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  June  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  August  4,  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

                                  JUNE 30, 2000

PART  I -- FINANCIAL INFORMATION                                            Page
                                                                            ----

Item  1.  Financial  Statements  (Unaudited)

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

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

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

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

Notes  to  financial  statements
  at  June 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
                    June 30, 2000 and December 31, 1999 (unaudited)
                     (dollars in thousands, except per share data)


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

Cash and due from banks                                       $  25,416         26,801
Interest-bearing deposits with other financial institutions          62             33
Securities:
  - Available for sale, at fair value                               718            528
  - Held-to-maturity (fair value of $81,352 in 2000 and
      $74,805 in 1999)                                           81,953         75,336
Loans:
  Commercial, financial & agricultural                           61,586         62,491
  Commercial mortgage                                           176,599        141,255
  Residential mortgage                                           75,690         69,862
  Consumer-auto indirect                                        105,233        103,605
  Consumer-other                                                 18,110         18,561
  Other                                                           2,092          2,097
  Loans held for sale                                             3,298            492
                                                              ----------  -------------
    Total loans                                                 442,608        398,363
  Less:  Allowance for loan losses                               (4,586)        (4,136)
                                                              ----------  -------------
    Loans - net                                                 438,022        394,227
Premises and equipment - net                                     14,783         13,438
Accrued interest receivable                                       2,953          2,682
Federal Home Loan Bank stock and Federal Reserve Bank stock       2,998          3,548
Other assets                                                      6,361          5,542
                                                              ----------  -------------
        Total Assets                                          $ 573,266        522,135
                                                              ==========  =============


<FN>

                                          (Continued)
</TABLE>













                                 Page  1
<PAGE>
<TABLE>

<CAPTION>

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



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

Deposits:
  Demand
    Non-interest bearing                                    $  76,096         74,630
    Interest bearing                                           55,316         46,490
  Savings and money market                                    173,770        156,108
  Time deposits                                               202,153        177,062
                                                            ----------  -------------
        Total deposits                                        507,335        454,290
Borrowings                                                     19,767         22,218
Accrued interest payable and other liabilities                  2,943          3,150
                                                            ----------  -------------
        Total Liabilities                                   $ 530,045        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                                            27,827         27,087
  Treasury stock at cost (3,711 shares in 2000 and
    3,725 in 1999)                                             (1,343)        (1,348)
  Accumulated other comprehensive income                          119            122
                                                            ----------  -------------
        Total Stockholders' Equity                             43,221         42,477
                                                            ----------  -------------
        Total Liabilities and Stockholders' Equity          $ 573,266        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 six month periods ended June 30, 2000 and 1999 (Unaudited)

                  (dollars in thousands, except per share data)

                                            Three months ended  Six months ended
                                                  June  30,        June  30,
                                                2000     1999    2000     1999
                                               -------  ------  -------  -------
<S>                                            <C>      <C>     <C>      <C>
Interest income:
  Loans, including fees                        $ 9,252   6,748  $17,642   13,164
  Securities                                     1,125     940    2,150    1,887
  Other                                             45      83       47      158
                                               -------  ------  -------  -------
        Total interest income                   10,422   7,771   19,839   15,209
                                               -------  ------  -------  -------
Interest expense:
  Deposits                                       4,261   3,033    7,943    5,962
  Borrowings                                       390      95      803      175
                                               -------  ------  -------  -------
      Total interest expense                     4,651   3,128    8,746    6,137
                                               -------  ------  -------  -------
      Net interest income                        5,771   4,643   11,093    9,072
Provision for loan losses                          308     446      558      496
                                               -------  ------  -------  -------
      Net interest income after provision for
        loan losses                              5,463   4,197   10,535    8,576
                                               -------  ------  -------  -------

Other income:
  Service charges on deposit accounts              786     602    1,514    1,102
  Trust income                                     791     648    1,622    1,348
  Net gain on sale of mortgage loans                 2      33        3       76
  Other operating income                           562     571      982    1,041
                                               -------  ------  -------  -------
      Total other income                         2,141   1,854    4,121    3,567
                                               -------  ------  -------  -------

