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HomeMy WebLinkAbout04-0592& S INON LLP Yvonne R. Durham Phone (717) 231-6677 Fax (717) 232-1459 ydurham~rhoads-sinon.com F1LE NO: 8891/01 June 22,2004 Re: Ms. Glenda Famer-Strasbaugh Register of Wills Cumberland County Courthouse 1 Courthouse Square Carlisle, PA 17013 Meyers Knight Livine Trust Dear Ms. Strausbaug: Enclosed are the following in connection with the above-captioned Estate: 1. Pennsylvania Inheritance Tax Return, in duplicate, showing tax due. 2. Check in the sum of $18,192.63 in payment of the balance of tax due. 3. Check in the sum of $15.00 in payment of your filing fees for the Return. A copy of this letter, with the first page of Return attached, which we ask that you time stamp and return to our messenger. Enclosure cc: Ms. Barbara K. Gerber, Trustee Very truly yours, RHOADS & S1NON LLP By: Y~ofme R. Durham ,Legal Assistant 522554.1 Rhoads & Sinon LLP · Attorneys at Law · Twelfth Floor ° One South Market Square ° P.O. Box 1146 Harrisburg, PA 17108-1146 · ph (717) 233-5731 ° fx (717) 232-1q59 · www. rhoads-sinon.com COMMONWEALTH OF PENNSYLVANIA DEPARTMENT OF REVENUE BUREAU OF INDIVIDUAL TAXES DEPT. 280601 HARRISBURG, PA 17128-0601 RECEIVED FROM: PENNSYLVANIA INHERITANCE AND ESTATE TAX OFFICIAL RECEIPT NO. REV-1162 EX(11-96) CD 004078 SMITH STANLEY A P O BOX 1146 HARRISBURG, PA 17108-1146 ........ fold ESTATE INFORMATION: SSN: 198-05-0307 FILE NUMBER: 2104-0592 DECEDENT NAME: MYERS KNIGHT W DATE OF PAYMENT: 06/23/2004 POSTMARK DATE: 06/22/2004 COUNTY: CUMBERLAND DATE OF DEATH: 03/25/2004 ACN ASSESSMENT CONTROL NUMBER AMOUNT 101 $18,192.63 TOTAL AMOUNT PAID: $18,192.63 REMARKS: SEAL CHECK# 104 INITIALS: JA RECEIVED BY' GLENDA FARNER STRASBAUGH REGISTER OF WILLS REGISTER OF WILLS REV.~500 F_X (6-00) COMMONWEALTH OF PENNSYLVANIA DEPARTMENT OF REVENUE DEPT. 280601 ~OOI Z HARRISBURG, PA 17128-0601 REV-1500 INHERITANCE TAX RETURN RESIDENT DECEDENT DECEDENTS NAME (LAST, FIRST, AND MIDDLE iNITIAL) Knight Myers OFF~CIAL USE ONLY FILE NUMBER ZL -o4 _Sq_ COUNTY CODE YEAR NUMBER SOCIAL SECURITY NUMBER 198-05-0307 W DATE OF DEATH (MM-DO-YEAR) DATE OF BIRTH (MM-OD-YEAR) THIS RETURN MUST BE FILED IN DUPLICATE WITH THE 3/25/2004 8/4/1909 REGISTER OF WILLS (IF APPLICABLE) SURVIVING SPOUSE'S NAME (LAST, FIRST, AND MIDDLE INITIAL) SOCIAL SECURITY NUMBER ~-~ 1 Original Return E~] 4. Limited Estate ~ ~7~]"ec]-ed enn~l~e d ]~)e~t~)(~t~a c~c opy o~' Will) ~ 9. Litigation Proceeds Received [~ 2. Supplemental Return ['~ 3. Remainder Return (dale of deam onor Io 12-13-82) [--"~ 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 Trust) t 8. Total Number of Safe Deposit Boxes [~ 10. Spousal Poverty Credit (~at. o~ ~eam ~,~w,,. u-3~-9~ am ~-~-gS) [~] 11. Election to tax under Sec. 9113(A)!~,~ac~ sc.o> THIS SECTION MUST BE COMPLETED. ALL CORRESPONDENCE AND CONFIDENTIAL TAX INFORMATION SHOULD BE DIRECTED TO: NAME Stanley A. Smith FIRM NAME (If Applicable) Rhoads & Sinon LLP TELEPHONE NUMBER 717 -233-5731 COMPLETE MAILING ADDRESS One S. Market Square, P.O. Harrisburg, PA 17108-1146 Box 1146 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) (6) [~ Separate Billing Requested 7. Inter-Vivos Transfers & Miscellaneous Non-Pro/Date 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 (Sd~e,:lulel) (10) 11. Total Deductions (total Lines 9 & 10) 12. Nat Value of Estate (Line 8 minus Line 11) 13. Charitable and Governmental Bequests/Sec 9113 Trusts far which an election to tax has not been made (Schedule J) --0'. O0 0.00 0.00 0.00 396.14 0.00 443,570.42 OFFICIO. USE ONLY (8) 443,966.56 14,209.44 4,198.36 (11) 18,407.80 425,558.76 0.00 425,558.76 (12) (13) 14. Net Value Subject to Tax (Line 12 minus Line 13) (14) SEE INSTRUCTIO~ ON REVERSE SIDE FOR APPUCABLE RATES 15. Amount of Line 14 taxable at the spousal lax rate, or transfers under Sec. 9116 (a)(1.2) 16. 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.0 0 (15) 425,558.76 x.0 45 (18) 0 · O0 x .12 (17) 0.00 x .15 (18) (19) 0.00 19,150.14 0.00 0.00 19,150.14 > · BE SURE TO ANSWER ALL QUESTIONS ON REVERSE SIDE AND RECHECK MATH < < ,~ 3w46451000 Decedent's Complete Address: STREET ADDRESS 325 Wesley Drive Cumberland County CiTY STATE ZiP Mechanic sburg PA 17055 - 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 18,192.63 957.51 0.00 0.00 Total Credits (A + B + C) (2) Total Interest/Penalty (D + E) (3) (1) 19,150.14 19,150.14 0,00 0.00 0.00 4. If Line 2 is greater than Line 1 + Line 3, enter the difference. This is the OVERPAYMENT. Check box on Page 1 Line 20 to request a refund (4) 5. If Line 1 + Line 3 is greater than Line 2, enter the difference. This is the TAX DUE. (5) A. Enter the interest on the taxdue. (5A) 0.00 B. Enter the total of Line 5 + 5A. This is the BALANCE DUE. Make Check Payable to: REGISTER OF WILLS, AGENT (5B) 0.00 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; ......... E~ ~ c. retain a reversionary interest; or ................................ ~'~ ~ d. receive the promise for life of either payments, benefits or care? ................. ~ F~ 2. if death occurred after December 12, 1982, did decedent transfer property within one year of death without receiving adequate consideration? ............................ [] ~ 3. Did decedent own an "in trust for" or payable upon death bank account or security at his or her death? [] ~-~ 4. Did decedent own an Individual Retirement Account, annuity, or other non-probate property which contains a beneficiary designation? ................................ [] IF THE ANSWER TO ANY OF THE ABOVE QUESTIONS IS YES, YOU MUST COMPLETE SCHEDULE G AND FILE IT AS PART OF THE RETURN. Declaration of preparer other than the personal repre~e~tati~ is based on all information of which preparer has any knowledge. DATE ADDRESS c/oRho&ds & Sinon/~LP, P. O. Box 1146 ADORESS~,. ".~ v v ' ~.- - % Harrisburg, PA 17108 Rhoads & Sinon LLP, P. O. Box 1146 Harrisburg, PA 17108 DATE 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. § 9916 (a) (1.1) (0]. 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. § 9116 (a) (1.1) (ii)] The statute does not exempt a transfer to a surviving spouse from tax, and the statutory requirements for disclosure of assets and filing a tax return are still applicable even if the surviving spouse is the only beneficiary. For dates of death on or after July 1, 2000: The tax rate imposed on the net value of transfers from a deceased child twenty-one years of age or younger at death to or for the use of a natural parent, an adoptive parent, or a stepparent of the child is 0% [72 P.S. § 9116(a)(1.2)]. The tax rate imposed on the net value of transfers to or for the use of the decedent's lineal beneficiaries is 4.5%, except as noted in 72 P.S. § 9116(1.2) [72 P.S. §9116(a)(1)]. The tax rate imposed on the net value of trensfers to or for the use of the decedent's siblings is 12% (72 P.S. § 9116(a)(1.3)]. A sibling is defined, under Section 9102, as an individual who has at least one parent in common with the decedent, whether by blood or adoption. 3W4646 1.000 REV-1508 F~, * (6-98) COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT SCHEDULE E CASH, BANK DEPOSITS, & MISC. PERSONAL PROPERTY ESTATE OF FILE NUMBER Myers W. Kniqht Include the proceeds of litigation and the date the proceeds were received by the estate. NI propef~j joinfly.~wned with the right of survivoPship must be disclosed on Schedule F. ITEM VALUE AT DATE NUMBER DESCRIPTION OF DEATH Capital Blue Cross, refund of unused premium PA Department of Revenue, refund 2003 PA 40 TOTAL (Also enter on line 5, Recapitulation) $ 367.32 28.82 396.14 3W46AD 1 000 (If more space is needed, inset additional shee{s of the same size) REV-1510 EA * (6-98) COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT SCHEDULE G INTER-VIVOS TRANSFERS & MISC. NON-PROBATE PROPERTY ESTATE OF FILE NUMBER Myers N. Knight This schedule must be completed and filed if the answer to any of questions 1 ~hrough 4 on the revers, side of the REV-1500 COVER SHEET is yes. ~SCRIPTION OF PRO~R~ I~M ,~ ~ N&.ME OF ~ ~FEREE. TNEIR RE~TIONSH~P TO OECEOE~ A~ DA~ OF DEATH %OF DECD'S EXCLUSION TAXABLE NUMBER ~ o^~ ~ m~,~-~R A~ ^ co~ o~ ~ ~EE~ ~O~ ~L ~S~^~ V~UE OF ASSET INTEREST (IF ,N:~..IC.N~LE) VALUE 1. First National Bank of Mar~sville Burial Certificate #3057%60, titled Myers W. Knight and Richardson Funeral Home, Inc. 6,995.44 100.000 0.00 6,995.4% Interest accrued to 3/25/2004 38.05 100.000 38.05 Decedent transferred certain assets to the Myers Knight Living Trust by instrument dated September 20, 1996, a copy of which is attached. The Trust assets, valued as of date of death, are as follows= 2 American National Life Insurance Co. Annuity #LAR0035055 Beneficiary= Myers W. Knight Living Trust 68,413.71 100.000 0.00 68,~13.7i 3 Mid Penn Bank CD#30900145 25,000.00 100.000 0.00 25,000.00 Interest accrued to 3/25/200% 36.15 100.000 36.15 % Pennsylvania State Bank CD #040668 40,000.00 100.000 0.00 40,000.00 Interest accrued to 3/25/2004 73.12 100.000 73.12 5 PNC Bank CD#31500179726 10,000.00 100.000 0.00 10,000.00 Interest accrued to 3/25/2004 35.21 100.000 35.21 6 PNC Bank Checking Acct. #5080033584 2,156.93 100.000 0.00 2,156.93 Interest accrued to 3/25/2004 0.11 100.000 0.11 7 PNC Savings Acct. #5003783667 2,536.24 100.000 0.00 2,536.2% Interest accrued to 3/25/200% %.26 100.000 4.26 TOTAL {Also enter on line 7, Reca~tulation) $ 443,570.4~ (If more space is needed, insert additional sheets of the same size) 3W46AF I 000 Schedule G (Page 2) Estate of: Myers W. Knight Item No. Description DOD Value of Asset Exclusion Taxab] Va1 8 Waypoint Bank Certificate of Deposit #091994 Interest accrued to 3/25/2004 6,725.468 Shares Franklin Tax Free Tr Pa Tx Fr Incm A Mutual Funds, Money Market Fds CUSIP: 354723801 10 20,000 Par NM Bank America Corl~ BE 31 May 02, 15 May 27 Semi-pay, 6.8% Fix Rate 11 15,000 Par NM Boeing Capital CRP BE, May 02, 15 May 12, 6% 31 12 10,000 Par NM General Motors Accpt BE 04 June 02, 15 Jun 14 Mtly - Pay 6.75% Fix Rate 13 Merrill Lynch Bank Deposit Progrem balance and cash 14 300 Shares Alcoa Inc Common New York Stock Exchange CUSIP: 013817101 15 345.348 Shares Capital Income Builders Fd Cl C Mutual Funds, Money Market Fds CUSIP: 140193301 16 966.773 Shares Income Fd Amer Inc C1 C Mutual Funds, Money Market Fds CUSIP: 453320301 10,000.00 100.000 32.15 100.000 71,491.72 100.000 21,117.20 100.000 16,039.50 100.000 10,038.80 100.000 4,570.16 100.000 10,179.00 100.000 16,604.33 100.000 16,464.14 100.000 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 10,000.00 32.15 71,491.72 21,117.20 16,039.50 10,038.80 4,570.16 10,179.00 16,604.33 16,464.14 Total (Carry forward to main schedule) 176,537.00 Schedule G (Page 3) Estate of= Myers W. Knight Item No. Description DOD Value of Asset Exclusion Taxabl Val- 17 300 Shares Pfizer Inc Common New York Stock Exchange CUSIP: 717081103 18 1,378.756 Shares Investment Tr Scud ~r&Incm S Mutual Funds, Money Market Fds CUSIP: 460965882 19 1,584 Shares Tyco Intl Ltd New Common New York Stock Exchange CUSIP: 902124106 20 1,115.837 Shares Vanguard Windsor II Fund Investor Shares CUSIP: 922018205 10,264.50 100.000 27,657.8S 100.000 43,504.56 100.000 30,317.29 100.000 0.00 0.00 0.00 0.00 10,264.50 27,657.85 43,504.56 30,317.29 Total (Carry forward to main schedule) 111,744.20 REV-1511 EX * (12-99) COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT SCHEDULE H FUNERAL EXPENSES & ADMINISTRATIVE COSTS ESTATE OF FILE NUMBER Myers W. Knight Debts of decedent must be reported on Schedule I. ITEM NUMBER DESCRIPTION AMOUNT FUNERAL EXPENSES: Richardson Funeral Home, Inc. Funeral and burial 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 Year(s) Commission Paid: Attorney Fees - Rhoads & Sinon LLP Family Exemption: (If decedent's address is not the same as claimant's, attach explanation) Claimant Street Address City State __ Zip Relationship of Claimant to Decedent Probate Fees Accountant's Fees Tax Return Preparer's Fees Barbara K. Gerber Expenses of Successor Trustee, 3/25/04 through 5/21/04 Total from continuation pages TOTAL (Also enter on line 9, Recapitulation) $ 7,033.49 6,500.00 425.95 250.00 14,209.44 3W46AG 1.000 (If more space is needed, insert additional sheets of the same size) Schedule H part 2 (Page 2) Estate off Myers W. Knight Item No. Description Amount Rhoads & Sinon LLP Reserve for out-of-pocket expenses 250.00 Total (Carry forward to min schedule) 250.00 REV-1512 EX * (~9~) COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT SCHEDULE I DEBTS OF DECEDENT, MORTGAGE LIABILITIES, & LIENS ESTATE OF FILE NUMBER Myers W. Knight Include unreimbursed medlcal expenses. ITEM VALUE AT DATE NUMBER DESCRIPTION OF DEATH 1. Alert Pharmacy Balance due Bethany Village Balance due Checks clearing PNC checking account after death Verizon Balance due TOTAL (Also enter on line 10. I~,~'-~nitulation) $ 87.45 3,940.00 153.79 17.12 4,198.36 3W46AH I 000 (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 FILE NUMBER Myers W. Knight RELATIONSHIP TO DECEDENT AMOUNT OR SHARE NUMBER NAME AND ADDRESS OF PERSON(S) RECEIVING PROPERTY Do Not List Trustee(s) OF ESTATE I 1 TAXABLE DISTRIBUTIONS [include outright spousal distributions, and transfers under Sec. 9116 (a) (1.2)] Beverly K. Doran 3316 West Tower Road Quincy, IL 62305 50% Residue= 212,779.38 Barbara K. Gerber 8916 Prince Caspian Court Burke, VA 22015 50% Residue: 212,779.38 Daughter Daughter 212,779.38 212,779.38 ENTER DOLLAR AMOUNTS FOR DISTRIBUTIONS SHOWN ABOVE ON LINES 15 THROUGH 18, AS APPROPRIATE, 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 $ 0.0 0 3W46AI 1.000 (If more space is needed, insert additional sheets of the same size) memory and over tho age of eighteen years, do hereby declare this to be my Last Will and Testament, and I expressly revoke all Wills, including codicils, heretofore made by me. ARTICLE I 1.1 1.2 Doran I hereby declare that at the time of making this Last Will and Testament that I am a widower. I declare that I have the below listed children at this time: Barbara K. Gerber) Beverly K. ARTICLE H 2.1 I declare the entire residue of my estate to the Trustee(s) then in office under that trust designated as "The Myers Knight Living Trust" established ~ & c~ , l!f~, of which I am the grantor. I direct that the residue of my estate shall be added to, administered, and distributed as part of that trust, according to the terms of the trust and any amendment made to it before my death. To the extent permitted by law, it is not my intent to create a separate trust by this will or to subject tho trust or the property added to it by this will to the jurisdiction of the probate court. 