Document:

KEYSTONE FINANCIAL, INC.

                            SAVINGS RESTORATION PLAN

                As Amended and Restated Effective January 1, 1994

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                                TABLE OF CONTENTS

                                                                          Page

ARTICLE I             TITLE AND EFFECTIVE DATE........................      1

    Section 1.01      Title...........................................      1
    Section 1.02      Effective Date..................................      1
    Section 1.03      Application of this Amended
                        and Restated Plan.............................      1

ARTICLE II            DEFINITIONS.....................................      2

    Section 2.01      Beneficiary.....................................      2
    Section 2.02      Board...........................................      2
    Section 2.03      Bookkeeping Account.............................      2
    Section 2.04      Code............................................      2
    Section 2.05      Code Limits.....................................      2
    Section 2.06      Committee.......................................      2
    Section 2.07      Compensation....................................      2
    Section 2.08      Deferral Agreement..............................      3
    Section 2.09      Deferred Compensation...........................      3
    Section 2.10      Election Date...................................      3
    Section 2.11      Eligible Executive..............................      3
    Section 2.12      Employer Matching Contributions.................      3
    Section 2.13      ERISA...........................................      3
    Section 2.14      Executive.......................................      3
    Section 2.15      401(k) Plan.....................................      3
    Section 2.16      Keystone........................................      4
    Section 2.17      Matching Contribution Credits...................      4
    Section 2.18      Maximum Employer Matching Contributions.........      4
    Section 2.19      Maximum Pre-Tax Savings.........................      4
    Section 2.20      Participant.....................................      4
    Section 2.21      Participating Entity............................      4
    Section 2.22      Plan............................................      5
    Section 2.23      Plan Year.......................................      5
    Section 2.24      Pre-Tax Savings.................................      5

ARTICLE III           ELIGIBILITY AND PARTICIPATION...................      6

    Section 3.01      Eligibility.....................................      6
    Section 3.02      Participation...................................      6

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ARTICLE IV            DEFERRED COMPENSATION AND MATCHING
                        CONTRIBUTION CREDITS..........................      7

    Section 4.01      Deferred Compensation...........................      7
    Section 4.02      Deferral Agreement..............................      7
    Section 4.03      No Deferral Without Agreement...................      7
    Section 4.04      Duration of Deferral Agreement..................      8
    Section 4.05      Change of Deferrals.............................      8
    Section 4.06      Matching Contribution Credits...................      8
    Section 4.07      Exception.......................................      8

ARTICLE V             BOOKKEEPING ACCOUNT.............................      9

    Section 5.01      Bookkeeping Account.............................      9
    Section 5.02      Earnings and Losses.............................      9
    Section 5.03      Deemed Investment Options.......................      9
    Section 5.04      Deemed Investment Elections.....................     11

ARTICLE VI            DISTRIBUTIONS...................................     13

    Section 6.01      Distribution of Bookkeeping Account.............     13
    Section 6.02      Vesting of Deferred Compensation................     13
    Section 6.03      Vesting of Matching Contribution
                        Credits.......................................     13
    Section 6.04      Amount of Payment...............................     13
    Section 6.05      Distributions in Cash or Common Stock...........     13
    Section 6.06      Loans...........................................     15
    Section 6.07      Automatic Cash Out..............................     15
    Section 6.08      Hardship Withdrawal.............................     15
    Section 6.09      Withholding for Taxes...........................     16

ARTICLE VII           BENEFICIARY.....................................     17

    Section 7.01      Beneficiary Designation.........................     17
    Section 7.02      Proper Beneficiary..............................     17
    Section 7.03      Minor or Incompetent Beneficiary................     17

ARTICLE VIII          ADMINISTRATION OF THE PLAN......................     18

    Section 8.01      Majority Vote...................................     18
    Section 8.02      Rules, Regulations and Plan
                        Interpretation................................     18
    Section 8.03      Certificates and Reports........................     18
    Section 8.04      Expenses........................................     18

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ARTICLE IX            CLAIMS PROCEDURE................................     19

    Section 9.01      Written Claim...................................     19
    Section 9.02      Denied Claim....................................     19
    Section 9.03      Review Procedure................................     19
    Section 9.04      Committee Review................................     20
    Section 9.05      Claims Procedure Mandatory and Binding..........     20

ARTICLE X             NATURE OF OBLIGATION............................     21

    Section 10.01     Obligation......................................     21
    Section 10.02     Creditor Status.................................     21

ARTICLE XI            MISCELLANEOUS...................................     22

    Section 11.01     Written Notice..................................     22
    Section 11.02     Change of Address...............................     22
    Section 11.03     Merger, Consolidation or Acquisition............     22
    Section 11.04     Amendment and Termination.......................     22
    Section 11.05     Nonalienation ..................................     22
    Section 11.06     Legal Fees......................................     23
    Section 11.07     Construction....................................     23
    Section 11.08     Gender and Number...............................     23
    Section 11.09     No Employment Rights ...........................     23
    Section 11.10     Illegal or Invalid Provision....................     23

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                            KEYSTONE FINANCIAL, INC.

                            SAVINGS RESTORATION PLAN

         The purpose of the Keystone Financial, Inc. Savings Restoration Plan is
to permit a select group of management or highly compensated  employees to defer
current  compensation  which  cannot be deferred  under the  Keystone  Financial
401(k)  Savings Plan and to receive  matching  contributions  which were not but
otherwise  could have been  credited  under the 401(k) Plan with respect to such
deferrals or deferrals under the 401(k) Plan.

         This  Plan is  primarily  designed  to  provide  compensation  deferral
opportunities and matching contributions which are lost because of the following
limitations imposed on the 401(k) Savings Plan:

(Degree)          The Code Section  402(g)  limits which  restrict the amount of
                  Pre-Tax Savings under the 401(k) Plan (e.g.,  $8,994 for 1993;
                  $9,240 for 1994).

(Degree)          The Code Section  401(a)(17)  limits  which  specify a maximum
                  amount of  compensation  that can be taken  into  account  for
                  purposes of  deferrals  and matching  contributions  under the
                  401(k) Plan (e.g., $235,840 for 1993; $150,000 for 1994).

(Degree)          Limitations imposed by the non-discrimination  requirements of
                  Code Sections 401(k) (the ADP test) and 401(m) (the ACP test).

(Degree)          The Code  Section  415  limits  which  restrict  the amount of
                  Pre-Tax Savings and Employer Matching  Contributions which can
                  be allocated to a participant's account under the 401(k) Plan.

<PAGE>

                                    ARTICLE I

                            TITLE AND EFFECTIVE DATE

   Section 1.01  Title.  This Plan shall be known as the Keystone Financial,
Inc. Savings Restoration Plan.

   Section 1.02 Effective  Date. The original  effective date of this Plan shall
be January 1, 1990. The effective date of this amendment and  restatement  shall
be January 1, 1994.

   Section 1.03  Application  of this Amended and Restated Plan. The amended and
restated Plan set forth herein is generally  effective as of January 1, 1994. To
the extent there is any inconsistency between this amended and restated Plan and
a Deferral Agreement filed with the Committee, or the time of payment provisions
of the prior Plan,  with respect to Deferred  Compensation  for Plan Years which
began prior to January 1, 1994,  the  Deferral  Agreement  or prior Plan time of
payment provisions shall control.

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                                   ARTICLE II

                                   DEFINITIONS

             As used  herein,  the  following  words and phrases  shall have the
meanings  specified below unless a different  meaning is clearly required by the
context:

             Section 2.01  Beneficiary.  "Beneficiary"  shall mean the person or
persons,  natural  or  legal,  designated  in  writing  by  the  Participant  in
accordance  with  Article VII to receive any  benefits  under the Plan which may
become payable in the event of the Participant's death, or if none is designated
or surviving at the time of the Participant's death, the Participant's surviving
spouse shall be the  Beneficiary or, if there is no surviving  spouse,  then the
estate of the Participant shall be the Beneficiary.

             Section 2.02  Board.   The  term  "Board"  shall  mean the Board of
Directors of Keystone.

             Section 2.03 Bookkeeping Account.  "Bookkeeping Account" shall mean
the  bookkeeping  account  established on the books and records of Keystone or a
Participating  Entity,  as applicable,  for a Participant to reflect the amounts
credited to the Participant and adjustments thereto under the various provisions
of the Plan. The use of the term "Bookkeeping Account" shall not mean, under any
circumstances,  that a Participant or Beneficiary,  or the Participant's estate,
shall have title to any specific assets of Keystone or a Participating Entity.

             Section 2.04  Code.  "Code" shall mean the Internal Revenue Code of
1986, as amended from time to time.

             Section 2.05 Code Limits.  "Code Limits" shall mean the  limitation
on Pre-Tax Savings for a Plan Year because of Code Sections  401(a)(17),  402(g)
or 415, or because of the average  deferral  percentage  test under Code Section
401(k),  or the limitation on Employer  Matching  Contributions  for a Plan Year
because of Code Section 401(a)(17),  415 or the average contribution  percentage
test of Code Section 401(m), as applicable.

             Section 2.06 Committee.  "Committee" shall mean the Human Resources
Committee of the Board which shall manage and administer the Plan.

             Section   2.07   Compensation.   "Compensation"   shall   mean  the
Participant's compensation from Keystone or a Participating Entity which is used
for purposes of determining a  Participant's  contributions  to the 401(k) Plan,
without regard to any maximum limitations imposed under Code Section 401(a)(17),
plus Deferred Compensation.

             Section 2.08 Deferral  Agreement.  "Deferral  Agreement" shall mean
the written form provided by the Committee or its delegate which the Participant
files with the  Committee  before the  relevant  Election  Date to indicate  the
portion of the Participant's  Compensation which the Participant elects to defer
in  accordance  with the  terms of the  Plan.  No  Deferral  Agreement  shall be
effective  until  it is  received  and  acknowledged  by  the  Committee  or its
delegate.

             Section 2.09 Deferred Compensation.  "Deferred  Compensation" shall
mean the portion of a Participant's  Compensation  for a Plan Year that has been
deferred according to the Participant's Deferral Agreement and the provisions of
the Plan.

             Section 2.10  Election  Date.  "Election  Date" shall mean the date
before  which a  Participant  must  file a valid  Deferral  Agreement  with  the
Committee or its delegate in order to defer future Compensation.  The applicable
Election  Date for a Plan Year is as follows:  (a) 30 days after the employee is
notified  of his  status as an  Executive  pursuant  to  Section  3.01 if not an
Executive on the first day of the Plan Year, or (b) December 31 of the preceding
Plan Year if (a) above does not apply.

             Section 2.11 Eligible Executive. "Eligible Executive" shall mean an
Executive  who as of January 1 of a Plan Year (or as of the later  Election Date
for a Plan Year in which an employee  becomes an Executive  after January 1 of a
Plan Year) has elected a percentage of Pre-Tax Savings which constitutes Maximum
Pre-Tax Savings or will result in a dollar amount of Maximum Pre-Tax Savings for
the Plan Year.

             Section 2.12 Employer Matching  Contributions.  "Employer  Matching
Contributions"  shall  mean  Employer  Matching  Contributions  on  behalf of an
Executive under, and as defined in, the 401(k) Plan.

             Section  2.13 ERISA.  "ERISA"  shall mean the  Employee  Retirement
Income Security Act of 1974, as amended from time to time.

             Section  2.14  Executive. "Executive"  shall  mean  any  common law
employee  of  Keystone  or a  Participating  Entity  who  is  designated  by the
Committee as a member of the group of management or highly compensated employees
of Keystone or a  Participating  Entity and is notified by the  Committee or its
delegate  in  writing  of  such  designation,  but  only  for as  long  as  such
designation remains in effect.

             Section  2.15 401(k)  Plan.  "401(k)  Plan" shall mean the Keystone
Financial 401(k) Savings Plan in effect from time to time.

             Section 2.16  Keystone.  "Keystone" shall mean Keystone Financial,
Inc.

             Section 2.17 Matching Contribution Credits.  "Matching Contribution
Credits"  shall  mean  credits  to  a  Participant's   Bookkeeping  Account  for
contributions  which would have been Employer  Matching  Contributions but could
not be made by Keystone or a Participating  Entity to the 401(k) Plan because of
a Code Limit.

             Section  2.18 Maximum  Employer  Matching  Contributions.  "Maximum
Employer Matching Contributions" shall mean the lesser of the maximum percentage
of Employer  Matching  Contributions  permitted to be made under the 401(k) Plan
for a pay period (e.g.,  3% in 1993) or the maximum amount of Employer  Matching
Contributions  permitted  to be credited to a  Participant's  account  under the
401(k) Plan for the Plan Year by a Code Limit  applicable  to Employer  Matching
Contributions or other applicable law.

             Section 2.19 Maximum Pre-Tax  Savings.  "Maximum  Pre-Tax  Savings"
shall mean the lesser of the maximum  percentage of Pre-Tax Savings permitted to
be made under the 401(k)  Plan on behalf of a Highly  Compensated  Employee  (as
defined in the 401(k) Plan) for a pay period  (e.g.,  5% in 1993) or the maximum
amount of Pre-Tax Savings  permitted to be credited to a  Participant's  account
under the 401(k)  Plan for the Plan Year by a Code Limit  applicable  to Pre-Tax
Savings or other applicable law.

             Section 2.20  Participant. "Participant" shall mean an Executive or
former Executive with a Bookkeeping Account.

             Section 2.21  Participating  Entity.  "Participating  Entity" shall
mean National Bank of the Main Line,  Northern  Central  Bank,  Mid-State  Bank,
Pennsylvania  National Bank; American Trust Bank and American Trust Bank of West
Virginia as of a date to be established  by Keystone's  Executive Vice President
of Banking Group; and any subsidiary of Keystone, affiliate bank of Keystone, or
other  affiliated  entity of Keystone,  which elects to  participate in the Plan
with respect to its Executives,  and is approved by the Board of Keystone or the
Committee to participate in the Plan, with such status as a Participating Entity
and  participation in the Plan ceasing  automatically on the date the subsidiary
or affiliate ceases to be a subsidiary or affiliate of Keystone.

<PAGE>

             Section 2.22 Plan. "Plan" shall mean the Keystone  Financial,  Inc.
Savings  Restoration Plan, as amended and restated effective January 1, 1994, as
set forth herein and as it may be amended from time to time hereafter.

             Section 2.23   Plan Year.  "Plan Year" shall mean a calendar year
beginning on or after January 1, 1994.

             Section 2.24 Pre-Tax Savings.  "Pre-Tax Savings" shall mean Pre-Tax
Savings under, and as defined in, the 401(k) Plan.

<PAGE>

                                   ARTICLE III

                          ELIGIBILITY AND PARTICIPATION

             Section 3.01  Eligibility.  The  determination of whether or not an
employee of Keystone or a Participating  Entity is an Executive shall be made by
the Committee,  in its sole discretion,  on an individual basis. An employee who
has been  determined by the Committee to be an Executive in accordance with this
Section shall receive written notice of the date as of which such designation is
effective and the duration of such designation and shall submit such information
and execute such documents as may be required by the Committee for participation
in the Plan.

             Section   3.02   Participation.   An   Eligible   Executive   shall
automatically  become a Participant as of the first Election Date  applicable to
the Executive and shall continue as a Participant until the Bookkeeping  Account
has been fully distributed or forfeited.

<PAGE>

                                   ARTICLE IV

             DEFERRED COMPENSATION AND MATCHING CONTRIBUTION CREDITS

             Section 4.01  Deferred  Compensation.  Each  Participant  who is an
Eligible  Executive may have  Compensation for a pay period deferred as provided
in the  Deferral  Agreement,  but  not for any pay  period  during  a Plan  Year
following the effective date of the Participant's  voluntary  election under the
401(k) Plan of a percentage  of Pre-Tax  Savings  which is less than the Maximum
Pre-Tax Savings percentage,  unless the dollar amount of Maximum Pre-Tax Savings
for the Plan Year has  previously  been  credited to the  Participant's  account
under the 401(k) Plan. The percentage of  Compensation  to be deferred under the
Plan  shall be a whole  percentage  not more  than  15% (or such  other  maximum
percentage  of Pre-Tax  Savings  then  permitted  under the 401(k) Plan  without
regard to any  limitation on Pre-Tax  Savings  because of the Code  Limits),  of
Compensation  less the percentage of Compensation  represented by the dollars of
Pre-Tax Savings for such pay period.

             Section 4.02  Deferral  Agreement.  In order to defer  Compensation
pursuant to Section 4.01, a Participant must submit a written Deferral Agreement
to the  Committee or its  delegate on or before the  applicable  Election  Date.
Valid Deferral  Agreements  filed by the applicable  Election Date as defined in
Section  2.10(a)  shall apply to  Compensation  earned on and after the Election
Date. Valid Deferral Agreements filed by the applicable Election Date as defined
in Section 2.10(b) shall apply to  Compensation  earned on or after January 1 of
the Plan Year beginning after the Election Date. Notwithstanding anything to the
contrary,  no Deferral  Agreement  shall be effective for a Participant  who has
made a hardship  withdrawal  from the 401(k)  Plan (a) for a period of 12 months
from the date of such hardship  withdrawal,  if the hardship withdrawal has been
made in reliance  on Treasury  Regulation  ss.  1.401(k)-1(d)(2)(iv)(B)  and the
Deferred  Compensation  would  constitute an employee  elective  contribution or
employee  contribution  under an  employer  plan  within the meaning of Treasury
Regulation ss. 1.401(k)-1(d)(2)(iv)(B)(4) or any successor regulation or (b) for
such other period as required for suspension of Deferred  Compensation  pursuant
to the provisions of the 401(k) Plan.

             Section 4.03 No Deferral Without  Agreement.  A Participant who has
not submitted a valid Deferral Agreement to the Committee or its delegate before
the relevant  Election Date may not defer any  Compensation  for the  applicable
Plan Year under this Plan.

<PAGE>

             Section 4.04 Duration of Deferral  Agreement.  Deferral  Agreements
remain in effect  until  revoked or  modified  by the  filing of a new  Deferral
Agreement in  accordance  with Section  4.05,  except that a Deferral  Agreement
shall become void for a Plan Year with respect to which the  Participant  is not
an Eligible Executive.

             Section 4.05 Change of Deferrals.  A new Deferral Agreement must be
filed by the  Election  Date as defined in  Section  2.10(b) if the  Participant
wishes to  increase  or  decrease  (including  to zero) the  amount of  Deferred
Compensation.  An election to cease Deferred  Compensation will become effective
with  respect to  Compensation  earned on and after the first pay  period  which
begins  after the date that the  election is received  by the  Committee  or its
delegate.  All other  Deferral  Agreements  which  change the amount of Deferred
Compensation  will become  effective with respect to Compensation  earned on and
after January 1 of the Plan Year beginning after the Election Date,  except that
a  Deferral  Agreement  shall  be void  if the  Participant  is not an  Eligible
Executive on January 1 of such Plan Year.

             Section 4.06 Matching Contribution Credits. A Participant, while an
Executive and receiving a percentage of Employer  Matching  Contributions  under
the 401(k) Plan which is the Maximum Employer Matching Contributions  percentage
or for any pay period after the Employer Matching  Contributions credited to the
Participant's  account  under the 401(k) Plan cease or are limited  because of a
Code Limit,  shall be entitled  to  Matching  Contribution  Credits for each pay
period in an amount  equal to the  difference  between the amounts  described in
4.06(a) and 4.06(b) below:

             Section 4.06(a)  The amount  equal  to what the  Employer  Matching
Contribution would have been for the pay period taking into account the Eligible
Executive's Pre-Tax Savings and Deferred  Compensation as though it had all been
Pre-Tax Savings and without regard to the Code Limits.

             Section 4.06(b) The actual Employer Matching  Contribution for such
pay period.

             Section 4.07 Exception.  Notwithstanding the foregoing, in no event
shall amounts  corrected as a result of the  application  of the  discrimination
tests under Code Sections 401(k) or 401(m) (ADP or ACP tests) to the 401(k) Plan
be contributed to the Plan.

<PAGE>

                                    ARTICLE V

                               BOOKKEEPING ACCOUNT

             Section  5.01  Bookkeeping  Account.  The  Committee  shall cause a
Bookkeeping  Account  to be  established  and  maintained  only on the  books of
Keystone  or the  Participating  Entity for each  Participant  who has  Deferred
Compensation or Matching  Contribution  Credits.  Such account shall be credited
with the dollar amount of the Participant's  Deferred  Compensation and Matching
Contribution  Credits  as of the date on which  such  amounts  would  have  been
credited  to the  Participant's  account  under the  401(k)  Plan if  treated as
Pre-Tax Savings and Employer Matching  Contributions,  respectively.  A separate
sub-account  within the  Bookkeeping  Account shall be maintained  for each Plan
Year with respect to which a  Participant's  Deferral  Agreement  provides for a
number  of  installment  payments  which is  different  from  the  Participant's
Deferral Agreement  applicable to other Plan Years, and as otherwise  determined
by the Committee.

             Section 5.02 Earnings and Losses.  The amount in the  Participant's
Bookkeeping Account shall be adjusted on a quarterly basis as of the last day of
each calendar quarter to reflect net earnings,  gains or losses for the quarter.
The adjustment for earnings, gains and losses for each quarter shall be equal to
the amount determined under Section 5.02(a) or Section 5.02(b) below as follows:

             Section 5.02(a) Moody's  Long-Term  Corporate Bond Rates. The total
amount  determined by multiplying (A) one hundred and five percent (105%) of the
average of the Moody's  Long-Term  Corporate Bond Rates for the three (3) months
in the current  calendar  quarter  divided by twelve,  by (B) the balance in the
Participant's  Bookkeeping  Account as of the end of each  month in the  current
quarter; or

             Section  5.02(b)  Other  Options.  The total amount  determined  by
multiplying the rate earned  (positive or negative) by each fund available below
(taking into account  earnings  distributed  and share  appreciation  (gains) or
depreciation  (losses) on the value of shares of the fund) for each month of the
current  calendar  quarter by the  portion of the  balance in the  Participant's
Bookkeeping  Account as of the end of each such  month,  respectively,  which is
deemed to be invested in the fund pursuant to paragraph Section 5.03 below.

             Section 5.03 Deemed  Investment  Options.  Subject to  elimination,
modification  or addition by the  Committee,  the  following  shall be the funds
available  for the  Participant's  election  of deemed  investments  pursuant to
Section 5.04 below:

             Section 5.03(a) Balanced Fund. This fund is a Keystone managed fund
and  consists  of a mix of 30% to 60% in  the  common  stock  of  large,  highly
capitalized  companies,  40% to 70% in  short-term  to  intermediate-term  fixed
income  investments,  and 0% to 10% in money market  securities.  The goal is to
provide a balance of long-term  growth and current  income.  The  Balanced  Fund
shall  be the  same as  the  Balanced Fund  used from time to time by the 401(k)
Plan.

             Section 5.03(b) Fixed Income Fund. This fund is a Keystone  managed
fund  and uses  primarily  money  market  investments,  government  obligations,
corporate bonds, and other high-quality fixed-income securities.  The maturities
of the  fixed-income  investments  will not  exceed  10 years or, in the case of
asset-backed  securities,  an average life of 5 years. The goal is to provide an
acceptable rate of return while  maintaining  moderately stable principal value.
The Fixed  Income Fund shall be the same as the Fixed Income Fund used from time
to time by the 401(k) Plan.

             Section 5.03(c) Core Equity Fund.  This fund is a Keystone  managed
fund and is designed for principal growth through investment in the common stock
of primarily large, highly capitalized companies.  The Core Equity Fund shall be
the same as the Core Equity Fund used from time to time by the 401(k) Plan.

             Section  5.03(d)  Aggressive  Equity Fund.  This fund is a Keystone
managed fund designed to provide growth of principal over time  consistent  with
the  growth and risk  characteristics  of common  stocks of smaller  capitalized
companies (with market caps between $100 million and $1 billion) by investing in
diversified common stocks of corporations  traded on the major U.S. and non-U.S.
exchanges. The Aggressive Equity Fund shall be the same as the Aggressive Equity
Fund used from time to time by the 401(k) Plan.

             Section  5.03(e)  Global  Fund.  This fund is  intended  to provide
investment  opportunity to participate in the growth characteristics of non-U.S.
oriented  investments.  The fund is a Keystone  managed  fund  which  invests in
diversified common stocks of foreign  corporations,  collective trust and mutual
funds.  The Global  Fund shall be the same as the Global  Fund used from time to
time by the 401(k) Plan.

<PAGE>

             Section  5.03(f) Other Options.  In addition to, or in lieu of, the
investment  options described above, other funds may be established from time to
time, as determined  by the  Committee,  and the Committee may provide any other
form of investment option it determines to be advisable; provided, however, that
such funds and options shall be made available and  communicated to all Partici-
pants on a uniform basis.

             Section 5.04  Deemed Investment Elections.
             ------------  ----------------------------

             Section 5.04(a) The Participant shall designate, on a form provided
by the Committee, the percentage,  in ten percent (10%) multiples (or such other
percentage  as permitted  from time to time by the  Committee),  of the Deferred
Compensation  and  Matching  Contribution  Credits  that are to be  deemed to be
invested in the  available  funds under  Section  5.03,  with the balance of the
Deferred  Compensation  and Matching  Contribution  Credits to receive  interest
credit according to Section 5.02(a) above.  Said designation  shall be effective
on a date  specified  by the  Committee or its delegate and remain in effect and
apply to all subsequent Deferred  Compensation and Matching Contribution Credits
until changed as provided below.

             Section  5.04(b) A Participant  may elect to change,  on a calendar
quarter basis,  the deemed  investment  election under  paragraph (a) above with
respect to future Deferred  Compensation and Matching Contribution Credits among
one or more of the options then available by written notice to the Committee, on
a form provided by the Committee (or by voice or other form of notice  permitted
by the Committee), at least 30 days before the first day of the calendar quarter
as of which the change is to be effective,  with such change to be effective for
amounts credited to the Bookkeeping Account on or after the effective date.

             Section  5.04(c) A Participant  may elect to reallocate the balance
of the Bookkeeping Account,  subject to any limitations imposed by the Committee
or its delegate, on a calendar quarter basis, in ten percent (10%) multiples (or
such other percentage as permitted from time to time by the Committee) among the
deemed  investment  options  then  available.  A  Participant  may make  such an
election by written notice to the Committee, on a form provided by the Committee
(or by voice or other form of notice permitted by the Corporation),  at least 30
days  before  the first day of the  calendar  quarter  as of which the  transfer
election is to be effective,  with such transfer to be based on the value of the
Bookkeeping Account on the last day of the preceding quarter.

             Section  5.04(d)  The  election  of  deemed  investments  among the
options  provided above shall be the sole  responsibility  of each  Participant.
Keystone, the Participating Entities,  Executives, and Committee members and are
not authorized to make any  recommendation  to any  Participant  with respect to
such election.  Each Participant  assumes all risk connected with any adjustment
to the value of his Bookkeeping Account.  Neither the Committee,  Keystone,  nor
the Participating Entities in any way guarantees against loss or depreciation.

             Section  5.04(e) All payments  from the Plan shall be made from the
portion of the Participant's  Bookkeeping Account which is deemed to be invested
in the Moody's Long-Term Corporate Bond Rates first, the Fixed Income Fund next,
the Balanced Fund next, the Core Equity Fund next,  the  Aggressive  Equity Fund
next,  the  Global  Fund  next,  and last  from  all  other  funds in the  order
established by the Committee.

<PAGE>

                                   ARTICLE VI

                                  DISTRIBUTIONS

             Section 6.01 Distribution of Bookkeeping  Account.  Distribution of
the vested balance of a Participant's  Bookkeeping Account,  determined pursuant
to  Sections  6.02  and  6.03  below,  shall  be  made in a lump  sum or  annual
installments,  for a  period  not to  exceed  ten  years,  as  indicated  on the
Participant's  Deferral  Agreement.  The first  payment to the  Participant,  or
Beneficiary in the event of the Participant's  death,  shall be made on March 30
(or if March 30 is not a business day, on the first  preceding  business day) of
the calendar year  following  the calendar  year during which the  Participant's
termination of employment  occurs.  For this purpose,  termination of employment
includes  voluntary or  involuntary  termination  of employment  for any reason,
including  disability  or death,  and shall be the date  reflected on Keystone's
records as the Participant's termination date.

             Section 6.02 Vesting of Deferred  Compensation.  Subject to Section
10.02,  the  Participant  shall  at  all  times  be  fully  vested  and  have  a
nonforfeitable  interest in the portion of his Bookkeeping Account  attributable
to Deferred Compensation.

             Section 6.03 Vesting of Matching Contribution  Credits.  Subject to
Section  10.02,  the  Participant  shall at all times be fully vested and have a
nonforfeitable  interest in the portion of his Bookkeeping Account  attributable
to Matching Contribution Credits.

             Section  6.04 Amount of  Payment.  If a lump sum payment is elected
for a Plan Year,  such  payment  shall be based on the value of the  Bookkeeping
Account on the last day of the calendar  quarter  prior to the date the lump sum
payment is to be made. If annual installments are elected as the payment method,
the amount of the first installment shall be calculated by dividing the lump sum
value, as determined above, by the number of installments to be paid. Each later
installment  shall be  determined  on the same  basis as the  first  installment
except that the value shall be divided by the number of  installments  remaining
to be paid. Amounts held pending distribution from the Plan shall continue to be
credited with earnings, gains or losses on a quarterly basis pursuant to Section
5.02.

             Section  6.05  Distributions  in  Cash  or  Common  Stock.  At  the
discretion of the committee which administers the Keystone Financial,  Inc. 1992
Stock  Incentive  Plan (the "SIP  Committee") or any similar plan in effect from
time to time (the "SIP"),  amounts payable on or after January 1, 1994 under any
Section of this Article VI may be paid in whole or in part in shares of Keystone
Financial,   Inc.  Common  Stock,  provided,   however,  that  with  respect  to
Participants  subject to Section 16 of the Securities Exchange Act of 1934, such
shares  must  be paid in a  manner  consistent  with  the  provisions  of and as
provided  in the SIP.  The number of shares of Common  Stock to be paid would be
determined  by dividing  the cash payment  which would  otherwise be made by the
fair market  value (as defined  below) on the date on which the payment is to be
made.  Any  fractional  share  shall be paid in  cash.  A  Participant  shall be
considered, on the date as of which fair market value is determined for purposes
of the stock  distribution,  as a  shareholder  of Keystone  with respect to the
shares to be distributed.

             For purposes of this Section 6.05,  "fair market value" is the mean
between  the  following  prices,  as  applicable,  for the date as of which fair
market value is to be  determined,  as quoted in The Wall Street  Journal (or in
such other  reliable  publication  as the SIP Committee or its delegate,  in its
discretion, may determine to rely upon) (a) if the Common Stock is listed on the
New York Stock  Exchange,  the highest and lowest  sales prices per share of the
Common Stock as quoted in the NYSE-Composite Transactions listing for such date,
(b) if the  Common  Stock is not  listed  on the New York  Stock  Exchange,  the
highest and lowest  sales  prices per share of Common Stock for such date on (or
on any  composite  index  including)  the  principal  United  States  securities
exchange  registered  under  the  Securities  Exchange  Act of 1934 on which the
Common Stock is listed, or (c) if the Common Stock is not listed on any exchange
referred to in paragraphs (a) or (b) above,  the highest and lowest sales prices
per  share of the  Common  Stock for such date on the  National  Association  of
Securities  Dealers Automated  Quotations System or any successor system then in
use ("NASDAQ").

             If there are no such sale price quotations for the date as of which
fair market value is to be determined,  but there are such sale price quotations
within a  reasonable  period both  before and after such date,  then fair market
value shall be determined by taking a weighted  average of the means between the
highest and lowest  sales  prices per share of the Common  Stock as so quoted on
the nearest  date  before and the  nearest  date after the date as of which fair
market value is to be determined.  The average  should be weighted  inversely by
the respective numbers of trading days between the selling dates and the date as
of which fair market value is to be determined.  If there are no such sale price
quotations on or within a reasonable period both before and after the date as of
which fair market value is to be determined, then fair market value shall be the
mean  between the bona fide bid and asked prices per share of Common Stock as so
quoted for such date on NASDAQ,  or if none,  the weighted  average of the means
between such bona fide bid and asked  prices on the nearest  trading date before
and the nearest  trading date after the date as of which fair market value is to
be determined in the manner described above in this Section 6.05.

             If the fair market value of the Common  Stock cannot be  determined
on the basis  previously  set forth in this Section 6.05 on the date as of which
fair market value is to be  determined,  the SIP Committee or its delegate shall
in good faith  determine the fair market value of the Common Stock on such date.
Fair market value shall be determined  without regard to any  restriction  other
than a restriction which, by its terms, will never lapse.

             All distributions of a Participant's Bookkeeping  Account shall  be
made in cash if not made in Keystone Financial, Inc. Common Stock.

             Section 6.06  Loans.  No loans to Participants of  amounts credited
to a Participant's Bookkeeping Account shall be permitted.

             Section 6.07 Automatic Cash Out. The Plan is intended to constitute
an unfunded  plan for tax  purposes  and for purposes of Title I of ERISA and is
intended  to be  maintained  primarily  for the  purpose of  providing  deferred
compensation for a select group of management or highly compensated employees of
Keystone and Participating Entities and to qualify for the exclusions from Title
I of ERISA which are provided for in Sections 201(2), 301(a)(3) and 401(a)(1) of
ERISA.  Notwithstanding any provision in this Plan to the contrary, in the event
that the  Department of Labor,  or any other  regulatory  or other body,  issues
final regulations which provide, or a court issues a final  determination,  that
the Plan does not qualify for any of such exclusions  under ERISA, the Committee
or the Board may revoke the  designation  of all or some employees as Executives
for the current or future Plan Years,  and the  Committee  or the Board may take
such other action as it  determines to be  appropriate  in order for the Plan to
qualify for such exclusions. In addition, Participants who are determined not to
be  Executives  because of this  Section  6.07  shall have the  balance in their
Bookkeeping Account, determined as of the end of the preceding calendar quarter,
plus the amount of any Deferred  Compensation and Matching  Contribution Credits
during the current calendar quarter, distributed in a single lump sum as soon as
practicable  after it is determined  that they are no longer an  Executive,  and
such  Participant's  Deferral  Agreement shall be void and of no further effect.
Keystone, the Participating  Entities, the Committee and the Board shall have no
liability to any Participant who receives a distribution  from the Plan or whose
participation is otherwise affected by reason of this Section 6.07.

             Section 6.08 Hardship Withdrawal.  Notwithstanding the terms of any
Deferral  Agreement made by a Participant  hereunder,  the Committee may, in its
sole  discretion,  permit on or after January 1, 1994 the withdrawal of all or a
portion of the amounts credited to a Participant's Bookkeeping Account, upon the
request of the Participant or the Participant's representative, or following the
death of a Participant  upon the request of a Participant's  Beneficiary or such
Beneficiary's  representative,  if the Committee determines that the Participant
or  Beneficiary,  as the  case  may be,  is  confronted  with  an  unforeseeable
emergency.  For this purpose,  an  unforeseeable  emergency is an  unanticipated
emergency  caused by an event that is beyond the control of the  Participant  or
Beneficiary  and  that  would  result  in  severe  financial   hardship  to  the
Participant or Beneficiary if an early hardship  withdrawal  were not permitted.
The  Participant or Beneficiary  shall provide to the Committee such evidence as
the  Committee  may  require  to  demonstrate  that such  emergency  exists  and
financial  hardship  would  occur  if the  withdrawal  were not  permitted.  Any
withdrawal  under this Section shall be limited to the amount  necessary to meet
the  emergency.  For purposes of the Plan,  a hardship  shall be  considered  to
constitute an immediate and unforeseen financial hardship if the Participant has
an unexpected  need for cash to pay for expenses  incurred by him or a member of
his immediate  family (spouse and/or natural or adopted  children) such as those
arising  from  illness,  casualty  loss,  or  death.  Cash  needs  arising  from
foreseeable  events,  such as the  purchase or building of a house or  education
expenses will not be considered to be the result of an  unforeseeable  financial
emergency.  Payment  shall be made, as soon as  practicable  after the Committee
approves the payment and determines the amount of the payment,  in a single lump
sum first from the portion of the  Bookkeeping  Account for Plan Years beginning
on or after  January 1, 1994 with the  longest  number of  installment  payments
being first (from  Pre-Tax  Savings  first and then from  Matching  Contribution
Credits  for the same Plan Year),  and then from the portion of the  Bookkeeping
Account  representing  Plan  Years  beginning  prior to January 1, 1994 with the
latest  payment  commencement  dates first (from Pre-Tax  Savings first and then
from  Matching  Contribution  Credits for the same Plan  Year),  in each case in
accordance with Section 5.04(e).

             Section 6.09 Withholding for Taxes.  All Deferred  Compensation and
Matching  Contribution  Credits shall be subject to Federal  income,  FICA,  and
other tax  withholding  as  required  by  applicable  law.  At the time that tax
withholding  is required,  if an amount is payable in cash under the Plan to the
Participant  the amount of the required tax  withholding  shall be withheld from
and reduce such cash payment. If, however, an amount is not then payable in cash
or the cash payable under the Plan to the  Participant is less than the required
withholding,  the  Participant  shall pay,  by check or money  order  payable to
Keystone or the Participant Entity employing the Participant, not later than the
date such  withholding is required,  the amount of the required tax  withholding
or, at the sole election of Keystone or such Participating Entity, the amount of
required tax  withholding  shall be withheld from other  compensation or amounts
payable  to the  Participant.  The  Participant  shall  hold  Keystone  or  such
Participating Entity harmless in acting to satisfy the withholding obligation in
this manner.

<PAGE>

                                   ARTICLE VII

                                   BENEFICIARY

             Section 7.01 Beneficiary  Designation.  A Participant may file with
the  Committee  or its  delegate a completed  designation  of  Beneficiary  form
provided by the Committee or its delegate. