Community Bank System, Inc. (CBU): Lienzo del Modelo de Negocio [Actualizado en Ene-2025]

Sumérgete en el plan estratégico de Community Bank System, Inc. (CBU), una institución financiera dinámica que transforma la banca tradicional a través de enfoques innovadores y estrategias centradas en la comunidad. Este lienzo de modelo comercial integral revela cómo CBU aprovecha las asociaciones locales, la infraestructura digital avanzada y las soluciones bancarias personalizadas para crear un valor único para diversos segmentos de clientes en múltiples estados. Al combinar la destreza tecnológica con el servicio basado en relaciones, CBU ha creado un modelo robusto que los posiciona como una potencia financiera con visión de futuro en el panorama bancario competitivo actual.

Community Bank System, Inc. (CBU) - Modelo de negocio: asociaciones clave

Empresas locales y clientes comerciales

A partir de 2023, Community Bank System, Inc. mantuvo asociaciones estratégicas con aproximadamente 2.500 empresas locales en Nueva York y los estados circundantes. La cartera de clientes comerciales del banco incluyó:

Sector empresarial	Número de asociaciones	Exposición total del crédito
Fabricación	425	$ 312 millones
Cuidado de la salud	350	$ 275 millones
Agricultura	275	$ 189 millones

Proveedores de seguros y socios de servicio financiero

Las asociaciones clave del servicio financiero incluyen:

• Cuna Mutual Group para productos de seguros
• Fiserv para servicios de procesamiento de pagos
• Visa y MasterCard para redes de tarjetas de crédito/débito

Proveedores de tecnología para soluciones de banca digital

Socio tecnológico	Servicio proporcionado	Inversión anual
Jack Henry & Asociado	Plataforma bancaria central	$ 4.2 millones
Temenos	Infraestructura bancaria digital	$ 2.7 millones

Organizaciones regionales de desarrollo económico

El sistema bancario comunitario colabora con:

• Corporación de Desarrollo Económico del Estado de Nueva York
• Consejo Central de Desarrollo Económico Regional de Nueva York
• Capítulos locales de la Cámara de Comercio en 12 condados

Cumplimiento regulatorio y empresas de consultoría financiera

Las asociaciones de cumplimiento incluyen:

• Wolters Kluwer para soluciones de cumplimiento regulatorio
• Baker Tilly para servicios de consultoría financiera
• AML RESTERSOURCE para apoyo contra el lavado de dinero

Inversión total de asociación anual: $ 18.5 millones

Community Bank System, Inc. (CBU) - Modelo de negocio: actividades clave

Servicios de banca minorista y comercial

A partir del cuarto trimestre de 2023, Community Bank System, Inc. opera 228 oficinas bancarias en Nueva York, Pensilvania y Vermont. Los activos totales informaron en $ 16.9 mil millones con depósitos totales de $ 14.2 mil millones.

Categoría de servicio bancario	Volumen de transacción anual	Ingresos generados
Cuentas corrientes personales	372,000 cuentas	$ 48.3 millones
Cuentas corrientes de negocios	86,500 cuentas	$ 37.6 millones

Gestión de la plataforma de banca digital

Plataforma de banca en línea y móvil que atiende a 245,000 usuarios digitales activos con una tasa de adopción de aplicaciones móviles del 92%.

• Transacciones bancarias móviles: 3.2 millones mensuales
• Inversión de plataforma digital: $ 7.2 millones en 2023
• Presupuesto de infraestructura de ciberseguridad: $ 4.5 millones anuales

Originación de préstamo y evaluación de crédito

Portafolio de préstamos totales: $ 12.7 mil millones a diciembre de 2023.

Tipo de préstamo	Volumen total	Tasa de interés promedio
Préstamos comerciales	$ 6.3 mil millones	6.75%
Hipotecas residenciales	$ 4.9 mil millones	5.85%
Préstamos al consumo	$ 1.5 mil millones	7.25%

Servicios de inversión y gestión de patrimonio

Activos bajo administración: $ 3.6 mil millones con 42,000 clientes de gestión de patrimonio.