2.2 I hereby direct that my Executor or my Trustee(s) may elect to: (1) use administrative expenses as deductions either for estate tax purposes or income tax purposes; and (2) to use either date of death values or optional values for estate tax purposes, regardless of the effect thereof on any of the interests under this Will. 2.3 I further direct that my Executor or Trustee(s) shall not be required to pay any debt in advance of the due date thereof, including installment obligations, but instead may pay the same in installments as each installment comes due. However if the Trustee(s) deem it to the advantage of the estate any or all debts may be paid in advance of their required installments. 2.4 I stipulate that any asset under litigation, hen, or claim that might cause the assets of the aforementioned Trust to be compromised in any fashion, be held separate fxom the said Trust until it is free of any claim or threat to the integrity of the Trust. ARTICLE Ill 3.1 If the disposition in Article H, above, is inoperative or is invalid for any reason, or if the trust referred to in Article Il above, fails or is revoked, I incorporate the terms of that trust herein by reference, as if executed on this date, without giving effect to any amendments made subsequently, and I bequeath and devise the residue of my estate to the Trustee(s) named in the trust as Trustee(s), to be held, administered, and distributed as provided in that instrument. ARTICLE IV 4.1 I do hereby nominate the following individual(s) as the Executor(s) of this Will, to serve in the order listed: Barbara K. Gerber and Beverly K. Doran, acting together or separately, Alternate Executor of Pour-Over Will. 4.2 The Executor shall have full power and ~uthonty to carry out the provisions of tho Will, including the power to manage and operate during the probate of my estate any property and any business belonging to my estate. However, the Executor should not compromise the referenced trust in any fashion by premature transfer of assets that may carry any claim or htigation into the Trust. 4.3 The Executor or Trustee(s) shall serve without bond. However, in the event that one (1) or more bonds are required for one (1) or more such individuals, in their capacities as Executors hereunder, then I request that such bonds be nominal bonds, and, my Executor shall pay any such bond premiums, as bonds premiums are due, as administration expenses of my estate, until tho administration of my estate is completed. IN WITNESS WI-iEREOF, I have hereunto subscribed my name to this document, my last Will and Testament, which consists of two (2) typewritten pages, and for the purpose of identification, I have initialed or signed each page, all in the presence of the persons who are wimessing, at my request, the execution of this, my last Wifl,l, and Testament on this mO dayof 5oo~a~,,~xo~_C 19c[(o at ;Z~xo ~o.-- ~--*o... ~ ' ' Myers W. Knight Page 2 Certificate of Acknowledgement of Notary Public Commonwealth of Pennsylvania) :$S. County of Cumberland) On this 20 day of ..Se,o~er..Xo.~C' , A.D. 19c-/~ , appeared before me Myers W. Kaigixt personally known to me (or prey'ed to me on tho basis of satisfactory evidence) to be the person whoso name is subscribed in this instrument, and acknowledged that he/she executed it. I Notarial Seal Glenn W. Hebert, Notary Public ~'~~ ~esid~Dg [D MY C°mmisslon Expires May R North Newton Twp. Cumberland Counh, Notary Public My Commission Expires NOTARY SEAL: Page LAST WILL AND TESTAMENT WITNESS PAGE: We, tho undersigned, do hereby certify that Myers W. Knight on this ~:~ day of .~ ,ot,~_,~X~_,~ 19 qt~ , declared the above and foregoing instrument, consisting of four (4) pages, each ~f which is signed by Myers W. Knight, to be his/her Last Will and Testament, and that thereupon he/she asked us to act as witnesses to such Will, and did in our presence of each of us sign his/her name to such Will; that, thereupon, we and each of us, in the presence of Myers W. Knight and in the presence of each other, do sign our names as witnesses to such Will. (Witness Signature) (Print Name) (Address) , .10~_. [~9 0 ~k~ (City, State, Zip Code) Date ~,,~e,{c~ ~ ['-20~ (City, State, ZipCode) Date Signed Page 4 ACKNOWLEDGEMENT OF THE EXECUTION OF THE LAST WILL AND TESTAMENT OF Myers W. Knight We, whose names are signed below, each declare under penalties of perjury: that Myers W. Knight, the testator, executed the foregoing instrument as 'the testato?s last will and testament; that in our presence, tho testator signed the testatotas signature and declared that such signing was the testato?s free and voluntary act for the purpose of executing the testatot~s last will and testament; that each of the Witnesses thereto,in the presence of the testator (and at the testator~s request) and m the presence of each other, signed such instrument which tho testator stated to be the testator's last will and testament; and, to the best of our knowledge, the testator was, at the time of the testoras signing and at tho time of tho signing of tho witnesses, eighteen (18) or more years of ago and of sound mind. Mye~ W. Knight (Witness Signature) (Print Name) (Address) (City, State, Zip Code) (Witness Signature) (Print Name) (Address) (City, State, Zip Code) ARTICLE I For good and valuable consideration, the Trustor, Myers W. Knight of Enola, Pennsylvania, County of Cumberland, hereby transfers, conveys, and delivers to the Trustees and their successors the property listed in Schedule "A" or supplemental schedules annexed hereto and incorporated herein by reference, to have and to hold the same, and any cash, securities, or other property which the Trustees may, pursuant to any of the provisions hereof, at any time hereafter hold or acquire, all of such property being hereinafter referred to collectively as the "Trust Estate" for the uses and purposes and upon the terms and conditions herein set forth. ARTICLE II Dispositio ttt. During the life of the Trustor, the Trustees shall hold, manage, invest, and re-invest the Trust Estate; and shall collect the income thereof and shall dispose of the net income and principal as follows: A. The Trustees shall pay to the Trustor all of the net income of this Trust, in monthly or other convenient installments, but at least annually. The Trustees may, in their discretion, pay or apply for the benefit of the Trustor, in addition to the income payments herein provided for, such amounts of the principal of the Trust Estate, up to the whole thereof, as the Trustees may from time to time deem necessary or advisable for the use and benefit of the Trustor. ARTICLE III 'Dispositio the A. Upon the death of the Trustor, the property of the trust, and including also my other portions added thereto from the estate of the Trustor or other sources, along with the undistributed income shall be held in trust and shall be administered and disposed of as follows: B. Barbara K. Gerber, (daughter shall receive a 50% share), Beverly K. Doran, (daughter shall receive a $0% share). Individual beneficiaries will receive their portion of the trust estate as follows: at the age of Twenty-five (25). C. And as thusly divided, each said share or part shall be held as a separate trust for the benefit of the person or persons for whom it was set aside and shall be held, administered, and distributed as follows: 1. The Trustees may use and expend or apply so much or all of, first, the income, and second, the principal of the trusts hereby created for the benefit of a beneficiary hereof, and said amounts shall be used as the Trustees determine necessary or advisable and in such reasonable manner as the Trustees see fit, to provide for the health, reasonable comfort, education, support, and maintenance of the beneficiary for whom such trust shall have been created. Provided, however, that in determining said amounts the Trustees shall first take into account the needs, assets, and other available sources of income and support of a beneficiary thereof. Provided, further, however, the said powers of encroachments upon the beneficiary's share shall be limited to the respective shares held for the respective beneficiary. 2. As and when a beneficiary shall meet the requirements designated in paragraph B, above, the Trustees shall distribute to said respective beneficiary the share of the Trust estate for him or her, free and clear of trust. 3. If any of the individual beneficiaries shall be deceased, then the Trustees shall divide the shares or part for the deceased beneficiary into as many equal shares as may be necessary to provide one part or share for the then living descendants of the deceased beneficiary, they taking per stirpes; or, in the event a beneficiary is for any reason unable or unwilling to take any portion of his share of the Trust Estate pursuant to the above paragraphs of this Article III, then such portion shall be distributed to his or her living descendants equally, they taking per stir~es, and if there be no such descendants, then such funds shall be equally divided between such beneficiary's then-living brothers and sisters, and if there be no brother or sister then living, then such funds shall be divided equally between the descendants of such beneficiary's brothers a~d sisters, they taking per stirpes, and if there be no descendants of such benefi¢iary's brothers or sisters then living, then the Trustees shall add that portion of the property of that beneficiary to the other portions of the other living beneficiaries, and if there are no other Living beneficiaries then such funds shall be divided equally between the living heirs at law of the Trustor; provided, further, that said heirs at law of each of the Trustors shall take the Trust property, in the same priority and in the same distributive order as listed in the Pennsylvania law of intestate succession, as in force on the date of the signing of this Trust Agreement. And as thusly divided, each said share or part shall be held as a separate trust for the benefit of the person or persons for whom it was set aside and shall be held, administered, and distributed according to subparagraphs 1., 2., and $., of paragraph ¢., Article III. Notwithstanding anything contained to the contrary in this paragraph, if, under the provisions of this subparagraph 3., of paragraph C., Article III, any person who does not yet meet the requirements designated in paragraph B, above, shall become entitled to a share of the Trust Estate, such share shall not be distributed to such beneficiary, but shall be retained ia trust for said beneficiary's benefit, and shall be held, administered, and disposed of according to subparagraphs 1., 2., and 3., of paragraph C., Article III. 4. If under the terms of this Article III, upon the death of any beneficiary, any other person for whom a share or portion is being held in trust shall become entitled to an additional share or portion, such additional share or portion shall not be delivered free of trust, but shall be added to the principal of the share or portion held in trust for such person and shall go as and with the same. 5. At the death of the Trustor, the Trustees shall distribute all of the Trustofs personal effects or other assets, including any contents of the Trustofs residence, to the persons named in one or more letters of instructions, entitled "Disposition of Personal Effects" referring to Article III., Subparagraph C., of this Trust Agreement, dated and signed by the Trustor and located among the Trustofs important papers at the time of his or her death. In the event that the Trustor has inadvertently named two or more persons to take a particular item, then the most recently dated letter of instruction shall control. 