dated, and signed by the deceased Trustmaker disposing of nonbusiness tangible personal property shall be incorporated by reference into this agreement. Should the deceased Trustmaker leave multiple written memoranda which conflict as to the disposition of any item of nonbusiness tangible personal property, that memorandum which is last dated shall control as to those items which are in conflict. b. Distribution of Property Not Distributed by Memorandum If state law does not allow the use of a memorandum to distribute nonbusiness tangible personal property or, to the extent that a Trustmaker's nonbusiness tangible personal property which is or becomes trust property is not disposed of by memorandum for any reason, then that nonbusiness tangible personal property shall be distributed under the terms of this trust agreement. 7-1 Section 2. Business Tangible Personal Property The disposition of the tang~le personal property under this Article shall not include tangible personal property which our Trustee, in its sole and absolute discretion, determines to be part of or used exclusively in any business or profession in which the deceased Trustmaker had an interest at the time of death. Section 3. Specific Distributions of Trust Property Neither of us wishes to make any specific distributions of trust property. 7-2 Article Eight Creation of the Marital and Family Trusts Section 1. Division of Trust Property Upon the death of the first one of us to die, our Trustee shall divide the trust property into two separate trusts. a. Creation of the Marital Trust The Marital Trust shall consist of the surviving Trustmaker's interest in the community portion of the trust property, if any, and his or her separate portion of the trust property. In addition, the Marital Trust shall be the fractional share of the deceased Trustmaker's trust property as follows: 1. Numerator of the Fractional Share The numerator of the fractional share shall be the smallest amount which, if allowed as a marital deduction, would result in the least possible federal estate tax being payable as a result of the deceased Trustmaker's death, after allowing for the unified credit against federal estate tax (after taking into account adjusted taxable gifts, if any) as finally determined for federal estate tax purposes, and the credit for state death taxes. The numerator shall be reduced by the value, for federal estate tax purposes, of any interest in property that qualifies for the federal estate tax marital deduction and which passes or has passed from the deceased Trustmaker to the surviving Trustmaker other than under this Article. 2. Denominator of the Fractional Share The denominator of the fractional share shall consist of the value, as finally determined for federal estate tax purposes, of all of the deceased Trustmaker's trust property under this agreement. 8-1 b. Creation of the Family Trust The Family Trust shall consist of the balance of the trust property. c. Marital Trust Shall Have Priority In no event shall the value of the Marital Trust be less than the maximum amount of the deceased Trustmaker's gross estate which is not taxable by reason of the unified credit against federal estate tax, unless the combined value of the surviving Trustmaker's trust property, less all liabilities, and the deceased Trustmaker's federal estate tax gross estate, less all allowable federal estate tax deductions except the marital deduction, is less than the maximum amount which is not taxable by reason of the unified credit against federal estate tax, in which case the entire amount of the deceased Trustmaker's trust property shall be allocated to the Marital Trust. The Marital Trust for purposes of this paragraph shall be reduced by the value of all nontrust marital deduction assets passing to the surviving Trustmaker pursuant to Paragraph a. 1 of this Section. Section 2. Allocation of Assets between the Two Trusts Our Trustee shall have complete authority to make allocations of the deceased Trustmaker's trust property between the Marital and Family Trusts. It may, in its sole and absolute discretion, make allocations in cash or in kind, in undivided interests, or in any proportion thereof between the two trusts. a. Nonqualifying Property Our Trustee shall not allocate any property or the proceeds from any property to the Marital Trust which would not qualify for the federal estate tax marital deduction in the deceased Trustmaker's estate. b. Life Insurance Policies on the Surviving Trustmaker's Life Our Trustee shall not allocate any policies of life insurance insuring the life of the surviving Trustmaker to the Marital Trust. 8-2 c. Insufficient Assets for Funding the Marital Trust To the extent that there are insufficient assets qualifying for the marital deduction to fully fund the Marital Trust, the amount of the funding to the Marital Trust shall be reduced accordingly. Section 3. The Valuation of Marital Trust Property In making the computations necessary to determine the amount passing to the Marital Trust, our Trustee shall use those values as finally determined for federal estate tax purposes. a. Valuation of Property at Distribution Date In no event shall the aggregate fair market value of the cash and other property on the date or dates of distribution be less than the amount of the Marital Trust as finally determined for federal estate tax purposes. b. Consideration of Tax Consequences When making the decision as to which property shall be allocated to the Marital Trust, our Trustee shall consider the tax consequences and advisability of allocating property subject to foreign death tax, property on which a tax credit is available, or property which is income in respect of a decedent under applicable income or estate tax laws. Section 4. The Surviving Trustmaker's Right to Convert Marital Trust Assets The surviving Trustmaker shall have the absolute and unequivocal right to compel our Trustee, at any time, to convert any nonproductive property held as an asset of the Marital Trust to productive property. This right shall be exercised in writing delivered to our Trustee. 8-3 Section 5. Disclaimer The Surviving Trustmaker may disclaim all or any portion of any interest in property or power with respect to property passing to the surviving Trustmaker, or for the surviving Trustmaker's benefit, under this trust within the time and under the conditions permitted by law with regard to disclaimers. The surviving Trustmaker's disclaimer may be exercised by delivering an irrevocable and unqualified refusal to accept all or any portion of such interest or power to our Trustee. If the surviving Trustmaker exercises this disclaimer with respect to all or any portion of the Marital Trust, the interest so disclaimed shall be added to the Family Trust. If the surviving Trustmaker exercises this disclaimer as to the surviving Trustmaker's interest in all or any portion of the Family Trust, the interest that is disclaimed shall be disposed of under the appropriate provisions of this agreement as though the surviving Trustmaker had predeceased the first Trustmaker to die. 8-4 Article Nine The Marital Trust Section 1. The Surviving Trustmaker's Right to Income Our Trustee shall pay to or apply for the benefit of the surviving Trustmaker, at least monthly during the lifetime of the surviving Trustmaker, all of the net income from the Marital Trust. Section 2. The Surviving Trustmaker's Right to Withdraw Principal Our Trustee shall pay to or apply for the benefit of the surviving Trustmaker such amounts from the principal of the Marital Trust as the surviving Trustmaker may at any time request in writing. No limitation shall be placed on the surviving Trustmaker as to either the amount of or reason for such invasion of principal. Section 3. Principal Distributions in Our Trustee's Discretion Our Trustee may also distribute to or for the benefit of the surviving Trustmaker as much of the principal of the Marital Trust as our Trustee, in its sole and absolute discretion, shall consider necessary or advisable for the education, health, maintenance, and support of the surviving Trustmaker. Section 4. The Surviving Trustmaker's General Power of Appointment The surviving Trustmaker shall have the unlimited and unrestricted general power to appoint, by a valid last will and testament or by a valid living trust agreement, the entire principal and any accrued and undistributed net income of the Marital Trust as it exists at the Trustmaker's death. In exercising this general power of appointment, the surviving Trustmaker shall specifically refer to this power. 9-1 The surviving Trustmaker shall have the sole and exclusive right to exercise the general power of appointment. This general power of appointment specifically grants to the surviving Trustmaker the right to appoint property to the surviving Trustmaker's own estate. It also specifically grants to the surviving Trustmaker the right to appoint the property among persons, corporations, or other entities in equal or unequal proportions, and on such terms and conditions, whether outright or in trust, as the surviving Trustmaker may elect. Section 5. Administration of the Marital Trust at the Death of the Surviving Trustmaker The Marital Trust shall terminate at the death of the surviving Trustmaker. Our Trustee shall administer the unappointed balance or remainder of the Marital Trust as follows: a. The Surviving Trustmaker's Final Expenses Our Trustee is authorized, but not directed, to pay the following expenses, claims, and other liabilities: Expenses of the last illness, funeral, and burial of the Trustmaker. Legally enforceable claims against the surviving Trustmaker or the surviving Trustmaker's estate. Expenses with regard to the administration of the surviving Trustmaker's estate. Federal estate tax, applicable state inheritance or estate taxes, or any other taxes occasioned by the death of the surviving Trustmaker. Statutory or court-ordered allowances for qualifying family members. 9-2 The payments authorized under this Section are discretionary, and no claims or right to payment by third parties may be enforced against the trust by virtue of such discretionary authority. Our Trustee shall be indemnified from the trust property for any damages sustained by our Trustee as a result of its exercising, in good faith, the authority granted it under this Section. It is our desire that, to the extent possible, any payments authorized under this Section be paid from the surviving Trustmaker's probate estate before any payments are made pursuant to this Section. Our Trustee shall, to the extent that it is reasonable and prudent, coordinate with the surviving Trustmaker's personal representative to minimize expenses and taxes resulting from the surviving Trustmaker's death. b. Redemption of Treasury Bonds If the Marital Trust holds United States Treasury Bonds eligible for redemption in payment of the federal estate tax, our Trustee shall redeem the bonds to the extent necessary to pay any federal estate tax due by reason of the death of the surviving Trustmaker. c. Coordination with the Personal Representative This Paragraph shall be utilized to help facilitate the coordination between the personal representative of the surviving Trustmaker's probate estate and our Trustee with respect to any property owned by the surviving Trustmaker outside of this agreement at the surviving Trustmaker's death. 1. Authorized Payments Our Trustee, in its sole and absolute discretion, may elect to pay the payments authorized under this Section either directly to the appropriate persons or institutions or to the surviving Trustmaker's personal representative. Our Trustee may rely upon the written statements of the surviving Trustmaker's personal representative as to all material facts relating to these payments; our Trustee shall not have any duty to see to the application of such payments. 9-3 2. Purchase of Assets and Loans Our Trustee is authorized to purchase and retain in the form received, as an addition to the trust, any property which is a part of the surviving Trustmaker's probate estate. In addition, our Trustee may make loans, with or without security, to the surviving Trustmaker's probate estate. Our Trustee shall not be liable for any loss suffered by the trust as a result of the exercise of the powers granted in this paragraph. 3. Distributions from the Personal Representative Our Trustee is authorized to accept distributions from the surviving Trustmaker's personal representative without audit and our Trustee shall be under no obligation to examine the records or accounts of the personal representative. d. Trustee's Authority to Make Tax Elections Our Trustee may exercise any available elections with regard to state or federal income, inheritance, estate, succession, or gift tax law. 1. Alternate Valuation Date The authority granted our Trustee in this Paragraph includes thc right to elect any alternate valuation date for federal estate or state estate or inheritance tax purposes. 2. Deduction of Administration Expenses The authority granted our Trustee in this Paragraph shall include the right to elect whether all or any parts of the administration expenses of the surviving Trustmaker's estate are to be used as estate tax deductions or income tax deductions. No compensating adjustments need be made between income and principal as a result of such elections unless 9-4 our Trustee, in its sole and absolute discretion, shall determine otherwise, or unless required by law. 3. Taxes and Returns Our Trustee may also sign tax returns; pay any taxes, interest, or penalties with regard to taxes; and apply for and collect tax refunds and interest thereon. Section 6. Subsequent Administration of the Marital Trust The unappointed balance or remainder of the Marital Trust shall be administered as provided in Article Eleven. 9-5 Article Ten The Family Trust Section 1. The Surviving Trustmaker's Right to Income If there is a surviving Trustmaker, our Trustee shall pay to, or apply for the benefit of, the surviving Trustmaker, at least monthly during the surviving Trustmaker's lifetime, all of the net income from the Family Trust. Section 2. The Surviving Trustmaker's Right to Withdraw Principal The surviving Trustmaker shall have the noncumulative right to withdraw from. the principal of the Family Trust in any calendar year amounts not to exceed $5000 in the aggregate. In addition, on the last day of any calendar year, if the surviving Trustmaker is then living, the surviving Trustmaker may withdraw an amount by which 5 percent of the then market value of the principal of the Family Trust exceeds the principal amounts, if any, previously withdrawn in that year under this Section. Without in any way limiting the noncumulative right of the surviving Trustmaker to withdraw principal pursuant to this Section, we suggest that this right not be exercised until the assets of the Marital Trust are exhausted. All requests for principal distributions pursuant to this Section shall be in writing delivered to our Trustee. Section 3. Principal Distributions in Our Trustee's Discretion Our Trustee may also distribute to or for the benefit of the surviving Trustmaker and our descendants as much of the principal of the Family Trust as our Trustee, in its sole and absolute discretion, shall consider necessary or advisable for their education, health, maintenance, and support. 10-1 Our Trustee shall, at all times, give primary consideration to the surviving Trustmaker's education, health, maintenance, and support, and only thereafter to our descendants. In making discretionary distributions of principal to the surviving Trustmaker, our Trustee shall preferably make all distributions of principal from the Marital Trust until it is exhausted, and only thereafter from the Family Trust. If the surviving Trustmaker has the power to remove a Trustee of this Family Trust, our Trustee shall not distribute any of the principal of the Family Trust that would in any manner discharge the surviving Trustmaker's legal obligation to a beneficiary of the Family Trust. If the surviving Trustmaker is disabled, our Trustee shall ignore this restriction during the period of the surviving Trustmaker's disability, and the surviving Trustmaker shall not have the power to remove a Trustee of the Family Trust. Section 4. Discretionary Guidelines for Our Trustee Our Trustee shall be mindful that our primary concern and objective is to provide for the education, health, maintenance, and support of the surviving Trustmaker and our descendants, and that the preservation of principal is not as important as the accomplishment of these objectives. In making discretionary distributions pursuant to this Article, our Trustee shall consider the following factors: a. Other Resources Available to Our Beneficiaries Our Trustee, in making distributions pursuant to this Article, shall take into consideration, to the extent that our Trustee, in its sole and absolute discretion, deems advisable, any income or other resources which are available outside of the Family Trust to our beneficiaries. b. Distributions to Our Beneficiaries According to Their Needs Our Trustee may make distributions to or for the benefit of one or more of the beneficiaries of the Family Trust to the complete exclusion of the other beneficiaries. These distributions may be made to a beneficiary or beneficiaries in equal or unequal amounts according to the respective needs of our beneficiaries. 10-2 A distribution to or for the benefit of a beneficiary shall be charged to the Family Trust rather than against the beneficiary's ultimate share or the shares of those persons taking through such beneficiary upon the termination of the Family Trust. Section 5. Limited Power of Appointment The surviving Trustmaker shall have the limited testamentary power to appoint to or for the benefit of our descendants, either by a valid last will and testament or by a valid living trust agreement executed by the surviving Trustmaker, all or any portion of the principal and any accrued and undistributed net income of the Family Trust as it exists at the surviving Trustmaker's death. The surviving Trustmaker may make distributions among our descendants in equal or unequal amounts, and on such terms and conditions, either outright or in trust, as the surviving Trustmaker shall determine. This power shah not be exercised in favor of the surviving Trustmaker's estate, the creditors of the surviving Trustmaker's estate, or in any manner which would result in any economic benefit to the surviving Trustmaker. Section 6. Termination of the Family Trust The Family Trust shall terminate at the death of the surviving Trustmaker. To the extent that the limited power of appointment is not exercised by the surviving Trustmaker, the remainder of the Family Trust, including any accrued and undistributed net income, shall be administered as provided in the Articles that follow. 10-3 Article Eleven The Common Trust It is not our desire to create a Common Trust for the benefit of our children. Upon the death of the second Trustmaker to die, all of the trust property which has not been distributed under prior provisions of this agreement shall be divided, administered, and distributed under the Articles that follow. 11-1 Article Twelve Distribution of Our Trust Property Section 1. Division into Separate Shares The remaining trust property shall be divided into as many shares as shall be necessary to create one equal share for each of our then living children, and one equal share for each of our deceased children who has then living descendants. Section 2. Distribution of Trust Shares for Our Living Children The share of each child who survives us shall be distributed as follows: a. Distribution of Trust Share for JOHN K. SNYDER The trust share set aside for JOHN K. SNYDER shall forthwith terminate and our Trustee shall distribute all undistributed net income and principal to JOHN K. SNYDER, flee of the trust. If JOHN lc SNYDER should predecease us or die before the complete distribution of thc trust share, the trust share set aside for JOHN tC SNYDER shall terminate and our Trustee shall distribute the balance of the trust property to JOHNNY LEE KYLE. If JOHNNY LEE KYLE should have predeceased us the Trustee shall distn'bute the property to our then living descendants. If we have no then living descendants, our Trustee shall distribute the balance of the trust property as provided in Article Thirteen of this agreement. b. Distribution of Trust Share for RICHARD L. SNYDER The trust share set aside for RICHARD L. SNYDER shall forthwith terminate and our Trustee shall distribute all undistributed net income and principal to RICHARD L. SNYDER, free of the trust. 