• Valor de cuenta promedio: $ 85,700
• Ingresos de gestión de patrimonio: $ 62.4 millones en 2023

Operaciones de cumplimiento y gestión de riesgos

STAFTING DEL DEPARTAMENTO DE CUMPLIMIENTO: 87 profesionales a tiempo completo.

Área de cumplimiento	Presupuesto operativo anual	Resultados de auditoría regulatoria
Cumplimiento regulatorio	$ 5.3 millones	Cero violaciones importantes
Gestión de riesgos	$ 4.1 millones	99.8% de efectividad de mitigación de riesgos

Community Bank System, Inc. (CBU) - Modelo de negocio: recursos clave

Red de sucursal extensa

A partir del cuarto trimestre de 2023, Community Bank System, Inc. opera 226 oficinas bancarias totales en múltiples estados, principalmente en Nueva York, Pensilvania y Vermont.

Estado	Número de ramas
Nueva York	162
Pensilvania	38
Vermont	26

Infraestructura bancaria digital

Métricas bancarias digitales:

• Usuarios bancarios en línea: 287,500
• Descargas de aplicaciones de banca móvil: 215,300
• Volumen de transacciones digitales: 4.2 millones de transacciones mensuales

Recursos de capital humano

Total de empleados: 2,153 al 31 de diciembre de 2023

Categoría de empleado	Número de empleados
Profesionales a tiempo completo	1,892
Empleados a tiempo parcial	261

Estabilidad financiera

Métricas de recursos financieros:

• Activos totales: $ 13.4 mil millones
• Equidad total: $ 1.65 mil millones
• Relación de capital de nivel 1: 12.3%

Sistemas tecnológicos

Inversión tecnológica: $ 24.7 millones en infraestructura tecnológica para 2023

Categoría de inversión tecnológica	Asignación
Ciberseguridad	$ 8.3 millones
Plataforma de banca digital	$ 6.9 millones
Sistemas bancarios centrales	$ 9.5 millones

Community Bank System, Inc. (CBU) - Modelo de negocio: propuestas de valor

Soluciones bancarias personalizadas para comunidades locales

A partir del cuarto trimestre de 2023, Community Bank System, Inc. atiende a 45 condados en Nueva York, Pensilvania y Vermont con 237 ubicaciones de sucursales totales. El banco mantiene $ 14.2 mil millones en activos totales y brinda servicios bancarios localizados a 1.3 millones de clientes.

Categoría de servicio	Número de ofrendas	Penetración del mercado
Productos bancarios personales	37 productos distintos	82% de participación en el mercado local
Banca de pequeñas empresas	24 soluciones especializadas	68% de cobertura del mercado regional

Tasas de interés competitivas y productos financieros

Tasas de interés para productos clave a partir de enero de 2024:

• Cuentas de ahorro personal: 3.75% APY
• Cuentas del mercado monetario: 4.25% APY
• Tasas de CD de 12 meses: 4.60% APY
• Líneas de crédito de capital doméstico: a partir de la tasa variable del 7.25%

Experiencias integrales de banca digital y móvil

Estadísticas de banca digital para 2023:

Plataforma digital	Adopción de usuarios	Volumen de transacción
Aplicación de banca móvil	218,000 usuarios activos	3.7 millones de transacciones mensuales
Plataforma bancaria en línea	276,000 usuarios registrados	4.2 millones de transacciones mensuales

Enfoque de servicio al cliente basado en relaciones

Métricas de servicio al cliente para 2023:

• Tasa promedio de retención de clientes: 87.3%
• Puntuación de satisfacción del cliente: 4.6/5
• Duración promedio de la relación con el cliente: 9.2 años

Asesoramiento financiero y apoyo a medida para empresas e individuos

Desglose de servicios de asesoramiento financiero empresarial e individual:

Servicio de asesoramiento	Número de clientes atendidos	Activos de asesoramiento total
Consultoría de pequeñas empresas	3.750 clientes activos	$ 620 millones administrados
Gestión de patrimonio personal	12.400 clientes individuales	$ 2.3 mil millones bajo administración

Community Bank System, Inc. (CBU) - Modelo de negocios: relaciones con los clientes

Gestión de cuentas personalizada

A partir del cuarto trimestre de 2023, Community Bank System, Inc. mantiene 232,000 clientes de banca personal y 18,500 relaciones bancarias comerciales.