Operating expenses:
  Salaries and employee benefits                 3,518   3,146    7,077    6,139
  Occupancy                                      1,162     935    2,217    1,771
  Marketing and public relations                   263     291      511      544
  Office supplies, printing and postage            228     256      510      488
  FDIC insurance                                    23      11       45       21
  Other operating expenses                       1,078     909    2,122    1,821
                                               -------  ------  -------  -------
      Total operating expenses                   6,272   5,548   12,482   10,784
                                               -------  ------  -------  -------

      Income before income taxes                 1,332     503    2,174    1,359
Income taxes                                       260     159      490      434
                                               -------  ------  -------  -------
      Net income                               $ 1,072  $  344  $ 1,684  $   925
                                               =======  ======  =======  =======

Basic earnings per share                       $  6.76  $ 2.16  $ 10.63  $  5.80
                                               =======  ======  =======  =======
Diluted earnings per share                     $  6.72  $ 2.15  $ 10.56  $  5.79
                                               =======  ======  =======  =======
<FN>

See  notes  to  financial  statements
</TABLE>














                                 Page  3
<PAGE>
<TABLE>

<CAPTION>

                        CANANDAIGUA NATIONAL CORPORATION AND SUBSIDIARIES
                         CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY

               For the six month periods ended June 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 $4                -        -         -          -              (3)      (3)
    Net income                         -        -     1,684          -               -    1,684
                                                                                         -------
  Total comprehensive
   income                          1,681
                            ------------
  Cash dividend - $5.95
   per share                           -        -      (944)         -               -     (944)
  Sale of 14 shares
   of treasury stock                   -        2         -          5               -        7
                            ------------  -------  ---------  ---------  --------------  -------
Balance at June 30, 2000           8,110    8,508    27,827     (1,343)            119   43,221
                            ============  =======  =========  =========  ==============  =======


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 $14               -        -         -          -             (15)     (15)
    Net income                         -        -       925          -               -      925
                                                                                         -------
  Total comprehensive
   income                            910
                            ------------
  Cash dividend - $5.75
   per share                           -        -      (918)         -               -     (918)
  Purchase of 672 shares
   of treasury stock                   -        -         -       (265)              -     (265)
  Sale of 16 shares
   of treasury stock                   -        -         -          5               -        5
                            ------------  -------  ---------  ---------  --------------  -------
Balance at June 30, 1999           8,110    8,489    26,576     (1,095)            130   42,210
                            ============  =======  =========  =========  ==============  =======



<FN>

See  notes  to  financial  statements
</TABLE>















                                 Page  4
<PAGE>
<TABLE>

<CAPTION>

                CANANDAIGUA NATIONAL CORPORATION AND SUBSIDIARIES
                      CONSOLIDATED STATEMENTS OF CASH FLOWS

       For the six month periods ended June 30, 2000 and 1999 (Unaudited)

                             (dollars in thousands)



                                                           2000       1999
                                                         ---------  ---------
<S>                                                      <C>        <C>
Cash flow from operating activities:
  Net income                                             $  1,684   $    925
  Adjustments to reconcile net income to
    net cash from operating activities:
    Depreciation, amortization and accretion                  944        972
    Provision for loan losses                                 558        496
    Deferred income taxes                                    (193)      (132)
    Originations of loans held for sale                   (30,220)   (62,481)
    Proceeds from sale of loans held for sale              27,414     62,491
    Increase in accrued interest receivable
      and other assets                                       (966)      (690)
    Increase (decrease) in accrued interest payable and
     other liabilities                                       (207)     1,553
                                                         ---------  ---------
      Net cash provided (used) by operating activities       (986)     3,134
                                                         ---------  ---------