6. If any beneficiary named in paragraph B, above, is an organization, and such organization does not exist at the t/me of the death of the Trustor, then, if the organization was a charitable institution, the share designated for that charitable organization shall be distributed to another organization, chosen by the trustees, who has similar purposes and functions as the charitable organization that no longer exists. If the organization was not a charitable institution then the share designated for such organization shall be added back to the balance of the trust estate and divided to the other-beneficiaries named in paragraph B, above. 7. A trustee in its discretion may terminate and distribute any trust hereunder if the trustee determines that the costs of continuance thereof will substantially impair accomphshment of the purposes of the trust. The trustee shall terminate and forthwith distribute any trust created hereby, or by exercise of a power of appointment hereunder. Distribution under this section shall be made to the persons then entitled to receive or have the benefit of the income from the trust in the proportions in which they are entitled thereto, or if their interests are indefinite, then in equal shares. D. Whenever used herein, the term "issue", Uchild", "children', and "descendantsU: include adopted issue, adopted child, adopted children and adopted descendants, as well as natural issue, natural child, natural children, and natural descendants, and include descendants of adopted issue, adopted child, adopted children, and adopted descendants. Provided, however, adopted issue who are also natural issue shall take their share of the Trust Estate only in one capacity, such capacity being the one which grants to such issue the larger share. Where apphcable, the masculine includes the feminine, and vice versa, and the neuter includes the masculine or feminine, and vice versa. Where apphcable, the singular includes the plural and vice versa. ARTICLE IV P ot iSio No beneficiary of this trust, other than a Trustor, shall have any fight to alienate, encumber or hypothecate his/her interest in the trust to claims of his/her creditors, or to render such interest liable to attachment, execution, or other process of law. The income of this trust shall not be pledged, assigned, transferred, sold or accelerated, anticipated or encumbered in any manner whatsoever by any beneficiary, nor shall any income of the trust be in any manner subject or liable in the hands of the Trustees for the debts, contracts or encroachments of any beneficiary or be subject to any assignments or any other voluntary or involuntary alienation or disposition whatsoever. If the creditor of any beneficiary, other than a Trustor, who is entitled to any distributions from a trust established under this instrument shall attempt by any means to subject to the satisfaction of his claim such beneficiary's interest in distribution, then, notwithstanding any other provision herein, until the release of the writ of attachment or garmshment or other process, the distribution set aside for such beneficiary shall be disposed of as follows: 1. Distribution to Beneficiary. The Trustees shall pay to or apply for the benefit of such beneficiary such sums as the Trustees shall determine to be necessary for the reasonable health, education (including study at institutions of higher learning) and support of the beneficiary according to his or her accustomed mode of life. 2. Disposition of Excess. The portion of the distribution that the Trustees shall determine to be in excess of the amount necessary for such health, education (including study at institutions of hil~her leami, g) and support shall be added to and become principal of the trust share of such beneficiary and will be paid to said beneficiary or subsequent heirs in a manner to maximize the benefit to the beneficiary without compromise of the intent of this trust to provide an inheritance to the heirs. ARTICLE V r ua ic[ P o isio s If any provisions of this trust are held to be invalid, none of the other provisions shall be thereby rendered invalid or inoperative as long as the remaining Trust Agreement does not frustrate the intents of the Trustor, but tends to accomplish his or her overall objectives. ARTICLE Vi In any event, and anything to the contrary herein contained notwithstanding, the trusts created in this agreement shall terminate upon the day next preceding the expiration of twenty- one (21) years after the death of the Trustor and their issue now living, ia the event these trusts shall not have previously terminated in accordance with the terms hereof. In the event of termination of these trusts as provided for in this paragraph, the Trustees shall distribute the Trust Estate as it shall then be constituted, together with any new income, to the beneficiaries then entitled to the income from the Trust Estate in the same proportions in which they are entitled to such income. ARTICLE VII A. The following people will act as Trustees in the following order of succession: FIRST: Myers W. Knight SECOND: At the death of the Trustor, the following, shall serve as successor Trustees, in the order listed: Barbara lc Gerber and Beverly IC Doran, acting together and then either Barbara lC Gerber or Beverly lC Doran, acting alone. The executor for the heirs is Barbara lc Gerber, who may speak on behalf of any minor beneficiaries. THIRD: Trustee(s) chosen by a majority of the beneficiaries, with a parent or legal guardian voting for minor beneficiaries; provided, however, that the issue of any deceased child shall have collectively only one vote. B. A majority of the trustees, whether individual or corporate, shall have the power to make any decision, undertake any action, or execute any documents affecting the Trusts created herein. In the event of a difference of opinion among the Trustees, the decision of a majority of them shall prevail; but the dissenting or nonassenting trustees shall not be responsible for any action taken by the majority pursuant to such decisions. If only two individual Trustees are in office, they must act unanimously. If an individual and a corporate Trustee are in office, the determination of the Individual Trustees shall be binding. C. Any Trustees may from time to time delegate to one or more of the remaining Trustees any powers, duties, or discretions. Every such delegation shall be made by a writing delivered to the delegate or delegates, and shall remain effective for the time therein specified or until earlier revocation by a writing similarly delivered. Every one dealing with the Trustees shall be absolutely protected in relying upon the certificate of any Trustees as to who are the Trustee(s) for the time being acting, and as to the extent of their authority by reason of any delegation or otherwise. D. No Trustees named above need gi~,e bond in any jurisdiction. If a fiduciary's bond may not be dispensed with, the Trustor requests that the bond be accepted without surety and in the lowest possible amount. In the absence of breach of trust, no Trustees shall ever be required to qualify before, be appointed by, or account to any court, or obtain the order or approval of any court in the exercise of any power or discretion herein given. The Trustees are entitled to ordinary and reasonable compensation for services rendered in the administration and distribution of the estate. ARTICLE VIii -tt:t A. The Trustees shall have full power to do everything in administering these trusts that they deem for the best interests of the beneficiaries (whether or not it be authorized or appropriate for fiduciaries but for this broad grant of authority), including power: 1. To acquire by purchase or otherwise, and to retain so long as they deem advisable, any kind of realty or personal property, or undivided interests therein, including common and preferred stocks, bonds, or other unsecured obligations, options, warrants, interests in investment trusts and discretionary common trot funds, all without diversification as to kind or amount, without being limited to investments authorized by law for the investment of trust funds, and power to hold or take title to property in the name of a nominee. 2. To sell for cash or on credit, at private or public sale, exchange, hypothecate, sell short, or otherwise dispose of any real or personal property. 3. To make distributions, including distributions to themselves as Trustees, in kind or in money or partly in each, even if shares be composed differenfly; for such purposes, the valuation of the Trustees shall be given effect if reasonably made. 4. If, in the Trustees' discretion, any beneficiary (whether a minor or of legal age) is incapable of making proper disposition of any sum of income or principal that is payable or appointed to said beneficiary under the terms of this Trust Agreement, the Trustees may apply said sum to or on behalf of the beneficiary by any one with whom the beneficiary resides, or by payments in discharge of the beneficiary's bills or debts, including bills for premiums on any insurance policies, or by paying an allowance to a beneficiary directly. The foregoing payments shall be made without regard to other resources of the beneficiary, or the duty of any person to support the beneficiary and without the intervention of any guardian or like fiduciary; provided, however, that the Trustees shall ensure and see to the application of the funds for the benefit of the beneficiary, so that the funds will not be used by any adult person, or any other person for a purpose other than the direct benefit of the beneficiary, and particularly so that said funds will not be diverted for the purpose of support and education of said beneficiary. 5. To determine whether and to'what extent receipts should be deemed income or principal, whether or to what extent expenditures should be charged against principal or income, and what other adjustments should be made between principal and income, provided such adjustments do not corfflict with well-settled rules for the determination of principal and income questions. 6. To delegate powers to agents including accountants, investment counsel, appraisers, legal counsel, and other experts, remunerate them and pay their expenses; to employ custodians of the Trust assets, bookkeepers, clerks, and other assistants and pay them out of income or principal. 7. To renew, assign, alter, extend, compromise, release, with or without consideration, or submit to arbitration or litigation, obligations or claims held by or asserted against the Trustor, the Trustees, or the Trust Assets. 8. To borrow money from others for tho payment of taxes, debts, or expenses, or for any other purpose which, in the opinion of the Trustees, will facilitate the administration of these trusts, and pledge or mortgage property as security for such loans; and, if money is borrowed from any Trustees, individually, to pay interest thereon at the then-prevailing rate of interest. 9. To lease, or grant options to lease, for periods to begin presently or in the future, without regard to statutory restrictions or the probable duration of any trust; to erect or alter buildings or otherwise improve and manage property; demolish buildings; make ordinary and extraordinary repairs; grant easements and charges; make partywall contracts; dedicate roads, subdivide; adjust boundary Lines; partition and convey property or give money for equity of partition; to be either a general or lir/,ited partner. I 0. To enter into transactions with any other trust in which the Trustor or the beneficiaries of the Trust Agreement, or any of them, have beneficial interests, even though any Trustee of such other trust is also a Trustee under this Trust Agreement. 11. To exercise aLl the foregoing powers alone or in conjunction with others, even though any of the Trustees are personally interested in the property that is involved, notwithstanding any rules of law relating to divided loyalty or self-dealing. 12. The Trustees may engage in the practice of writing options on all recognized exchanges and buy and sell, on margin or otherwise (including 'short' sales), see. urities of every nature, limited parmerships, and commodities. 