<HTML>
<head>
<TITLE>FORM 10-Q FOR PERIOD ENDING 10/30/99</TITLE>
</head>
<body link="#0000ff" vlink="#800080">
<p></p>

<p style="text-align: right">Index to Exhibits at <u>Page
26</u></p>

<p style="text-align: center">SECURITIES AND EXCHANGE
COMMISSION</p>

<p style="text-align: center">WASHINGTON, D.C.</p>

<p style="font-weight: bold; text-align: center">FORM 10-Q</p>



<p>[x] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934</p>

<p>For the quarterly period ended <u>October 30, 1999</u></p>

<p> OR</p>

<p>[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES</p>

<p> EXCHANGE ACT OF 1934</p>

<p>For the transition period from <u></u> to <u>		</u></p>

<p> Commission File Number <u>0 - 1653</u></p>

<p><u> 	GENESEE CORPORATION			</u></p>

<p>	(Exact name of registrant as specified in its charter)</p>

<p><u> STATE OF NEW YORK</u> 					<u>16-0445920</u></p>

<p> (State or other jurisdiction of 				 (I.R.S. Employer</p>

<p> incorporation or organization)					 Identification No.)</p>

<p><u> 445 St. Paul Street, Rochester, New York</u>
				<u>14605</u></p>

<p> (Address of principal executive offices)					 (Zip Code)</p>

<p>Registrant’s telephone number, including area code	<u>
(716) 546-1030</u></p>

<p style="text-align: justify">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.
Yes<u> X</u> 	No<u>	</u></p>

<p>As of the date of this report, the Registrant had the
following shares of common stock outstanding:</p>

<table cellspacing="0" border="0" cellpadding="7" width="421">
<tr>
<td width="59%" valign="TOP" height="19">


<p><u>Class	</u></p>
</td>
<td width="41%" valign="TOP" height="19">
<p>Number of Shares<u> Outstanding</u></p>
</td>
</tr>

<tr>
<td width="59%" valign="TOP" height="37">
<p>Class A Common Stock (voting), par value $.50 per share</p>
</td>
<td width="41%" valign="TOP" height="37">
<p style="text-align: right"></p>

<p style="text-align: right">209,885</p>
</td>
</tr>

<tr>
<td width="59%" valign="TOP" height="41">
<p>Class B Common Stock (non-voting), par value $.50 per
share</p>
</td>
<td width="41%" valign="TOP" height="41">
<p style="text-align: right"></p>

<p style="text-align: right">1,410,312</p>
</td>
</tr>
</TABLE>

<br>
<br>






<table border cellspacing="1" bordercolor="#000000" cellpadding=
"2" width="675">
<tr>
<td valign="TOP" colspan="13" height="4">
<p style="text-align: center">GENESEE CORPORATION AND
SUBSIDIARIES</p>
</td>
</tr>

<tr>
<td valign="TOP" colspan="13" height="4">
<p style="text-align: center">CONSOLIDATED BALANCE SHEETS</p>
</td>
</tr>

<tr>
<td valign="TOP" colspan="13" height="4">
<p style="font-weight: bold; text-align: center">October 30, 1999
and May 1, 1999</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="17%" valign="TOP" colspan="2" height="4">
<p style="text-align: right">UNAUDITED</p>
</td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">AUDITED</p>
</td>
</tr>

<tr>
<td width="22%" valign="TOP" colspan="5" height="4">
<p style="font-weight: bold">(Dollars in Thousands)</p>
</td>
<td width="4%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="17%" valign="TOP" colspan="2" height="4">
<p style="font-weight: bold; text-align: right"><u>October 30,
1999</u></p>
</td>
<td width="11%" valign="TOP" height="4">
<p style="font-weight: bold; text-align: right"><u>May 1,
1999</u></p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="9%" valign="TOP" colspan="2" height="4">
<p style="font-weight: bold"><u>ASSETS</u></p>
</td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" colspan="4" height="4">
<p>Current assets:</p>
</td>
<td width="4%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="29%" valign="TOP" colspan="5" height="4">
<p>Cash and cash equivalents</p>
</td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right"> $ 5,520</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right"> $ 5,836</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="40%" valign="TOP" colspan="6" height="4">
<p>Marketable securities available for sale</p>
</td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">7,856</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">7,964</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="63%" valign="TOP" colspan="8" height="4">
<p>Trade accounts receivable, less allowance for doubtful
receivables</p>
</td>
<td width="11%" valign="TOP" height="4"></td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="55%" valign="TOP" colspan="6" height="4">
<p>of $513 at October 30, 1999 and $478 at May 1, 1999</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">10,404</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">10,222</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="60%" valign="TOP" colspan="7" height="4">
<p>Inventories, at lower of cost (first-in, first-out) or
market</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">14,072</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">16,414</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="29%" valign="TOP" colspan="5" height="4">
<p>Deferred income tax assets</p>
</td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">397</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">397</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="29%" valign="TOP" colspan="5" height="4">
<p>Other current assets</p>
</td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">634</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">751</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="25%" valign="TOP" colspan="4" height="4">
<p>Total current assets</p>
</td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">38,883</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">41,584</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="33%" valign="TOP" colspan="6" height="4">
<p>Net property, plant and equipment</p>
</td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">36,965</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">37,040</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="67%" valign="TOP" colspan="9" height="4">
<p>Investment in and notes receivable from unconsolidated real
estate partnerships</p>
</td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">5,302</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">5,343</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="64%" valign="TOP" colspan="8" height="4">
<p>Investments in direct financing and leveraged leases</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">26,730</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">28,285</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="79%" valign="TOP" colspan="10" height="4">
<p>Goodwill and other intangibles net of accumulated amortization
of $2,427 at</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="60%" valign="TOP" colspan="7" height="4">
<p>October 30, 1999 and $1,747 at May 1, 1999</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">27,630</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right"> 28,280</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" colspan="3" height="4">
<p>Other assets</p>
</td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">3,282</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">3,421</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" colspan="3" height="4">
<p>Total assets</p>
</td>
<td width="11%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right"> 138,792</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right"> 143,953</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="49%" valign="TOP" colspan="8" height="4">
<p style="font-weight: bold"><u>LIABILITIES AND SHAREHOLDERS'
EQUITY</u></p>
</td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" colspan="4" height="4">
<p>Current liabilities:</p>
</td>
<td width="4%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" colspan="3" height="4">
<p>Line of credit</p>
</td>
<td width="4%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">3,000</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">3,000</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="29%" valign="TOP" colspan="5" height="4">
<p>Notes payable, current portion</p>
</td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">82</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">82</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" colspan="4" height="4">
<p>Accounts payable</p>
</td>
<td width="11%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right"> 6,036</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">8,421</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="29%" valign="TOP" colspan="5" height="4">
<p>Income taxes payable</p>
</td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">0</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">1,215</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="40%" valign="TOP" colspan="6" height="4">
<p>Federal and state beer taxes payable</p>
</td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">1,054</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">1,354</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="29%" valign="TOP" colspan="5" height="4">
<p>Accrued compensation</p>
</td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">3,464</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">3,505</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="60%" valign="TOP" colspan="7" height="4">
<p>Accrued postretirement benefits, current portion</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">731</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">731</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="29%" valign="TOP" colspan="5" height="4">
<p>Accrued restructuring charge</p>
</td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">1,408</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">0</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="29%" valign="TOP" colspan="5" height="4">
<p>Accrued expenses and other</p>
</td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">4,213</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">5,374</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="25%" valign="TOP" colspan="4" height="4">
<p>Total current liabilities</p>
</td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">19,988</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">23,682</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="33%" valign="TOP" colspan="6" height="4">
<p>Notes payable, noncurrent portion</p>
</td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">6,339</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">4,679</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="33%" valign="TOP" colspan="6" height="4">
<p>Deferred income tax liabilities</p>
</td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">7,077</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">8,251</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="64%" valign="TOP" colspan="8" height="4">
<p>Accrued postretirement benefits, noncurrent portion</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">15,332</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">15,332</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" colspan="4" height="4">
<p>Other liabilities</p>
</td>
<td width="4%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">591</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">493</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="25%" valign="TOP" colspan="4" height="4">
<p>Total liabilities</p>
</td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">49,327</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">52,437</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="45%" valign="TOP" colspan="7" height="4">
<p>Minority interests in consolidated subsidiaries</p>
</td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">2,633</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">2,479</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="22%" valign="TOP" colspan="5" height="4">
<p>Shareholders' equity:</p>
</td>
<td width="11%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="29%" valign="TOP" colspan="5" height="4">
<p>Class A common stock</p>
</td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">105</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">105</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="29%" valign="TOP" colspan="5" height="4">
<p>Class B common stock</p>
</td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">753</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">753</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="29%" valign="TOP" colspan="5" height="4">
<p>Additional paid-in capital</p>
</td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">5,847</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">5,856</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" colspan="4" height="4">
<p>Retained earnings</p>
</td>
<td width="11%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">83,612</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">85,692</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="60%" valign="TOP" colspan="7" height="4">
<p>Accumulated other comprehensive (loss)/income</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">(84)</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">77</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="40%" valign="TOP" colspan="6" height="4">
<p>Less: Class B treasury stock, at cost</p>
</td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">3,401</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">3,446</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="36%" valign="TOP" colspan="5" height="4">
<p> Total shareholders' equity</p>
</td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">86,832</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right">89,037</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="55%" valign="TOP" colspan="6" height="4">
<p>Total liabilities and shareholders' equity</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right"> $ 138,792</p>
</td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4">
<p style="text-align: right"> $ 143,953</p>
</td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="19%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="4%" valign="TOP" height="4"></td>
<td width="4%" valign="TOP" height="4"></td>
<td width="60%" valign="TOP" colspan="7" height="4">
<p>See accompanying notes to consolidated financial
statements.</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
<td width="6%" valign="TOP" height="4"></td>
<td width="11%" valign="TOP" height="4"></td>
</tr>
</TABLE>

<p>						<u></u></p>

<table border cellspacing="1" cellpadding="2" width="620">
<tr>
<td valign="TOP" colspan="4" height="20">
<p style="text-align: center">GENESEE CORPORATION AND
CONSOLIDATED SUBSIDIARIES</p>
</td>
</tr>

<tr>
<td valign="TOP" colspan="4" height="20">
<p style="text-align: center">CONSOLIDATED STATEMENTS</p>
</td>
</tr>

<tr>
<td valign="TOP" colspan="4" height="20">
<p style="text-align: center">OF EARNINGS AND COMPREHENSIVE
INCOME</p>
</td>
</tr>

<tr>
<td valign="TOP" colspan="4" height="20">
<p style="text-align: center">Thirteen Weeks Ended October 30,
1999 and October 31, 1998</p>
</td>
</tr>

<tr>
<td width="68%" valign="TOP" height="20"></td>
<td width="13%" valign="TOP" height="20"></td>
<td width="7%" valign="TOP" height="20"></td>
<td width="13%" valign="TOP" height="20"></td>
</tr>

<tr>
<td width="68%" valign="TOP" height="20">
<p>(Dollars in Thousands,</p>
</td>
<td width="13%" valign="TOP" height="20"></td>
<td width="7%" valign="TOP" height="20"></td>
<td width="13%" valign="TOP" height="20"></td>
</tr>

<tr>
<td width="68%" valign="TOP" height="20">
<p>Except Per Share Data)</p>
</td>
<td width="13%" valign="TOP" height="20"></td>
<td width="19%" valign="TOP" colspan="2" height="20">
<p>UNAUDITED</p>
</td>
</tr>

<tr>
<td width="68%" valign="TOP" height="20"></td>
<td width="13%" valign="TOP" height="20">
<p style="font-weight: bold; text-align: right"><u>1999</u></p>
</td>
<td width="7%" valign="TOP" height="20"></td>
<td width="13%" valign="TOP" height="20">
<p style="font-weight: bold; text-align: right"><u>1998</u></p>
</td>
</tr>

<tr>
<td width="68%" valign="TOP" height="20"></td>
<td width="13%" valign="TOP" height="20"></td>
<td width="7%" valign="TOP" height="20"></td>
<td width="13%" valign="TOP" height="20"></td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4">
<p>Revenues</p>
</td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right"> $ 41,860</p>
</td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right"> $ 45,972</p>
</td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4">
<p> Federal and state beer taxes</p>
</td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">5,820</p>
</td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">6,784</p>
</td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4">
<p>Net revenues</p>
</td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">36,040</p>
</td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">39,188</p>
</td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4">
<p> Cost of goods sold</p>
</td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">28,412</p>
</td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">29,980</p>
</td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4">
<p>Gross profit</p>
</td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">7,628</p>
</td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">9,208</p>
</td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4">
<p> Selling, general and administrative expenses</p>
</td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">8,194</p>
</td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">9,769</p>
</td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4">
<p> Restructuring charge</p>
</td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">1,771</p>
</td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">0</p>
</td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4">
<p>Operating loss</p>
</td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(2,337)</p>
</td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(561)</p>
</td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4">
<p> Investment income</p>
</td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">232</p>
</td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">266</p>
</td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4">
<p> Other (loss)/income</p>
</td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(116)</p>
</td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">51</p>
</td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4">
<p> Interest expense</p>
</td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(150)</p>
</td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(160)</p>
</td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4">
<p> Interest of minority partners in earnings of</p>
</td>
<td width="13%" valign="TOP" height="4"></td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4">
<p> subsidiaries</p>
</td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(355)</p>
</td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(297)</p>
</td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4">
<p> Loss before income taxes</p>
</td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(2,726)</p>
</td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(701)</p>
</td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4">
<p>Income tax benefit</p>
</td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(1,254)</p>
</td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(115)</p>
</td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4">
<p> Net loss</p>
</td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(1,472)</p>
</td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(586)</p>
</td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4">
<p>Other comprehensive income, net of income taxes:</p>
</td>
<td width="13%" valign="TOP" height="4"></td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4">
<p> Unrealized holding (losses)/gains arising during the
period</p>
</td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(31)</p>
</td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">74</p>
</td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4">
<p> Comprehensive loss</p>
</td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(1,503)</p>
</td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(512)</p>
</td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4">
<p>Basic and Diluted loss per share</p>
</td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right"> (0.91)</p>
</td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right"> (0.36)</p>
</td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4">
<p>Weighted average common shares outstanding</p>
</td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">1,620,197</p>
</td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right"> 1,618,909</p>
</td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4">
<p>Weighted average and common equivalent shares</p>
</td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">1,620,197</p>
</td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">1,618,909</p>
</td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4">
<p>See accompanying notes to consolidated financial
statements.</p>
</td>
<td width="13%" valign="TOP" height="4"></td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="68%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="7%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
</tr>
</TABLE>



<table border cellspacing="1" cellpadding="2" width="575">
<tr>
<td valign="TOP" colspan="4" height="18">
<p style="text-align: center">GENESEE CORPORATION AND
CONSOLIDATED SUBSIDIARIES</p>
</td>
</tr>

<tr>
<td valign="TOP" colspan="4" height="18">
<p style="text-align: center">CONSOLIDATED STATEMENTS</p>
</td>
</tr>

<tr>
<td valign="TOP" colspan="4" height="18">
<p style="text-align: center">OF EARNINGS AND COMPREHENSIVE
INCOME</p>
</td>
</tr>

<tr>
<td valign="TOP" colspan="4" height="18">
<p style="text-align: center">Twenty Six Weeks Ended October 30,
1999 and October 31, 1998</p>
</td>
</tr>

<tr>
<td width="59%" valign="TOP" height="18"></td>
<td width="16%" valign="TOP" height="18"></td>
<td width="9%" valign="TOP" height="18"></td>
<td width="16%" valign="TOP" height="18"></td>
</tr>

<tr>
<td width="59%" valign="TOP" height="18">
<p>(Dollars in Thousands,</p>
</td>
<td width="16%" valign="TOP" height="18"></td>
<td width="9%" valign="TOP" height="18"></td>
<td width="16%" valign="TOP" height="18"></td>
</tr>

<tr>
<td width="59%" valign="TOP" height="18">
<p>Except Per Share Data)</p>
</td>
<td width="16%" valign="TOP" height="18"></td>
<td width="25%" valign="TOP" colspan="2" height="18">
<p>UNAUDITED</p>
</td>
</tr>

<tr>
<td width="59%" valign="TOP" height="18"></td>
<td width="16%" valign="TOP" height="18">
<p style="font-weight: bold; text-align: right"><u>1999</u></p>
</td>
<td width="9%" valign="TOP" height="18"></td>
<td width="16%" valign="TOP" height="18">
<p style="font-weight: bold; text-align: right"><u>1998</u></p>
</td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4">
<p>Revenues</p>
</td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right"> $ 88,797</p>
</td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right"> $ 94,560</p>
</td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4">
<p> Federal and state beer taxes</p>
</td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">13,653</p>
</td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">15,987</p>
</td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4">
<p>Net revenues</p>
</td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">75,144</p>
</td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">78,573</p>
</td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4">
<p> Cost of goods sold</p>
</td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">58,137</p>
</td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">59,690</p>
</td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4">
<p>Gross profit</p>
</td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">17,007</p>
</td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">18,883</p>
</td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4">
<p> Selling, general and administrative expenses</p>
</td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">16,577</p>
</td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">18,849</p>
</td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4">
<p> Restructuring charge</p>
</td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">1,771</p>
</td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">0</p>
</td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4">
<p>Operating (loss)/income</p>
</td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">(1,341)</p>
</td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">34</p>
</td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4">
<p> Investment income</p>
</td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">504</p>
</td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">1,465</p>
</td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4">
<p> Other (loss)/income</p>
</td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">(32)</p>
</td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">217</p>
</td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4">
<p> Interest expense</p>
</td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">(292)</p>
</td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">(160)</p>
</td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4">
<p> Interest of minority partners in earnings of</p>
</td>
<td width="16%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4">
<p> subsidiaries</p>
</td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">(590)</p>
</td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">(494)</p>
</td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4">
<p> (Loss)/earnings before income taxes</p>
</td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">(1,751)</p>
</td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">1,062</p>
</td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4">
<p>Income tax (benefit)/expense</p>
</td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">(805)</p>
</td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">516</p>
</td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4">
<p> Net (loss)/earnings</p>
</td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">(946)</p>
</td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">546</p>
</td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4">
<p>Other comprehensive income, net of income taxes:</p>
</td>
<td width="16%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4">
<p> Unrealized holding losses arising during the period</p>
</td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">(161)</p>
</td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">(488)</p>
</td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4">
<p> Comprehensive (loss)/income</p>
</td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">(1,107)</p>
</td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">58</p>
</td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4">
<p>Basic and Diluted (loss)/earnings per share</p>
</td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right"> (0.58)</p>
</td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right"> 0.34</p>
</td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4">
<p>Weighted average common shares outstanding</p>
</td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right"> 1,619,829</p>
</td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right"> 1,618,676</p>
</td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4">
<p>Weighted average and common equivalent shares</p>
</td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">1,619,829</p>
</td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4">
<p style="text-align: right">1,619,028</p>
</td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="75%" valign="TOP" colspan="2" height="4">
<p>See accompanying notes to consolidated financial
statements.</p>
</td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="59%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="16%" valign="TOP" height="4"></td>
</tr>
</TABLE>



<table border cellspacing="1" cellpadding="2" width="626">
<tr>
<td valign="TOP" colspan="9" height="19">
<p style="text-align: center">GENESEE CORPORATION AND
SUBSIDIARIES</p>
</td>
</tr>

<tr>
<td valign="TOP" colspan="9" height="19">
<p style="text-align: center">CONSOLIDATED STATEMENTS OF CASH
FLOWS</p>
</td>
</tr>

<tr>
<td valign="TOP" colspan="9" height="19">
<p style="text-align: center">Twenty Six Weeks Ended October 30,
1999 and October 31, 1998</p>
</td>
</tr>

<tr>
<td width="10%" valign="TOP" height="19"></td>
<td width="9%" valign="TOP" height="19"></td>
<td width="9%" valign="TOP" height="19"></td>
<td width="12%" valign="TOP" height="19"></td>
<td width="13%" valign="TOP" height="19"></td>
<td width="18%" valign="TOP" height="19"></td>
<td width="13%" valign="TOP" height="19"></td>
<td width="3%" valign="TOP" height="19"></td>
<td width="12%" valign="TOP" height="19"></td>
</tr>

<tr>
<td width="10%" valign="TOP" height="19"></td>
<td width="9%" valign="TOP" height="19"></td>
<td width="9%" valign="TOP" height="19"></td>
<td width="12%" valign="TOP" height="19"></td>
<td width="13%" valign="TOP" height="19"></td>
<td width="18%" valign="TOP" height="19"></td>
<td width="29%" valign="TOP" colspan="3" height="19">
<p style="text-align: center"> UNAUDITED</p>
</td>
</tr>

<tr>
<td width="28%" valign="TOP" colspan="3" height="19">
<p style="font-weight: bold">(Dollars in thousands)</p>
</td>
<td width="12%" valign="TOP" height="19"></td>
<td width="13%" valign="TOP" height="19"></td>
<td width="18%" valign="TOP" height="19"></td>
<td width="13%" valign="TOP" height="19">
<p style="font-weight: bold; text-align: right"><u>1999</u></p>
</td>
<td width="3%" valign="TOP" height="19"></td>
<td width="12%" valign="TOP" height="19">
<p style="font-weight: bold; text-align: right"><u>1998</u></p>
</td>
</tr>

<tr>
<td width="10%" valign="TOP" height="19"></td>
<td width="9%" valign="TOP" height="19"></td>
<td width="9%" valign="TOP" height="19"></td>
<td width="12%" valign="TOP" height="19"></td>
<td width="13%" valign="TOP" height="19"></td>
<td width="18%" valign="TOP" height="19"></td>
<td width="13%" valign="TOP" height="19"></td>
<td width="3%" valign="TOP" height="19"></td>
<td width="12%" valign="TOP" height="19"></td>
</tr>