Cash flow from investing activities:
  Sale of FHLB and FRB stock - net                            550          -
  Securities held to maturity:
    Proceeds from maturities and calls                     34,143     17,380
    Purchases                                             (40,706)   (18,635)
  Loans originated - net                                  (41,547)   (33,248)
  Fixed asset purchases - net                              (2,459)    (2,264)
  Investment in minority owned entity                         (21)      (158)
  Proceeds from sale of other real estate                      13        378
                                                         ---------  ---------
      Net cash used by investing activities               (50,027)   (36,547)
                                                         ---------  ---------

Cash flow from financing activities:
  Net increase in demand, savings and money
    market deposits                                        27,954     23,245
  Net increase (decrease) in time deposits                 25,091     (5,659)
  Proceeds from borrowings                                    270     15,800
  Principal repayments on borrowings                       (2,721)    (1,011)
  Proceeds from sale of treasury stock                          7          5
  Purchase of treasury stock                                    -       (265)
  Dividends paid                                             (944)      (918)
                                                         ---------  ---------
      Net cash provided by financing activities            49,657     31,197
                                                         ---------  ---------

      Net decrease in cash & cash equivalents              (1,356)    (2,216)
  Cash & cash equivalents - beginning of period            26,834     24,206
                                                         ---------  ---------
  Cash & cash equivalents - end of period                $ 25,478   $ 21,990
                                                         =========  =========

Supplemental disclosures of cash flow information:
  Cash paid during the period for:
    Interest                                             $  8,260   $  6,123
                                                         =========  =========
    Income taxes                                         $    719   $    126
                                                         =========  =========
Supplemental disclosure of non-cash investing
 activity:
  Additions to other real estate acquired through
   foreclosure, net of loans to facilitate sales         $     --   $    715
                                                         =========  =========
<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 six-month periods ended June
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  six  month  periods  ended June 30, 2000 and 1999 follow (dollars in
thousands,  except  share  data):

<TABLE>

<CAPTION>




For the three months ended June 30,               2000     1999
                                                --------  -------
<S>                                             <C>       <C>
Basic Earnings Per Share:
  Net income applicable to common shareholders  $  1,072      344
  Weighted average common shares outstanding     158,495  159,245
                                                --------  -------
      Basic earnings per share:                 $   6.76     2.16
                                                ========  =======


Diluted Earnings Per Share:
  Net income applicable to common shareholders  $  1,072      344
  Weighted average common shares outstanding     158,495  159,245
  Effect of assumed exercise of stock options      1,056      502
                                                --------  -------
    Total                                        159,551  159,747
                                                --------  -------
      Diluted earnings per share:               $   6.72     2.15
                                                ========  =======

</TABLE>








                                 Page  6
<PAGE>

<TABLE>

<CAPTION>



For the six months ended June 30,                 2000     1999
                                                --------  -------
<S>                                             <C>       <C>
Basic Earnings Per Share:
  Net income applicable to common shareholders  $  1,684      925
  Weighted average common shares outstanding     158,489  159,401
                                                --------  -------
      Basic earnings per share:                 $  10.63     5.80
                                                ========  =======


Diluted Earnings Per Share:
  Net income applicable to common shareholders  $  1,684      925
  Weighted average common shares outstanding     158,489  159,401
  Effect of assumed exercise of stock options      1,010      251
                                                --------  -------
    Total                                        159,499  159,652
                                                --------  -------
      Diluted earnings per share:               $  10.56     5.79
                                                ========  =======

</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.  At its March 2000
meeting,  the  Board  of  Directors  granted,  effective  January 1, 2000, 1,486
non-qualified  options  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 six months ended June 30,   2000   1999
                                   ------  -----
<S>                                <C>     <C>
Net income:
  As reported                      $1,684  $ 925
  Pro forma                         1,552    689

Earnings per share:
  As reported:
    Basic                          $10.63  $5.80
    Diluted                         10.56   5.79
  Pro forma:
    Basic                          $ 9.79  $4.32
    Diluted                          9.72   4.31
</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>






                                 Page 7
<PAGE>

Item  2. Management's Discussion and Analysis of Financial Condition and Results
of  Operations
        June  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 six month period ended June 30, 2000 with the same period in 1999,
the Company showed a 24.2% increase in assets, 28.7% increase in deposits, 20.4%
increase  in  operating revenue (net interest income before provision plus other
income),  and a 82.1% increase in net income.  Trust assets under administration
grew  during  this  same  period  by  31.5%.