12-1 If RICHARD L. SNYDER should die before the complete distribution of his trust share, his trust shall terminate and our Trustee shall distribute the balance of the trust property to his then living descendants, per stirpes. If RICHARD L. SNYDER has no then living descendants, our Trustee shall distribute the balance of the trust property to our then living descendants, per stirpes. If we have no then living descendants, our Trustee shall distribute the balance of the trust property as provided in Article Thirteen of this agreement. c. Distribution of Trust Share for CAROL S. NICHOLS The trust share of CAROL S. NICHOLS shall be held in trust and administered and distributed as follows: 1. Distributions of Net Income Our Trustee shall pay to, or provide for the benefit of, CAROL S. NICHOLS, in monthly or other convenient installments, that amount of net income which will not cause CAROL S. NICHOLS to be ineligible for governmental financial assistance benefits, in the event CAROL S. NICHOLS is receiving such benefits. Any undistributed income shall be added to principal. 2. Distributions of Principal Our Trustee may distribute discretionary amounts of principal for special needs not otherwise provided by governmental financial assistance and benefits, or by the providers of services. "Special needs" refer to the requisites for maintaining the good health, safety, and welfare of CAROL S. NICHOLS when, in the discretion of our Trustee, such requisites are not being provided by any public agency, office, or department of any state or of the United States. 12-2 "Special needs" shall also include, but not be limited to, medical and dental expenses, annual independent checkups, clothing and equipment, programs of training, education, treatment and rehabilitation, private residential care, transportation (including vehicle purchase), maintenance, insurance, and essential dietary needs. "Special needs" may include spending money; additional food; clothing; electronic equipment such as radios, record players, television sets, computer equipment; camping; vacations; athletic contests; movies; trips; and money to purchase appropriate gifts for relatives and friends. Our Trustee shall have no obligation to expend trust assets for such needs, but if our Trustee, in its sole discretion, decides to expend trust assets, under no circumstances should any amounts be paid to, or reimbursed to, the federal government, any state, or any governmental agency for any purpose, including for the care, support, and maintenance of CAROL S. NICHOLS. Because CAROL S. NICHOLS is dependent on the support and aid of others, our Trustee shall, in the exercise of its best judgment and fiduciary duty, seek support and maintenance for CAROL S. NICHOLS from all available public resources including, but not limited to, Social Security Administration benefits, Supplemental Security Income (SSI), U.S. Civil Service Commission benefits, Medicaid, and Federal Social Security Disability Insurance (SSDI), and any other comparable programs, state, federal, or local. If necessary, our Trustee may seek appropriate authority to collect, expend, and account for separately all such governmental assistance benefits, but shall not commingle them with these trust assets. In addition, in making distributions for the special needs of CAROL S. NICHOLS, our Trustee shall take into consideration the applicable resource limitations of the public assistance pro,ams for which CAROL S. NICHOLS is eligible. No part of the trust share set aside for CAROL S. NICHOLS shall be used to supplant or replace public assistance benefits of any state or federal agency which has a legal responsibility to serve persons with illnesses or 12-3 handicaps which are the same as or similar to the disorders of CAROL S. NICHOLS. No interest in the principal or income of the trust share set aside for CAROL S. NICHOLS shall be anticipated, assigned, or encumbered, or shall be subject to any creditor's claim or to legal process, prior to its actual receipt by the beneficiary. CAROL S. NICHOLS is specifically prohibited from any right to receive, demand, secure, give, assign, transfer, mortgage, borrow against, or will any trust assets or income. It is our intention to conserve and maintain this trust share for the special needs of CAROL S. NICHOLS. Therefore, no part of this trust share, neither principal nor undistributed net income, shall be subject to the claims of voluntary or involuntary creditors for the provisions of care and services, including residential care, by any public entity, office, department, or agency of any state or government agency, or of the federal government of the United States. In the event that it is determined by either a court or an authority of competent jurisdiction that these trust assets render CAROL S. NICHOLS ineligible to receive any governmental assistance benefits, or if our Trustee, in its sole discretion, determines that, notwithstanding the provisions set forth above, this trust share may be subject to garnishment, attachments, execution or bankruptcy proceedings by a creditor of CAROL S. NICHOLS or by the federal or state government, or any agency or subdivision thereof, then our Trustee shall terminate the trust share set aside for CAROL S. NICHOLS and distribute the remaining principal and accrued income to the contingent beneficiaries described in this Section. We request, but do not direct, that the contingent beneficiaries conserve, manage, and distribute the proceeds of the former-trust share set aside for CAROL S. NICHOLS in accordance with the provisions as set forth above. In determining whether the existence of the trust share has the effect of rendering CAROL S. NICHOLS ineligible to receive any governmental assistance benefits, our Trustee 12-4 is hereby granted full and complete discretion to initiate administrative or judicial proceedings for the purpose of determining eligibility. All costs related thereto, including reasonable attorney's fees, shall be a proper charge to the trust share of CAROL S. NICHOLS. 3. Termination and Distribution of Trust Share If, after receiving an appropriate favorable psychiatric or psychological evaluation on the mental health of CAROL S. NICHOLS, and if our Trustee determines that CAROL S. NICHOLS is no longer dependent on others and is able to provide independent support, our Trustee shall, upon making such determination, distribute all undistributed net income and principal directly to CAROL S. NICHOLS, free of the trust. "Independent support" shall be satisfied at such time as CAROL S. NICHOLS has been gainfully employed for twenty-one months of a twenty-four-month period immediately preceding the decision to terminate the trust share and distribute the assets directly to CAROL S. NICHOLS, free of the trust. Our Trustee, in its sole discretion, shall be the sole judge as to whether or not CAROL S. NICHOLS has satisfied the condition of gainful employment, and our Trustee may waive the fulfillment of said condition of gainful employment if our Trustee, in its discretion, determines that CAROL S. NICHOLS has been unable to satisfy said condition because of physical illness, injury, or economic recession or depression. If CAROL S. NICHOLS does not have a primary psychiatrist, our Trustee shall employ a psychiatrist who shall have at least five years of clinical experience after completion of residency. The psychiatrist shall deliver to our Trustee a written certification that CAROL S. NICHOLS is no longer incapacitated as a result of a psychiatric disorder. The evaluation shall include a psychiatric examination and an evaluation of the existing medical and psychiatric reports of CAROL S. NICHOLS. 12-5 The terms "gainful employment" and "gainfully employed" shall be construed to mean such full-time employment that produces sufficient net income to enable CAROL S. NICHOLS to contribute not less than 100 percent of the funds (exclusive of other sources of revenue) which are necessary to provide for independent care, support, maintenance, and education. If our Trustee does not receive a favorable psychiatric or psychological evaluation of the mental health of CAROL S. NICHOLS, or if our Trustee determines that CAROL S. NICHOLS is unable to provide independent support and maintenance as provided above, the trust share shall continue to be administered as provided in this Section. 4. Distribution on the Death of CAROL S. NICHOLS If CAROL S. NICHOLS should die before the complete distribution of her trust share, her trust shall terminate and our Trustee shall distribute the balance of the trust property to her then living descendants, per stirpes. If CAROL S. NICHOLS has no then living descendants, our Trustee shall distribute the balance of the trust property to our then living descendants, per stirpes. If we have no then living descendants, our Trustee shall distribute the balance of the trust property as provided in Article Thirteen of this agreement. d. Distribution of Trust Share for Afterborn or Adopted Children If we have any additional children or legally adopt any children who are under the age of 18 after the creation of our trust, each such child's share shall be administered and distributed under the trust provisions of Article Fourteen. Section 3. Share of a Descendant of a Deceased Child Each share set aside for a deceased child who has then living descendants shall be distributed or administered as follows: 12-6 a. Outright Distribution Each share set aside for a deceased child who has then living descendants shall be distributed to such descendants, per stirpes. b. Retention of a Minor's or Disabled Descendant's Portion in Trust If any portion of a share is distributable under this Section to any descendant of a deceased child who is under 21 years of age, or to any such descendant who is disabled or incapacitated as defined in Article Eighteen of this agreement, then our Trustee shall retain such portion in trust under the provisions of Article Fourteen. Section 4. Retention of Distributions in Trust Whenever a distribution is authorized or required to be made by a provision of this Article to any beneficiary, then that beneficiary may direct our Trustee in writing to retain such distribution in trust as follows: a. A Beneficiary's Right to Income Our Trustee, during the lifetime of the beneficiary, shall pay to or apply for the benefit of the beneficiary from time to time and at the beneficiary's written direction all of the net income from this trust. b. A Beneficiary's Right to Withdraw Principal Our Trustee shall pay to or apply for the benefit of the beneficiary such amounts from the pr/nc/pal as the beneficiary may at any time request in writing. No limitation shall be placed on the beneficiary as to either the amount of or reason for such invasion of principal. 12-7 c. Principal Distributions in Our Trustee's Discretion Our Trustee may also distribute to or for the benefit of the beneficiary as much of the principal of the trust as our Trustee, in its sole and absolute discretion, shall consider necessary or advisable for the education, health, maintenance, and support of the beneficiary. d. A Beneficiary's General Power of Appointment The beneficiary shall have the unlimited and unrestricted general power to appoint, by a valid last will and testament or trust agreement, the entire principal and any accrued and undistributed net income of the trust as it exists at the beneficiary's death. In exercising this general power of appointment, the beneficiary shall specifically refer to this power. The beneficiary shall have the sole and exclusive right to exercise the general power of appointment. This general power of appointment specifically grants to the beneficiary the right to appoint property to the beneficiary's own estate. It also specifically grants to the beneficiary the right to appoint the property among persons, corporations, or other entities in equal or unequal proportions, and on such terms and conditions, whether outright or in trust, as the beneficiary may elect. Any property in the trust which is not distributed pursuant to the exercise of the general power of appointment shall be distributed to the beneficiary's then living descendants, per stirpes. If the beneficiary has no then living descendants, our Trustee shall distribute the remaining trust property as provided in Article Thirteen of this agreement. 12-8 Article Thirteen Ultimate Distribution Pattern If at any time there is no person, corporation, or other entity entitled to receive all or any part of the trust property of one of us: One-half of the trust property shall be distributed to those persons who would be the wife Trustmaker's heirs had she died intestate owning such property. The balance of the property shall be distributed to those persons who would be the husband Trustmaker's heirs had he died intestate owning such property. The distribution of trust property, for purposes of this Article, shall be determined by the laws of descent and distribution for intestate estates in the State of Pennsylvania as such laws are in effect at the time of any distribution under this Article. 13-1 Article Fourteen Methods of Distribution and Trust Administration with Regard to Minor and Disabled Beneficiaries Section 1. General Guidelines for Distribution Whenever a distribution is authorized or required by a provision of this agreement to any beneficiary who is disabled or incapacitated, such distribu- tion may be made by our Trustee: Without continuing court supervision or the intervention of a guardian, conservator, or any other legal representative. Without giving or requiring any bond or surety on bond. Pursuant to any of the methods authorized under this Article. In making distributions under this Article, disability or incapacity shah include adjudicated mental incapacity by a court of competent jurisdiction, or incapacity because of age, illness, or injury. Before making any distributions to beneficiaries, other than a Trustmaker, under this Article, it is our desire that our Trustee, to the extent that it is both reasonable and possible: Inquire into the ultimate disposition of the distributed funds. Take into consideration the behavior of trust beneficiaries with regard to their disposition of prior distributions of trust property. Our Trustee shall obtain a receipt from the person, corporation, or other entity receiving any distribution called for in this Article. 14-1 Section 2. Methods of Payment Our Trustee may make the distributions called for in this Article in any one or more of the following ways: Directly to a beneficiary. To persons, corporations, or other entities for the use and benefit of the beneficiary. To an account in a commercial bank or savings institution in the name of the beneficiary, or in a form reserving the title, manage- ment, and custody of the account to a suitable person, corporation, or other entity for the use and benefit of the beneficiary. In any prudent form of annuity purchased for the use and benefit of the beneficiary. To any person or duly licensed financial institution, including our Trustee, as a custodian under the Uniform Transfers to Minors Act, or any similar act, of any state, or in any manner allowed by any state statute dealing with gifts or distributions to minors or other individuals under a legal disability. To any guardian or other person deemed by our Trustee to be responsible, and who has assumed the responsibility of caring for the beneficiary. Section 3. Our Trustee's Discretion to Keep Property in Trust If any trust property becomes distributable to a beneficiary when the beneficiary is under 21 years of age, or when the beneficiary is under any form of legal disability, as defined in Article Eighteen, our Trustee may retain that beneficiary's share in a separate trust until he or she attains 21 years of age, or until his or her legal disability has ceased, as follows: a. Distributions of Trust Income and Principal Our Trustee shall apply to or for the benefit of the beneficiary as much of the net income and principal of the trust as our Trustee, in 14-2 its sole and absolute discretion, deems necessary or advisable for the beneficiary's education, health, maintenance, and support. In making any distributions of income and principal under this Article, our Trustee shall be mindful of, and take into consideration to the extent it deems necessary, any additional sources of income and principal available to the beneficiary which arise outside of this agreement. Any net income not distributed to a beneficiary shall be accumulated and added to principal. b. Termination and Distribution Our Trustee shall distribute the trust property to a beneficiary: When he or she attains 21 years of age, or When he or she ceases to be disabled. c. A Beneficiary's General Power to Appoint Trust Property ff a beneficiary should die before the complete distribution of his or her trust, the trust shall terminate and all of the trust property shall be distributed to such persons, corporations, or other entities, including the beneficiary's own estate, in the manner in which the beneficiary shall elect. This general power of appointment must be exercised by the beneficiary by either a valid living trust or last will and testament, either of which specifically refers to this power of appointment. To the extent this general power of appointment is not exercised, our Trustee shall distribute the remaining trust property to the then living descendants of the beneficiary, per stirpes. If the beneficiary has no then living descendants, our Trustee shall distribute the remaining trust property to our then living descen- dants, per stirpes. 14-3 If we have no then living descendants, our Trustee shall distribute the remaining trust property as provided in Article Thirteen of this agreement. 