UNITED  STATES
                         SECURITIES  AND  EXCHANGE  COMMISSION
                               Washington,  D.C.  20549

                                       FORM  10-Q


[  X  ]  QUARTERLY  REPORT  PURSUANT  TO  SECTION 13 OR 15 (D) OF THE SECURITIES
EXCHANGE  ACT  OF  1934
For  the  quarterly  period  ended  September  30,  2000
                                    --------------------

or

[   ]  TRANSITION  REPORT  PURSUANT  TO  SECTION  13 OR 15 (D) OF THE SECURITIES
EXCHANGE  ACT  OF  1934
For  the  transition  period  from  ________________  to  ______________

Commission  File  Number:  2-94863
                           -------



                             CANANDAIGUA  NATIONAL  CORPORATION
                    (Exact  name  of  registrant  as  specified  in its charter)


                      New  York                            16-1234823
                      ---------                            ----------
            (State  or  other  jurisdiction  of            (I.R.S.  Employer
             incorporation  or  organization)         Identification  Number)


     72  South  Main  Street,  Canandaigua,  New  York             14424
     -------------------------------------------------             -----
      (Address  of  principal  executive  offices)             (Zip  Code)


                                 (716) 394-4260
                                 --------------
               Registrant's telephone number, including area code


  Indicate  by  check  mark  whether  the  registrant  (1) has filed all reports
required  to  be  filed by Section 13 or 15(d) of the Securities Exchange Act of
1934  during  the  preceding  12  months  (or  for  such shorter period that the
registrant  was required to file such reports), and (2) has been subject to such
filing  requirements  for  the  past  90  days.  [X]  Yes   [  ]  No


  Indicate  the  number of shares outstanding of each of the issuer's classes of
common  stock,  as  of  the  latest  practical  date.

                    Class                     Outstanding  at  November  3, 2000
                    -----                     ----------------------------------
             Common  stock,  $50.00  par                  158,497
















SAFE  HARBOR  STATEMENT
-----------------------

"Safe  Harbor"  Statement  under the Private Securities Litigation Reform Act of
1995:  This  report  contains  certain  "forward-looking statements" intended to
qualify  for  the  "safe harbor" provisions of the Private Securities Litigation
Reform  Act  of  1995.  When  used or incorporated by reference in the Company's
disclosure  documents,  the words "anticipate," "estimate," "expect," "project,"
"target,"  "goal"  and  similar expressions, as well as discussion regarding the
"Year  2000  issue,"  are intended to identify forward-looking statements within
the  meaning  of  Section  27A  of  the  Securities  Act.  Such  forward-looking
statements  are  subject  to  certain  risks,  uncertainties  and  assumptions,
including,  but  not limited to (1) economic conditions, (2) real estate market,
and  (3)  interest  rates.  Should  one  or more of these risks or uncertainties
materialize,  or  should  underlying assumptions prove incorrect, actual results
may  vary  materially  from those anticipated, estimated, expected or projected.
These  forward looking statements speak only as of the date of the document. The
Company  expressly  disclaims  any obligation or undertaking to publicly release
any  updates  or  revisions to any forward-looking statement contained herein to
reflect  any  change  in  the  Company's  expectation with regard thereto or any
change  in  events,  conditions  or circumstances on which any such statement is
based.













































                CANANDAIGUA NATIONAL CORPORATION AND SUBSIDIARIES

                               INDEX TO FORM 10-Q

                               SEPTEMBER 30, 2000

PART  I -- FINANCIAL INFORMATION                                            Page
                                                                            ----

Item  1.  Financial  Statements  (Unaudited)

Condensed  consolidated  balance  sheets  at  September  30,  2000
  and  December  31, 1999.                                                     1

Condensed  consolidated  statements  of  income  for  the  three  and  nine
  month  periods  ended September 30, 2000 and 1999.                           3

Consolidated  statements  of  stockholders'  equity
  for  the  nine month periods ended September 30, 2000 and 1999.              4

Consolidated  statements  of  cash  flows  for  the  nine
  month  periods  ended September 30, 2000 and 1999.                           5

Notes  to  financial  statements
  at  September  30, 2000.                                                     6

Item  2.  Management's  Discussion  and  Analysis  of  Financial
  Condition  and  Results of Operations                                        8

Item  3.  Quantitative  and  Qualitative  Disclosures  about
  Market  Risk
    This  information  is  incorporated  by  reference
    in  Part  I,  Item  2,  Interest  Rate  Sensitivity  and
                            --------------------------------
    Asset/Liability  Management Review                                        11
    ----------------------------------


PART  II  --  OTHER  INFORMATION

Item  1.  Legal Proceedings                                                   14
Item  2.  Changes in Securities                                               14
Item  3.  Defaults Upon Senior Securities                                     14
Item  4.  Submission of Matters to a Vote of Security Holders                 14
Item  5.  Other Information                                                   14
Item  6.  Exhibits and Reports on Form 8-K                                    14

SIGNATURES                                                                    15

EXHIBITS                                                                      16
















PART  I  FINANCIAL  INFORMATION
Item  1.  Financial  Statements
<TABLE>

<CAPTION>

                      CANANDAIGUA NATIONAL CORPORATION AND SUBSIDIARIES
                            CONDENSED CONSOLIDATED BALANCE SHEETS
                    September 30, 2000 and December 31, 1999 (unaudited)
                          (dollars in thousands, except share data)


                                                               September 30,   December 31,
                                                              ---------------  -------------
Assets                                                             2000            1999
------------------------------------------------------------  ---------------  -------------
<S>                                                           <C>              <C>