At  June 30, 2000 the Company had reached its year-end targets for earning asset
portfolios  and total assets.  As a result, the Company is focusing on enhancing
existing  customer  relationships  though  sales of deposit-based and fee income
products.  Asset  growth  in  the  second  half  of  2000  is  anticipated to be
substantially  less  than  the  preceding  six  months.

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

Three  months  ended  June  30,  2000
-------------------------------------

Assets grew in the second quarter, continuing the trend set in 1999.  As of June
30,  2000,  total  assets  of  the  Company  were $573.3 million, up from $556.5
million  at March 31, 2000. Cash and equivalents increased $0.3 million to $25.4
million,  due  to  increased  cash  reserve requirements associated with deposit
growth.  During  the quarter, municipalities reduced their deposits for seasonal
cash  flow  needs,  resulting  in  a  corresponding  reduction  in the Company's
security  portfolio  used  to collateralize these deposits. Securities decreased
$7.2  million  to  $82.3  million.  Net  loans increased $23.6 million to $438.0
million,  and all other assets rose $0.1 million to $27.1 million, reflective of
earning  asset  and  branch  network  growth.

Total  deposits  at  June 30, 2000 were $507.3 million and were up $26.4 million
from  June  30,  1999.  The  newest six offices contributed $15.5 million of the
quarter's  deposit  growth.  In  addition,  the  Company  sold  $10.0 million of
nationally  marketed  time deposits. The growth in deposits was used to fund the
quarter's  loan portfolio growth. Overall deposit growth during the quarter came
almost entirely from interest-bearing accounts.  Consumers are opting for higher
rate  time  deposits  during this rising interest rate environment. For the same
period  borrowings  (primarily  from  the FHLB) were down $10.0 million to $19.8
million.  Other  liabilities  decreased by $0.7 million to $2.9 million, largely
due to cash payouts on management's Phantom Stock and Stock Appreciation Rights.

Net  interest  income,  accounting  for  nearly  25%  of  the Company's revenue,
increased  $1.1  million or 24.3% for the quarter over the same quarter in 1999.
For  the quarter ended June 30, 2000, average interest earning assets, increased
$115.4  million to $526.6 million from $411.2 million for the 1999 quarter.  The
yields  on  these  assets  were  7.92%  and  7.56%,  respectively;  the increase
resulting  from an overall rise in general interest rates, following the Federal
Reserve  Board's  rate  increases  during  the last twelve months.  For the same
periods, average interest bearing liabilities increased $107.0 million to $447.8
million  from  $340.8.  Rates

                                 Page  8
<PAGE>
paid  on  these  liabilities were 4.15% and 3.67%, respectively, also reflecting
rate  increases.  This  12 basis point drop in interest spread had a $.1 million
negative impact on net interest income for the quarter ended June 30, 2000.  The
growth  in  interest earnings assets and interest bearing liabilities had a $1.2
million  positive  impact on net interest income.  In the second quarter of 2000
the  Company's  net  interest  margin  declined to 4.38% from 4.52% for the same
quarter  in  1999.  This  declining  trend in net interest margin is expected to
continue  through  2000  as  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 June 30, 2000 increased $.3 million to $2.1
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 and other operating income declined for 2000
as  a  result  of  a  reduction in mortgage banking operations due to the rising
interest rate environment compared to 1999.  Considering the increasing interest
rate  environment,  management anticipates lower mortgage banking income in 2000
than  in  1999.
Operating expenses increased $0.8 million for the quarter ended June 30, 2000 to
$6.3 million versus $5.5 million for the 1999 second quarter.  The increase came
in  nearly all expense categories, reflecting growth in customers, employees and
banking  offices.
The  Company's  quarterly  effective  tax rate was 19.5% in 2000 versus 31.6% in
1999.  The  reduction  in  the  tax  rate  is  due to an increase in non-taxable
investment income from a larger average portfolio balance ($48.2 million in 2000
versus  $39.7  million  in  1999)

