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Home My WebLink About01-30-06 WILMINGTON TRUST Wilmington Trust Company Rodney Square North 1100 North Market Street Wilmington, DE 19890-0001 Certified Mail No. 7002 0860 0006 1344 8801 January 12,2006 Register of Wills of Cumberland County One Courthouse Square Carlisle, PA 17013-3387 RE: Estate of Florence N. Vipond Date of Death: March 21, 2005 SSN: 107-16-6337 File No. 21-05-0440 Dear Sir or Madam: Enclosed in duplicate is the Pennsylvania Inheritance Tax Return, Form REV -1500, for the above named estate which indicates no tax due. Also enclosed is a copy of the Federal Estate Tax Return, Form 706, that was filed with the Internal Revenue Service. Please acknowledge receipt of the enclosures by signing and returning the enclosed copy of this letter of transmittal. Sincerely, ~ryyt &tL Peter M. Cella Senior Trust Officer (302) 651-1126 Enclosures REV-.1500 EX (6-001 OFFICIAl USE ONLY COMMONWEAL TH OF PENNSYLVANIA DEPARTMENT OF REVENUE DEPT. 280601 HARRISBURG, PA 17128-0601 REV-1500 INHERITANCE TAX RETURN RESIDENT DECEDENT FILE NUMBER ~L COUNTY CODE ~L 0440 ___ YEAR NUMBER w ~ lil:~CI) (.) lXlil: wl1.(.) J:oo (.) lX...J I1.ID 11. c( t- Z W C w o w c DECEDENrs NAME (LAST, FIRST, AND MIDDLE INITIAL) vi ond Florence DATE OF DEATH (MM-DD-YEAR) DATE OF BIRTH (MM-DD-YEAR) 3/21/2005 2/9/1918 (IF APPLICABLE) SURVIVING SPOUSE'S NAME (LAST, FIRST, AND MIDDLE INITIAL) REGISTER OF WILLS SOCIAL SECURITY NUMBER N SOCIAL SECURITY NUMBER 107-16-6337 THIS RETURN MUST BE FILED IN DUPLICATE WITH THE [iJ 1. Original Return UU 4. Limited Estate UU 6. Decedent Died Testate (Attach copy of Will) D 9. Litigation Proceeds Reeeived D 2. Supplemental Return D 3. Remainder Return (date of death prior to 12-13-82) [i] 4a. Future Interest Compromise (date of death after 12-12-82) [iJ 5. Federal Estate Tax Return Required [iJ 7. Decedent Maintained a Living Trust (Attach copy of Trust) L 8. Total Number of Safe Deposit Boxes D 10. Spousal Poverty Credit (da'e of dealh between 12-31-91 and 1.1-95) D 11. Election to tax under Sec. 9113(A)(AltaChSchO) I- Z W C Z o c. rn w a: a: o (.) THIS SECTION MUST BE COMPLETED. ALL CORRESPONDENCE AND CONFIDENTIAL TAX INFORMATION SHOULD BE NAME COMPLETE MAILING ADDRESS Peter M. Cella, Senior Trust Officer FIRM NAME (If Applicable) Wilmington Trust Company TELEPHONE NUMBER 1100 North Market Street Wilmington, DE 19890-0001 302-651-1126 z o ~ :5 :::I t- o:: <( o w 0::: 1. Real Estate (Schedule A) 2. Stocks and Bonds (Schedule B) (2) 0.00 742,288.21 754,820.00 0.00 36,424.46 0.00 r . ~ (1) pFFICIAl USE or\iL't; LJ". 1 1~ 3. Closely Held Corporation, Partnership or Sole-Proprietorship (3) : ~) 4. Mortgages & Notes Receivable (Schedule D) 5. Cash, Bank Deposits & Miscellaneous Personal Properly (Schedule E) (4) (5) ._J 6. Jointly Owned Properly (Schedule F) (6) o Separate Billing Requested 7. Inter-Vivos Transfers & Miscellaneous Non-Probate Properly (7) (Schedule G or L) ,~--) V) 2,121,017.92 8. Total Gross Assets (total Lines 1-7) 9. Funeral Expenses & Administrative Costs (Schedule H) (9) (8) 96,577.90 0.00 3,654,550.59 10. Debts of Decedent, Mortgage Liabimies, & Liens (Schedule I) (10) 11. Total Deductions (total Lines 9 & 10) (11) 96,577.90 3,557,972.69 0.00 12. Net Value of Estate (Line 8 minus Line 11) 13. Charitable and Governmental Bequests/See 9113 Trusts for which an election to tax has not been made (Schedule J) (12) (13) 14. Net Value Subject to Tax (Line 12 minus Line 13) (14) 3,557,972.69 SEE INSTRUCTIONS ON REVERSE SIDE FOR APPLICABLE RATES 15. Amount of Line 14 taxable at the spousal tax z rate, or transfers under Sec. 9116 (a)(1.2) o ~ 16. Amount of Line 14 taxable at lineal rate ~ ::l ~ 17. Amount of Line 14 taxable at sibling rate o (.) 18. Amount of Line 14 taxable at collateral rate >< ~ 19. Tax Due 20.0 0.00 x.O L(15) x.O ~(16) x .12 (17) x .15 (18) (19) 0.00 3,557,972.69 160,108.77 0.00 0.00 0.00 0.00 160,108.77 CHECK HERE IF YOU ARE REQUESTING A REFUND OF AN OVERPAYMENT 3W46451.000 > > BE SURE TO ANSWERALL QUESTIONS ON REVERSE SIDE AND RECHECK MATH < < ~ Estate of Florence N Vipond 107-16-6337 Executors (Page 1) Name Address Jonathan Vipond, III 3728 Lisburn Road Tax ID Mechanicsburg, PA 17055- 188-36-7532 Name Address Wilmington Trust Company 1100 North Market Street Tax ID Wilmington, DE 19890-0001 51-0055023 . Decedent's Complete Address: STREET ADDRESS 1 Lon sdorf Cumberland CI1Y Carlisle STATI: PA ZIP 17013 - Tax Payments and Credits: 1. Tax Due (Page 1 Line 19) 2. Credits/Payments A. Spousal Poverty Credit 8. Prior Payments C. Discount (1) 160,108.77 0.00 152,214.03 7,894.74 3. InteresUPenalty if applicable D. Interest E. Penalty Total Credits (A + 8 + C) (2) 160,108.77 0.00 0.00 TotallnteresUPenalty (D + E) (3) 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) 0.00 5. If Line 1 + Line 3 is greater than Line 2, enter the difference. This is the TAX DUE. (5) 0.00 A. Enter the interest on the tax due. (SA) 0.00 8. Enter the total of Line 5 + SA. This is the BALANCE DUE. Make Check Pa able to: REGISTER OF WILLS, AGENT (58) 0.00 PLEASE ANSWER THE FOLLOWING QUESTIONS BY PLACING AN "X" IN THE APPROPRIATE BLOCKS 1. Did decedent make a transfer and: 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; . c. retai n a reversionary interest; or " . . . . . . . . . . . . . . . . . . . . . . d. receive the promise for life of either payments, benefits or care? . . . . . . . . . 2. If death occurred after December 12, 1982, did decedent transfer property within one year of death without receiving adequate consideration? . . . . . . . . . . . . . . . . . . . . . . . . . . .. D 3. Did decedent own an "in trust for" or payable upon death bank account or security at his or her death? D 4. Did decedent own an Individual Retirement Account, annuity, or other non-probate property which contains a beneficiary designation? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . " D ~ IF THE ANSWER TO ANY OF THE ABOVE QUESTIONS IS YES, YOU MUST COMPLETE SCHEDULE G AND FILE IT AS PART OF THE RETURN. Yes No D D D D ~ ~ ~ Ul ~ O!l entaUve is based on all information of whk:h preparer has any knowledge. n T~~Aompany, Co-Executor · ~ $lfJlo~ -rR~IT OfF,u~ DATI: Wil By: Q)-~~~ SIGNA1URE OF PREPARER OTHER THAN REPRESENTATIVE DATI: ADDRESS II ';..J;lfi,.ili..~Llt;,,-_g _j~:u _.. _ L I ma:i\.Ul 1 ~ 'firIM" ;~~-~~tiJ .' .....os. ~_ 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 ofthe surviving spouse is 3% [72 P.S. 99916 (a) (1.1) (i)]. For dates of death on or after January 1, 1995, the tax rate imposed on the net value of transfers to or for the use of the surviving spouse is 0% [72 P.S. 99116 (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 retum are still applicable even if the su rviving 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 ch8d twenty-one years of age or younger at death to or for the use of a natural parent, an adoptive parent, or a stepparent ofthe child is 0% [72 P.S. 99116(a)(1.2)J. 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. 