<tr>
<td width="40%" valign="TOP" colspan="4" height="19">
<p style="font-weight: bold">Cash flows from operating
activities:</p>
</td>
<td width="13%" valign="TOP" height="19"></td>
<td width="18%" valign="TOP" height="19"></td>
<td width="13%" valign="TOP" height="19"></td>
<td width="3%" valign="TOP" height="19"></td>
<td width="12%" valign="TOP" height="19"></td>
</tr>

<tr>
<td width="28%" valign="TOP" colspan="3" height="4">
<p> Net (loss)/earnings</p>
</td>
<td width="12%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right"> $ (946)</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right"> $ 546</p>
</td>
</tr>

<tr>
<td width="53%" valign="TOP" colspan="5" height="4">
<p style="font-style: italic"> Adjustments to reconcile net
(loss)/earnings to net</p>
</td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="53%" valign="TOP" colspan="5" height="4">
<p style="font-style: italic"> cash provided by operating
activities:</p>
</td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="10%" valign="TOP" height="4"></td>
<td width="43%" valign="TOP" colspan="4" height="4">
<p>Depreciation and amortization</p>
</td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">3,250</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right">3,313</p>
</td>
</tr>

<tr>
<td width="10%" valign="TOP" height="4"></td>
<td width="30%" valign="TOP" colspan="3" height="4">
<p>Restructuring charge</p>
</td>
<td width="13%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">1,408</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right">0</p>
</td>
</tr>

<tr>
<td width="10%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4">
<p>Other</p>
</td>
<td width="9%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(524)</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right">624</p>
</td>
</tr>

<tr>
<td width="53%" valign="TOP" colspan="5" height="4">
<p> Changes in non-cash assets and liabilities:</p>
</td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="10%" valign="TOP" height="4"></td>
<td width="30%" valign="TOP" colspan="3" height="4">
<p>Trade accounts receivable</p>
</td>
<td width="13%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(217)</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right">53</p>
</td>
</tr>

<tr>
<td width="10%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" colspan="2" height="4">
<p>Inventories</p>
</td>
<td width="12%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">2,342</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right">(518)</p>
</td>
</tr>

<tr>
<td width="10%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" colspan="2" height="4">
<p>Other assets</p>
</td>
<td width="12%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">256</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right">(511)</p>
</td>
</tr>

<tr>
<td width="10%" valign="TOP" height="4"></td>
<td width="30%" valign="TOP" colspan="3" height="4">
<p>Accounts payable</p>
</td>
<td width="13%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(2,385)</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right">(3,577)</p>
</td>
</tr>

<tr>
<td width="10%" valign="TOP" height="4"></td>
<td width="30%" valign="TOP" colspan="3" height="4">
<p>Accrued expenses and other</p>
</td>
<td width="13%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(1,202)</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right">2,526</p>
</td>
</tr>

<tr>
<td width="10%" valign="TOP" height="4"></td>
<td width="30%" valign="TOP" colspan="3" height="4">
<p>Income taxes payable</p>
</td>
<td width="13%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(1,215)</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right">(188)</p>
</td>
</tr>

<tr>
<td width="10%" valign="TOP" height="4"></td>
<td width="30%" valign="TOP" colspan="3" height="4">
<p>Federal and state beer taxes</p>
</td>
<td width="13%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(300)</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right">(582)</p>
</td>
</tr>

<tr>
<td width="10%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" colspan="2" height="4">
<p>Other liabilities</p>
</td>
<td width="12%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">98</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right">(1,353)</p>
</td>
</tr>

<tr>
<td width="10%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="52%" valign="TOP" colspan="4" height="4">
<p style="font-weight: bold">Net cash provided by operating
activities</p>
</td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right"><b>565</b></p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right"><b>333</b></p>
</td>
</tr>

<tr>
<td width="10%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="40%" valign="TOP" colspan="4" height="4">
<p style="font-weight: bold">Cash flows from investing
activities:</p>
</td>
<td width="13%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="40%" valign="TOP" colspan="4" height="4">
<p> Acquisitions, net of cash acquired</p>
</td>
<td width="13%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">0</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right">(18,754)</p>
</td>
</tr>

<tr>
<td width="28%" valign="TOP" colspan="3" height="4">
<p> Capital expenditures</p>
</td>
<td width="12%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(2,718)</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right">(4,217)</p>
</td>
</tr>

<tr>
<td width="53%" valign="TOP" colspan="5" height="4">
<p> Proceeds from sale of marketable securities</p>
</td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">2,413</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right">9,800</p>
</td>
</tr>

<tr>
<td width="71%" valign="TOP" colspan="6" height="4">
<p> Purchases of marketable securities and other investments</p>
</td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(2,262)</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right">(912)</p>
</td>
</tr>

<tr>
<td width="53%" valign="TOP" colspan="5" height="4">
<p> Investments in and advances to unconsolidated</p>
</td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="53%" valign="TOP" colspan="5" height="4">
<p> real estate investments, net of distributions</p>
</td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">41</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right">75</p>
</td>
</tr>

<tr>
<td width="71%" valign="TOP" colspan="6" height="4">
<p> Net investment in direct financing and leveraged leases</p>
</td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">1,555</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right">602</p>
</td>
</tr>

<tr>
<td width="40%" valign="TOP" colspan="4" height="4">
<p> Withdrawals by minority interest</p>
</td>
<td width="13%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(436)</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right">(409)</p>
</td>
</tr>

<tr>
<td width="10%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="52%" valign="TOP" colspan="4" height="4">
<p style="font-weight: bold">Net cash used in investing
activities</p>
</td>
<td width="13%" valign="TOP" height="4">
<p style="font-weight: bold; text-align: right">(1,407)</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="font-weight: bold; text-align: right">(13,815)</p>
</td>
</tr>

<tr>
<td width="10%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="40%" valign="TOP" colspan="4" height="4">
<p style="font-weight: bold">Cash flows from financing
activities:</p>
</td>
<td width="13%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="40%" valign="TOP" colspan="4" height="4">
<p> Proceeds from acquisition of debt</p>
</td>
<td width="13%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">1,700</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right"> 14,800</p>
</td>
</tr>

<tr>
<td width="40%" valign="TOP" colspan="4" height="4">
<p> Principal payments on debt</p>
</td>
<td width="13%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right"> (40)</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right"> -</p>
</td>
</tr>

<tr>
<td width="28%" valign="TOP" colspan="3" height="4">
<p> Payment of dividends</p>
</td>
<td width="12%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(1,134)</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right">(1,134)</p>
</td>
</tr>

<tr>
<td width="10%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="52%" valign="TOP" colspan="4" height="4">
<p style="font-weight: bold">Net cash provided by financing
activities</p>
</td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right"><b>526</b></p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right"><b>13,666</b></p>
</td>
</tr>

<tr>
<td width="10%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="53%" valign="TOP" colspan="5" height="4">
<p>Net (decrease)/increase in cash and cash equivalents</p>
</td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">(316)</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right">184</p>
</td>
</tr>

<tr>
<td width="10%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="53%" valign="TOP" colspan="5" height="4">
<p>Cash and cash equivalents at beginning of the period</p>
</td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right">5,836</p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right">2,692</p>
</td>
</tr>

<tr>
<td width="10%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="10%" valign="TOP" height="4"></td>
<td width="61%" valign="TOP" colspan="5" height="4">
<p style="font-weight: bold">Cash and cash equivalents at end of
the period</p>
</td>
<td width="13%" valign="TOP" height="4">
<p style="text-align: right"><b> $ 5,520</b></p>
</td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4">
<p style="text-align: right"><b> $ 2,876</b></p>
</td>
</tr>

<tr>
<td width="10%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="9%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="18%" valign="TOP" height="4"></td>
<td width="13%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4"></td>
</tr>

<tr>
<td width="71%" valign="TOP" colspan="6" height="4">
<p>See accompanying notes to consolidated financial
statements.</p>
</td>
<td width="13%" valign="TOP" height="4"></td>
<td width="3%" valign="TOP" height="4"></td>
<td width="12%" valign="TOP" height="4"></td>
</tr>
</TABLE>



<p style="text-align: center">GENESEE CORPORATION</p>



<u></u>
<p><u>Notes to Consolidated Financial Statements</u></p>



<div style="margin-left: 8em">
<p style="text-align: justify">NOTE (A)	The Corporation's
consolidated financial statements enclosed herein are unaudited
with the exception of the Consolidated Balance Sheet at May 1,
1999 and, because of the seasonal nature of the business and the
varying schedule of its special sales efforts, these results are
not necessarily indicative of the results to be expected for the
entire year. In the opinion of management, the interim financial
statements reflect all adjustments, consisting of only normal
recurring items, which are necessary for a fair presentation of
the results for the periods presented. The accompanying financial
statements have been prepared in accordance with GAAP and SEC
guidelines applicable to interim financial information. These
statements should be reviewed in conjunction with the annual
report to shareholders for the year ended May 1, 1999. It is the
Corporation’s policy to reclassify certain amounts in the
prior year consolidated financial statements to conform with the
current year presentation.</p>

<p style="text-align: justify">NOTE (B)	Inventories are
summarized as follows:</p>
</div>

<table cellspacing="0" border="0" cellpadding="7" width="498">
<tr>
<td valign="TOP" colspan="3" height="22">
<p style="text-align: center"> Dollars in thousands</p>
</td>
</tr>

<tr>
<td valign="TOP" colspan="3" height="26">
<p style="text-align: right">October 30, 1999 May 1,1999</p>
</td>
</tr>

<tr>
<td width="54%" valign="TOP" height="6">
<p>Finished goods	</p>
</td>
<td width="25%" valign="TOP" height="6">
<p style="text-align: right">$ 4,724</p>
</td>
<td width="22%" valign="TOP" height="6">
<p style="text-align: right">$ 6,292</p>
</td>
</tr>

<tr>
<td width="54%" valign="TOP" height="6">
<p>Goods in process</p>
</td>
<td width="25%" valign="TOP" height="6">
<p style="text-align: right"> 1,438</p>
</td>
<td width="22%" valign="TOP" height="6">
<p style="text-align: right">1,445</p>
</td>
</tr>

<tr>
<td width="54%" valign="TOP" height="4">
<p>Raw materials, containers and packaging supplies</p>
</td>
<td width="25%" valign="TOP" height="4">
<p style="text-align: right"><u>7,910</u></p>
</td>
<td width="22%" valign="TOP" height="4">
<p style="text-align: right"><u>8,677</u></p>
</td>
</tr>

<tr>
<td width="54%" valign="TOP" height="4">
<p>Total inventories</p>
</td>
<td width="25%" valign="TOP" height="4">
<p style="text-align: right">$ 14,072</p>
</td>
<td width="22%" valign="TOP" height="4">
<p style="text-align: right">$ 16,414</p>
</td>
</tr>
</TABLE>

<br>
<br>
<br>


<div style="margin-left: 8em">
<p style="text-align: justify">									</p>

<p style="text-align: justify">NOTE (C)	The Corporation’s
consolidated balance sheet includes a mortgage payable with a
remaining principal amount due of $4.7 million, collateralized by
certain land, buildings and equipment. The mortgage payable bears
interest at a fixed rate of 6.49% per annum and requires payments
of principal and interest through 2008. The maturities of the
mortgage payable for each fiscal year through the year ending May
1, 2004 are, respectively, $82,000, $88,000, $93,000, $100,000
and $106,000.</p>

<p style="text-align: justify">	In addition, the Corporation has
a $10 million line of credit, which bears interest at LIBOR plus
70 basis points for an effective rate of 6.205% in effect through
December 31, 1999. This line of credit expires in April 2000. At
October 30, 1999, $7 million was available for use under this
instrument.</p>











<p style="text-align: center">GENESEE CORPORATION</p>


</div>

<u></u>
<p><u>Notes to Consolidated Financial Statements</u></p>

<div style="margin-left: 8em">
<p>NOTE (C) 	(continued)</p>

<p style="text-align: justify">	In addition, the Corporation has
a $1.7 million term note payable, which bears interest at LIBOR
plus 100 basis points for an effective rate of 6.25%. Maturity of
this note is eight years from draw down of funds. At October 30,
1999, $0 was available for use under this instrument.</p>
</div>

<p>	</p>

<p>NOTE (D)	Restructuring Charge</p>

<div style="margin-left: 8em">
<p style="text-align: justify">In the second quarter of fiscal
2000, the Genesee Brewing Company recorded a restructuring charge
of $1,771,000. This restructuring charge is related to costs
associated with a work force reduction whereby approximately 50
positions will be eliminated by the end of calendar year 1999 of
which 45 positions have been eliminated as of October 30, 1999.
Also included in this restructuring charge are costs associated
with a discontinued package configuration.</p>



<p>The restructuring charge and its utilization are summarized as
follows:</p>
</div>

<table border cellspacing="1" cellpadding="7" width="613">
<tr>
<td width="33%" valign="TOP">


<p style="text-align: center">Description</p>
</td>
<td width="18%" valign="TOP">
<p style="text-align: center">Fiscal 2000 Charge</p>
</td>
<td width="24%" valign="TOP">
<p>Utilized through 2<sup>nd</sup> Qtr.</p>
</td>
<td width="24%" valign="TOP">
<p style="text-align: center">To be utilized in future</p>
</td>
</tr>

<tr>
<td width="33%" valign="TOP">
<p>Employee severance and termination benefits</p>
</td>
<td width="18%" valign="TOP">
<p> $ 1,357,000</p>
</td>
<td width="24%" valign="TOP">
<p></p>

<p>$ 327,000</p>
</td>
<td width="24%" valign="TOP">
<p>$ 1,030,000</p>
</td>
</tr>

<tr>
<td width="33%" valign="TOP">
<p>Other employee related costs</p>
</td>
<td width="18%" valign="TOP">
<p> 77,000</p>
</td>
<td width="24%" valign="TOP">
<p> 9,000</p>
</td>
<td width="24%" valign="TOP">
<p> 68,000</p>
</td>
</tr>

<tr>
<td width="33%" valign="TOP">
<p>Discontinued package costs</p>
</td>
<td width="18%" valign="TOP">
<p> 337,000</p>
</td>
<td width="24%" valign="TOP">
<p> 27,000</p>
</td>
<td width="24%" valign="TOP">
<p> 310,000</p>
</td>
</tr>

<tr>
<td width="33%" valign="TOP"></td>
<td width="18%" valign="TOP"></td>
<td width="24%" valign="TOP"></td>
<td width="24%" valign="TOP"></td>
</tr>

<tr>
<td width="33%" valign="TOP">
<p> Total</p>
</td>
<td width="18%" valign="TOP">
<p>$ 1,771,000</p>
</td>
<td width="24%" valign="TOP">
<p>$ 363,000</p>
</td>
<td width="24%" valign="TOP">
<p>$ 1,408,000</p>
</td>
</tr>
</TABLE>

<br>
<br>


<div style="margin-left: 8em">
<p style="text-align: justify"></p>

<p style="text-align: justify">NOTE (E)	Segment Reporting</p>

<p style="text-align: justify">	The Corporation has four
reportable segments: brewing, food processing, leasing and real
estate, and corporate. The brewing segment produces beers and
ales for wholesale and retail distribution throughout the United
States, primarily in the northeast region of the country. The
food processing segment produces dry side dish, bouillon, soup,
drink mix and instant iced tea products under private label for
many of the country’s largest supermarket chains. The
leasing and real estate segment leases construction,
transportation, and other high-value equipment and machinery, and
partners with experienced real estate developers to invest in
certain properties. The corporate segment retains the
Corporation’s investments in marketable securities
generating investment income as well as supporting corporate
costs.</p>




</div>

<p style="text-align: center">GENESEE CORPORATION</p>



<div style="margin-left: 8em">
<p style="text-align: justify"><u>Notes to Consolidated Financial
Statements</u></p>

<p style="text-align: justify">NOTE (E)	Segment Reporting
(continued)</p>

<p style="text-align: justify">	The Corporation evaluates
performance based on operating income or loss and earnings before
income taxes.</p>

<p style="text-align: justify">	Intersegment sales and transfers
are not material and are eliminated in consolidation. No single
customer accounted for more than 10% of revenues and the
Corporation’s international revenues are not
significant.</p>

<p style="text-align: justify">	The Corporation’s
reportable segments, other than corporate, are strategic business
units that offer different products and services. They are
managed separately because each business requires different
technology and marketing strategies.</p>


</div>

<table border cellspacing="1" cellpadding="2" width="660">
<tr>
<td width="64%" valign="TOP" colspan="4" height="16">
<p>Financial information for the Corporation's reportable
segments is as follows:</p>
</td>
<td width="10%" valign="TOP" height="16"></td>
<td width="13%" valign="TOP" height="16"></td>
<td width="14%" valign="TOP" height="16"></td>
</tr>

<tr>
<td width="28%" valign="TOP" height="16"></td>
<td width="12%" valign="TOP" height="16"></td>
<td width="12%" valign="TOP" height="16"></td>
<td width="11%" valign="TOP" height="16"></td>
<td width="10%" valign="TOP" height="16"></td>
<td width="13%" valign="TOP" height="16"></td>
<td width="14%" valign="TOP" height="16"></td>
</tr>

<tr>
<td width="28%" valign="TOP" height="16"></td>
<td width="12%" valign="TOP" height="16"></td>
<td width="12%" valign="TOP" height="16"></td>
<td width="11%" valign="TOP" height="16">
<p style="font-weight: bold; text-align: center">Leasing</p>
</td>
<td width="10%" valign="TOP" height="16"></td>
<td width="13%" valign="TOP" height="16"></td>
<td width="14%" valign="TOP" height="16"></td>
</tr>

<tr>
<td width="28%" valign="TOP" height="16"></td>
<td width="12%" valign="TOP" height="16"></td>
<td width="12%" valign="TOP" height="16">
<p style="font-weight: bold; text-align: center">Food</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="font-weight: bold; text-align: center">And</p>
</td>
<td width="10%" valign="TOP" height="16"></td>
<td width="13%" valign="TOP" height="16"></td>
<td width="14%" valign="TOP" height="16"></td>
</tr>

<tr>
<td width="28%" valign="TOP" height="16">
<p style="font-style: italic">For the thirteen week period</p>

<p style="font-style: italic">Ended October 30, 1999</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="font-weight: bold; text-align: center">Brewing</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="font-weight: bold; text-align: center">Processing</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="font-weight: bold; text-align: center">Real Estate</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="font-weight: bold; text-align: center">Corporate</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="font-weight: bold; text-align: center">Eliminations</p>
</td>
<td width="14%" valign="TOP" height="16">
<p style="font-weight: bold; text-align: center">Consolidated</p>
</td>
</tr>

<tr>
<td width="28%" valign="TOP" height="16">
<p>Net revenues from external customers</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">$ 23,111</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">$ 11,923</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: right">$ 1,006</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: right">$ -</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">$ -</p>
</td>
<td width="14%" valign="TOP" height="16">
<p style="text-align: right"> $ 36,040</p>
</td>
</tr>

<tr>
<td width="28%" valign="TOP" height="16">
<p>Depreciation and amortization</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">961</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">629</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: right">-</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: right">-</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">-</p>
</td>
<td width="14%" valign="TOP" height="16">
<p style="text-align: right">1,590</p>
</td>
</tr>

<tr>
<td width="28%" valign="TOP" height="16">
<p>Operating income/(loss)</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">(3,667)</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">520</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: right">952</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: right">(142)</p>
</td>
<td width="13%" valign="TOP" height="16"></td>
<td width="14%" valign="TOP" height="16">
<p style="text-align: right">(2,337)</p>
</td>
</tr>

<tr>
<td width="28%" valign="TOP" height="16">
<p>Investment income</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">35</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">-</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: right">82</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: right">520</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">(405)</p>
</td>
<td width="14%" valign="TOP" height="16">
<p style="text-align: right">232</p>
</td>
</tr>

<tr>
<td width="28%" valign="TOP" height="16">
<p>Earnings/(loss) before income taxes</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">(3,591)</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">43</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: right">659</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: right">(2,726)</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">2,889</p>
</td>
<td width="14%" valign="TOP" height="16">
<p style="text-align: right">(2,726)</p>
</td>
</tr>

<tr>
<td width="28%" valign="TOP" height="16">
<p>Identifiable assets</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">46,290</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">54,728</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: right">35,299</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: right">2,474</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">-</p>
</td>
<td width="14%" valign="TOP" height="16">
<p style="text-align: right">138,792</p>
</td>
</tr>

<tr>
<td width="28%" valign="TOP" height="16">
<p>Capital expenditures</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">57</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">564</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: right">-</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: right">-</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">-</p>
</td>
<td width="14%" valign="TOP" height="16">
<p style="text-align: right">621</p>
</td>
</tr>

<tr>
<td width="28%" valign="TOP" height="17"></td>
<td width="12%" valign="TOP" height="17"></td>
<td width="12%" valign="TOP" height="17"></td>
<td width="11%" valign="TOP" height="17"></td>
<td width="10%" valign="TOP" height="17"></td>
<td width="13%" valign="TOP" height="17"></td>
<td width="14%" valign="TOP" height="17"></td>
</tr>

<tr>
<td width="28%" valign="TOP" height="29">
<p style="font-style: italic">For the thirteen week period</p>

<p style="font-style: italic">Ended October 31, 1998</p>
</td>
<td width="12%" valign="TOP" height="29"></td>
<td width="12%" valign="TOP" height="29"></td>
<td width="11%" valign="TOP" height="29"></td>
<td width="10%" valign="TOP" height="29"></td>
<td width="13%" valign="TOP" height="29"></td>
<td width="14%" valign="TOP" height="29"></td>
</tr>