Six  months  ended  June  30,  2000
-----------------------------------

Assets  grew  in  the  first half of 2000 by $51.1 million. Cash and equivalents
decreased  $1.4  million  to $25.5 million, resulting from the Company's reduced
holdings  following  its  cash  reserve buildup for the century date changeover.
Securities  increased  $6.8  million  to  $82.7  million  to  allow  for
collateralization  of  municipal  deposits. Net loans increased $43.8 million to
$438.0  million,  and  all  other  assets  rose  $1.9  million to $27.1 million.

Total  deposits  at  June 30, 2000 were up $53.0 million from December 31, 1999.
The  newest  six offices contributed $22.5 million of the year's deposit growth.
In  addition,  the  Company  sold  $23.8  million  of  nationally  marketed time
deposits.  For  the  same  period borrowings (primarily from the FHLB) were down
$2.5  million.  Other  liabilities  decreased  by $0.2 million.  The increase in
deposits  was  used  to  fund  loan  and  investment  growth.

Net  interest  income  grew $2.0 million or 22.3% to $11.1 million for first six
months  of  2000  versus the same period in 1999.  For the six months ended June
30,  2000,  average  interest earning assets, increased $105.3 million to $507.4
million from $402.1 million for the 1999 first half.  The yields on these assets
were  7.82%  and  7.56%,  respectively.  For  the same periods, average interest
bearing  liabilities  increased  $97.8  million  to  $431.5  million from $333.7
million.  Rates  paid  on these liabilities were 4.05% and 3.68%.  This 11 basis
point  drop in interest spread had a $.1 million negative impact on net interest
income  for the six months ended June 30, 2000.  The growth in interest earnings
assets  and  interest  bearing liabilities had a $2.1 million positive impact on
net  interest  income.  In  the  first  half  of 2000 the Company's net interest
margin  declined  to  4.37%  from  4.51%  for  the  same  half  in  1999.

Other  income for the six months ended June 30, 2000 increased $0.6 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 and other operating income declined for 2000
as  a  result  of  a  reduction in mortgage banking operations due to the rising
interest  rate  environment  compared  to  1999.



                                 Page  9
<PAGE>

Operating expenses increased $1.7 million for the six months ended June 30, 2000
to  $12.5  million  versus  $10.8 million for the 1999 first half.  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 declined.  For the six months ended June 30, 2000 this
ratio  was  82.0% 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 consultants 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  take  hold  in  2001.
The  Company's  effective  tax rate was 22.5% in 2000 versus 31.9% 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 ($47.1 million in 2000 versus
$39.0  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 six
months ended June 30, 2000 the Company used $1.3 million in cash and equivalents
versus  $2.2  million for the same period in 1999.  The overall decrease in cash
and  equivalents  in  2000  is  related to a reduction in built-up cash reserves
associated  with  the century date change.  The Company held excess currency for
the  benefit  of  its  customers.

Net  cash  used  in operating activities was $1.0 million in 2000.  In the first
half of 1999 the Company generated $3.1 million from operating activities.  Both
the  largest  source  and  use  of operating cash in 2000 and 1999 were mortgage
banking  activity.  However,  activity  in  2000  was  less than half of 1999's,
reflective  of  a  slow  down  in  the  mortgage  banking  business.

Cash  used by investing activities increased in 2000 to $50.0 million from $36.5
million  in  1999.  The increase in investing activities came from a combination
of  investment  and  loan growth. The Company's fixed asset investing activities
continued  as  future  offices  are  under  renovation.