9 9116(1.2) [72 P.S. 99116(a)(1)]. The tax rate imposed on the net value oftransfers to or for the use ofthe decedent's siblings is 12% (72 P.S. 9 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-1502 EX + (6-98) COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT SCHEDULE A REAL ESTATE ESTATE OF FilE NUMBER Florence N. Vipond 2J. OS 0440 All real property owned solely or as a tenant in common must be reported at fair market value. Fair market value is defined as the price at which property would be exchanged between a willing buyer and a willing seller, neither being compelled to buy or sell, both having reasonable knOVoAedge ofthe relevant facts. Real property which is jointly-owned with right of survivorship must be disclosed on Schedule F. ITEM NUMBER 1 . None DESCRIPTION VALUE AT DATE OF DEATH 3W46951.000 TOTAL (Also enter on line 1, Recapitulation) (If more space is needed, insert additional sheets of the same size) $ 0.00 REV-1503 EX + (6;98) . COMMONWEAL TH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT ESTATE OF SCHEDULE B STOCKS & BONDS FILE NUMBER Florence N. Vipond 21 05 0440 All property jointly-owned with right of survivorship must be disclosed on Schedule F. ITEM NUMBER DESCRIPTION VAlUE AT DATlE OF DEATH 1.1,650 Shares Atmos Energy Corporation, Common, No Par CUSIP: 049560105 45,251.25 2 1,132 Shares Bank of America Corporation, Common, $2.50 Par CUSIP: 060505104 Dividend accrued on 3/21/2005 50,178.73 509.40 3 3,000 Shares Bristol Myers Squibb Company, Common, $.10 Par CUSIP: 110122108 72,825.00 4 300 Shares CMGI, Inc., Common CUSIP: 125750109 673.50 5 2,000 Shares Conagra Foods, Inc., Common, $5.00 Par CUSIP: 205887102 54,140.00 6 1,892 Shares Cooper Industries, Ltd., Class A, Common, No Par CUSIP: G24182100 Dividend accrued on 3/21/2005 134,530.66 700.04 7 1,000 Shares Magellan Midstream Partners, L.P., Common Units Representing Limited Partnership, No Par CUSIP: 559080106 62,300.00 8 1,700 Shares Newell Rubbermaid, Inc., Common, $1.00 Par CUSIP: 651229106 35,691.50 Total from continuation schedules ......... 285,488.13 3W4696 1.000 TOTAL (Also enter on line 2, Recapitulation) $ (If more space is needed, insert additional sheets of the same size) 742,288.21 Estate of: Florence N. Vipond 107-16-6337 Schedule B (Page 2) Item No. Description Value at Date of Death 9 1,500 Shares RPM International, Inc., Common, No Par CUSIP: 749685103 27,937.50 10 4,562 Shares Verizon Communications, Inc., Common, $1.00 Par CUSIP: 92343V104 159,419.09 11 11,186.906 Shares Federated Fixed Income Securities, Strategic Income Fund, Class B, No Par CUSIP: 31417P601 Dividend accrued on 3/21/2005 97,661. 69 469.85 Total (Carry forward to main schedule) 285,488.13 . REV!1504 EX + (6-98) COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN SCHEDULE C CLOSELY-HELD CORPORATION, PARTNERSHIP OR SOLE-PROPRIETORSHIP ESTATE OF FILE NUMBER Florence N. Vipond 21050440 Schedule C-1 or C-2 (including all supporting information) must be attached for each c1osely-held corporation/partnership interest ofthe decedent. other than a sOle-proprietorship. See instructions for the supporting information to be submitted for sOle-proprietorships. ITEM NUMBER DESCRIPTION VALUE AT DATE OF DEATH 1. 3,760 Shares Metro Corporation, Common - As per attached appraisal CUSIP: 99R482102 754,820.00 3W4697 1.000 TOTAL (Also enter on line 3. Recapitulation) (If more space is needed. insert additional sheets of the same size) $ 754,820.00 Intra-Company Memorandum o Date: 6/3/05 WILMINGTON TRUST To: Securities Review Committee Subject: Metro Corp. From: William Pease Tel. Extension: 1792 Florence Vipond died on 3/21/05, and she owned 3760 shares of Metro Corp. which we have been asked to value as of that date for estate tax purposes. We have also been asked to value three other holdings of Metro Corp. stock that total 3805 shares. Metro Corp. has 19,277 outstanding shares. Metro Corp., a Delaware corporation, is a Vipond-family-owned portfolio of publicly traded securities, all of which are held in Wilmington Trust trust account # 030835-000 - Inv Agt/Metro Corp. Attachment A states that the value of the assets in Account 30835 was $7,782,529 on March 21, and that the cost of those assets was $3,831,939. Therefore, the unrealized gain in the account was $3,950,590, and if Metro Corp. had liquidated, it would have had to pay capital gains tax on that amount. The amount of money that could be distributed to Metro Corp.'s shareholders would be the rn,arket value of the account less the capital gains tax. There would be no state tax on those gains because Metro Corp. is incorporated in Delaware, which doesn't tax investment holding companies. But there would be federal tax. The end of Metro Corp.' s 2004 fiscal year - 3/31/05 - almost coincided with the 3/21/05 date of death. Attachment B is Metro Corp.' s actual tax return for that fiscal year. It shows that the company had a small loss and was entitled to a refund of the $750 of estimated tax payments it had made. Donna Collins in our tax department prepares the tax returns for Metro Corp. I went through the tax lot detail of Metro Corp.'s hol~ings and determined that -the $3,950,590 unrealized gain was comprised of $3,903,391 net long term gain and $47,199 net short term gain. Donna plugged those figures into the tax pr,ogram with the company's actual data to generate the tax return for the same fiscal year but as if the company had actually realized those gains. That hypothetical tax return is shown as Attachments C-l and C-2. As shown on line 34 of the return, the tax due would have been $1,332,809. Subtracting the $1,332,809 of tax from the Metro Corp. account's $7,782,529 market value results in $6,449,720 as the amount that would have been distributable to Metro Corp.'s shareholders had Metro Corp. liquidated on 3/21/05. That's what Metro Corp. would have been worth at date of death to someone who could have bought the whole company. But the decedent didn't own the whole company; her 3760 shares are 19.5% of the 19,277 shares outstanding, which is not enough to force liquidation. The three other holdings that we're valuing, which total 3805 shares, are 19.7% of the outstanding shares. Even the 3760 and 3805 shares combined would be a minority interest. Florence did not have, and the beneficiaries of these shares will not have a controlling interest, which means that they will not be able to force liquidation and will be stuck with an unmarketable asset. According to the 11/27/93 Shareholder Agreement, Metro Corp. certificates are to bear a legend to the effect that the stock is restricted and can't be sold unless it has been registered pursuant to the Securities Act of 1933. According to that Agreement, a selling shareholder needs the consent of the other shareholders and the company before he can sell any stock to an outside party. He must offer the stock to the company and existing shareholders at the lower of the price that the outside party is offering to pay and the "transfer purchase price". The transfer purchase price is either the price that the selling shareholder and existing shareholders agree on, or, if a price can't be agreed on, an appraised value where the appraiser considers the net asset value discount and discount for lack of marketability. Existing shareholders get a couple of months to respond to the offer, and can pay by amortizing the purchase price over five years in equal quarterly installments. In that case, interest is set at the lowest rate under sections 483 and 1274 of the Internal Revenue Code to avoid imputed interest, forgone interest, and original interest discount. In valuing closely held securities, we take a discount within a range of 20% to 40% to reflect lack of marketability. The high end of the range seems appropriate here, given all the constraints discussed in the previous paragraph. As calculated earlier in this memo, a reasonable person would pay $6,449,720 for all 19,277 shares of the company, which is $334.58 per share. But for a minority position, that value would be reduced by 40% to reflect the fact that the purchaser wouldn't be able to force liquidation of the portfolio and would be stuck with an unmarketable security. It is therefore recommended that the holdings be valued at $200.75 per share as of 3/21/05. 1] ... n 1,1) ... .... en ... .... CD en N n ... ...C)..........ClNCDnCl..,....CD.... co O"'C)............C)........................C)C)C)Q if'oo. <> .. 0:: "" ""- ?\ '" '" '" 0... j[) ... v. ..., ., '" ... oX '" ... '" ~ C ~ :> ~ -: ~ ... ... C I- ~j~~~ ~)l4- U C C .... ~ ~ W :J:: ""- I- en =:) U a.. 0:: .. o U .. I:) 4- ~ t w co :J:: 0... - I- ~ :> z N C) C) C) ell C) ell . , 1,1) 1,1) n n CI iD C) C) .., .., C) ell ... ... ..c> 0... 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E => U'J I::i. .... .. ... o :J:: B . u.s. Corporation Income Tax Return OMB No. 1545-0123 Form 1120 For calendar year 2004 or tax year 2004 Department of the Treasury beginning APRIL 1, 2004 ,ending MARCH 31, 2005 Internal Revenue Service A Check if: Use Name 8 Employer identification number 1 Consolidated return D IRS METRO CORPORATION C/O VIPOND 24-0717520 (attach Fonn 851) label. 