<tr>
<td width="28%" valign="TOP" height="16">
<p>Net revenues from external customers</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">$ 25,034</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">$ 13,187</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: right"> $ 967</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: right">$ -</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">$ -</p>
</td>
<td width="14%" valign="TOP" height="16">
<p style="text-align: center"> $ 39,188</p>
</td>
</tr>

<tr>
<td width="28%" valign="TOP" height="16">
<p>Depreciation and amortization</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right"> 1,227</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right"> 496</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: right"> -</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: right"> -</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">-</p>
</td>
<td width="14%" valign="TOP" height="16">
<p style="text-align: right"> 1,723</p>
</td>
</tr>

<tr>
<td width="28%" valign="TOP" height="16">
<p>Operating income/(loss)</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right"> (2,695)</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right"> 1,312</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: right"> 955</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: center"> (133)</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">-</p>
</td>
<td width="14%" valign="TOP" height="16">
<p style="text-align: right"> (561)</p>
</td>
</tr>

<tr>
<td width="28%" valign="TOP" height="16">
<p>Investment income</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">34</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">-</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: right">82</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: right">764</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">(614)</p>
</td>
<td width="14%" valign="TOP" height="16">
<p style="text-align: right">266</p>
</td>
</tr>

<tr>
<td width="28%" valign="TOP" height="16">
<p>Earnings/(loss) before income taxes</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">(2,650)</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">1,117</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: right">568</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: right">(701)</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">965</p>
</td>
<td width="14%" valign="TOP" height="16">
<p style="text-align: right">(701)</p>
</td>
</tr>

<tr>
<td width="28%" valign="TOP" height="16">
<p>Identifiable assets</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right"> 49,885</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right"> 55,245</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: center"> 43,188</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: right"> 2,764</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">-</p>
</td>
<td width="14%" valign="TOP" height="16">
<p style="text-align: right"> 151,081</p>
</td>
</tr>

<tr>
<td width="28%" valign="TOP" height="16">
<p>Capital expenditures</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right"> 620</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right"> 2,591</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: right"> -</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: right"> -</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">-</p>
</td>
<td width="14%" valign="TOP" height="16">
<p style="text-align: right"> 3,211</p>
</td>
</tr>

<tr>
<td width="28%" valign="TOP" height="17"></td>
<td width="12%" valign="TOP" height="17"></td>
<td width="12%" valign="TOP" height="17"></td>
<td width="11%" valign="TOP" height="17"></td>
<td width="10%" valign="TOP" height="17"></td>
<td width="13%" valign="TOP" height="17"></td>
<td width="14%" valign="TOP" height="17"></td>
</tr>

<tr>
<td width="28%" valign="TOP" height="31">
<p style="font-style: italic">(Dollars in thousands)</p>
</td>
<td width="12%" valign="TOP" height="31"></td>
<td width="12%" valign="TOP" height="31"></td>
<td width="11%" valign="TOP" height="31"></td>
<td width="10%" valign="TOP" height="31"></td>
<td width="13%" valign="TOP" height="31"></td>
<td width="14%" valign="TOP" height="31"></td>
</tr>
</TABLE>

<br>
<br>




<p style="text-align: center">GENESEE CORPORATION</p>



<u></u>
<p style="text-align: justify"><u>Notes to Consolidated Financial
Statements</u></p>

<div style="margin-left: 8em">
<p style="text-align: justify">NOTE (E)	Segment Reporting
(continued)</p>
</div>

<table border cellspacing="1" cellpadding="2" width="648">
<tr>
<td width="65%" valign="TOP" colspan="4" height="16">
<p>Financial information for the Corporation's reportable
segments is as follows:</p>
</td>
<td width="10%" valign="TOP" height="16"></td>
<td width="12%" valign="TOP" height="16"></td>
<td width="13%" valign="TOP" height="16"></td>
</tr>

<tr>
<td width="29%" valign="TOP" height="16"></td>
<td width="13%" valign="TOP" height="16"></td>
<td width="12%" valign="TOP" height="16"></td>
<td width="11%" valign="TOP" height="16"></td>
<td width="10%" valign="TOP" height="16"></td>
<td width="12%" valign="TOP" height="16"></td>
<td width="13%" valign="TOP" height="16"></td>
</tr>

<tr>
<td width="29%" valign="TOP" height="16"></td>
<td width="13%" valign="TOP" height="16"></td>
<td width="12%" valign="TOP" height="16"></td>
<td width="11%" valign="TOP" height="16">
<p style="font-weight: bold; text-align: center">Leasing</p>
</td>
<td width="10%" valign="TOP" height="16"></td>
<td width="12%" valign="TOP" height="16"></td>
<td width="13%" valign="TOP" height="16"></td>
</tr>

<tr>
<td width="29%" valign="TOP" height="16"></td>
<td width="13%" valign="TOP" height="16"></td>
<td width="12%" valign="TOP" height="16">
<p style="font-weight: bold; text-align: center">Food</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="font-weight: bold; text-align: center">And</p>
</td>
<td width="10%" valign="TOP" height="16"></td>
<td width="12%" valign="TOP" height="16"></td>
<td width="13%" valign="TOP" height="16"></td>
</tr>

<tr>
<td width="29%" valign="TOP" height="16">
<p style="font-style: italic">For the twenty six week period</p>

<p style="font-style: italic">Ended October 30, 1999</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="font-weight: bold; text-align: center">Brewing</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="font-weight: bold; text-align: center">Processing</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="font-weight: bold; text-align: center">Real Estate</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="font-weight: bold; text-align: center">Corporate</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="font-weight: bold; text-align: center">Eliminations</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="font-weight: bold; text-align: center">Consolidated</p>
</td>
</tr>

<tr>
<td width="29%" valign="TOP" height="16">
<p>Net revenues from external customers</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">$ 51,533</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">$ 21,841</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: right">$ 1,770</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: right">$ -</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">$ -</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right"> $ 75,144</p>
</td>
</tr>

<tr>
<td width="29%" valign="TOP" height="16">
<p>Depreciation and amortization</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">1,922</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">1,328</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: right">-</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: right">-</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">-</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">3,250</p>
</td>
</tr>

<tr>
<td width="29%" valign="TOP" height="16">
<p>Operating income/(loss)</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">(2,921)</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">195</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: right">1,703</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: right">(318)</p>
</td>
<td width="12%" valign="TOP" height="16"></td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">(1,341)</p>
</td>
</tr>

<tr>
<td width="29%" valign="TOP" height="16">
<p>Investment income</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">70</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">-</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: right">158</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: right">1,097</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">(821)</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">504</p>
</td>
</tr>

<tr>
<td width="29%" valign="TOP" height="16">
<p>Earnings/(loss) before income taxes</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">(2,790)</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">(740)</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: right">1,437</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: right">(1,752)</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">2,094</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">(1,751)</p>
</td>
</tr>

<tr>
<td width="29%" valign="TOP" height="16">
<p>Identifiable assets</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">46,290</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">54,728</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: right">35,299</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: right">2,474</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">-</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">138,792</p>
</td>
</tr>

<tr>
<td width="29%" valign="TOP" height="16">
<p>Capital expenditures</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">93</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">2,625</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: right">-</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: right">-</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">-</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">2,718</p>
</td>
</tr>

<tr>
<td width="29%" valign="TOP" height="17"></td>
<td width="13%" valign="TOP" height="17"></td>
<td width="12%" valign="TOP" height="17"></td>
<td width="11%" valign="TOP" height="17"></td>
<td width="10%" valign="TOP" height="17"></td>
<td width="12%" valign="TOP" height="17"></td>
<td width="13%" valign="TOP" height="17"></td>
</tr>

<tr>
<td width="29%" valign="TOP" height="29">
<p style="font-style: italic">For the twenty six week period</p>

<p style="font-style: italic">Ended October 31, 1998</p>
</td>
<td width="13%" valign="TOP" height="29"></td>
<td width="12%" valign="TOP" height="29"></td>
<td width="11%" valign="TOP" height="29"></td>
<td width="10%" valign="TOP" height="29"></td>
<td width="12%" valign="TOP" height="29"></td>
<td width="13%" valign="TOP" height="29"></td>
</tr>

<tr>
<td width="29%" valign="TOP" height="16">
<p>Net revenues from external customers</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">$ 57,410</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">$ 19,394</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: right"> $ 1,769</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: right">$ -</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">$ -</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: center"> $ 78,573</p>
</td>
</tr>

<tr>
<td width="29%" valign="TOP" height="16">
<p>Depreciation and amortization</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right"> 2,532</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right"> 781</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: right"> -</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: right"> -</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">-</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right"> 3,313</p>
</td>
</tr>

<tr>
<td width="29%" valign="TOP" height="16">
<p>Operating income/(loss)</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right"> (2,221)</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right"> 1,047</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: right"> 1,742</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: center"> (534)</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">-</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right"> 34</p>
</td>
</tr>

<tr>
<td width="29%" valign="TOP" height="16">
<p>Investment income</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">57</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">-</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: right">165</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: right">2,342</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">(1,099)</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">1,465</p>
</td>
</tr>

<tr>
<td width="29%" valign="TOP" height="16">
<p>Earnings/(loss) before income taxes</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">(2,029)</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">789</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: right">1,071</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: right">1,061</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">170</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right">1,062</p>
</td>
</tr>

<tr>
<td width="29%" valign="TOP" height="16">
<p>Identifiable assets</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right"> 49,885</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right"> 55,245</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: center"> 43,188</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: right"> 2,764</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">-</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right"> 151,081</p>
</td>
</tr>

<tr>
<td width="29%" valign="TOP" height="16">
<p>Capital expenditures</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right"> 1,533</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right"> 2,684</p>
</td>
<td width="11%" valign="TOP" height="16">
<p style="text-align: right"> -</p>
</td>
<td width="10%" valign="TOP" height="16">
<p style="text-align: right"> -</p>
</td>
<td width="12%" valign="TOP" height="16">
<p style="text-align: right">-</p>
</td>
<td width="13%" valign="TOP" height="16">
<p style="text-align: right"> 4,217</p>
</td>
</tr>

<tr>
<td width="29%" valign="TOP" height="17"></td>
<td width="13%" valign="TOP" height="17"></td>
<td width="12%" valign="TOP" height="17"></td>
<td width="11%" valign="TOP" height="17"></td>
<td width="10%" valign="TOP" height="17"></td>
<td width="12%" valign="TOP" height="17"></td>
<td width="13%" valign="TOP" height="17"></td>
</tr>

<tr>
<td width="29%" valign="TOP" height="31">
<p style="font-style: italic">(Dollars in thousands)</p>
</td>
<td width="13%" valign="TOP" height="31"></td>
<td width="12%" valign="TOP" height="31"></td>
<td width="11%" valign="TOP" height="31"></td>
<td width="10%" valign="TOP" height="31"></td>
<td width="12%" valign="TOP" height="31"></td>
<td width="13%" valign="TOP" height="31"></td>
</tr>
</TABLE>

<br>
<br>




<div style="margin-left: 8em">
<p style="text-align: center">GENESEE CORPORATION</p>


</div>

<u></u>
<p style="text-align: justify"><u>Notes to Consolidated Financial
Statements</u></p>



<p style="text-align: justify">NOTE (F)	Supplemental Cash Flow
Information</p>

<div style="margin-left: 8em">
<p style="text-align: justify">	</p>

<p style="text-align: justify">	Cash paid for taxes was
$1,034,000 and $530,000 for the thirteen week period ended
October 30, 1999 and October 31, 1998, respectively; cash paid
for interest was $150,000 and $160,000 for the thirteen week
period ended October 30, 1999 and October 31, 1998,
respectively.</p>



<p style="text-align: justify"> Cash paid for taxes was
$1,485,000 and $704,000 for the twenty six week period ended
October 30, 1999 and October 31, 1998, respectively; cash paid
for interest was $292,000 and $160,000 for the twenty six week
period ended October 30, 1999 and October 31, 1998,
respectively.</p>





<p style="text-align: justify">Item 2.	 Management's Discussion
and Analysis of Financial Condition and Results of Operations</p>
</div>

<p style="text-align: justify"><u>Comparison of 13 weeks ended
October 30, 1999 to 13 weeks ended October 31, 1998</u></p>

<p style="text-align: justify">	Consolidated net revenues for the
thirteen weeks ended October 30, 1999 were $36.0 million, a
decrease of $3.1 million from consolidated net revenues reported
for the same period last year, due to lower sales volume at
Genesee Brewing Company and the Corporation’s Foods
Division.</p>

<p style="text-align: justify">	On a consolidated basis, the
Corporation reported an operating loss of $2.3 million, which was
an increased loss of $1.8 million as compared to the same period
last year, due primarily to a $1.8 million restructuring charge
recorded in the second quarter of fiscal 2000 pertaining
primarily to the employment reductions at the Genesee Brewing
Company announced on August 31, 1999.</p>

<p style="text-align: justify">	On a consolidated basis, the
Corporation reported a net loss of $1.5 million, or $.91 basic
and diluted loss per share, in the second quarter this year,
compared to a net loss of $512,000, or $.36 basic and diluted
earnings per share, for the same period last year.</p>

<p style="text-align: justify"><u>Genesee Brewing Company</u></p>

<p style="text-align: justify">	</p>

<p style="text-align: justify">	Genesee Brewing Company's net
sales for the second quarter of fiscal 2000 were $23.1 million, a
decrease of $1.9 million from last year's second quarter net
sales of $25.0 million. Barrel sales for the second quarter this
year were down 4.0% from the prior year period due to an 11.4%
decrease in Genesee Brewing Company’s core brands and a
16.5% decrease in the HighFalls brands. The decline in core and
HighFalls brand volume was partially offset by a 36.4% increase
in volume under the production contract with Boston Beer
Company.</p>

<p>					</p>



<p>				</p>

<p>					GENESEE CORPORATION</p>

<p style="text-align: justify">Item 2.	 Management's Discussion
and Analysis of Financial Condition and Results of</p>

<div style="margin-left: 8em">
<p style="text-align: justify">	 Operations (continued)</p>
</div>

<p style="text-align: justify"> Within the Genesee core brands,
higher-margin returnable glass packages, draft packages and
24-can packages showed the largest volume declines. These
declines were partially offset by higher unit sales of lower
margin, value-priced 30 and 36 can "Multipaks".</p>

<p style="text-align: justify">	The decline in HighFalls volume,
which represented 19% of total barrel volume in the second
quarter of fiscal 2000, was primarily the result of lower sales
of JW Dundee’s Honey Brown Lager. The Company believes that
the decline in Honey Brown Lager sales is the result of the
overall slowdown of the specialty beer category, due in part to
the growing popularity of imported beers, and the volatility of
specialty brand loyalty. Specialty brand consumers have shown a
tendency to switch brand loyalty more readily.</p>

<p style="text-align: justify">The increase in contract brewing
volume in the second quarter was due to the production of a new
package configuration for Boston Beer Company that commenced in
December 1998, and an increase in draft or keg production. 	</p>

<p style="text-align: justify">Genesee Brewing Company’s
gross profit decreased $343,000 to $4.7 million in the second
quarter of fiscal 2000, compared to $5.0 million in the second
quarter of fiscal 1999. The negative volume trends for both the
Genesee core brands and the HighFalls specialty brands, the shift
in package mix towards lower margin Multipak can packages and the
shift in mix towards lower margin contract business contributed
to the decline in gross profit in the second quarter this
year.</p>

<p style="text-align: justify">Selling, general and
administrative expenses were down $1.1 million in the second
quarter of fiscal 2000 compared to the same period last year.
This decrease is primarily the result of planned reductions in
sales and promotional expenses.</p>

<p style="text-align: justify"> Included in second quarter was a
$1.8 million restructuring charge associated primarily with
employment reductions by Genesee Brewing Company announced on
August 31, 1999. Included in the restructuring charge is
severance and medical benefits, outplacement costs and costs
associated with a discontinued package configuration.</p>

<p style="text-align: justify">	Genesee Brewing Company’s
second quarter operating loss was $3.7 million, an increase of
$972,000 over the same period last year. Genesee Brewing
Company’s second quarter operating loss before
restructuring expense was $1.9 million, a $801,000 decrease over
the second quarter of the prior year. This improvement was
primarily due to lower selling, general and administrative
spending this fiscal year versus last.</p>

<p style="text-align: justify">	The beer industry in the United
States continues to be highly competitive. The industry is
dominated by Anheuser Busch, Inc., Miller Brewing Company and
Coors Brewing Company, which together account for more than 80%
of domestic production. In comparison, malt beverages produced by
Genesee Brewing Company represent less than 1% of annual domestic
production. In recent years, per capita consumption of malt
beverages in the United States has declined and total consumption
has grown very little. However, consumption of domestically
produced malt beverages has remained basically flat during this
period, with the increase in overall consumption coming largely
from the increasing popularity of imported malt beverages.</p>

<p>					</p>

<p>					</p>

<p style="text-align: center">GENESEE CORPORATION</p>



<div style="margin-left: 8em">
<p style="text-align: justify">Item 2.	 Management's Discussion
and Analysis of Financial Condition and Results of</p>
</div>

<p>	 Operations (continued)</p>

<p style="text-align: justify"> During the past ten years, demand
for many established domestic brands has declined as consumers
have increasingly turned to certain nationally advertised light
beer brands, imported malt beverages and domestic specialty
beers. However, growth of the domestic specialty beer segment
began to slow down in 1997 and the segment has seen little growth
during the past two years.</p>

<p style="text-align: justify"> As a result of these trends and
the excess capacity that exists in the industry, brewers are
attempting to gain market share through reduced pricing,
intensive marketing and promotional programs and innovative
packaging. The industry has seen increased levels of price
discounting and price promotions and a growth in popularity of
value priced 30 and 36 can Multipaks. This intensely competitive
environment has prevented Genesee Brewing Company from
implementing any meaningful price increases during the past
several years, which has had an adverse impact on Genesee Brewing
Company’s overall profitability.	</p>

<p style="text-align: justify">The competitive position of
smaller brewers like Genesee Brewing Company has also been
adversely affected by the consolidation that is occurring within
the distribution tier of the brewing industry. The effects of
this consolidation have been aggravated by the aggressive efforts
of the large national brewers to ensure that an increasing share
of the distributor’s time and attention is devoted to their
brands. During the past several years, the large national brewers
have utilized a variety of inducements, incentives and
contractual terms to cause their distributors to make a greater
commitment to their brands, largely at the expense of the brands
of smaller brewers, like Genesee, that are also sold by these
distributors. These developments have made it increasingly
difficult for Genesee Brewing Company to effectively promote and
sell its brands in its core markets and to expand sales of its
products in new or lower share markets.</p>

<p style="text-align: justify">	In response to these conditions,
Genesee Brewing Company reduced its Fiscal 2000 sales and
marketing budgets and on August 31, 1999 announced a work force
reduction of fifty positions. This reduction, coupled with
twenty-seven positions previously eliminated through attrition
during fiscal 2000, is expected to reduce annual payroll expense
by approximately $5.0 million. In addition, Genesee Brewing
Company has postponed plans to expand distribution into
additional states and is proceeding more slowly with plans to add
new brands to its product line. Genesee Brewing Company is
focusing its resources on stabilizing sales and improving trends
for its current brand portfolio in existing markets.</p>

<p style="text-align: justify">	The challenges facing Genesee
Brewing Company have caused the Corporation to consider strategic
alternatives to maximize the value of the Corporation’s
brewing business. Management is exploring further opportunities
to reduce costs, improve efficiencies and rationalize the
Corporation’s brewing business and to attract additional
contract brewing volume. Acknowledging that the brewing industry
has undergone fundamental change during the past ten years and is
now dominated by large, global players whose resources dwarf
those of regional brewers like Genesee Brewing Company, the
Corporation is also exploring long-term strategic alternatives
for its brewing business, including confidential discussions with
third parties regarding the possible divestiture of the
business.</p>

<p style="text-align: center">GENESEE CORPORATION</p>



<div style="margin-left: 8em">
<p style="text-align: justify">Item 2.	 Management's Discussion
and Analysis of Financial Condition and Results of</p>
</div>

<p style="text-align: justify">	 Operations (continued)</p>

<p style="text-align: justify"><u></u></p>

<p style="text-align: justify"><u></u></p>

<p style="text-align: justify"><u>Foods Division</u></p>

<p style="text-align: justify">	</p>

<p style="text-align: justify">	Net sales for the Foods Division
were $11.9 million in the second quarter of fiscal 2000, compared
to $13.2 million for the second quarter last year. Contributing
to the decrease in net sales was lower than expected sales of
iced tea mix and side dishes.</p>

<p style="text-align: justify"> Sales in the second quarter of
fiscal 2000 continue to be adversely affected by heavy
promotional activity by a major branded side dish producer. This
promotional pricing has reduced the price spread between the
branded side dish line and the Foods Division’s private
label side dishes, making the private label product less
attractive to consumers. In addition, another major branded food
producer recently introduced a new line of side dish products
that will compete with both the existing brand leader and the
Foods Division’s private label side dish line. This new
side dish brand is being introduced with heavy promotional
support and is expected to increase the competitive pressure on
the Foods Division’s private label business. Revenues and
profit margins from iced tea mix sales declined, largely as a
result of previously reported efforts by a large Canadian sugar
refiner to displace the Foods Division’s private label iced
tea mix in key chain accounts. Although the Foods Division has
not lost any key accounts, it had to reduce iced tea pricing to
retain them. In addition, the overall decline of this mature
category resulted in continued lower unit sales in the second
quarter. The challenges facing the Foods Division’s iced
tea and side dish business are normal competitive pressures that
affect products in the mature stage of their life cycle. These
expected product maturity factors underscore the Foods
Division’s strategy to expand its product offerings either
through acquisition or internally developed new products.</p>

<p style="text-align: justify">	Bouillon and artificial
sweeteners sales also declined in the second quarter compared to
the same quarter last year. The Foods Division’s sweetener
business faces a potential competitive threat from the decision
by the major producer of branded artificial sweeteners to
introduce a line of private label artificial sweeteners,
targeting many of the Foods Division’s key chain accounts.
The Foods Division reduced its sweetener prices to counter this
potential threat, which is expected to reduce revenues and profit
margins from the sweetener business.</p>

<p style="text-align: justify">	Gross profit for the Foods
Division decreased $1.3 million to $1.9 million in the second
quarter of fiscal 2000, compared to $3.2 million for the second
quarter last year. The decrease in gross profit was attributable
to lower sales of iced tea mix, side dishes, bouillon and
artificial sweeteners. Also contributing to the decrease in gross
profit was $288,000 of expenses incurred by the Foods Division in
the second quarter of fiscal 2000 in transitioning production to
the Medina, New York facility that the Foods Division acquired in
October 1998. The consolidation of all operations at a single
location, which is scheduled to be completed during fiscal 2000,
is expected to generate significant efficiencies and cost savings
for the Foods Division going forward.</p>

<p style="text-align: justify"></p>

<p style="text-align: justify">	</p>







<p style="text-align: center">GENESEE CORPORATION</p>



<p style="text-align: justify">Item 2.	 Management's Discussion
and Analysis of Financial Condition and Results of</p>

<p style="text-align: justify">	 Operations (continued)</p>



<p style="text-align: justify"> The Foods Division’s
selling, general and administrative expenses decreased $484,000
to $1.4 million in the second quarter of fiscal 2000 compared to
the same period last year. This decrease is primarily the result
of reduced promotional activity and outbound freight costs as a
result of lower than expected unit sales in the second quarter of
fiscal 2000.</p>

<p style="text-align: justify">	The Foods Division recorded
operating profit of $520,000 in the second quarter of fiscal
2000, which was $792,000 less than the operating profit reported
in the second quarter last year.</p>

<p style="text-align: justify">	Other expense increased $282,000
to $476,000 in the second quarter of fiscal 2000 as compared to
the same period last year. This increase in expense is the result
of $104,000 of interest expense on the mortgage and term loan
pertaining to the Medina building. Also contributing to the
increase in expense is $181,000 of expenses incurred by the Foods
Division in the second quarter of fiscal 2000 in transitioning
production to the Medina, New York facility.</p>

<u></u>
<p style="text-align: justify"><u>Genesee Ventures</u></p>

<p style="text-align: justify">	</p>

<p style="text-align: justify">	Genesee Ventures, Inc., the
Corporation’s equipment leasing and real estate investment
subsidiary, reported operating income of $952,000 for the second
quarter of fiscal 2000, which was approximately the same as the
second quarter of fiscal 1999.</p>

<p style="text-align: justify">In August 1999, the Corporation
approved a plan to wind down its equipment leasing business in
light of changes in many of the factors that influenced the
Corporation’s decision to invest in equipment leasing.
These factors include changes in the Corporation’s capital
requirements, changes in the competitive conditions in the
equipment leasing business, a reduction in the tax advantages
generated by Cheyenne Leasing Company as a result of lower
operating income from the Corporation’s brewing business,
and a decision by the Corporation’s co-venturer in Cheyenne
Leasing Company to phase out its involvement in the equipment
leasing business.</p>

<p style="text-align: justify">	Under the wind down plan,
Cheyenne Leasing Company will not fund any new leases after
December 31, 1999 and will then manage its existing lease
portfolio to maximize lease revenues and residual income. Based
on current projections, Cheyenne Leasing Company’s
operating income is expected to remain fairly steady in the
current fiscal year, but will then decline as the remaining
leases in Cheyenne’s portfolio mature.</p>







<p style="text-align: center">GENESEE CORPORATION</p>



<div style="margin-left: 8em">
<p style="text-align: justify">Item 2.	 Management's Discussion
and Analysis of Financial Condition and Results of</p>

<p style="text-align: justify">	 Operations (continued)</p>


</div>

<p style="text-align: justify"> <u>Comparison of 26 weeks ended
October 30, 1999 to 26 weeks ended October 31, 1998</u></p>

<p style="text-align: justify">	Consolidated year-to-date net
revenues were $75.1 million, a decrease of $3.4 million from
consolidated net revenues reported for the same period last year,
due to lower sales volume at Genesee Brewing Company, which were
partially offset by increased sales by the Corporation’s
Foods Division.</p>

<p style="text-align: justify">On a consolidated basis, the
Corporation reported an operating loss of $1.3 million, which was
an increased loss of $1.4 million as compared to the same period
last year, due primarily to a $1.8 million second quarter fiscal
2000 restructuring charge pertaining primarily to the employment
reductions at the Genesee Brewing Company announced on August
31,1999.</p>

<p style="text-align: justify">	On a consolidated basis, the
Corporation reported a year-to-date net loss of $946,000, or $.58
basic and diluted loss per share, compared to net profit of
$546,000, or $.34 basic and diluted earnings per share, for the
same period last year.</p>



<u></u>
<p style="text-align: justify"><u>Genesee Brewing Company</u></p>

<p style="text-align: justify">	</p>

<p style="text-align: justify">	Genesee Brewing Company's net
sales in the first half of fiscal 2000 were $51.5 million, a
decrease of $5.9 million from the prior year's net sales of $57.4
million. Barrel sales for the first half of fiscal 2000 were down
6.6% from the prior year period due to an 10.0% decrease in
Genesee Brewing Company’s core brands and a 21.7% decrease
in the HighFalls brands. The decline in core and HighFalls brand
volume was partially offset by a 35.0% increase in volume under
the production contract with Boston Beer Company.</p>

<p style="text-align: justify">Within the Genesee core brands,
higher-margin returnable glass packages, draft packages and
24-can packages showed the largest volume declines. These
declines were partially offset by higher unit sales of lower
margin, value-priced 30 and 36 can "Multipaks".</p>

<p style="text-align: justify">	The decline in HighFalls volume,
which represented 20% of total barrel volume in the first half of
fiscal 2000, was primarily the result of lower sales of JW
Dundee’s Honey Brown Lager. The Company believes that the
decline in Honey Brown Lager sales is the result of the overall
slowdown of the specialty category, due in part to the growing
popularity of imported beers, and the volatility of specialty
brand loyalty. Specialty brand consumers have shown a tendency to
switch brand loyalty more readily. Genesee Brewing Company
extended its High Falls specialty brand line with the
introduction in July 1999 of Dundee’s Classic Lager.</p>

<p style="text-align: justify">The increase in contract brewing
volume in the first two quarters was due to the production of a
new package configuration for Boston Beer Company that commenced
in December 1998, and an increase in draft or keg
production.	</p>











<p style="text-align: center">GENESEE CORPORATION</p>

<div style="margin-left: 8em">
<p style="text-align: justify">Item 2.	 Management's Discussion
and Analysis of Financial Condition and Results of</p>

<p style="text-align: justify">	 Operations (continued)</p>
</div>

<p style="text-align: justify">Genesee Brewing Company’s
gross profit decreased $1.1 million to $12.3 million in the first
two quarters of fiscal 2000, compared to $13.4 million in the
prior year. The negative volume trends for both the Genesee core
brands and the HighFalls specialty brands, the shift in package
mix towards lower margin Multipak can packages and the shift in
mix towards lower margin contract business contributed to the
decline in fiscal 2000 year-to-date gross profit.</p>

<p style="text-align: justify">Selling, general and
administrative expenses were down $2.2 million in the first half
of fiscal 2000 compared to the same period last year. This
decrease is primarily the result of planned reductions in sales
and promotional expenses.</p>

<p style="text-align: justify"> Included in second quarter was a
$1.8 million restructuring charge associated primarily with the
August 31, 1999 announced employment reductions. Included in the
restructuring charge are severance and medical benefits,
outplacement costs and the costs associated with a discontinued
package configuration.</p>

<p style="text-align: justify">	Genesee Brewing Company’s
year-to-date operating loss was $2.9 million, an increase of
$700,000 over the same period last year. Genesee Brewing
Company’s year-to-date operating loss before restructuring
expense was $1.1 million, a $1.1 million improvement over the
same time period of the prior year. This improvement was
primarily due to lower selling, general and administrative
spending this fiscal year versus last.</p>

<p style="text-align: justify">	</p>

<p style="text-align: justify"><u>Foods Division</u></p>

<p style="text-align: justify">	</p>

<p style="text-align: justify">	Net sales for the Foods Division
were $21.8 million in the first half of fiscal 2000, compared to
$19.4 million for the same time period last year. The increase in
net sales was primarily attributable to $4.0 million in
year-to-date sales of artificial sweeteners and other private
label food products of TKI Foods, Inc. and Spectrum Foods, Inc.,
which were acquired by the Corporation during the second quarter
of fiscal 1999. Partially offsetting the increase in net sales
was lower than expected sales of iced tea mix and side
dishes.</p>

<p style="text-align: justify"> Side dish sales continue to be
adversely affected by heavy promotional activity by the major
branded side dish producer. This promotional pricing has reduced
the price spread between the branded side dish line and the Foods
Division’s private label side dishes, making the private
label product less attractive to consumers. In addition, another
major branded food producer recently introduced a new line of
side dish products that will compete with both the existing brand
leader and the Foods Division’s private label side dish
line. This new side dish brand is being introduced with heavy
promotional support and is expected to increase the competitive
pressure on the Foods Division’s private label
business.</p>

<p style="text-align: justify"></p>





<p>					</p>

<p style="text-align: center">GENESEE CORPORATION</p>



<p style="text-align: justify">Item 2.	 Management's Discussion
and Analysis of Financial Condition and Results of</p>

<div style="margin-left: 8em">
<p style="text-align: justify">	 Operations (continued)</p>
</div>

<p style="text-align: justify"> Revenues and profit margins from
iced tea mix sales declined, largely as a result of previously
reported efforts by a large Canadian sugar refiner to displace
the Foods Division’s private label iced tea mix in key
chain accounts. Although the Foods Division has not lost any key
accounts, it had to reduce iced tea pricing to retain them. In
addition, the overall decline of this mature category resulted in
lower unit sales in the first two quarters. The challenges facing
the Foods Division’s iced tea and side dish business are
normal competitive pressures that affect products in the mature
stage of their life cycle. These expected product maturity
factors underscore the Foods Division’s strategy to expand
its product offerings either through acquisition or internally
developed new products.</p>

<p style="text-align: justify"> The addition of bouillon and
artificial sweeteners to the Foods Division’s product line
has helped to offset lower iced tea mix and side dish sales.
However, the Foods Division’s sweetener business faces a
potential competitive threat from the decision by the major
producer of branded artificial sweeteners to introduce a line of
private label artificial sweeteners, targeting many of the Foods
Division’s key chain accounts. The Foods Division reduced
its sweetener prices to counter this potential threat, which is
expected to reduce revenues and profit margins from the sweetener
business. It is not clear what long term impact this new private
label sweetener line will have on the Foods Division’s
sweetener business because the producer recently announced that
it is seeking buyers for its sweetener business, which could
interfere with efforts to displace the Foods Division from key
accounts.</p>

<p style="text-align: justify">	Gross profit for the Foods
Division decreased $743,000 to $3.0 million in the first half of
fiscal 2000, compared to $3.7 million for the same time period
last year. The decrease in gross profit was attributable to lower
sales of iced tea mix, side dishes, bouillon and artificial
sweeteners. Also contributing to the decrease in gross profit was
$737,000 of expenses incurred by the Foods Division in the first
half of fiscal 2000 in transitioning production to the Medina,
New York facility that the Foods Division acquired in October
1998. The consolidation of all operations at a single location,
which is scheduled to be completed during fiscal 2000, is
expected to generate significant efficiencies and cost savings
for the Foods Division going forward.</p>

<p style="text-align: justify">	The Foods Division’s
selling, general and administrative expenses increased $109,000
in the first half of fiscal 2000 compared to the same period last
year. This increase is primarily the result of additional costs
incurred in connection with to the acquisition of TKI Foods and
Spectrum Foods.</p>

<p style="text-align: justify">	The Foods Division recorded
operating profit of $195,000 in the first half of fiscal 2000,
which was $852,000 less than the operating loss reported in the
first half of last year.</p>

<p style="text-align: justify">Other expense increased $677,000
to $934,000 in the first half of fiscal 2000 as compared to the
same period last year. This increase in expense is the result of
$194,000 of interest expense on the mortgage and term loan
pertaining to the Medina building. Also contributing to the
increase in expense is $363,000 of expenses incurred by the Foods
Division in the first half of fiscal 2000 in transitioning
production to the Medina, New York facility.</p>



<p>	</p>

<p style="text-align: center">GENESEE CORPORATION</p>



<div style="margin-left: 8em">
<p style="text-align: justify">Item 2.	 Management's Discussion
and Analysis of Financial Condition and Results of</p>

<p style="text-align: justify">	 Operations (continued)</p>

<p style="text-align: justify"><u></u></p>
</div>

<p style="text-align: justify"><u>Genesee Ventures</u></p>

<p style="text-align: justify">	</p>

<p style="text-align: justify">	Genesee Ventures, Inc., the
Corporation’s equipment leasing and real estate investment
subsidiary, reported operating income of $1.7 million for the
first half of fiscal 2000, which was approximately the same as
the first half of fiscal 1999.</p>

<p style="text-align: justify">In August 1999, the Corporation
approved a plan to wind down its equipment leasing business in
light of changes in many of the factors that influenced the
Corporation’s decision to invest in equipment leasing,
including changes in the Corporation’s capital
requirements, changes in the competitive conditions in the
equipment leasing business, a reduction in the tax advantages
generated by Cheyenne Leasing Company as a result of lower
operating income from the Corporation’s brewing business,
and a decision by the Corporation’s co-venturer in Cheyenne
Leasing Company to phase out its involvement in the equipment
leasing business.</p>

<p style="text-align: justify">	Under the wind down plan,
Cheyenne Leasing Company will not fund any new leases after
December 31, 1999 and will then manage its existing lease
portfolio to maximize lease revenues and residual income. Based
on current projections, Cheyenne Leasing Company’s
operating income is expected to remain fairly steady in the
current fiscal year, but will then decline as the remaining
leases in Cheyenne’s portfolio mature.</p>

<p style="text-align: justify">	Genesee Ventures, Inc. earnings
before taxes increased $366,000 to $1.4 million as compared to
$1.1 million for the same period last year. The increase in
earnings was primarily due to $195,000 held in escrow that was
earned and received in the first quarter of fiscal 2000
associated with the sale in the third quarter of fiscal 1999 of
Genesee Ventures’ investment in Lloyd’s Food
Products, Inc<i>.</i> The remainder of the increase in earnings
before taxes is due to lower interest payments on subsidiary debt
due to the corporation’s leasing and real estate wind down
plan.</p>

<p style="text-align: justify">	</p>

<p style="text-align: justify"><u>LIQUIDITY AND CAPITAL
RESOURCES</u></p>

<p style="text-align: justify">	Cash and cash equivalents and
marketable securities showed very little change from May 1, 1999
to October 30, 1999. Cash and cash equivalents totaled $5.5
million at October 30, 1999 and $5.8 million at May 1, 1999.
Marketable securities totaled $7.9 million at October 30, 1999
and $8.0 million at May 1, 1999.</p>

<p style="text-align: justify">					</p>

<p style="text-align: justify">	Net trade accounts receivable
balances also remained fairly consistent and were only $182,000
greater than the balances reported at May 1, 1999.</p>

<p style="text-align: justify"> Inventories decreased by $2.3
million from May 1, 1999. $500,000 of this decrease was realized
by the Genesee Brewing Company due to the seasonality of the
brewing industry. The Foods Division inventory level has
decreased by $1.8 million due to a concerted effort by management
to reduce inventory levels at that subsidiary.</p>

<p></p>



<p style="text-align: center">GENESEE CORPORATION</p>

<p style="text-align: justify">Item 2.	 Management's Discussion
and Analysis of Financial Condition and Results of</p>

<div style="margin-left: 8em">
<p style="text-align: justify">	 Operations (continued)</p>


</div>

<p style="text-align: justify"> Net property, plant and equipment
balances decreased slightly from May 1, 1999 to October 30, 1999
as a result of acquisitions of property, plant and equipment
being offset by normal depreciation and amortization of such
assets.</p>

<p style="text-align: justify"> Investments in direct financing
and leveraged leases decreased $1.6 million from May 1, 1999 as a
result of a large number of leases maturing and not being
replaced with new leases as Cheyenne Leasing Company is not
actively seeking new leasing opportunities and is in a wind down
phase.</p>

<p style="text-align: justify">	Current liabilities were $3.7
million less at October 30, 1999 compared to May 1, 1999. This
decrease is made up of $2.4 million less in accounts payable due
to timing of payments and $1.2 million less in income taxes
payable due to significant estimated tax payments being made
during the second quarter of fiscal 2000.</p>

<p style="text-align: justify">	Notes payable increased $1.7
million due to the draw down of funds on a multiple disbursement
term note, which is being used for renovation of the Foods
Division’s new production facility in Medina, New York.</p>

<p>	The Corporation is re-evaluating its capital resources in
light of its decision to review strategic alternatives for its
brewing business and the decision to wind down its equipment
leasing business. Until this evaluation is completed, the
Corporation is not actively searching for new acquisition
opportunities for its Foods Division, instead devoting resources
to completing the transition of the Foods Division to its Medina,
New York production facility and internal development of new
private label products and extensions of existing product
lines.</p>

<p style="text-align: justify">	Genesee Brewing Company has
developed a plan to change operating procedures, chemicals and
equipment used to store and handle chemicals used to clean and
sanitize brewing equipment, kegs and refillable bottles (the
"System") to comply with New York chemical bulk storage
regulations that will take effect in December 1999 (the
"Regulations"). The cost to achieve compliance with the
Regulations by modifying and upgrading the existing System was
originally estimated to be up to $1.9 million. In January 1999,
Genesee Brewing Company received regulatory approval of a new
operating procedure that exempted a portion of the System from
the Regulations. This exemption eliminated approximately $500,000
of the estimated cost to achieve compliance with the Regulations.
The planned changes to System operating procedures, chemicals and
equipment would cost approximately $150,000 and would exempt the
System from coverage under the Regulations. This cost will be
funded internally and depreciated over its useful life.</p>

<p style="text-align: justify">	In connection with the decision
to review strategic alternatives for the Corporation’s
brewing business and the wind down of its equipment leasing
business, the Corporation is evaluating its projected cash flows,
capital resources and liquidity requirements. As part of this
assessment, the Corporation’s Board of Directors is
reviewing the Corporation’s dividend policy to determine
whether shareholder value would be enhanced by a change in the
Corporation’s current policy of regular and special
dividend payments.</p>

<p>	</p>



<p style="text-align: center">GENESEE CORPORATION</p>



<div style="margin-left: 8em">
<p style="text-align: justify">Item 2.	 Management's Discussion
and Analysis of Financial Condition and Results of</p>

<p style="text-align: justify">	 Operations (continued)</p>


</div>

<i></i>
<p style="font-style: italic; text-align: justify"><u>Year
2000</u></p>

<p style="text-align: justify">	<i><u>General</u></i></p>

<p style="text-align: justify">	The Corporation formed a task
force made up of senior managers to address potential problems
that could affect the business operations and financial condition
of the Corporation and its subsidiaries as a result of the year
2000 issue. The year 2000 issue is the result of computer
hardware and software systems and other equipment with embedded
chips or processors that use only two digits to represent the
year. As the year 2000 approaches, time-sensitive software may
recognize a date using "00" as the year 1900 rather than 2000.
These systems may fail to operate or be unable to process data
accurately as a result of this flaw. The year 2000 issue could
arise at any point in the supply chain, manufacturing process,
distribution channels or information systems of the Corporation,
its subsidiaries and third parties with which it does
business.</p>

<p style="text-align: justify">	The task force directed efforts
to identify critical and non-critical systems, determine
appropriate remediation measures, assign responsibility for and
schedule planned remediation, document task completion, assess
third party relationships for compliance, monitor costs, and
develop contingency plans for the Corporation and each of its
subsidiaries.</p>

<p style="font-style: italic; text-align: justify">	<u>State of
Readiness</u></p>

<p style="text-align: justify">	Critical and non-critical
information and other technology systems at Genesee Brewing
Company, the Foods Division and the Corporation’s equipment
leasing and real estate investment businesses have been
identified. In November 1998, the Corporation implemented a major
hardware and software upgrade to bring the software and hardware
for its primary manufacturing, information and financial
consolidation system (the "MIS System") into year 2000
compliance. Each component of the MIS System is warranted by the
applicable vendor to be year 2000 compliant. Programming to
resolve minor issues relating to the operation of this new system
has been completed and all functional components of the system
are fully operational. Testing of the MIS system to simulate
operations in the year 2000 has been completed and the system did
not experience any significant year 2000 malfunctions.</p>

<p style="text-align: justify"> 	Critical third party
relationships for each of the Corporation’s businesses have
been identified. The Corporation’s partner in Cheyenne
Leasing Company has provided assurances that its internal systems
for administering the equipment leasing business are year 2000
ready. The Corporation has determined that there are no other
third parties whose failure to achieve year 2000 readiness would
materially impact its equipment leasing business. The Corporation
has determined that its real estate investments are not dependent
on any third parties whose failure to achieve year 2000 readiness
would materially impact those investments.</p>







<p style="text-align: justify">					</p>





<p style="text-align: center">GENESEE CORPORATION</p>

<div style="margin-left: 8em">
<p style="text-align: justify">Item 2.	 Management's Discussion
and Analysis of Financial Condition and Results of</p>

<p style="text-align: justify">	 Operations (continued)</p>
</div>

<p style="text-align: justify">	Genesee Brewing Company has
contacted all customers, mission critical vendors and other
material third parties to assess the extent of their year 2000
readiness. All 75 critical vendors of Genesee Brewing Company
have responded that they are, or will be, year 2000 ready. To
date, Genesee Brewing Company’s Monroe County Branch
distribution business and almost two hundred independent
distributors, representing in the aggregate approximately 93% of
barrel volume for Genesee Brewing Company, have reported that
they are year 2000 ready or that they will be year 2000
ready.</p>

<p style="text-align: justify">	Boston Beer Company, whose
contract brewing business represents 20% of Genesee Brewing
Company’s barrel volume, reported in its most recent Form
10-Q filed with the Securities Exchange Commission dated November
8, 1999 that it believes that all of its internal computer
systems are year 2000 compliant. Boston Beer Company also
reported that it has contacted vendors that it believes present a
possible critical risk to its business; that all 37 critical
vendors have reported that they are year 2000 compliant or are
addressing the year 2000 problem; that it will monitor progress
of critical vendors who are addressing the year 2000 problem; and
that it will develop contingency plans for all services and
supplies.</p>

<p style="text-align: justify">	The Corporation’s Foods
Division has contacted all of its customers, critical vendors,
and material third parties to assess the extent of their year
2000 readiness. All 54 critical vendors of the Foods Division
have responded that they are, or will be, year 2000 ready. To
date, customers representing 90% of Foods Division net sales have
responded that they are, or will be, year 2000 ready. No
customers have responded that they will not be year 2000
ready.</p>

<p style="font-style: italic; text-align: justify"><u>Year 2000
Costs</u></p>

<p style="text-align: justify">	The cost to achieve year 2000
readiness for the internal information and other technology
systems of the Corporation and its subsidiaries was $1.7
million.</p>

<p style="font-style: italic; text-align: justify">	</p>

<p style="text-align: justify">					GENESEE CORPORATION</p>



<p style="text-align: justify">Item 2.	 Management's Discussion
and Analysis of Financial Condition and Results of</p>

<div style="margin-left: 8em">
<p style="text-align: justify">	 Operations (continued)</p>


</div>

<i></i>
<p style="font-style: italic; text-align: justify"><u>Year 2000
Contingency Plans</u></p>

<p style="text-align: justify">	Genesee Brewing Company and the
Corporation’s Foods Division have developed contingency
plans to address the failure of any critical vendors or a
significant number of customers to achieve year 2000 readiness.
These contingency plans are designed to prevent or mitigate the
impact on the Corporation’s brewing and foods businesses
from the failure by such third parties to achieve year 2000
readiness.</p>

<p style="text-align: justify"> Due to the seasonality of the
brewing industry, the winter months of December and January are
two of Genesee Brewing Company’s lowest sales and
production volume months. Genesee Brewing Company’s
distributors are required to maintain inventory of packaged malt
beverage products sufficient to meet projected demand in their
markets for eighteen days and inventory of draft products
sufficient to meet projected demand for fifteen days. Because
malt beverage products have limited shelf life, Genesee Brewing
Company has decided that it will not require distributors to
increase inventory levels on hand at January 1, 2000. Instead,
Genesee Brewing Company is carefully monitoring distributor
inventory levels to ensure that required levels are maintained
for all brands and package types. In addition, Genesee Brewing
Company has increased its production during December 1999 to
build inventories of finished case goods, draft and bulk storage
beer. Genesee Brewing Company is also building its inventories of
brewing ingredients and packaging materials during December 1999
to have on hand on December 31, 1999 sufficient inventories to
support production scheduled for January 2000. For certain
ingredients and packaging materials that cannot be stored on site
in quantities sufficient to support January 2000 production
requirements, Genesee Brewing Company has received written
assurances from the suppliers of such materials that they will
have inventory available to Genesee Brewing Company on December
31, 1999 sufficient to meet Genesee Brewing Company’s
January 2000 production requirements.</p>

<p style="text-align: justify">	The Corporation’s Foods
Division has developed contingency plans to address the failure
of any critical vendors or a significant number of customers to
achieve year 2000 readiness. These contingency plans are designed
to prevent or mitigate the impact on the Foods Division’s
business from the failure by such third parties to achieve year
2000 readiness. These contingency plans include establishing
alternative sources of supply; stockpiling of certain critical
supplies; implementing stand-by manual order entry, delivery and
billing systems; and monitoring customer orders, maintaining
production schedules, finished goods, and other inventories to
minimize the possibility of product shortages from a failure to
achieve year 2000 readiness.</p>

<p style="font-style: italic; text-align: justify"><u>Year 2000
Risks</u></p>

<p style="text-align: justify">	The Corporation believes that it
has achieved year 2000 readiness with its internal systems, but
at this time is unable to assure year 2000 readiness of all third
parties. The failure to achieve year 2000 readiness by any third
party with which the Corporation or any of its subsidiaries has a
material business relationship could result in the disruption of
normal business activities. Risks inherent with the year 2000
problem could occur if there is an interruption of needed
supplies and services, including energy, telecommunications and
information exchange suppliers. In a worst case scenario, this
could interrupt or prevent the Corporation’s businesses
from producing and selling their products or receiving</p>

<p style="text-align: center">GENESEE CORPORATION</p>

<div style="margin-left: 8em">
<p style="text-align: justify">Item 2.	 Management's Discussion
and Analysis of Financial Condition and Results of</p>
</div>

<p style="text-align: justify">	 Operations (continued)</p>

<p style="text-align: justify">payment from customers. Based on
the state of the Corporation’s year 2000 readiness, the
contingency plans developed of the Corporation and its
subsidiaries and the assurance received from third parties with
which the Corporation has material relationships, the Corporation
does not believe that a failure to achieve year 2000 readiness is
likely to have a material adverse affect on the
Corporation’s results of operations, liquidity or financial
condition.		</p>

<div style="margin-left: 8em">
<p style="text-align: justify">	</p>
</div>

<p style="font-style: italic; text-align: justify"><u>
Forward-Looking Statements</u></p>

<p style="text-align: justify">	This report contains
forward-looking statements within the meaning of the federal
securities laws. These forward-looking statements may include
statements about the operations and prospects for the Corporation
and its subsidiary businesses, and statements about industry
trends and conditions that may affect the performance or
financial condition of the Corporation and its subsidiary
businesses. These forward-looking statements involve significant
risks and uncertainties that could cause actual results to differ
materially from those expressed in or implied by the statements.
The most important factors that could cause actual results to
differ from the expectations stated in these forward-looking
statements include, among others, the inability to implement
strategic alternatives which successfully address the declining
sales and operating losses reported by the Genesee Brewing
Company; the inability of Genesee Brewing Company and its
distributors to develop and execute effective marketing and sales
strategies for Genesee Brewing Company’s products; the
potential erosion of sales revenues and profit margins through
continued price stagnation, increased discounting or a higher
proportion of sales in lower margin Multipaks; the continuation
of declining sales for the specialty beer category; the
continuing shift in consumer preference away from Honey Brown
Lager; uncertainties due to the intensely competitive, stagnant
nature of the beer industry; demographic trends and social
attitudes that can reduce beer sales; the continued growth in the
popularity of import and nationally advertised beers; increases
in the cost of aluminum, paper packaging and other raw materials;
the Corporation’s inability to reduce manufacturing and
overhead costs of its brewing and foods businesses to more
competitive levels; changes in significant laws and government
regulations affecting sales, advertising and marketing of malt
beverage products; significant increases in federal, state or
local beer or other excise taxes; the potential impact of beer
industry consolidation at both the brewer and distributor levels;
a shift in consumer preferences away from store-brand, private
label food products; increased competition from branded food
product producers that might adversely affect sales of private
label products; continued price promotion by the major side dish
brand which is adversely impacting sales of the Foods
Division’s private label side dish products; continued
price competition from low cost imported iced tea producers and
the possibility that the Foods Division may not be able to source
sufficient supply of low price sugar to produce a price
competitive private label iced tea product; the possibility that
the Corporation’s Foods Division might experience delays,
difficulties or unanticipated expenses in integrating TKI Foods
and Spectrum Foods; the possibility that the Foods Division might
experience delays, difficulties or unanticipated expenses in the
relocation of its operations to Medina, New York; the possibility
that the Foods Division might not achieve the expected synergies
from the integration and relocation of all operations into a
single facility; the possibility that Cheyenne Leasing Company
may not achieve the residual value projected for equipment coming
off leases as Cheyenne’s lease portfolio matures; and the
risk that computer systems of the Corporation, its subsidiaries
and their significant suppliers or customers may not be year 2000
compliant.</p>







<p style="text-align: center">GENESEE CORPORATION</p>



<p>PART II. OTHER INFORMATION</p>

<p>	</p>

<p>Item 4. Submission of Matters to a Vote of Security
Holders</p>

<div style="margin-left: 8em">
<p style="text-align: justify"> The Corporation’s annual
meeting of Class A shareholders was held on October 21, 1999. At
the annual meeting, shareholders elected Stephen B. Ashley (by a
vote of 173,979 shares For and 7,226 shares withheld) and John L.
Wehle Jr. (by a vote of 173,782 shares For and 7,423 shares
withheld) to serve as directors until the annual meeting of
shareholders in 2001. The terms of office of William A.
Buckingham, Gary C. Geminn, Samuel T. Hubbard, Jr. and Charles S.
Wehle continued after the annual meeting of shareholders.</p>

<p>	</p>

<p style="text-align: justify">	 At the annual meeting, Class A
shareholders also approved (a) by a vote of 127,947 shares For
and no shares against, a proposal to amend the
Corporation’s By-Laws and (b) by a vote of 171,760 shares
For and 9,207 shares against, a proposal to amend the Genesee
Corporation 1992 Stock Plan, which proposal had previously been
adopted by the Corporation’s Board of Directors.</p>
</div>

<p style="text-align: justify">	</p>

<p>Item 6.	Exhibits and Reports on Form 8-K</p>

<div style="margin-left: 6em" type="a">
<ol type="a">
<li><u>Exhibits.</u> The following exhibits are attached to this
report:</li>
</ol>
</div>

<div style="margin-left: 10em">
<div style="margin-left: 2em">
<p>Exhibit 3-1 - Amended By-Laws</p>

<p>Exhibit 10-1 - Amended 1992 Stock Plan</p>
</div>

<p>	 	Exhibit 10-2 - Employment Agreement with certain executive
officers</p>

<div style="margin-left: 2em">
<p>(b)	<u>Reports on Form 8-K.</u> The Corporation filed a report
on Form 8-K on September 3, 1999 to report the election of a new
senior Vice President and Chief Financial Officer, an employment
reduction by its Genesee Brewing Company subsidiary and a
newspaper report that the Corporation was reviewing strategic
alternatives for its brewing business. The Corporation filed a
report on Form 8-K on October 6, 1999 to report that the
Corporation’s controlling shareholder, Chief Executive
Officer and Chairman of its Board of Directors had surgery and
would be undergoing post-operative cancer therapy. The
Corporation filed a report on Form 8-K on December 3, 1999 to
report that the Corporation is continuing to evaluate strategic
alternatives for its brewing business.</p>
</div>
</div>

<p style="text-align: center">GENESEE CORPORATION</p>

<p style="text-align: center">SIGNATURES</p>



<p>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.</p>



<p>	GENESEE CORPORATION</p>





<p>Date: <u> 12/10/99	</u>	<u> /s /Samuel T. Hubbard,
Jr.	</u></p>

<p>	Samuel T. Hubbard, Jr.</p>

<p>	President and Chief Operating Officer</p>





<p>Date: <u> 12/10/99	</u>	<u> /s / John B. Henderson	</u></p>

<p>	John B. Henderson</p>

<p>	Senior Vice President and Chief Financial Officer</p>

<p style="text-align: center">GENESEE CORPORATION</p>



<div style="margin-left: 8em">
<p style="text-align: center">EXHIBIT INDEX</p>


</div>

<table cellspacing="0" border="0" cellpadding="7" width="638">
<tr>
<td valign="TOP">
<p><u>Exhibit Number			 <u>Exhibit</u>				 <u>Page</u></u></p>
</td>
</tr>

<tr>
<td valign="TOP"></td>
</tr>

<tr>
<td valign="TOP">
<p>3-1 Amended By-Laws 27 – 36</p>
</td>
</tr>

<tr>
<td valign="TOP">
<p>		</p>
</td>
</tr>

<tr>
<td valign="TOP">
<p>10-1				 Amended 1992 Stock Plan			 37 – 42</p>
</td>
</tr>

<tr>
<td valign="TOP"></td>
</tr>

<tr>
<td valign="TOP">
<p> 10-2 Employment agreement with M.C. 43– 51</p>
</td>
</tr>

<tr>
<td valign="TOP">
<p> Atseff dated September 2, 1999.</p>
</td>
</tr>

<tr>
<td valign="TOP">
<p> Substantially identical agreements were 			</p>
</td>
</tr>

<tr>
<td valign="TOP">
<p> executed with J.B. Henderson,</p>
</td>
</tr>

<tr>
<td valign="TOP">
<p> G.C. Geminn, M.W. Leunig and	</p>
</td>
</tr>

<tr>
<td valign="TOP">
<p> W.A. Neilson			</p>
</td>
</tr>
</TABLE>

<p style="font-weight: bold; text-align: right"></p>

<p style="font-weight: bold; text-align: right">EXHIBIT 3-1</p>

<p style="font-weight: bold; text-align: center">BY-LAWS</p>

<p style="font-weight: bold; text-align: center">OF</p>

<p style="font-weight: bold; text-align: center">GENESEE
CORPORATION</p>

<p style="font-weight: bold"></p>

<div style="margin-left: 4em">
<p style="font-weight: bold">Approved March 12, 1968 and amended
October 20, 1969, March 10, 1971, March 10, 1975, September 4,
1975, October 21, 1976, August 31, 1977, March 6, 1986, October
23, 1986, June 4, 1987, September 11, 1987, September 13, 1997,
June 17, 1999, and October 21, 1999.</p>

<p style="font-weight: bold"></p>

<p style="font-weight: bold"></p>

<p style="font-weight: bold"></p>

<p style="font-weight: bold"></p>

<p style="font-weight: bold"></p>

<p style="font-weight: bold"></p>

<p style="font-weight: bold"></p>

<p style="font-weight: bold"></p>

<p style="font-weight: bold"></p>

<p style="font-weight: bold"></p>

<p style="font-weight: bold"></p>

<p style="font-weight: bold"></p>

<p style="font-weight: bold"></p>

<div style="margin-left: 20em">
<p style="font-weight: bold">Certified to be a true and correct
copy of the By-laws in effect as of October 21, 1999.</p>

<p style="font-weight: bold"></p>

<p style="font-weight: bold"></p>

<p style="font-weight: bold"></p>
</div>
</div>

<p style="font-weight: bold">	<u>	</u></p>

<p style="font-weight: bold">	Mark W. Leunig</p>

<p style="font-weight: bold">	Secretary</p>

<p style="font-weight: bold"></p>

<p style="font-weight: bold"></p>

<p style="font-weight: bold"></p>

<p style="font-weight: bold"></p>

<p style="font-weight: bold">Dated: October 21, 1999</p>

<p style="font-weight: bold; text-align: center">GENESEE
CORPORATION</p>

<p style="font-weight: bold; text-align: center">BY-LAWS</p>



<p style="text-align: center"><u>Article I</u></p>

<p style="text-align: center"><u>Shareholders</u></p>

<p>	<u>Section 1. Annual Meeting</u>: An annual meeting of
shareholders for the election of directors and the transaction of
other business shall be held on such day in the month of October
in each year and at such time on such day as shall be fixed by
the Board of Directors of the Corporation not later than 10 days
before the meeting.</p>

<p>	<u>Section 2. Special Meetings</u>: Special meetings of the
shareholders may be called by the Board of Directors, by the
Chairman of the Board of Directors, and by any person(s) entitled
to vote 25% or more of the outstanding shares of the
Corporation’s Class A Common Stock. Such meetings shall be
held at such time as may be fixed in the call and stated in the
notice of meeting.</p>

<p>	(Amended by approval of Shareholders, 10/21/99)</p>

<p>	<u>Section 3. Place of Meetings</u>: Meetings of shareholders
shall be held at such place, within or without the State of New
York, as may be fixed in the notice of meeting. Unless otherwise
provided by action of the Board of Directors, all meetings of
shareholders shall be held at the office of the Corporation in
Rochester, New York.</p>

<p>	<u>Section 4. Notice of Meetings</u>: Notice of each meeting
of shareholders shall be in writing and shall state the place,
date, and hour of the meeting and the purpose or purposes for
which the meeting is called.</p>

<p>	A copy of the notice of any meeting shall be given,
personally, or by mail, not less than ten or more than fifty days
before the date of the meeting, to each shareholder entitled to
vote at such meeting. If mailed, such notice is given when
deposited in the United States mail, with postage thereon
prepaid, directed to the shareholder at his address as it appears
on the record of shareholders, or, if he shall have filed with
the Secretary of the Corporation a written request that notices
to him be mailed to some other address, then directed to him at
such other address.</p>

<p>	<u>Section 5. Inspectors of Election</u>: The Board of
Directors, in advance of any shareholders' meeting, may appoint
one or more inspectors to act at the meeting or any adjournment
thereof. If inspectors are not so appointed, the person presiding
at a shareholders' meeting may, and on the request of any
shareholder entitled to vote thereat shall, appoint two
inspectors. Each inspector, before entering upon the discharge of
his duties, shall take and sign an oath faithfully to execute the
duties of inspector at such meeting with strict impartiality and
according to the best of his ability.</p>

<p>	The inspectors shall determine the number of shares
outstanding and the voting power of each, the shares represented
at the meeting, the existence of a quorum, and the validity and
effect of proxies, and shall receive votes, ballots or consents,
hear and determine all challenges and questions arising in
connection with the right to vote, count and tabulate all votes,
ballots or consents, determine the result, and do such acts as
are proper to conduct the election or vote with fairness to all
shareholders. On request of the person presiding at the meeting
or any shareholder entitled to vote thereat, the inspectors shall
make a report in writing of any challenge, question or matter
determined by them and execute a certificate of any fact found by
them. Any report or certificate made by them shall be <u>prima
facie</u> evidence of the facts stated and of the vote as
certified by them.</p>

<p>	<u>Section 6. List of Shareholders at Meetings</u>: A list of
shareholders as of the record date, certified by the Secretary or
any Assistant Secretary or by the transfer agent, if any, shall
be produced at any meeting of shareholders upon the request
therat or prior thereto of any shareholder. If the right to vote
at any meeting is challenged, the inspectors of election, or
person presiding thereat, shall require such list of shareholders
to be produced as evidence of the right of the persons challenged
to vote at such meeting, and all persons who appear from such
list to be shareholders entitled to vote thereat may vote at such
meeting.</p>

<p>	<u>Section 7. Qualification of Voters</u>: Every shareholder
of record of Common Stock of the Corporation shall be entitled at
every meeting of shareholders to one vote for every share of
Class A Common Stock standing in his name on the record of
shareholders.</p>

<p>	<u>Section 8. Quorum of Shareholders</u>: The holders of a
majority of the shares entitled to vote thereat shall constitute
a quorum at a meeting of shareholders for the transaction of any
business.</p>

<p>	The shareholders present, in person or by proxy, and entitled
to vote may, by a majority of votes cast, adjourn the meeting
despite the absence of a quorum.</p>

<p>	<u>Section 9. Vote of Shareholders</u>: Directors shall,
except as otherwise required by law, be elected by a plurality of
the votes cast at a meeting of shareholders by the holders of
shares entitled to vote in the election.</p>

<p>	Whenever any corporate action, other than the election of
directors, is to be taken by vote of the shareholders, it shall,
except as otherwise required by law, be authorized by a majority
of the votes cast at a meeting of shareholders by the holders of
shares entitled to vote thereon.</p>

<p>	<u>Section 10. Proxies</u>: Every shareholder entitled to
vote at a meeting of shareholders or to express consent or
dissent without a meeting may authorize another person or persons
to act for him by proxy.</p>

<p>	<u>Section 11. Fixing Record Date</u>: For the purpose of
determining the shareholders entitled to notice of or to vote at
any meeting of shareholders or any adjournment thereof, or to
express consent to or dissent from any proposal without a
meeting, or for the purpose of determining shareholders entitled
to receive payment of any dividend or the allotment of any
rights, or for the purpose of any other action, the Board of
Directors may fix, in advance, a date as the record date for any
such determination of shareholders. Such date shall not be more
than fifty nor less than ten days before the date of such
meeting, nor more than fifty days prior to any other action.</p>

<p style="text-align: center"><u>Article II</u></p>

<p style="text-align: center"><u>Board of Directors</u></p>

<p>	<u>Section 1. Power of Board and Qualification of
Directors</u>: The business of the Corporation shall be managed
by the Board of Directors, each of whom shall be at least
twenty-one years of age. Except as to any person who has at any
time served as the chief executive officer or the chief operating
officer of the Corporation, neither a director who has reached
the age of 70 nor a director who is an employee of the
Corporation and whose employment terminates for any reason, shall
be eligible for re-election to the Board of Directors.</p>

<p style="text-align: center">(Amended by Board of Directors,
3/6/86)</p>

<p>	<u>Section 2. Number of Directors</u>: The number of
directors constituting the entire Board of Directors shall be
such number as may be fixed from time to time by vote of a
majority of the entire Board of Directors, and until otherwise
fixed by the Board shall be twelve. No decrease in the number of
directors shall shorten the term of any incumbent director.</p>

<p style="text-align: center">(Amended by approval of
Shareholders, 10/21/76)</p>