Cash and due from banks                                       $       28,950         26,801
Interest-bearing deposits with other financial institutions               72             33
Securities:
  - Available for sale, at fair value                                    951            528
  - Held-to-maturity (fair value of $78,176 in 2000 and
      $74,805 in 1999)                                                78,436         75,336
Loans:
  Commercial, financial & agricultural                                66,956         62,491
  Commercial mortgage                                                186,972        141,255
  Residential mortgage                                                79,306         69,862
  Consumer-auto indirect                                             104,822        103,605
  Consumer-other                                                      15,358         18,561
  Other                                                                1,571          2,097
  Loans held for sale                                                  2,115            492
                                                              ---------------  -------------
    Total loans                                                      457,100        398,363
  Less:  Allowance for loan losses                                    (4,784)        (4,136)
                                                              ---------------  -------------
    Loans - net                                                      452,316        394,227
Premises and equipment - net                                          15,653         13,438
Accrued interest receivable                                            3,505          2,682
Federal Home Loan Bank stock and Federal Reserve Bank stock            3,007          3,548
Other assets                                                           7,218          5,542
                                                              ---------------  -------------
        Total Assets                                          $      590,108        522,135
                                                              ===============  =============


<FN>

                                          (Continued)
</TABLE>













                                                                      Page  1
<PAGE>
<TABLE>

<CAPTION>

                     CANANDAIGUA NATIONAL CORPORATION AND SUBSIDIARIES
                           CONDENSED CONSOLIDATED BALANCE SHEETS
                   September 30, 2000 and December 31, 1999 (unaudited)
                         (dollars in thousands, except share data)



                                                             September 30,   December 31,
                                                            ---------------  -------------
Liabilities and Stockholders' Equity                             2000            1999
----------------------------------------------------------  ---------------  -------------
<S>                                                         <C>              <C>

Deposits:
  Demand
    Non-interest bearing                                    $       83,372         74,630
    Interest bearing                                                50,606         46,490
  Savings and money market                                         165,942        156,108
  Time deposits                                                    222,750        177,062
                                                            ---------------  -------------
        Total deposits                                             522,670        454,290
Borrowings                                                          20,456         22,218
Accrued interest payable and other liabilities                       3,255          3,150
                                                            ---------------  -------------
        Total Liabilities                                   $      546,381        479,658
                                                            ---------------  -------------


Stockholders' Equity:
  Common stock, $50 par value; 240,000 shares authorized;
    162,208 shares issued in 2000 and 1999                           8,110          8,110
  Additional paid-in capital                                         8,508          8,506
  Retained earnings                                                 28,298         27,087
  Treasury stock at cost (3,711 shares in 2000 and
    3,725 in 1999)                                                  (1,343)        (1,348)
  Accumulated other comprehensive income                               154            122
                                                            ---------------  -------------
        Total Stockholders' Equity                                  43,727         42,477
                                                            ---------------  -------------
        Total Liabilities and Stockholders' Equity          $      590,108        522,135
                                                            ===============  =============
<FN>

See  notes  to  financial  statements.
</TABLE>

















                                                                        Page  2
<PAGE>
<TABLE>

<CAPTION>

                CANANDAIGUA NATIONAL CORPORATION AND SUBSIDIARIES
                   CONDENSED CONSOLIDATED STATEMENTS OF INCOME

      For the three and nine month periods ended September 30, 2000 and 1999
                                   (Unaudited)

                  (dollars in thousands, except per share data)

                                             Three months ended     Nine months ended
                                                September  30,        September 30,
                                                2000     1999          2000     1999
                                               -------  ------       -------  -------
<S>                                            <C>      <C>          <C>      <C>
Interest income:
  Loans, including fees                        $ 9,911   7,683       $27,553   20,847
  Securities                                     1,048     931         3,198    2,818
  Other                                             26      47            73      205
                                               -------  ------       -------  -------
        Total interest income                   10,985   8,661        30,824   23,870
                                               -------  ------       -------  -------
Interest expense:
  Deposits                                       4,548   3,203        12,491    9,165
  Borrowings                                       356     169         1,159      344
                                               -------  ------       -------  -------
      Total interest expense                     4,904   3,372        13,650    9,509
                                               -------  ------       -------  -------
      Net interest income                        6,081   5,289        17,174   14,361
Provision for loan losses                          270     330           828      826
                                               -------  ------       -------  -------
      Net interest income after provision for
        loan losses                              5,811   4,959        16,346   13,535
                                               -------  ------       -------  -------

Other income:
  Service charges on deposit accounts              892     668         2,406    1,770
  Trust income                                     806     588         2,428    1,936
  Net gain on sale of mortgage loans                 8       4            11       80
  Other operating income                           598     325         1,580    1,366
                                               -------  ------       -------  -------
      Total other income                         2,304   1,585         6,425    5,152
                                               -------  ------       -------  -------

Operating expenses:
  Salaries and employee benefits                 3,621   3,473        10,698    9,612
  Occupancy                                      1,229     969         3,446    2,740
  Marketing and public relations                   162     386           673      930
  Office supplies, printing and postage            223     231           733      719
  FDIC insurance                                    12      11            57       32
  Other operating expenses                       1,107     583         3,229    2,404
                                               -------  ------       -------  -------
      Total operating expenses                   6,354   5,653        18,836   16,437
                                               -------  ------       -------  -------

      Income before income taxes                 1,761     891         3,935    2,250
Income taxes                                       347     287           837      721
                                               -------  ------       -------  -------
      Net income                               $ 1,414  $  604       $ 3,098  $ 1,529
                                               =======  ======       =======  =======

Basic earnings per share                       $  8.92  $ 3.80       $ 19.55  $  9.60
                                               =======  ======       =======  =======
Diluted earnings per share                     $  8.87  $ 3.79       $ 19.43  $  9.58
                                               =======  ======       =======  =======
<FN>

See  notes  to  financial  statements.
</TABLE>














                                                                        Page  3
<PAGE>
<TABLE>

<CAPTION>

                         CANANDAIGUA NATIONAL CORPORATION AND SUBSIDIARIES
                          CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY

              For the nine month periods ended September 30, 2000 and 1999 (Unaudited)

                           (dollars in thousands, except per share data)


                               Accumulated
                                Additional    Other
                                  Common     Paid in  Retained   Treasury   Comprehensive
                                  Stock      Capital  Earnings     Stock        Income       Total
                               ------------  -------  ---------  ---------  --------------  -------
<S>                            <C>           <C>      <C>        <C>        <C>             <C>
Balance at January 1, 2000     $      8,110    8,506    27,087     (1,348)            122   42,477
  Comprehensive income:
    Change in unrealized
     gain on securities
     available for sale,
     net of taxes of $22                  -        -         -          -              32       32
    Net income                            -        -     3,098          -               -    3,098
                                                                                            -------
  Total comprehensive
   income                             3,130
                               ------------
  Cash dividend - $11.90
   per share                              -        -    (1,887)         -               -   (1,887)
  Sale of 14 shares
   of treasury stock                      -        2         -          5               -        7
                               ------------  -------  ---------  ---------  --------------  -------
Balance at September 30, 2000         8,110    8,508    28,298     (1,343)            154   43,727
                               ============  =======  =========  =========  ==============  =======


Balance at January 1, 1999     $      8,110    8,489    26,569       (835)            145   42,478
  Comprehensive income:
    Change in unrealized
     gain on securities
     available for sale,
     net of taxes of $1                   -        -         -          -              (3)      (3)
    Net income                            -        -     1,529          -               -    1,529
                                                                                            -------
  Total comprehensive
   income                             1,526
                               ------------
  Cash dividend - $11.50
   per share                              -        -    (1,833)         -               -   (1,833)
  Purchase of 1,368 shares
   of treasury stock                      -        -         -       (545)              -     (545)
  Sale of 16 shares
   of treasury stock                      -        -         -          5               -        5
                               ------------  -------  ---------  ---------  --------------  -------
Balance at September 30, 1999         8,110    8,489    26,265     (1,375)            142   41,631
                               ============  =======  =========  =========  ==============  =======



<FN>

See  notes  to  financial  statements.
</TABLE>















                                                                        Page  4
<PAGE>
<TABLE>

<CAPTION>

                CANANDAIGUA NATIONAL CORPORATION AND SUBSIDIARIES
                      CONSOLIDATED STATEMENTS OF CASH FLOWS

    For the nine month periods ended September 30, 2000 and 1999 (Unaudited)

                             (dollars in thousands)



                                                      2000       1999
                                                    ---------  --------
<S>                                                 <C>        <C>
Cash flow from operating activities:
  Net income                                        $  3,098     1,529
  Adjustments to reconcile net income to
    net cash from operating activities:
    Depreciation, amortization and accretion           1,536     1,513
    Provision for loan losses                            828       826
    Deferred income taxes                               (305)     (332)
    Originations of loans held for sale              (45,700)  (91,230)
    Proceeds from sale of loans held for sale         44,076    92,686
    Increase in accrued interest receivable
      and other assets                                (2,389)     (777)
    Increase in accrued interest payable and
     other liabilities                                   105     2,007
                                                    ---------  --------
      Net cash provided by operating activities        1,249     6,222
                                                    ---------  --------

Cash flow from investing activities:
  Sale of FHLB and FRB stock - net                       558         -
  Securities held to maturity:
    Proceeds from maturities and calls                48,304    28,100
    Purchases                                        (51,488)  (28,691)
  Loans originated - net                             (57,293)  (58,865)
  Fixed asset purchases - net                         (3,925)   (3,234)
  Investment in minority owned entity                      -      (158)
  Proceeds from sale of other real estate                 45       437
                                                    ---------  --------
      Net cash used in investing activities          (63,799)  (62,411)
                                                    ---------  --------

Cash flow from financing activities:
  Net increase in demand, savings and money
    market deposits                                   22,692    49,440
  Net increase in time deposits                       45,688    10,923
  Proceeds from borrowings                             8,270       400
  Principal repayments on borrowings                 (10,032)   (1,517)
  Proceeds from sale of treasury stock                     7         5
  Purchase of treasury stock                               -      (545)
  Dividends paid                                      (1,887)   (1,833)
                                                    ---------  --------
      Net cash provided by financing activities       64,738    56,873
                                                    ---------  --------

      Net increase in cash & cash equivalents          2,188       684
  Cash & cash equivalents - beginning of period       26,834    24,206
                                                    ---------  --------
  Cash & cash equivalents - end of period           $ 29,022    24,890
                                                    =========  ========

Supplemental disclosures of cash flow information:
  Cash paid during the period for:
    Interest                                        $ 13,320     9,455
                                                    =========  ========
    Income taxes                                    $  1,175       126
                                                    =========  ========
Supplemental disclosure of non-cash investing
 activity:
  Additions to other real estate acquired through
   foreclosure, net of loans to facilitate sales    $     --       536
                                                    =========  ========
<FN>

See  notes  to  financial  statements
</TABLE>




                                                                        Page  5
<PAGE>


                CANANDAIGUA NATIONAL CORPORATION AND SUBSIDIARIES
                    Notes to Financial Statements (unaudited)


(1)     Basis  of  Presentation
        -----------------------

The accompanying unaudited condensed consolidated financial statements have been
prepared  in  accordance  with  the  instructions to Form 10-Q and Article 10 of
Regulation  S-X  and  with  generally accepted accounting principles for interim
financial  information.  Such  principles are applied on a basis consistent with
those  reflected  in the December 31, 1999 Form 10-K Report of the Company filed
with  the  Securities  and Exchange Commission. Accordingly, they do not include
all  of  the information and footnotes required by generally accepted accounting
principles  for  complete  financial  statements.  Management  has  prepared the
financial  information  included  herein  without audit by independent certified
public  accountants.  In  the opinion of management, all adjustments (consisting
of  normal recurring accruals) considered necessary for a fair presentation have
been  included.  Operating  results  for  the three and nine-month periods ended
September  30,  2000  are  not necessarily indicative of the results that may be
expected  for the year ending December 31, 2000.  For further information, refer
to  the  consolidated financial statements and footnotes thereto included in the
Company's  annual  report  on  Form  10-K  for the year ended December 31, 1999.