2 Personal holding co. 00 Other- Number, street. and room or suite no. If a P.O. box, see page 9 of instructions. C Date incorporated (attach Sch. PH) D wise, 1105 N. MARKET STREET, SUITE 1300 05/01/1966 3 Personal service corp. (see instructions) print City or town, state, and ZIP code D Total assets (see page 8 of instr.) 4 Schedule M-3 reqUiredn or type. (attach Sch. M-31 WILMINGTON. DE 19899-8985 $ 3,830,425. 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 Taxable income before net operating loss deduction and special deductions. Subtract line 27 from line 11 29 Less: a Net operating loss deduction ........................ ... ............ 29a b S ecial deductions Schedule Cline 20 29b 30 Taxable Income. Subtract line 29cfrom line 28 .................. 31 Total tax (Schedule J,line 11) 32 Payments: a 2003 overpayment credited to 2004 ........................... 32a b 2004 estimated tax payments 32b Less 2004 refund applied lor C on Fonn4466 ........................... 32c e Tax deposited with Form 7004 ................. ............................. ..................... I Credit for tax paid on undistributed capital gains (attach Form 2439) .................. g Credit lor Federal tax on fuels (attach Form 4136). See instructions .........'..'.......... 32h 33 Estimated tax penalty (see page 17 of instructions). Check if Form 2220 is attached ....................... ............ ~ [X] 33 34 Tax due. If line 32h is smaller than the total of lines 31 and 33, enter amount owed ... .... ....... ......... ............... ........ 34 35 Overpayment. If line 32h is larger than the total oflines 31 and 33, enter amount overpaid .. .......... ... ....... ..... ........... 35 36 Enter amount of line 35 au want: Credited to 2005 estimated tax ~ Relunded ~ 36 Under penalties of petjury, I declare that I have examined this return, including accompanying schedules and statements, and to the best of my knowledge and belief, it is true, correct and complete. Declaration of pneparer (other than taxpayetj is based on all infonnation of which preparer has any knowledge. M th IRS d' th' ~ e th t ISCUSS IS ~o:" ~o..t:, pneparer [X] Yes DNa E II E o C) c III C ~ C) ~ 'tJ II C III .. C II ~ III no 'tJ c III )( ~ Sign Here 2 D Final retum 4 D Address chan e c Sal ~ 1c 2 3 4 5 6 7 8 9 10 ~ 11 12 13 14 15 16 17 18 19 Cost of gOOds sold (Schedule A, line 8) .................................. ........... ........................... ........................ Gross profit. Subtract line 2 from line 1c ........................ ................................................................. Dividends (Schedule C, line 19) ................................ ....................................................................... Interest .............................. ............................ . ...................s..~~....s.':J:':~.r~JI1~Nr...J. Gross rents .............................. ......................... .......................... Gross royalties .......................... ............................ ............................. Capital gain net income (attach Schedule D (Form 1120)) ... .................. Net gain or (loss) from Form 4797, Part II, line 17 (attach Form 4797) ............................................. ............. Other income (attach schedule) ........................................... ...................... ..................... Total income. Add lines 3throu h 10 .. .................. Compensation of officers (Schedule E,line 4) ................... ................................................... Salaries and wages (less employment credits) ................. .................. .................................. ........................ Repairs and maintenance ............... ............. ................................ Sad debts Rents Taxes and licenses Interest ....................................... ........................ Charitable contributions ..................... Depreciation (attach Form 4562)............... Less depreciation claimed on Schedule A and elsewhere on return ...... ....... Depletion .......... .............. ""'" ..... . .......... ....... Advertising ..__.............................. ................ Pension, profit-sharing, etc., plans Employee benefit programs Other deductions (attach schedule) Total deductions. Add lines 12 through 26 ..... .............. 20 21a ..... ..9.~~ ..9.1'1\,1'~M~N'1'.. ~ ~ 110 750. ~ Signature of officer Preparer's signature ONNA COLLINS CPA Finn's name WILMINGTON TRUST COMPANY (or yours if ~ self-employed), 1100 NORTH MARKET STREET ~~~and WILMINGTON DE 19890-0900 ~~~~-64 JWA For Privacy/Paperwork Reducl/on Act Nol/ce, see instrucl/ons. 15140517 758259 METRO 2004.05002 Paid Preparer's Use Only Date ~Ti~e Preparer's SSN or PTIN P00079288 51:0055023 302 651 1942 166,245. 13. 13,963. 180 221. 2,175. 200. 95,261. 97 636. 82,585. 110 942. <28,357.> o. 750. o. 750. 750. 1 Form 1120 (2004) METRO CORPORATION C/O VIPON METRO 1 C-J 1120 u.s. Corporation Income Tax Return OMS No. 1545-0123 Form For calendar year 2004 or tax year 2004 Department of the Treasury beginning APRIL 1, 2004 ,ending MARCH 31, 2005 Internal Revenue Service A Check if: Use Name B Employer identification nUmber 1 Consolidated retum D IRS METRO CORPORATION C/O VIPOND 24-0717520 (attach Fmm 851) label. 2 Personal holding co. 00 Other. Number, street. and room or suite no. If a P.O. box, see page 9 of instructions. C Date incorporated (attach Sch. PHI D wise, 1105 N. MARKET STREET, SUITE 1300 05/01/1966 3 Per.;onal .ervice corp. (see instructions) print City or town, state, and ZIP code D Total assets (see page 8 of inslr.) 4 Schedule M-3 reqUiredn or type. (attach Sch. M-3) WILMINGTON. DE 19899-8985 $ 3,830,425. 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 Taxable income before net operating loss deduction and special deductions. Subtract line 27 from line 11 29 Less: a Net operating loss deduction ......................................................... 29a b S ecial deductions Schedule Cline 20 ....................................... 29b 110 942. 30 Taxable Income. Subtract line 29c from line 28 ........ ...................................... ......................... ................... 31 Totaltax (Schedule J,line 11) ..... ........ .....................................~ 32 Paymenls: a 2003 overpayment. . credited to 2004 ........................... 32a b 2004 estimated tax payments ...... 32b 750 . less 2004 refund applied lor ""'- C on Form 4466 ........................... 32c Bal "... e Tax deposited with Form 7004 ........................................................,.;.......... I Credit for tax paid on undistributed capital gains (attach Form 2439) .....,...,.......... g Credit for Federallax on fuels (attach Form 4136). See instructions .................. ... 32g 32h 33 Estimated tax penalty (see page 17 of instructions). Check if Form 2220 is attached .................................... ~ 00 33 34 Tax due. If line 32h is smaller than the total of lines 31 and 33, enter amount owed ............................................... 34 35 Overpayment. If line 32h is larger than the total of lines 31 and 33, enter amount overpaid ...................................... 35 36 Enter amount of line 35 au want: Credited to 2005 estimated tax ~ Refunded ~ 36 Under penalties of perjury, I declare that I have examined this retum, including accompanying schedules and statements, and to the best of my knowledge and belief. it is true, correct. and complete. Declaration 0' Prepare. (other than taxpayefj is based on all Information of which preparer has any knowtedge.Ma the IAS discuss this ret:l'm with 1I1e prepa.... shown beloW? [X] Yes D No 1/1 - c " E >- III D. 'a C III )( ~ c Bal ~ 1 c 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 21b 22 23 24 25 26 27 28 166,245. 13. 3 964 553. 4 130 811. 2,175. 200. 95,261. 97 636. 4,033,175. 110 942. 3,922 233. 1 333,559. 750. 