14-4 Article Fifteen The Resignation, Replacement, and Succession of Our Trustees Section 1. The Resignation of a Trustee Any Trustee may resign by giving thirty days' written notice to each of us or to our respective legal representatives. If either of us is not living, the notice shall be delivered to the Trustee and to all of the beneficiaries then eligible to receive mandatory or discretionary distributions of net income from any trust created under this agreement. If a beneficiary is a minor or is legally incapacitated, the notice shall be delivered to that beneficiary's guardian or other legal representative. Section 2. The Removal of a Trustee Any Trustee may be removed as follows: a. Removal by Us We reserve the right to remove any Trustee at any time, but only if we both agree. b. Removal by One of Us After one of us dies or during any period that one of us is disabled and thc other Trustmaker is living and is not disabled, the surviving nondisabled Trustmakcr may remove any Trustee. c. Removal by Other Beneficiaries After the death or incapacity of both of us, a majority of the beneficiaries then eligible to receive mandatory or discretionary 15-1 distributions of net income under this agreement may remove any Trustee. d. Notice of Removal Neither of us, nor any of our beneficiaries, need not give any Trustee being removed any reason, cause, or ground for such removal. Notice of removal shall be effective when made in writing by either: Personally delivering notice to the Trustee and securing a written receipt, or Mailing notice in the United States mail to the last known address of the Trustee by certified mail, return receipt requested. Section 3. Replacement of Trustees Whenever a Trustee is removed, dies, resigns, becomes legally incapacitated, or is otherwise unable or unwilling to serve, that Trustee shall be replaced as follows: a. The Death or Disability of a Trustee While We Are Serving as Trustees We may serve as the only Trustees or we may name any number of Trustees to serve with us. If any of these other Trustees subsequent- ly die, resign, become legally incapacitated, or are otherwise unable or unwilling to serve as a Trustee, we may or may not fill the vacancy, as we both agree. b. Disability Trustees of PAUL B. SNYDER Upon the disability of PAUL B. SNYDER, the following shall serve as disability Trustees: 15-2 MARY F. SNYDER and RICHARD L. SNYDER If the nondisabled Trustmaker is then serving as a Trustee, she shall continue to serve upon the disability of PAUL B. SNYDER. If any one or more of the disability Trustees is unwilling or unable to serve, or one or more of them cannot continue to serve for any other reason, then the following shall be named as replacement disability Trustees in the order in which their names appear: First, JOHN K. SNYDER; then Second, JAMES SNYDER c. Disability Trustees of MARY F. SNYDER Upon the disability of MARY F. SNYDER, the following shall serve as disability Trustees: PAUL B. SNYDER and RICHARD L. SNYDER If the nondisabled Trustmaker is then serving as a Trustee, he shall continue to serve upon the disability of MARY F. SNYDER. If any one or more of the disability Trustees is unwilling or unable to serve, or one or more of them cannot continue to serve for any other reason, then the following shall be named as replacement disability Trustees in the order in which their names appear: First, JOHN K. SNYDER; then Second, JAMES SNYDER d. Death Trustees of PAUL B. SNYDER On the death of PAUL B. SNYDER, all of the following death Trustees shall replace all of our initial Trustees, ff they are then 15-3 serving, or all of the disability Trustees, if they are then serving: MARY F. SNYDER and RICHARD L. SNYDER If the surviving Trustmaker is then serving as a Trustee, she shall continue to serve upon the death of PAUL B. SNYDER. If any one or more of the death Trustees is unwilling or unable to serve as a death Trustee, or if a death Trustee cannot continue to serve for any other reason, then the following shall be named as successor death Trustees in the order in which their names appear: First, JOHN K. SNYDER; then Second, JAMES SNYDER e. Death Trustees of MARY F. SNYDER On the death of MARY F. SNYDER, all of the following death Trustees shall replace all of our initial Trustees, if they are then serving, or all of the disability Trustees, if they arethen serving: PAUL B. SNYDER and RICHARD L. SNYDER If the surviving Trustmaker is then serving as a Trustee, he shall continue to serve upon the death of MARY F. SNYDER. If any one or more of the death Trustees is unwilling or unable to serve as a Trustee, or ff a Trustee cannot continue to serve for any other reason, then the following shall be named as successor death Trustees in the order in which their names appear: First, JOHN K. SNYDER; then Second, JAMES SNYDER 15-4 f. Successor Trustees A successor death Trustee shall be replaced upon death, resignation, or legal disability and the next successor death Trustee in the order named above shall serve and carry out the terms and provisions of our trust. A Trustee may be listed more than once in this Section or an initial Trustee may also be named as a disability Trustee or a Trustee who will serve at death. Naming a Trustee more than once is done as a convenience only and is not to be construed as a termination of that Trustee's trusteeship. g. Unfilled Trusteeship In the event no named Trustees are available, a majority of the beneficiaries then eligible to receive mandatory or discretionary distributions of net income under this agreement shall forthwith name a corporate fiduciary. If a majority of the beneficiaries then eligible to receive mandatory or discretionary distributions of net income under this agreement cannot agree on a corporate fiduciary, any beneficiary can petition a court of competent jurisdiction, ex parte, to designate a corporate fiduciary as a Trustee. The court that designates the successor Trustee shall not acquire any jurisdiction over any trust created under this agreement, except to the extent necessary to name a corporate fiduciary as a successor Trustee. Section 4. The Minimum Number of Trustees If a corporate fiduciary is serving as a Trustee for any trust created under this agreement, it may serve alone. If no corporate fiduciary is serving as a Trustee, there must be at all times a minimum of two individual Trustees. If there is only one individual Trustee serving as a Trustee, and no additional successor Trustees are named in this agreement, the sole remaining individual Trustee shall forthwith petition a court of competent jurisdiction, ex parte, to designate a corporate fiduciary as a Cotrustee. 15-5 3 The court that designates the Cotrustee shall not acquire any jurisdiction over any trust created under this agreement, except to the extent necessary to name a corporate fiduciary as a Cotrustee. Section 5. Corporate Fiduciaries Any corporate fiduciary named in this trust agreement or appointed by a court of competent jurisdiction as a Trustee must be a bank or trust company situated in the United States having trust powers under applicable federal or state law. Such fiduciary shall have a combined capital and surplus of at least 50 million dollars. Section 6. Powers and Liabilities of Successor Trustee Any successor Trustee, whether corporate or individual, shall have all of the rights, powers, and privileges, and be subject to all of the obligations and duties, both discretionary and ministerial, as given to the original Trustees. Any successor Trustee shall be subject to any restrictions imposed on the original Trustees. No successor Trustee shall be required to examine the accounts, records, and acts of any previous Trustees. No successor Trustee shall in any way be responsible for any act or omission to act on the part of any previous Trustees. 15-6 Article Sixteen General Matters and Instructions with Regard to the Trusteeship Section 1. Use of "Trustee" Nomenclature As used throughout this agreement, the word 'Trustee" shall refer to our initial Trustee as well as any single, additional, or successor Trustees. It shall also refer to any individual, corporation, or other entity acting as a replace- ment, substitute, or added Trustee. Section 2. No Requirement to Furnish Bond Our Trustee shall not be required to furnish any bond for the faithful performance of its duties. If a bond is required by any law or court of competent jurisdiction, it is our desire that no surety be required on such bond. Section 3. Court Supervision Not Required All trusts created under this agreement shall be administered free from the active supervision of any court. Any proceedings to seek judicial instructions or a judicial determination shah be initiated by our Trustee in the appropriate state court having original jurisdiction of those matters relating to the construction and administration of trusts. Section 4. Our Trustee's Responsibility to Make Information Available to Beneficiaries Our Trustee shall report, at least semiannually, to the beneficiaries then eligible to receive mandatory or discretionary distributions of the net income 16-1 from the various trusts created in this agreement all of the receipts, disburse- ments, and distributions occurring during the reporting period along with a complete statement of the trust property. The trust's books and records along with all trust documentation shall be available and open at all reasonable times to the inspection of the trust beneficiaries and their representatives. Our Trustee shall not be required to furnish trust records or documentation to any individual, corporation, or other entity that is not a beneficiary, does not have the express written approval of a beneficiary, or is not requesting such pursuant to a court order. Section 5. Delegation among Our Trustees Any Trustee may delegate to any other Trustee the power to exercise any or all powers granted our Trustee in this agreement, including those which are discretionary, if allowed by law. Our delegating Trustee may revoke any such delegation at will. The delegation of any such power, as well as the revocation of any such delegation, shall be evidenced by an instrument in writing executed by the delegating Trustee. As long as any such delegation is in effect, any of the delegated powers may be exercised by the Trustee receiving such delegation with the same force and effect as if the delegating Trustee had personally joined in the exercise of such power. Section 6. Utilization of Substitute Trustee If our Trustee is unwilling or unable to act as to any trust property, our Trustee shall designate, in writing, an individual, bank trust department, or trust company to act as a substitute Trustee with regard to such property. The property being administered by the substitute Trustee, as well as the net income therefrom, shall be distributed or remitted as directed by the delegating Trustee consistent with the terms of this agreement. 16-2 Each substitute Trustee shall exercise all of the fiduciary powers granted by this agreement unless expressly limited by the delegating Trustee in the instrument appointing such substitute Trustee, or by any provision within this Section. Any substitute Trustee may resign at any time by delivering written notice to our Trustee to that effect. Section 7. Trustee's Fee Our Trustee shall be entitled to fair and reasonable compensation for the services it renders as a fiduciary. The amount of compensation shall be an amount equal to the customary and prevailing charges for services of a similar nature during the same period of time and in the same geographic locale. Our Trustee shall be reimbursed for the reasonable costs and expenses incurred in connection with its fiduciary duties under this agreement. Section 8. A Majority of Trustees Required to Control When more than two Trustees are acting, the concurrence and joinder of a majority of Trustees shall control in all matters pertaining to the administra- tion of any trust created under this agreement. If only two Trustees are acting, the concurrence and joinder of both shah be required. When more than two Trustees are acting, any dissenting or abstaining Trustee may be absolved from personal liability by registering a written dissent or abstention with the records of the trust; the dissenting Trustee shall thereafter act with the other Trustees in any manner necessary or appropriate to effectuate the decision of the majority. Section 9. Successor Corporate Fiduciaries If any bank or trust company succeeds to the trust business of any corporate fiduciary serving as a Trustee under this agreement, whether because of a name change or any other form of reorganization, or if such corporate 16-3 fiduciary ever transfers all of its existing business to any other bank or trust company, the successor shall thereupon, without any action being required, succeed to the trusteeship as if originally named. Section 10. Early Termination of Trusts Based on Cost If our Trustee, other than the surviving Trustmaker acting as a Trustee, shall determine, in its sole and absolute discretion, that any trust created under this agreement has become uneconomical to administer due to the high cost of administration relative to the value of the trust property, our Trustee may terminate such trust or trusts and distribute the trust property, including any accrued but undistributed net income, in the following order: To either one of us if we are then living. To the then mandatory income beneficiaries of the trust, per stirpes. To the beneficiaries then entitled to receive discretionary payments of income of the trust, per stirpes. Section 11. Generation-Skipping Tax Provisions In order to minimize the impact of any generation-skipping tax that may be applied to any of the trusts created by this agreement or their beneficiaries, our Trustee, in its sole and absolute discretion, is authorized to take the following actions: a. Division into Exempt and Nonexempt Trusts If any trust created under this agreement would be partially exempt from generation-skipping tax by reason of an allocation of a generation-skipping tax exemption to it, prior to such allocation our Trustee shall divide the total trust assets into two separate trust shares of equal or unequal value, to permit allocation of the exemption solely to one trust share (the "exempt trust"). The exempt trust shall consist of a fractional interest of the total trust assets in an amount necessary to cause the exempt trust to be entirely exempt from generation-skipping tax. The other trust share 16-4 © (the "nonexempt trust") shall consist of the remaining fractional interest of the total trust assets. For purposes of this allocation, assets values as finally determined for federal estate tax purposes shall be used. b. Additions to a Separate Trust If a trust under this agreement, whether created under this Section or not, is entirely exempt or nonexempt from generation-skipping tax and adding property to it would partially subject the trust to generation-skipping tax, our Trustee may hold that property in a separate trust in lieu of making the addition. c. Terms of the Trusts If our Trustee divides a trust into two separate trust shares or creates a separate trust for additions, the trusts or trust shares that result shall have the same terms and conditions as the original trust. Our Trustee shall not make discretionary distributions from the income or principal of the exempt trust to beneficiaries who are nonskip persons as long as any readily marketable assets remain in the nonexempt trust. d. Allocation from an Exempt Trust First Upon division or distribution of an exempt trust and a nonexempt trust, our Trustee may allocate property from the exempt trust first to a share from which a generation-skipping transfer is more likely to occur. e. Taxable Distributions If our Trustee considers that any distribution from a trust under this agreement, other than pursuant to a power to withdraw or appoint, is a taxable distribution subject to a generation-skipping tax payable by the beneficiary, our Trustee shall augment the distribution by an amount which our Trustee estimates to be sufficient to pay the tax and shall charge the same against the trust to which the tax relates. 16-5 f. Taxable Terminations If our Trustee considers that any termination of an interest in trust property is a taxable termination subject to a generation-skipping tax, our Trustee shall pay the tax from the portion of the trust property to which the tax relates, without adjustment of the relative interests of the beneficiaries. 16-6 Article Seventeen Our Trustee's Administrative and Investment Powers Section 1. Introduction to Trustee's Powers Except as otherwise provided in this agreement, our Trustee shall have both the administrative and investment powers enumerated under this Article and any other powers granted by law with respect to the various trusts created by this agreement. Section 2. Powers to Be Exercised in the Best Interests of the Beneficiaries Our Trustee shall exercise the following administrative and investment powers without the order of any court, as our Trustee determines in its sole and absolute discretion to be in the best interests of the beneficiaries. Notwithstanding anything to the contrary in this agreement, our Trustee shall not exercise any power in a manner inconsistent with the beneficiaries' right to the beneficial enjoyment of the trust property in accordance with the general principles of the law of trusts. Section 3. Administrative and Investment Powers Our Trustee is hereby granted the following administrative and investment powers: a. Agricultural Powers Our Trustee may retain, sell, acquire, and continue any farm or ranching operation whether as a sole proprietorship, partnership, or corporation. 17-1 C It may engage in the production, harvesting, and marketing of both farm and ranch products either by operating directly or with management agencies, hired labor, tenants, or sharecroppers. It may engage and participate in any government farm program, whether state or federally sponsored. It may purchase or rent machinery, equipment, livestock, poultry, feed, and seed. It may improve and repair all farm and ranch properties; construct buildings, fences, and drainage facilities; acquire, retain, improve, and dispose of wells, water rights, ditch rights, and priorities of any nature. Our Trustee may, in general, do all things customary or desirable to operate a farm or ranch operation for the benefit of the beneficia- ries of the various trusts created under this agreement. b. Business Powers Our Trustee may retain and continue any business in which one or both of us have or had an interest as a shareholder, partner, sole proprietor, or as a participant in a joint venture, even though that interest may constitute all or a substantial portion of the trust property. It may directly participate in the conduct of any such business or employ others to do so on behalf of the beneficiaries. It may execute partnership agreements, buy-sell agreements, and any amendments to them. It may participate in the incorporation of any trust property; any corporate reorganization, merger, consolidation, recapitalization, liquidation, dissolution; or any stock redemption or cross purchase buy-sell agreement. It may hold the stock of any corporation as trust property, and may elect or employ directors, officers, employees, and agents and compensate them for their services. 17-2 £ It may sell or liquidate any business interest that is part of the trust property. It may carry out the provisions of any agreement entered into by one or both of us for the sale of any business interest or the stock thereof. Our Trustee may exercise all of the business powers granted in this agreement regardless of whether our Trustee is personally interested or an involved party with respect to any business enterprise forming a part of the trust property. c. Common Fund Powers For the purpose of convenience with regard to the administration and investment of the trust property, our Trustee may hold the several trusts created under this agreement as a common fund. Our Trustee may make joint investments with respect to the funds comprising the trust property. Our Trustee may enter into any transaction authorized by this Article with fiduciaries of other trusts or estates in which any beneficiary hereunder has an interest, even though such fiduciaries are also Trustees under this agreement. d. Compensation Powers Our Trustee shall pay from income or principal all of the reasonable expenses attributable to the administration of the respective trusts created in this agreement. Our Trustee shall pay itself reasonable compensation for its services as fiduciary as provided in this agreement, and shall reasonably compensate those persons employed by our Trustee, including agents, auditors, accountants, and attorneys. e. Distribution Powers Our Trustee is specifically authorized to make divisions and distributions of the trust property either in cash or in kind, or partly in cash and partly in kind, or in any proportion it deems advisable. 17-3 It shall be under no obligation or responsibility to make pro rata divisions and distributions in kind. Our Trustee may allocate specific property to any beneficiary or share although the property may differ in kind from the property allocated to any other beneficiary or share. The foregoing powers may be exercised regardless of the income tax basis of any of the property. f. Funeral and Burial Expenses Our Trustee may in its sole discretion pay the funeral and burial expenses, expenses of the last illness, and valid claims and expenses of an income beneficiary of any trust created under this agreement. Funeral and burial expenses shall include, but not be limited to, the cost of memorials of all types and memorial services of such kind as our Trustee shall approve. Valid claims and expenses shall include, but not be limited to, all state and federal death taxes. The payments shall be paid from the assets of the trust or trusts from which the beneficiary was receiving income. g. Income and Principal Powers Our Trustee may determine in a fair, equitable, and practical manner how all Trustee's fees, disbursements, receipts, and wasting assets shall be credited, charged, or apportioned between principal and income. Our Trustee may set aside from trust income reasonable reserves for taxes, assessments, insurance premiums, repairs, depreciation, obsolescence, depletion, and for the equalization of payments to or for the beneficiaries; it may select any and all accounting periods with regard to the trust property. h. Investment Powers in General Our Trustee may invest and reinvest in such classes of stocks, bonds, securities, commodities, options, metals, or other property, real or personal, as it shall determine. 