Amounts  in  prior  periods'  condensed  consolidated  financial  statements are
reclassified whenever necessary to conform with the current year's presentation.

 (2)     Dividends  Per  Share
         ---------------------

The  Company  declared a semi-annual $5.95 per share dividend on common stock on
July  12,  2000, payable August 2, 2000 to shareholders of record July 12, 2000.
The Company also declared a semi-annual $5.95 per share dividend on common stock
on  January 12, 2000, payable February 1, 2000 to shareholders of record January
12,  2000.

(3)     Earnings  Per  Share
        --------------------

Basic  earnings  per common share is calculated by dividing net income available
to  common  shareholders  by  the  weighted average number of shares outstanding
during  the  period.  Diluted  earnings  per share includes the maximum dilutive
effect of stock issueable upon conversion of stock options. Calculations for the
three  and  nine month periods ended September 30, 2000 and 1999 follow (dollars
in  thousands,  except  share  data):

<TABLE>

<CAPTION>




For the three months ended September 30,          2000     1999
                                                --------  -------
<S>                                             <C>       <C>
Basic Earnings Per Share:
  Net income applicable to common shareholders  $  1,414      604
  Weighted average common shares outstanding     158,497  158,941
                                                --------  -------
      Basic earnings per share:                 $   8.92     3.80
                                                ========  =======


Diluted Earnings Per Share:
  Net income applicable to common shareholders  $  1,414      604
  Weighted average common shares outstanding     158,497  158,941
  Effect of assumed exercise of stock options        961      582
                                                --------  -------
    Total                                        159,458  159,523
                                                --------  -------
      Diluted earnings per share:               $   8.87     3.79
                                                ========  =======

</TABLE>








                                                                        Page  6
<PAGE>

<TABLE>

<CAPTION>



For the nine months ended September 30,           2000     1999
                                                --------  -------
<S>                                             <C>       <C>
Basic Earnings Per Share:
  Net income applicable to common shareholders  $  3,098    1,529
  Weighted average common shares outstanding     158,492  159,246
                                                --------  -------
      Basic earnings per share:                 $  19.55     9.60
                                                ========  =======


Diluted Earnings Per Share:
  Net income applicable to common shareholders  $  3,098    1,529
  Weighted average common shares outstanding     158,492  159,246
  Effect of assumed exercise of stock options        993      363
                                                --------  -------
    Total                                        159,485  159,609
                                                --------  -------
      Diluted earnings per share:               $  19.43     9.58
                                                ========  =======

</TABLE>



(4)     Stock  Option  Plan
        -------------------

The  Company's incentive stock option program for employees authorizes grants of
options  to  purchase up to 16,000 shares of common stock.  Effective January 1,
2000, 1,486 non-qualified options were granted to management under the Company's
incentive  compensation  plan  for 1999's performance.  The options were granted
with  an exercise price equal to the estimated fair value of the common stock on
the  grant  date.  The  options  are exerciseable at varying times up to sixteen
years.  The  options  are  fully  vested  and  generally  expire at the holder's
retirement.

The Company applies the intrinsic value-based method of accounting prescribed by
APB  Opinion  No.  25,  "Accounting  for  Stock  Issued  to  Employees"  for its
stock-based  compensation  plans.  Accordingly,  no  compensation  cost has been
recognized  for  its  stock  options  in the condensed consolidated statement of
income.  Had compensation cost been determined using the fair value at the grant
date  for  stock  option awards, consistent with the method of SFAS No. 123, the
Company's  net  income and earnings per share would have been reduced to the pro
forma  amounts  indicated  below  (dollars  in  thousands,  except  share data):

<TABLE>

<CAPTION>



For the nine months ended September 30,   2000    1999
                                         ------  ------
<S>                                      <C>     <C>
Net income:
  As reported                            $3,098  $1,529
  Pro forma                               2,966   1,294

Earnings per share:
  As reported:
    Basic                                $19.55  $ 9.60
    Diluted                               19.43    9.58
  Pro forma:
    Basic                                $18.71  $ 8.13
    Diluted                               18.60    8.11
</TABLE>



The  weighted  average  fair  value  of options granted during 2000 and 1999 was
$122.56  and  $71.21,  respectively.  The  fair  value  of  each option grant is
estimated on the date of grant using the Black-Scholes option-pricing model with
the  following  weighted  average  assumptions:
<TABLE>

<CAPTION>



Grant year                  2000         1999
                         -----------  -----------
<S>                      <C>          <C>
Dividend yield                 2.72%        3.09%
Risk free interest rate        6.45%        4.65%
Life                     11.4 years   12.9 years
Volatility                    14.39%       14.73%
</TABLE>



(5)  Accounting  Pronouncement
     -------------------------

FASB  Statement  No.  133,  as  amended,  entitled  "Accounting  for  Derivative
Instruments  and  Hedging  Activities"  is  effective for the Company for fiscal
quarters  beginning  January  1,  2001.   Statement  No.  133  establishes
comprehensive  accounting  and reporting requirements for derivative instruments
and  hedging  activities.  The  statement  requires  companies  to recognize all
derivatives  as  either  assets or liabilities, with the instruments measured at
fair  value.  The accounting for gains and losses resulting from changes in fair
value of the derivative instrument depends on the intended use of the derivative
and the type of risk being hedged. The Company holds no free-standing derivative
instruments  at  quarter  end  nor  does  it anticipate holding any at year-end.
Management  does  not  anticipate  that adoption of the new standard will have a
material  effect  on  the  Company's  financial  statements.