1 332,809. p, ......s SSN or PTlN Firm's name (or yours if ~ self-employed), -' addres., and ZIP COde ~~~~-~ JWA For Privacy/Paperwork Reduction Act Notice, see Instructions. 1 Form 1120 (2004) 11410511 7SR15Q MF.TRO 1004.05002 MF.TRO CORPORATTON C/O VTPON METRO 1 " E o u .E Cost of goods sold (Schedule A,line 8) ......................................................................................................... Gross profit. Subtract Hne 2 from line 1c ...... ................._......................... ................. ....................................... Dividends (Schedule C, line 19) ....... ...... .................................. ................................................... ..... ........... Interest ...... ....... .... ....... .... ................. .............. _..... ...... _.. ........ ... .... $..e.~....S.~~~~M.e.N~... J..... ........ Gross rents ...... ........ .............. ....... ......................... .............. ........ _.......................................................... Gross royalties .... ..... .................. ..................... ......... ............... ..................... ..... ......... ............................... Capital gain net income (attach Schedule D (Form 1120)) ........................... ............................. ......... .... ............ Net gain or (loss) from Form 4797, Part 1I,Iine 17 (attach Form 4797) ..............................._....................... ........... Other income (attach schedule) ...... ......... ............. ...................... .... ............................ ................................... Total income. Add Hnes 3throu h 10 ................................................................................................... ~ Compensation of officers (Schedule E,line 4) .........._..............................................................._..................... Salaries and wages (less employment credits) ...................................................... ............ .... .... ...................... Repairs and maintenance .........,.. ...... ............. ...... .... .................................. ................................................ Bad debts ................. ......... ..................... _ _.......... .._ ............. ..... .......... _................ _.................................... Rents ............................. _...... _. ......... _.... _ .. _. .. ..... ....... . . _. ....... _......... _... ..... ..... ............. ......... ... .. . ..... ........ Taxes and licenses ..... .................. ....................... _.................................................................................... Interest ...... ...... ....... .... .................................. ........................................... _.............. ............................. __ Charitable contributions ..................... _............... ....._................ ...... _.................. _.... ................ _..... _............ Depreciation (attach Form 4562) ............... .............................. ................... 2D less depreciation claimed on Schedule A and elsewhere on return ... ................. 21a Depletion . _....... ....... .... ........... _ _....._..................................................... ..' .............. .................... ........ ....... Advertising _........ ...... .............. ....... ................... ..... ..... ..........:.................. _......... ..... ....... _....................... Pension, profit-sharing, etc" plans .......... ... ...... ._.... :....... ._. ............ ........ ........... ... ... ._............ ....... ................. Employee benefit programs .......... ... ............................... _........................................................................... Other deductions (attach schedule) ............. .... ......... .... ._......_...... .........$.~~...$.r;rN:~:'~M~Nr;r...~.. ..... ...... Total deductions. Add lines 12 through 26 .........................................._.................................................. ~ III c .2 U ::I 'a . o Sign Here ~ Signature of officer ~TiUe D.' Date Paid Preparer's Use Only Prep-. signature SCHEDULE D Capital Gains and Losses OMS No. 1545-0123 (Form 1120) ~ Attach to Form 1120, 1120-A, 1120-F, 1120-FSC, 1120-H, Department of the Treasuoy 2004 Internal Revenue Service 1120-IC-DISC, 1120-L, 1120-ND, 1120-PC. 1120-POL, 1120-REIT, 1120-RIC 1120-SF 990-C or certain Forms 990-T. Name Employer idenbficalion number METRO CORPORATION C/O VIPOND 24-0717520 FEihl??1 Short-Term CaDital Gains and Losses - Assets Held One Year or Less (a) Description of property (b) Date acquired (c) Date sold (d) Sales price (e) Cost or other basis (f) Gain or (loss) (Example: 100 shares of Z Co.) (mo., day, yr.) (mo., day, yr.) (see instructions) (see instructions) (Subtract (e) from (d)) 1 SEE ATTACHED SCHEDULE VARIOUS VARIOUS 55,660. 48,758. 6,902. 47,199. 47,199. 2 Short-term capital gain from installment sales from Form 6252, line 26 or 37 ............................................................... 2 3 Short-term gain or (loss) from like-kind exchanges from Form 8824 ...............................................-......................... 3 4 Unused capital loss carryover (attach computation) ............................................................................................. 4 ( \ 5 Net short-term capital oain or (loss\. Combine lines 1 through 4 .............................................................................. 5 54,10l. I Piif Ifr I Lona-Term CaDital Gains and Losses - Assets Held More Than One Year 6 SEE ATTACHED SCHEDULE VARIOUS KJ'ARIOUS 190,788. 183,727. 7,06l. 3,903,391. 3,903,39l. 7 Enter gain from Form 4797, column (g), line 7 or 9 ....................................-...... ........-........................................... 7 8 Long-term capital gain from installment sales from Form 6252, line 26 or 37 .-........................................................... 8 9 long-term gain or (loss) from like-kind exchanges from Form 8824 ..........-.........-.. ................................................... 9 10 Capital gain distributions (see instructions) ....................-.-.....................-........ ....... ........ .............................. -... 10 11 Net lana-term caoital aain or (loss\. Combine lines 6 throuah 10 ........... ............. ...................... ...................... 11 3,910,452. E:p~a)UI Summary of Parts I and II 12 Enter excess of net short-term capital gain (line 5) over net long-term capital loss (line 11) ............................................. 12 54,101. 13 Net capital gain. Enter excess of net long-term capital gain (line 11) over net short-term capital loss (line 5) ................ ...... 13 3,910,452. 14 Add lines 12 and 13. Enter here and on Form 1120, page 1, line 8, or the proper line on other returns ..................... ........ ~ Note: If losses exceed oains see Caoitallosses on oaoe 2. C-L JWA For Privacy Act and Paperwork Reduction Act Notice, see the Instructions. for Forms 1120 and 1120-A. , , Schedule D (Form 1120) 2004 " \ I , ! . , , , , 421051 12-22-04 11410531 758259 METRO 5 2004.05002 METRO CORPORATION C/O VIPON METRO 1 RE'<-1505 EX + (6-'98) COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT SCHEDULE C-1 CLOSEL V-HELD CORPORATE STOCK INFORMATION REPORT ESTATE OF FILE NUMBER Florence N. Vipond 21 05 0440 1. Name of Corporation Metro Corporation Address 1105 North Market Street. Suite 1300 State of Incorporation Delaware Date of Incorporation 5/1/1966 City Wi1minaton State DE Zip Code 19899 Total Number of Shareholders 11 2. Federal Employerl.D.Number 24-0717520 3. Type of Business Investina Business Reporting Year 3/31/2005 ProducUService Investments 4. STOCK TYPE TOTAL NUMBER OF VotinglNon-Voting SHARES OUTSTANDING NUMBER OF SHARES OWNED BY THE DECEDENT Common Votin 19,277 3,760 $ 754,820.00 Preferred $ Provide all rights and restrictions pertaining to each class of stock. 