firmly rooted. growing stronger. annual report 2011 · stereotypical view of the homeless –...

S h a r e h o l d e r G e n e r a l I n q u I r I e SLori M. ParishCorporate SecretarySeneca-Cayuga Bancorp, Inc.19 Cayuga StreetSeneca Falls, NY 13148315-568-5855mygenbank.com

C o r p o r a t e o f f I C eSeneca-Cayuga Bancorp, Inc.19 Cayuga StreetSeneca Falls, NY 13148

t r a n S f e r a G e n tRegistrar and Transfer Company10 Commerce DriveCranford, NJ 07016800-368-5948rtco.com

B o a r d o f d I r e C t o r SRobert E. Kernan, Jr. – ChairBradford M. Jones – Vice ChairMarilyn P. BeroMenzo D. CaseDr. Herbert R. HoldenGerald A. MacalusoDr. Frank J. NicchiDr. August P. SinicropiVincent P. SinicropiDavid H. Swenson

I n d e p e n d e n t a u d I t o r SBonadio & Co., LLP115 Solar StreetSuite 100 Syracuse, NY 13204

S p eC I a l Co u n S e lLuse Gorman Pomerenk & Schick, PC5335 Wisconsin Avenue, NWSuite 780Washington, DC 20015

S e n e c a - c ay u g a B a n c o r p, I n c .

a n n u a l r e p o r t 2 0 1 1 Firmly rooted. Growing stronger.

Cash Year ended December 31, 2011 High Low Dividends Declared

Fourth quarter $ 7.70 $ 4.80 $ —Third quarter 8.10 5.35 —Second quarter 8.00 5.35 —First quarter 5.85 4.90 —



stockholder informationSeneca-Cayuga Bancorp, Inc. (the “Company”) is the federally chartered mid-tier stock holding company of Generations Bank (the “Bank”). The Company owns 100% of the common stock of the Bank and has not engaged in any significant business activity other than owning the Bank’s common stock and does not intend to expand materially its business activities (other than through the Bank). Generations Bank was chartered in 1870 to provide a safe and secure depository institution for the small community of Seneca Falls and the developing communities in the northern Finger Lakes region. Today, with nine offices, we remain committed to meeting that mission, serving both individuals and businesses. The Northern Finger Lakes region is located in the western portion of New York State between the cities of Rochester and Syracuse, New York. Seneca Falls is located six miles south of Interstate 90, the major east-west highway that runs through the state of New York. Our market extends from Geneva, New York, in the west to Auburn, New York, in the east. We also have offices in Union Springs (just a few miles southwest of Auburn) and in Phelps (just a few miles northwest of Geneva). Generations Agency (the “Agency”) is a wholly-owned subsidiary of the Bank. The Agency has offices in Seneca Falls, Waterloo, Geneva and Auburn, and offers personal and commercial property insurance, life insurance, long-term care planning, annuities, and other products and services.

our common stockThe Common Stock of Seneca-Cayuga Bancorp, Inc. is traded on the OTC BB market under the symbol SCAY. At December 31, 2011, the common stock was held by approximately 280 shareholders of record. The following table shows the range of high and low market prices for our stock for the quarters indicated. There were no dividends declared or paid in any quarter. The payment of any future cash dividends is dependent on the results of operations and financial condition of the Company, as well as tax considerations, economic and market conditions, regulatory restrictions, regulatory capital requirements and other factors.

Welcome to the new generation.

company financial summaryThe summary information presented below at or for each of the years presented is derived in part from the audited consolidated financial statements of Seneca-Cayuga Bancorp, Inc. and should be read in conjunction with our consolidated financial statements and notes issued under separate cover (dollars in thousands).