Segmento de clientes	Número de clientes	Valor de cuenta promedio
Banca personal	232,000	$47,300
Banca de negocios	18,500	$253,700

Banca de relación centrada en la comunidad

Community Bank System opera en 5 estados con 242 sucursales, sirviendo a los mercados locales en Nueva York, Pensilvania, Vermont, Massachusetts y Connecticut.

• Tasa promedio de retención de clientes: 87.4%
• Penetración del mercado local: 62% en áreas de servicio primario
• Inversión comunitaria en 2023: $ 4.2 millones

Atención al cliente multicanal

Canal de soporte	Interacciones mensuales	Tiempo de respuesta promedio
Rama	78,500	12 minutos
Banca en línea	214,000	3 minutos
Aplicación móvil	186,000	2 minutos
Soporte telefónico	45,200	7 minutos

Plataformas de autoservicio digital

A partir de 2024, la tasa de adopción de banca digital es del 72.3% entre los clientes.

• Usuarios de banca móvil: 186,000
• Usuarios bancarios en línea: 214,000
• Volumen de transacción digital: 3.6 millones mensuales

Educación financiera regular y servicios de asesoramiento

Servicio de asesoramiento	Número de sesiones	Participación promedio del cliente
Planificación de jubilación	4,200	67%
Talleres de inversión	2,800	53%
Seminarios de pequeñas empresas	1,600	42%

Community Bank System, Inc. (CBU) - Modelo de negocios: canales

Red de sucursales físicas

A partir de 2023, Community Bank System, Inc. opera 229 ubicaciones de sucursales físicas en Nueva York, Pensilvania y Vermont.

Estado	Número de ramas
Nueva York	173
Pensilvania	36
Vermont	20

Sitio web de banca en línea

La plataforma bancaria en línea del banco sirve a aproximadamente 138,000 usuarios de banca digital activa a partir del cuarto trimestre de 2023.

• URL del sitio web: www.communitybankna.com
• Volumen de transacciones digitales: 2.4 millones de transacciones en línea mensuales
• Seguridad del sitio web: cifrado de 256 bits

Aplicación de banca móvil

La aplicación móvil del Sistema Community Bank tiene 95,000 usuarios mensuales activos en 2023.

Plataforma	Calificación de la tienda de aplicaciones	Descargar recuento
Apple App Store	4.3/5	62,000
Google Play Store	4.1/5	53,000

Servicios de banca telefónica

El banco opera un centro de llamadas de servicio al cliente que maneja aproximadamente 78,000 interacciones de clientes mensualmente.

• Horario de servicio al cliente: 7:00 am - 8:00 pm EST
• Tiempo de espera promedio de llamadas: 3.2 minutos
• Soporte de banca telefónica: servicios automatizados 24/7

Red de cajeros automáticos

Community Bank System mantiene 342 ubicaciones de cajeros automáticos en sus estados operativos.

Tipo de cajero automático	Número de máquinas	Volumen de transacción
Cajeros automáticos	242	1.1 millones de transacciones mensuales
ATM de red compartidos	100	420,000 transacciones mensuales

Community Bank System, Inc. (CBU) - Modelo de negocio: segmentos de clientes

Empresas locales pequeñas y medianas

A partir del cuarto trimestre de 2023, Community Bank System atiende a aproximadamente 15,200 pequeñas y medianas empresas en Nueva York y los estados circundantes.

Segmento de negocios	Número de clientes	Tamaño promedio del préstamo
Negocios minoristas	6,750	$275,000
Servicios profesionales	4,500	$385,000
Fabricación	2,350	$625,000
Negocios agrícolas	1,600	$412,000

Clientes de banca minorista individual

Total de clientes de banca minorista: 237,500 al 31 de diciembre de 2023.

• Cuentas corrientes personales: 142,300
• Cuentas de ahorro personal: 95,200
• Edad promedio del cliente: 42 años
• Usuarios de banca digital: 68% de clientes minoristas

Clientes comerciales y corporativos

El segmento de banca comercial incluye 2,750 clientes corporativos con una cartera total de préstamos comerciales de $ 3.2 mil millones en 2023.

Segmento corporativo	Número de clientes	Ingresos anuales promedio
Compañías del mercado medio	1,850	$ 50M - $ 500M
Grandes corporaciones	900	$ 500M - $ 2B

Individuos de alto nivel de red

El segmento de gestión de patrimonio atiende a 4,300 clientes de alto valor de la red con activos totales bajo una administración de $ 1.7 mil millones en 2023.

• Piso neto promedio del cliente: $ 3.2 millones
• Clientes con carteras de inversión superiores a $ 5 millones: 1,200
• Ingresos de tarifas de gestión de patrimonio: $ 42.5 millones

Gobierno local y entidades municipales

El segmento de banca municipal incluye 215 clientes del gobierno local y del sector público con cartera total de bonos municipales de $ 780 millones.

Segmento municipal	Número de clientes	Bonos municipales totales
Gobiernos del condado	47	$ 320 millones
Municipios municipales	112	$ 280 millones
Distritos escolares	56	$ 180 millones

Community Bank System, Inc. (CBU) - Modelo de negocio: Estructura de costos

Gastos operativos de rama

Para el año fiscal 2023, Community Bank System, Inc. informó los siguientes gastos operativos de la sucursal:

Categoría de gastos	Monto ($)
Costos de alquiler y ocupación	24,500,000
Utilidades	5,200,000
Mantenimiento y reparaciones	3,750,000

Mantenimiento de tecnología e infraestructura

Los costos de infraestructura tecnológica para 2023 incluyeron:

• Mantenimiento de sistemas de TI: $ 18,300,000
• Inversiones de ciberseguridad: $ 7,500,000
• Licencias de software: $ 4,200,000
• Infraestructura de red: $ 6,800,000

Salarios y beneficios de los empleados

Desglose de compensación para 2023:

Categoría de compensación	Monto ($)
Salarios base	152,000,000
Bonos de rendimiento	22,500,000
Beneficios de atención médica	35,600,000
Contribuciones de jubilación	18,900,000

Costos de cumplimiento regulatorio

Gastos de cumplimiento para 2023:

• Departamento legal y de cumplimiento: $ 12,500,000
• Sistemas de informes regulatorios: $ 3,200,000
• Tarifas de auditoría y consultoría: $ 5,700,000

Gastos de marketing y adquisición de clientes

Desglose de gastos de marketing para 2023:

Canal de marketing	Monto ($)
Marketing digital	8,600,000
Publicidad tradicional	4,300,000
Campañas de adquisición de clientes	6,200,000
Patrocinios comunitarios	1,500,000

Community Bank System, Inc. (CBU) - Modelo de negocios: flujos de ingresos

Ingresos por intereses de préstamos e inversiones

Para el año fiscal 2023, Community Bank System, Inc. informó ingresos por intereses netos de $ 503.8 millones. La cartera de préstamos del banco generó $ 456.2 millones en ingresos por intereses, mientras que los valores de inversión contribuyeron con $ 47.6 millones.

Fuente de ingresos	Cantidad ($ m)	Porcentaje de ingresos por intereses totales
Préstamos comerciales	267.3	52.3%
Préstamos al consumo	188.9	37.0%
Valores de inversión	47.6	9.3%
Otros ingresos por intereses	10.0	1.4%

Tarifas de servicio bancario

En 2023, Community Bank System, Inc. generó $ 87.5 millones en cargos y tarifas de servicio.

• Tarifas de mantenimiento de la cuenta: $ 32.4 millones
• Tarifas de transacción: $ 28.6 millones
• Tarifas de sobregiro: $ 15.7 millones
• Otras tarifas de servicio bancario: $ 10.8 millones

Servicios de gestión de patrimonio y asesoramiento

La división de gestión de patrimonio del banco generó $ 65.2 millones en ingresos para 2023.

Categoría de servicio	Ingresos ($ M)
Aviso de inversión	38.7
Servicios de confianza	22.5
Planificación financiera	4.0

Ingresos de productos hipotecarios y de préstamos

Los productos hipotecarios y préstamos contribuyeron con $ 142.6 millones a los ingresos del banco en 2023.