5. Was the decedent employed by the Corporation~ . . . . . . . . . . . . . . . . . . . 0 Yes 00 No If yes, Position Annual Salary $ o . 00 Time Devoted to Business 6. Was the Corporation indebted to the decedent? . If yes, provide amount of indebtedness $ . DYes 00 No 0.00 7. Was there life insurance payable to the corporation upon the death of the decedent? '" 0 Yes 00 No If yes, Cash Surrender Value $ Owner of the policy o . 00 Net proceeds payable $ 0.00 8. Did the decedent sell or transfer any stock in this company within one year prior to death or within two years if the date of death was prior to 12-31-82? DYes 00 No If yes, 0 Transfer 0 Sale Number of Shares 0 Transferee or Purchaser Consideration $ 0 . 00 Date Attach a separate sheet for additional transfers and/or sales. 9. Was there a written shareholder's agreement in effect at the time of the decedent's death?. 00 Yes If yes, provide a copy of the agreement. ONo 10. Was the decedent's stock sold? . . . . ...................... DYes []I No If yes, provide a copy of the agreement of sale, etc. 11. Was the corporation dissolved or liquidated after the decedent's death? . . . . . . . . . .. 0 Yes 00 No If yes, provide a breakdown of distributions received by the estate, including dates and amounts received. 12. Did the corporation have an interest in other corporations or partnerShips? . . . . . . . . . . .0 Yes llii No If yes, report the necessary information on a separate sheet, including a Schedule C-1 or C-2 for each interest. THE FOllOWING INFORMATION MUST BE SUBMITTED WITH THIS SCHEDULE A. Detailed calculations used In the valuation of the decedent's stock. B. Complete copies of financial statements or Federal Corporate Income Tax returns (Form 1120) for the year of death and 4 preceding years. C. If the corporation owned real estate, submit a list showing the complete address/es and estimated fair market value/s. If real estate appraisals have been secured, attach copies. D. List of principal stockholders at the date of death, number of shares held and their relationship to the decedent. E List of officers, their salaries, bonuses and any other benefits received from the corporation. F. Statement of dividends paid each year. List those declared and unpaid. G. Any other information relating to the valuation of the decedent's stock. (If more space is needed, insert additional sheets of the same size) 4W4698 1.000 METRO CORPORATION PRINCIPAL STOCKHOLDERS AS OF 3/21/05: David S. Vipond GST Non-Exempt Marital Trust David S. Vipond GST Exempt Marital Trust David S. Vipond Credit Shelter Trust James W. Vipond Marital GST Exempt Trust James W. Vipond Family Trust James W. Vipond Marital GST Non-Exempt Trust David W. Vipond James M. Vipond Linda Vipond Heath Jonathan Vipond, III Florence N. Vipond DIRECTORS Donald R. McLamb Jonathan Vipond I II James M. Vipond David W. Vipond Linda Vipond Heath OFFICERS Jonathan Vipond III James M. Vipond David W. Vipond Linda Vipond Heath Donald R. McLamb* Elizabeth F. Bothner TITLE President Vice President Treasurer Secretary Asst Treasurer Asst Secretary SHARES: 2082 753 970 2141 1382 5949 560 560 560 560 3760 QUARTERL Y FEE $6,250.00 $1,250.00 $1,250.00 $1,250.00 $0.00 $0.00 ANNUAL FEE $25,000.00 $5,000.00 $5,000.00 $5,000.00 $0.00 $0.00 *Donald McLamb is the Delaware employee. In 2005 he received $2,000.00 in total salary. Effective 2006, the annual salary will change to $1,200.00. ANNUAL DIVIDENDS PAYEE Estate of James W. Vipond James W. Vipond GST Non-Exempt Marital Trust James W. Vipond Family Trust James W. Vipond GST Exempt Marital Trust Estate of David S. Vipond David S. Vipond Credit Shelter Trust David S. Vipond GST Exempt Marital Trust David S. Vipond GST Non-Exempt Marital Trust Florence N. Vipond Estate of Florence N. Vipond Jonathan Vipond, III James M. Vipond David W. Vipond Linda Vipond Heath 2001 $156,288.00 2002 2003 $65,439.00 $52,351.20 $15,202.00 $12,161.60 $23,551.00 $18,840.80 $62,782.50 $41,855.00 $8,536.00 $6,626.40 $18,321.60 $62,404.00 $41,360.00 $33,088.00 $9,240.00 $6,160.00 $4,928.00 $9,240.00 $6,160.00 $4,928.00 $9,240.00 $6,160.00 $4,928.00 $9,240.00 $6,160.00 $4,928.00 2004 2005 $52,351.20 $52,351.20 $12,161.60 $12,161.60 $18,840.80 $18,840.80 $8,536.00 $8,536.00 $6,626.40 $6,626.40 $18,321.60 $18,321.60 $33,088.00 $8,272.00 $24,816.00 $4,928.00 $4,928.00 $4,928.00 $4,928.00 $4,928.00 $4,928.00 $4,928.00 $4,928.00 . REIf-1507 EX + (5-98) COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT ESTATE OF Florence N. Vipond SCHEDULE D MORTGAGES & NOTES RECEIVABLE FILE NUMBER 21. 05 0440 All property jointly-owned with right of survivorship must be disclosed on Schedule F. ITEM NUMBER DESCRIPTION VALUE AT DATE OF DEATH None TOTAL (Also enter on line 4, Recapitulation) $ 0.00 3W46AC 1.000 (If more space is needed, insert additional sheets of same size) . REI1-1508 EX + (6-98) COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT SCHEDULE E CASH, BANK DEPOSITS, & MISC. PERSONAL PROPERTY ESTATE OF Florence N. Vipond FILE NUMBER 21. 05 0440 Include the proceeds of litigation and the date the proceeds were received by the estate. All property jointly-owned with the right of survivorship must be disclosed on Schedule F. ITEM NUMBER DESCRIPTION VALUE AT DATE OF DEATH 1. Legg Mason Wood Walker, Inc. - Cash balance in Brokerage Account No. 360-02436 1.. 42 2 Wachovia Bank - Balance in Checking Account No. 1.000053083390 Interest accrued to 3/21./2005 1.,1.91..1.2 2.97 3 Wachovia Bank - Balance in Money Market Checking Account No. 1.300003029871. Interest accrued to 3/21./2005 32,684.1.3 31..22 4 Cumber1.and Crossings Retirement Community - Balance in petty cash account 27.73 5 Cumberland Crossings Retirement Community - Refund of credit balance 1.,949.62 6 Blue Cross Blue Shield of Northeastern Pennsylvania - Medical refund 536.25 3W46AD 1.000 TOTAL (Also enter on line 5 Recaoitulation) $ (If more space is needed, insert add~ional sheets ofthe same size) 36,424.46 REV-1509 EX + (6-98) COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT ESTATE OF Florence N. Vipond SCHEDULE F JOINTL Y-OWNED PROPERTY FILE NUMBER 21 05 0440 If an asset was made joint within one year of the decedent's date of death, it must be reported on Schedule G. SURVIVING JOINTTENANT(S) NAME ADDRESS RELATIONSHIP TO DECEDENT A. B. c. JOINTLY-OWNED PROPERTY: LETTER DATE DESCRIPTION OF PROPERTY %OF DATE OF DEATH ITEM FOR JOINT MADE INCLUOE NAME OF FINANCIAL INSTITUTION AND BAt>I< ACCOUNT DATE OF DEATH DECO'S VALUE OF N..MEER OR SIMIlAR IDENTIFYING NUMBER. ATTACH DEED FOR NUMBER TENANT JOINT JOINTLY-liOLOREAL ESTATE. VALUE OF ASSET INTEREST DECEDENrSINTEREST 1. A. NonE TOTAL (Also enter on line 6 Recaoitulationl $ 0.00 3W46AE 1.000 (If more space is needed, insert addnionaJ sheets of the same size) . RE"'-1510 EX + (6-98) SCHEDULE G INTER-VIVOS TRANSFERS & MISC. NON-PROBATE PROPERTY COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT ESTATE OF Florence N. Vipond FILE NUMBER 21 05 0440 DATE OF DEATH VALUE OF ASSET This schedule must be completed and filed if the answer to any of Questions 1 through 4 on the reverse side of the REV-1500 COVER SHEET is yes. DESCRIPllON OF PROPERTY ITEM INCll.CE TIt NAME OF TIt TRANSFEREE, THEIR RELATlONSHP TO DECEDENT AI>[) NUMBER TE % OF DECD'S INTEREST EXCLUSION (If APPLICABLE) Jonathan Vipond, III, Successor Co-Trustees under agreement dated 11/16/93 with David S. Vipond for Florence N. Vipond, GST Exempt Marital Trust, Trust No. 056046-001 1 161 Shares Alcatel Sponsored ADR CUSIP: 013904305 2,031.02 100.0000 0.00 2 177 Shares Altria Group, Inc., Common, $1. 00 Par CUSIP: 02209S103 Dividend accrued on 3/21/2005 11,307.65 100.0000 129.21 100.0000 0.00 3 1,390 Shares Biomet, Inc., Common, No Par CUSIP: 090613100 55,961.40 100.0000 0.00 4 585 Shares Cognex Corporation, Common, $.002 Par CUSIP: 192422103 15,028.65 100.0000 0.00 5 294 Shares Arthur J. Gallagher & Company, Common, $1.00 Par CUSIP: 363576109 8,537.76 100.0000 0.00 6 236 Shares J.P. Morgan Chase & Company, Common, $1.00 Par CUSIP: 46625H100 8,431.10 100.0000 0.00 7 297 Shares Pitney Bowes, Inc., Common, $2.00 Par CUSIP: 724479100 13,419.95 100.0000 0.00 Total from continuation sched les . . . . . . . . . TOTAL (Also enter on line 7, Recapitulation) $ 3W46AF 1.000 (II more space is needed, insert addnional sheets althe same size) TAXABLE VALUE 2,031. 02 11,307.65 129.21 55,961.40 15,028.65 8,537.76 8,431.10 13,419.95 2,006,171.18 2,121,017.92 Estate of: Florence N. Vipond Schedule G (Page 2) Item No. Description 8 294 Shares RPM International, Inc., Common, No Par CUSIP: 749685103 9 297 Shares Raytheon Company, Common, No Par CUSIP: 755111507 10 393 Shares Sonoco Products Company, Common, No Par CUSIP: 835495102 11 792 Shares Sturm Ruger & Company, Inc., Common, $1.00 Par CUSIP: 864159108 12 753 Shares Metro Corporation, Common CUSIP: 99R482102 13 3,710.694 Shares Eaton Vance Investment Trust, PA Municipal Fund, Class A, No Par CUSIP: 27826H578 14 6,070.427 Shares Federated Municipal Securities Income Trust, PA Municipal Income Fund, Class A, No Par CUSIP: 313923708 15 10,899.42 Shares Wilmington Prime Money Market Portfolio Service Class (Principal Asset) Dividend accrued on 3/21/2005 16 1,583.53 Shares Wilmington Prime Money Market Portfolio Service Class (Income Asset) Dividend accrued on 3/21/2005 17 Less: Income commissions through 3/21/05 Total (Carry forward to main schedule) DOD Value of Asset % Interest 5,475.75 100.0000 11,392.92 100.0000 11,430.41 100.0000 5,761.80 100.0000 151,164.75 100.0000 38,442.79 100.0000 71,145.40 100.0000 10,899.42 100.0000 11. 88 100.0000 1,583.53 100.0000 1. 48 100.0000 (107.54) 100.0000 Exclusion 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 107-16-6337 Taxable Value 5,475.75 11,392.92 11,430.41 5,761.80 151,164.75 38,442.79 71,145.40 10,899.42 11. 88 1,583.53 1.48 (107.54) 307,202.59 Estate of: Florence N. Vipond Schedule G (Page 3) Item No. Description 18 Less: Principal commissions through 3/21/05 Wilmington Trust Company and Jonathan Vipond, III, Successor Co-Trustees under agreement dated 11/16/93 as restated 10/02/98 with David S. Vipond for Florence N. Vipond, Non-Exempt Marital Trust, Trust No. 056046-002 19 446 Shares Alcatel Sponsored ADR CUSIP: 013904305 20 494 Shares Altria Group, Inc., Common, $1.00 Par CUSIP: 02209S103 Dividend accrued on 3/21/2005 21 3,899 Shares Biomet, Inc., Common, No Par CUSIP: 090613100 22 1,618 Shares Cognex Corporation, Common, $.002 Par CUSIP: 192422103 23 824 Shares Arthur J. Gallagher & Company, Common, $1.00 Par CUSIP: 363576109 24 659 Shares J.P. Morgan Chase & Company, Common, $1.00 Par CUSIP: 46625H100 25 821 Shares Pitney Bowes, Inc., Common, $2.00 Par CUSIP: 724479100 Tota1 (Carry forward to main schedule) DOD Value of Asset % Interest (107.54) 100.0000 5,626.29 100.0000 31,559.19 100.0000 360.62 100.0000 156,973.74 100.0000 41,566.42 100.0000 23,928.96 100.0000 23,542.78 100.0000 37,096.89 100.0000 Exclusion 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 107-16-6337 Taxable Value (107.54) 5,626.29 31,559.19 360.62 156,973.74 41,566.42 23,928.96 23,542.78 37,096.89 320,547.35 Estate of: Florence N. Vipond Schedule G (Page 4) Item No. Description 26 724 Shares RPM International, Inc., Common, No Par CUSIP: 749685103 27 820 Shares Raytheon Company, Common, No Par CUSIP: 755111507 28 1,098 Shares Sonoco Products Company, Common, No Par CUSIP: 835495102 29 2,189 Shares Sturm Ruger & Company, Inc., Common, $1.00 Par CUSIP: 864159108 30 2,082 Shares Metro Corporation, Common CUSIP: 99R482102 31 10,258.546 Shares Eaton Vance Investment Trust, PA Municipal Fund, Class A, No Par CUSIP: 27826H578 32 16,782.241 Shares Federated Municipal Securities Income Trust, PA Municipal Income Fund, No Par CUSIP: 313923708 33 31,610.34 Shares Wilmington Prime Money Market Portfolio Service Class (Principal Asset) Dividend accrued on 3/21/2005 34 4,378.12 Shares Wilmington Prime Money Market Portfolio Service Class (Income Asset) Dividend accrued on 3/21/2005 35 Less: Income commissions through 3/21/05 Total (Carry forward to main schedule) DOD Value of Asset % Interest 13,484.50 100.0000 31,455.20 100.0000 31,935.33 100.0000 15,924.98 100.0000 417,961.50 100.0000 106,278.54 100.0000 196,687.86 100.0000 31,610.34 100.0000 34.44 100.0000 4,378.12 100.0000 4.09 100.0000 (297.98) 100.0000 Exclusion 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 107-16-6337 Taxable Value 13,484.50 31,455.20 31,935.33 15,924.98 417,961.50 106,278.54 196,687.86 31,610.34 34.44 4,378.12 4.09 (297.98) 849,456.92 Estate of: Florence N. Vipond Schedule G (Page 5) Item No. Description 36 Less: Principal commissions through 3/21/05 Wilmington Trust Company and Jonathan Vipond, III, Successor Co-Trustees under agreement dated 11/16/93 as restated 10/02/98 with David S. Vipond for Florence N. Vipond, Credit Shelter Trust, Trust No. 056046-003 37 208 Shares Alcatel Sponsored ADR CUSIP: 013904305 38 3 Shares Altria Group, Inc., Common, $1.00 Par CUSIP: 02209Sl03 Dividend accrued on 3/21/2005 39 1,786 Shares Biomet, Inc., Common, No Par CUSIP: 090613100 40 753 Shares Cognex Corporation, Common, $.002 Par CUSIP: 192422103 41 382 Shares Arthur J. Gallagher & Company, Common, $1.00 Par CUSIP: 363576109 42 305 Shares J.P. Morgan Chase & Company, Common, $1.00 Par CUSIP: 46625H100 43 382 Shares Pitney Bowes, Inc., Common, $2.00 Par CUSIP: 724479100 Total (Carry forward to main schedule) DOD Value of Asset % Interest (297.97) 100.0000 2,623.92 100.0000 191.66 100.0000 2.19 100.0000 71,904.36 100.0000 19,344.57 100.0000 11,093.28 100.0000 10,896.13 100.0000 17,260.67 100.0000 Exclusion 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 107-16-6337 Taxable Value (297.97) 2,623.92 191. 66 2.19 71,904.36 19,344.57 11,093.28 10,896.13 17,260.67 133,018.81 Estate of: Florence N. Vipond Schedule G (Page 6) Item No. Description 44 382 Shares RPM International, Inc., Common, No Par CUSIP: 749685103 45 383 Shares Raytheon Company, Common, No Par CUSIP: 755111507 46 509 Shares Sonoco Products Company, Common, No Par CUSIP: 835495102 47 1,019 Shares Sturm Ruger & Company, Inc., Common, $1.00 Par CUSIP: 864159108 48 970 Shares Metro Corporation, Common CUSIP: 99R482102 49 4,776.562 Shares Eaton Vance Investment Trust, PA Municipal Fund, Class A, No Par CUSIP: 27826H578 50 7,814.11 Shares Federated Municipal Securities Income Trust, PA Municipal Income Fund, Class A, No Par CUSIP: 313923708 51 14,695.21 Shares Wilmington Prime Money Market Portfolio Service Class (Principal Asset) Dividend accrued on 3/21/2005 52 1,691.81 Shares Wilmington Prime Money Market Portfolio Service Class (Income Asset) Dividend accrued on 3/21/2005 53 Less: Income commissions through 3/21/05 Total (Carry forward to main schedule) DOD Value of Asset % Interest 7,114.75 100.0000 14,691.88 100.0000 14,804.27 100.0000 7,413.23 100.0000 194,727.50 100.0000 49,485.18 100.0000 91,581.37 100.0000 14,695.21 100.0000 16.01 100.0000 1,691.81 100.0000 1. 53 100.0000 (138.62) 100.0000 Exclusion 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 107-16-6337 Taxable Value 7,114.75 14,691.88 14,804.27 7,413.23 194,727.50 49,485.18 91,581.37 14,695.21 16.01 1,691. 81 1.53 (138.62) 396,084.12 Estate of: Florence N. Vipond Schedule G (Page 7) Item No. Description 54 Less: Principal commissions through 3/21/05 55 The Florence N. Vipond Revocable Trust under agreement dated 11/16/93 as restated 10/02/98 with Florence N. Vipond The above trust was unfunded as of date of death. 56 Jonathan Vipond, III, Trustee of the The David S. Vipond and Florence N. Vipond Trust under agreement dated 11/14/90 for issue The above trust was irrevocable and the decedent had no interest or powers in the trust whatsoever. 57 Williams College Pooled Income Fund I. Under terms of the contract, the decedent was receiving quarterly installments for the remainder of her life. The contract terminated with the last installment preceding death, with no benefits payable whatsoever Total (Carry forward to main schedule) DOD Value of Asset % Interest (138.61) 100.0000 0.00 100.0000 0.00 100.0000 0.00 100.0000 Exclusion 0.00 0.00 0.00 0.00 107-16-6337 Taxable Value (138.61) 0.00 0.00 0.00 (138.61) REV-1511 EX + (12-99) SCHEDULE H FUNERAL EXPENSES & ADMINISTRATIVE COSTS COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT ESTATE OF Florence N. Vipond ITEM NUMBER A. B. 2. Debts of decedent must be reported on Schedule I. DESCRIPTION FUNERAL EXPENSES: 1. Snowdon Funeral Directors - Funeral expenses Total from continuation schedules . 1. ADMINISTRATIVE COSTS: Personal Representative's Commissions Name of Personal Representative(s) Wilminqton Trust Company Social Security Number(s) I EIN Number of Personal Representative(s) Street Address 1100 North Market Street City Wilmington State DE Zip 19890 - 0001 Year(s) Commission Paid: Attorney Fees 3. Family Exemption: (If decedent's address is not the same as claimant's, attach explanation) Claimant Street Address City State Zip 4. Probate Fees Relationship of Claimant to Decedent 5. Accountant's Fees 7. 6. Tax Return Preparer's Fees 1 3W46AG 1.000 Jonathan Vipond, III - Reimbursement for payment to the Register of Wills of Cumberland County for petition for grant of letters, etc. Total from continuation schedules . . TOTAL (Also enter on line 9. Recapitulation) (If more space is needed, insert additional sheets of the same size) FILE NUMBER 21 05 0440 $ AMOUNT 8,569.56 7,439.47 50,000.00 11,000.00 810.00 18,758.87 96,577.90 Estate of: Florence N. Vipond Item No. 107-16-6337 Schedule H Part 1 (Page 2) Description Amount 2 Jonathan Vipond, III - Reimbursement for payment to Michaelangelo's for cost of funeral reception 970.55 3 Jonathan Vipond, III - Reimbursement for payment to Pesavento Monuments, Inc. for cemetery marker 615.00 4 James M. Vipond - Reimbursement for funeral luncheon and reception at Waverly Country Club, flowers, pianist and other funeral expenses 5,045.74 5 David W. Vipond - Reimbursement for travel expenses to attend funeral services 808.18 Total (Carry forward to main schedule) 7,439.47 Estate of: Florence N. Vipond 107-16-6337 Schedule H Part 7 (Page 2) 2 Buchanan Ingersoll, P.C. - Legal services rendered 11,085.00 3 McNees, Wallace & Nurick, LLC - Professional services rendered 7,648.87 4 Karen A. Graham - Reimbursement for payment to the Register of Wills 25.00 Total (Carry forward to main schedule) 18,758.87 REV~1512 EX + (12-03) COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT ESTATE OF Florence N. Vipond SCHEDULE I DEBTS OF DECEDENT, MORTGAGE LIABILITIES, & LIENS FILE NUMBER 21 05 0440 Report debts incurred by the decedent prior to death which remained unpaid as of the date of death, including unreimbursed medical expenses. ITEM NUMBER DESCRIPTION VALUE AT DATE OF DEATH 1. None 3W46AH 2.000 TOTAL (Also enter on line 10, Recapitulation) $ (If more space is needed, insert additional sheets of the same size) 0.00 RE"-1513 EX+ f9-00) SCHEDULE J BENEFICIARIES COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT ESTATE OF Florence N. V1nond NUMBER I 1 NAME AND ADDRESS OF PERSON(S) RECEIVING PROPERTY TAXABLE DISTRIBUTIONS [include outright spousal distributions, and transfers under Sec. 9116 (a) (1.2)] Jonathan Vipond, III 3728 Lisburn Road Mechanicsburg, PA 17055 FILE NUMBER 21 05 0440 RELATIONSHIP TO DECEDENT AMOUNT OR SHARE Do Not List Trustee(s) OF ESTATE General Bequests: 681,117.15 Son 681,117.15 2 Jonathan Vipond, III GST Exempt Trust Wilmington Trust Company 1100 North Market Street Wilmington, DE 19890-0001 General Bequests: 208,376.03 Trust 208,376.03 3 James M. Vipond 115 Lily Lake Road Waverly, PA 18471 General Bequests: 699,286.89 Son 699,286.89 ENTER DOLLAR AMOUNTS FOR DISTRIBUTIONS SHOWN ABOVE ON LINES 15 THROUGH 18, AS APPROPRIATE, ON REV-1500 COVER SHEET II NON-TAXABLE DISTRIBUTIONS: A. SPOUSAL DISTRIBUTIONS UNDER SECTION 9113 FOR WHICH AN ELECTION TO TAX IS NOT BEING MADE B. CHARITABLE AND GOVERNMENTAL DISTRIBUTIONS 3W46AI 1.000 TOTAL OF PART II - ENTER TOTAL NON-TAXABLE DISTRIBUTIONS ON LINE 13 OF REV-1500 COVER SHEET (If more space is needed, insert additional sheets of the same size) $ 0.00 Estate of: Florence N. Vipond 107-16-6337 Schedule J Part 1 (Page 2) Item No. Description Relation Amount 4 James M. Vipond GST Exempt Trust Wilmington Trust Company 1100 North Market Street Wilmington, DE 19890-0001 General Bequests: 190,206.28 Trust 190,206.28 5 Linda V. Heath 18 Tallwoods Road Armonk, NY 10504 General Bequests: 716,747.98 Daughter 716,747.98 6 Linda V. Heath GST Exempt Trust Wilmington Trust Company 1100 North Market Street Wilmington, DE 19890-0001 General Bequests: 172,745.19 Trust 172,745.19 7 David W. Vipond 4933 Texhoma Avenue Encino, CA 91316 General Bequests: 748,772.82 Son 748,772.82 8 David W. Vipond GST Exempt Trust Wilmington Trust Company 1100 North Market Street Wilmington, DE 19890-0001 General Bequests: 140,720.35 Trust 140,720.35 REV-1514 EX+.(12-G3) . SCHEDULE K LIFE ESTATE, ANNUITY & TERM CERTAIN COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT ESTATE OF Check Box 4 on REV-1500 Cover Sheet. FILE NUMBER Florence N. Vipond 2105 0440 This schedule is to be used for all single life, joint or successive life estate and term certain calculations. For dates of death prior to 5-1-89, actuarial factors for single life calculations can be obtained from the Department of Revenue, Specialty Tax Unit. Actuarial factors can be found in IRS Publication 1457, Actuarial Values, Alpha Volume for dates of death from 5-1-89 to 4-30-99, and in Aleph Volume for dates of death from 5-1-99 and thereafter. Indicate the type of instrument which created the future interest below and attach a copy to the tax retum. o Will 0 Intervivos Deed of Trust 0 Other LIFE ESTATE INTEREST CALCULATION NAME(S) OF LIFE TENANT(S) DATE OF BIRTH NEAREST AGE AT DATE OF DEATH TERM OF YEARS LIFE ESTATE IS PAYABLE . . . . . . . . . . . . . . . . . . . . Term of Years Term of Years Term of Years Term of Years Term of Years 1. Value of fund from which life estate is payable . . . . . . . 2. Actuarial factor per ap~riate table . . . . . . . . . . . . Interest table rate - LJ 3 1/2% 0 6% 0 10% 3. Value of life estate (Line 1 multiplied by Line 2) ..... . . $ . . . . . . . . . . . . . . . . . . . . o Variable Rate 0.00000% 0.00 0.00000 . . . . . . . . . . . . . . . . . . . . . . $ 0.00 ANNUITY INTEREST CALCULATION NAME(S) OF LIFE ANNUITANT(S) DATE OF BIRTH NEAREST AGE AT DATE OF DEATH TERM OF YEARS ANNUITY IS PAYABLE Term of Years Term of Years Term of Years 1. Value of fund from which annuity is payable . . . . . . . . . . . . . . . . . . . . . . 2. Check appropriate block below and enter corresponding (number) . . . . . . . . . . Frequency of payout -0 Weekly (52) 0 Bi-weekly (2U Monthly (12) o Quarterly (4) 0 Semi-annually (2) 0 Annually (1) DOther~ ) 3. Amount of payout per period .................... 4. Aggregate annual payment, Line 2 multiplied by Line 3 . . . . . . 5. Annuity Factor (see instructions) Interest table rate -0 3 1/2% 0 6% 0 10% 0 Variable Rate 0 . 00000 % 6. Adjustment Factor (see instructions) .................... 7. Value of annuity -If using 3 1/2%, 6%, 10%, or if variable rate and period payout is at end of period, calculation is: Line 4 x Line 5 x Line 6 . . . . . If using variable rate and period payout is at beginning of period, calculation is: (Line 4 x Line 5 x Line 6) + Line 3. . . . . . . . . . . . . . . . . . . . . . . . . o Life or . . . . $ o Term of Years 0.00 0.000 o . . $ 0.00 0.00 0.00000 0.00000 $ 0.00 .