17-4 It may invest in investment trusts as well as in common trust funds. It may purchase life, annuity, accident, sickness, and medical insurance on the behalf of and for the benefit of any trust beneficia- ry. i. Life Insurance Powers Our Trustee shall have the powers with regard to life insurance as set forth in this Paragraph i, except as otherwise provided in this agreement. Our Trustee may purchase, accept, hold, and deal with as owner policies of insurance on our individual or joint lives, the life of any trust beneficiary, or on the life of any person in whom any trust beneficiary has an insurable interest. Our Trustee shall have the power to execute or cancel any automatic premium loan agreement with respect to any policy, and shall have the power to elect or cancel any automatic premium loan provision in a life insurance policy. Our Trustee may borrow money with which to pay premiums due on any policy either from the company issuing the policy or from any other source and may assign any such policy as security for the loan. Our Trustee shall have the power to exercise any option contained in a policy with regard to any dividend or share of surplus appor- tioned to the policy, to reduce the amount of a policy or convert or exchange the policy, or to surrender a policy at any time for its cash value. Our Trustee may elect any paid-up insurance or any extended-term insurance nonforfeiture option contained in a policy. Our Trustee shall have the power to sell policies at their fair market value to the insured or to anyone having an insurable interest in the policies. Our Trustee shall have the right to exercise any other right, option, or benefit contained in a policy or permitted by the insurance company issuing that policy. 17-5 Upon termination of any trust created under this agreement, our Trustee shall have the power to transfer and assign the policies held by the trust as a distribution of trust property. j. Loan, Borrowing, and Encumbrance Powers Our Trustee may loan money to any person, including a beneficiary, with or without interest, on any term or on demand, with or without collateral, as it deems in the best interests of the trust beneficiaries. It may borrow money upon such terms and conditions as it shall deem advisable, including, in the case of a corporate fiduciary, the power to borrow from its own banking or commercial department. It shall have the power to obligate the trust property for the repayment of any sums borrowed where the best interests of the beneficiaries have been taken into consideration. Our Trustee shall have the power to encumber the trust property, in whole or in part, by a mortgage or mortgages, deeds of trust, or by pledge, hypothecation or otherwise, even though such encumbrance may continue to be effective after the term of any trust or trusts created in this agreement. k. Margin, Brokerage, and Bank Account Powers Our Trustee is authorized to buy, sell, and trade in securities of any nature, including short sales and on margin. Our Trustee may main- tain and operate margin accounts with brokers, and may pledge any securities held or purchased by our Trustee with such brokers as securities for loans and advances made to our Trustee. Our Trustee is authorized to establish and maintain bank accounts of all types in one or more banking institutions that our Trustee may choose. 1. Mortgage Powers Our Trustee shall have the power to enter into any mortgage whether as a mortgagee or mortgagor, to purchase mortgages on the open market, and to otherwise buy, sell, or trade in first or subordi- nate mortgages. 17-6 C It may reduce the interest rate on any mortgage and consent to the modification or release of any guaranty of any mortgage. Our Trustee may continue mortgages upon and after maturity with or without renewal or extension, and may foreclose any mortgage. It may purchase the mortgaged property or acquire it by deed from the mortgagor without foreclosure. m. Nominee Powers Our Trustee may hold any trust property in the name of our Trustee, or in the name of a nominee, and may enter into agreements to facilitate holding such property. It may accomplish such with or without disclosing its fiduciary capacity. n. Nonproductive Property Our Trustee may hold property which is non-income producing or is otherwise nonproductive if the holding of such property is, in the sole and absolute discretion of our Trustee, in the best interests of the beneficiaries. o. Oil, Gas, Coal, and Other Mineral Powers Our Trustee may do all things necessary to maintain in full force and effect any oil, gas, coal, or other mineral interests comprising part or all of the trust property. It may purchase additional oil, gas, coal, and other mineral interests when necessary or desirable to effect a reasonable plan of operation or development with regard to the trust property. It may buy or sell undivided interests in oil, gas, coal, and other mineral interests, and may exchange any of such interests for interests in other properties or for services. It may execute oil, gas, coal, and other mineral leases on such terms as our Trustee may deem proper, and may enter into pooling, unitization, repressurization, and other types of agreements relating to the development, operation, and conservation of mineral proper- ties. 17-7 Any lease or other agreement may have a duration that our Trustee deems reasonable, even though extending beyond the duration of any trust created in this agreement. It may execute division orders, transfer orders, releases, assignments, farmouts, and any other instruments which it deems proper. It may drill, test, explore, mine, develop, and otherwise exploit any and all oil, gas, coal, and other mineral interests, and may select, employ, utilize, or participate in any business form, including partnerships, joint ventures, co-owners' groups, syndicates, and corporations, for the purpose of acquiring, holding, exploiting, developing, operating, or disposing of oil, gas, coal, and other mineral interests. It may employ the services of consultants or outside specialists in connection with the evaluation, management, acquisition, disposition, or development of any mineral interest, and may pay the cost of such services from the principal or income of the trust property. Our Trustee may use the general assets of the trusts created under this agreement for the purposes of acquiring, holding, managing, developing, pooling, unitizing, repressuring, or disposing of any mineral interest. p. Powers of Attorney Our Trustee may execute, deliver, and grant to any individual or corporation a revocable or irrevocable power of attorney to transact any and all business on behalf of the various trusts created in this agreement. The power of attorney may grant to the attorney-in-fact all of the rights, powers, and discretion that our Trustee could have exercised. q. Powers to Merge Similar Trusts Our Trustee may merge and consolidate any trust created in this agreement with any other trust created by both or either of us, or any other person at any other time, if the other trust contains substantially the same terms for the same beneficiaries, and has at least one Trustee in common with the trust or trusts created in this agreement. 17-8 Our Trustee may administer such merged and consolidated trusts as a single trust or unit. If, however, such a merger or consolidation does not appear feasible, as determined in the sole and absolute discretion of our Trustee, the Trustee may consolidate the assets of such trusts for purposes of investment and trust administration while retaining separate records and accounts for the respective trusts. r. Powers of an Interested Trustee An interested Trustee is any Trustee who has an interest as a beneficiary in this trust agreement or any trust created by it. In all instances where an interested Trustee distributes, or participates in the distribution, of trust income or principal to or for the benefit of such Trustee, then the distribution shall be limited by the ascertain- able standards of education, health, maintenance, and support. Notwithstanding anything in this agreement to the contrary, in making such distributions, the interested Trustee shall not use discretion in applying those ascertainable standards. No individual Trustee shall exercise or participate in the exercise of such discretionary power with respect to distributions to any person or persons such Trustee is legally obligated to support, as to that support obligation. s. Powers of an Insured Trustee Any individual Trustee under this agreement, other than either of us, is proh~ited from exercising any power conferred on the owner of any policy which insures the life of such individual Trustee and which is held as part of the trust property. If our Trustee holds any such policy or policies as a part of the trust property, the powers conferred on the owner of such a policy shall be exercised only by the other then acting Trustee. If the insured Trustee is the only then acting Trustee, then such powers shall be exercised by a substitute Trustee designated pursuant to the provisions of this agreement dealing with the trusteeship. If any rule of law or court decision construes the ability of the insured Trustee to name a substitute Trustee as an incident of 17-9 ownership, the substitution process shall be implemented by a majority of the then current mandatory and discretionary income beneficiaries, excluding the insured Trustee if the insured Trustee is a beneficiary. t. Real Estate Powers Our Trustee may make leases and grant options to lease for any term, even though the term may extend beyond the termination of any trust created under this agreement. It may grant or release easements and other interests with respect to real estate, enter into party wall agreements, execute estoppel certificates, and develop and subdivide any real estate. It may dedicate parks, streets, and alleys or vacate any street or alley, and may construct, repair, alter, remodel, demolish, or abandon improvements. It may elect to insure, as it deems advisable, all actions contemplated by this subsection. Our Trustee may take any other action reasonably necessary for the preservation of real estate and fixtures comprising a part of the trust property or the income therefrom. u. S Corporation Stock If any stock of an S corporation becomes distributable to a trust created under this agreement, and such trust is not a qualified Subchapter S trust, our Trustee may implement any of the following alternatives with respect to the S corporation stock: 1. A Sole Beneficiary Where the original trust is for a sole beneficiary, our Trustee may create for that beneficiary a separate trust that qualifies as a Subchapter S trust, and then distribute such stock to the newly created trust. 17-10 2. Multiple Beneficiaries Where the original trust is for multiple beneficiaries, our Trustee may divide the trust into separate trusts for each of the beneficiaries. Each newly created trust shall hold that beneficiary's pro rata share of the S corporation stock, and shall qualify as a Subchapter S trust. 3. Outright Distribution If circumstances prevent our Trustee from accomplishing the first two alternatives under this paragraph, our Trustee may, in its sole and absolute discretion, distribute such stock to the beneficiaries as if the trust had terminated, while continuing to hold any other non-S corporation property in trust. Each newly created S corporation trust shall have mandatory distributions of income and shall not provide for powers of appoint- ment that can be exercised by the beneficiary during the beneficiary's lifetime. In all other respects, the newly created trusts shall be as consistent as possible with the original trusts and still qualify as Subchapter S trusts. Our Trustee may take any action necessary with regard to S corporations, including making any elections required to qualify stock as S corporation stock, and may sign all required tax returns and forms. v. Sale, Lease, and Other Dispositive Powers Our Trustee may sell, lease, transfer, exchange, grant options with respect to, or otherwise dispose of the trust property, including the transfer of all the assets of the Trust into an irrevocable Trust which will enable or assist a disabled Trustmaker to qualify for medicaid or other governmental assistance, notwithstanding any other provision herein. It may deal with the trust property at such time or times, for such purposes, for such considerations and upon such terms, credits, and conditions, and for such periods of time, whether ending before or 17-11 after the term of any trust created under this agreement, as it deems advisable. Our Trustee may make such contracts, deeds, leases, and any other instruments it deems proper under the immediate circumstances, and may deal with the trust property in all other ways in which a natural person could deal with his or her property. w. Securities Powers In addition to those other securities powers granted throughout this Article, our Trustee may retain, exercise, or sell rights of conversion or subscription with respect to any securities held as part of the trust property. Our Trustee may vote or refrain from voting at corporate meetings either in person or by proxy, whether general or limited, and with or without substitutions. x. Settlement Powers Our Trustee may compromise, adjust, arbitrate, alter the terms of, or abandon any claim in favor of or against any trust created under this agreement, and may take deeds in lieu of foreclosure. y. Trust Addition and Retention Powers Our Trustee is authorized to receive additional trust property, whether by gift, will, or otherwise, either from us, from either of us, or from any other person, corporation, or entity. Upon receipt of any additional property, our Trustee shall adminis- ter and distribute the same as part of the trust property. Our Trustee may retain, without liability for depreciation or loss resulting from such retention, all property constituting the trust estate at the time of its creation or thereafter received from other sources. The foregoing shall be acceptable even though such property may not be of the character prescribed by law for the investment of trust funds or may result in inadequate diversification of the trust property. 17-12 z. Trustees' or Fiduciaries' Powers Acts In addition to all of the powers specifically granted our Trustee in this Article, our Trustee may exercise those powers set forth under the Trustees' or Fiduciaries' Powers Acts, or their equivalent, of the State of Pennsylvania, together with any amendment to such laws. Our Trustee may perfomi every act reasonably necessary to administer each and every share or trust created under this agree- ment. All of the powers granted to our Trustee in this Article shall be in addition to those powers conferred upon Trustees under all applicable state and federal statutes. Each power conferred upon our Trustee under this Article, or upon Trustees in general, by applicable state or federal statutes, shall be subject to any express limitations or contrary directions contained in this agreement. 17-13 C Article Eighteen Definitions and General Provisions Section 1. Definitions For purposes of this agreement, the following words and phrases shall be defined as follows: a. Adopted and Afterborn Persons Persons who are legally adopted while they are under 18 years of age shall be treated for all purposes under this agreement as though they were the naturally born children of their adopting parents. A child in gestation who is later born alive shall be considered a child in being throughout the period of gestation. b. Descendants A person's descendants shall include all of his or her lineal descen- dants through all generations. A descendant in gestation who is later born alive shall be considered a descendant in being throughout the period of gestation. An adopted person, and all persons who are the descendants by blood or by legal adoption while under the age of 18 years of such adopted person, shall be considered descendants of the adopting parents as well as the adopting parents' ancestors. c. Per Stirpes Distributions Whenever a distribution is to be made to a person's descendants, per stirpes: 18-1 C The distributable assets are to be divided into as many shares as there are then living children of such person and deceased children of such person who left then living descendants. Each then living child shall receive one share and the share of each deceased child shall be divided among such child's then living descendants in the same manner. d. Education As used in this trust, "education" shall include: Any course of study or instruction at an accredited college or university granting undergraduate or graduate degrees. Any course of study or instruction at any institution for specialized, vocational, or professional training. Any curriculum offered by any institution that is recognized for purposes of receiving financial assistance from any state or federal agency or program. Any course of study or instruction which may be useful in preparing a beneficiary for any vocation consistent with the beneficiary's abilities and interests. Distributions for education may include tuition, fees, books, supplies, living expenses, travel, and spending money to the extent that they are reasonable. e. Personal Representative For the purposes of this agreement, the term "personal represen- tative'' shall include an executor, administrator, guardian, custodian, conservator, Trustee, or any other form of personal representative. 18-2 f. Disability Except as otherwise provided in this agreement, any individual may be treated as disabled, incompetent, or legally incapacitated if: The individual has been declared or adjudicated as such by a court of competent jurisdiction, or A guardian, conservator, or other personal representative of such individual's person or estate has been appointed by a court of competent jurisdiction, or The individual has been certified as such in writing by at least two licensed physicians, or The individual has disappeared or is absent for unexplained reasons, or the individual is being detained under duress where the individual is unable to effectively manage his or her property or financial affairs. Section 2. Dissolution of Our Marriage If our marriage is dissolved at any time, each spouse shall be deemed to have predeceased the other for purposes of distributions under this agreement. It is our intent that our respective property held in our trust shall not be used for the benefit of the other spouse upon the dissolution of our marriage. Section 3. The Rule Against Perpetuities Unless sooner terminated by the express provisions of this agreement, each trust created in this agreement shall terminate twenty-one years after the death of the last survivor of the group composed of the both of us and those of our descendants living at the time the first one of us dies. At that time, the property held in trust shall be discharged of any further trust, and shall immediately vest in and be distributed to those persons entitled to receive or have the benefit of the income from the respective trust. For purposes of distributions under this Section only, it shall be presumed that any person then entitled to receive any discretionary payments of the income 18-3 of a separate trust is entitled to receive all of the income, and it shall be presumed that any class of persons entitled to receive discretionary payments of income is entitled to receive all of such income. Section 4. Protective Clause To the fullest extent permitted by law, the interests of all of the beneficiaries in the various trusts and trust property subject to this agreement, except for our interests in the various trusts or trust property subject to this agreement, shall not be alienated, pledged, anticipated, assigned, or encumbered unless specifically authorized by the terms of this agreement. Such interests shall not be subject to legal process or to the claims of any creditors, other than our creditors to the extent of each of our respective interests in the trusts or trust property, while such interests remain trust property. Section 5. Maintaining Property in Trust If, on the termination of any separate trust created under this agreement, a final distribution is to be made to a beneficiary for whom our Trustee holds a trust created under this agreement, such distribution shall be added to such trust rather than being distributed. The property that is added to the trust shall be treated for purposes of administration as though it had been an original part of the trust. Section 6. Survivorship Presumptions If the order of our deaths cannot be established by proof, the wife Trustmaker shall be deemed to have survived the husband Trustmaker. Section 7. Contest Clause If any person, including a beneficiary, other than one of us, shall in any manner, directly or indirectly, attempt to contest or oppose the validity of this agreement, including any amendments thereto, or commences or prosecutes 18-4 any legal proceedings to set this agreement aside, then in such event such person shall forfeit his or her share, cease to have any right or interest in the trust property, and shall be deemed to have predeceased both of us. Should any person disclaim his or her interest, in whole or in part, in any trust created for his or her benefit in this trust agreement, the result of which would be for that person to receive trust property free of trust earlier than provided by the terms of the trust, then the disclaiming person shall forfeit his or her interest in the trust, shall cease to have any right or interest in the trust property, and shall be deemed to have predeceased both of us. Section 8. Changing the Trust Situs After the death or disability of one of us, the situs of this agreement may be changed by the unanimous consent of all of the beneficiaries then eligible to receive mandatory or discretionary distributions of net income under this agreement. If such consent is obtained, the beneficiaries shall notify our Trustee in writing of such change of trust situs, and shall, if necessary, designate a successor corporate fiduciary in the new situs. This notice shall constitute removal of the current Trustee, if appropriate, and any successor corporate Trustee shall assume its duties as provided under this agreement. A change in situs under this Section shall be final and binding, and shall not be subject to judicial review. Section 9. General Matters The following general matters of construction shall apply to the provisions of this agreement: a. Construction Unless the context requires otherwise, words denoting the singular may be construed as denoting the plural, and words of the plural may be construed as denoting the singular. Words of one gender may be construed as denoting another gender as is appropriate within such context. 