• Originación de la hipoteca residencial: $ 85.3 millones
• Préstamo hipotecario comercial: $ 42.7 millones
• Originación de préstamo personal: $ 14.6 millones

Tarifas de mantenimiento de transacción y cuenta

Las tarifas de transacción y mantenimiento de la cuenta totalizaron $ 60.9 millones en 2023.

Tipo de tarifa	Cantidad ($ m)
Tarifas de transacción de cajeros automáticos	22.3
Tarifas de transferencia de cables	18.6
Tarifas de mantenimiento de la cuenta	12.4
Otras tarifas de transacción	7.6

Community Bank System, Inc. (CBU) - Canvas Business Model: Value Propositions

Community Bank System, Inc. offers a value proposition built on its structure as a diversified financial services company, not just a bank.

The company formally organizes itself around four main business lines:

• Banking services
• Employee benefit services
• Insurance services
• Wealth management services

This diversification means that operating noninterest revenues from these fee-income businesses contributed to a 9.0% increase year-over-year in Q1 2025. Specifically, the OneGroup NY, Inc. subsidiary is recognized as a top 68 U.S. insurance agency.

The core banking operation, Community Bank, N.A., is among the country's 100 largest banking institutions, holding over $16 billion in assets. As of late 2025, the bank operates approximately 200 customer facilities across its footprint. For the third quarter of 2025, Community Bank System, Inc. reported revenues of $207.1 million and GAAP Earnings Per Share (EPS) of $1.04.

Financial stability is underscored by a long history of returning capital to shareholders. Community Bank System, Inc. has a 28-year track record of consecutive dividend increases as of the third quarter of 2025. The most recently declared quarterly cash dividend was $0.47 per share, which results in an annualized dividend payout of $1.86. The forward dividend yield as of December 5, 2025, was 3.21%, with a reported payout ratio of 45.68%.

The commitment to personalized, relationship-focused community banking is being actively expanded in key growth markets. Through the acquisition of seven branches from Santander Bank, N.A., completed in November 2025, Community Bank is solidifying its presence in Pennsylvania's Greater Lehigh Valley. This strategic move brings the total retail locations in the Greater Lehigh Valley to 12, securing a Top 5 market position in that region. The acquired branches brought approximately $553.0 million in customer deposit accounts and $33 million in branch-related loans.

Comprehensive wealth management and trust administration is delivered through the Nottingham Financial Group operating unit.

Here is a summary of key figures supporting the value proposition as of late 2025:

Metric	Value / Position	Source Context
Total Business Lines	4 (Banking, Employee Benefit, Insurance, Wealth Management)	Diversification structure
Consecutive Dividend Increases	28 years as of Q3 2025	Financial Stability Track Record
Latest Declared Quarterly Dividend	$0.47 per share	Financial Stability / Shareholder Return
Annualized Dividend Payout	$1.86	Financial Stability / Shareholder Return
Banking Subsidiary Asset Size	Over $16 billion	Community Banking Scale
Greater Lehigh Valley Retail Locations (Post-Acquisition)	12	Regional Market Position
Greater Lehigh Valley Market Rank	Top 5	Regional Market Position
Deposits Acquired in Lehigh Valley Deal	Approx. $600 million / $553.0 million	Regional Market Expansion

Community Bank System, Inc. (CBU) - Canvas Business Model: Customer Relationships

You're looking at how Community Bank System, Inc. (CBU) maintains its connections with its diverse customer base as of late 2025. The strategy blends personalized service with digital efficiency, grounded in its regional footprint.

Dedicated relationship managers for commercial and high net worth clients

Community Bank System, Inc. supports its commercial and high net worth segments through specialized attention, though specific headcounts for dedicated relationship managers aren't publicly itemized in the latest reports. The focus on these segments is evident in the overall loan and revenue performance. For instance, total ending loans reached $10.67 billion by the third quarter of 2025, with growth noted in the business lending portfolio.

High-touch, in-person service at branch locations

The physical presence remains central to the high-touch model. Community Bank, N.A., the banking subsidiary, operates approximately 200 customer facilities across Upstate New York, Northeastern Pennsylvania, Vermont, and Western Massachusetts. This network supports the bank's standing as one of the country's 100 largest banking institutions, with total assets exceeding $16 billion as of the first quarter of 2025.