<p>	<u>Section 3. Election and Term of Directors</u>: The Board
of Directors shall be classified, with respect to the time for
which each class shall hold office, into three classes, as nearly
equal in number as possible as determined by the Board of
Directors. The first class of directors shall be initially
elected to hold office until the annual meeting of shareholders
held in the first year following the year of their election, the
second class shall be initially elected to hold office until the
annual meeting of shareholders held in the second year following
the year of their election, and the third class shall be elected
to hold office until the annual meeting of shareholders held in
the third year following the year of their election, with the
members of each class to hold office until their successors are
elected and qualified. Thereafter, the successors of the class of
directors whose term expires at each annual meeting of
shareholders shall be elected to hold office until the annual
meeting of shareholders held in the third year following the year
of their election and until their successors are elected and
qualified.</p>

<p style="text-align: center">(Amended by approval of Board of
Directors, 9/11/87)</p>

<p>	<u>Section 4. Quorum of the Board; Action by the Board</u>: A
one-third of the entire Board of Directors shall constitute a
quorum for the transaction of business, and the vote of the
majority of the directors present at the time of such vote, if a
quorum is then present, shall be the act of the Board.</p>

<p>	<u>Section 5. Meeting of the Board</u>: An annual meeting of
the Board of Directors shall be held in each year directly after
the adjournment of the annual shareholders' meeting. Regular
meetings of the Board shall be held at such times as may from
time to time be fixed by resolution of the Board. Special
meetings of the Board may be held at any time upon the call of
the President or any two directors.</p>

<p>	Meetings of the Board of Directors shall be held at such
place, within or without the State of New York, as from time to
time may be fixed by resolution of the Board for annual and
regular meetings and in the notice of meeting for special
meetings. If no place is so fixed, meetings of the Board shall be
held at the office of the Corporation in Rochester, New York.</p>

<p>	No notice need be given of annual or regular meetings of the
Board of Directors. Notice of each special meeting of the Board
shall be given by oral, telegraphic, or written notice, duly
given or sent or mailed to each director not less than one day
before such meeting.</p>

<p>	<u>Section 6. Newly Created Directorships and Vacancies</u>:
Newly created directorships resulting from an increase in the
number of directors and vacancies occurring in the Board of
Directors for any reason except the removal of directors by
shareholders without cause may be filled by vote of a majority of
the directors then in office, although less than a quorum exists.
A director elected to fill a vacancy shall be elected to hold
office for the unexpired term of his predecessor.</p>

<p>	<u>Section 7. Executive and Other Committees of
Directors</u>: The Board of Directors, by resolution adopted by a
majority of the entire Board, may designate from among its
members an Executive Committee consisting of three or more
directors and may designate from among its members other
committees each consisting of two or more directors, and each of
which, to the extent provided in the resolution, shall have all
the authority of the Board, except that no such committee shall
have authority as to matters vested solely in the Board by
law.</p>

<p>	(Amended by approval of Board of Directors, 10/21/99)</p>

<p>	<u>Section 8. Compensation of Directors:</u> The Board of
Directors shall have authority to fix the compensation of
directors for services in any capacity.</p>

<p>	<u>Section 9. Indemnification of Directors and
Officers</u>:</p>

<p>	(a) 	<u>Right to Indemnification</u>. Except as prohibited by
law or as provided in Paragraph (b) below, the Corporation shall
indemnify any person against all reasonable expenses, including
attorneys fees, and all judgments, excise taxes, fines,
penalties, amounts paid in settlement and any other liability
paid or incurred by such person in connection with any actual or
threatened claim, action, suit or proceeding, whether civil,
criminal, administrative, investigative, or other, or whether
brought by or in the right of the Corporation or otherwise, in
which such person may be involved as a party or otherwise, by
reason of the fact that such person or such person's testator or
intestate is or was a director or officer of the Corporation, or
serves or served in any capacity at the request of the
Corporation any other corporation, partnership, joint venture,
trust, employee benefit plan or other enterprise. To the maximum
extent permitted by law, the Corporation shall make advances of
expenses incurred by such person in connection with any such
actual or threatened claim, action, suit or proceeding prior to
final disposition thereof, provided that the Corporation receives
an undertaking by or on behalf of such person to repay such
advances to the extent such person is ultimately found not to be
entitled to indemnification.</p>

<p>	(b)	<u>Exclusions</u>. No indemnification shall be made to or
on behalf of any person if a judgment or other final adjudication
adverse to such person establishes that either (i) such person's
acts were committed in bad faith, or were the result of active
and deliberate dishonesty, and were material to the action, or
(ii) such person gained in fact a financial benefit or other
economic advantage to which such person was not legally
entitled.</p>

<p>	(c) 	<u>Indemnification Not Exclusive</u>. The right of
indemnification under this Section 9 shall not be deemed
exclusive of any other rights to which persons seeking
indemnification hereunder may be entitled under applicable law,
by agreement or otherwise, and the provisions hereof shall inure
to the benefit of the heirs, beneficiaries and legal
representatives of persons entitled to indemnification hereunder
and shall be applicable to actions arising from acts or omissions
occurring before or after the adoption hereof. Persons who are
not directors or officers of the Corporation may be similarly
indemnified and entitled to advancement or reimbursement of
expenses to the extent authorized at any time by the Board of
Directors. The Corporation is authorized to enter into agreements
with any of its directors or officers extending rights to
indemnification and advancement of expenses to such person to the
fullest extent permitted by applicable law, but the failure to
enter into any such agreement shall not affect or limit the
rights of such person pursuant to this By-Law.</p>

<p>	(d) 	<u>Contract Rights</u>. The right of indemnification
under this Section 9 shall be deemed to constitute a contract
between the Corporation and the persons entitled to
indemnification and may not, without the consent of such person,
be amended or repealed with respect to any event, act or emission
occurring or allegedly occurring prior to the end of the term of
office such person is serving when such amendment or repeal is
adopted.</p>

<p style="text-align: center">(Amended by approval of Board of
Directors, 6/4/87)</p>

<p>	<u>Section 10. Action Without a Meeting</u>: Any action
required or permitted to be taken by the Board of Directors or
any committee thereof may be taken without a meeting if all
members of the Board or the committee consent in writing to the
adoption of a resolution authorizing the action. The resolution
and the written consents thereto shall be filed with the minutes
of the proceedings of the Board or committee.</p>

<p style="text-align: center">(Amended by approval of Board of
Directors, 3/10/75)</p>

<p>	<u>Section 11. Participation in Board Meeting by Conference
Telephone</u>: Any one or more members of the Board of Directors
or any committee thereof may participate in a meeting of such
Board or committee by means of a conference telephone or similar
communications equipment allowing all persons participating in
the meeting to hear each other at the same time. Participation by
such means shall constitute presence in person at a meeting.</p>

<div style="margin-left: 8em">
<p>(Amended by approval of Board of Directors, 9/4/75)</p>
</div>

<p>	<u>Section 12. Director Emeritus</u>: The Board of Directors
may from time to time designate one or more persons to serve as a
Director Emeritus of the Corporation, or to hold such other
honorary title as the Board may determine. Each such designee
shall serve at the pleasure of the Board and the rights,
privileges, compensation and other terms of service of each such
designee shall be fixed by resolution of the Board, provided that
no such designee shall be entitled to vote on any action taken by
the Board or be counted for purposes of determining the presence
of a quorum of the Board. References in these By-Laws to
directors or to the Board of Directors shall not be deemed to
include or refer to any such designee.</p>

<p style="text-align: center">(Added by approval of Board of
Directors, 9/13/97)</p>

<p style="text-align: center"><u>Article III</u></p>

<p style="text-align: center"><u>Officers</u></p>



<p>	<u>Section 1. Officers</u>: The Board of Directors, as soon
as may be practicable after the annual election of directors,
shall elect a Chairman of the Board of Directors, a President,
one or more Vice Presidents (one of whom may be designated
Executive Vice President), a Secretary and a Treasurer, and from
time to time may elect or appoint such other officers as it may
determine. Any two or more offices may be held by the same
person, except the offices of President and Secretary.</p>

<p style="text-align: center">(Amended 10/20/69)</p>

<p>	<u>Section 2. Term of Office and Removal</u>: Each officer
shall hold office for the term for which he is elected or
appointed, and until his successor has been elected or appointed
and qualified.</p>

<p>	<u>Section 3. Powers and Duties</u>: The officers of the
Corporation shall each have such powers and authority and perform
such duties in the management of the property and affairs of the
Corporation, as from time to time may be prescribed by the Board
of Directors and, to the extent not so prescribed, they shall
each have such powers and authority and perform such duties in
the management of the property and affairs of the Corporation,
subject to the control of the Board, as generally pertain to
their respective offices.</p>

<p>	Without limitation of the foregoing:</p>

<p>		(a) 	<u>Chairman of the Board of Directors</u>: The Chairman
shall be the Chief Executive Officer of the Corporation, shall
preside at all meetings of the Corporation's stockholders and at
all meetings of the Board of Directors and shall be a Director of
the</p>

<p>Corporation.</p>

<p style="text-align: center">(Amended 6/17/99)</p>

<p>		(b) 	<u>President</u>: The President shall be the Chief
Operating Officer of the Corporation. In the absence of the
Chairman of the Board, the President shall preside at meetings of
shareholders and of the Board of Directors.</p>

<p style="text-align: center">(Amended 6/17/99)</p>

<p>		(c) 	<u>Executive Vice President</u>: The Executive Vice
President, if any, shall possess such powers and perform such
duties as may be designated by the Board of Directors.</p>

<p style="text-align: center">(Amended 6/17/99)</p>

<p>		(d) 	<u>Vice Presidents</u>: The Board of Directors shall
determine the powers and duties of the respective Vice Presidents
and may, in its discretion, fix such order of seniority among the
respective Vice Presidents as it may deem advisable.</p>

<p>		(e) 	<u>Secretary</u>: The Secretary shall issue notices of
all meetings of shareholders and directors where notices of such
meetings are required by law or these By-Laws, and shall keep the
minutes of such meetings. He shall sign such instruments and
attest such documents as require his signature or attestation and
affix the corporate seal thereto where appropriate.</p>

<p>		(f) 	<u>Treasurer</u>: The Treasurer shall have general
charge of, and be responsible for, the fiscal affairs of the
Corporation and shall sign all instruments and documents as
require his signature.</p>

<p style="text-align: center">(Amended 10/23/86)</p>

<p>	<u>Section 4. Records</u>: The Corporation shall keep (a)
correct and complete books and records of account; (b) minutes of
the proceedings of the shareholders, Board of Directors, and any
committees of the Board; and (c) a current list of the directors
and officers and their residence addresses.</p>

<p>	The Corporation shall also keep at its office in the State of
New York or at the office of its transfer agent or registrar in
the State of New York, if any, a record containing the names and
addresses of all shareholders, the number and class of shares
held by each and the dates when they respectively became the
owners of record thereof.</p>

<p>	<u>Section 5. Checks and Similar Instruments</u>: All checks
and drafts on the Corporation's bank accounts and all bills of
exchange and promissory notes and all acceptances, obligations,
and other instruments, for the payment of money, shall be signed
by facsimile or otherwise on behalf of the Corporation by such
officer or officers or agent or agents as shall be thereunto
authorized from time to time by the Board of Directors.</p>

<p>	<u>Section 6. Voting Shares Held by the Corporation</u>:
Either the President or the Secretary may vote shares of stock
held by the Corporation in other corporations and may execute for
and on behalf of the Corporation proxies for such purpose.</p>

<p style="text-align: center"><u>Article IV</u></p>

<p style="text-align: center"><u>Share Certificates and Loss
Thereof - Transfer of Shares</u></p>

<p>	<u>Section 1. Form of Share Certificates</u>: The shares of
the Corporation shall be represented by certificates, in such
forms as the Board of Directors may from time to time prescribe,
signed by the chairman of the Board if such there be, or the
President or a Vice President and the Secretary or an Assistant
secretary or the Treasurer or an Assistant Treasurer, and may be
sealed with the seal of the corporation or a facsimile thereof.
The signatures of the officers upon a certificate may be
facsimiles if the certificate is counter-signed by a transfer
agent or registered by a registrar other than the Corporation or
its employee. In case any officer who has signed or whose
facsimile signature has been placed upon a certificate shall have
ceased to be such officer before such certificate is issued, it
may be issued by the Corporation with the same effect as if he
were such officer at the date of issue.</p>

<p>	<u>Section 2. Lost, Stolen, or Destroyed Share
Certificates</u>: No certificate or certificates for shares of
the Corporation shall be issued in place of any certificate
alleged to have been lost, stolen, or destroyed, except upon
production of such evidence of the loss, theft, or destruction,
and upon such indemnification and payment of costs of the
Corporation and its agents to such extent and in such manner as
the Board of Directors may from time to time prescribe.</p>

<p>	<u>Section 3. Transfer of Shares</u>: Shares of the
Corporation shall be transferable on the books of the Corporation
by the registered holder thereof in person or by his duly
authorized attorney, by delivery for cancellation of a
certificate or certificates for the same number of shares, with
proper endorsement consisting of either a written assignment of
the certificate or a power of attorney to sell, assign, or
transfer the same or the shares represented thereby, signed by
the person appearing by the certificate to be the owner of the
shares represented thereby, either written thereon or attached
thereto, with such proof of the authenticity of the signature as
the Corporation or its agents may reasonably require. Such
endorsement may be either in blank or to a specified person, and
shall have affixed thereto all stock transfer stamps required by
law.</p>

<p style="text-align: center"><u>Article V</u></p>

<p style="text-align: center"><u>Other Matters</u></p>

<p>	<u>Section 1. Corporate Seal</u>: The corporate seal shall
have inscribed thereon the name of the Corporation and such other
appropriate legend as the Board of Directors may from time to
time determine. In lieu of the corporate seal, when so authorized
by the Board, a facsimile thereof may be affixed or impressed or
reproduced in any other manner.</p>

<p>	<u>Section 2. Amendments</u>: By-Laws of the Corporation may
be amended, repealed or adopted by vote of the holders of the
shares at the time entitled to vote in the election of any
directors. By-Laws may also be amended, repealed, or adopted by
the Board of Directors, but any By-Law adopted by the Board may
be amended or repealed by the shareholders entitled to vote
thereon as hereinabove provided.</p>

<p>	If any By-Law regulating an impending election of directors
is adopted, amended, or repealed by the Board of Directors, there
shall be set forth in the notice of the next meeting of
shareholders for the election of directors the By-Law so adopted,
amended, or repealed, together with a concise statement of the
changes made.</p>











<p style="font-weight: bold; text-align: right"></p>

<p style="font-weight: bold; text-align: right">EXHIBIT 10-1</p>



<p>	Approved by Board of Directors September 13, 1999</p>

<p>	Approved by Shareholders October 21, 1999</p>



<p style="text-align: center">GENESEE CORPORATION</p>

<p style="text-align: center">1992 STOCK PLAN</p>

<p style="text-align: center">As Amended in October 1999</p>





<p>1.	PURPOSE</p>

<p style="text-align: justify">The purpose of the Plan is to
enable eligible key employees of the Corporation and its
subsidiaries to purchase shares of Common Stock of the
Corporation by means of stock options, including incentive stock
options under Section 422 of the Internal Revenue Code of 1986,
and to provide for the award of stock bonuses as additional
compensation to eligible key employees of the Corporation and its
subsidiaries. An additional purpose of the plan is to increase
the stake in the Corporation of members of the Board of Directors
of the Corporation who are not otherwise officers or employees of
the Corporation or its subsidiaries by the award of stock
options. Through the use of such options and awards, the
Corporation expects to be able to attract and retain the best
available talent and to encourage the highest level of
performance from key personnel to the Corporation and its
subsidiaries.</p>

<p>2.	ADMINISTRATION</p>

<p style="text-align: justify">The Plan shall be administered by
the Management Continuity Committee (the "Committee") consisting
of not less than three directors appointed by the Board of
Directors of the Corporation. The Board shall fill any
vacancy.</p>

<p style="text-align: justify">Subject to the provisions of the
Plan, the Committee shall possess the authority, in its
discretion (a) to determine the employees of the Corporation or
its subsidiaries to whom, and the time or times at which, options
and awards shall be granted, and the number and class of shares
to be subject to each option or award, and to provide a
limitation on the number of shares included within the option or
award that may be purchased by the optionee or granted to an
awardee during any annual (or other stated) period; (b) to
interpret the Plan; (c) to make and amend rules and regulations
relating thereto; (d) to prescribe the form and conditions of
option and award agreements; and (e) to make all other
determinations necessary or advisable for the administration of
the Plan. The Committee’s determinations shall be
conclusive and binding. The Committee shall have no discretion as
to Outside Director’s Options as set forth in Section 5A
hereof.</p>

<p style="text-align: justify">All grants and awards under the
Plan are intended to comply with Rule 16b-3 and any grant or
award, insofar as it does not so comply, shall be deemed
ineffective and shall be construed as to so comply, except as
otherwise determined by the Committee.</p>

<div style="margin-left: 4em">
<p>3.	ELIGIBLE EMPLOYEES</p>
</div>

<p style="text-align: justify">	 Options or awards may be granted
under the Plan only to key employees of the Corporation or one of
its subsidiaries, as determined by the Committee. Neither the
members of the Committee, nor any director who is not an officer
or employee of the Corporation or one of its subsidiaries, shall
be eligible to receive an option or award under the Plan, except
pursuant to Section 5A.</p>

<div style="margin-left: 4em">
<p>4.	SHARES AVAILABLE</p>
</div>

<p style="text-align: justify">An aggregate of 300,000 shares of
the Class A Common Stock (par value fifty cents) or the Class B
Common Stock (par value fifty cents) shall be available for
grants of options or awards of stock bonuses under the Plan. Such
shares may be authorized and unissued shares or may be treasury
shares. If an option or stock bonus expires, terminates, is
canceled without being exercised or is forfeited or becomes not
payable, new options or stock bonuses may be thereafter granted
or awarded covering such shares. No person shall receive grants
of options totaling more than 100,000 shares in the aggregate
under the Plan.</p>

<div style="margin-left: 4em">
<p>5.	TERMS AND CONDITIONS OF OPTIONS</p>
</div>

<p style="text-align: justify">Each option granted under the Plan
shall be evidenced by a stock option agreement in such form as
the Committee shall approve from time to time, which agreements
shall conform with this Plan. Incentive stock option agreements
shall reflect the terms and conditions set forth in Sections 5(a)
through 5(j) hereof.</p>

<p style="text-align: justify">(a)	<u>Purchase Price</u>. The
purchase price under each option shall be not less than the fair
market value of the stock at the time such option is granted. The
Committee shall determine the purchase price. If an option is
granted to an employee who at the time of grant owns stock
possessing more than ten percent of the total combined voting
power of all classes of stock of the Corporation (a "10-percent
Shareholder"), the purchase price shall be at least 110% of the
fair market value of the stock subject to the option.</p>

<p style="text-align: justify">(b)	<u>Duration of Option</u>.
Each option by its terms shall not be exercisable after the
expiration of ten years from the date such option is granted. In
the case of an option granted to a 10-percent Shareholder, the
option by its terms shall not be exercisable after the expiration
of five years from the date such option is granted.</p>

<p style="text-align: justify">(c)	<u>Options
Nontransferable</u>. Unless otherwise determined by the
Committee, each option by its terms shall not be transferable by
the optionee otherwise than by will or the laws of descent and
distribution, and shall be exercisable, during his lifetime, only
by the optionee.</p>

<p style="text-align: justify">(d)	<u>Exercise Period</u>. The
exercise of each option shall be subject to such conditions as
may be imposed by the Committee and specified in the option
agreement. The Committee may, among other things, specify a
minimum length of employment and may stagger the period of
exercise by providing that only a certain percentage of options
may be exercised each year.</p>

<p style="text-align: justify">(e)	<u>Payment of Option
Price</u>. An option shall be exercised upon written notice to
the Corporation accompanied by payment in full for the shares
being acquired. The payment shall be made in cash or by check; by
delivery of whole shares of Common Stock of the Corporation
registered in the name of the optionee, having an aggregate fair
market value on the date of exercise equal to the aggregate
exercise price of the option being exercised; (for options
granted after the adoption of the 1994 amendments) by delivery of
instructions to the Corporation to withhold from the shares of
Common Stock which would otherwise be issued on the exercise that
number of whole shares having a fair market value equal to the
exercise price; or by a combination of the foregoing.</p>

<p style="text-align: justify">(f)	<u>Maximum Value of
Shares</u>. All options granted to an employee under this Plan
and any other incentive stock option plan maintained by the
Corporation or its subsidiaries shall restrict to $100,000 in
each calendar year the aggregate fair market value (determined on
the date of grant) of the Common Stock with respect to which the
incentive stock options are exercisable for the first time by an
employee.</p>

<p style="text-align: justify">(g)	<u>Rights as a
Shareholder</u>. The optionee shall have no rights as a
shareholder with respect to any option shares until the date of
issuance to the optionee of a stock certificate for such shares
and no adjustment shall be made for any dividends or other rights
the record date for which is prior to the date such stock
certificate is issued.</p>

<p style="text-align: justify">(h)	<u>General Restriction</u>.
Each option shall be subject to the requirement that, if at any
time the Board of Directors shall determine, in its discretion,
that the listing, registration or qualification of the shares
subject to such option upon any securities exchange or under any
state or federal law, or the consent or approval of any
governmental regulatory body, is necessary or desirable as a
condition of, or in connection with, the granting of such option
or the issue or purchase of shares thereunder, such option may
not be exercised in whole or in part unless such listing,
registration, qualification, consent or approval shall have been
effected or obtained free of any conditions not acceptable to the
Board of Directors.</p>

<p style="text-align: justify">(i)	<u>Limit on Grants</u>. Each
option must be granted within ten years from the date of the
Plan’s adoption or the date the Plan is approved by
shareholders, whichever is earlier.</p>

<p style="text-align: justify">(j)	<u>Termination of
Employment</u>. If the employment of an optionee terminates for
any reason other than death or disability, the option may be
exercised by him at any time prior to the earlier of the
expiration date of the option or the expiration of three months
after the date of termination, but only if, and to the extent
that, he was entitled to exercise the option at the date of such
termination. Notwithstanding the foregoing, an option may not be
exercised after termination of employment if the Committee
determines that the termination of employment of such optionee
resulted from willful acts, or failure to act, by the optionee
detrimental to the Corporation or any of its subsidiaries. The
Committee shall determine whether an authorized leave of absence
shall constitute a termination of employment for purposes of this
Plan. If an optionee’s employment terminates by reason of
disability (within the meaning of Section 22(e)(3) of the
Internal Revenue Code of 1986) or death, his option may be
exercised at any time prior to the earlier of the expiration of
the option or the expiration of one year following the date
employment terminated due to disability or death. If after
termination of employment but before the expiration of the
earlier of the option period or the three months period, the
optionee dies, the option shall continue to be exercisable only
for the remainder of either such period (whichever is shorter)
and the one year period shall not be applicable.</p>

<p style="text-align: justify">Options other than incentive stock
options may be granted under the Plan at exercise prices as the
Committee shall determine. Such non-incentive stock options shall
be evidenced by stock option agreements which shall contain such
provisions as the Committee shall deem appropriate and which
shall identify the options as not being incentive stock options.
To the extent that an incentive stock option does not meet the
requirements applicable thereto, it shall be deemed a
non-incentive stock option and shall otherwise remain in full
force and effect.</p>

<p>5A.	OUTSIDE DIRECTOR’S OPTIONS</p>

<p style="text-align: justify">(a)	<u>Outside Director’s
Options</u>. Subject to the limitation in Section 5A(j), an
option to purchase 1,000 shares of Class B Common Stock ("Outside
Director’s Options") (as may be adjusted pursuant to
Section 7) shall be granted automatically to each member of the
Board of Directors of the Corporation who is not otherwise an
officer or employee of the Corporation or its subsidiaries
("Outside Director"). The first Outside Director’s Options
shall be granted to each Outside Director immediately following
the meeting of the Board at which this Section 5A is added to the
Plan subject to the approval of shareholders at the next
following annual meeting of the Corporation’s shareholders.
The grant of Outside Director’s Options shall continue each
year immediately following the annual meeting of the
Corporation’s shareholders until and including the annual
meeting of the Corporation’s shareholders in the year 2002.
Any Outside Director who is elected to the Board after the above
grants commence shall also automatically receive an option to
purchase 1,000 shares of Class B Common Stock each year for the
number of years remaining until and including the annual meeting
of the Corporation’s shareholders in the year 2002,
beginning with the annual meeting of the Corporation’s
shareholders at which the director is elected or the meeting of
the Corporation’s shareholders next following the election
if the election is by the Board.</p>

<p style="text-align: justify">(b)	<u>General</u>. Each Outside
Director’s Option granted under the Plan shall be evidenced
by an agreement (an "Agreement") duly executed on behalf of the
Corporation and by the director to whom such Outside
Director’s Option is granted and dated as of the applicable
date of grant. Each Agreement shall be signed on behalf of the
Corporation by an officer or officers delegated such authority by
the Committee using manual signature. Each Agreement shall comply
with and be subject to the terms and conditions of the Plan. Any
Agreement may contain such other terms, provisions and conditions
not inconsistent with the Plan or this Section 5A as may be
determined by the Committee, so long as the "disinterestedness"
requirement of Section 2 is not compromised. All Outside
Director’s Options granted under the Plan shall be
non-qualified stock options.</p>

<p style="text-align: justify">(c)	<u>Outside Director’s
Option Exercise Price</u>. The exercise price per share for an
Outside Director’s Option shall be the fair market value
determined as of the date of grant by taking the mean between the
highest and lowest quoted selling prices on that date. If there
were no sales on the date of grant, fair market value shall be
determined by taking the weighted average of the means between
the highest and lowest sales on the nearest date before and the
nearest date after the valuation date, in accordance with the
Estate Tax Regulations, 26 CFR § 20.2031-2.</p>

<p style="text-align: justify">(d)	<u>Exercise</u>. Outside
Director’s Options shall be exercisable immediately upon
grant and are exercisable in whole or in part, at any time from
time to time, until the expiration or termination of their term
in accordance with Section 5A(f) by giving written notice of
exercise, signed by the person exercising the Outside
Director’s Option, to the Secretary of the Corporation at
the principal office of the Corporation specifying the number of
shares of Common Stock as to which the Outside Director’s
Option is then being exercised together with payment of the full
exercise price for the number of shares of Common Stock to be
purchased. The date both such notice and payment are received by
the office of the Corporate Secretary of the Corporation shall be
the date of exercise of the Outside Director’s Option as to
such number of shares. Notwithstanding any provision to the
contrary, no Outside Director’s Option may at any time be
exercised with respect to a fractional share.</p>

<p>(e)	<u>Payment of Exercise Price</u>. The exercise price may
be paid:</p>

<div style="margin-left: 22em">
<p style="text-align: justify">			(i)	in cash, or by check, bank
draft or money order payable in United States dollars to the
order of the Corporation; or</p>

<p style="text-align: justify">			(ii)	by delivery by the Outside
Director to the Corporation of whole shares of Common Stock
registered in the name of the Outside Director having an
aggregate fair market value on the date of exercise equal to the
aggregate exercise price of the Common Stock as to which the
Stock Option is then being exercised; or</p>

<p style="text-align: justify">			(iii)	by delivery of
instructions to the Corporation to withhold from the shares of
Common Stock which would otherwise be issued on the exercise that
number of whole shares having a fair market value equal to the
exercise price; or</p>

<p>			(iv)	by any combination of (i), (ii) or (iii) above.</p>
</div>

<p style="text-align: justify">(f)	<u>Term of Outside
Director’s Options</u>. Each Outside Director’s
Option shall expire five (5) years from its date of grant, but
shall be subject to earlier termination as follows:</p>

<div style="margin-left: 22em">
<p style="text-align: justify">			(i)	In the event of the
termination of an Outside Director’s Option holder’s
service as a Director, by reason of the removal of the Director
(by the shareholders, the Board of Directors or otherwise), the
then-outstanding Outside Director’s Options of such holder
(whether or not then exercisable) shall automatically expire on
(and may not be exercised on) the effective date of such
termination.</p>

<p style="text-align: justify">			(ii)	In the event of the
termination of an Outside Director’s Option holder’s
service as a Director by reason of retirement or total and
permanent disability, the then-outstanding Outside
Director’s Options of such holder shall become exercisable,
to the full extent of the number of shares of Common Stock
remaining covered by such Outside Director’s Options, and
each such Outside Director’s Option shall expire one year
after the date of such termination or on the stated expiration
date, whichever is earlier. For purposes of this Section, the
phrase "by reason of retirement" means (a) mandatory retirement
pursuant to Board policy or (b) termination of service by
deciding not to stand for re-election.</p>

<p style="text-align: justify">			(iii)	In the event of the death
of an Outside Director’s Option holder while such holder is
a Director, the then-outstanding Outside Director’s Options
of such holder shall become exercisable, to the full extent of
the number of shares of Common Stock remaining covered by such
Outside Director’s Options, and each such Outside
Director’s Option shall expire one year after the date of
death of such optionee or on the stated grant expiration date,
whichever is earlier. Exercise of a deceased holder’s
Outside Director’s Options that are still exercisable shall
be by the estate of such holder or by the person or persons to
whom the holder’s rights have passed by will or the laws of
descent and distribution.</p>

<p style="text-align: justify">			(iv)	In the event of the
termination of an Outside Director’s Option holder’s
service as a Director for any reason other than as described in
Sections 5A(f)(i)-(iii), including without limitation,
resignation, the then outstanding Outside Director’s
Options of such holder shall become exercisable, to the full
extent of the number of shares of Common Stock remaining covered
by such Outside Director’s Options, and each such Outside
Director’s Option shall expire three (3) months after the
effective date of such termination or on the stated grant
expiration date, whichever is earlier.</p>
</div>

<p style="text-align: justify">(g)	<u>Limitation of Rights</u>.
Neither the recipient of an Outside Director’s Option under
the Plan nor the recipient’s successor or successors in
interest shall have any rights as a shareholder of the
Corporation with respect to any shares of Common Stock subject to
an Outside Director’s Option granted to such person until
the date of issuance of a stock certificate for such shares of
Common Stock.</p>

<p style="text-align: justify">(h)	<u>Limitation as to
Directorship</u>. Neither the Plan, nor the granting of an
Outside Director’s Option, nor any other action taken
pursuant to the Plan shall constitute or be evidence of any
agreement or understanding, express or implied, that an Outside
Director has a right to continue as a Director for any period of
time or at any particular rate of compensation.</p>

<p style="text-align: justify">(i)	<u>Limitation on Awards to
Outside Directors</u>. Notwithstanding any provision to the
contrary, an Outside Director shall not be entitled to receive or
participate in any grant or award under the Plan other than
Outside Director’s Options which are granted to such
Outside Director pursuant to Section 5A(a) and meet all of the
requirements of Section 5A applicable thereto.</p>

<p style="text-align: justify">(j)	<u>Curtailment of Outside
Director’s Options</u>. Notwithstanding any provision to
the contrary, no Outside Director’s Option shall be granted
pursuant to Section 5A(a) on a date when the number of shares of
Common Stock authorized and then available for issuance pursuant
to the Plan is less than the aggregate number of such shares
which would be issuable pursuant to Outside Director’s
Options otherwise required to be granted on such date.</p>

<p style="text-align: justify">(k)	<u>Conflicting Provisions</u>.
In the event of any conflict between a provision of this
Section 5A and a provision in any other section of the Plan with
respect to Outside Director’s Options, such provision of
this Section 5A shall be deemed to control. Except in the case of
conflict, however, provisions in other sections are
applicable.</p>

<p>6.	STOCK BONUS AWARDS</p>

<p style="text-align: justify">The Committee shall have authority
to award stock bonuses to eligible employees as additional
compensation for service to the Corporation. Stock bonuses shall
be awarded for past services and, unless otherwise determined by
the Committee, for no cash consideration. All shares awarded as a
stock bonus shall be subject to such restrictions, if any, as the
Committee may determine. In order to enforce any restrictions
imposed by the Committee on a stock bonus, the employee awarded
the stock bonus shall enter into an agreement with the
Corporation setting forth the restrictions or conditions of the
award.</p>

<p>7.	ADJUSTMENT OF SHARES</p>

<p style="text-align: justify">In the event of any change in the
Common Stock of the Corporation by reason of any stock dividend,
recapitalization, reorganization, merger, consolidation,
split-up, combination, or exchange of shares, or rights offering
to purchase Common Stock at a price substantially below fair
market value, or of any similar change affecting the Common
Stock, the number and kind of shares which thereafter may be
optioned and sold or awarded under the Plan and the number and
kind of shares subject to option in outstanding option agreements
and the purchase price per share thereof shall be appropriately
adjusted consistent with such change in such manner as the
Committee may deem equitable to prevent substantial dilution or
enlargement of the rights granted to, or available for,
participants in the Plan.</p>

<div style="margin-left: 4em">
<p>8.	NO EMPLOYMENT RIGHTS</p>
</div>

<p style="text-align: justify">The Plan and any options or awards
granted under the Plan shall not confer upon any optionee or
awardee any right with respect to continuance of employment by
the Corporation or any subsidiary, nor shall they interfere in
any way with the right of the Corporation or any subsidiary by
which an optionee or awardee is employed to terminate his
employment at any time.</p>

<div style="margin-left: 4em">
<p>9.	AMENDMENT AND DISCONTINUANCE</p>
</div>

<p style="text-align: justify">This Plan may be amended, modified
or terminated by the shareholders of the Corporation or by the
Board of Directors, except that the Board may not (i) amend the
Plan more than once every six months to change the amount, price
or timing of Director’s Options or (ii) without approval of
the shareholders, materially increase the benefits accruing to
participants under the Plan, increase the maximum number of
shares as to which options or awards may be granted under the
Plan, change the minimum option price, change the class of
eligible employees, extend the period for which options or awards
may be granted or exercised, or cause options or awards granted
under the Plan to fail to meet the requirements of Rule 16b-3. No
amendment, modification, or termination of the Plan may, without
the written consent of an employee to whom any option or
restricted award shall theretofore have been granted, adversely
affect the rights of such employee under such option or
restricted award.</p>

<div style="margin-left: 4em">
<p>10.	EFFECTIVE DATE</p>
</div>

<p style="text-align: justify">The effective date of the Plan
shall be the earlier of the date the Plan is adopted by the Board
of Directors or the date the Plan is approved by shareholders, so
long as the latter date is within twelve months of the former
date.</p>

<div style="margin-left: 4em">
<p>11.	NAME OF PLAN</p>
</div>

<p>The name of the Plan shall be Genesee Corporation 1992 Stock
Plan.</p>

<p style="font-weight: bold; text-align: right"> </p>

<p style="font-weight: bold; text-align: right">EXHIBIT 10-2</p>

<b></b>
<p style="font-weight: bold; text-align: center">EMPLOYMENT
AGREEMENT</p>

<p style="font-weight: bold; text-align: justify"></p>

<p style="font-weight: bold; text-align: justify">	THIS AGREEMENT
made by and between <b>GENESEE CORPORATION</b>, together with its
subsidiaries ("Genesee"), and <u>MICHAEL C. ATSEFF</u>
("Executive"), on the <u> 2<sup>nd</sup></u> day of September,
1999 (the "Effective Date").</p>



<p style="text-align: center"><b>R E C I T A L S</b> <b>:</b></p>

<p style="text-align: justify">	A.	Genesee wishes to employ
Executive.</p>

<p style="text-align: justify">	B.	Executive wishes to accept
employment with Genesee.</p>

<p style="text-align: justify">	NOW, THEREFORE, in consideration
of the premises and the mutual covenants and agreements set forth
below, the parties agree as follows:</p>

<p style="text-align: justify">		1.	<b><u>Employment</u></b>.
Genesee hereby agrees to employ Executive and Executive hereby
agrees to be employed by Genesee upon the terms and conditions
hereinafter set forth.</p>

<p style="text-align: justify">		2.	<b><u>Duties</u></b>.
Executive shall serve as the <u> Vice President- Controller</u>
of Genesee, and shall perform the duties for such position
established by the by-laws of Genesee, the customary duties of
such position and such other commensurate duties as may be
assigned from time to time by, and shall report to, the Senior
Vice President and Chief Financial Officer of Genesee
Corporation. Executive shall devote all of Executive’s
working time and attention and best efforts to the business of
Genesee and shall perform Executive’s duties in a diligent,
effective and loyal manner.</p>

<p style="text-align: justify">		3.	<b><u>Compensation</u></b>.
Executive shall be compensated for all services to be rendered
pursuant to this Agreement, as follows:</p>

<p style="text-align: justify">			(a)	Beginning October 1, 1999,
and during the Initial Term of this Agreement, Genesee shall pay
Executive a base salary of no less than Executive’s current
annual salary (the "Base Salary"). The Base Salary shall be paid
to Executive in accordance with the normal payroll practices of
Genesee.</p>

<p style="text-align: justify">			(b)	The President of Genesee in
conjunction with Genesee’s Management Continuity Committee
("MCC") shall review Executive’s salary following
expiration of the Initial Term, and may modify Executive's Base
Salary in accordance with its established policies and
procedures. Notwithstanding the foregoing, Executive’s
salary following the Initial Term shall not be set in an amount
less than ninety percent (90%) of the Base Salary.</p>

<div style="margin-left: 10em" start="3" type="a">
<ol type="a">
<li>In addition to the Base Salary, Executive shall be</li>
</ol>
</div>

<p style="text-align: justify">eligible to receive an annual
bonus (the "Annual Bonus") upon the achievement of certain goals
as agreed upon in advance between Executive and Genesee for each
fiscal year of Genesee up to a maximum of _<u> thirty-five</u>__
( 35%) of his Base Salary. The MCC shall have sole and absolute
discretion to determine whether an Annual Bonus will be awarded
for any fiscal year. Up to fifty percent (50%) of any declared
bonus may be paid in the form of Genesee stock, as determined by
the MCC. Any Annual Bonus approved by the MCC shall be due and
payable within ninety (90) days after the end of the
Company’s fiscal year for which such bonus was awarded.</p>

<div style="margin-left: 12em">
<p style="text-align: justify">(d)	<b><u>Long Term
Incentive.</u></b></p>
</div>

<p style="text-align: justify">				(i) In addition to the Base
Salary and the Annual Bonus, Genesee hereby grants to the
Executive the option to purchase from Genesee, subject to the
terms and conditions of this Section 3(d) and Genesee’s
1992 Stock Plan (the "Plan"), the number of shares of Genesee
Class B common stock at the purchase price per share, all as
approved by the MCC on September 2, 1999 (the "Options"), such
options to be exercised as hereinafter provided:</p>



<div style="margin-left: 18em" type="A">
<ol type="A">
<li>The aggregate number of Options that the</li>
</ol>
</div>

<p style="text-align: justify"> Executive may exercise as of any
date may not exceed the number of Options in which he is vested
as of that date, reduced by the number of Options previously
exercised by the Executive. In the event of any change in the
outstanding shares of Genesee Class B common stock by reason of
any stock dividend, split, recapitalization, merger,
consolidation, combination or exchange of shares or similar
corporate change, the number of Options awarded to the Executive
shall be equitably adjusted by the MCC to preserve the benefits
of this Agreement to the Executive, as determined by the MCC.</p>



<p style="text-align: justify">					(B) Any election by the
Executive to exercise Options shall be made in writing, shall be
signed by the Executive, shall specify the date as of which the
exercise is to occur, shall be filed with the Secretary of
Genesee prior to the date the exercise is to occur and shall be
in such form, and shall contain such information, as the
Secretary may reasonably require. The filing of the
Executive’s election to exercise the Options shall be
deemed to have occurred on the date it is received by the
Secretary of Genesee or, if sent to the Secretary by registered
mail, postage pre-paid, return receipt request, the date on which
it is sent.</p>

<p style="text-align: justify">					(C) <u>Payment of Option
Price</u>. At the time of any exercise, the purchase price of the
shares as to which this option is being exercised shall be paid:
(a) in cash or by check; (b) by delivery of shares of Genesee
Common Stock registered in the name of the Executive, duly
assigned to Genesee, and having a fair market value on the
exercise date equal to the purchase price; (c) by delivery of
instructions to Genesee to withhold from the shares that would
otherwise be issued on the exercise that number of whole shares
having a fair market value equal to the purchase price; or (d) by
a combination of the foregoing. Any shares delivered to Genesee
in payment of the purchase price shall be deemed to have a value
per share equal to the fair market value of the shares on the
date the shares are delivered to Genesee.</p>

<p style="text-align: justify">				(ii)	The Executive shall be
vested in one quarter (1/4) of the Options as of the Effective
Date. The Executive shall become vested in the remaining Options
in accordance with the following vesting schedule:</p>

<div style="margin-left: 18em" type="A">
<ol type="A">
<li>One quarter of the Options shall</li>

<li style="list-style: none">
<p style="text-align: justify">become vested when Genesee’s
Class B Common Stock trades at or above $30 per share for ten
days during any period of thirty consecutive Trading Days (as
defined below).</p>
</li>

<li>One quarter of the Options shall</li>

<li style="list-style: none">
<p style="text-align: justify">become vested when Genesee’s
Class B Common Stock trades at or above $35 per share for ten
days during any period of thirty consecutive Trading Days.</p>
</li>

<li>The final quarter of the Options shall</li>
</ol>
</div>

<p style="text-align: justify">become vested when the
Genesee’s Class B Common Stock trades at or above $40 per
share for ten days during any period of thirty consecutive
Trading Days. A "Trading Day" is defined as any day on which at
least one trade of Genesee’s Class B Common Stock is
reported on the NASDAQ National Market System.</p>

<p style="text-align: justify">Notwithstanding the foregoing, all
of the remaining Options shall immediately vest and become
exercisable upon a Sale of the Company or upon the circumstances
provided in Sections 7(d) and (e).</p>

<div style="margin-left: 14em" start="3" type="i">
<ol type="i">
<li>As used herein, "Sale of the Company" shall</li>
</ol>
</div>

<p style="text-align: justify"> mean that any of the following
circumstances have occurred:</p>

<div style="margin-left: 18em" type="A">
<ol type="A">
<li>Any "person" (as such term is used in</li>
</ol>
</div>

<p style="text-align: justify"> Sections 3(a)(9) and 13(d) of the
Securities Exchange Act of 1934, as amended (the "Exchange Act"))
is or becomes the "beneficial owner" (as defined in Rule 13(d)-3
under the Exchange Act), directly or indirectly, of ninety
percent (90%) or more of the outstanding common stock of Genesee
excluding those shares owned or controlled by direct descendants
of John L. Wehle, trusts established by Elizabeth R. Wehle and
under the Wills of Louis A. Wehle and John L. Wehle and any
trustees thereunder (collectively, the "Wehle Shares").</p>

<p style="text-align: justify">					(B)	Stockholders of Genesee
approve and there is closed a (1) tender offer, merger or
consolidation of Genesee with any other "person" (defined above)
in which any "person" acquires more than ninety percent (90%) of
Genesee’s outstanding common stock other than the Wehle
Shares; or (2) sale or disposition by Genesee and it subsidiaries
(other than Ontario Foods, Incorporated) of more than eighty-five
percent (85%) of the fair market value of their assets and the
net proceeds are distributed to creditors and stockholders.</p>

<p style="text-align: justify">				(iv)	Unless terminated earlier
in accordance with the terms of this Agreement, the Options shall
expire on September 1, 2008 (Expiration Date).</p>