At December 31, 2011 2010 2009Total assets $ 243,949 $ 239,470 $ 219,799Loans receivable, net 187,333 183,564 168,791Securities 29,881 24,931 21,359Deposits 187,075 189,512 175,387Borrowings 29,029 28,264 23,670Shareholders’ equity 23,947 18,775 17,659

For the year ended December 31, 2011 2010 2009S e l e C t e d o p e r a t I n G d a t a : Interest and dividend income $ 11,279 $ 11,212 $ 9,692Interest expense 2,982 3,816 4,094Net interest income 8,297 7,396 5,598Provision for loan losses 611 298 191Net interest income after provision for loan losses 7,686 7,098 5,407Noninterest income 2,364 1,624 2,039Noninterest expense (7,961) (7,004) (6,720)Income before tax 2,089 1,718 726Provision for income taxes 746 580 250Net income $ 1,343 $ 1,138 $ 476

At and for the years ended December 31, 2011 2010 2009p e r f o r m a n C e r a t I o S : Return on average assets 0.56% 0.49% 0.25%Return on average equity 6.39% 6.17% 2.75%Interest rate spread(1) 3.75% 3.45% 3.05%Net interest margin(2) 3.84% 3.54% 3.22%Efficiency ratio(3) 74.67% 74.45% 88.00%Operating expense to average total assets 3.30% 3.00% 3.47%Average interest-earning assets to average 106.71% 104.73% 107.25%interest-bearing liabilities

a S S e t q u a l I t y r a t I o S : Non-performing assets to total assets 1.80% 0.80% 0.44%Non-performing loans to total loans 2.01% 0.65% 0.50%Allowance for loan losses to non-performing loans 33.90% 79.83% 86.67%Allowance for loan losses to total loans 0.70% 0.53% 0.44%

C a p I t a l r a t I o S : Average equity to average assets 8.70% 7.90% 8.95%Equity to total assets at the end of period 9.82% 7.84% 8.03%Total bank capital to risk-weighted assets 15.76% 12.11% 12.05%Tier 1 bank capital to risk-weighted assets 14.94% 11.48% 11.53%Tier 1 bank capital to adjusted assets 10.18% 7.65% 7.80%

(1) Represents the difference between the weighted-average yield on interest-earning assets and the weighted-average cost of interest-bearing liabilities for the period.(2) Represents interest income as a percent of average interest-earning assets for the period.(3) The efficiency ratio represents noninterest expense divided by the sum of net interest income and noninterest income, excluding net gains or losses on sale

of securities, net gain or loss on trading securities and security impairment losses.

performance highlights

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2009 0.21

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2011 0.57

2007 $ 170.1

2008 (487.9)

2009 475.6

2010 1,138.5

2011 1,343.2

bank’s core capital ratio

2007 % 11.37

2008 9.31

2009 7.80

2010 7.65

2011 10.18

o u r I d e n t I t y h a S e v o l v e d t o u S e a n e w v e r S I o n o f a t r e e a S o u r l o g o .

I t ’ S a n o p t I m I S t I c v I e w p o I n t , l o o k I n g u p t h r o u g h t h e B r a n c h e S a S t h e S u n

S h I n e S t h r o u g h t h e l e a v e S .

A closer look at our performance.

Seneca-Cayuga Bancorp, Inc. (“Company”) just announced a significant change – Seneca Falls Savings

Bank is now Generations Bank, and Royce & Rosenkrans, Inc. is now Generations Agency. Over the years,

we have increased our market presence from Auburn to Geneva, opening convenient, full-service branches

along the way. These markets are not new to us – not by any stretch of the imagination. Rather, customers

within these unique communities throughout the Finger Lakes Region chose us to be their trusted partner

over the years. Our locations reflect our commitment to the Region, and changing the name was the next

logical step toward creating a unified identity.

We haven’t lost our individual office identities. We’ve merely publicly recognized the ties that bind

us together and root us in our communities. The strongest of those ties, the deepest of those roots, is our

customers. To that end, we are refocusing our entire Company on those values on which we were built.

Our name may have changed, but the things we stand for remain the same. They have defined us for

generations. They continue to define us.

As you are also aware, on March 5, 2012, we paid a special dividend to common shareholders,

the first from our Company! The Board of Directors was

pleased to approve the special dividend following the

successful conclusion of 2011. Earnings per common share for the year ended December 31, 2011, were $0.57, as

compared to $0.50 for the year ended December 31, 2010. The improved earnings were primarily the result of

an improved interest margin, which remains strong in this historically low-rate environment.