13. The Trustees may make grit transactions. However, no Trustee, other than the Trustor acting as Trustee, shall have the power to make gifts, other than to the spouse of the Trustor, if any, in excess of the amount excluded from gift tax under sectioa 2503(b) of the Internal Revenue Code of 1986, as amended, or any successor thereto. No Trustees, other than the Trustor acting as Trustee, shall be authorized tb make gifts to charities except in satisfaction of a written pledge of the Trustor. No Trustee, other than the Trustor acting as Trustee, shall be authorized to make gifts to any person who is not a descendant of the Trustor or a beneficiary under this Trust or of the Last Will and Testament of the Trustor, or the spouse of such descendant or beneficiary. B. Any Trustee may decline to act or may resign as Trustee at any time by delivering a written resignation to the beneficiaries of a trust then subsisting. C. From the income of the trusts hereby created, or, if that be insufficient, from the principal thereof, the Trustees shall pay and discharge all expenses incurred in the administration of the Trusts. D. No successor Trustees shall be liable for any misfeasance of any prior Trustees. ARTICLE IX Dd, egatio During physical or mental incapacitation, the Trustor herein appoints the successor trustees, during said period of incapacitation. The successor trustees will act as Trustee, Guardian, Executor, or in any other legal capacity, whether appointed orally or in writing, and supervise all matters in which the Trustor had the fight to act if he or she had not become incapacitated. Incapacitation shall be established either by a court o£ competent jurisdiction or by a written statement fried with the Trustees and signed in good faith by two (2) physicians unrelated to the Trustor or the beneficiaries. During any period of incapacity or incompetency of the Trustor the Trust is irrevocable and unamendable in regard to its operation or disposition for the affected Trustor. If the Trustor regains competency, the trust will again become amendable and revocable. ARTICLE X .Mddaio to Ti at A. It is understood that the Trustor or any other person may grant, and the Trustees may receive, as part of this Trust, additional real and personal property, by assignment, transfer, deed, or other conveyance, or by any other means, testamentaiy or inter vivos, for inclusion in the Trust herein created. Any such property so received by the Trustees shall become a part of the Trust and shall become subject to the terms of this Agreement. B. It is specifically the intention of the Trustor that all real and personal properties now owned by the Trustor are to be a part of this Trust; provided further, that all future real and personal properties acquired by the Trustor are to be a part of or to automatically become a part of this Trust at the time acquired by the Trustor. ARTICLE XI No purchaser, and no issuer of any stock, bond or other instrument evidencing a deposit of money or property, or other person deaLing with the Trustees hereunder with respect to any property hereunder as purchaser, lessee, party to a contract or lease, or in any capacity whatsoever, shall be under any obhgation whatsoever to see to the disbursing of money paid to the Trustees or to the due execution of this Trust, in any particular, but such persons shall be absolutely free in dealing with the Trustees on the same basis as though the Trustee(s) were the absolute owner of the said property, without any conditions, restrictions, or qualifications whatsoever. ARTICLE XII A. As long as the Trustor is alive, the right is reserved to amend, modify, revoke, or remove from this Trust any and all property, in whole or in part, including the principal, and the present or past undisbursed income from such principal. On the death of the Trustor, the remainder of the Trust Estate, and the trusts created hereinafter, may not be amended, revoked, or terminated, other than by disposition of the trust property to the beneficiaries according to the terms stated herein. B. While the Trustor is alive, full authority is retained, in his/her discretion, to sell, convey, or mortgage property, without disclosing their capacity as Trustees of this Trust Agreement; any such. sale or conveyance of property in accordance with this provision, shall be considered as, and shall cause, a partial revocation of the Trust with respect to the property so conveyed or sold, and shall be sufficient to remove said property from the Trust. ARTICLE Xlll The interest of the beneficiaries is a present vested interest which shall continue until this Trust is revoked or terminated other than by death. ARTICLE XIV GoL a i. 9 Law This Agreement shall be construed and regulated by the laws of the Commonwealth of Pennsylvania. ARTICLE XV Should a catastrophic illness occur to the Trustor while hying, the successor trustees shall manage the Trust Estate to the greatest advantage to the beneficiaries. Catastrophic illness shall be defined as an illness that renders the Trustor incompetent or not capable of caring for himself or herself such that full-time care is required, and it is reasonably anticipated that such care shall be needed for a period of six months or longer. Upon the implementation of the provisions' of this article, other provisions not withstanding, the Trust shall become an "raceme only" Trust, m which none of the corpus of the Trust shall be distributed to the Trustor during the time of the catastrophic illness, but will be held for the benefit of the Trustor, in anticipation of their recovery from the catastrophic illness. ARTICLE XVI In the event that any beneficiary under this trust shall, singly or in conjunction with any other person or persons, contest in any court the validity of this trust or of a deceased Co-Trustofs Last Will or shall seek to obtain an adjudication in any proceeding in any court that this trust or any of its provisions, or that such Will or any of its provisions, is void, or seek otherwise to void, nullify, or set aside this trust or any of its prov/sions, then the right of that person to take any interest given to him by this trust shall be determined as it would have been determined had the person predeceased the execution of this Trust Agreement. The Trustees are authorized to defend, at the expense of the trust estate, any contest or other attack of any nature on th/s trust or any of its provisions. ARTICLE XVII The attorney of record for the preparation of this trust is John C. Stambulis, of Heritage America. ~T a~sistance or instruction concerning this u'u~t is required, the Trustor recluest~ that the Trustee~s) call John C. Stambulis, or another attorney knowledgeable in Estate Planning. ARTICLE XVlll This Trust Agreement has bern prepared in duplicate, each copy of which has been executed as an original. One of these executed copies is in the possession of the Trustor, and the other is deposited for safekeeping with the Trustor's Attorney, John C. Stambulis. Either copy may be used as the original without the other;/f only one copy of this Trust Agreement can be found, then it shall be considered as the original, and the missing copy will be presumed inadvertently lost. Any clarifications or mst. ructions concerning this Trust Agreement may be obtained by calling the above-mentioned attorney, who is requested to do everything necessary to implement the provisions of this Trust. In Witness Whereof, the Trustor has executed the foregoing Trust Agreement, dated day of S e~-~v,..~e/' , 19 clX, Trustor: Myers W. Knightc~' Trustee(s): Myers W. Knight Certificate of Acknowledgement of Notary Public Commonwealth of Pennsylvania) : SS. County of Cumberland) Ua this ~C) day of~o~3,~' , A.D. 19 q~, , appeared before me Myers W. Kmght, as Grantors, and Myers W. Knight, as Trustee(s), personally known to me (or proved to me on the basis of satisfactory evidence) to be the person whose name is subscribed in this instrument, and acknowledged that he/she executed it. Notary Public My Commission Expires Residing ia Notanat Seal Glenn W. Hebert, Notary Public Nn~h Nawton Two.. Cvmberland County My Commlll&totl gxl3ire! May I). ~0o?- NOTARY SEAL: & SINON LLP Attorneys Dedicated to Your Success. One South Market Square, 12th FI P.O. Box 1146 Harrisburg, PA 17108- I 146 TO: Ms. Glenda Famer-Strasbaugh Register of Wills Cumberland County Courthouse 1 Courthouse Square Carlisle, PA 17013 1%~ l ~-I l I IN RE: THE MYERS KNIGHT LWING TRUST ) IN THE COURT OF COMMON PLEAS OF ) CUMBERLAND COUNTY, PENNSYLVANIA ) ORPHANS' COURT DIVISION ) ) NO. 5q~:2-- YEAR OF 2004 WAIVER OF ACCOUNTING, RECEIPT, RELEASE, INDEMNIFICATION AND APPROVAL OF DISTRIBUTION WHEREAS, Myers Knight (the "Decedent") died on March 25, 2004, leaving a Will dated September 20, 1996 and a Living Trust under Agreement dated September 20, 1999 (the "Trust") of which Decedent acted as Trustee; and WHEREAS, inasmuch as Decedent transferred his assets to the Trust during his lifetime and possessed no probate assets at his death, Decedent's Will was not p~bated; and WHEREAS, subparagraph (A) (SECOND) of ARTICLE VII o()~he Trust names Decedelat's daughters, Barbara K. Gerber and Beverly K. Doran, to act as Trustees upon the death of the Decedent; and WHEREAS, by instrument dated April 15, 2004, a copy of which is attached hereto as Exhibit "A," Beverly K. Doran renounced her right to serve as Trustee of the Trust, leaving her'sister, Barbara K. Gerber, to act as sole Trustee (the "Trustee"); and WHEREAS, Article III (B) of the Trust provides that, upon the death of the Decedent/Trustor, the Trust assets shall be distributed in equal shares to Decedent's two daughters, Barbara K. Gerber and Beverly K. Doran (the "Trust Beneficiaries"); and 521534.1 WHEREAS, the Trust Beneficiares desire that the Trust assets be distributed to them without the expense, delay and formality of a formal court accounting; and WHEREAS, the Trustee is willing to consent to such distribution upon receipt of a proper release and indemnification, which it is the purpose of this Agreement to provide. NOW THEREFORE, the undersigned, for themselves, their heirs, personal representatives and assigns: equal shares. Direct that the Trustee divide and distribute all Trust assets to them, in 2. State that they have received copies of the Inventory, listing of disbursements and Merrill Lynch statement for the Trust dated May 28, 2004 (Exhibit "B"), and that they are familiar with all transactions occurring in the Trust since Decedent's death and approve said transactions as though they were contained in a formal accounting which was confirmed absolutely by the Court having jurisdiction over the Trust. 3. Waive the preparation of a formal accounting, and the filing and auditing of a formal accounting by any Court having jurisdiction over the Trust. 4. Approve the transactions that have occurred in the Trust from the date of Myers Knight's death until the date hereof, as described on the attachments hereto, and approve the distribution of all assets of the Trust to the Trust Beneficiaries in full and complete satisfaction of their interests under the Trust; and 5. Acknowledge receipt from the Trustee of the distribution to each Trust Beneficiary of one-half of the Trust assets described on the attachment hereto designated as Exhibit "C"; and 6. Absolutely and irrevocably release, remise, quitclaim and forever discharge the said Trustee, her heirs and personal representatives and assigns, of and from all actions, suits, payments, accounts, reckonings, claims and demands whatsoever relating to or in any way involving the Trust of Myers Knight to the date hereof. 7. Absolutely and irrevocably release the Trustee from filing any Account, Petition for Distribution or other document with the Court of Common Pleas of Cumberland County, Pennsylvania, or in any other jurisdiction in connection with the Trust. 8. Hereby agree that if, at any time in the future, the said Trustee receives any demand or claim for any amount claimed to be due and owing from her, as Trustee, and approves said demand or claim, they shall, at the request of the said Trustee, pay to the said Trustee the amount of any such demand or claim, or if it has been paid by the said Trustee, then reimburse her for the amount paid by her, provided that the amount of such requested payment or reimbursement shall not exceed the total of the assets paid or distributed by said Trustee to the Trust Beneficiaries. 9. Hereby agree to indemnify the Trustee and hold her harmless, to the extent of the Trust assets received by the undersigned, from and against any and all claims, loss, liability or damage (including legal fees and costs) which she may suffer or to which she may be subjected by reason of the administration of the Trust or the distribution of the assets of the Trust without having formal approval of the Court of Common Pleas, Orphans' Court Division, of Cumberland County, Pennsylvania, or any other jurisdiction. -3- This instrument shall be governed by the laws of Pennsylvania and shall be legally binding upon the parties hereto, their heirs, executors, administrators and assigns. IN WITNESS WHEREOF, intending to be legally bound hereby, the undersigned have hereunto set their hands and seals as of this o~ ! day of /~ 2004. Barbara K. Gerber, individually and as Trustee Beverly, K. Doran ~' -4- COUN ¥OF ) ) SS: ) On this, the cJ, Tf, oJ' day of %--~_~.