18-5 b. Headings of Articles, Sections, and Paragraphs The headings of Articles, Sections, and Paragraphs used within this agreement are included solely for the convenience and reference of the reader. They shall have no significance in the interpretation or construction of this agreement. c. Notices All notices required to be given in this agreement shall be made in writing by either: Personally delivering notice to the party requiring it, and securing a written receipt, or Marling notice by certified United States mail, return receipt requested, to the last known address of the party requiring notice. The effective date of the notice shall be the date of the written receipt or the date of the return receipt, if received, or if not, the date it would have normally been received via certified mail, provided there is evidence of mailing. d. Delivery For purposes of this agreement "delivery" shall mean: Personal delivery to any party, or Delivery by certified United States mail, return receipt requested to the party making delivery. The effective date of delivery shall be the date of personal delivery or the date of the return receipt, if received, or if not, the date it would have normally been received via certified mail, provided there is evidence of mailing. 18-6 C e. Applicable State Law This trust shall be governed by the laws of the State of Pennsylvania. Interpretations and presumptions for tax purposes shall always be made most favorable to the Trustmaker. In Pennsylvania, for purpose of obtaining the exemption of inheritance tax on assets passing to a surviving spouse, Trust assets allocated to the Marital Trust shall be deemed to be held as joint tenants with right of survivorship. These same assets however, for purposes of funding the Family Trust herein shall be deemed to be held as tenants in common to obtain the maximum benefits of the unified credit exemption for federal estate tax purposes. f. Duplicate Originals This agreement may be executed in several counterparts; each counterpart shall be considered a duplicate original agreement. g. Severability If any provision of this agreement is declared by a court of compe- tent jurisdiction to be invalid for any reason, such invalidity shall not affect the remaining provisions of this agreement. The remaining provisions shall be fully severable, and this agreement shall be construed and enforced as if the invalid provision had never been included in this agreement. 18-7 '0ct.24, 2003 I]'09AM No.]559 P, 2/4 We have executed this agreement thc day and year first written above. We certify that we have read our foregoing revocable living trust agreement, and that it correctly states the terms and conditions under which our trust property is to be held, mana§cc~ and disposed of by our Trustee. We approve this revocable living trust in all particulars, and request our Trustee to execute it. P.~L ~ SNYI~, T~s~aker MARY F./~NYD~R,' 'Trust~aker MARY FI SNYDER, Tnt&ee STATE OF PENNSYLVANIA COUNTY OF CUMBERLAND ) ) ) Trus~g trust agreement was acknowledged before me on ~ by PAUL B. SNYDER and MARY F. SNYDER, as tee. Witness my hand and official seal. Notary Public My commi~ion expires: NOTARIAL SEA[ BONNIE L. COYI.E,/~¥ARY LPU~JC MT. i~LLY $~1N86, PA CU~SERLA. ND CO. MY' COMMISSION E/PIRF.,S OCTOEiER 17. 1994 18-8 We have executed this agreement the day and year first written above. We certify that we have read our foregoing revocable living trust agreement, and that it correctly states the tesms and conditions under which our trust property is to be held, managed, and disposed of by our Trustee. We approve this revocable living trust in all particulars, and request our Trustee to execute it. PA~i:{1L B. ~NYDER, '~'ustmaker MARY F. ISNYDER,/Trustmaker P~UL B. SNY~R' ~/rustee' SNYD~i~, Trustee STATE OF PENNSYLVANIA COUNTY OF CUMBERLAND SS. The foregoing living trust agreement was acknowledged before me on ~ , by PAUL B. SNYDER and MARY F. SNYDER, as Trustmaker and Trustee. Witness my hand and official seal. NotaD, Public My commission expires: 18-8 EXHIBIT B '0ct.24. 2003 ]]:09AM No.]559 P, 3/4 The First Amendment to the PAUL B. SNYDER and MARY F. SNYDER Living Trust I, as Trustmaker, created the above revocable living trust, dated September 8, 1993, which permits the Trust to be amended by the Trustmaker as follows: I. Article Twelve - Section 2. Distribution of Trust shares for Our Living Children shall be amended as follows: The share of each child who survives us shall be distributed as follows: a. Distribution of Trust Share for JOHN K. SNYDER The Trust share set aside for JOHN K. SNYDER shall forthwith terminate and our Trustee shall distribute all undistributed net income and principal to JOHN K. SNYD 'ER, free of the trust. If JOHN K. SNYDER should predecease us or die before the complete distribution of the trust share, the trust share set aside for JOHN K. SNYDER shall terminate and our Trustee shall distribute the. balance of the trust, property to his spouse, PEGGY SNYDER. If PEGGY SNYDER has predeceased her husband, the Trustee shall distribute the trust share to our son's step son, JOHNNY LEE KYLE. If JOHNNY LEE KYLE should have predeceased us, the Trustee shall distribute the property to our then living descendams~ If we have no then living descendants, our Trustee shall distribute the balance of the trust property as provided in Article Thirteen of this agreement~ b. Distribution of Trust Share for RICHARD L. SNYDER The tmst share set aside for RICHARD L. SNYDER shall forthwith terminate and our Trustee shall distribute all . undistributed net income and principal to an irrevocable trust dated July 31, 1991 heretobefore created by RICHARD L. SNYDER, Tmstmaker and JAMES SNYDER and CHRISTOPHER SNYDER, Trustee. '0ct,24, 2003 ]]'09AM No,]559 P, 4/4 I. Article Fifteen - The Resignation, Replacement and Successor of Our Trustees - Section $ b,c,d and e shall be amended to have our son, JOHN K. SNYDER, serve along with the surviving spouse and RICHARD L, SNYDER as the primary successor Trustees. To the extent that any provisions of the original trust document are in conflict with any provisions of this Amendment, this Amendment shall control. Otherwise, all terms and conditions of the original trust, as amended herein, remain in full force and effect and are reaffirmed by our execution of this amendment. IN W/TNE.. SS WHEREOF, I ..HER_EB_Y..._C.E_.R. TI._F._Y_..th.a~t..!..h~av_.e_~,ad_...the_ ........... foregoing amendment to my Loving Trust (consisting of two pages, including this page) and that it correctly states the terms and conditions under which the trust is amended. I approve of this amendment as the Tmstmaker and accept it as the Trustee.. Executed on this /~,& day ofcT~e ,_. ., I997. Pt(UL By ~NYDER,-a~'r-rusfixlaker and Tru.qtee MARY r. SNIIrD-EI~, as Tml{tmaker'-and Truatee COMMONWEALTH OF PENNSYLVANIA ) ss: COUNTY OF ~ ) Subscribed and sworn before me by PAUL B SNYDER and MARY F. SNYDER, as their voluntary act and deed in executing this amendment as Tmstmaker and Trustee on this / (t,g~, day of ~ ~.e~._~,.~_ 1997. EXHIBIT C COMMONWEALTH OF PENNSYLVANIA DEPARTMENT OF REVENUE BUREAU OF INDIVIDUAL TAXES DEPT. 2B0601 HARRISBURG, PA 17128-0601 RECEIVED FROM: PENNSYLVANIA INHERITANCE AND ESTATE TAX OFFICIAL RECEIPT NO. REV-1162 EX(11-96) CD 001052 WEINSTEIN SCHNEIDER ETAL C/O JOHN J SCHNEIDER 104 WEST HIGH STREET MILFORD, PA 18337 fold ESTATE INFORMATION: SSN: 209-28-8074 FILE NUMBER: 2102-0368 DECEDENT NAME: SNYDER PAUL B DATE OF PAYMENT: 04/10/2002 POSTMARK DATE: 00/00/0000 COUNTY: CUM BERLAN D DATE OF DEATH: 01/12/2002 ACN ASSESSMENT CONTROL NUMBER AMOUNT 101 $34,200.00 REMARKS: JOHN K SNYDER C/O JOHN J SCHNEIDER TOTAL AMOUNT PAID' $34,200.00 SEAL CHECK#4408 INITIALS: SK RECEIVED BY: MARY C. LEWIS REGISTER OF WILLS TAXPAYER EXHIBIT D APPRAISAL REPORT 1244 CREEK ROAD CARLISLE, PENNSYLVANIA Diversified Appraisal Services Real Estate Appraisers and Consultants --... ~' 'APpRAJSAL REPORT ' "- .... i // OF-":- .... < ..:-' ' A/ 100-ACRE'.FARM -~_ :'.. "-" ': '-, '. "- ' .: ~." ',":': '~' "'!:!'/":';,.-i.... i' .:.'.-',..." '. ~"' ".., '' -.... ..... :.' . - ..,.- . ,,-._' · . , -:. .- .. ..... ,: ' ........ .',:'/2:~:' " ''':'" -' ")'i}-'':'''. >' <:'.,... _ :"' ,..."' . ' : ... ' ...... , .....:. - .. , .... -.._-.-.: ,: ,.:...._:., :, · ( -< '!...,,.... ,...,<,: ?... -..',.'.. 'i:'. -. : '' ~ ' ' ~ ~ .... : .... .',' - ,- !' ' . ' '.'.. ' ""'- ':..:-'" ' .- ' :.' '" '_" ..'?~.. "'' ..-... '/.-:PREP':~D"~POR/: ~' - ' r, ':' -'.'".'~:: .'''~' . "',:' ':,:. ,5' :. "_ ..'-'-"~::" ~:'.~' ' ii ")'" . . ~_' -' -- 'A - ,;'. : / .". '. .' . -i "' ?" '"' '""-' "'. "' ,.~'~..~""" .., '.? :' '.',.-" ''7 ,' ' ':.! .' i"': ':. '}:' :,-i '-" ' ....." "":" J~ARY 12, :2002 ": _-<.', '.', : :.' : .f-..-'..i' ' ' - "'' ':": ' ' : BY --' " . . '.. .' -'. LARRY E:-FOOTE -~ . D~RSIFIED APPRAISAL-SER~/ICES - - EAST'HIGH S .TR.EET, -SUITE, t01 CARLISLE, PENNSYLVANIA- 1701-3z3052 (717) 24¢2758 'TAX PARCEL ,NUMBER: SUMMARY oF IMPORTANT FACTS AND CONCLUSIONS,' _ 1244 Creek Road Carlisle;~Pennsylvania A Single;family dw~.lling,.tW..O,.gamges:~_bm, and-°Ut,':-": ' :- ' ~.. · ' . ':'.' PROPERTY .RIGHTS:" ".. ',.' '-':..';i :! -.. ,' .; :: .-l:..' :" 1' ::: :"...." :..:..:'::'[::: :::.":.:..:: .,. ":...-'-~', .,,., ::. -::-'- '..""' :~/,. :: '. !' _i'::.-'.'..',:' .':.,',:' '..- .'.]:. ' )'. :: :. "..: '>, ':. './' ii: ,:' "... "';..,(JBJEC~:(-'.:' ] .l" ~':: i"_ q~ '.:''.."'i'.," :ti: T°. e~ate'"th~ :i/ifii&et' ~ai[ie'0fthe'''s~ibj~ct.pr°~ ~'!' '. :" ."::. !: ": '::}'..' ':' ...... ' " -':.-'.:"..;. :: ..,.. . . : ! -..-,. '. . .. ..:..-.::- .. -,:'2002. - ......... . ': .... · COST ~PROACH::' : -... gaLES-,.~PR0~cH: ....~ 'nqcom APPROACH.: FINA~ VALUE CONCLUSION:.' $413,000 2 APPRAISAL' CERTIFICATION I hereby certify that upon application for valuation by: · THE ESTATE OF PAUL-B. SNYDER the undersigned personally inspected the follOwing desCribed prOperty: . :i :' ' · All that'Cei:tain piece... o?pmel'0£!and~ With'th6 improvements there~n' ere~{ed,, sLtuate' : '". i :i in-.wefI Pennsb6i;6.,T6~Shi'p, ~umberland county; pennsylvania; bounded and described:as'. ' ' ' ·:: '." ,:!::5: .::. :'.~,..Beginning.at'a p0~t in the center of the Public rOad .0pP0site':the Westem':[e~nCe.ofthe .. '. _ ;. :.... ' : ,', '~_.. (,.453.7.feet to :a point.in the.:e~nter of:gaid mad: Ihence.in Said"public..road by:the~e, Sou~ 59.:.: '". 5. ' '---: .'.. : .- . ::.:? thene~.byihe,,same.l~ds; Nortl127degr%s i9, minut~East¢-!39,'fe~t t6;!~-poihi 0n:the S6uth:,.::.: .~.'('. · . · .:., .:., 421. 'feet io alb~qWo0dtreealong the b~:.0fSaid creekl}'thence' Sore:7 deme~ 3'minutes .' '. ~.' _ :Deiteii;: Sofith 87-degrees 25.minmes wesL::I;360'.5 fee~ i6 a post, e6m6fof:lundS :noW. or :'. degrees- 50. minuteS.:West,' 3;074 feet toa point''in the cent&r of sa d'pffiie'-roack': the place of ' Less; :however,:all'.that tract ofland'convey0d to PeggY.J.,'Snyder bY:deed'.r.~e¢orded in ' ' ' Deed BOOk N; VolUme 27; Page.673, Cumberland County re¢0fdS.' Thus !eavinga. remaining 00 res; less - ' To the best of my knowledge, and belie1? the .Statements-, cOfitained. .,. _'in this report, are tree and correct, and that neither the employment 'to make this-appraisal' nor the. compensation is contingent UPOn the value reported; and that in my opinion the .Markef 'valUe as ofJanuary 12; 2002 is: -' FOUR HUNDRED AND THIRTEEN THOUSAND DOLLARS $413,000 outlined herein.. The property was appraised as a whole, subject to the contingent and limiting cOnditions- 4.: '.Certified Gen6ral Appraiser ~GA-000014-L ...... '- '' :'~ PURPOSE OF ~THE APPRAISAL '" The purpose o£ this appraisal is to 0f january 12, 2002. -' Market 'Value, . as defined bythe courts, is'the'm°st probable Price estimated in.terms'0f money which.a pr0perty will bring if exposed'for sale in-i~the 6pen market,.~ alloWigg.a reasonable,time finding' a purchaser.:who buys With knoWledge :of all the uses to Which .it is adapted and for Which it is capable of being used. Frequently, it islreferred to as thePrice at whicha ~Will~hg seller WOUld selland "willing' bUYer wouldbuy, neithe~'beingunder'abnormal, pressure~ "'"" ': ' : ' published bY,thei'KPPraiSal, InStitUtei"as!!the~ dost: profi~bI~,.'likelj] b~ ~PUt?'. '. Th_" e '0pifiion of such use imay.be based °n !the'ihgh~'St: ~ :ifi°~i:.prOfifiable· contii~u°us.'.' ~-USe· to Which ~e-Propei~Y is'adaPted ahd': needeCt,·~br !ikely to I~ ; _ , However, ,elements ;aff..ecting.-value' that dePend iupon'- -.'·OcCurrences..which~:while :~thin.the realm 0f:P°~SibiiitY,"are : :pr°bable, ShOuld be.eXcluded ffom.consider~/tion': Alsoi if 'th~ intendedusO is:dependent on. an. .~ince'~.aCt"0f an0the~PeCs0n;/the, intenfion'C~otbe eoiisider~d.! ':i';.'i·}:. ':"· ',~ !-'i: . '..-!.'~.:: .' -... ..... ..:: ..._.~:,..-......~...~... ~: ...';' . .... . ..... _:-.,. .... . .. . ..... . : '?-..,~ ..,..-:.:,:..,...'....~. "' ' Based ' On the' abOve ' definiti°n '. and' after, seem - the sitei' neighborho°~ knd area~ it...iS MY;,.'' ioPini0n that the Pre, sent use of the Subject is· its Hi~he;t '~d mst Us~. ': SITE DATA ADDRESS: TOWNSHIP: coU,%! .. : :'~i :' ':..STATE: 1244 Creek Road ~- -' west Pennsl~oro -.Cumberland · ' - ':-': -:Pennsylvania: '. -, :. ?·. ~ '."- . - - . , ., ., : . . . )SE~RS:. . .... Omsite Septic'. . ~ stenli .'.', WA~,!. - -" :' '- - On-site well: ' '-.-." "' ~":- ' ':,' ' "'-~':".' ELEC~CITY:";'.'": PP&L . :, -:-.:. LANDsCAPINGi TYPical fOr the -area; with...a ' ~0dded'lawn; :trees 'and. shmbsl ': .' ,- '" '. '. ' ." :" ._:. "i-. :.:.' ~-..'... ~ ..'.,:..:.. , :i.. :: ' ~ . ..... : . [- ;:- , .,. ~ .' . '- .... ' DESCRIPTION OF IMPROVEMENTS :' ...... ,~ ~ ... ~ : ,. '} .. , ..., .-.- ~:-' _ . ,, . ,. GENEra. "DESCRIPTION;':"TW02st0ry ' detache 4 single 1890:<. '-:-. ,:'; .-,',.' apprOximately; ~,o8O.~ri~e[ feet of gross...limg area aboVe grade; b~ltin , -: ·.-. ..,. .... .---' .:.-:cO~a3iT~ON:..- ::,: . v.~'ei~or::::,,v:a~ :-.. , ,..., ,....:-,,.... .... . . ~.... ..... ': :;'- - ]_:.' : . Interior; .'Ayerage ._..:-- :: ' ·i"(" ; '?: '"": ' · "' " ' "' "*' " ;' :":. '- ':.; "."i ':-'::: -.' i'...;: ~- ~. -. -~( - -. ,. -.- ....'-.~ .'.. ROOMS:. First F!oor: Living room;: parlor, kitchen, dining room, powder m0m:] - - ~ _second Floor!' Foiir bedrdbmSanda full bathro0n~:i'' ' . "' Basement~.-. ~: Full. basemenL with coficrete fi0Orl . ... ..-._ EXTERIOR: Foundation: Stone. ' .. - - Wallg(. 'Brick - ' . Sask Wo0d,'doUble-hung: ' ' ' ..... - .Gutters.: 'Steel, painted. Roof: .Metal · -Storm rots: 'Combination storm and screen traits, 6 INTERIOR,': PRINCIPAL ROOMS: ~ KITCHEN~.- . Cabinets: .... . CoUnterS: . - , .. Walls: ' Flooring: .Pine wood and carpet. Walls: Plaster . . - Ceilings:' 'PlaSter .... .. Trim:' Wood, painted, . Wood, stained and varnished. Formica .-. · plaster, Painted.' .... . .... vinYl -DoUble,bowl,. staifile~g S~eel. - '. :.' ' 'oTHER:..' ' .. .AttaChed ~o the front of the:C!We!lirig iS:.'a:~Vere, a'~fron~l:iOrch.~dan. encl°sed. Porch is'attached-to'.the reat-ofthe.'dwelling~ AlsO16Cated on'the'siteis:a'15ame bam :"' 1.2 ':".. '. - '- . . : '-in a~zerage.9'onditi°n, ~e:com Crib '-m' aVeragec0nditi6ni,two frame~garage~..infair C0ndifion; ...... . frame, sto?age building infak eon .diti0n, brlc . poultrJ~hOuSe, in .po6r-Condition. : . i:.:. SALES COMPARISON-APPROACH -- In arriving at this C°nclusion 0fthe value of the Subject, p~0peny, the appraiser' made'a survey of prOperties that have sold in the area'ofthe subjeCt'Property, i · . - . .Consideration .was givenand adjustments.:were made on each comparable sale as to ' ' '-: time of Sale, siZe, location; as'wel!..'as al!-0ther'fact°rs that might..affectvalue. A resume_of 'some °fthe sales considered by th~ apPraiser isias'lroll°ws:' -'' · .' '~:~!-~" ~ -' - . .... :'-SALE :NO. 1.: . . ar 'c (sofith:~ddleton TownshiP) . ~. '- ~Location: l t'37SPringO den Street,. arhsle,' · - ' .... Daie 0fSale: - March23,2001 :- "' ' " --" · - Sal~ Pi'ice: $400 000 :~ · - · ._ BUildings:. 2,000. Square foOt brickdWelling bUilt inA:873, in average:ConditiOn;.. . .: ...... " garage, bm, corn crib-, '8: Storage bUildings:and 13' Sil0S".in, P°oim fair :' Location:' I610 En01aROad, CatliSlei (North Middleton TOwnship) .,_-. ": , .: ~ : · . Location: - 80 WiIdwOodRoad, Newvitle: .~pperj. Fmnkford Township)': . . .Date°f Sale: October 12,.i2001-. ' - ' - ~ - sale Price5 $265,000 .... - '--' BUildings: 1;730 square-.foot frame dwelhng bUilt in188 I, in, aVeragei~ondifion;' ' ' garage, 2 barns, wag0nshed~d fi'ding ring m.g~°°d conditio~n2 .'-" ' ' Land Size: 80.00 acres. - ' Unit Price: $3,313- per acre. -'- ' The appraiser, in. addition' to the sales listed, als° considered SeVeral additional, sales in amvingat his final opinion of value. On.the SaleS'Comparison AnalYsis fOrm that fOllOws-this page 'are dollar adjustments reflecting 'market reaction to those.'items of si _gnificant variation between the subject and comparable properties. If a .significant item in .the comparable:' property is superior to, or more favorable~than, the- subject property; a. minus (') adjUStment: is made, thus reducing the indicated value of the subject; if asignifiCantitem in the comparable is 8 inferior to, or less favOrable than, the subject property, a plus (+) adjustment'is made, thus increasing the indicated valUe of the subject. After making'all of the necessary, adj'ustments, it~is the appraiser's.considered opinion that the indicated value of the subject.property bY the-Sales Comparison ApproaCh is$4 !3;00.0. 9 ~ SALES .ADJUSTMENTS . . The appraiser has analYzed comparable sales and has develoPed dOllar adjustments, refledting market reaction to those items of significant Variati6n between the Subject and comparable proPerties:...Ifa significant, item. inthe comparab!e property is s~uperior to, or mo~e faVOrablethan the subject property, aminus.(.). adjustment is made~ thus'reducing .t!3...e indicated- . value ~of the subject. If a significant,item in.the comparable.!s inferi.'or t.o, Or less favorable than ...~h¢ subject Property; a PlUs (+) adjustment is made,-thus in~reasing flae'indidiited Valu~ of the · 10 CORRELATION Correlation may. be defined as "the'bringing together'of parts in a proper relationship." ~The. partS of this appraisal report are the following approaches to value your appraiser used: ' - . -- .Value. Indicated, by CoSt'Approach .... -.. · ... ~. -.. N.A.~. Value Indicated bySales Comparis°nApproach - - $413,000:- Value.Indicated by Income ·Approach ' ~: N.A:: .~..' '.. · . ~ . .. .' TheSe 'app~°ache~ are ~epr;sentative 0fthe market 'vaiueiof the' subjectI Pi°petty:' -I have< .. :: . carefully, ree~ed~ac.h step in-each methi~cl, land I believe-the: c0nc!uSi'_0ns accurately.; ... .::.i. the a ~ttitUde of typica!pt~chasersl of this-..~ pro~:in this'neighb0rhO6d;,It'is my: beiie~ that .., : · ~ ':' 'thiS're~xaminati~Snlhas c0nfirmed the' otiS! ¢°hClusi0~, ? :...'.'.' i' ", :* ? ':-":.':"i.' :'. !..-)i ;"-:. ') .: ';~.:" ;::~ :.: . .: 'i :' .' .:: "-~:'~ ~ ' :The .:Cost..APPrOaCh ".~ii result-:.:in . an excellent eStknate.I if ::~1' ;iem~il~s are.: fi~d · ~. ' . .'..accUrat~ly~'beCai/s~': nO PfUdent'pets0n ~il pay :m0re'f0r..a' pioperty:ili~ lhe' Cost t0;ipro~Ce .~i. .:'- . '. -'. sfib~ti~te ..pr0pe~' i~th i.,¢qUal:::deSirabi!itY and.milit~;:;-:purchasers of:the.".i"~: of dWelling?.~i ..... · '-tyPical of the SUbjedt property 'are ..more C0nCemed..'~th. amemties 'thkn .V~ith hYpOthetical . . ~ePlace~nt.0t~the.-pi~Ql~r~...':;'The:COst Appr6a~h'is ri0t c6~idereat° b~ iipPliC~ib!e~:~I~e"t°:the -,-.~ .... ,. ,. ..;'.-'.i'.,':;' :: '. ,-' . · ; '~'. A.. - ?. '. ~"?i,:; '/'."..' .,. ~ -'-..-.' ...:' .}'.. 'i .Thesal~s C°mP~s,O.n-~ppr°ac_h iWas basedi o.n..se,ver.~_'.re~_t ..sales 0fpr0Perties.~imil~: :. _"~..;.. to :that Of' the 'sfibject;itl} :of W-hiCh are'10¢md in th6-same...general area~; ..'The adjusted~'gales' -'- -" . Prices'.i ar~ ~-m°St::~nsistent ii~de~ ".e°mpafis°n.'." Thi'~ approaCh:~ is the..m0bt'..reliabie because :it _.- -..,..:.. reflects the.~e~tCti0ns'of~ical'bu3~ers'and:.seiiers in the market.:, :.: ?;,'-?: .;:./.:"..'./.. ii~,:...: '...:.).:'}: .. -. :; '.."~e In,_ome APp~6achiS a.ve~ ig0od indicatOr~ofmarket ValUe;:Wh~n-appliedm,.in¢ome. .. - producing'properties §~ichaS:hotels} apartment buildingS,or Other commercial Prdperti~s: Sinc~- '.properties similar i° fi!e'.-sUbject'.are usually not PUrghased for their ge~fi'0n :0.f cash 'floWs; :.' .:this approach to Value'is not cOnSidered to.be relevant. .-'. - . .. - : - ' .:.. ..... ~..: '.. :. "' Therefore,. as'a're~ult of.thiS aPpraiSal and analys'ig,.."it is this appraiser's considered "judgment and opinion that the Market ValUe. 0fthe SubjectPr0perty, as of-January !2;. 2002,:iS~. . FO ~IJR HUNDRED AND THIRTEEN THoUS'AIqD DOLLARS' - - _ . ' '-_ . " $413,000 11 UNDERLYING ASSUMPTIONS AND LIMITING CONDITIONS SUBJECT TO THIS APPRAISAL- . 1. I assume no responSibility for matters legal in natUre~ nor do .I render.any opiniOn as to - ~ :the title, which is aSsumed' to be marketable. 'The. property is apPraised as thoughunder ' responsible ownership. : ":" 2: The legal description used hereinis correct.' -- , _ ~ ~ . .! 3. I have"made 'no survey ofth~ p~operty, ~and ~the, boUndaries~ . ~.,'~e taken.. ., from.~.r~c0~dS ;':' "'~.' .': "'~ !'1,4: ':I assUme that there arch6 hidden.or unai>pmnt"COndiii°m"0f, the. prope'r~y, subs°il:bt- ' : "'. ;structures Which WOuld render.it more orl.e~s,ivalUable.:':: I assume no. responsibilitY:f0~ ' :: - . , ~sUCli conditions Or fOr engineering whiCh:'might be:ir0qui~edi~ discOm'suCh factors ..... . -..-' . '.;:: .-' Were °h~fied. from,, Sources. c0iisidered reliable ~and.:belieyed t0::~b~ tree ,~d~eoh-ect'i: :: .._ : . .. :~.: .;, 7.-: :Neither ail nor'any part of the. contentsof fl~i~rCP~rt, i~speCialt~-anY ~6n¢lusi°n~; a~;-~0' ~ · ". .... - ,..~: reprisduced~: pubU~hed; or-dissefninaied~!o'the.pub!ic:ihrough, advertising me~a,pfiblie?,'. -. 8,_ Thi§appraisal was prepaxed.for the eXClusive Us~Ofthe Client.idemifiea in'.ttu,~'S: aPPmisaI,: _ . report. : :-:The'infOrmatiOn. and-opim0ns c0ntained-.in'-this aPPraiSa!i.',:set- forth ..fflC' ' appmiseffS best' judgmem in light :of'.the infomtion avai!abte, at rthe time' -: prepamtion'0f this report: :Any use.of this-apprai-saI .by .any'.other' perSon-or entity; or . any: reliance or .decisiOns' based on' this appraisaI are: the- s01e-responsibility and'at- the:.. ' .... SOle risk. of the'third party. The appraiser' accepts n° .responsibilitY-,for _darn'ages' - Suffered by any third party as a result of reliance on Or decisions made or actibns,tal~en based'-this repOrt · ' · 12 CERTIFICATE OF'APPRAISAL Your appraiser hereby certifies that: _. ~.. 1. The statements of fact contained in this !eport .are'true and.cOrrect. - : 2. The reported ianalyses, opinions,: and c0ficlusions are. lin~ited"only-.by ~the reported' - :~ . assumRtiOris ,and. limiting, conditions, a~nd: are my pers0nat~'...impartia!; .and unbiased ._ :ProfeSsiOnal analyses; opinionS;,andconcluSions.:., : :....~ ·/ ~' .: - ,- . · '-: 3~. I have n° present' of i~r°speCtive' inierest "ih !the' -' "' "~' ':' ":' ':'~:'" Property that is the 'subject of.this_report,' _ . . ' .:: ~ 'and no personal:inter~st with resPeett0 the parties-invol~d. '. ' .:~ -.:. .-.: ~ .:: : : : i .. :: :..:-..:.. :.'. -i.. '.,i',..-: ~ :...,) .~ : i..': ?..~:i~ '~.~ !i:)'i i~....' i.'.",. --:.'.:." ~' '.-:."/?-,.:'"'-' '~ ..:' "- ' 4. I ~at:is:'the'subject0f~s':r'ep°;rt Or'to} the. :, ... ~., .... Parties'involved.with-:thi~: as~i~oni?','?:/, ,i ::.::;), !-,':,. :,-". :. ::.'."::..:. ~- : .. '..' i:' ,"., .:-: '. ;:: :.;, ' ~ .... 5. My.'engdg~ment'in this' assignmeilt!'was not :contiiigent, upon. develoPing or-'repOrting -.......~ - . :-.prede/ern/ined r~sults. -- -:, · · _;. ,.-~ ~ :': · .,.., : : - ~'.:: ':-: :1.6: ..My. COm~e~ati6n: :for?'cbmPleting this .;. as~/gnment iS':' n0} d0ntingent:. 'upon '- · .~ ..":': ..'-::- deVel0i/nient°/rep°ning0fa Pred~iermiiiedYa!ue'"6r:direefi6nin. ValM:.~kt.f~00rS:the- ': :...'::. ::.' ....-;-..: .( :..... cause qf the ch~e'fit,' ~e~.am0m of~e.:.yal,.Ue_.6pinig~:.~e.a~ent:.of a. ~i~Ulated.-r~suit, .':. -- 7:, '-.:'.' i':~ m'the'°ccurrence 'of al subsequent: eyegt: directlY' related go ;th6(.intended fise'iof '~s -'7,.' To:'the best .:Of my'knowledge i and"beii~t~, .fiie; istaiem6nt~: of''.i'act :contain~: in 'this - "' '.' '-.' :"aPPrM..Sal reportd'0pon ~hch.the.~alys~, opiniofis¢ andCOnclusionseapresSed'here/n ' are based, aretme and cOrrect: : "' '" :; - '/ .:i, "i:.':'~}i..:" - ":i.,:i.? :': 'i.i -"-'. ' "': . ..8.'..This appraisal:'repon .sets forth all: of the' limiting c0nditi6ns .(imP°Sed.b~'the terms. .-. ::' .my. assi~irnent"°r by th~ Undersigned) affecting the analySes, ;pii~6hs, ~1 ConcluSiOns. ' iCOntain~d inthiS reportl · - "' - ': '" : 9'. This aPPraisal report, has been made ine0nformity with the Unibrm Standard~ of '' ' 'Professional. Appraisal"Pmctice~ad0Pt~d-by_. the APPrai§al' Standards Board 'of:the ~ AppraiSalFoUndation, and is SubjeCt'to the-mq~rememsOf.'the C6de'ofprOfeSsiona1 -_- ~Ethics and Standards..of ProfesSional 'COnduct` of the National Associati0n of Realtors AppraisaI. Section. ' - - -- ~'" ' 13 10.. No one Other than the undersigned Prepared the analyses, conclusions, and . ~ . opinions concerning real e~tate that are set forth in this appraisal.report. 14 'EXPERIENCE: 1979-Present: LARRY E..FOOTE Chief Appraiser, Diversified ApPraisal Services; Carlisle, p&. . . . PrinciPal Broker, LaRue Development Company,. Carlisle, P~ 1976-1979: AssOciate` Broker, Colonial:Realty, Carhsle,.Ptt.' :. ~ -~. . :....-. ' App.misal experience ~cluded'UndeVeloi%dlfind,.farms' bUiiding!otS, single. ,family dweuingS, m0bile..i' ...:. home Parks; medical. Centers,'nurSing homes, mOtels~ aPartment_buildings and complexes' office "buildings, gendce stations; Veterinary ClinicS,. iehabilitafi0n'centeri, retail:buildings; daycare centers; " .): AsS°ciat~ Badhelb~ 0fBusiness A~stratiOfi,'HarrisbUrgArea c0mmmaitY;i Real EstateBroker #RB-029729,A, Comm°nwealth:of P~lvani~. '-- '- .... ' ......GRI: Graduate of the Pennsylvmiia.-Realtors Institute> award~ b~'the p~.syl2: ...-.- .- :.' · vania A§SOciati0n ~)£ Realtors. ' CRS: Certified ReSidential Specialist, awarded-by the Realtors National Market2 ' . . CCIM: Certified Commercial. Investment Member, awarded bY. the Realto .m.. ' National Marketing Institute of the National Association of'Realtors:,-" ' - ..... PROFESSIONAL .ORGANIZATION AFFILIATIONS: National AssocialionofRealtors-Appraisal-Section. Carlisle Association of Realtors. Pennsylvania Association of Realtors. National Association of Realtors. Realtors National Marketing Institute. ·15 PAST CLIENTS: Borough of Carhsle _ Keystofie Financial Mortgage Cornerstone Federal Credit Union ' Pennsylvania State Bank Comme/ce Bank -- ' cUmberland:Perry A~S°ciation for Retarded Citizens carlisle Suburban-Authority Pennsylvania. National Bank - Evans Finaneial.c0rPomtion ...< :. , .., Carlisle Depa~iment of Parks and ReCreation Gettysburg College . , .... :. Redevelopment Authi3fity of CUmberland CoUnty · . ReCo~d.Data APPra£sal. Servi~s; IncorPorated -First United Federal Savings Association Fulton Bank : - United States Marshall Service ' ' GMACMortgage COl;potation- .. Orrstown Bank ~" Letterkenny Federal credit Union BancPlus Mortgage Corpo.rafi6n . . Coldwell Banker Relocation Services, Incorporated Central Pennsylvania savingSl Bank Mellon Bank . Provident Home Mortgage Corporation Various law firms and'individuals 1¸6 PHOTOGRAPHS OF THE SUBJECT IMPROVEMENTS 17 PHOTOGRAPHS OF THE SUBJECT IMPROVEMENTS 18 EXHIBIT E APPRAISAL REPORT 1265 CREEK ROAD CARLISLE, PENNSYLVANIA Diversified Appraisal Services Real Estate Appraisers and Consultants APPRAISAL REPORT ' , .... : . : ~ .- ' ':.". ' ...-'i. '..-' ::): .:'::"':'::"-'- ,. :. _-:: -: :' ~: : '-...:." .. LARRY~'-E. -FOOTE -" : ' "'. DIVERSIFIED APPRAISAL: 'SERVICES .... '- EAST HIGH STREET, S.UITE .10-i CARLISLE; PENNSYLVAN~ '~. ' 17013-3052 (717) 24'9-2758 -- -LOCATION: SUMMARY OF IMPORTANT FACTS ~ · - 1265-------~v--C:re~-kl~arl -. ' 'r-.~' . ~. ~- .: CarliSle, Pennsylvania AND CONCLUSIONS "'" TAX PARCEL.. :" 46-06-0029-027 - - ....... · _.. IMPROVEMENTS:.- ,~ ... Asiiigie-i~amily dWelling,.bam;'garage, Stgmge ..- PROPERTY RIGHTs: Fee.simple interest~ :' :' '. - ' ..- SCOPE OETHE; ASSIONME~: -:~e.SC,ope of ~h,e:aSSi~ent inCluded an analysis of. th INCOME'APPROACH: --N.A. " ' ' ' ':' FrN~ V~LUE conCLusiON: '$1~0;00a . 2 APPRAISAL CERTIFICATION 'I herebY.certify'that upon application for valuation by: - THE ESTATEOF PAUL B. SNYDER the undersigned personallY inSPected the'following described proPerty:. _ ' ".'- '. ..... '. :" ,..-. ,. · .-:':,, '.:,.';..~,' '.,'":...:".,i~.:: :,..--'-: ...,..".',!.,, -.-.._." ~""" "':i. All .~atCertain: piece or parcel o.f lan'd,, with :theimPii°Vements'there6n 6~;~cted,~'situate-, ~ '~ ; '~.in-:..W.e,st pennsb°m ToWnship, cumberland .County,"pems~/lV~a,'; boimde~/arid ~le~cribed as.. , ' '- '"~:f°lI°Ws:"-:' ':':'~:'-- ':"'.'~! ...' - : '..'.-' ' ' '"" ""' :'?'.,.~":!5' · '. :.-5." 'i" B;a g at.a. st on the. b '0rthe" ;e;k;. he, ee SOuth' :, . -:. ~rCh~s ~o.a., post;.th~n~:~{by !and %w oi fo~rl~; ot't)~! -W;~ X0a. ?0"~.de~r~eS:.W~'i~,)' '~,:':;.:: ". ~·,: ':..'.~ . .' ,- mrch S!.t.o.'.a post;:the,,ce '7U.deg e.e ':"WeS't; P0 ti --.: .',: 0fthe.~ame SOuth'83~ degrees West;'2?:~ perch~s ~.aP0'St;'thcnC, by:l=ds':n'o~ · .-..,, . ~, .::. :. :of the' h~irs.'0f JosePh :~cr~6~, So~. i'~ '~iegre%. ~ast; i :3" torches' t; a'~;i:';th¢~ce :-36'~. :::..'..."" :-: ,'... · .}' "_..,]i.' ..,. '~.~hee~2~~;7w~.?;.oh.~.:rOl~a .P?ipg ...then~'Ng~' 31L d~gre~S.~West~:ti~? pe,¢h~. . "; --':' '~ "' ~ ..' 'Y:i . ',:-.' i. ':' . · ." y.OftheheiisofGeorgeLehman:.NO~59~dcgree~s:East2326-'.'.~ :~';:'::...: ~:'i:-" .:. ~' :: "L}...../,: ': 'I~r~hes to':i White:..0~;tge~ce mrth 54R/~ degr%s;. _.F_aSB 25;/perches~ told Whi~e.:o'~:0n~e:b~.: :... ~..... ~ - o .'the.creek;: thenCe down the. saidcrcek-b~;its, seveml courses.thetB0~i i30 PeicheS't'6-the ~la6e!i';' '5~" . "-' "{ !.:i:' ': .of be~ng.'.':.-con~ng53% .acrcS~.m~)re oi~ leii?:~-.-' .' .i; - . '. '""':': ~.":/_ i' :.-,'.:~ ;i):':? ;.'...':.-.i :~5-.) "~ .-:.. :-'.---;:' ..' :..:: -:",.:' . .. . . , :.,..-.. :......~ - i :.., ?,.':.. ': -.:--':::.: '.: _.:.:........;:'"::: 'i '.'..".:' i ".' "',.'~. : '::}.'..,'.... ' i-.' 'ii.: :~... T.o. the best 0f my..kaOwledge and be!lBt th¢.:s~ments-ci~ntained.in!--~s;}ilx)rt ~eT~e'-:', ': 'i". '...'.. ' -..'.~ ·: :and. correct; and-tlmtneither..the emP!i>yment._to makc'thiS::apPraisa!~ nor..the:..~e0~pe.~tio~ ; ?'-' . 'i/, ¢°ilf.mgent u~n-the:Oaiue;reported; and rtl. at ih:my opi~on the' M'arket..Va~%':as-0r '-"-. ::- 20021s:"}'.. '. ~'"" ..'-..'.. :~ ~..'..,' :-;. ". , ',-".'~ ,' ':.'....-,'-'<.:--:-!':.: ...... .. %.:.::: ,..:,,' _: :~ -. ~ .-. -'.."~. "-" .'x" ."."' :- ':'~.. -" ' - : ' . :;'::."';' ' ' .{,"d:.". .' .: '. ._- -- 'ONE mn~R~r> ~qrr) ~x..mous~...noi~a~..,s. '"' '- -:- - - - : ,i-,". ~$1 lo,000 - '".. - ThePro rty ~as appmised as a whole,~Subject to theconfin 'ahd. limifingcondifions '. oUttined-herein~ . .:. -, ........ _ Larry E. Foote'- .Certified General APpraiser GA-0000'14-L 3 PURPOSE OF ~ APPRAISAL The purpose of this appraisal is-to estimate'the Market Value of the subject property as'. of January I_2., 2002~ -. - - .' " . ' ' Market Value, as defined by'the CoUrts; is'the imost pr°bable price estimated in'mi-res.of money .which. a .property will bring if..expOsed .for'.sale in-:'the' open:market, allowing, a reasonable time:finding a purchaSer WhO bUYs-With-knO~ledge~of all th_ e.USe§~to which it is adapted and for which it iscapable_, of being used:: . ~. · · ' ~, FreqUently~ ii is referred toas the price at whi~h'a Willing sellel;~Vbuld Sell anda ~lling .. 'buyer· woul~i'buY~ neither being Under abn-o~al' pressure:. ~" ' ' -' ' ' -:.' ~' .... ',. ' ..' . 7 , '; ~',' ~: .~ ~-:~' ..' ' : .' ' ": ~'-':.7'-.' " ¢ ;'.'J ' '~ '":' .: ': ::~ .( -: Highest-"and·B~sii'.:'Use ii_ defin;d' "':.' ... ':~i' .:;:pUbliShed.bY:the-;APp~Sal"~fi~tej~'as"?~e}'i~bsfpr°fi~b!elikelY :~ to':(l~ich3'd.Pi!6perty '. '."~ '..': bepUtT,,.',:The :oPinion of siich. Use::m~ybebased~6n .the: hi,esi ~d' ~0st':tX6fitabie continUOus- .: :". !' use't°'~¢htlie Pr°Petx~'!s'a~Pted. ' neat future. - - : · ...~ -.:,.~ -:, ~.. r -: .. :. mWeVer? ...elements ~.affec~ting.~valu~ ": '_" ':' '... oc~enCes whiCh;~le.'~thin the r~:,of · ..;:. ' prObable;"~hould, be ' excluded from eofislderiifi0n;': ~. ... :-:- i.unce~aCtofanother, PersOr~)th&.~t~-nti6n.~ai~0tbe::ei3nS,idCred2:. i:': '" ~i Based On the ab°Vdde~nitiOn a~d a~r: se~ing the_;ae'~:neighb°tia~d, 'and~rba,- it is '.m.y ". ~' .~ opiniOn that'-thepresefit:use 0fthe ~ubJe~is.its. High~st·knd B~'~t u~el -::: '..:' ".,- ~. :'.:-: ' .i.':/: :, ..-: 4 SITE DATA ADDRESS:.- : ToWNsHm: COUNTY: '" 1265 Creek Road West Pennsboro CUmberl,,and i ,. : :., _ ~. ':. - .' . ~ ' / ". . ~,'~ ".. '' . , LOT SIZE: ._ APProximately 33.50 acres,.'m0Stly'in'a FEMA ideiitified floo'd.h~d ,~ . - -. - area,.aec0rding to FEIMA panel Nmber 42159020005~A . -" on-gite'~ephc system..:'..: ~ . - - - WATEPC oii ell: - ' "' .: .. · ,-' :. '" : ~'_ ':..-. ).k '[: . ,' , ; . , 'ELECTRICITY:-'..--': PP&L ' LANDSCAPING! .'.'. ';T~'ic~i''r'';.-J}. ....... the ..... - ..... "" ............. area;:witti a.sOdd~/d'!aWn~.trees'ai!,~d'shrubs:', ;;' :' ":'~ ~'.-' "'" '~'' '"~ ' ' ' ' ' ' ' : :' :':': '::' :; :":' """ '" '" :' ' : . ...... ':, 'i:' '~ '. :: ." 'DETRIMEnt' INFLUENCES '- :' .--..' ~'.:-.:.-:'.'.'..';. '.:. -.: '!.'...;,'. 'z.. ": i~::'',,, !...: .... ':' . (-.. .. . .... -- . . ':~' :.. '"f" iThe'maj0fi~°fthis'l~d:is!0catedina.:FEMAi&ntified'fi00d hazardarea: ':'/- ,..."."'"" - - -' '- ": , .: :.-· -.}'.:.;i;., '.' ' ':'.:~-'.:: ' ;: :- ': ,',' ~_; ' :- ' ' L · . ,': ':i' "..', . :'f~"_ .~ ',- · .' .-i . .. :,~ - ...: :' .:._ 'GENERAL DESCRIPTION:.,' Two-story detached Single,family dwelling...' .Containing :approximately i,31.9 sqUire'reel' of gross living area ab°ve.grade:,"' . -:. ' : .... CONDITION: - Exterior.'_ Avemgeio gOod. "' .... "" · ' :Interi0r:/Fair .ROOMS: _ .' Firsl Fl°°r::.Living. r°°m,', kitchen''. laundry, mom, stOrage room and - .... . full bathroom~ - ' : SeCond Floor! Three bedrooms. " Basement: Partial' basement. EXTERIOR: 'FoUndation: Stone · . - . -Walls: 'wnvi~'--- s~mn~.'" -- .. Sash:. Thehn°Pane-- ~ r~Placement W/ndows. Gutters: Alminm; painted. ' · Roof.' Metal INTERIOR PRINCIPAL mo carpet and hnyl :ROOMS: oring: ' :'" '' ' ' .Wali~:- !.' PlaSter and WO~xt Pan ...... ceilings: : plaster and suspended aC°USticai.tile.- . . -.. .i" . :" .... .Trim:' ".wofd,-~in~dl ':/.:: ,"."-. '~. ;-" :~ ~/,-:, .. "..i....... ,-' .~..:.:. 'cabinets:` i"'.:'W0°d'Paneiing, : -, · - '~: :':ii': ':'' "i . 'i' ;':" CoUnters: 'i:..Formica'".' :-..~.-' ':'.; .. ../..:5. ' ' , -. walls: '' i-Paperedi°laster'~d'wofd~eiing:.:.:.:.!: :::'.;...' ."! ;' :Floorin-g:': '" Vinyl... ... ".;!...: ./.'.::..'. ::.. ;...:,': ::... -..: .:.' ' - :'" '- .. . .. ~ :'-...~'.. ,,,~,,,'i"v:'..:..-.7 :ei"ZlX-bov?l,';g::'~:-i'-"z:o~,,~ }n,,u~,am :' ' ""' ' ' ' ..... ·'' ' ':':;" :~ "~' 'BATHROOM}' '. .Fib0ring:: ~'C~i."-:): i; .:.-:: .~ · ..: i.-i?,} - ' "' ~' ': ".Walls: '-vinyl:Cladpaneling2' ' :.' Plumbiiig: ~HEATING: C0al-. stOve6nthe fi?sffi6$ ' ~;'i :'. '! " burning r: .... ; . _.-:- _ .- HOT WATER:. Electric; 80~galI0n.' .' i.'-.- .' ': ...', ,' ". ' ' ., - .: 'ELECTRIC: ~ circuit breaker system;' 100-amPere." ' "" - ~ ' -" '- OTHER: AttaChed t° the -fr°nt. of,the dwelling is a cove/ed:l~°rck '3~lsO located:On. '... the. site is a frame bam. in po_.orConditlon,:frame, two-st0ry,storage building in po0r,Conditi0n,' . : frame: garagein-poor condition and. a frame poultry house in poor conditiOn:':.." "-.': ' ., ' ". SALES COMPARISON APPROACH In arriving at this conclusion, of the ValUe of the subject property: the appraiser made survey'Of properties' that have sold in-the area 0fthe subject.property. · . -" ConSideration was given and adjUstmentS were-made:on each comparable sale as to (sale,` 'ze, location s Wel! as ali'o r fac · that -might affect Val of me o .is~ ,. a : the tors uel A resme some of the sales considered by the apPraiser is as'follOws: · ".:~. :.j. .'-.....- .". - i:.... SALE :--.1:.. >: - ·"~ - .' ~' "" ' · - : : . " - cariisl~. {S~uth Middl t~n Town hiP) - .- .: - '.'Location: ~ 1 I37 Spring.Garden` Street, e s - · ' ~. "-- '"Date'.ofSale ~ch'5,3',~200i :,... , ', }'~:.' '.. · _ ..,, .. ... :. ,. :- - ..... . - -- --: Sale,price: $400,000'" :'"·:-" : ...".-,' ',~ '. , '.-' .... '.:-' :::. . BUildings:: ~. .2,00ogqUare.footbfi'Ck dWellingbUilt in 1873'} in'average eOndi~idn; · .! :' .i: .'5. :": ga;rage;'barn~ c0m'Cr/b¢ s'stora~bti/ldi~anfi 3':dilos ih~poorto fair:i:, '~ :' .:-' ': ::,':; :'.,' c0n~ti0n. :.~ ::··." ." ' ~: 'i;'... ;..:.': '. :'~.'.'~'- ": .: .-:'-·'- -" : i:i·: .' ~.~ ...... ... :L~dSiz~::.:,' ...1.-03:501~iC~eS._ ~ .;. _- - ..,:. _'..~ ...:. :.:. - , ..-. f..:.'.::..-. "'" ': ' ' ' '.uriitPrice:-J:i :$3.,865Per acre:- '.i · '-. ",..' . '-? .'.'..:,'- ..:(-', i .' ' :'.. ' -. · '..'. ," . .. '.?,'.;7:. - ' -'. 's~'-No.! 2:.;' . :. i,,- ,:i: '.:'..- ~-.-. :,... ,. ,.:. . ..... : 0 l~n0ia R~ad, Car M/ddiet°n-T(~wnslfip) -:; ~_: - .., :-.L°Cahon: 16i ~ ' liSle2,(N0rth' . '"":' ": '~ ' .... Date' of'Sale:., ,,. _ . O~tob~i' 2, 2000; . "" sale;P, rice: .'..-$450,000 -. ' .... .., ,: ,!:::..'::.,'.",'"-:'-- :_ ?'.' 5 i:., ,': -'B ldings:- i'-::'2i836Square-i'ootst°n dwel! gi Uiltin'i'S45-,'hgbodCondit on;: ':,:.: _; :'.'i .i' ',._.. :' .' ': '..' :. i'/-' ~.. ";·: '::.g~age/;:ibam'and 4,:·Sto/agebui!dings.?".average ebhdition..": - -::: :'-- "".- 'Land Size.:'g -.8L32 acres. -' i '"' ' ' -- '-- ' -'--'::' ' ..... ' ' ' - ' . UnitPrice:' $5;534 "acre. '-'." ':" :",: -. ~, ?' .......... ; SALE-:iqo.' 3':" .-:::_" - .... ' . . "-:: ' . " :-"Location: '80.wildw°od Road, N~lle. (upper Frankford Township) _' ' -~ Dateof Sale: .October i-2, 200-1. -' -. ' '~ ' ' . . . ' -" . -Saieprice:"':$265~000''I.'. :: ,'~":' '. '."..' · . .. -- BUildings:. 1;7.3..0 square fOot frame dwelling built-in.i 88I,. in-averag~ c°nditiOn; · garage, 2 barns, wagon shedand ridingring in good' condition. - Land Size: '80:00'aCresi: : ' ' - · - Unit Price: $3,3 !.3 per acre. -' ... ~. . The .appraiser, in. additioh to the Sales listed,' also considered several additional sales in arriving at: his final opinion of value. On th~ Sales' COmParison AnalYsis fOrm' that folloWs this' page are dollar-adjustments reflecting, market reaction;to.those items" of significant variation between the subject, and comparable properties. If a significant item in the comparable Property is superior to, or more favorable-than, the subject property, a minus (-) adjustmemis made, thus reducing the indicated value of the subject; ifa significant item in the comparable is infer/or .to, or less favorable than, the subject property,, a plus (-~) adjuStment is made, thus increasing the'indicated value- of the subject. ~: ' ' 3d:ter-making all of the necessary adjustments, itis the appraiser~s"'eonsidered opinion. that the indicated: value of the subject proPerty by the Sales C°mpahSon Approach is-$! 10,000. :. 8 'The appraiser has analyzed Comparable.sales and has devei°ped'dollar' adjustments reflecting market reaction-to .those items of significant variation between the Subject and cOmparable proPerties. If a SignifiCant itemlin the' e°mP~ableprO ~pe'nY is ,sfiPeid}>i:..t0, 'or m°re favorable than the_subject property; a minuS(Z) adjustment.is 'made;: thus reduCing-the indicated - :'- -' value iofthe subject, Ifa'significantitemin the'comparable is inferior'to, Or less fa;v6rable tha :the subject property; a Plus (+)adjustment~ig-made~ ~us iiiereasing the indicated'x;alu6'''of Ihs 9 CORRELATION COrrelation may be 'defined as ',the bringing tOgether of parts in a proper relationship." The parts of this'apPraisal' reportare the folloW/ng approaches to value YOur appraiser used:~ Value Indicated byC6st A/pPr6aCh' : '- . i~A. .:-'~' ' ~'i . : valu~ Indicated b~'SalesC~mpariSOnAppr0ach~ $!16,000 .... _ _i Valu~?Indicated b~ InCome Approach :- ' ' NA. - "'~' ' ' ' ' "' ' : ' · - ' "' ': ' ' '' ' ' '" " -'. :': These apl~roaches~are representative' of the market val~/~..of the,subjeCt, p~oPem.'~ I have · cafefifllY':~i~ed each step` h' each meth~'.a~d i believe.'the. Conei~i~ns aCC~rate~'iy refie¢t ...... th my e attitude of typica1 pur~hase~s of. this'tYpe proPettY ln this nei'ghb~rhb6d:' It is "belief that: ~..~ .. :.. :' :~.- '.' "':.': '~ The. c%t:'.ApproilCh Will re§Ult:in. an.exCellent e~ate--if.:ali:e!ements ar~ "figured. ': 'aCcUrately, b~Cause, n° Pn~dm.-Pers0n. Will' ':i '-:"ii~' su~~ute ':'-~;perty:':i~i~:.equal.!desirabilityafid':Utili¢.; :;:P~chaS~rs Of the .i~. of 'dweilin~ .' .tYpical. "Of. the:. SubjeC't .pro~rty'.I age' more:, c0ncemed .'With. ame~fies. :~an .:~th :hYix~theti~!. ~: ?p!acemeht Of ~e'Prope~? .Th~ cOsi'XPPmilCh' iS. hot..c~nsidered;(o be appiicable, due tO: the :./.- . The.Sales::C°~nparison~pproach.~.b~edbn Sev~rat re~ent s~es;ofp}0~rtiessiinil~r': to 'thatOf.the subj'~,, al.l~ ~6f;~v~ch.are.: !°Cat~d.in':~the.:}S~e.~ geneial .area::..:. The adjusted sal~s' ::."... P~/i"%'s ~'ar~ 'm°Sf .c0nsi~nt :/ruder' 'c°mpariS°n:. ~'. miS.ap~0~h.is"ihel ~o~t reliable, bec~m~ ~refleets ~e,r~a~cqons 0f~iC~Ib[/ye~m ~d.§ellers in'th'e.m~Xketi:~¢'} i"::: t : :.: :: .'. . '+:.' .?'.: . ' : ..:. :.~. .:/-. ".. ': ' '.'The incOme.AP~ro~ich:'is a v~/y gOod indie'a!Or of ValUe; w n:a'ppl:ied tb inco e: -pf0ducirig'Properties.m~h ~.h0tels',' a~ent buildings:of 0~ei~ co~rcial:.-~f6perties. Prbl~ffies ~imi!ag t°- die Subject ~re USuallY n°t PraiSed for th~ir':geiieration.~fcash!flows, ':this'appr6ach'tovaluels n°t'considered to'be rele~)anc ""~ : :' - i":;' "' ":' ".'" .: ~'".'" - TherefOre, as a reSUlt: of this a misal and anal sis~ it is th/s a aiser's ' "' · .'... ~..:_ ... ..r-.. -:...~- .PP ..... :y -~ ."... ppr...,.cons~dered · ju~tgment and op _tm0n that the Market Yalue of the. Subject properS,, as., of january. 1'2, 2002, _ONE rmmDRED xrD :'T OUS : . . - ' $ o,ooo : 10 UNDERLYING ASSUMPTIONS _AND LIMITING CONDITIONS SUBJECT TO THIS APPRAISAL · 1. I assume no responsibility for matters legal~innamre~' nor do. ! render any oPin/onas to the title, which is' assUmed to be marketablel The prOperty is appraised as though under - - ade no survey of,the 'property;- and: the boundaries are taken',from"records' ' "" ':i' ",' : ~.4.' ~ assume that thereTare no hidden'or 'unapparent c'onditions'of the P~ope'_rty.;~.sub~Oii or.':" -. -:". - -..: .'.. ~ structures'Which Wo',uld'~iider it mote 0[IeSs':;~alu. abIe,' :l.a~sume:n~'?esponsibilitY for. . ~,.:6: m~ re~rt is:.to.;,fe:'Uged'in, its entirety'and--0nly'T6? ::the' .P~se:.fofWhich'/ii was'-'-- - 8. >This appraisai.was .... p~epared for the: exclusive use0f the: ciiehii identified in thiS.aPpraisal . report. "The information and ..°pini°ns contained:' in-' this aPPraiSal-'se} forth the -- appraiser's best:jUdgment.in l~ght' of, the::information-:'aVailable at ~e time-'.:Of:.the ..: ._ preparation, of thiS-report. Any. use of this appraisai"byany other:PersOn .or eritity;, or .... '-'" any reliance Or decisions based on' th/s app~aisai are'fl~e'sole.: reSP°nsibility/and a~ the' · '- s°le. risk Of the"third Party:- The' apPraiser accePtS.-no- resPOnsibility.: for 'damages: -~ . suffered by anY third, party as a resUlt-of reliance.on or decisions made'~r actions taken .... - . based on this report. · · - '- 11 CERTIFICATE 'OF' APPRAISAL Your appraiser hereby certifies that.: - 1.' The statements of fact'cOntained inthis repon are true andcOrrect. 2. The reported :,analyse~, opinions, and.-cOnclusiOns . - ~ aSsumptions, and. limiting 'conditions,.. professiOn~ analySes~ opinions~ and cOnelusiohs. - ~:. _. 5' .' ~ ~ , . ,. ':' 3. I have no presei~t of prosPective'interest-ifil:the · ' ' andnoPersonal'interest withres~Ct ...:~ "4. '-! tiaven.° bias, ..With. respect tO'the pr0perty.tha~: islthesUbjectOfthiS_reb0rt or t°:the -. . 'parties involyed with .this aSSi~ent...- · ..~'... .'-' 5,' 'm "engagem;nt :. in '-ihs'. assi~nt WaS ,.- ': -i:Predetcr~ned. i'esuit~: ".-~..' :: ')':":.:,5.:: '. 6.' 'My 'comPensafi0ni~for. c0mpl~ing 'thi~." aSsi ment.: "iS:' noi(.c0nqngeht'/UpOn.--the-:'' ' deve!°pment- 0r :repoffing"°f a predetermined'~;aiue ~°r dir%fion in yalue~t f~Vor~i the-.". } 'i/'. ca~..0f~egl!ent;'. the'mount °f~ei~alue:' ' ::' or,the-0~'urrence.~ofa, subsequeht . .' a~Sal?(-': ;:.::':'..':' 7" ~'~ .. :" 7. To'the. best 'of .mY:' kn°wl~dge ., and ~iief, "the .statements.loEfact ~,contaiiied- in thiS-' aPPr~sat";rela0' rt, u~n:,'which ~the' analySSs~.~>Pini0n~,':ahdifiOnelUsions';.~xP~sSeq-here/ri 'arC'based; a~e',tme: and ~c6itect: 8, '.This appraisal report; Sets. .fOrth all of' the limiting conditions (imposed, by the:terms of.~ my asSignment.Or.bY, the undersigned) affecting the anfilYses, opinions, and' C°nclusions.' :".: contained in this.report. '~" _ 9.. This appraisal'report has bee~-.made in,eonformitY with 'the Uniform' .standards 'of Professional. 'AppraiSal :.PraCtice -adopted :by" the "APpraiSal Standards. 'Board'_ of' the -Appraisal FoundatiOn,: and.is subject ~ to ..the requirements, of the Code .of' PrOfessional.- E~Cs and-standards °f-P~-ofessi;nal CondUCt . Appraisal Section. 12 1'0. No one other than the undersigned prepared the analyses; conclusions, and optmons concermng real estate ~that are set forth in this appraisal.rePort.- LarryE. Foote . - Certified General'Appraiser 13 LARRY E.-. FooTE REAL' ESTATE :APPRAISER 1979-Present: .chief ApPraiser, Diversified Appraisal Services, ' carlisle, ' ' Principal Broker, LaRue Development Company, Carlisle, 1976~.1979: . . ' . - .....- ASsociate Broker, 'Colonial Realty; ,Carlisle,:,Pa: - .i ~9724976: ~. 'Rea~t0r Ass0eiate, jack aa, iOenRealtor, waremouSes, and manufacturing, facilities.: !' ' ,-'~ - :, j -. , - EDUCATION: /" /-/'.' '~-.'i"' '."i" ~.< .)..:..~ - - -:"i" '"'i'f :=..i'.i ~Ba. chelor p£Business Administrati6n, P~nnsylvaniastateUnive~sity, 1976: · - ASsociate Bachelor of Business .A~..~.~ation,. ~burg Are~' c0mmunity: .... ' ..... ColIege,..1974~ < '<). · :--~.: , ~! /3 ~'~ -i::' ..~":'/"<:.. '~.. "' )' ' ~""" '-' ' Diplorh~Car~ie seni6f High-:.S~h0~ 1965~' ~'.-..~.":.' ' '"'- ~ .. - Cerfifii:ate;'Realtors.Nati0nal'Mm-k~Sti~te~ Cii:0.I}:CI .f ~' :" · - -.('CliO5. '-. 'i-"~.- ~-' ',".' ?'i ':'.::.~ .... ~ Re,~,, Estate Appraisal .Prin,,cipies; Amerie~ Ig,...'stitu~ of Real E~mte A~'i.~is~ii, · . _'-: :'.: -. ~,es.~denfial.' yaluatiOn;"~c. ,an !nStimte 0fReal Est~e' Apprai~./_: '-': .....':': ·., ._ ',-' . ppraisal ProcedureS, Apptalsalinsfitufi~: ' --.'' · '.;' -' Principles°£Inc°mepr°pertyApp~Sing-Ap~sal'insfitute:: (:i ..., ''< _ - C,a~ Studies i/i Real. Estate'~uati0~:_ApPmisal insfiiUte..', ,.: . Report Wdt~g and ValUafi~n .Analy~i~.Appmi~alinstitute:. , . -.. ' '" ' ' ':'-. :". ' "' ',' :- ' ":: :::,"i - :':" .:::.!'i" - '-' PROFESSIONAL., LICENSES: : - General Appra~ser #GA:000014-L,'c0mm°i~wealth of P e~sY!v~a ::. - . Real Estate Broker #RB-029729:A,' Comm°n~ealfli'of PennsylVania~ ' -PROFESSIONAL DESIGNATIoNs:. ' ' .... ' ORI: Oraduate oftlie pennsYlvania Realtors Institute, aWarded byfiie pennsyL -- vama AssOCiation ofRealtors~ ~ ' -- '" - CRS: .Certified' Residential. SPecialist, awarded' by:the Realtors Nationa1 Market, . - ingInstitute of the ,National Associati0n of RealtorS., '- eCrM Cmifi d C.o hv~stment M her; award by the:Realtors ~. : e mmor~ial, em ed' National Marketing Instimte'0f the National Association of Realtom PROFESSIONAL ORGANIZATION AFFii,iATiONs: National Association'of Realtors APpraisal SeCtion. Carlisle AssoCiation of Realtors. Pennsylvania AssOCiation of Realtors. National Association of Realtors. Realtors National Marketing Institute. ¸14 PAST CLIENTS: Borough of Carlisle - Keystone Financial Mortgage Cornerstone Federal Credit Union Penn.qylvania State Bank- - Commerce Bank . ~. ' '" - -Cumberland-Peny Association for Retarded Citizens ' ' Carlisle SubUrban.Authority ' ' :~ - Members l't. Federal credit Unio~i _ ' !. ,-..' CartisleDepartmeht,0fParks.andRecre~fi6n-. : '- .: . ..._ . , : ... ;,. . ExecUtive Relocation:s~ce's-': .:;-.'. :..': 'i."- '., ' '-;.':: :', "carliSie~ea'.SCh0:oiDi~ct '. :':' "./' '"-".' ." Messiah Hom~s, IncorPorated . / . - . - . ' '-" E,I~ East~ R~gi6n~i S~C /": - ~:.:_ .... - .' ---:-. -.?ennsYlVania'Tum~ike C°~nissiOn i-- ~' - --- Chase:Home Mortgage Corporation ,., :.'.. --'.. .... ':: - --- _.. ..... ' -. ~.., '. ': .:... Defense' Acti~ties: Federal: Credit Union' . "( :: '-.< ..: :: ~' :. . :~ ':';.~:<i. :,:." · ~. ,. . ,i :'. ~:'- i":. - ,-c, -..-.- '- - ' .:-,-' : ' ...... PNC'.Mortgage c6i:p0r~on'; :" ': . '< .. ..:..'-'i:::.:.".' '- F&MTmst"CompanY - . . ,,: .- · ' ?..":- ".-'f ':;:'.: ~ i.'".i;:'-:'. :-:.'~. ~',i'!"' , i~-' ..:":::,'- ."' '.i ,-. CorV0,aaOnl' :..'-' '-'; .'.-: · · ." .:-'.' ::'. :./';.;- "W~0n'Mn~ H0m~,£oa~ ~no:"...:, ~.~.: '.",.' ,; ..'.. ~" "':'.'. ,"" ": "<." 'i-~ "' ~-' ", "-~;<" ":. ':.<':" ,' "¥ "': P~ud~Rel°~tiOnls~s'. :'/.: "' '",',' < ?..-:,- .': :Lmde/!s.-Ch0ice-.' - 7' "' '.',"-" - ' ..... .- -'-v -.. - -. ....~ . ._.: ..,_ . -:' "' ' :'"' ';"": United.Markot'IntnlligenC°" In¢0rp°rated": "':Tele~l~5~e Emplb~ee&: FedS:Credit' ''"'Uni0n.. Cumberland County-Commissioners. -. :. :" "'"'- - .... . · '- . AllState EnterprisesMortgageCorporati0nl. ','. __. · -. ':;' ""'.- i ' - ' '--' -" ' '. ' · Dickin-qOn College..:. ., ... : .- ..: : PPG'IndustrieS, Incorporated "' ' o~g COnoco RedevelOPment Authority 0fC~umberland CoUnty , Rec0rd,DataAPpraisal ServiceS,'Ino0~6rated':. : : .. -: :-... :... ,-. First United FederaI Savings AsSOciation .. . Fulton Bank.- . . United states Marshall Service ' =~ . GMAC' Mortgage Corp(~ration . . ' . ' .- Orrstown.Bank ' - LetterkennyFederal Credit Union - ' BancPlus Mortgage. Corporation Coldwell Banker Relocation Services, IncorpOrated Central Pennsylvania Savings Bank Mellon Bank Provident Home Mortgage Corporation Various law firms and individuals 1:5 PHOTOGRAPHS OF THE SUBJECT IMPROVEMENTS' 16 PHOTOGRAPHs OFT HE SUBJECT..IMPROVEMENTS 17 EXHIBIT F C. NOTE: This form is furnished to give you a statement of actual settlement costs. Amounts paid to and by the settlement agent are shown. Items marked "[POC]" were paid outside the clos[/~ey are shown here for informational purposes and are not included in the totals. 1.0 3/98 (s.,,~ OWNEWELL.AUCTION,O2.PFD/01344_1210111) D. NAME AND ADDRESS OF BORROWER: E. NAME AND ADDRESS OF SELLER: F. NAME AND ADDRESS OF LENDER: Robert A. Brownewell and Debra L. Brownewell, husband and wife 259 Horseshoe Road Carlisle, PA 17013 G. PROPERTY LOCATION: 259 Horseshoe Road Carlisle, Lower Frankford Township Cumberland County, Pennsylvania Richard L. Snyder and John K. Snyder, Death Co-Trustees of H. SETTLEMENT AGENT: South Central Agency, inc. 23-2283826 PLACE OF SETTLEMENT Orrstown Bank, 22 S. Hanover Street Carlisle, 'PA 17013 I. SE'Ft'LEMENT DATE: April 8, 2002 101. Contract Sales Price 102. Personal Proper~ 103. Settlement Char,q_es to Borrower 104. 105. 730.01 ~wn taxes to 107. Count~ taxes to 108. School taxes to 09. 20. GROSS AMOUNTDUE FROM Bi 00. AMOUNTS PAID B¥OR ~t or earnest money ~al Amount of New Loan s.(~._ 03. Exisfln~'ect to 34. ;35. 70,730.00 ~wn taxes to ~taxes to 2. School taxes to 3. O. TOTAL PAID BY/FOR BORROWER 3. CASH AT SETTLEMENT FROM/TO BORROWER: 1. Gross Amount Due From Borrower, Less Amount Paid By/For Borrower CASH( X FROM)( TO) BORROWER J( 7,000.0C 401. les Price 102. Personal Pr~ 403. 404. '405. taxes to 407. Court, taxes to 408. Schooltaxes to 409. 411. 412. 420. GROS', 501. Excess ~ 502. SetOement 503. Existin~ to 507. 508. I seller 509. to 511. County_taxes - to 512. School taxes to 513. 514. 515. 516. 517. 518. 519. 520. TOTAL 601. Gross Amount Du~ 602. Less Reductions Due Seller 603. CASH ( X FROM) ;R: 7,728..0( 62,272.0( HUD-1 (3-88) RESPA, HB4305 2 700. TOTAL COMMISSION Based on Price i D/vision of Commis~io~ as Follows.. 701. $ tO 702. $ to 703. Commission Paid at Sett'~-ment 704. to 800~E IN ONNECTION WITH LOAN 801. Loan Origination Fee % to 802. Loan Discount % to 803. Appraisal Fee to 804. Credit Report to 805. Lender's Inspection ~ee to 806. Mort 'a e Ins. A . Fee to 807. Assumption Fee to 808. 809. 810. 811. 900, EM R IREDBYL NDE TO BE PAID IN DVAN 901. Interest From to @ $ ~e Insurance Premium for months to 903. Hazard Insurance Premium for 1.0..,Vears to 904. 905. 1000. R E E D IT DWI N 1001. Hazard Insurance 1002. Mortgage Insurance · 1003. Cibz,/town taxes 1004. Counb/, taxes 1005. School taxes 1006. 1007. 1008. 11 0 TITLE HA 1101. Settlement or Closing Fee 1102. Abstract or Title Search 1103, Titl~ Examination. 1104. Title Insurance Binder 1105. Document'Pre.paration 1106. Notary Fees 1107. Attorney's Fees to to to L SE I [LEMENT CHARGES ~a~ ( da~ months ~ $ per month months ..~,,~_.~___.__...___per month months SL___.___per month months ~...~,_.L_._~_~oer month months @ $ _._~_~_.~_per month months ..~ $ per month months @ $ per month m°n t.hs $--~L.L.~,.~_..~, month Mette, Evans & Woodside [includes above item numbers: 108. Title__Insurance to South CentralA en Inc. (includes above item numbe~'s~ 102, 1103, 1104 & 1108 109. Lender's Coverage $ PAID FROM BORROWER'S J FUNDS AT 110. Owner's Coverage $ 70,~ 111. 112. 113. 200. GOV M T - DI G ANDTRAN F'ERCHA G 201. Recording Fees: Deed $ 26.00; Mortgage $ ; 202. Ci /Coun Tax/Sram s: Deed 203. State Tax/Stamps: Deed 204. Easement ~_~q. reement to 205. 300. ADDITI NAL E EMENT ARGES 301. Survey, to 302. Pest Inspection to 303. Tax Certification Fee to Deborah A. K_~_pner 304. 305. 700.00~ 700.00; Mortqage Me~e Evans & ~ Releases $ See Loan Sheet %) t00. TOTAL SETTLEMENT CHARGES (Enter on Lines 103, Section J and 502, Section K) signing page I of this statement, the signatories acknowledge receipt of a completed copy of page 2 of this two page statement. ;ertified to be a true copy PAID FROM SELLER'S FUNDS AT SETTLEMENT 28.1 730 728.00 South Central Agency, Inc. --' Settlement Agent ( 01344-1210/01344-1210 / 11 ) Borrower: Seller: Settlement Agent: Place of Settlement: Settlement Date: Property Location: Robert A. Brownewell and Debra L. Brownewell, husband and wife .Richard L. Snyder and John K. Snyder, Death Co-Trustees of South Central Agency, Inc. 717-232-5000 Orrstown Bank, 22 S. Hanoyer Street Carlisle, PA 1.7013 April 8, 2002 259 Horseshoe Road~ Carlisle, Lower Frankford Township Cumberland County, Pennsylvania I have carefully reviewed the HUD-1 Settlement Statement'and to the best of my knowledge and belief, it is a true and accurate statement of all receipts and disbursements made on my account or by me in this transaction. I further certify that I have received a copy of the HUD-1 Settlement Statement. ('~f/)7- ~~ Co-Trustees of the Snyder Revocable Living Trust dated September 8, 1993 · R~o~ A. Brownewell - Debra L. Brownewell - . ' RiChard' L?/Snyder J,~n K. Sny~ler /' To the best of my knowledge, the HUD-1 Settlement Statement which I have prepared is a true and accurate account of the funds which were received and have been or will be disbursed by the undersigned as part of the settlement of this transaction. S0bth ~:entral Agency, Inc~ Settlement Agent .- WARNING: It is a crime to knowingly make false statements to the United States on this or any similar form. Penalties upon conviction can include a fine and imprisonment. For details see: Title 18 U.S. Code Section 1001 and Section 1010. HUD-1 (3-86~ RESPA HR4,'tr~F; ? EXHIBIT G' APPRAISAL' REPORT 280 PINEDAI,F, ROAD CARLISLE, PENNSYLVANIA Diversified Appraisal Services Real Estate Appraisers and Consultants .C~IS~,. PE~S~V~ 17013-3052 (7.17) 249,2758 SUMMARY OF IMPORTANT FAcTS.~AND CONCLUSIONS - ':''. ' .... '"' -"' '"'~ '": -: -" - 280 Pinedale Road carli nns. yl~a '". '" · sle; Pe " ' :."' ._. ':.'i ..: :..' .:"~-'.- ..- .... ..... . _ 2 APPRAISAL cERTIFICATION~ ' ~ · ..'. I herebyceftify that uPon'appliCatio~ for valuation by~ . ·. '..., -. - - THE ESTATE OF PAUL' B..'SNYI)ER gned p~ Wing .... ~" -the tmdersi rsOnailY inspected the:foliO :de§cribedproperty:: -- . ' ; ' - - "ii:-' '' .. 'i "'~.'f - : .' ~i :/' ':' '..::' !'"': '..: . .:mi: those":6ertai~ pielces °r,'P~ceis-0f. lan'd,. ~x~iith the.,improvem0ntSthe~e0,.' :.: :--..' '..~. situate' in L0~er? F~ord' T6~sliip,'}Caihb6riahd .:,Cbunty;~.'~e~sy!~aaia,!:. b6'.~ded · ./':i}: ,/'.:. '- .desCribed asfolI~Ws!-i/;'z".":," : ':"~ :--/': ,'::~ .i: '"i~ ?':" i. ~.-: .-,5 ;;/'-< "' ": :-':.-':' "/ .' .: ."~.!' :, : -'' ;-. }'" .' <'.'.: , -,.. ~... '...,: <.-, · ., ':":. ::'.:;:., . ':~ ~..-..,' ,::.-': :~, '~. ,.~. '.:. :,.,: '.'i,'.~ ~!.':51-:, 'i',/':.'.: ""':"..: '; :'._ .... .,. . .: ~. :., i. :,:'~OSt~rand CharlesMY~rs;-:thenCe bYthe latter,'North3.5.~grees WeSt42:2'~rChei'to' a ? '..' "'.: .!. 'i: .:'. thefiCe by !and now o~foimcrl~of.v, i01a, Rt/sse[ NOrth 72.25- ... '..: :':;'.. ~.:.~. -ash.s~pi.then~ bY!i~d~.n9w ; ,¢: v'.', ;: ':'. ':.::." :EaSt'i'.8,2 PercheS:tb'a.'~9.n-ei: th~rlee'by !~d no~.'oi'fom~ly'of c!arei~} Th:':~. '"'·' ": i" :~' "~legrees' W-(~st;:'l:4}9~:x~:h~si~,the:Piii~e'~f!~e~g:.,,'!~,ofi~dfig`i3..i'a~'~s ' '/.-..:-', :'.-::'.-,~: nOW: ~:f0!merlyofF~:(~ii~on:::~ence.'.fiiong !ands of paul B.',.sn~de;,:.SoU~.'.i,6'&~ees...30: '... '?.::..". ::, :'-': '.' ~nUt~S:'E._ast-a msmce., of ~,,i2~(:5:feet. to'a :pos~ t;;thenCe'B.y,~ the ':sm~; :S°m~ i .i:' de~ee~!'301( ¢,.: ':i -< ..:-, ),..:-. ".., ...: minUtes'!East:, a-'dis~ce:.0~-._[; !i3..75: fe~tt0 ~ ,st6ne}: ~enc~ aI~ng i~ds: ~i~W o~ f0~e~i~-°f A-ii '",- i :... :" :', :'MBck.e..~;:m~ ~2-de~g, Ea~ta<~s~ce. io.f.39~.7:,feet,.t'~ia:si0~¢}-..'~¢nc.'~ by:,th~.-s~e ~d.- '.':::- .: .- .. :. lands, now°rformerlY:ofOeorg¢ ..W:2Cmll;'No~:3~:degree~'-Eastach.~i:e.of285.45.feettoa :": :-.' <' .i- .P°it; thence bY:thc'same.the fOllOVCingE0urse~: and.:di~'~c%;~io'wit: :No~'.I4'degrees'30 · ' '" ..m!nUt~s West a:di's~Ee'?~600, feet, m6re'0rtess;':'~o a'post;}thence-.No~..9,deg~ees"West ~.. -.-, ' _ distance, of 609,'-fee~,:to apost;-thenee N,o..,~r~. :. 10 demeS. 3'0 minute~ West a' diS~b~:0f'285;!4' re'et. '--.. .... to"a rock oak;, thSnceN°rth:29: deg~ees. East a- distan6e-Of:l~2.8 feet:t~, a:hi'C'k6ry; thence'.bl°rth.' .,: . ,. 18.degrees East a-diStanCe Of 1:3:6..9 feet'to'a r°ck' 6~';i'thence.:N~rth 51 demes East a distanse' . of-31'43 feet:t0 a i~O_ int. in-thecenter ofthe-PubliC .road leading ffom:KOa Ta!mery prope~, tO.:- ~_-. Bloservilie; thence by the: center Of the said PUblic road' and lands flow or formerly of:S: __ MoUntz ..... and Frank:Wils6n,N°fth'46 dcgrees:4~.'minUt~S' West' a !distance of 566.i' feet to a Point in.. a private-lane; thence: by-the'center 0fsaidpriVfite'.lane, North9 degrees 30 minutes 'West a distance, of 594feet to a p0imi, thence along lands now of~ f0rmerly of Frank:Wilson, South 71 degrees 30 minUtes West a dis.tan, ce of 655-feet to a stone; thence by the: sine, North 57 degrees West a distancelof 308.55 feet to a'stone; the place of beginning. < Containing 46..9_5 acres, .more or less. Less, however, al! that property conveyed to Jarnes E. Foster, et tm by'deed recorded in Deed Bo0k Z, Volume 22, Page 376,. and all that property'conveYed to-David W:'Duerr, ei ux. ' by deedrecorded iii Deed BoOk L,.'¥0iume 28~ Page 234, C'umbefian8 County· reC'ords- ,- .'- ' .' ~T i~iO1 3:' Beginning ata railroad, spike in the centerline-Of To'wnship Roiid No.. T,455 on the:line of lands noWOr ~formerly of Paul B. Snyder; .thenCe' along' ~he latter and land ' -:- nOW0r, i~ormerlY°fjam~s E. Foster, Norih 02 de~ees:59 m'inutes~00 seconds .W~st;a dist~c~~ · ~: ': ' .' 0f664:10 feet ~o ~'ffon pin; thence South73.de~ees 45 .minutes 32.' sec0nds. East, a distance '~-" :'-..'., . 23,63. feet 'to anir°n pin at a poSt:on -,the ·line. of land' n°W6r'f°rmerl~ of D~vid :.W':: Duei:r;;..