<p style="text-align: justify">				(v)	The Executive shall have
no rights as a shareholder with respect to any shares for which
he is granted an option until the date of issuance to the
Executive of a stock certificate for such shares and no
adjustment shall be made for any dividends or other rights the
record date for which is prior to the date such stock certificate
is issued.</p>

<p style="text-align: justify">				(vi)	The Executive may not
elect to exercise any Options after the date occurring after the
forty-fifth (45<sup>th</sup>) day following the last day of the
Term. Any Options that have not been exercised as of 5:00 p.m. on
such forty-fifth (45<sup>th</sup>) day shall be automatically
forfeited and of no further force or effect as of and after such
time. In cases of termination due to disability, Sale of the
Company or termination without cause, Options under this
provision may be exercised within 120 days of termination. In the
case of death of the Executive, Options may be exercised by a
representative of the Executive’s estate within 120 days of
death. An Executive who is discharged for cause shall have no
right to exercise Options after termination.</p>

<div style="margin-left: 14em" start="7" type="i">
<ol type="i">
<li>The Executive may not sell, assign, pledge or</li>

<li style="list-style: none">
<p style="text-align: justify"> transfer, other than by law of
descent and distribution, any Options, and any Options and any
rights under this Agreement shall not be subject to the claims of
creditors of the Executive other than Genesee.</p>
</li>

<li><u>General Restrictions</u>. Genesee shall not be</li>

<li style="list-style: none">
<p style="text-align: justify">required to deliver any
certificate upon the exercise of any Options until it has been
furnished with such opinion, representation or other document as
it may reasonably deem necessary to insure compliance with any
law or regulation of the Securities and Exchange Commission or
any other governmental authority having jurisdiction over Genesee
or the shares subject to such Options. The Options are also
subject to the requirement that if at any time the Board of
Directors of Genesee shall determine, in its discretion, that the
listing, registration or qualification of the shares subject to
the Options upon any securities exchange or under any state or
federal law, or the consent or approval of any governmental
regulatory body, is necessary or desirable as a condition of, or
in connection with, the granting of the Options or the issue or
purchase of shares hereunder, the Options shall not be exercised
in whole or in part unless such listing, registration,
qualification, consent or approval shall have been effected or
obtained free of any conditions not acceptable to the Board of
Directors of Genesee.</p>
</li>

<li><u>Plan Controls</u>. The Executive hereby</li>
</ol>
</div>

<p style="text-align: justify">acknowledges receipt of a copy of
the Plan or the availability of a copy of the Plan, and agrees to
be bound by all of the terms and provisions thereof including any
which may conflict with those contained in this Agreement.</p>

<p style="text-align: justify">				(x) 	<u>Non-Incentive
Options:</u> Pursuant to the provisions of the Genesee
Corporation 1992 Stock Plan, the stock options granted in this
section are deemed to be non-incentive stock options.</p>

<p style="text-align: justify">	4.	<b><u>Benefits.</u></b></p>

<p style="text-align: justify">			(a)	Executive shall be provided
with the following benefits:</p>

<p style="text-align: justify">				(i)	Four (4) weeks of paid
vacation per fiscal year, or such greater period as may be
approved from time to time by Genesee. In the event that the full
vacation is not taken in any year due to the work commitments of
Executive, Executive may elect to either accumulate such vacation
and carry it over to the following year or receive payment (at
Executive's pro-rated Base Salary) for unused vacation days. Upon
any termination or resignation of Executive, Executive will be
entitled to be paid the value of any accrued or accumulated
vacation time;</p>

<p style="text-align: justify">				(ii)	Paid holidays, personal
days, sick time, health care coverage, life insurance and other
benefits as customarily provided to other comparable employees of
Genesee;</p>

<p style="text-align: justify">				(iii)	The Executive shall be
entitled to participate in all non-stock or non-equity based
employee benefit plans or arrangements made available to all of
Genesee’s senior management or key employees from time to
time, subject to and on a basis consistent with the terms,
conditions and overall administration of such plan or
arrangement. Such plans and arrangements shall include, without
limitation, all pension and retirement plans, supplemental
pension and retirement plans, savings and profit sharing plans,
life insurance policies, officers and directors policies, life
insurance plans, medical and health insurance plans, disability
plans, dental plans, health and accident plans or similar plans
or arrangements. Nothing paid to the Executive under any plan or
arrangement presently in effect or made available in the future
shall be deemed to be in lieu of the Base Salary or any other
obligation payable to the Executive pursuant to this Agreement.
The Executive expressly acknowledges that he shall not be
entitled to, and he shall not participate on a going forward
basis in, Genesee’s 1986 Incentive Bonus Plan,
Genesee’s Stock Bonus Program or Incentive Stock Option
Plan or any other stock or equity based program adopted by
Genesee or any subsidiary as of and after the date hereof.
Benefits currently vested or otherwise available under the terms
of the aforementioned plans will continue to be vested or
available as the plans allow, including without limitation, the
unissued balance of shares awarded on June 17, 1999, under the
Stock Bonus Program.</p>

<p>				(iv)	Upon the submission of supporting documentation by
the Executive, Genesee shall reimburse the Executive for all
reasonable expenses actually paid or incurred by the Executive in
the course of and pursuant to the business of Genesee, including
expenses for travel and entertainment.</p>

<p style="text-align: justify">		</p>

<p style="text-align: justify">			(b)	Executive's eligibility for
any benefit provided herein shall be subject to Executive's
compliance with the reasonable requests of any insurance company
providing any of the benefits specified herein to Genesee’s
employees. Executive agrees to submit to any medical examination
and to provide and complete any documentation (including medical
records) required by any such insurance company. All benefits
provided for hereunder are taxable to Executive to the extent
required by applicable tax laws.</p>

<p style="text-align: justify">		5.	<b><u>Term of
Employment</u></b>. The Initial Term of Executive's employment
pursuant to this Agreement shall be for two (2) years, commencing
on the Effective Date. The Term of this Agreement shall
automatically renew for successive periods of one (1) year each,
unless one party shall give the other party notice to the
contrary at least ninety (90) days prior to the expiration of the
Initial Term or the then current term (the Initial Term, together
with all such renewals being the "Term").</p>

<p style="text-align: justify">
		6.	<b><u>Termination</u></b>.	</p>

<p style="text-align: justify">			(a)	<u>Termination Events</u>.
The Executive’s employment under this Agreement may be
terminated upon the occurrence of any of the following
circumstances by the indicated party:</p>

<p style="text-align: justify">				(i)	<u>Death</u>.
Automatically upon the Executive’s death.</p>

<p style="text-align: justify">				(ii)	<u>Disability</u>. By
Genesee, if, as a result of the Executive’s incapacity due
to physical or mental illness ("Permanent Disability"), the
Executive shall be unable to substantially perform
Executive’s duties under this Agreement for three (3)
consecutive months as determined by a medical doctor retained by
Genesee, and if within ninety (90) days after written Notice of
Termination (defined below) is given (which notice may only be
given after the end of such three (3) month period), the
Executive shall not have returned to the performance of his
duties under this Agreement.</p>

<p style="text-align: justify">				(iii)	<u>For Cause</u>. By
Genesee, for Cause. For purposes of this Agreement, "Cause" shall
mean (A) neglect, refusal or inability by the Executive to
substantially perform his duties under this Agreement (other than
any such failure resulting from the Executive’s incapacity
due to Permanent Disability), after a demand for substantial
performance is delivered to the Executive by the President or the
MCC stating the manner in which Genesee believes the Executive
has not substantially performed his duties, and the Executive
shall have failed to resume substantial performance of such
duties within sixty (60) days of receiving such demand, (B) the
engaging by the Executive in criminal conduct (including
embezzlement and criminal fraud), (C) the commission by the
Executive of a felony or a misdemeanor, (D) any misappropriation
of funds or material damage to the property or businesses of
Genesee or any of its affiliates by the Executive or (E) the
material breach of Section 8 of this Agreement by the
Executive.</p>

<p style="text-align: justify">				(iv)	<u>Without Cause</u>. By
Genesee without Cause upon written notice to the Executive of its
election to do so.</p>

<p style="text-align: justify">				(v)	<u>Voluntary
Termination</u>. By the Executive other than due to the
Executive’s death or Permanent Disability ("Voluntary
Termination"), upon at least four (4) weeks notice.</p>

<p style="text-align: justify">				(vi)	<u>Sale of the
Company</u>. By Genesee upon the Sale of the Company.</p>

<p style="text-align: justify">			(b)	<u>Notice of
Termination</u>.	Any termination of the Executive’s
employment by Genesee or by the Executive shall be communicated
by written Notice of Termination to the other party. For purposes
of this Agreement, a "Notice of Termination" shall mean a written
notice which shall indicate the provision in this Agreement
relied upon to terminate the Term. The Executive may not give a
Notice of Termination for Voluntary Termination more than thirty
(30) days prior to the Date of Termination (defined below) stated
therein.</p>

<p style="text-align: justify">			(c)	<u>Date of
Termination</u>.	"Date of Termination" shall mean (i) if the
Executive’s employment is terminated by his death, the date
of his death, (ii) if the Executive’s employment is
terminated for Permanent Disability, ninety (90) days after
Notice of Termination is given (provided that the Executive shall
not have returned to the performance of his duties during such
ninety (90) day period), (iii) if the Executive’s
employment is terminated by Genesee for Cause, without cause or
upon Sale of the Company, the date specified in the Notice of
Termination after the expiration of any cure periods, if
applicable, (iv) if the Executive’s employment is
terminated as a result of his Voluntary Termination, the date set
forth in the Executive’s Notice of Termination (but not
beyond the then expiration date of the Term), and (v) if the
Executive’s employment is terminated for any other reason,
the date on which a Notice of Termination is given after the
expiration of any cure periods. Notwithstanding anything to the
contrary in this Agreement, the Term shall expire upon the Date
of Termination.</p>

<p style="text-align: justify">		7.	<b><u>Compensation Upon
Termination or During Disability</u></b>.</p>

<p style="text-align: justify">			(a)	<u>Death</u>.		If the
Executive’s employment shall be terminated by reason of his
death, Genesee shall pay to such person as the Executive shall
have designated in a notice filed with Genesee, or, if no such
person shall have been designated, to his estate, (i) any unpaid
amounts of his Base Salary or declared Annual Bonus and accrued
vacation pay prior to the Date of Termination, and (ii) any
payments the Executive’s spouse, beneficiaries or estate
may be entitled to receive pursuant to any pension or Executive
benefit plan, life insurance policy or other plan, program or
policy then maintained or provided by Genesee, or any other
agreement between the Executive and Genesee. The payments and
other benefits described in this Section 7(a) are hereinafter
referred to as the "Termination Benefits".</p>

<p style="text-align: justify">			(b)	<u>Disability</u>.	During
any period that the Executive fails to perform his duties
hereunder as a result of incapacity due to physical or mental
illness, the Executive shall continue to receive his full Base
Salary until the Executive’s employment is terminated
pursuant to Section 6 hereof. The Executive shall continue to be
paid in bi-monthly installments an amount equal to his Base
Salary at the rate in effect at the time Notice of Termination is
given until the later of twenty-seven (27) weeks after the Date
of Termination or the expiration of the Term, less any disability
payments otherwise payable by or pursuant to plans provided by
Genesee. In addition, Genesee shall pay to the Executive the
Termination Benefits.</p>

<p style="text-align: justify">			(c)	<u>For Cause</u>.	If the
Executive’s employment shall be terminated by Genesee for
Cause, Genesee shall pay the Executive the Termination
Benefits.</p>

<p style="text-align: justify">			(d)	<u>Termination by Genesee
Without Cause</u>. If Genesee terminates the Executive’s
employment other than for Cause, upon Death or Permanent
Disability, then all Options shall immediately vest and Genesee
shall pay the Executive a lump sum payment equal to the annual
base salary amount in effect on the date of termination less any
disability payments he receives under the Genesee disability
policy.</p>

<p style="text-align: justify">			(e)	<u>Termination by Genesee
Upon Sale of the Company</u>.</p>

<p style="text-align: justify">If Genesee terminates the
Executive’s employment as a result of the Sale of Genesee,
then all Options shall immediately vest and the Company shall pay
the Executive the Termination Benefits and a lump sum payment
equal to the annual Base Salary amount in effect on the date that
the Sale of the Company has been completed.</p>

<p style="text-align: justify">			(f)	<u>Voluntary Termination by
the Executive.</u> If the Executive’s employment with
Genesee is terminated by his Voluntary Termination, then Genesee
shall pay the Executive the Termination Benefits.</p>

<p style="text-align: justify">			(g)	<u>Payment of Termination
Benefits and Other Amounts</u>.</p>

<p style="text-align: justify">All Termination Benefits and lump
sum payments shall be due and payable within forty-five (45) days
after the Date of Termination. Upon making such payments, Genesee
shall have no further liability hereunder, other than for the
installment payments pursuant to Sections 7(b) and (d).</p>



<p style="text-align: justify">		8.	<b><u>Restrictive
Covenants</u></b>.	</p>

<p style="text-align: justify">			</p>

<p style="text-align: justify">			(a)	<u>Certain Activities
During Employment</u>.	Except with the prior written consent of
the MCC and the President, the Executive will not during the Term
undertake or engage in any other employment, occupation or
business enterprise other than one in which he is an inactive
investor. This provision shall not be deemed to preclude (i) the
Executive from serving on the Board of Directors of a reasonable
number of other corporations upon the advance notice to the
President, or (ii) membership in professional societies or trade
associations or lecturing or the acceptance of honorary
positions, in all cases, that are incidental to his employment by
Genesee and which are not adverse or antagonistic to Genesee, its
business or prospects, financial or otherwise. The Executive will
also not acquire, assume or participate in, directly or
indirectly, any position, investment or interest adverse or
antagonistic to Genesee, its business or prospects, financial or
otherwise, or take any action towards any of the foregoing.
Further, during the Term, except on behalf of Genesee or its
subsidiaries, the Executive will not, directly or indirectly,
whether as an officer, director, Executive, stockholder, partner,
proprietor, associate, representative or otherwise, become or be
interested in any other person, corporation, firm, partnership or
other entity whatsoever which directly competes with Genesee, in
any part of the world, in any line of business engaged in (or
which Genesee has made plans to be engaged in) by Genesee;
provided, however, that anything above to the contrary
notwithstanding, Executive may own, as an inactive investor,
securities of any competitor corporation, so long as his holdings
in any one such corporation shall not in the aggregate constitute
more than one percent (1%) of the voting stock of such
corporation.</p>

<p style="text-align: justify">			(b)	<u>Unauthorized
Disclosure</u>.	During the Term and for a two (2) year period
thereafter, the Executive shall not, without the written consent
of the Board or a person authorized thereby, disclose to any
person, other than an employee of Genesee (or its subsidiaries)
or a person to whom disclosure is reasonably necessary or
appropriate in connection with the performance by the Executive
of his duties as an employee of Genesee, any confidential
information obtained by him while in the employ of Genesee with
respect to any of Genesee’s customers, suppliers,
creditors, lenders or investment bankers or methods of brewing,
distribution or marketing; provided, however, that confidential
information shall not include any information known generally to
the public (other than as a result of unauthorized disclosure by
the Executive) or any information of a type not otherwise
considered confidential by persons engaged in the same business
or a business similar to that conducted by Genesee.</p>

<p style="text-align: justify">			(c)	<u>Non-Solicitation of
Employees</u>.	While employed by Genesee and for a period of two
(2) years thereafter if Executive receives the payment by Genesee
provided for in paragraph 7(d) above, the Executive shall not,
directly or indirectly, for himself or for any other person,
firm, corporation, partnership, association or other entity,
attempt to employ or enter into any contractual arrangement with
any employee or former employee of Genesee, unless such employee
or former employee has not been employed by Genesee for a period
in excess of six (6) months.</p>

<p style="text-align: justify">			(d)	<u>Books and Records</u>.
All books, records, accounts and similar repositories of
confidential information of Genesee, whether prepared by the
Executive or otherwise coming into the Executive’s
possession, shall be the exclusive property of Genesee and shall
be returned immediately to Genesee upon termination of this
Agreement or upon the Board’s or President’s request
at any time.</p>

<p>			(e)	<u>Injunction</u>.	It is recognized and hereby
acknowledged by Genesee and the Executive that a breach by the
Executive of any of the agreements contained in this Section 8
may cause irreparable harm or damage to Genesee, or its
subsidiaries, the monetary amount of which may be virtually
impossible to ascertain. As a result, the Executive and Genesee
agree that Genesee and any of its subsidiaries shall be entitled
to an injunction issued by any court of competent jurisdiction
enjoining and restraining any and all violations of such
agreements by the Executive or his associates, affiliates,
partners or agents, and that such right to an injunction shall be
cumulative and in addition to whatever other remedies Genesee may
possess.</p>

<p style="text-align: justify">		9.	<b><u>General
Terms</u></b>.</p>

<p style="text-align: justify">			(a)	<u>Binding Effect</u>. This
Agreement shall be binding upon and inure to the benefit of the
parties hereto, their personal representatives, and permitted
successors and assigns. A "successor" of Genesee includes any
entity which succeeds to the operations or assets of Genesee,
whether by merger, asset transfer, change of control or
otherwise.</p>

<p style="text-align: justify">			(b)	<u>Assignment</u>. This
Agreement may not be assigned, in whole or in part, by any party
hereto without the prior written consent of the other party,
except such consent shall not be required with respect to any
"successor" of Genesee.</p>

<p style="text-align: justify">			(c)	<u>Entire Agreement</u>.
This Agreement contains the entire understanding between or among
the parties hereto and supersedes any prior understanding,
memoranda or other written or oral agreements between or among
any of them respecting the within subject matter. There are no
representations, agreements, arrangements or understandings, oral
or written, between or among any of the parties relating to the
subject matter of this Agreement which are not fully expressed
herein.</p>

<p style="text-align: justify">			(d)	<u>Modifications;
Waiver</u>. No modification or waiver of this Agreement or any
part hereof shall be effective unless in writing and signed by
the party or parties sought to be charged therewith. No waiver of
any breach or condition of this Agreement shall be deemed to be a
waiver of any other or subsequent breach or condition, whether of
like or different nature. No waiver of any breach or condition of
this Agreement by or with respect to any party hereto shall be
deemed to be a waiver of the same breach or condition with
respect to any other party hereto. No course of dealing between
or among any of the parties hereto will be deemed effective to
modify, amend or discharge any part of their Agreement or the
rights or obligations of any party hereunder.</p>

<p style="text-align: justify">			(e)	<u>Partial Invalidity</u>.
If any provision of this Agreement shall be held invalid or
unenforceable by competent authority, such provision shall be
construed so as to be limited or reduced to be enforceable to the
maximum extent compatible with the law as it shall then appear.
The total invalidity or unenforceability of any particular
provision of this Agreement shall not affect the other provisions
hereof and this Agreement shall be construed in all respects as
if such invalid or unenforceable provision were omitted.</p>

<p style="text-align: justify">			(f)	<u>Notices</u>. Unless
otherwise provided in this Agreement, any notice or other
communication required or permitted under this Agreement shall be
in writing and shall be deemed to have been duly given (i) upon
hand delivery, or (ii) on the third day following delivery to the
U.S. Postal Service as certified or registered mail, return
receipt requested and postage prepaid, or (iii) on the first day
following delivery to a nationally recognized United States
overnight courier service, fee prepaid, return receipt or other
confirmation of delivery requested. Any such notice or
communication shall be delivered or directed to a party at its
address set forth above or at such other address as may be
designated by a party in a notice given to all other parties
hereto in accordance with the provisions of their paragraph.</p>

<p style="text-align: justify">			(g)	<u>Governing Law</u>. This
Agreement shall be governed by, and construed in accordance with,
the laws of the State of New York pertaining to contracts made
and to be wholly performed within such state, without taking into
account conflicts of laws principles.</p>

<p style="text-align: justify">			(h)	<u>Effect of
Termination</u>. Unless otherwise specifically agreed in writing,
the terms of Paragraphs 7, 8 and 9 shall survive any termination,
cancellation, repudiation or rescission of this Agreement, and
under such circumstances Executive and the Company may continue
to enforce such terms as if this Agreement were otherwise in full
force and effect.</p>

<p style="text-align: justify">			(i)	<u>Headings</u>. The
headings contained in this Agreement are inserted for convenience
only and do not constitute a part of this Agreement.</p>

<p style="text-align: justify">			(j)	<u>Fair Meaning</u>. This
Agreement shall be construed according to its fair meaning, the
language used shall be deemed the language chosen by the parties
hereto to express their mutual intent, and no presumption or rule
of strict construction will be applied against any party
hereto.</p>

<div style="margin-left: 10em" start="11" type="a">
<ol type="a">
<li><u>Gender</u>. Whenever the context may require, any</li>

<li style="list-style: none">
<p style="text-align: justify"> pronoun used herein shall include
the corresponding masculine, feminine or neuter forms and the
singular of nouns, pronouns and verbs shall include the plural
and vice versa.</p>
</li>

<li><u>Counterparts</u>. This Agreement may be executed in
several counterparts, each of which shall be deemed an original,
and all of said counterparts together shall constitute but one
and the same instrument.</li>
</ol>
</div>

<p style="text-align: justify">	IN WITNESS WHEREOF, the parties
hereto have duly executed this Agreement as of September 2,
1999.</p>

<p style="text-align: justify">					 GENESEE CORPORATION</p>

<p style="text-align: justify">	</p>

<div style="margin-left: 20em">
<p><u>By: /s/ Samuel T. Hubbard, Jr.</u></p>
</div>

<p>					 Samuel T. Hubbard, Jr.</p>

<p> President</p>

<p style="text-align: justify">																	The Executive</p>



<p style="text-align: justify">					 <u>/s/ Michael C.
Atseff</u></p>

<p style="text-align: justify">						 Michael C. Atseff</p>
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