~ ,2004, before me, a Notary Public, the undersigned officer, personally appeared~/Barbara K. Gerber, known to me (or satisfactorily proven) to be the person whose name is subscribed to the within instrument, and acknowledged that he/she executed the same for the purposes therein contained. IN WITNESS WHEREOF, I hereunto set my hand and official seal. ary Public My Commission Expires: (SEAL) MemSer, Pen~ -5- STATE OF ~~o ) ) SS: COUNTY OF ~O~Ox,--v,,~3 ) On this, the ~' ' day of ~4.,t,~_ ,2004, before me, a Notary Public, the undersigned officer, personally appeared Beverly K. Doran, known to me (or satisfactorily proven) to be the person whose name is subscribed to the within instrument, and acknowledged that he/she executed the same for the purposes therein contained. IN WITNESS WHEREOF, I hereunto set my hand and official seal. Not/try Public My Commission Expires: (SEAL) IN RE: The Myers W. Knight Living Trust U/A dated September 20, 1996 · IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA ORPHANS' COURT DIVISION NO. RENUNCIATION I, BEVERLY K. DORAN, daughter of Myers W. Knight, successor Co-Trustee under Article VII A SECOND, do hereby renounce my right to serve as Co-Trustee of the Myers Knight Living Trust under Agreement dated September 20, 1996, so that my sister, BARBARA K. GERBER, acts as sole Trustee of the Trust. Notwithstanding this Renunciation, I reserve the right to serve as successor Trustee to Barbara K. Gerber should she fail or cease to act before the conclusion of the Trust. Witness my hand this ? 5~ dayof WITNESS: ,2004. Beverly K. ~mn Sworn to or affirmed and subscribed before~e this /t ,~"~/~ dayof (/] DA~'.D , 2004. Notary Public My Commission Expires: C13 - © { 513563.1 EXHIBIT "A" Myers W. Knight Trust Under Agreement Inventory No. of Shares 3OO 3OO 1,584 Cash & Cash Equivalents First National Bank of Marysville Burial Certificate #3057460, titled Myers W. Knight and Richardson Funeral Home, Inc. Interest at Start of Trust Mid Penn Bank CD#30900145 Interest at Start of Trust Pennsylvania State Bank CD #040668 Interest at Start of Trust PNC Bank CD#31500179726 Interest at Start of Trust PNC Bank Checking Acct. #5080033584 Interest at Start of Trust PNC Savings Acct. #5003783667 Interest at Start of Trust Waypoint Bank Certificate of Deposit #091994 Interest at Start of Trust Merrill Lynch Bank Deposit Program balance and cash Total Cash & Cash Equivalents Stocks Alcoa Inc Common New York Stock Exchange Pfizer Inc Common New York Stock Exchange Tyco Intl Ltd New Common New York Stock Exchange Total Stocks 6,995.44 38.05 25,000.00 36.15 40,000.00 73.12 10,000.00 35.21 2,156.93 0.11 2,536.24 4.26 10,000.00 32.15 4,570.16 1 O, 179.00 10,264.50 43,504.56 101,477.82 63,948.06 Page 1 (1) Exhibit "B" Trust Under Agreement Inventory Par Value 20,000 15,000 10,000 Bonds, Debentures & T-Bills NM Bank America Corp BE 31 May 02, 15 May 27 Semi-pay, 6.8% Fix Rate NM Boeing Capital CRP BE, 31 May 02, 15 May 12, 6% NM General Motors Accpt BE 04 June 02, 15 Jun 14 Mtly - Pay 6.75% Fix Rate Total Bonds, Debentures & T-Bills 21,117.20 16,039.50 10,038.80 47,195.50 Miscellaneous American National Life Insurance Co. Annuity #LAR0035055 Beneficiary: Myers W. Knight Living Trust Capital Blue Cross, refund of unused premium ING Life Insurance Policy #437480. Owner, Myers Knight Trust; Beneficiary, Myers Knight Trust. ING Life Insurance Policy #497517. Owner, Myers Knight Trust; Beneficiary, Myers Knight Trust. PA Department of Revenue, refund 2003 PA 40 TYCO lump sum death benefit Total Miscellaneous 68,413.71 367.32 9,629.86 1,015.96 28.82 1,807.80 81,263.47 Page 2 (2) · Trust Under Agre'ement Inventory No. of Shares 6,725.468 345.348 966.773 1,378.756 1,115.837 Mutual Funds Franklin Tax Free Tr Pa Tx Fr Incm A Mutual Funds, Money Market Fds Capital Income Builders Fd C1 C Mutual Funds, Money Market Fds Income Fd Amer Inc C1 C Mutual Funds, Money Market Fds Investment Tr Scud Gr&Incm S Mutual Funds, Money Market Fds Vanguard Windsor II Fund Investor Shares Total Mutual Funds Total Inventory 71,491.72 16,604.33 16,464.14 27,657.85 30,317.29 162,535.33 456,420.18 Page 3 (3) THE MYERS KNIGHT LIVING TRUST Disbursements Debts of Decedent: Alert Pharmacy Balance due Bethany Village Balance due Checks clearing PNC account after death Verizon Balance due 87.45 3,940.00 153.79 17.12 Funeral expenses: Richardson Funeral Home, Inc. Funeral and burial services Administration expenses: Merrill Lynch, account fee Reserves: Barbara K. Gerber Expenses of Successor Trustee 3/25/04 through 5/21/04 PA Inheritance tax Cash reserve pending receipt of tax approval Rhoads & Sinon LLP, attorneys' fees Rhoads & Sinon, expenses TOTAL 425.95 18,193.00 10,000.00 6,500.00 250.00 4,198.36 7,033.49 125.00 35,368.95 46,725.80 Exhibit "B" 522377.1 J_ PORTFOLIO SUMMARY REVIEW ~ARBARA GERBER TTEE U/A D'rD 09120/199~ MYERS KNIGHT LIVING TRUST 8,916 PRINCE CASPIAN CT BURKE VA 22015-2181 YOUR FINANCIAL ADVISOR: BRINDLE/WER'rZ TEAM (717) 9754619 For Client Service Questions Call: 1-80g-MERRILL (1-800-637.7455) Office Serving Your Accoun[ 214 SENATE AVE, STE 501 CAMP HILL PA 17011 Review Your Statemenl Online at: www. mloLml.com Total Value as of May 28, 2004 $448,617.01 AsSet Allocation Summary Total Value Comparison (in $ thousands) "Eslimaled Acc4'ued lnteresl not included. May no! reflect all holdirKjs, Accounlslncluded in this Summary 449 Percenl , E] Cas~Mone¥ Accounts 69 D Equities 22 [] Fixed Income Total 100 51~4 I I I I I I I I I I Total Value ir~clud~s credits, debits, and change in markel value. Unpriced Securities are r~ot included inTo{al Value. Account No. Account Name 872-56~83 BARBARA GERBER TTEE Account Type/ Managing Firm C5%A Total Page 3 Total Value ($) This StMement Last S~tement 448,617 329,23i 448,617 329,231 Gains and Losses ( %)nrealized Realized Y'I'D Short Term Long Term She~t Term Long Term -10,487 2,632 -4,443 -X0,487 2,632 -4,443 Page Staterneml Pedod Account I'~o. SUMMARY I 05101/04 TO 05128/04 872-56283 cr...y~.~ ~ PORTFOLIO SUMMARY REVIEW Activity Summary (All Accounts) Credits Security Sales Income Funds Received Eleclronic Transfers( Other Credits Total Credit Income Summary ($) Credits ) This Statement ($) 95,569.60 1,499.72 119,800.64 0.00 73.03 216,942.99 Year-To-Date ($) 95,569.60 1,502.27 119,829.46 0.00 90,116.03 307,017.36 Debits Security Purchases Withdrawals Electronic Transfers (Debit) Other Debits Interest Checks Written Visa Purchases Total Debit Net Activity This Statement ($) 0.00 0.00 0.00 125. O0 0.00 4,044.57 0.00 4,169.57 212,773.42 Year-To-Date ($) 0.00 0.00 0.00 125.00 0.00 4,044.57 0.00 4,169.57 302,847.79 Account Tax-Exempt Number Interest This Statement Non-Reportable Interest Dividends Dividends TOTAL Tax*Exempt Interest {rrleres{ Year-to. Date Non-Reportable Oividends Dividends TOTAL 872-56283 Total Financial Market indicalors 1,231 223 45 1,231 223 45 1,500 1,500 1,234 1,234 223 223 45 45 L,502 1,502 S&P 500 Three-Monlh Treasury Bills Long-Term Treasury Bonds One-Month LIBOR This Last Statement Statement 1120.64 1107.26 1.06% .97% 5.35% 5.29% 1.11% 1.10% Pmvious Yea~End 1111.92 .92% 5,08% 1.12% NASDAQ This Statement 1986.74 Last Slaternent 1920.15 Pmvious Year-End 2003.37 Page Stalement P~iocl Ar_,counl No. SUMMARY 2 05;01t04 TO 05/28/04 872-56293 ACCOUNT ~IARBARA GERBER TTEE UIA DT~) 09/20/1996 MYERS KNIGHT LIVING TRUST 8916 PRINCE CASPIAN CT BURKE VA 22015-2181 Total Account Value As Of 05/28/2004 YOUR FINANCIAL ADVISOR: BRINDLENVERTZ TEAM (717) 975-4619 FOR CUSTOMER SERVICE QUESTIONS: 1-800q~ERRILL (1-800-637-7455) $448,617.01 Your Merrill Lynch Office: 2'/4 SENATE AVE, STE 501 CAMP HILL PA '17011 Review Your Statement Online at: wv,%v.mlol.ml.corn Portfolio Summa,3/ Asset 04/30/04 Value Cash/Money Accounts 90,074 CD'sJEquivalents Government & Agency Corporate Bonds 45,042 Municipal Bonds Equities 63,433 Mutual Funds 129,616 Options Other Long Market Value 328,167 Short Market Va~ue Estimated Accrued Interest ].,064 Debit Balance 14 19 40 05/28/04 Value % 302,847 68 44,201 10 68,763 15 32,699 7 448,512 105 Income Summary Tax-Exempt Funds Tax-Exempt Interest Reportable Interest Reportable Dividends Income Not Reported Total Ilems for Atlen/ion Security This Statemen{ Year-to-Date 1,231.28 1,233.83 45.00 45.00 223.44 223.44 1,499.72 1,502.27 Message No Items For Attention Date Nel Portfolio Value NEWS Check your accounl anytime! at www.m~ol.ml.com. 329,231 448,617 Enroll in Merrill Lynch OnLine (R) Purchasing Power 302,847 Financial Market Indicators S&P 500 Three-Monlh Treasury Bills Long-Term Treasury Bonds One,-Mor~lh LIBOR NASDAQ This Stalement Last Statement Previous Year-End 1120.64 1107.26 [[11.92 1.06% .97% .92% 5.35% 5.29% 5.08% 1.11% !.I0% 1.12% 1986.74 1920.15 2003.37 BARBARA GERBER TTEE Page 3 ofll Slaternen! Period 05/01/04 TO 05/28104 Acc0un£ No. 872-56283 ,} ACCOUNI Cash Flow Summary ActiviW Summary This Statement Opening Balance Cash & Money, Accounts 90,074.37 Net Credits & Debits 212,773.42 Closing Balance Cash & Money Accounls 302,847.79 Year-to-Date 302,847.79 Credits This Statement Sales 95,569.60 Inmme 1,499.72 Funds Received 119,800.64 Electronic Tfrs Other 73.03 Year-to-Date 95,569 -60 1,502.27 119,829.46 90,1[6.03 Bank Deposit Interest Summary Money Account Description Merrill Lynch Bank USA M. erritl Lynch Bank & Trust Total ML E~ank Deposit Program Total Credits 216,942.99 307, O17.36 Opening Average DeposN Balance Balance 90,073 97,556 8 72,340 90,073 Debits Purchases Withdrav~als Eleclronic Tfrs CMA Checks Other Total Debits Ca rre~t Yield % .37 .37 This Statement 4,044.57 125.O0 4,169.57 Interest on Deposi~ 27.32 17.71 45.03 Year-to-Date 4,044.57 125.00 4,[69.57 Closing Balance 105,829 197,017 302,846 Realized Capital Gain and Loss Summary* This Statement Short-Term ( 10,48'7.28 ) Long-Term .00 'Excludes transactions for which we have insufficie~l data. Realized Capital Gains and Losses Quantity Security DescriptJon 1375 SCUDDER GRTH&INCH FD SBI 1 SCUDDER GRT~&INC[4 FD SBI 2 SCUDDER GRTH&INCM FI) SBI 2 SCUDDER GRTH&INCM FD SBI 6554 FRNK PA T/F INC FD CL A 13 FP~NK PA T/F INC FD CL A Date of Acquisition 09/02/03 09/24/03 12/19/03 03/26/04 09/02/03 N/A Date of Liquidation o5/21/o4 o5/21/o4 os/2~/o4 05/2i/04 o5/21/o4 os/2z/o~ Sales Price 27,233.41 19.80 39.62 39.62 66,255.74 131.42 BARBARA GERBER TTEE Page 4 ofll Staternenl Period 05101104 TO 05/28104 Account No. 872-56283 Year-to-Date (10,487.28) Cost Basis 34,419.00 18.80 39.08 39.36 69,490.00 Gain or (Loss) (7,185.59) ST 1.00 ST .54 ST .26 ST (3,234.25) ST N/A ACCOUNT Realized Capital Gains and Losses Quanti~ Secudty Description Date of Acquisition Date offLiquidalion 12 FRNK PA T/F INC PD CB A 09/22/03 05/21/04 24 FRNK PA T/F INC FD CL A [0/20/03 05/21/04 25 FRNK PA T/F INC FD CL A ~1/20/03 05/21/04 24 FRNK PA T/F INC FD CL A i2/22/03 05/2[/04 25 FRNK PA T/F INC FD CL A 01/20/04 05/21/04 24 FRNK PA T/F ~C FD CL A 02/20/04 05/2[/04 24 FRNK PA T/F INC FD CL A 03/22/04 05/21/04 25 FRNK PA T/F INC FD CL A 04/20/04 05/21/04 NrA - Resulls which cannel be calculated because of insuf*Acient dala are reflected by an N,~A anto, in the capital gain or (loss) column and are not included in the realized capilal gain and loss summary. Current Portfolio Quant[tN Secudty Description Cash and Money Accounts CASH 302,8~,6 NIL Bank Deposit Prograrn Adjust/Unit Total Eslimat. ed Date Cost Cost Market Acquired Basis Basis Pdce 1 1.00 302,846 1.00 Total Cash and Money Accounts Corporate Bonds 15,0o0 NM BOEING CAPITAL CRP BE 31MAY02 15MAY12 SEMI-PAY 06.000% FIXRATE MOODY'S: A3 S&P: A< 302,847 Estimated Market Value 10,O00 NM GENERAL MTRS ACCPT BE 04JUN02 155UN14 MTLY-PAY 06.750% FIXRATE MOODY'S: A3 S&P: BBB< 1 ]02,846 302,847 20,000 NM BANK AMERICA CORP BE 31MAY02 15MAY27 SEMI-PAY 06.800% FIXRATE MOODY'S: AA3 S&P: A 05./28/02 100.00 15,000 100.40 [5,06[ Total ~orporate Bonds 05/30/02 100.00 10,000 95.94 9,594 q- BARBARA GERBER TTEE Page 5 ofll Slatemer~t Period 05101!04 TO 05;28,'04 05/28/02 100.00 20,000 97.73 19,546 (Y39fr24 45,000 872-56283 44,201 Sales Price 121.31 242.62 252.73 242.62 252.73 242.62 242.62 252.74 Cost Basis Gain or (Loss) [24.56 {3.25) ST 247.44 (4.82) ST 261.25 (8.52) ST 252.24 (9.62) ST 26~.50 [~1.77) ST 254.64 [~2.02) ST 255.84 ([3.22) ST 258.75 (~.01) ST Unrealized Gain or (Loss) Estimated Estimated Current Accrued Annual Yield Interest Income 1,120 .37 1,120 .37 (405) 24 675 7.03 {454) 49 1,359 6.95 (798) 105 2,934 5.6~ 61 32 900 5.97 ACCOUNT Equity Weighting by Economic Sector * A -Heaith C, ace 15% D- Consumer DiscrelJo~ary 0% B - Consumer Slaples {]% E- Industrials 71% C - Infon'nalJon Technology {]% F - Materials 14% ' Economic sectors confocm to the Global Industry Classification Standard. See statement backer. Current Portfolio QuanUty Secudty Description Equities Adjusl/Unlt Dale Cost Symbol Sector Acquired Basis G - Finandals 0% J - Energy 0% H - Telec, ommunicalions Serv-;ces 0% K - Unassigned I - Utilities 0% Total Estimated Estimated Unrealized Estimated Current Cost. Market Market Gain or Annual Yield Basis Price 300 ** ALCOA /NC AA 300 '** PFIZER /NC DEL PV$0.05 PFS 1,584 ** TYCO INTL, LTD NEW COM TYC Total Equities (F) 08/09/00 34.69 10,407 {A) 08/09/00 44.10 13,230 (E) N/A N/A N/A 23,638 Current Portfolio Quantity Security Oescriplion Mulual Funds and Defirted Asset Funds Equity Funds 966 345 AMERICAN INCOME FUND 0F A~ERICA CL C INITIAL PURCHASE: 08/t9/~3 AHBRICAN CAPITAL INCOME BUILDER CL C ]NITIAL PURCHASE: 08/19/03 To~l Equi~ Funds Fixed ~ncome Funds 3 FRANKLIN PENNSYLVANIA Total Cumulative Total Client investment Cost Investment Return Basis $14,988 $14,996 $1,299 14,988 $1,390 15,043 $2,679 30,031 $30 30 BARBARA GERBER TTEE Page $ ofll $~te~en[ Perfod 05101104 TO 05/28t04 Account No. 872-56283 ~:C-~24 e167 31.30 9,390 {1,017) 180 1.91 35.34 10,602 (2,628) 204 1.92 30.79 48,771 N/A 79 .16 68,763 (3,6~5) 463 .67 Esfimat. ed Estimated Unrealized Estimated Current Market Market Gain or Annual Yield PHce Value (Loss) Income % 16.85 16,277 1,289 547 3.36 47.50 16,387 1,343 52/ 3.18 32,664 2,632 1,069 3.27 10.20 30 1 4.53 ACCOUNT Current Portfolio Quanti~y Security Description Mutual Funds and Defined Asset Funds Total Client Invesb'nent Cumulative Total Estimated Estimated Unrealized Investment Cost Market Market Gain or Return Basis Price Value (Loss) Estimated Current Annual Yield Income % TAX FREE INC FUND CL A (.4180 FRACTIONAL SHARE) INITIAL PURCHASE: RErNV N/A ]0.20 4 N/A 4.53 Tofal Fixed Income Funds $30 30 34 $2,7~9 30,061__ 32,699 2,632 1 4.65 Total Funds 1,070 3.27 TOTAL CLIENTINVESTMENT: Cost of shares directly purchased and still held. Does nol inch:de shems purchased through reinvesbment. CUMULATIVEINVESTMENTRETURN: Es1~matect Markel Value minus Total Clienl Investment. Cumulative lnvaslment Relum is the capital apprecia:iort (deprec~atk~) of att shares purchased, including shares purchased lhrough reinvestment Total of Long PortfoEo 401,548. 448,512 To~I of Estimated Accrued Interest * - Excludes MIA Rems 105 < Derived from Moody's and/or S & P rafin[~s fo~- olher debl securities of th4s issuer and provided by a third party vendor. UNREALIZEDGAIN or (LOSS): Estimaled Marke~ Va~ue minus Total Co~t Basis. Provided for Tax P~anning purposes only and is not applicable Io retJ~emenl, aocounls "~enoled by N/A". 1NITI,a~- PURCHASE: D~ale of your ini§al investment in th~s I*urtd. (1,811)* 5,589 1-.25 Statement Activity Date Transaction Security 'fransa~ions 05/24 · Sale 05/24 JoLlrnal Entry 05/26 · Sa]e Net Total BARBARA GERBER TTEE Quantity DescHpllon Price -1,380 -6,750 Stalemer~t Period 05101104 TO 05J28f04 SCUDDER GROgrrH AND INCOME FUND SBI PRICE 19. 810000 FRA~]KLIN PENNSYLVANIA TM FREE INC FUND CL A TR FROM 87252959 N/0 MR MYERS W KNIGHT VS 87252959 UNIT BATCH ~ = 000~70095!2 FP3~NKLI N PENNSYLVAI~2A TAX FREE INC FUND CL A PRICE 10. 110000 Accounl No. 872-56283 19. 810 10. llO Debit CredR 27,332.45 68,237.15 95,569.60 ® ACCOUNT St.etement. Activity Date ?ransaction Dividends and Interest 05/17 ~ Bond Interest 05/17 ~ Bond Interest 05/17 E Bond Interest 05/20 Dividend 05/25 ' Dividend 05/28 R Bank Interest Income Total Nd To~l Funds Received 0~/03 Funds Received 05/03 Funds Received 05/03 Funds Received 05/G3 Funds Received 0~/07 Funds Received 05/07 Funds Received 05/10 Funds Received 05/17 Funds Received Net TotM O~er ActivRv 05/o5 05/19 ~nual Charge Journal Entr~, Journal ~ltry 0 Journal Entry 05/24 05/25 05/26 Ouantily Description Pdce ~4 BANK AMERICA CORP BE 31MAY02 15~Y27 SEMI-PAY 06.800% FIXKATE ~M BOEING CAPITAL CRP BE 3IMAY02 15MA¥12 SEMI-PAY 06.000% FIXRATE NH GENERAL MTRS ACCPT BE 04JUIIO2 15~m3N14 NTLY-PAY 06.750% FIXRATE FRANKLIN PENNSYLVANIA TAX FREE INC FUND Cb A ALCOA INC ~OSDING 300.0000 BANK DEPOSIT INTEREST ML Bank Deposit Pro,ram CASHIER CHK 04/30' 3RD PARTY CK 04/30, 3RD PA3tTY CK 04/30* 3RD PARTY CK 04/30* 3RD PARTY Cd<, 3RD PARTY CK CORPOP~ATE CK 3RD PARTY CK 05/14' C~5% INITIAL ARNUAL FEE TR FROM 87252959 N/O MR MYERS W KNIGHT YT VS 87252959 I/NIT BATC14 ~ - 00037008474 TR FROM 87252959 N/O HR MYERS W KNIGHT TT VS 87252959 UNIT 41N BATCH ~ = 00037009512 TPR FM 872-52959 FRANKLIN PENNSYLVA~NiA TAX PR~ INC FUND CL A TKANSFER FROM 8~2-52959 FRAC SNARE QTY TR .4lBO Debit 125.00 Credl! 680.00 450.00 56.25 223.44 45.00 1.03 44.00 1,499.72 4,590.10 31. 143. Ol 1,015.96 9,629.86 1,807.80 2,503.80 367.32 68~743.59 119,800.64 31.47 %1.00 .56 BARBARA GERBER ]-I'EE Page 8 of11 Stalmenl Pe~od 05101104 TO 05f2810~ Accoun! No. 672-56283 Statement Activity Date Transaction Net Total Statement Activity Date Descdplion Quantity Deposits Withdrawals Description Price Date Description Depos[ts Money Account Tra.sactions 05/03 H5 Bank Deposit Program 05/04 ML Bank Deposit Program 05/05 ML Bank Deposit Program 05/06 ML Bar~-, Deposi~ Program 05/10 ML Bank Deposit Program 05/17 ~IL Bank Deposit Program 1.00 42°439.00 4,311.00 367.00 Tax Information Summary Accrued tnterest Paid Tax-Exempt Reportable Accrued Interest Received Tax-Exempt Reportable 142.00 88.00 05/18 ML Bank Deposit Prcgram 05/24 ML Bank Deposit Program 05/25 HL Bank Deposit Program 05/27 ML Ba~k Deposit Program Total Net Total T~is Sfatement Year-to-Date G~'oss Proceeds 95,569.60 95,569.60 Allhough we provide complete year-to-date in[orma6.~ ~'o~ Reportab4e Accrued Interes! Received. Accrued fr~teres{ Paid and Tax-Exempt Accrued Interest Received and Paid include only those months we Woduce your profit and loss stetemenl. Debit 51.97 Credit Withdrawals 69,930.00 255.00 27,374.00 68,2B2.00 212,959.00 212,729.00 230.00 Summary of Checking Ac~vity Date Date Cleared Wdflen 05/05 04/29 05/04 04/29 05/06 04/30 Check Number Description 101 VERIZON 102 BETHANY VILLAGE 103 ALERT PHAR Total Checking Activity Amount ~7.12 3~940.00 87.45 4,044.57 BARBARA GERBER TrEE Page 9 of11 Sta[emer~! Period 05101/04 TO 05~'28t04 Aocoun! No. 872-56283 PROPOSED SCHEDULE OF DISTRIBUTION Total assets on hand 5/28/04, per Men-ill Lynch statement RESERVES: PA Inheritance tax Rhoads & Sinon LLP, attorneys' fees Rhoads & Sinon LLP, expenses Cash reserve pending receipt of tax approval letter 18,193 6,500 250 10,000 448,512 34,943 413,569 TO: BARBARA K. GERBER One-half share of Trust assets per ARTICLE III (B) $20,000 NM Bank America Corp. BE 31 May 02, 15 May 27, 6.8% $15,000 NM Boeing Capital Crp BE 31 May 02, 15 May 12, 6% $10,000 NM General Motors Accept. BE 04 Jun 02, 15 Jun 14, 6.750% 300 shs. Alcoa Inc. 300 shs. Pfizer, Inc. Del PV $0.05 1,584 shs. Tyco Intl LTD New 966 shs. American Income Fund of America CL C 345 shs. American Capital Income Builder CL C Cash TO: BEVERY K. DORAN One-half share of Trust assets per ARTICLE III (B) Cash TOTAL DISTRIBUTIONS Exhibit "C" 5/28/04 Values 19,546 15,061 9,594 9,390 10,602 48,771 16,277 16,387 61,156 206,784 206,785 413,569 ARTICLE I For good and valuable consideration, the Trustor, Myers W. Knight of Enola, Pennsylvania, County of Cumberland, hereby transfers, conveys, and delivers to the Trustees and their successors the property listed in Schedule "A" or supplemental schedules annexed hereto and incorporated herein by reference, to have and to hold the same, and any cash, securities, or other property which the Trustees may, pursuant to any of the provisions hereof, at any time hereafter hold or acquire, all of such property being hereinafter referred to collectively as the "Trust Estate" for the uses and purposes and upon the terms and conditions herein set forth. ARTICLE !1 'Di po itio Li -c During the life of the Trustor, the TrUstees shall hold, manage, invest, and re-invest the Trust Estate; and shall c°lleet the income thereof and shall dispose of the net income and principal as follows: A. The TrUstees shall pay to the Trustor all of the net income of this Trust, in monthly or other convenient installments, but at least annually. The Trustees may, in their discretion, pay or apply for the benefit of the Trustor, in addition to the income payments herein provided for, such amounts of the principal of the Trust Estate, up to the whole thereof, as the Trustees may from time to time deem necessary or advisable for the use and benefit of the Trustor. ARTICLE !11 'Dispositio A. Upon the death of the Trustor, the property of the trust, and including also any other portions added thereto from the estate of the Trustor or other sources, along with the undistributed income shall be held in trust and shall be administered and disposed of as follows: B. Barbara K. Gerber, (daughter shall receive a 50% share), Beverly K. Doran, (daughter shall receive a 50% share). Individual beneficiaries will receive their portion of the trust 'estate as follows: at the age of Twenty-five (25). Exhibit "D" C. And as thusly divided, each said share or part shall be held as a separate trust for the benefit of the person or persons for whom it was set aside and shall be held, administered, and distributed as follows: 1. The Trustees may use and expend or apply so much or all of, first, the income, and second, the principal of the trusts hereby created for the benefit of a beneficiary hereof, and said mounts shall be used as the Trustees determine necessary or advisable and in such reasonable manner as the Trustees see fit, to provide for the health, reasonable comfort, education, support, and maintenance of the beneficiary for whom such trust shall have been created. Provided, however, that in determining said amounts the Trustees shall first take into account the needs, assets, and other available sources of income and support of a beneficiary thereof. Provided, further, however, the said powers of encroachments upon the beneficiary0s share shall be limited to the respective shares held for the respective beneficiary. 2. As and when a beneficiary shall meet the requirements designated in paragraph B, above, the Trustees shall distribute to said respective beneficiary the share of the Trust estate for him or her, free and clear of trust. 3. If any of the individual beneficiaries shall be deceased, then the Trustees shall divide the shares or part for the deceased beneficiary into as many equal shares as may be necessary to provide one part or share for the then living descendants of the deceased beneficiary,, they taking per stirpes; or, in the event a beneficiary is for any reason unable or unwilling to take any portion of his share of the Trust Estate pursuant to the above paragraphs of this Article III, then such portion shall be distributed to his or her living descendants equally, they taking per stirpes, and if there be no such descendants, then such funds shall be equally divided between such beneficiaty's then-living brothers and sisters, and if there be no brother or sister then living, then such funds shall be divided equally between the descendants of such beneficiary's brothers and sisters, they taking per stirpes, and if there be no descendants of such beneficiary's brothers or sisters then living, then the Trustees shall add that portion of the property of that beneficiary to the other portions of the other living beneficiaries, and if there are no other hying beneficiaries then such funds shall be divided equally between the living heirs at law of the Trustor; provided, further, that said heirs at law of each of the Trustors shall take the Trust property, in the same priority and in the same distributive order as listed in the Pennsylvania law of intestate succession, as in force on the date of the signing of this Trust Agreement. And as thusly divided, each said share or part shall be held as a separate trust for the benefit of the person or persons for whom it was set aside and shall be held, administered, and distributed according to subparagraphs 1., 2., and 3., of paragraph C., Article III. Notwithstanding anything contained to the Contrary in this paragraph, if, under the provisions of this subparagraph 3., of paragraph C., Article III, any person who does not yet meet the requirements designated in paragraph B, above, shall become entitled to a share of the Trust Estate, such share shall not be distributed to such beneficiary, but shall be retained in trust for said beneficiary's benefit, and shall be held, administered, and disposed of according to subparagraphs 1., 2., and $., of paragraph C., Article III. 4. If under the terms of this Article III, upon the death of any beneficiary, any other person for whom a share or portion is being held in trust shall become entitled to an additional share or portion, such additional share or portion shall not be delivered free of trust, but shall be added to the principal of the share or portion held in trust for such person and shall go as and with the same. 5. At the death of the Trustor, the Trustees shall distribute all of the Trustor's personal effects or other assets, including any contents of the Trustor's residence, to the persons named in one or more letters of instructions, entitled "Disposition of Personal Effects" referring to Article III., Subparagraph C., of this Trust Agreement, dated and signed by the Trustor and located among the Trustor's important papers at the time of his or her death. In the event that the Trustor has inadvertently named two or more persons to take a particular item, then the most recently dated letter of instruction shall control. 6. If any beneficiary .named in paragraph B, above, is an organization, and such organization does not exist at the time of the death of the Trustor, then, if the organization was a charitable institution, the share designated 'for that charitable organization shall be distributed to another organization, chosen by the trustees, who has similar purposes and functions as the charitable organization that no longer exists. If the organization was not a charitable institution then the share designated for such organization shall be added back to the balance of the trust estate and divided to the other beneficiaries named in paragraph B, above. 7. A trustee in its discretion may terminate and distribute any trust hereunder if the trustee determines that the costs of continuance thereof will substantially impair accomplishment of the purposes of the trust. The trustee shall termin ate and forthwith distribute any trust created hereby, or by exercise of a power of appointment hereunder. Distribution under this section shall be made to the persons then entitled to receive or have the benefit of the income from the trust in the proportions in which they are entitled thereto, or if their interests are indefinite, then in equal shares. D. Whenever used herein, the term "issue", "child", "children", and "descendants": include adopted issue, adopted child, adopted children and adopted descendants, as well as natural issue, natural child, natural children, and natural descendants, and include descendants of adopted issue, adopted child, adopted children, and adopted descendants. Provided, however, adopted issue who are also natural issue shall take 'their share of the Trust Estate only in one capacity, such capacity being the one which grants to such issue the larger share. Where applicable, the masculine includes the feminine, and vice versa, and the neuter includes the masculine or feminine, and vice versa. Where applicable, the singular includes the plural and vice versa. ARTICLE IV No beneficiary of this trust, other than a Trustor, shall have any fight to alienate, encumber or hypothecate his/her interest in the trust to claims of his/her creditors, or to render such interest liable to attachment, execution, or other process of law. The income of this trust shall not be pledged,' assigned, transferred, sold or accelerated, anticipated or encumbered in any manner whatsoever by any beneficiary, nor shall any income of the trust be in any manner subject or liable in the hands of the Trustees for the debts, contracts or encroachments of any beneficiary or be subject to any assignments or any other voluntary or involuntary alienation or disposition whatsoever. If the creditor of any beneficiary, other than a Trustor, who is entitled to any distributions from a trust established under this instrument shall attempt by any means to subject to the satisfaction of his claim such beneficiarY.s interest in distribution, then, notwithstanding any other provision herein, until the release of the writ of attachment or garnishment or other process, the distribution set aside for such beneficiary shall be disposed of as follows: 1. Distribution to Beneficiary. The Trustees shall pay to or apply for the benefit of such beneficiary such sums as the Trustees shall determine to be necessary for the reasonable health, education (including study at institutions of higher learning) and support of the beneficiary according to his or her accustomed mode of life. 2. Disposition of Excess. The portion of the distribution that. the Trustees shall determine to be in .excess of the amount necessary for such health, education (including study at institutions of higher learning) and support shall be added to and become principal of the trust share of such beneficiary and will be paid to said beneficiary or subsequent heirs in a manner to maximize the benefit to the beneficiary without compromise of the intent of this trust to provide an inheritance to the heirs. ARTICLE V If any provisions of this trust are held to be invalid, none of the other provisions shall be thereby rendered invalid or inoperative as long as the remaining Trust Agreement does not frustrate the intents of the Trustor, but tends to aee°mplish his or her overall objectives. ARTICLE VI In any event, and anything to the contrary herein contained notwithstanding, the trusts created in this agreement shall terminate upon the day next preceding the expiration of twenty- one (21) years after the death of the Trustor and their issue now living, in the event these trusts shall not have previously terminated in accordance with the terms hereof. In the event of terrain ation of these trusts as provided for in this paragraph, the Trustees shall distribute the Trust Estate as it shall then be constituted, together with any new income, to the beneficiaries then entitled to the income from the Trust Estate in the same proportions in which they are entitled to such income. ARTICLE VII A. The following people will act as Trustees in the following order of succession: FIRST: Myers W. Knight SECOND: At the death of the Trustor, the following, shall serve as successor Trustees, in the order listed: Barbara IC Gerber and Beverly IC Doran, acting together and then either Barbara K. Gerber or Beverly K. Doran, acting alone. The executor for the heirs is Barbara K. Gerber, who may speak on behalf of any minor beneficiaries. THIRD: Trustee(s) chosen by a majority of the beneficiaries, with a parent or legal guardian voting for minor beneficiaries; provided, however, that the issue of any deceased child shall have collectively only one vote. B. 'A majority of the trustees, whether individual or corporate, shall have the power to make any decision, undertake any action, or execute any documents affecting the Trusts created herein. In the event of a difference of opinion among the Trustees, the decision of a majority of them shall prevail; but the dissenting 'or nonassenting trustees shall not be responsible for any action taken by the majority pursuant to such decisions. If only two individual Trustees are in office, they must act unanimously. If an individual and a corporate Trustee are in office, the determination of the Individual Trustees shall be binding. C. Any Trustees may from time to time delegate to one or more of the remaining Trustees any powers, duties, or discretions. Every such delegation shall be made by a writing delivered to the delegate or delegates, and shall remain effective for the time therein specified or until earlier revocation by a writing similarly delivered. Every one dealing with the Trustees shall be absolutely Protected in relying upon the certificate of any Trustees as to who are the Trustee(s) for the time being acting, and as to the extent of their authority by reason of any delegation or otherwise. D. No Trustees named above need give bond in any jurisdiction. If a fiduciary's bond may not be dispensed with, the Trustor requests that the bond be accepted without surety and in the lowest possible amount. In the absence of breach of trust, no Trustees shall ever be required to qualify before, be appointed by, or account to any court, or obtain the order or approval of any court in the exercise of any power or discretion herein given. The Trustees are entitled to ordinary and reasonable compensation for services rendered in the administration and distribution of the estate. ARTICLE VIII A. The Trustees shall have full power to do everything in administering these trusts that they deem for the best interests of the beneficiaries (whether or not it be authorized or appropriate for fiduciaries but for this broad grant of authority), including power: 1. To acquire by purchase or otherwise, and to retain so long as they deem advisable, any kind of realty or personal property, or undivided interests therein, including common and preferred stocks, bonds, or other unsecured obligations, options, warrants, interests in investment trusts and discretionary common trust funds, all without diversification as to kind or amount, without being limited to investments authorized by law for the investment of trust funds, and power to hold or take title to property in the name of a nominee. 2. To sell for cash or on credit, at private or public sale, exchange, hypothecate, sell short, or otherwise dispose of any real or personal property. 3. To make distributions, including distributions to themselves as Trustees, in kind or in money or partly in each, even if shares be composed differently; for such purposes, the valuation of the Trustees shall be given effect if reasonably made. 4. If, in the Trustees' discretion, any beneficiary (whether a minor or of legal agei is incaPable of making proper disposition of any sum of income or principal that is payable or appointed to said beneficiary under the terms of this Trust Agreement, the Trustees may apply said sum to or on behalf of the beneficiary by any one with whom the beneficiary resides, or by payments in discharge of the beneficiary:s bills or debts, including bills for premiums on any insurance policies, or by paying an allowance to a beneficiary directly. The foregoing payments shall be made without regard to other resources of the beneficiary, or the duty of any person to support the beneficiary and without the intervention of any guardian or like fiduciary; provided, however, that the Trustees shall ensure and see to the application of the funds for the benefit of the beneficiary, so that the funds will not be used by any adult person, or any other person for a purpose other than the direct benefit of the beneficiary, and particularly so that said funds will not be diverted for the purpose of support and education of said beneficiary. 5. To determine whether and to what extent receipts should be deemed income or principal, whether or to what extent expenditures should be charged against principal or income, and what other adjustments should be made between principal and income, provided such adjustments do not conflict with well-settled rules for the determination of principal and income questions. 6. To delegate powers to agents including accountants, investment counsel, appraisers, legal counsel, and other experts, remunerate them and pay their expenses; to employ custodians of the Trust assets, bookkeepers, clerks, and other assistants and pay them out of income or principal. 7. To renew, assign, alter, extend, compromise, release, with or without consideration, or submit to arbitration or litigation, obhgations or claims held by or asserted against the Trustor, the Trustees, or the Trust Assets. 8. To borrow money from others for the payment of taxes, debts, or expenses, or for any other purpose which, in the opinion .of the Trustees, will facilitate the administration of these trusts, and pledge or mortgage property as security for such loans; and, if money is borrowed from any Trustees, individually, to pay interest thereon at the then-prevailing rate of interest. 9. .To lease, or grant options to lease, for periods to begin presently or in the future, without regard to statutory restrictions or the probable duration of any trust; to erect or alter buildings or otherwise improve and manage property; demolish buildings; make ordinary and extraordinary repairs; grant easements and charges; make partywall contracts; dedicate roads, subdivide; adjust boundary lines; partition and convey property or give money for equity of partition; to be either a general or limited partner. 10. To enter into transactions with any other trust in which the Trustor or the beneficiaries of the Trust Agreement, or any of them, have beneficial interests, even though any Trustee of such other trust is also a Trustee under this Trust Agreement. 11. To exercise all the foregoing powers alone or in conjunction with others, even though any of the Trustees are personally interested in the property that is involved, notwithstanding any rules of law relating to divided loyalty or self-dealing. 12. The Trustees may engage in the practice of writing options on all recognized exchanges and buy and sell, on margin or otherwise (including "short" sales), securities of every nature, limited partnerships, and commodities. ~' 13. The Trustees may make gift transactions. However, no Trustee, other than the Trustor acting as Trustee, shall have the power to make gifts, other than to the spouse of the Trustor, if any, in excess of the amount excluded from gift tax under section 2503(b) of the Internal Revenue Code of 1986, as amended, or any successor thereto. No Trustees, other than the Trustor acting as Trustee, shall be authorized to make gifts to charities except in satisfaction of a written pledge of the Trustor. No Trustee, other than the Trustor acting as Trustee, shall be authorized to make gifts to any person who is not a descendant of the Trustor or a beneficiary under this Trust or of the Last Will .and Testament of the Trustor, or the spouse of such descendant or beneficiary. B. Any Trustee may decline to act or may resign as Trustee at any time by delivering a written resignation to the beneficiaries of a trust then subsisting. C. From the income of the trusts hereby created, or, if that be insufficient, from the principal thereof, the Trustees shall pay and discharge all expenses incurred in the administration of the Trusts. D. No successor Trustees shall be liable for any misfeasance of any prior Trustees. ARTICLE IX During physical or mental incapacitation, the Trustor herein appoints the successor trustees, during said period of incapacitation. The successor trustees will act as Trustee, Guardian, Executor, or in any other legal capacity, whether appointed orally or in writing, and supervise all matters in which the Trustor had the fight to act if he or she had not become incapacitated. Incapacitation shall be established either by a court of competent jurisdiction or by a written statement filed with the Trustees and signed in good faith by two (2) physicians unrelated to the Trustor or the beneficiaries. During any period of incapacity or incompetency of the Trustor the Trust is irrevocable and unamendable in regard to its operation or disposition for the affected Trustor. If the Trustor regains competency, the trust will again become amendable and revocable. ARTICLE X A. It is understood that the Trustor or any other person may grant, and the Trustees may receive, as part of this Trust, additional real and personal property, by assignment, transfer, deed, or other conveyance, or by any other means, testamentary'or inter vivos, for inclusion in the Trust herein created. Any such property so received by the Trustees shall become a part of the Trust and shall become subject to the terms of this Agreement. B. It is specifically the intention of the Trustor that all real and personal properties now owned by the Trustor are to be a part of this Trust; provided further, that all future real and personal properties acquired by the Trustor are to be a part of or to automatically become a part of this Trust at the time acquired by the Trustor. ARTICLE Xi Pm ies No purchaser, and no issuer of any stock; bond or other instrument evidencing a deposit of money or property, or other person dealing with the Trustees hereunder with respect to any property hereunder as purchaser, lessee, party to a contract or lease, or in any capacity whatsoever, shall be under any obligation whatsoever to see to the disbursing of money paid to the Trustees or to the due execution of this Trust, in any particular, but such persons shall be absolutely free in dealing with the Trustees on the same basis as though the Trustee(s) were the absolute owner of the said property, without any conditions, restrictions, or qualifications whatsoever. ARTICLE Xll A. As long as the Trustor is alive, the right is reserved to amend, modify, revoke, or remove from this Trust any and all property, in whole or in part, including the principal, and the present or past undisbursed income from such principal. On the death of the Trustor, the remainder of the Trust Estate, and the trusts created hereinafter, may not be amended, revoked, or terminated, other than by disposition of the trust property to the beneficiaries according to the terms stated herein. B. While the Trustor is alive, full authority is retained, in his/h~r discretion, to sell, convey, or mortgage property, without disclosing their capacity as Trustees of this Trust Agreement; any such sale or Conveyance of property in accordance with this provision, shall be considered as, and shall cause, a partial revocation of the Trust with respect to the property so conveyed or sold, and shall be sufficient to remove said property from the Trust. ARTICLE XIII The interest of the beneficiaries is a present vested interest which shall continue until this Trust is revoked or terminated other than by death. ARTICLE XIV This Agreement shall be construed and regulated by the laws of the Commonwealth of Pennsylvania. ARTICLE XV Should a catastrophic illness occur to the Trustor while living, the successor trustees shall manage the Trust Estate to the greatest advantage to the beneficiaries. Catastrophic illness shall be defined as an illness that renders the Trustor incompetent or not capable of caring for himself or herself such that full-time care is required, and it is reasonably anticipated that such care shall be needed for a period of six months or longer. Upon the implementation of the provisions' of this article, other provisions not withstanding, the Trust shall become an "income only" Trust, in which none of the corpus of the Trust shall be distributed to the Trustor during the time of the catastrophic illness, but will be held for the benefit of the Trustor, in anticipation of their recovery from the catastrophic illness.' ARTICLE XVI In the event that any beneficiary under this trust shall, singly or in conjunction with any other person or persons, contest in any court the validity of this trust or of a deceased Co-Trustor's Last Will or shall seek to obtain an adjudication in any proceeding in any court that this trust or any of its provisions, or that such Will or any of its provisions, is void, or seek otherwise to void, nullify, or set aside this trust or any of its provisions, then the fight of that person to take any interest given to him by this trust shall be determined as it would have been determined had the person predeceased the execution of this Trust Agreement. The Trustees are authorized to defend, at the expense of the trust estate, any contest or other attack of any nature on this trust or any of its provisions. In Witness Whereof, the Trustor has executed the foregoing Trust Agreement, dated the ~ day of ~ e~-Lev,,,~-ea" , 19 c~o Trustor: Myers W. Knight Trustee(s): Myers W. Knight Certificate of Acknowledgement of Notary Public Commonwealth of Pennsylvania) County of Cumberland) On this ~c3 day ofgeo~e,,-.~o_c' , A.D. 19 q~ , appeared before me Myers W. Knight, as Grantors, and Myers W. K~ight, as Trustee(s), l~ersonally known to me (or proved to me on the basis of satisfactory evidence) to be the person whose name is subscribed in this instrument, and acknowledged that he/she executed it. Notary Public My Commission Expires Residing in Notarial Seal Glenn W. Hebert, Notary Public Nnrlh Newton Two,, Cumberland County My CommlsslollExpires May 8, 2000 NOTARY SEAL: BUREAU OF INDZVZDUAL TAXES INHERZTANCE TAX DIVISION DEPT. 280601 HARRISBURG, PA 171Z8-0601 STANLEY A SMITH RHOADS & SIMON PO BOX 1146 HB$ PA 17108 COHNONNEALTH OF PENNSYLVANIA DEPARTNENT OF REVENUE NOTICE OF INHERITANCE TAX APPRAZSENENT, ALLONANCE OR DZSALLO#ANCE OF DEDUCTIONS AND ASSESSNENT OF TAX DATE ESTATE OF DATE OF DEATH FILE NUNi~ER COUNTY ACN I 08-16-2004 NYERS 05-25-2004 21 04-0592 CUHBERLAND 101 Amoun1: Remit:t:ed CUT ALONG THIS LEflE ':~ RETAIN LO#ER PORTION FOR YOUR RECORDS ~ ~'V-£~-7-~i~i~--~'I-'-~-~-Z-~'-~-'ZNHERZTANCE TAX APPRAZSEHENT, ALLO#ANCE OR ...... '~ ~ D:~SALLO#ANCE OF DEDUCTIONS AND ASSESSNENT OF TAX ESTATE 0~ii;:i ERS ."::~,. KNIGHT N F/LE NO. Z1 04-0592 ACN 101 DATE b~. /~ RETURN HAS: ( X} ACCEPTED AS F[LED { } CHANGED RESERVATION CONCERNING FUTURE ZNTEREST - SEE REVERSE REV-lSd7 EX AFP KNIGHT N HAKE CHECK PAYABLE AND RENZT PAYNENT TO: REGISTER OF HILLS CUHBERLAND CO COURT HOUSE CARLISLE, PA 17013 08-16-2004 APPRAISED VALUE OF RETURN ]~ASED ON.' ORIGINAL RETURN 1. Real Es1:e1:e (Schedule A) (1) 2. S1:ocks and Bonds (Schedule B) (2) 5. CZosely Held S1:ock/Par1:nership InA:eras1: (Schedule C) (:5) ~. Hort:geges/No1:es Receivable (Schedule D) (~) S. Cash/Bank Daposi1:s/Nisc. Personal Proper1:y (Schedule E) ($) 6. Join1:ly Owned Proper1:y (Schedule F) (6) 7. Transfers (Schedule G) (7) 8. To1:al Asse1:s APPROVED DEDUCTZONS AND EXEMPTZONS: 9. Funeral Expenses/Adm. Cos1:s/Misc. Expanses (Schedule H) (9) 10. Dab1:s/Mor1:gage LAabili1:Aas/Lians (Schedule T) (10) 11. TGi:al Deduc1:ions 12. Ne1: Value of Tax ReA:urn $96.14 .00 NOTE: To insure proper .00 credi1: 1:o your accoun1:, .00 submi1: 1:he upper por1:ion .00 of 1:his form wi1:h your (B) 445,966.56 14,209.44 4~198.$6 (11) 18.407.80 (12) 425,558.76 ZF PAID AFTER DATE ZND/CATED, SEE REVERSE FOR CALCULATION OF ADDITIONAL /NTEREST. TAX CREDITS: PAYHENT DATE 06-22-2004 15. 1~. NOTE: ASSESSNENT OF TAX: 15. Amoun1: of Line 1~ al: Spousal ra1:e (15). 16. Amoun1: of LAne 1~ 1:axebla al: Lineal/Class A ra1:e (16) 17. Amoun1: of LAne lfi al: Sibling ra1:a (17) 18. Amoun1: of Line 1~ 1:axable al: Colla1:eral/Class B ra1:e (18) 19. PrincApal Tax Due NUNBER CD004078 DZSCOUNT (+) ZNTEREST/PEN PAID (-) 957.51 reflect figures that lnclude the total of ALL returns assessed to date. · O0 x O0 = . O0 425,558.76 x 045= 19,150.14 · O0 x 1Z = . O0 · 00 x 15 = .00 (19)= 19,150.14 AHOUNT PAZD 18,192.6~ CharA1:able/Governmen1:al Beques1:s; Non-alec1:ed 911:5 Trust:s (Schedule J) (13) Ne~ Value of Es1:a1:e Sub~ec1: t:o Tax (1~) :Zf an assess;ant ~as issued previously, lines 1~, 15 and/or 16, 17, 18 and 19 ~ill TOTAL TAX CREDZT DALANCE OF TAX DUE ZNTEREST AND PEN. TOTAL DUE .00 .00 ( IF TOTAL DUE ZS LESS THAN $1, NO PAYNENT ZS REQUIRED. ZF TOTAL DUE ZS REFLECTED AS A "CREDIT" (CR), YOU NAY BE DUE A REFUND. SEE REVERSE SIDE OF THIS FORN FOR TNSTRUCTZONS.) .00 425,558.76 .00 RESERVATION: Estates of decedents dying on or before December 1Z) 198Z -- if any futura interest in the estate is transferred in possession or enjoyment to Class B (collateral) beneficiaries of the decedent after the expiration of any estate for life or for years) the Comaonaealth hereby expressly reserves the right to appraise and assess transfer Inheritance Taxes at the lawful Class B (collateral) rate on any such future interest. PURPOSE OF NOTICE: PAYMENT: REFUND (CR): OBJECTIONS: ADMIN- ISTRATIVE CORRECTIONS: DISCOUNT: PENALTY: INTEREST: To fulfill the requirements of Section ZlqO of the Inheritance and Estate Tax Act) Act 25 of ZOO0. (7Z P.S. Section Detach the top portion of this Notice and submit with your payment to the Regis[ar of Hills printed on the reverse side. --Make check or money order payable to: REGISTER OF NILLS, AGENT A refund of a tax credit, ehich ems nat requested on the Tax Return, may be requested by completing an "Application for Refund of Pennsylvania Inheritance and Estate Tax" (REV-1515). Applications ara available at the Office of the Register of Hills, any of the Z5 Revenue District Offices) or by calling the special Zq-hour enamoring service for forms ordering: 1-800-56Z-2050; services for taxpayers aith special hearing and / or speaking needs: 1-BOO-~qT-5OZO (TT only). Any party in interest not satisfied with the appraisement, allowance) or disallowance of deductions, or assessment of tax (including discount or interest) as sheen on this Notice must object within sixty (60) days of receipt of this Nc[ice by: --written protest to the PA Department of Revenue, Board of Appeals, Dept. Z810Z1) Harrisburg) PA 17lIS-lOll, OR --election to have the matter determined at audit of the account of the personal representative) OR --appeal to the Orphans' Court. Factual errors discovered on this assessment should be addressed in writing to: PA Depar~ent of Revenue) Bureau of Individua! Taxes, ATTN: Post Assessment Review Unit) Dept. Z80601) Harrisburg, PA 17128-060! Phone (717) 787-6505. See page S of the booklet "Instructions for Inheritance Tax Return for a Resident Decedent" (REV-1501) for an explanation of administratively correctable errors. If any tax due is paid within three (5) calendar months after the decedent's death) a five percent (mX) discount of the tax paid is allowed. The 15Z tax amnesty non-participation penalty is computed on the total of the tax and interest assessed) and not paid before January 18, 1996) the first day after the end of the tax amnesty period. This non-participation penalty is appealable in the same manner and in the the same time period as you would appeal the tax and interest that has been assessed as indicated on this no[ica. Interest is charged beginning with first day of delinquency, or nine (9) months and one (l) day from the date of death, to the date of payment. Taxes which became delinquent before January 1, 198Z bear interest at the rate of six (6X) percent par annum calculated at a daily rate of .00016q. All taxes which became delinquent on and after January 1) 198Z will bear interest at a rate which will vary from calendar year to calendar year with that rate announced by the PA Department of Revenue. The applicable interest rates for 198Z through ZOOq ara: Interest Daily Interest Daily Interest Daily Year Rate Factor Year Rate Factor Year Rate Factor 1982 2gl .00OSq8 ~'~'8-1991 llX .OOO30l ~ 9X .OOOZq7 1985 16Z .000¢58 199Z 9Z .O00Z~7 ZOOZ 6Z .00016~ 198q llZ .000501 1995-199q 7Z .000192 ZOO5 5Z .000157 1985 15Z .000556 1995-1998 9Z .OOOZq? 200¢ qZ .000110 1986 IOZ .O00Z7fi 1999 7Z .00019Z 1987 lOX .O00Z7fi ZOO0 7Z .00019Z --Interest is calculated as follows: INTEREST = BALANCE OF TAX UNPAID X NUNBER OF DAYS DELINQUENT X DAILY INTEREST FACTOR --Any Notice issued after the tax becomes delinquent will reflect an interest calculation to fifteen (15) days beyond the date of tho assessment. If payment is made after tho interest computation date shown on the Notice, additional interest must be calculated. REGISTER OF WILLS CUMBERLAND COUNTY, PENNSYLVANIA CERTIFICATION OF NOTICE UNDER RULE 5.6(al Name of Decedent: BERTHA L. TROUT Date of Death: 12/11/2004 Will No. 2101-00592 Admin. No. 21 - 01 - 0592 To the Register: I certify that notice of (beneficial interest) estate administration required by Rule 5.6(a} of the Orphan's Court Rules was served on or mailed to the following beneficiaries of the above-captioned estate on 3/22/2005 Name Address GEORGE W. OFFEN BERGER, JR. LOUIS 5. GARIANO PO BOX 137 WOODBINE NJ 08270 9250 EL CENTRO LAS CRUCES NM 88012 PO BOX 243 ORGAN NM 88052 PO BOX 37 ORGAN NM 88052 JEFF M. GARIANO KATHLEEN G. GARIANO LINDLEY Notice has now been given to all persons entitled thereto under Rule 5.6(a} except NONE Signature Date: 3/22/2005 Name: HAROLD S. IRWIN. Address: 64 SOUTH PITT STREET CARLISLE PA 17013 ("'J (".1 Telephone(717) - 2436090 Capacity: x Personal Representative Counsel for Personal Representative .,