$ 0.00 NOTE: The values of the funds which create the above future interests must be reported as part of the estate assets on Schedules A through G of this tax return. The resulting life or annuity interest(s) should be reported at the appropriate tax rate on Lines 13 and 15 through 18. (If more space is needed, insert additional sheets of the same size) 3W46AJ 3.000 . REV.1647 EX+ (9-00) COMMONWEAL 1H OF PENNSYLVANIA INHERITANCE TAX REWRN RESIDENT DECEDENT SCHEDULE M FUTURE INTEREST COMPROMISE ESTATE OF Check Box 43 on Rev-1500 Cover Sheet. FILE NUMBER Florence N. Vipond 2J. 05 0440 This schedule Is appropriate only for estates of decedents dying after December 12, 1982. This schedule is to be used for all future interests where the rate of tax which will be applicable when the future interest vests in possession and enjoyment cannot be established with certainty. Indicate below the type of instrument which created the future interest and attach a copy to the tax return. o Will [i] Trust 0 Other I. Beneficiaries AGE TO NAME OF BENEFICIARY RELATIONSHIP DATE OF BIRTH NEAREST BIRTHDAY 1.Vipond, III, Jonathan Son J./9/J.945 60 2.Vipond, James M Son 2/17/J.948 57 3.Heath, Linda V Dauqhter 6/J.8/195J. 54 4.Vioond, David W Son 6/30/J.957 48 5. II. For decendents dying on or after July 1, 1994, if a surviving spouse exercised or intends to exercise a right of withdrawal within 9 months of the decedent's death, check the appropriate block and attach a copy of the document in which the surviving spouse exercises such withdrawal right. n Limited riaht of withdrawal n Unlimited right of withdrawal III. Explanation of Compromise Offer: See Attached IV. Summary of Compromise Offer: 1. Amount of Future Interest . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 7J.2,047.85 2. Value of Line 1 exempt from tax as amount passing to charities, etc. (also include as part of total shown on Line 13 of Cover Sheet) . . . . . . $ 0.00 3. Value of Line ossing Douse oPropriate tax rate Check One 6%, 3%, 0% . . . . . . . . . . . . . . . $ 0.00 (also include as part of total shown on Line 15 of Cover Sheet) 4. Value of Line 1 taxable at lineal rate Check one 06% LiJ 4.5% . . . . . . . . . . . . . . . . $ 7J.2,047.85 (also include as part of total shown on Line 16 of Cover Sheet) 5. Value of Line 1 taxable at sibling rate (12%) (also include as part of total shown on Line 17 of Cover Sheet) . . . . . . $ 0.00 6. Value of Line 1 taxable at collateral rate (15%) (also include as part of total shown on Line 18 of Cover Sheet) . . . . $ 0.00 7. Total value of Future Interest (sum of Lines 2 thru 6 must equal Line 1) . . . . . . . . . . . . . . . . . . $ 7J.2,047.85 (If more space is needed, insert additional sheets of the same size) 3W46AN 1.000 FLORENCE N. VIPOND ESTATE ATTACHMENT TO SCHEDULE M - FUTURE INTEREST COMPROMISE FILE NO. 21-05-440 Florence N. Vipond Will and Trust Provisions: Per Article Two ofthe Last Will and Testament of Florence N. Vipond ("Will"), the residue ofthe estate is bequeathed to the Florence N. Vipond Revocable Trust dated November 16, 1993 and amended and restated October 2, 1998 (the "Revocable Trust"). Article Three ofthe Revocable Trust provides that upon the death ofthe decedent, if she is not survived by her spouse, the assets are divided into two portions, a GST Exempt portion and a non-GST Exempt portion. The non-GST Exempt portion is distributed outright to the decedent's issue then living, per stirpes (96.1.3.2). The GST Exempt portion is divided among trusts for the decedent's then living issue, per stirpes (94.1.3.2) Each GST Exempt Trust for Issue (Article Five) provides that income is payable to the beneficiary for life and that the Trustee may pay principal to the beneficiary for health, maintenance, support and education. At the beneficiary's death, the beneficiary has a broad special testamentary power of appointment. In lieu of the exercise of this power, the trust assets are distributed to the beneficiary's issue, or if none, to the decedent's issue then living, per stirpes. David S. Vipond Trust Provisions: During her lifetime, the decedent was the beneficiary ofthree (3) trusts created by her late husband under the David S. Vipond Revocable Trust dated November 16, 1993 and amended and restated October 2, 1998 (the "Revocable Trust"). Article Three of the Revocable Trust provides that upon the death of the decedent, the assets in the GST Exempt Marital Trusts (actually two (2) trusts now referred to as the Credit Shelter Trust and the GST Exempt Marital Trust) are divided among trusts for the decedent's then living issue, per stirpes (94.1.3.2). The Non-GST Exempt Marital Trust is distributed outright to the decedent's issue then living, per stirpes (96.1.3.2). Each GST Exempt Trust for Issue (Article Five) provides that income is payable to the beneficiary for life and that the Trustee may pay principal to the beneficiary for health, maintenance, support and education. At the beneficiary's death, the beneficiary has a broad special testamentary power of appointment. In lieu of the exercise of this power, the trust assets are distributed to the beneficiary's issue, or if none, to the decedent's issue then living, per stirpes. {A734576:} -1- Familv Back2round: At her death, the decedent had four children, Jonathan Vipond, III" who is currently 60 years of age, James M. Vipond, who is currently 57 years of age, Linda V. Heath, who is currently 54 years of age, and David W. Vipond, who is currently 48 years of age. Accordingly, four GST Exempt Trusts will be established for the decedent's children under the Florence N. Vipond Revocable Trust and four GST Exempt Trusts will be established for the decedent's children under the David S. Vipond Revocable Trust. Two of the decedent's children have children of their own and two do not. Proposed Future Interest Compromise: Under the terms of each GST Exempt Issue's Trust (which will arise under both the Florence N. Vipond and David S. Vipond Trusts), the beneficiary (a lineal descendant ofthe decedent) is entitled to 100% ofthe life estate calculated as follows: $482,084.10 (amount to fund the David S and Florence N. Vipond GST Exempt Trusts f/b/o Jonathan Vipond, III) X .56776 (actuarial factor) = $273,708.07. The actuarial remainder equals $208,376.03. $482,084.09 (amount to fund the David S and Florence N. Vipond GST Exempt Trusts f/b/o James M. Vipond) X .60545 (actuarial factor) = $291,877.81. The actuarial remainder equals $190,206.28. $482,084.09 (amount to fund the David S and Florence N. Vipond GST Exempt Trusts f/b/o Linda V. Heath) X .64167 (actuarial factor) = $309,338.90. The actuarial remainder equals $172,745.19. $482,084.09 (amount to fund the David S and Florence N. Vipond GST Exempt Trusts f/b/o David W. Vipond) X .70810 (actuarial factor) = $341,363.74. The actuarial remainder equals $140,720.35. Although each of the decedent's children is currently in good health and financially stable, there is no way to determine ifthe Trustee will need to invade the principal of any ofthe GST Exempt Trusts for the beneficiaries' health, maintenance, support or education. It is likely that the residue of each trust, if any remains at the death of the beneficiary, will pass to the decedent's issue (lineal descendants) either by exercise of the power of appointment or in default thereof. Accordingly, our compromise is that the remainder of each GST Exempt Trust should be allocated to the decedent's issue and be taxed at a 4.5% tax rate. {A734576:} -2- .. .. '" COMMONWEALTH OF PENNSYLVANIA DEPARTMENT OF REVENUE BUREAU OF INDIVIDUAL TAXES PO Box 280601 HARRISBURG, PA 17128-0601 December 27,2005 Telephone (717) 787-3930 FAX (717) 772-0412 Wilmington Trust Rodney Square North 1100 North Market Street Wilmington, De 19890-0001 Re: Estate of FLORENCE N VIPOND File Number 2105-0440 Dear Sir or Madam: This is in response to your request for an extension of time to file the Inheritance Tax Return for the above estate. I n accordance with Section 2136 (d) of the Inheritance and Estate Tax Act of 1995, the time for filing the return is extended for an additional period of six months. This extension will avoid the imposition of a penalty for failure to make a timely return. However, it does not prevent interest from accruing on any tax remaining unpaid after the delinquent date. The return must be filed with the Register of Wills on or before 06-21-2006. Because Section 2136 (d) of the 1995 Act allows for only one extra period of six (6) months, no additional extension(s) will be granted that would exceed the maximum time permitted. Claudia Maffei, Supervisor Document Processing Unit Inheritance Tax Division Sincerely, .~~.