                                                                        Page  7
<PAGE>

Item  2. Management's Discussion and Analysis of Financial Condition and Results
of  Operations

September  30,  2000

The  following  is  management's  discussion and analysis of certain significant
factors  which  have  affected  the  Company's  financial position and operating
results  during  the periods included in the accompanying condensed consolidated
financial  statements.  Management's  discussion  and  analysis  supplements
management's  discussion  and  analysis  for  the  year  ended December 31, 1999
contained  in  the Company's Form 10-K and includes certain known trends, events
and  uncertainties that are reasonably expected to have a material effect on the
Company's  financial  position  or  operating  results.


Overview
--------

The  Company  continues  to  show  positive  financial  developments  from  its
accelerated  expansion  into  the  Monroe County area, which includes these main
components  (1)  expansion  of retail customer service delivery, (2) increase in
the  number  of commercial services staff, (3) expansion of Trust and Investment
services  and  (4)  increasing  brand  awareness  in  the  marketplace.

Comparing the nine month period ended September 30, 2000 with the same period in
1999, the Company showed a 20.8% increase in assets, 19.6% increase in deposits,
20.9%  increase  in operating revenue (net interest income before provision plus
other  income),  and  a  102.6%  increase  in  net  income.  Trust  assets under
administration  grew  during  this  same  period  by  29.9%.

As  reported  in the second quarter by June 30, 2000 the Company had reached its
year-end  targets  for  earning asset portfolios and total assets.  As a result,
the  Company  focused much of the third quarter activities on enhancing existing
customer  relationships  through sales of deposit-based and fee income products.
Annualized asset growth in the third quarter was 12.8% versus 22.4% in the first
half  of  the  year.

Financial  Condition  and  Results  of  Operations
--------------------------------------------------

Three  months  ended  September  30,  2000
------------------------------------------

Assets  grew in the third quarter, continuing the trend set in 1999, albeit at a
slower  pace.  As of September 30, 2000, total assets of the Company were $590.1
million, up from $573.3 million at June 30, 2000. Cash and equivalents increased
$4.5  million  to  $29.0  million,  due  to  increased cash reserve requirements
associated with deposit growth and customer deposits made on the last day of the
quarter.  Municipalities continued their reduction of deposits for seasonal cash
flow  needs,  resulting  in  a corresponding reduction in the Company's security
portfolio  used  to  collateralize  these  deposits.  Securities  decreased $3.3
million  to $79.4 million.  Net loans increased $14.3 million to $452.3 million,
and  all  other assets rose $2.3 million to $29.4 million, reflective of earning
asset  and  branch  network  growth.

Total  deposits  at  September  30,  2000  were $522.7 million and were up $15.3
million  from June 30, 2000. The newest nine offices contributed $3.9 million of
the  quarter's  deposit  growth.  In  addition, the Company sold $1.2 million of
nationally  marketed  time deposits. The growth in deposits was used to fund the
quarter's loan portfolio growth. Approximately half of the deposit growth during
the  quarter  came  in  non-interest  bearing accounts with the rest coming from
interest-bearing  accounts.  For  the same period borrowings (primarily from the
FHLB)  were  up  $0.7  million to $20.5 million.  Other liabilities increased by
$0.4 million to $3.3 million, largely due to income tax and compensation-related
accruals.
Net  interest  income  increased  $0.8 million or 15.0% for the quarter over the
same  quarter  in  1999.  For  the  quarter  ended  September  30, 2000, average
interest  earning  assets, increased $97.7 million to $533.2 million from $435.5
million  for the 1999 quarter.  The yields on these assets were 8.24% and 7.96%,
respectively;  the  increase  resulting from an overall rise in general interest
rates,  following  the  Federal  Reserve  Board's rate increases during the last


                                                                        Page  8
<PAGE>
fifteen  months.  For  the  same  periods,  average interest bearing liabilities
increased  $88.0  million  to $449.8 million from $361.8 million.  Rates paid on
these  liabilities  were  4.36%  and  3.73%,  respectively, also reflecting rate
increases.  This  35  basis  point  drop  in  interest  spread had a $.2 million
negative impact on net interest income for the quarter ended September 30, 2000.
The  growth  in  interest earnings assets and interest bearing liabilities had a
$1.0  million  positive  impact on net interest income.  In the third quarter of
2000 the Company's net interest margin declined to 4.56% from 4.86% for the same
quarter  in  1999.  This  declining  trend in net interest margin is expected to
continue through 2000 as recent market interest rate increases will drive up the
Company's  funding  costs  faster  than its asset yields. Refer to Interest Rate
Sensitivity  and  Asset  /  Liability  Management  Review  section for a further
discussion  of  interest  rate  risk  management.