~:' · :~ ' ~'/'.:;'..ihence along the latter~' s°uth02 demes'i.:l9 ~nfites,06 secOndS E~-a;-dis~nee:of 6i50'~16 fe~,~'",~ ~ - :' -~' ..:':-.? .toa ira/lr'oadsP~,e'in ihe-'eenterlin~ bf'~d: ToUsle:p'R0adithenc'e alOng"~e'latt~i;,~N0rth'7dj:~ 'i .5' '. :.:. i. ' ':,~lemeS-54r6i~e~ '57sec°nds.west~a :distan6e °f':lS.3'!:.feet't0 a ~lrbad.~Pik~?he' pta~e6f :..!.. :",-: ", ." .,beginnifi~." :c0ntaifi'/ng::i2815,aCies/'. ? }'. ,'. ,:. :: '" 4': ;'.' '".:-'" ~::'i.-,'" '?-." '.;'i:. '!-':(' :'i(: ':.?"i:.*.' .' :i:'.":' ii'~!?-: ':':~.:.. .'~-,.:::';'".i. :' '-,:.:.and eo~e~-and: ~t. ne!,.the[~ the iemPl,O, yment.:'.tq: ~e. ~.~.','S: appraisa!. 'nOr th~..~om~nmti°n -~i,...::..~..-., ~'., '. Co~tingem' Upon ithe: galue'reported,' and. that in my::})Pinibn tlie :M~gl~e[¥alu~ 4 · PURPOSE 'OF- TI~E -APPRAISAL The-pUrpOse of)his appraisal is' to estimate the Market.Value of the Subject'proPe/-ty~a§ of January 12; 2002. . . ":' _. Market Value,' as., defined by toe'.c0urts, is the mOSt Probable p~ce eStimated'/n terms of- ' : moneY which~a propeitywi!l'bring.'ff exposed ::fOr" Sale .in' the: o~en:-market;~.all6-W/n~.-a <-:....' :' :-f6aSo~aable..:t'nnefind~g a purchaser Who: b~y"S W/th kn'.Owledg~;:;6f.al!:,the,_·~e~ {oiwtfi~h .it is::, .. - ' .,:-adapted and for Which:it iS capable Of being u~ed:., ."~.). : ' '-:", !.,: . ::.-..: .::', ~: :!':-: .'..' ~ _ '.: :.." ;-<...:<,.::!:,~?..'.< .i,:!<: .,":::. -_'5'~':.', - :..< ... . .-,'" ''.r.:'' '~ mG i~"i~EST:' ':, ,;: .: :-..:.:: ?('-'.' / UsctO .~ch<..fl!e,. ,pml~. ~r~:iS adapted '~d~n. eedeg;,or.iik~!~-,,to b~ ~...~t~and~ -? :, ~:" <'~. , ?,nearfuture:'-'-' ','" ........ :.""- ' ' :' ..."< ';' )'7...i'.;'; ,:<? "":::.. ") ', '--'::: --":?,;. :"-": .... ':,/":·.;: '<':' ..' '- ":'"!::: :~/. ; :,-,':!.. ':..' ". PrObable. ShOuIdbe excluded, frOmconsid&afion.:, ~so;::jf ~.',i'flt~hdCd:uSe.' iS::d~l~erident ~)n an,..: :,;-:.;"' :i ;.: ' ":/fM~.ertain' actor ~other.~on,. ~e"jntenti6n; ~an."Ppt:'..be:consid~ea.`' :.- . . SITE DATA '-· ~o~ P/nedal~'ROad ADDRESS: · ' : -' TO~s~i ,. .. .:.. ,~ .' ,,. : ..: ~ -;' 7 i'-":}-._ COUNTY: ,Cumberland :,:- . :. -( :.'.-: .. -- .... ' ' ...."' re~n~y~ "': :.':. :,'.....; : ' <-- STATE:':!.':i.~ .'." ;., '5 ~ ~''" ~:' ' ..... .- : ~..;~: :i'(j .- ,- . ..... _ ..,: ....,,., .- .::.,:,,.._ ...; ..- ., .: - . . . .. · '-"-:"-'' -'- ' ,-;-. - · . . :. .~:. ,:.: ~ ~ . ,-_. : _ ., . . ,, .~. : '..' . ~ :' ,. .. ~ .'., . ~ ' "Roof:' "' Slate "-:' - 6 INTERIOR, PRINCIPAL ROOMS.: Flooring: · _ carpet, hardwoo, d .and vinyl. ~ · Walls:i Pl~ter · ' Ceilings: : Plaster: ' :.. Trim: WOod, painte& Kt "Cabinets.: ~:Wo0d, stained"~d ~armshed. ~ , ,coUnters: ~ Formica -- -'- ~- · ' . ~ , .~. 'Wails: i' .PiaSter,~painted. i?:':' '-..' - . " - FloOring:~i! ....... (~ .'?;. .... .'.:... '-Sink:' : . ' '-~" i i'.' :: ': .' , Floo :: '. ¢. .~ . :"-:' "~i' ~-' - :_ ' ' ,' ,~ ' : i(. .: !--:.:: , _" ~allS:.:~..: _ :,'::.¥1~Yi-elad;panei~g. ,' ' :':: '-' ~ '.: :': ".-~ .i '.--!.' ~ :. ', :Bathtub:' :::, .-"::' B~lt'ii~'-with ..... LavatOry Vanity ..... _ ., · - . ..... . .' ';:-~ .: --..' ,', watei~i616set:.::TWo .,: -. '- - '' "':'.....: ~ ". ;"-,i.' · · ' - ' '- ' ',,: :.;:i :.~ .-:i ' Medicin~'-'cab/n~fi-': .... ~;gaiizmounte~l. ' ;"i;'i -i'-: :-/" i '" -' ' ..... ' ...... , '~ ':' ' ' ·- - .. '.. _, , .... -.- .... ,. , ,: ::- ,':'i %SST~U {Si;:: ~o0 '" ..... ,.-.. :';': ii. CTION:':',J,o ':d:': ' · ,:; -';-'.~ ..'.. ,.:: ::' :'C: :~':'" "' ;'!'.'::J;':: Be~:'. ~:,.·.;":'~: :~'W~d"':::,-':'": "'";'" · . _ -:. ?: .. ,...., . .. Coitima~: :',i- '",,Wood' .:i',: ::' ::", _ .~, ... Oil~fired!:forced_hot'air' :: i : .,..:,~.:-..~ -' ~,' ~"~. ,' '":" "~" ' '- r.,'' '- - ' .... - '::':f'.:' '.-. ...... -:' ~-:-H6T'~?' '.:.~~:" ;" :~,'!.'.: .: ;..~l~ctri~;;:,S~all°~;:, ::::, :.'~ ,' i,.,:: .. :;'". '., ~ -.-,.. :_-...: ~ .- ....,, ~. , ,'..,.!' _ ,?: , ':'. ;': .. .'- ::'.'.~ '",-:,lO'Ri::. :.-'" :.' "'~'i'-.:,kmeiS~:~tO~;~l~~n -. .... - -. :i~sS~el~at~d°naSmall ~ionOfas pro~::. --:': ~:, ':--') ' '""'-' ': "" '"' '-': ' "-':- "'. - :..,~ .... . ~. . ~ . . -.. - . _ . . :. '.... ~-.,':: ~., ',~ . .. 7 SALES COMPARISON APPROACH " In arriving at this conclusion of the value °fthe subject property, the a'Ppraisermade a Survey' of proPerties that-have Sold in the area of the subject'property.,~ · : ' .iConsideration-Was given, and adjustments' were made'on each comparal~!e sale asto time 'of s~le, 'size, lo.cafi0n, las :W~!l .as'all 9fherfac, tors 'that mightaff~ct Value::': ~ .res~e'.°f' .~.' .Sale price:.. ,:.i $400}000' bmU'dings i d°n.: · .Date.of Sale:i: October:12; 2001: -- :- - Buildings:. i,730' Square.foot frame dwe!I~i:ng.built in :1'88 i~'in average condition;' gamge,'2bams.~, WagOn.'shedandriding ring.in good cO'ndition: --' unit:Price:· ' $3,3'13'per acre. . "' .... _ The appraiser,' in additi°nio the sales listed,..alSo considered several- additional saIes..in arriving.at his 'final' opinion'Of value. On the' Sales ComparisonAnalysiS form that follows this page are dollar .adjustments. reflecting 'market 'reaction to. tho.s.e_ items' of signfficant variation between the 'subject and comparable-properties. If a significant item in. the comparable property is superior to, or more favorable than, the- subject property, a minus (-) adjustment is made, thus reducing the ·indicated value of the SUbject';- ifa significantitem in the comparable is .8 inferior to, 'or less favorable-than,' the' subject prOperty, a plus (+) adjustment: is' made,'thus'- ~' "' increasing the indicated Value of the SubjeCt. . ~..-..... :.: · ~ ' 'After making all..of the'necessary adjustments, .it is 'the appraiSer's ¢0nsidered~oPinion: i .... that' the indicated ~)aiUe. of'the subject ProPerty by th~ Sales: ComP~soii APProaCh is$507,000. -' :' ''"" SALES ADJUSTMENTS The appraiser'has analyzed comparable. sales and has develoPed'doth/r adjustments, /' reflectingmlrket reacti0n'to those items of signifiCantVafiati0n b~t~a/een the subject and .'- -. c.omparableproPerties.-Ifa si~fieant itemin the ~O~nParablePrope~issuPefior:~to;ior:more favoi, able than' the gubject.propeily, a~minus' (0 a'djusi/nent ism~de, 'thhS'reducifig!the:'ind~cated value of the'subject: Ifa SignifiCant-item.in the ComparableiS inferior t0; br 1ess favbrable~than:! ...fiie"subj~ct Pr°l~rty,: a i51us, (4-).':adjUstment 'is,lmad~; :~ius inCmasing?th~':ii~diciiiedi'ValUe'~:6f the;. :' ,'5'.'-:..'! 'Nei AdjUi~ht'.i" /'- ;':. ". .'- r"":'i:'' 'i'': :~'' ':' 55':(':7';~i;~;}~1'72;100:"''':':'4'i86,600':':''''':' 5' /:"" 'i_ :Indicat~tt:~alue i~i~ Subje~':-:.... :.'' :.-:~'.-.. ? :.:::~$572;.100'".. ~' '.$636,i~00 : ? ';$506~8~)0': '. ~/7' ' -' : · ' . ' ':_, 'i" '/ , .- : - ~ ...... ._~ .:.- : ~. : -' ' CORRELATION -- ~ ' "'" ' ' correlation may be defined as~ the bringing together of ~arts:in.a properrelatiOnshiP.'"' '~ ~' ' The' p.arts of this'appraiSal'rep0rt are..the fo!long'approacheS to' value yOur appraiser.USed: .... : ~::~".". ' ':':.' i ': ' "i.: . :'i-:. i. · :;' i';'~'":,: '-": i"".~ ~'. value Indicated by'Cos~ Aider°ach :" .... N:A: . .' '- ~ .... Value IndiCated by Sales Comparis0n-APProa6h'.. . ~ _' ii-':'-'_i.:va!ue.Indicated by InCome ApProach .:'~-..i . · ·: '.-'~ :,?..:.~ ~'i' :' ..-' . ": :?':':.i ': :.: i.~''~_ ..?....- -. · :.· ~. '~;i:,.. :..'.:.?:~ ~.. ~'.-)~,. /':. ..i..._:'.'~.i'. -..,'..:.. 'i' , i.~. i' i:.:': ' ?" :~:' .. 'i. :;', i: i:".:i-: _These.apptO~h~-s.a~e.repr¢~ntati;~e.'O~ithe .market Val~e '~ '7'~.:.:.' :"/:'. ? ~e'i~de .~ftyPi'caI purcha'se~_S °f:thjS ~iSfdpertY:in:thiS'neighb°rh,°od:.};I{ - -. ::; 3. -:: :; ~: Thei.,COst: APi~rOa~h :Will. ~fesult :in.''an: ·'excellent' e~mate.',if an elements 'are'..fi~¢d. '.." .i' ~::i ;'.. ab6firately ;: beCauSe h'° ::pmde fi't: PerSon :Mii".pay : ::: ':'. :: ;'-. '!' i~ieal "of:the :i:isUbj'e~t. p~01~rtY-'.~..~r: i~0re~·::e0ii~6mecl-'With~'-km, enffigs': t!/an: ~ifi:::h~thet/cfl.'7 ' : .' ':' ....'.:i..,..:~iaeemm:6fthe. ~r0~.": The. Cos~'Approa~h:'iS m.'c0rm.'mred, t0:"~':iiPplj:Ciible; · --., ..-: .. . . . · .:, ~., . .,. -. . .' '5' ....:.: .'.: ~ i}.'i '};~ ~:'.'...'-.Th~}Sales: Comisarilon'Appr0ach w~based 0nt.s.'6.veral'}ecent :sides.6.f:pro~rti:es : - ..::.:_ ..: i.:i~fl~6~.:th~:reaeiio~.6f~ie'i~l buyer~: ~d:.s~iler~.in:the.:market: '}.'!:.'' "~ "' ".ii5}i:: :'ghe:.Ih66rri~'Appr°ach is avery goodindiCat°r~af:hid~eti-~hiue}:,~hed,·'a~ii~fi':iO:'in~me .5. i''~'::.I,. :p~.6.duc'ffig"~°perties~;~611 ~is h0t~l~s}-}ii~'nil.buil~flgsbr:oth;r_~0ifi'mer~iai ~iSerti'e~;'since 5. :.."~ :-',. '::-.pr~ffies similar.'~0 th'.e subjee~-are.usUailynOt P~c~ed..for their g~nsm~0n'of~asli'.fl~' - '".. · ::.: "thisaPPr0achto Value'i~.nOt: c6nSidei¢,d't0' be'relevant2 7: '.':"' ~:' )',..::.:'.Th~efo~e~' aS:a result°flthis~apPrai'sal and:. analysiS,.-ii ": '-J}fidgrnent and~op(nion'that ~e:~kei '~i~u~:0f'~e sUbj~t-Prgperty?s°fTS~'~ i21 200i,.iS:' :' ,-. - ' -- .:nW.'mJNDR D AND 'S VEN T OUSAND DO ARS . ... : .~,. _... .... $5671060..--'." ! 1 sole risk~ of the, third'party. based 6n this rep0rt~ , .-. UNDERLYING AssuMPTIONS AND LIMITING .- ..... . CONnmONS StmJECT TO TmS-'APeRAISAL , . "" ' . ' 1.'-.. ! assume no responsibility fo~ matters iegalin nature, nor do,I rendergn~i0Pini0n ~ to- .: ~: '~ ':' ' the tifle~ ,whiCh is assUmed tO be marketable:: 'Th~-Pmpeix'y is appraised as though' Under '. "" :'' - ,PreParation ofthis:report. .AnF ~ise of: this-apprfiiaal: by: any oth~ri~r~0n.oi :enti¢i:.6~ . '" -, : . 'any: reliance' or.deci~ions, based 'tn .this appraisal:are ihe 'soie'?es~nSibiii~:.~d;.atAhe. The appraiser accepts :no::respg. n~ibility: free-:damages ' suffered by ,any thir' d party as a result of:relianCe on-0r decisions'made Or afitions taken,i: 12 cERTIfICATE OF APPI~I,~AL '~ ' -~" 1.' 'Thb. Statemenis offact eon~ned'in this report are.tree and corr%t. .i ~ .......... 2. The-i'epo~ed !analyses,_opiifionS,. 'and COnclUSions are. limited only.b~ the.:r6P°r{~d- ' ,' -?. 'i · ' assumI~ti0~.:iand(I~ting:60ndition~;. and; hre my,.persbnai;"'imp.~iai; "and un"biased:..i' ,'~ i' 'i, .::'- profes~iaal:an~ies;°i/ini°i/.~; and ~:onciuSi0xis..'. --i':' :': -.::~ :: ''~ ::' '::':.' ;:'...~ i'i :i-'..'~_i . 8.; TUS:-ap~rai;~ iema set~: fo~. an of.m-l~fing con'rio my ~si~ent of bY ~e: ~dersi~ed). affec~g ,~e '~yges; ::offmons;i~d,cogClUsions ' ' ' '". Pr0fesSiond: Appraisal,-~Pracfice'.~adopted-' by~ ~e-:~AP~asal.. smd~ds: ~ . Appmim! Fo~afi°n,'.~dj- iS 'S~ject to-~e req~rem~'0f ~e C°de, 0f Profession~ -~ - E~cS ~d S~d~ds. of'~ofeSsional: Conduct of.~e Naional ~so6iafionOf'Redtor~ '}' ' - 13 10. N° one' other th~ the unders, igned prepared, the analyses,.cOnclusions, and opinions concerning real. e~tate'that.are,set forth in this appraisal report.- .... LarryE. FOOte :, 14 EXPERIENCE: 1979-Present: LARRY :'E, FOOTE REAL. ESTATE APPRAISER Chief ApPrm.'ser; Divergified APPraisal s~CesilC~IiSl~}' pa. Principal Br6ker, LaRue DcVelopmeilt*Q01npany;'carlisle,. pa. -~ ~ · · · :'.. '1976-1979:_ 'Associate Broker,- Colonial Realty,'Cai:li~le~Pa~...::",~'. :.- :' ~'- .. ~. --'" ' I'' i'. ':: ' (. .... ?' '. ~.~.: ?'!': 'i972:1976:' .Realt°i. ASsoaate,Jack0au~engeiiitor'':carlis!i,-Pa'.'::-f~.' .;~-: i ::::. '; ~i'..:-,:"i'.' ,i :_-.. '..:: · - ': ..'-i'~'' . A~Pr~-'s~l eXPerien~ inc!uded und~el0ped !~cl,' far~s;bm--'ldin~' 1.-'°iS~'ging!~f~iy!~we~gs~..~i°..bile ' '. ,'. '.: .: ' -}'.',' '~' i' . b.~gs;.?serviCe stati0ns,-v~erin .ayyc~cs :,- .... ' .:Wareh0imes,'and manufacturing fadilifi~s.' -. - '.. . 7' 'EDUCATION: ' '.'' '-'5-. ':A,~'-<.:' < .::-.';:.'' .-,&:'! ".: ,:,'." A'.'~;'. '..,...;5_ .' . :.......: ..-~: ".-.'. :- ' :" i""i' '.:'::f. '. :.}::-: ,':' '.:'B'~tiel°rO~'BUs/n~S.A~strafio~' Po~SYl~a:'~:Oni'¥e~ity};i976.7~':i '.-. :' .':f":..:':.':'- }::.:.: "..i ¥.-' :.:i ': },.: · . ':' ::.:' :." ':-':- :. '-i" ::.": A~ate~Ba~h.e!gr 0fB~s.'Arl~{ni.~'..ti0~ ;.... '::. <. , -: :..:: : ;'.,"..'College, :1974.: .: !". ? ..' ":.',..' (,_":'-:..' Dipl0m4'Car~sle. S~6~:Hig~ S'%o~)['ii965,'. j=, :.-.'.,:i ;~::'!::f:' i,'(::'i:.~:._..~...;?I :: .~":' '. '..' ....::;:.!/: <''' '.. :":"'.':. :' .? .< .: ' .: ':"-'~ -:'.!: ._' '"~.-'.'.'.'.":: 'i ..':' CI: ~0~:,-.' .,'.:, '..':" .-' '.:' :"'-: i '-::' ':' `Re9~`~E`stateApp~a~sa~.`.Pxin~ip~es~..~.e~ifcim:~t~t~:~.F:Rea~:~s¢te~Appra~se~ ' :..-' .' .' ." ':. _Residential yalUati0n, American'!nsfitiite0fReal E~tate'APiS~SerS?!i, "!'_ 5,: '~ :. ':--.'!: "?...!.PriiiqiP!e~-ofIn~ome',Pr0p~, ':':'"" i':, :':i .". '.i .C~eStudiesiaReal.E~:¥aluatisn,,.APlaai'.ml_. :~mt~i. : ": ? :. '.: -'.. ~::. "i.Repo~t Writing'and Yaluation!'Ag,'alys'is,':AP~aisal'hffitUte?' - . -: ' ' '-" : Real· Estate Broker#RB-029729=A, COfi~/hbnw~althof'p~lva~i~ :: '.,!- ' ..... · ' ' ' ..... ' ' '"'- '-": "' ':. ':""'" ":i' :: :" :' '.'::f:': '?:'.:::' ./--:., '."..::' .'... "..... i. ' _. :.' '"" ' ": ." '- ':' :: PROFEs$IONAL'-I)ESIGNATION~: ,' .: ' ,--..C .: .. ':_'.i" .', '....: 'ii '."'::.-' 7'..~:.' '!'-:' "- varfi.'a'Association- Of Realtors, --_ CRS: certifiixt ReSidenti~ Spe6iaiist, awarded by'the Realtors..N~onal'Market,-.i i i'.<. - ' ' ' ing ImfitU(e.of the National, A. ss6Ciati0n'ofReal~rs:'.- ..~ . cCIM: CertifiedCOmmerciallnvesmiemMember,.aw'ardedbytheRealtOrs ~_ NatiOnal Marketing institute oftheNhonal: Associati6/i' 0fRealto~s. - ........ PROFESSIONAL ORGANIZATION .AFFILIATIONS: National-AsSociation of Realtors-Appraisal Section. Carlisle 'Assocqafion of Realtors. -- - Pennsylvania Association-of Realtors. .National Association of Realtors. Realtors National.Marketing Institute. 15 'pAST CLIENTS: Borough 0f Carlisle : Keystone FinanciaI Mortgage ' " - p~nn~l.v, ania State Bank - - : - CUmberland-Perry A~s0ciati0n for Retarded Citizens'' .- Ca~lisleSUburban Authority - _ . . . -"' ' ,:Di~n~n, COllege''-.' .' '.. 'i":-'- ,. -,- ' · .. 7 .'.-~,!-:' - '.....:,'. '. ~: :'.'. :,.!.: ,~ -....:.: ..... , ,.,. . ' PPG-tndfistrieS, gc6rpOrated - ' ,' .., . . ..,,,. .... ,.........,- . . -,.--,,- .- -: ...... .,... '- '(',: ';,.'i ,;.GettysbUrg College -' '. -: '/: :, ::~::'" 'i "!" '.' -" ::-" ": ' -.',-". ' -'" · ,.. ~ "~ ,:.Red~vei~i~ment. AUthority 1OfCumberland County::' .. -:". - RecOrd Data Appralsal;ServiceS;-in~6.rP0~rated .... ;,:. , -.., '" :'" ":'.. ':, i- '. ;' ,: ./.' ' ", -.--FUlton:Bank' .., _ . Uni ,States'Mmhan Serdce" OMAC'Mortgag~ cOrporatiOn. orrgtown Bank 'LetterkenUy Federal Credit -Union -BancPlusMortgage Corporation 'Coldwell Banker. RelocatiOn. Services, Incorporated ~Central pennsYlvania Siftings Bank Mellon Bank Provident Home Mortgage corpOration various law. firms, and individuals r~o~o~,~s og ~m~ sv~j~cx m~,aOwM~rs l? PHOTOGRAPHS OF THE SUBJECT~ IMPROVEMENTI 1'8 April 8, 2002 Mary C. Lewis Reffister of Wills Cumberland County C~lisle, Penn~lv~a = ,~ ~ ..... Re: Es~te of Ma~ Snyder - SSff 20~3~9~2 - DOD ~t13/~ gs~te of Paul Snyder - ~ 209-28~074 - ~D 1/12t02 D~ Ma. I ~ enclosing here~th a check in ~a~ent of Pe~sylv~ia I~i~e ~x R~u~s or. the a~ve two ~tate8 ~ follows: s.) $2!650.00 - M~ Snyder Es~:~ b.) $34,~00.~ - Paul Snyder Es~te made pa~ble to Regist~ ~ ~ills, AgenL These estates are being administ~cd trader their revocable living trusts and no Probate will be tllecL We intend to file the Inheritance Tax Returns as soon as the valuations are complete, Thank you for your cooperation. JJS:neh cc: Lisa Greuson Jotm Snyder Richard Snyder Sincerely yours, instein, Schneider, Knnnebeeker & Lokutn COMMONWEALTH OF PENNSYLVANIA DEPARTMENT OF REVENUE BUREAU OFINDIVlDUALTAXES DEPT. 280601 HARRISBURG, PA 17128-0601 RECEIVED FROM: PENNSYLVANIA INHERITANCE AND ESTATE TAX OFFICIAL RECEIPT NO. REV-1162 EX(11-96) CD 001052 WEINSTEIN SCHNEIDER ETAL C/O JOHN J SCHNEIDER 104 WEST HIGH STREET MILFORD, PA 18337 ........ fold ESTATE INFORMATION: SSN: 209-28-8074 FILE NUMBER: 2102-0368 DECEDENT NAME: SNYDER PAUL B DATE OF PAYMENT: 04/10/2002 POSTMARK DATE: 00/00/0000 COUNTY: CUMBERLAND DATE OF DEATH: 01/12/2002 ACN ASSESSMENT CONTROL NUMBER AMOUNT 101 $34,200.00 REMARKS: JOHN K SNYDER C/O JOHN J SCHNEIDER TOTAL AMOUNT PAID: $34,200.00 SEAL CHECK//4408 INITIALS: SK RECEIVED BY: MARY C. LEWIS REGISTER OF WILLS REGISTER OF WILLS BUREAU OF INDIVIDUAL TAXES ZNHERTTANCE TAX DTVTSTON DEPT. 280601 HARRTSBURGt PA 17118-0601 COMMONWEALTH OF PENNSYLVANIA DEPARTHENT OF REVENUE NOTICE OF INHERITANCE TAX APPRAZSEHENT, ALLO#ANCE OR DZSALLO#ANCE OF DEDUCTIONS AND ASSESSMENT OF TAX REV-I;d7 EX AFP (01-05) DUKE SCHNEIDER ESQ MACELREE HARVEY 17 W MINER ST WEST CHESTER PA 19381 DATE 05-03-Z004 ESTATE OF SNYDER DATE OF DEATH 01-12-2002 FILE NUHBER 11 01-0368 COUNTY CUMBERLAND ACN 101 Amount Remitted PAUL B HAKE CHECK PAYABLE AND REHIT PAYMENT TO: REGISTER OF WILLS CUHBERLAND CO COURT HOUSE CARLISLE, PA 17013 CUT ALONG THIS LINE I~ RETAIN LOWER PORTION FOR YOUR RECORDS ~ REV-1547 EX AFP [01-03) NOTICE OF INHERITANCE TAX APPRAZSEHENT, ALLOWANCE OR DZSALLOWANCE OF DEDUCTIONS AND ASSESSHENT OF TAX ESTATE OF SNYDER PAUL B FZLE NO. 21 02-0368 ACN 101 DATE 05-03-2004 TAX RETURN ~/AS: (X) ACCEPTED AS F/LED ( ) CHANGED RESERVATZON CONCERNING FUTURE INTEREST - SEE REVERSE APPRAISED VALUE OF RETURN BASED ON: ORIGINAL RETURN 1. Ram1 Estate (Schedule A) (1) 2. Stocks and Bonds (Schedule B) (2) 3. Closely Held Stock/Partnership Interest (Schedule C) (3) i. Mortgages/Notes Receivable (Schedule D) (1) 5. Cash/Bank Deposits/Misc. Personal Property (Schedule E) (5) 6. Jointly Offned Property (Schedule F) (6) 7. Transfers (Schedule G) (7) 8. Total Assets APPROVED DEDUCTIONS AND EXEMPTIONS: 9. Funeral Expenses/Ada. Costs~Hist. Expenses (Schedule H) (9) 10. Debts/Hortgage Liabilities/Liens (Schedule Z) (10) 11. Total Deductions 12. Not Value of Tax Return O0 O0 O0 O0 NOTE: To insure proper O0 credit to your account, O0 suba/t ~ha upper portion of this fora frith your tax payment. 734~285.65 (8) 734,285.65 30,206.69 13. NOTE: 21~530.06 (11) 51.7t6.75 (12) 682,548.90 Charitable/Governmental Bequests; Non-elected 9115 Trusts (Schedule J) (13) . O0 Nat Value of Estate Subject to Tax (Ii) 682,548.90 If an assessment was issued previously, lines 14, 15 and/or 16, 17, 18 and 19 w111 reflect fLgures that include the total of ALL returns assessed to date. ASSESSHENT OF TAX: 15. Amount of Line Ii at Spousal rata 16. Aaount of Line li taxable at Lineal/Class A rata 17. Aaount of Line li at Sibling rata 18. Aaount of Line li taxable at Collateral/Class B rata 19. Princi)al Tax Due TAX CREDITS ~PAYMENT RECE/PT DISCOUNT DATE NUMBER INTEREST/PEN PAID (-) 04-10-2002 CD001052 1,535.74 . O0 x O0 = . O0 682,548.90 x 045= 30,714.70 . O0 x 1Z = . O0 · 00 x 15 = . O0 ---~ ~ (19)= 30,714.70 A,OU,T ~^'rD ~ 34,z00.0 IF PAID AFTER DATE INDICATED, SEE REVERSE FOR CALCULATION OF ADDZTZONAL ZNTEREST. (15) (16) (17) (18) TOTAL TAX .CREDIT ~ BALANCE OF T'~AX DUEF. "::5,021.04CR INTEREST AI~D' PEN. / TOTAL DUE ! 5,021.04CR ( IF TOTAL DUE TS LESS THAN $1., NO PAYMENT IS REQUIRED. IF TOTAL DUE ZS REFLECTED AS A 'CREDIT' (CR), YOU HAY BE DUE A REFUND. SEE REVERSE S/DE OF THIS FORH FOR ~NSTRUCTZONS.) BUREAU OF INDIVIDUAL TAXES INHERITANCE TAX DTVISION DEPT. Z80601 HARRISBURG, PA 171Z8-0601 COHHONNEALTH OF PENNSYLVANIA DEPARTNENT OF REVENUE INHERITANCE TAX STATEHENT OF ACCOUNT DUKE SCHNEIDER ESQ MACELREE HARVEY 17 N M/HER ST NEST CHESTER PA 1938! DATE ESTATE OF SNYDER DATE OF DEATH 01-12-2002 FILE NUHBER 21 0Z-0368 COUNTY CUHBERLAND ACN 10! Amoun.t Remi.t.ted PAUL HAKE CHECK PAYABLE AND REHZT PAYNENT TO: REG]'STER OF NTLLS CUHBERLAND CO COURT HOUSE CARLTSLE, PA 17015 NOTE: To insure proper credJ..t .to your accoun.t, submi.t 'the upper por'l:J, on of 'this form t~i'th your 'tax paymen't. CUT ALONG TH'rS LTNE I~- RETATN LONER PORTI'ON FOR YOUR RECORBS REV-1607 EX AFP (01-03) ~ INHERITANCE TAX STATEHENT OF ACCOUNT ESTATE OF SNYDER PAUL B FILE NO. Z1 02-0568 ACN 101 DATE 06-01-ZO0r* THIS STATEHENT TS PROV/DED TO ADV'rSE OF THE CURRENT STATUS OF THE STATED ACN IN THE NANED ESTATE. SHONN BELON 'rs A SUNNARY OF THE PRINCIPAL TAX DUE, APPL'rCATTON OF ALL PAYNENTS, THE CURRENT BALANCE, AND, IF APPLTCABLE, A PROJECTED 'rNTEREST FIGURE. DATE OF LAST ASSESSHENT OR RECORD ADJUSTHENT: Or*-26-ZOOr* PRINCIPAL TAX DUE: ........................................................................................................................................................................................................................... PAYHENTS (TAX CREDITS)= 30,71r*.70 PAYHENT RECEIPT DISCOUNT (+) DATE NUN~ER INTEREST/PEN PAID (-) ANOUNT PAID Or*-lO-ZO02 05-1Z-ZOOr* CDOO!O5Z REFUND IF PAID AFTER TH'rS DATE, SEE REVERSE SIDE FOR CALCULATION OF ADD'rTIONAL INTEREST. 'rF TOTAL DUE 'rS LESS THAN $1, NO PAYNENT IS REQU'rRED. 'rF TOTAL DUE IS REFLECTED AS A "CREDIT" (CR), 1,535.7r* .00 5,021. Or,- TOTAL TAX CREDZT 30,71r*.70 BALANCE OF TAX DUE .00 INTEREST AND PEN. .00 TOTAL DUE .00 YOU NAY BE DUE A REFUND. SEE REVERSE S'rDE OF TH'rS FORN FOR INSTRUCTIONS. )