To our shareholders,

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stereotypical view of the homeless – people who have no desire to succeed, living off the system, looking for

the next handout. Nothing could be further from the truth! Families are finding themselves suddenly without

income, unable to make ends meet. Young mothers find themselves alone. Worse, there have been dramatic

cuts in programs designed to meet these desperate needs. I am, by nature, a staunch capitalist and

humanitarian and believe that private entities should provide for the support of those who are unable to care

for themselves. Our compassion compels us to take this action. There are only six units designated for the

homeless in Seneca, Ontario, Wayne and Yates counties – hardly sufficient knowing that there are currently

no less than 20 homeless women in Seneca County alone.

We believe that there are great possibilities with every opportunity presented to us. We do not live

by the adage “It’s the way we have always done it” or “No one else does that.” How ridiculous it would be to at-

tempt to shirk our responsibility to meet our customers’ needs with such sentiments! On the contrary, we

like to say that nothing is impossible with a good partner. And we

are that good partner, day after day, generation after generation.

We’re here to help individuals, families and businesses realize

possibilities – a new home, a vehicle, starting a business.

We’ll maintain our focus on those things that we value most and make the best decisions possible

with an eye toward meeting customer expectations and building franchise value. Thank you for your

continued investment in our Company.

Sincerely,

Menzo D. Case President & CEO

Partners — day after day, generation after generation.

w e h a v e n ’ t l o S t o u r u n I q u e I d e n t I t I e S .

o u r n e w l o g o S c e l e B r a t e o u r u n I t y a n d t h e t I e S t h a t B I n d .

We haven’t lost sight of our purpose.

We purchased two insurance agencies. We invested heavily in

our technology. None of this provided immediate returns.

However, we are driven by the notion that in order to provide

the service expected of us—the service expected from a trusted partner—these investments were necessary.

We are beginning to realize the benefits of our investments, as are our communities.

This past year, we participated in the Small Business Lending Fund (SBLF) offered by the U.S. Treasury.

In exchange for preferred stock issued by our Company, we received $5 million through the SBLF, which was

used to increase our bank’s capital. In turn, we originated over $15 million in small business loans in 2011,

which was the idea behind the program. The notion that community banks are not lending to small businesses

is simply not true. We are living proof.

We believe that compassion is needed in this world. We hold that our customers will not be judged

when they come to us looking for solutions. Finances go up and down. That’s a fact not only for the stock

market, but for families and small businesses, as well. We understand and are here for our customers through

“thick and thin.” We have expanded our automobile portfolio significantly over the past two years. We are

reaching out to individuals who reflect a level of financial integrity, but who might have made poor credit

decisions in the past. Working with our local auto dealerships, we have been able to finance cars on affordable

terms. We have also worked with several families to save their homes or businesses. These are tough times,

and we were all caught, to some degree, by the sudden financial crisis in 2008.

One of our major projects announced this year resulted from our involvement with Habitat for

Humanity and the Seneca County Housing Coalition. We are partnering with Cayuga/Seneca Community

Action Agency, Inc. to finance the renovation of a former convent to provide five additional units designated

as transitional housing for homeless women. Unfortunately, many continue to carry with them the

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Through thick and thin.

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From generation to generation, we have weathered the storms.

Regardless of political leanings, it’s hard to deny that the present economic climate produces less

than an optimistic view of the future. The continued effects of the financial crisis that began in the fall of 2008

are most disconcerting, as it does not appear that much has changed! Unemployment remains above 8%,

which does not take into account the masses that are no longer

looking for employment. The stock market swings 1 or 2 percent

daily with almost any news from around the world. Rates remain

at the lowest levels in recent history, but the housing market is nowhere near recovery. The U.S. dollar is worth

less and less as the Federal Reserve continues to pump liquidity into an already highly liquid worldwide

economy. U.S. dependence on foreign energy sources remains unchanged, and we have no clear energy policy.