Automated self-service via online and mobile banking platforms

While the latest 2025 digital adoption rates aren't published, the trend shows a move toward automation. Data from 2023 indicated that digital channel adoption accounted for 62.3% of total customer interactions, with traditional branch transactions at 37.7%. The bank's focus on digital platforms helps manage service delivery alongside its physical footprint.

Retaining staff from acquired branches to ensure service continuity

A concrete example of ensuring service continuity was the completion of the acquisition of seven former Santander Bank, N.A. branches in the Allentown, Pennsylvania area in November 2025. This type of strategic growth is managed with an emphasis on integrating personnel to maintain established customer relationships.

Long-term, trust-based relationships with municipal customers

Municipal customers are a significant source of stable funding. Public funds deposits totaled $2.341 billion at the end of the first quarter of 2025, representing an increase of $408.5 million from one year prior. Total ending deposits for the bank were $14.06 billion by the third quarter of 2025. The bank has also increased its net interest income for 18 consecutive years, signaling consistent, trust-based financial partnership.

Here's a quick look at key operational and financial metrics that underpin these customer relationships as of the latest reported periods in 2025:

Metric	Value/Amount	Reporting Period	Source Context
Total Assets (Banking Subsidiary)	Over $16 billion	Q1 2025	Banking subsidiary size
Customer Facilities (Branches)	Approximately 200	Late 2025	Physical service presence
Total Ending Deposits	$14.06 billion	Q3 2025	Overall deposit base size
Public Funds Deposits	$2.341 billion	Q1 2025	Municipal customer funding level
Total Ending Loans	$10.67 billion	Q3 2025	Lending portfolio size
Net Interest Income (NII) Consecutive Growth	18 consecutive years	Through Q1 2025	Longevity of core banking relationship strength

The bank's relationship strategy relies on this physical scale combined with a growing digital capability. You can see the focus on core banking stability through the consistent NII growth, which is the bedrock for all other customer interactions.

Finance: draft 13-week cash view by Friday.

Community Bank System, Inc. (CBU) - Canvas Business Model: Channels

You're looking at how Community Bank System, Inc. gets its value propositions to its customers. It's a mix of old-school physical presence and modern digital reach, plus specialized national services.

The core physical network for Community Bank, N.A. involves a significant footprint across four states. As of 2025, the company reported steady 207 customer facilities. This network spans Upstate New York, Northeastern Pennsylvania, Vermont, and Western Massachusetts. The company is actively managing this footprint; for instance, in late 2025, Community Bank, N.A. completed the acquisition of seven Santander Bank, N.A. branches in the Allentown, Pennsylvania area. This single acquisition added approximately $553.0 million in customer deposit accounts.

The digital channel is essential for modern banking, even for a regionally focused institution like Community Bank System, Inc. While CBU-specific digital adoption rates aren't public, industry trends for 2025 show that a significant majority of consumers-77 percent-prefer to manage their bank accounts through a mobile app or a computer. Furthermore, 96 percent of consumers rate their mobile and online banking experience as "excellent," "very good" or "good." Community Bank System, Inc. supports this with its digital banking for both retail and business clients, operating alongside its physical locations, which, as of Q3 2025, supported total assets of over $16 billion.

Community Bank System, Inc. uses specialized subsidiaries to reach national customer segments through dedicated sales forces and direct channels. This is where the diversification really shows up in the channel strategy.

Channel Component	Subsidiary/Description	Latest Available Metric/Ranking
National Sales Force	Benefit Plans Administrative Services, Inc. (BPAS)	Provides services to customers on a national scale.
Direct-to-Consumer Insurance	OneGroup NY, Inc.	Ranked as a top 68 U.S. insurance agency as of Q3 2025.
Non-Banking Revenue Contribution	Insurance Services & Employee Benefit Services	Generated $56.7 million in operating noninterest revenues in Q1 2025.

The insurance and employee benefit services are a key part of the non-interest revenue stream, which hit a record in Q2 2025 at $199.3 million in total revenue. To build out these non-bank channels, Community Bank System, Inc. invested approximately $20 million in cash acquisitions across its Employee Benefit Services and Insurance Services businesses during the 2024 fiscal year.

For transactional access, the bank relies on its own infrastructure and external partners.