Other  income  for the quarter ended September 30, 2000 increased $.7 million to
$2.3  million  over  the  same  quarter  in 1999.  The increase was reflected in
service  charges-attributed  to  increased  transaction volume and the number of
customer  accounts  and  trust  income-attributed  to  growth  in  assets  under
management.  Net  gain  on the sale of mortgage loans increased slightly.  Other
operating  income  increased  for  2000  as  a result of growth in miscellaneous
services  and  fees,  offset by a reduction in mortgage banking operating income
due  to  the rising interest rate environment compared to 1999.  Considering the
increasing  interest  rate  environment,  management  anticipates lower mortgage
banking  operating  income  for  the  whole  of  2000  as  compared  to  1999.
Operating  expenses  increased  $0.7 million for the quarter ended September 30,
2000  to  $6.4  million  versus  $5.7  million for the 1999 second quarter.  The
increase  came in nearly all expense categories, reflecting growth in customers,
employees  and  banking  offices.  Included  in operating expenses for the third
quarter  of  2000  was  $0.1 million in severance costs related to the Company's
efficiency  improvement  program  (discussed  below.)
The  Company's  quarterly  effective  tax rate was 19.7% in 2000 versus 32.2% in
1999.  The  reduction  in  the  tax  rate  is  due to an increase in non-taxable
investment income from a larger average portfolio balance ($46.1 million in 2000
versus  $41.3  million  in  1999)
Nine  months  ended  September  30,  2000
-----------------------------------------

Assets  grew  in  the  first  three  quarters of 2000 by $68.0 million. Cash and
equivalents  increased  $2.2  million  to  $29.0  million, due to increased cash
reserve  requirements  associated with deposit growth and customer deposits made
on  the  last  day  of  the quarter.  Securities increased $3.5 million to $79.4
million  to  allow  for  collateralization  of  municipal  deposits.  Net  loans
increased  $58.1  million  to  $452.3  million,  and  all other assets rose $4.2
million  to  $29.4  million.

Total  deposits  at  September  30, 2000 were up $68.4 million from December 31,
1999.  The  newest  nine offices contributed $26.4 million of the year's deposit
growth.  In addition, the Company sold $25.0 million of nationally marketed time
deposits.  For  the  same  period borrowings (primarily from the FHLB) were down
$1.8  million.  Other  liabilities  increased  by $0.1 million.  The increase in
deposits  was  used  to  fund  loan  and  investment  growth.

Net  interest  income grew $2.8 million or 19.6% to $17.2 million for first nine
months  of  2000  versus  the  same  period  in 1999.  For the nine months ended
September 30, 2000, average interest earning assets, increased $102.8 million to
$516.0 million from $413.2 million for the 1999 first half.  The yields on these
assets  were  7.96%  and  7.70%,  respectively.  For  the  same periods, average
interest  bearing  liabilities  increased  $94.5  million to $437.6 million from
$343.1  million.  Rates paid on these liabilities were 4.16% and 3.70%.  This 20
basis  point  drop  in  interest spread had a $.3 million negative impact on net
interest  income  for  the  nine months ended September 30, 2000.  The growth in
interest  earnings  assets  and  interest bearing liabilities had a $3.1 million
positive  impact  on  net interest income.  In the first nine months of 2000 the
Company's  net  interest  margin  declined to 4.44% from 4.63% for the same nine
months  in  1999.



                                                                        Page  9
<PAGE>

Other income for the nine months ended September 30, 2000 increased $1.3 million
over  the  same  period  in  1999.  The  increase  was  reflected  in  service
charges-attributed  to  increased  transaction volume and the number of customer
accounts  and trust income-attributed to growth in assets under management.  Net
gain  on the sale of mortgage loans declined for 2000 as a result of a reduction
in loan sales to the secondary market. Other operating income increased for 2000
increased  as a result of growth in miscellaneous services and fees, offset by a
reduction  in  mortgage banking operating income due to the rising interest rate
environment  compared  to  1999.
Operating  expenses  increased  $2.4 million for the nine months ended September
30,  2000  to  $18.8 million versus $16.4 million for the first three quarter of
1999.  The  increase came in nearly all expense categories, reflecting growth in
customers,  employees  and  banking  offices.
Over  the past several years, the Company's operating efficiency (as measured by
the efficiency ratio has worsened.  For the nine months ended September 30, 2000
this ratio was 82.7% compared to peers with a ratio in the 50% to 60% range.  In
an  effort  to  address the Company's high efficiency ratio and enhance customer
value  and  shareholder  value,  the Company has contracted with a consultant to
assist  in  improving  efficiency  and  operating  practices.   This  project is
expected  to last through the remainder of the year.  Management anticipates the
financial  benefits  of  this project will begin to take hold in 2001.  As noted
above,  the  Company  incurred employee severance expenses in the third quarter.
Management  believes additional severance and other one-time expenses related to
this project will be incurred in the fourth quarter.  However, the amount cannot
be  reasonably  estimated  at  this  time.
The  Company's  effective  tax rate was 21.3% in 2000 versus 32.0% in 1999.  The
reduction  in  the  tax rate is due to an increase in the non-taxable investment
income  from  a  larger  average portfolio balance ($46.8 million in 2000 versus
$39.8  million  in  1999)

Liquidity
---------

The  Board of Directors has set general liquidity standards for the Bank to meet
which  can be summarized as: the ability to generate adequate amounts of cash to
meet  the  demand  from  depositors  who  wish  to withdraw funds, borrowers who
require  funds, and capital expansion.  Liquidity is produced by cash flows from
operating,  investing,  and  financing  activities of the Company.  For the nine
months  ended  September 30, 2000 the Company generated $2.2 million in cash and
equivalents  versus  generating  $0.7  million for the same period in 1999.  The
overall  increase  in  cash  and  equivalents in 2000 is related to increases in
customer  deposits  and  related  reserves.

Net  cash  provided  by  operating  activities was $1.2 million in 2000.  In the
first  three  quarters of 1999 the Company generated $6.2 million from operating
activities.  Both  the largest source and use of operating cash in 2000 and 1999
were  from  mortgage  banking  activity.  However,  activity in 2000 was half of
1999's,  reflective  of  a  slow  down  in  the  mortgage  banking  business.

Cash  used by investing activities increased in 2000 to $63.8 million from $62.4
million  in  1999.  The increase in investing activities came from a combination
of  investment  and  fixed  assets  growth.  The Company's fixed asset investing
activities  continued  as  future  offices are under renovation. Loan growth was
relatively  consistent  with  1999.