It is no wonder that Americans are losing confidence in government at all levels and private industry

to work out solutions for the issues facing us. At the federal government level, we have laws passed that no one

has read and analyzed, and “czars” appointed who circumvent Congressional oversight. Politics are funded by

unlimited contributions from private concerns – with an emphasis on elevating individuals rather than ideals.

The federal government’s deficit spending is unchecked by a Congress that seems incapable of solving

problems. At the state government level, we see many states near bankruptcy but with record-breaking

spending plans. Private industry is just as troubling. We see behemoths that control vast amounts of capital

making decisions that ensure their continuance at the cost of competition, fair play and sound economic

theory. For example, this year, the interchange fee paid to the largest of financial institutions was reduced

significantly. The various merchant associations lauded the decision and vowed that the consumer would

benefit from the change. However, we see that it was the merchants who benefited most from the change –

hardly any savings were passed on to the consumer. It’s an unfortunate state of affairs.

Our focus is on building long-lasting relationships.

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Sometimes, we make a decision that will not immediately add to our bottom line.

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However, from generation to generation, we have weathered the storms, and together, we can forge

ahead even in these uncertain days. I am confident that we can, because we have maintained our focus on

the things that matter – our core values. Granted, we are not immune to the potential effects of this or a future

financial crisis, but we have carefully maintained a position of financial strength so that we can maintain a

secure environment for our customers. The crisis that we face today is not one of complex problems to which

we must select the “only” answer. It’s one of a lack of fortitude to stand up for what is known to be right and

the strength to implement whatever is necessary to cause the appropriate change. We also face an increasing

desire by a few to control or manage our destinies. However, this prevailing attitude smacks in the face of that

which made our country great – individualism, entrepreneurship and freedom.

Our focus is on building long-lasting relationships. There is a certain confidence that comes with a

relationship that is long-lasting – starting when you’re young, following as you move, welcoming as you return.

Through good times and bad, we plan to be there with advice,

a loan, insurance, a plan…and always a sense of security.

We haven’t lost sight of our purpose. We serve our communities

by providing access to loans that finance homes, cars and dreams –

but only to those who show a commitment to financial integrity. We offer insurance to cover the unexpected

loss of personal belongings, accidents at work or home, or for businesses. We make it easy to access your

funds wherever you are and to gain an understanding of your investment opportunities. We support local

organizations that reflect the values of our communities.

Sometimes, we may make a decision that will not immediately add to our bottom line. Over the past

11 years, we have extended our office network from one to nine, with an additional office for our loan group.

Through thick and thin.

the

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In

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.

From generation to generation, we have weathered the storms.

Regardless of political leanings, it’s hard to deny that the present economic climate produces less

than an optimistic view of the future. The continued effects of the financial crisis that began in the fall of 2008

are most disconcerting, as it does not appear that much has changed! Unemployment remains above 8%,

which does not take into account the masses that are no longer

looking for employment. The stock market swings 1 or 2 percent

daily with almost any news from around the world. Rates remain

at the lowest levels in recent history, but the housing market is nowhere near recovery. The U.S. dollar is worth

less and less as the Federal Reserve continues to pump liquidity into an already highly liquid worldwide

economy. U.S. dependence on foreign energy sources remains unchanged, and we have no clear energy policy.

It is no wonder that Americans are losing confidence in government at all levels and private industry

to work out solutions for the issues facing us. At the federal government level, we have laws passed that no one

has read and analyzed, and “czars” appointed who circumvent Congressional oversight. Politics are funded by

unlimited contributions from private concerns – with an emphasis on elevating individuals rather than ideals.

The federal government’s deficit spending is unchecked by a Congress that seems incapable of solving

problems. At the state government level, we see many states near bankruptcy but with record-breaking

spending plans. Private industry is just as troubling. We see behemoths that control vast amounts of capital

making decisions that ensure their continuance at the cost of competition, fair play and sound economic

theory. For example, this year, the interchange fee paid to the largest of financial institutions was reduced

significantly. The various merchant associations lauded the decision and vowed that the consumer would

benefit from the change. However, we see that it was the merchants who benefited most from the change –

hardly any savings were passed on to the consumer. It’s an unfortunate state of affairs.