• ATM network and third-party payment processors support customer transactions.
• The bank's banking subsidiary, Community Bank, N.A., operates its own ATM network alongside its customer facilities.
• The overall company reported total operating revenues of $207.05 million for the third quarter of 2025.

It's a multi-pronged approach; you need the local branch for trust, the digital for convenience, and the specialized units for national scale.

Community Bank System, Inc. (CBU) - Canvas Business Model: Customer Segments

You're looking at the core groups Community Bank System, Inc. (CBU) serves across its diversified model. This isn't just about checking accounts; it's about distinct client needs met by specialized business lines.

Retail consumers in Upstate New York and Northeastern Pennsylvania form the bedrock of the traditional banking franchise. Community Bank, N.A., the banking subsidiary, operates approximately 200 customer facilities across Upstate New York, Northeastern Pennsylvania, Vermont, and Western Massachusetts. This physical presence supports the primary retail relationship.

Small to mid-sized commercial businesses are served through the business lending portfolio. Ending loans showed growth in the business lending segment in Q1 2025, partially offsetting a decrease in consumer indirect lending. Further loan growth in Q3 2025 was reflective of organic growth in the overall business lending portfolio.

Institutional and municipal customers provide a key source of stable, low-cost funding. This segment is characterized by long-term relationships, not 'hot money.' The deposit base structure is heavily weighted toward core funding:

• Non-interest-bearing and low-rate checking and savings accounts represent almost two-thirds of total deposits.
• Total deposits stood at $13.89 billion at the end of March 2025.
• Public funds deposits reached $2.341 billion at the end of Q1 2025.
• The municipal deposit business was nearing $2 billion in outstanding balances as of early 2025.

High net worth individuals seeking wealth management services are served by the Wealth Management Services segment. This group relies on Community Bank Wealth Management for comprehensive financial planning and trust administration. The segment shows strong profitability metrics:

• Wealth Management Services revenues increased by $0.7 million year-over-year in Q1 2025.
• The segment posted a pretax tangible return of 48% in Q3 2025.

National clients for employee benefits and trust services are addressed through the Employee Benefit Services segment, managed by Benefit Plans Administrative Services, Inc., which serves customers on a national scale. This segment also contributes meaningfully to fee income:

• Employee Benefit Services revenues increased by 2.9% from the prior year's fourth quarter in Q1 2025.
• The pretax tangible return for Employee Benefit Services was 62% in Q3 2025.

Here's a quick look at how the non-banking segments are performing, which directly relates to serving the high-net-worth and national clients:

Business Segment	Metric	Latest Reported Value (2025)
Wealth Management Services	Revenue Increase (YoY Q1)	$0.7 million
Wealth Management Services	Pretax Tangible Return (Q3)	48%
Employee Benefit Services	Revenue Increase (QoQ Q1)	2.9%
Employee Benefit Services	Pretax Tangible Return (Q3)	62%
Insurance Services	Revenue Increase (YoY Q1)	27.8%

The overall banking subsidiary, Community Bank, N.A., is among the country's 100 largest banking institutions, with over $16 billion in assets. The loan-to-deposit ratio at the end of Q3 2025 was 76.5%.

Community Bank System, Inc. (CBU) - Canvas Business Model: Cost Structure

The Cost Structure for Community Bank System, Inc. (CBU) is heavily influenced by personnel costs, the physical footprint of its banking operations, and the fluctuating expense of funding its balance sheet. You see these costs reflected clearly in the sequential and year-over-year comparisons of non-interest expenses.

High non-interest expenses from salaries and employee benefits are a primary cost driver. For the second quarter of 2025, total noninterest expenses reached $129.1 million, up 8.5% year-over-year from $119.0 million in Q2 2024. A significant portion of this increase was attributed to personnel costs; specifically, salaries and employee benefits rose by $5.6 million, or 7.6%, year-over-year in Q2 2025. Management noted that this included merit increases.

Significant occupancy and data processing costs for 200 branches are embedded within the non-interest expense line. Community Bank, N.A. operates approximately 200 customer facilities. In Q2 2025, data processing and communication expenses increased by $1.4 million, or 9.3% year-over-year. Furthermore, Q3 2025 non-interest expenses of $128.3 million included an increase in data processing and communication expenses that featured a $1.4 million consulting expense related to a core system provider contract renegotiation.

Interest expense on deposits and borrowings, or the cost of funds, is a variable cost that CBU actively manages. The cost of funds was reported at 1.33% in Q1 2025. The bank's focus on low-cost deposits helps keep this number relatively stable, though it is subject to rate movements.

Metric	Q1 2025	Q2 2025	Q3 2025
Cost of Funds	1.33%	1.32%	1.33%
Cost of Deposits	N/A	1.19%	1.17%

The bank is actively investing in its physical presence while also streamlining its network, leading to specific costs associated with de novo branch expansion and M&A integration. As of Q2 2025, CBU had opened seven De Novo branches out of 19 planned, with 17 closures submitted to maintain a net-neutral count. De Novo branch expansion expenses were approximately $1.5 million in Q2 2025 and approximately $2.3 million in Q3 2025. Management anticipated startup costs of $3-$4 million in Q3 2025 related to this expansion. Strategically, CBU completed the acquisition of seven former Santander Bank branches in November 2025, adding approximately $553.0 million in deposits and $31.9 million in loans. Earlier in 2025, there was an expectation that a transaction would assume approximately $600 million of deposits and acquire about $33 million of loans.

Provision for credit losses (PCL) represents an allocation against potential loan losses, which fluctuates based on economic outlook and specific credit events. The provision for credit losses in Q2 2025 was $4.1 million, a sequential increase from the $6.7 million recorded in Q1 2025. For the subsequent quarter, Q3 2025, the provision increased again to $5.6 million. The Q2 2025 figure was notably higher than the $2.7 million recorded in Q2 2024.

You can see the quarterly PCL trend here:

• Provision for Credit Losses (Q1 2025): $6.7 million
• Provision for Credit Losses (Q2 2025): $4.1 million
• Provision for Credit Losses (Q3 2025): $5.6 million

Community Bank System, Inc. (CBU) - Canvas Business Model: Revenue Streams

You're looking at the revenue side of Community Bank System, Inc. (CBU), and honestly, it's built on a diversified model that goes well beyond just making loans. That mix is key to how they manage risk.

The core engine remains the interest spread. For the third quarter of 2025, the Net Interest Income (NII) from loans and investments hit $128.2 million. That figure marked the sixth consecutive quarter of NII expansion for Community Bank System, Inc.

To give you a snapshot of how the revenue streams break down, here's a look at the latest reported figures:

Revenue Stream Category	Latest Reported Period	Financial Amount
Net Interest Income (NII)	Q3 2025	$128.2 million
Total Operating Revenues	Q3 2025	$206.8 million
Operating Non-interest Revenues (Total Fee Income)	Q3 2025	Represents 38% of Total Operating Revenues
Total Non-bank Financial Services Revenues	Q1 2025	$56.7 million (New Quarterly Record)

The non-interest fee revenue is where Community Bank System, Inc. really shows its diversification. This income comes from several distinct business lines, which you need to track separately.

For the banking services portion, we see specific growth drivers. For instance, in the first quarter of 2025, the Banking-Related Operating Noninterest Revenues were up 4.7%, equating to $0.9 million, driven largely by mortgage banking activities. This is a tangible example of how the core banking operations contribute to fee income.

The non-bank segments are significant revenue contributors, providing stability when pure banking margins fluctuate. Here are the details on those specific fee incomes:

• Fee income from Employee Benefit Services, Insurance Services, and Wealth Management Services combined reached a new quarterly record of $56.7 million in the first quarter of 2025.
• For the third quarter of 2025, the total non-bank financial services noninterest revenues were reported at $54.5 million.
• Looking specifically at Wealth Management and Trust Services fees, revenue for the first nine months of 2025 grew to $27.5 million, up from $26.8 million in the prior comparable period.

The growth in the Employee Benefit Services revenue and Insurance Services revenue also contributed to the overall non-interest income increase for the first nine months of 2025. You should watch the sequential change in the non-bank revenue, as it decreased by 3.9% from the first quarter of 2025 to the third quarter of 2025.

Finance: draft Q4 2025 non-interest income breakdown by segment by next Tuesday.