Cash  provided by financing activities was $49.6 million in 2000 versus of $31.2
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  June  30,  2000  residential  mortgage loans with a carrying value of
approximately  $43.4  million  were  pledged  as collateral for the Bank's $23.6
million  advances  and  letters  of  credit  from  the  Federal  Home Loan Bank.
Approximately  $13.4  million  was available for additional borrowing.  Indirect
automobile  loans  with  a  carrying  value of approximately $101.0 million were
pledged  as  collateral  for  a  $80.8  million  line of credit from the Federal
Reserve  Bank  of  New  York.

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 $33 million at June 30, 2000 versus
$13  million  at  June  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.



                                 Page  10
<PAGE>


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 June
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.

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.

                                 Page  11
<PAGE>


As  of  June  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 six month periods ended June
30,  2000  and  1999  follow  (dollars  in  thousands):
<TABLE>

<CAPTION>



                                                           June 30,
                                                     ------------------
                                                        2000      1999
                                                     ----------  ------
<S>                                                  <C>         <C>
Balance at beginning of period                       $   4,136   3,283
Provision for loan losses                                  558     496
Loans charged off                                         (420)   (461)
Recoveries on loan previously charged off                  312     273
                                                     ----------  ------
Balance at end of period                             $   4,586   3,591
                                                     ==========  ======

Allowance as a percentage of total period end loans       1.04%   1.04%
                                                     ==========  ======

Allowance as a percentage of non performing loans        111.3%  255.2%
                                                     ==========  ======
</TABLE>



The  increase  in  the  provision for loan losses from first half of 1999 to the
first  half  of 2000 is related to the growth in the loan portfolio.  During the
first  half  of  1999,  the loan portfolio increased $32.3 million, while in the
first  half  of  2000,  the  loan  portfolio  increased  $44.2  million.

At  June 30, 2000, the recorded investment in loans that are considered impaired
totaled  $3.2  million as compared to $1.6 million at December 31, 1999 and $1.2
million  at  June  30,  2000.  The average recorded investment in impaired loans
during  the  six  month  periods ended June 30, 2000 and 1999 were approximately
$2.5  million  and  $1.7 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 $2.7
million to $4.1 million at June 30, 2000 as compared to $1.4 million at June 30,
1999.  The  increase  has  come  primarily from commercial real estate loans and
mainly  attributable  to  two  relationships.  The  borrowers'  loans  are fully
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 June 30, 2000 and 1999.

At  June  30,  2000,  other real estate owned consisted of three commercial real
estate  parcels,  totaling  $1.6 million.  This compares to four commercial real
estate  parcels  totaling  $2.0  million at June 30, 2000.  Management continues
efforts  to  liquidate  these  assets.










                                 Page  12
<PAGE>

Non-Performing  Assets
<TABLE>

<CAPTION>

                              Non-Performing Assets
                             (Dollars in thousands)


                                                       June 30,
                                                -------------------
                                                   2000      1999
                                                ----------  -------
<S>                                             <C>         <C>
Loans past due 90 days or more and accruing
Commercial, financial & agricultural            $       -   $   13
Real estate-commercial                                786       86
Real estate-residential                                 -       43
Consumer                                              116       86
                                                ----------  -------
Total past due 90 days or more and
  accruing                                            902      228
                                                ----------  -------

Loans in non-accrual status
Commercial, financial & agricultural                  935      625
Real estate-commercial                              1,919      180
Real estate-residential                               365      374
                                                ----------  -------
Total non-accrual loans                             3,219    1,179
                                                ----------  -------
Total non-performing loans                          4,121    1,407
                                                ----------  -------

Other real estate owned - commercial                1,638    2,008
                                                ----------  -------

Total non-performing assets                     $   5,759   $3,415
                                                ==========  =======

Non performing loans to total period-end loans       0.93%    0.41%
                                                ==========  =======

Non performing assets to total period-end
  loans and other real estate                        1.28%    0.99%
                                                ==========  =======

<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)



                August 11, 2000          /s/ George W. Hamlin, IV
                ---------------          ------------------------
                  Date          George W. Hamlin, IV, President


                 August 11, 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>