We haven’t lost sight of our purpose.

We purchased two insurance agencies. We invested heavily in

our technology. None of this provided immediate returns.

However, we are driven by the notion that in order to provide

the service expected of us—the service expected from a trusted partner—these investments were necessary.

We are beginning to realize the benefits of our investments, as are our communities.

This past year, we participated in the Small Business Lending Fund (SBLF) offered by the U.S. Treasury.

In exchange for preferred stock issued by our Company, we received $5 million through the SBLF, which was

used to increase our bank’s capital. In turn, we originated over $15 million in small business loans in 2011,

which was the idea behind the program. The notion that community banks are not lending to small businesses

is simply not true. We are living proof.

We believe that compassion is needed in this world. We hold that our customers will not be judged

when they come to us looking for solutions. Finances go up and down. That’s a fact not only for the stock

market, but for families and small businesses, as well. We understand and are here for our customers through

“thick and thin.” We have expanded our automobile portfolio significantly over the past two years. We are

reaching out to individuals who reflect a level of financial integrity, but who might have made poor credit

decisions in the past. Working with our local auto dealerships, we have been able to finance cars on affordable

terms. We have also worked with several families to save their homes or businesses. These are tough times,

and we were all caught, to some degree, by the sudden financial crisis in 2008.

One of our major projects announced this year resulted from our involvement with Habitat for

Humanity and the Seneca County Housing Coalition. We are partnering with Cayuga/Seneca Community

Action Agency, Inc. to finance the renovation of a former convent to provide five additional units designated

as transitional housing for homeless women. Unfortunately, many continue to carry with them the

the

sha

reh

old

ers

It

’S

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l e t t e r t o

Partners — day after day, generation after generation.

w e h a v e n ’ t l o S t o u r u n I q u e I d e n t I t I e S .

o u r n e w l o g o S c e l e B r a t e o u r u n I t y a n d t h e t I e S t h a t B I n d .

A change in appearance, not character.

the

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0

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fr

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.

We believe that there are great possibilities with every opportunity presented to us.

l e t t e r t o

stereotypical view of the homeless – people who have no desire to succeed, living off the system, looking for

the next handout. Nothing could be further from the truth! Families are finding themselves suddenly without

income, unable to make ends meet. Young mothers find themselves alone. Worse, there have been dramatic

cuts in programs designed to meet these desperate needs. I am, by nature, a staunch capitalist and

humanitarian and believe that private entities should provide for the support of those who are unable to care

for themselves. Our compassion compels us to take this action. There are only six units designated for the

homeless in Seneca, Ontario, Wayne and Yates counties – hardly sufficient knowing that there are currently

no less than 20 homeless women in Seneca County alone.

We believe that there are great possibilities with every opportunity presented to us. We do not live

by the adage “It’s the way we have always done it” or “No one else does that.” How ridiculous it would be to at-

tempt to shirk our responsibility to meet our customers’ needs with such sentiments! On the contrary, we

like to say that nothing is impossible with a good partner. And we

are that good partner, day after day, generation after generation.

We’re here to help individuals, families and businesses realize

possibilities – a new home, a vehicle, starting a business.

We’ll maintain our focus on those things that we value most and make the best decisions possible

with an eye toward meeting customer expectations and building franchise value. Thank you for your

continued investment in our Company.

Sincerely,

Menzo D. Case President & CEO

A closer look at our performance.

Seneca-Cayuga Bancorp, Inc. (“Company”) just announced a significant change – Seneca Falls Savings

Bank is now Generations Bank, and Royce & Rosenkrans, Inc. is now Generations Agency. Over the years,

we have increased our market presence from Auburn to Geneva, opening convenient, full-service branches

along the way. These markets are not new to us – not by any stretch of the imagination. Rather, customers

within these unique communities throughout the Finger Lakes Region chose us to be their trusted partner

over the years. Our locations reflect our commitment to the Region, and changing the name was the next

logical step toward creating a unified identity.

We haven’t lost our individual office identities. We’ve merely publicly recognized the ties that bind

us together and root us in our communities. The strongest of those ties, the deepest of those roots, is our

customers. To that end, we are refocusing our entire Company on those values on which we were built.

Our name may have changed, but the things we stand for remain the same. They have defined us for

generations. They continue to define us.

As you are also aware, on March 5, 2012, we paid a special dividend to common shareholders,

the first from our Company! The Board of Directors was

pleased to approve the special dividend following the

successful conclusion of 2011. Earnings per common share for the year ended December 31, 2011, were $0.57, as

compared to $0.50 for the year ended December 31, 2010. The improved earnings were primarily the result of

an improved interest margin, which remains strong in this historically low-rate environment.

To our shareholders,

the

sha

reh

old

ers

ou

r

Id

en

tI

ty

I

S

a

re

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on

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Rooted in the things that matter.

l e t t e r t o

performance highlights

$104.5

In

m

Il

lI

on

S

loans

2007 2008 2009 2010 2011

$138.0

$168.8

$183.6$187.3

$114.4

$128.9

$175.4

$189.5 $187.1

In

m

Il

lI

on

S

deposits

2007 2008 2009 2010 2011

earnings per common share

net income

In

t

ho

uS

an

dS

In

d

ol

la

rS

In

p

er

ce

nt

2007 $ 0.07

2008 (0.21)

2009 0.21

2010 0.50

2011 0.57

2007 $ 170.1

2008 (487.9)

2009 475.6

2010 1,138.5

2011 1,343.2

bank’s core capital ratio

2007 % 11.37

2008 9.31

2009 7.80

2010 7.65

2011 10.18

o u r I d e n t I t y h a S e v o l v e d t o u S e a n e w v e r S I o n o f a t r e e a S o u r l o g o .

I t ’ S a n o p t I m I S t I c v I e w p o I n t , l o o k I n g u p t h r o u g h t h e B r a n c h e S a S t h e S u n

S h I n e S t h r o u g h t h e l e a v e S .

Welcome to the new generation.

company financial summaryThe summary information presented below at or for each of the years presented is derived in part from the audited consolidated financial statements of Seneca-Cayuga Bancorp, Inc. and should be read in conjunction with our consolidated financial statements and notes issued under separate cover (dollars in thousands).

At December 31, 2011 2010 2009Total assets $ 243,949 $ 239,470 $ 219,799Loans receivable, net 187,333 183,564 168,791Securities 29,881 24,931 21,359Deposits 187,075 189,512 175,387Borrowings 29,029 28,264 23,670Shareholders’ equity 23,947 18,775 17,659

For the year ended December 31, 2011 2010 2009S e l e C t e d o p e r a t I n G d a t a : Interest and dividend income $ 11,279 $ 11,212 $ 9,692Interest expense 2,982 3,816 4,094Net interest income 8,297 7,396 5,598Provision for loan losses 611 298 191Net interest income after provision for loan losses 7,686 7,098 5,407Noninterest income 2,364 1,624 2,039Noninterest expense (7,961) (7,004) (6,720)Income before tax 2,089 1,718 726Provision for income taxes 746 580 250Net income $ 1,343 $ 1,138 $ 476

At and for the years ended December 31, 2011 2010 2009p e r f o r m a n C e r a t I o S : Return on average assets 0.56% 0.49% 0.25%Return on average equity 6.39% 6.17% 2.75%Interest rate spread(1) 3.75% 3.45% 3.05%Net interest margin(2) 3.84% 3.54% 3.22%Efficiency ratio(3) 74.67% 74.45% 88.00%Operating expense to average total assets 3.30% 3.00% 3.47%Average interest-earning assets to average 106.71% 104.73% 107.25%interest-bearing liabilities

a S S e t q u a l I t y r a t I o S : Non-performing assets to total assets 1.80% 0.80% 0.44%Non-performing loans to total loans 2.01% 0.65% 0.50%Allowance for loan losses to non-performing loans 33.90% 79.83% 86.67%Allowance for loan losses to total loans 0.70% 0.53% 0.44%

C a p I t a l r a t I o S : Average equity to average assets 8.70% 7.90% 8.95%Equity to total assets at the end of period 9.82% 7.84% 8.03%Total bank capital to risk-weighted assets 15.76% 12.11% 12.05%Tier 1 bank capital to risk-weighted assets 14.94% 11.48% 11.53%Tier 1 bank capital to adjusted assets 10.18% 7.65% 7.80%

(1) Represents the difference between the weighted-average yield on interest-earning assets and the weighted-average cost of interest-bearing liabilities for the period.(2) Represents interest income as a percent of average interest-earning assets for the period.(3) The efficiency ratio represents noninterest expense divided by the sum of net interest income and noninterest income, excluding net gains or losses on sale

of securities, net gain or loss on trading securities and security impairment losses.





stockholder informationSeneca-Cayuga Bancorp, Inc. (the “Company”) is the federally chartered mid-tier stock holding company of Generations Bank (the “Bank”). The Company owns 100% of the common stock of the Bank and has not engaged in any significant business activity other than owning the Bank’s common stock and does not intend to expand materially its business activities (other than through the Bank). Generations Bank was chartered in 1870 to provide a safe and secure depository institution for the small community of Seneca Falls and the developing communities in the northern Finger Lakes region. Today, with nine offices, we remain committed to meeting that mission, serving both individuals and businesses. The Northern Finger Lakes region is located in the western portion of New York State between the cities of Rochester and Syracuse, New York. Seneca Falls is located six miles south of Interstate 90, the major east-west highway that runs through the state of New York. Our market extends from Geneva, New York, in the west to Auburn, New York, in the east. We also have offices in Union Springs (just a few miles southwest of Auburn) and in Phelps (just a few miles northwest of Geneva). Generations Agency (the “Agency”) is a wholly-owned subsidiary of the Bank. The Agency has offices in Seneca Falls, Waterloo, Geneva and Auburn, and offers personal and commercial property insurance, life insurance, long-term care planning, annuities, and other products and services.

our common stockThe Common Stock of Seneca-Cayuga Bancorp, Inc. is traded on the OTC BB market under the symbol SCAY. At December 31, 2011, the common stock was held by approximately 280 shareholders of record. The following table shows the range of high and low market prices for our stock for the quarters indicated. There were no dividends declared or paid in any quarter. The payment of any future cash dividends is dependent on the results of operations and financial condition of the Company, as well as tax considerations, economic and market conditions, regulatory restrictions, regulatory capital requirements and other factors.

S h a r e h o l d e r G e n e r a l I n q u I r I e SLori M. ParishCorporate SecretarySeneca-Cayuga Bancorp, Inc.19 Cayuga StreetSeneca Falls, NY 13148315-568-5855mygenbank.com

C o r p o r a t e o f f I C eSeneca-Cayuga Bancorp, Inc.19 Cayuga StreetSeneca Falls, NY 13148

t r a n S f e r a G e n tRegistrar and Transfer Company10 Commerce DriveCranford, NJ 07016800-368-5948rtco.com

B o a r d o f d I r e C t o r SRobert E. Kernan, Jr. – ChairBradford M. Jones – Vice ChairMarilyn P. BeroMenzo D. CaseDr. Herbert R. HoldenGerald A. MacalusoDr. Frank J. NicchiDr. August P. SinicropiVincent P. SinicropiDavid H. Swenson

I n d e p e n d e n t a u d I t o r SBonadio & Co., LLP115 Solar StreetSuite 100 Syracuse, NY 13204

S p eC I a l Co u n S e lLuse Gorman Pomerenk & Schick, PC5335 Wisconsin Avenue, NWSuite 780Washington, DC 20015

S e n e c a - c ay u g a B a n c o r p, I n c .

a n n u a l r e p o r t 2 0 1 1 Firmly rooted. Growing stronger.

firmly rooted. growing stronger. annual report 2011 · stereotypical view of the homeless –...

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