Cash  provided by financing activities was $64.7 million in 2000 versus of $56.9
million  in  1999.  Deposits  continue  to  be  the  Company's  main  source  of
financing,  with  borrowings  contributing  a  lesser  amount.

The  Company  has two primary sources of non-customer (wholesale) liquidity: the
Federal  Home  Loan  Bank of New York (FHLB) and the Federal Reserve Bank of New
York.  At September 30, 2000 residential mortgage loans with a carrying value of
approximately  $39.2  million  were  pledged  as collateral for the Bank's $24.3
million  advances  and  letters  of  credit  from  the  Federal  Home Loan Bank.
Approximately  $10.7  million  was available for additional borrowing.  Indirect
automobile  loans  with  a  carrying  value  of approximately $97.1 million were
pledged  as  collateral  for  a  $77.7  million  line of credit from the Federal
Reserve  Bank  of  New  York.

                                                                        Page  10
<PAGE>

Secondarily,  the  Company  has  a liquidity source through the sale of its time
deposits in the national brokered market.  This source is used from time to time
to  manage  both  liquidity  and  interest  rate risk as conditions may require.
Nationally  marketed  time deposits stood at $35.0 million at September 30, 2000
versus  $9.8  million  at  September  30,  1999.

For  the  remainder  of 2000, financing for growth is expected to come from both
customer  and  wholesale sources.  Customer deposit growth is mainly expected to
come  from  Monroe  County  sources.

Interest  Rate  Sensitivity  and  Asset  /  Liability  Management  Review
-------------------------------------------------------------------------
(Item  3  Quantitative  and  Qualitative  Disclosures  about  Market  Risk)

The  Company realizes income principally from the differential or spread between
the interest earned on loans, investments and other interest-earnings assets and
the  interest  paid on deposits and borrowings. Loan volumes and yields, as well
as the volume of and rates on investments, deposits and borrowings, are affected
by  market  interest rates. Additionally, because of the terms and conditions of
many  of the Company's loan documents and deposit accounts, a change in interest
rates  could  also  affect the projected maturities of the loan portfolio and/or
the  deposit base, which could alter the Company's sensitivity to future changes
in  interest  rates.  Accordingly, management considers interest rate risk to be
the  Company's  most  significant  market  risk.
Interest  rate  risk  management focuses on maintaining consistent growth in net
interest  income  within  Board  approved  policy  limits  while  taking  into
consideration,  among  other  factors,  the  Company's overall credit, operating
income,  operating  cost,  and  capital  profile.  The Company's Asset/Liability
Committee  (ALCO), which is composed of members of senior management and reports
to  the  Board of Directors, monitors and manages interest rate risk to maintain
an  acceptable  level of change to net interest income as a result of changes in
interest  rates.
Management  of  the  Company's  interest  rate  risk,  requires the selection of
appropriate  techniques  and  instruments  to  be utilized after considering the
benefits,  costs  and  risk  associated  with available alternatives.  Since the
Company does not utilize derivative instruments, management's techniques usually
consider  one  or more of the following: (1) interest rates offered on products,
(2)  maturity  terms offered on products, (3) types of products offered, and (4)
products  available to the Company in the wholesale market such as advances from
the  FHLB  and  brokered  time  deposits.
The  Company  uses an interest margin simulation model as one method to identify
and  manage  its interest rate risk profile. The model is based on expected cash
flows  and  repricing  characteristics  for  all  financial  instruments  and
incorporates  market-based assumptions regarding the impact of changing interest
rates  on  these  financial  instruments over a twelve month period. Assumptions
based  on  the  historical behavior of deposit rates and balances in relation to
changes  in  interest  rates  are  also  incorporated  into  the  model.  These
assumptions  are  inherently  uncertain  and,  as  a  result,  the  model cannot
precisely  measure  net  interest  income  or  precisely  predict  the impact of
fluctuations  in  interest  rates  on  net  interest income. Actual results will
differ  from  simulated  results  due  to  timing,  magnitude,  and frequency of
interest  rate  changes  as  well as changes in market conditions and management
strategies.
There has been no significant change in the Company's interest rate risk profile
since  December  31, 1999.  However, net interest earnings projections reflect a
decline  when  applying  the  expected  rising  interest  rate environment as of
September  30,  2000.

Management  also  uses  the  static  gap  analysis  to  identify  and manage the
Company's  interest  rate  risk  profile.   Interest  sensitivity  gap  ("gap")
analysis measures the difference between the assets and liabilities repricing or
maturing  within  specific time periods. There has been no significant change in
this  measurement  since  December  31,  1999.





                                                                        Page  11
<PAGE>

Capital  Resources
------------------

The  Company  and  Bank  are  subject to various regulatory capital requirements
administered  by  the  federal banking agencies. Failure to meet minimum capital
requirements  can  initiate  certain  mandatory  -  and  possibly  additional
discretionary  -  actions by regulators that, if undertaken, could have a direct
material  effect on the Company's and Bank's financial statements. Under capital
adequacy  guidelines  and the regulatory framework for prompt corrective action,
the  Company  and  Bank  must  meet  specific  capital  guidelines  that involve
quantitative  measures  of  the  Company's  and  Bank's assets, liabilities, and
certain  off-balance-sheet  items  calculated  under  regulatory  accounting
practices. The Company's and Bank's capital amounts and classifications are also
subject  to  qualitative  judgments  by  regulators  about  components,  risk
weightings,  and  other factors. Quantitative measures established by regulation
to  ensure  capital  adequacy  require  the Company and Bank to maintain minimum
amounts  and  ratios.


As  of  September  30, 2000, the most recent notification from the Office of the
Comptroller  of  the Currency categorized the Bank as well-capitalized under the
regulatory  framework  for  prompt corrective action.  However, the Bank's asset
growth in 2000 is anticipated to exceed its capital formation, which will result
in a continuing trend towards declining capital ratios.  Management will closely
monitor  capital  levels  at  the  Bank.
<PAGE>

Allowance  for  Loan  Losses  and  Non-Performing  Assets
---------------------------------------------------------

Allowance  for  Loan  Losses
----------------------------

Changes  in  the  allowance  for  loan  losses  for the nine-month periods ended
September  30,  2000  and  1999  follow  (dollars  in  thousands):
<TABLE>

<CAPTION>



                                                        September 30,
                                                     -----------------
                                                        2000     1999
                                                     ---------  ------
<S>                                                  <C>        <C>
Balance at beginning of period                       $  4,136   3,283
Provision for loan losses                                 828     826
Loans charged off                                        (596)   (693)
Recoveries on loans previously charged off                416     395
                                                     ---------  ------
Balance at end of period                             $  4,784   3,811
                                                     =========  ======

Allowance as a percentage of total period end loans      1.05%   1.03%
                                                     =========  ======

Allowance as a percentage of non performing loans       128.6%  329.7%
                                                     =========  ======
</TABLE>



There  was no significant change in the provision for loan losses  for the first
nine  months of 2000 or 1999.  Each period's provision amounts are reflective of
the  growth  in  the  loan  portfolio.

At  September  30,  2000,  the  recorded investment in loans that are considered
impaired  totaled  $3.1 million as compared to $1.6 million at December 31, 1999
and  $1.2  million  at  September  30, 1999.  The average recorded investment in
impaired  loans  during the nine month periods ended September 30, 2000 and 1999
was  approximately  $2.7 million and $1.6 million, respectively.  For those same
periods  interest  income  recognized  on  impaired  loans  was  not  material.

Total  non-performing  loans  increased  over  the  twelve  month period by $2.5
million  to  $3.7  million  at September 30, 2000 as compared to $1.2 million at
September  30, 1999. The increase has come primarily from commercial real estate
loans  and  mainly  attributable to two relationships.  The borrowers' loans are
secured  by  real  estate.  Management  expects  these  loans will be brought to
performing  status  or  liquidated  by the borrower.  Total non-performing loans
stand  at  less  than  1%  of the total loan portfolio at September 30, 2000 and
1999.

                                                                        Page  12

At  September  30,  2000,  other real estate owned consisted of three commercial
real  estate  parcels, totaling $1.6 million.  This compares to three commercial
real  estate  parcels  totaling  $1.7 million at September 30, 1999.  Management
continues  efforts  to  liquidate  these  assets.

<PAGE>

Non-Performing  Assets
<TABLE>

<CAPTION>

                              Non-Performing Assets
                             (Dollars in thousands)


                                                  September 30,
                                                ------------------
                                                   2000      1999
                                                ---------  -------
<S>                                             <C>        <C>
Loans past due 90 days or more and accruing
Commercial, financial & agricultural            $    266   $   13
Real estate-commercial                                40       19
Real estate-residential                              114        -
Consumer                                             176       71
                                                ---------  -------
Total past due 90 days or more and
  accruing                                           596       90
                                                ---------  -------

Loans in non-accrual status
Commercial, financial & agricultural                 963      623
Real estate-commercial                             1,897      180
Real estate-residential                              262      263
                                                ---------  -------
Total non-accrual loans                            3,122    1,066
                                                ---------  -------
Total non-performing loans                         3,718    1,156
                                                ---------  -------

Other real estate owned - commercial               1,606    1,742
                                                ---------  -------

Total non-performing assets                     $  5,324   $2,898
                                                =========  =======

Non performing loans to total period-end loans      0.81%    0.31%
                                                =========  =======

Non performing assets to total period-end
  loans and other real estate                       1.16%    0.78%
                                                =========  =======

<FN>

The  Company  has  no  restructured  loans.
</TABLE>























                                                                        Page  13
<PAGE>

PART  II  --  OTHER  INFORMATION

                CANANDAIGUA NATIONAL CORPORATION AND SUBSIDIARIES


Item  1.  Legal  proceedings

None

Item  2.  Changes  in  securities

None

Item  3.  Defaults  upon  senior  securities

None

Item  4.  Submission  of  matters  to  a  vote  of  security  holders

None

Item  5.  Other  information

None

Item  6.  Exhibits  and  reports  on  Form  8-K

      (a)Exhibits

  (3.i.)  Certificate  of  Incorporation,  of  the  Registrant,  as  amended

 (3.ii.)  By-laws  of  the  Registrant,  as  amended

    (27)  Financial  Data  Schedule

    (a)  Reports  on  Form  8-K
None

























                                                                       Page  14
<PAGE>

                                   SIGNATURES

                CANANDAIGUA NATIONAL CORPORATION AND SUBSIDIARIES


      Pursuant  to  the requirements of the Securities Exchange Act of 1934, the
registrant  has  duly  caused  this  report  to  be  signed on its behalf by the
undersigned  thereunto  duly  authorized.



          CANANDAIGUA  NATIONAL  CORPORATION
          ----------------------------------
                                       (Registrant)



               November 10, 2000          /s/ George W. Hamlin, IV
               -----------------          ------------------------
                  Date          George W. Hamlin, IV, President


                November 10, 2000          /s/ Gregory S. MacKay
                -----------------          ---------------------
                   Date          Gregory S. MacKay, Treasurer








































                                                                        Page  15
<PAGE>


INDEX  OF  EXHIBITS

Exhibit

(3.i.)    Certificate  of  Incorporation,  of the         Exhibit A on Form 10-K
            Registrant,  as  amended                      for  the  year  ended
                                                          December 31,  1994

(3.ii.)   By-laws  of  the Registrant,                   Exhibits B on Form 10-K
            as  amended                                  for  the  year  ended
                                                         December 31,  1994
 (27)     Financial  Data  Schedule
















































                                                                        Page  16
<PAGE>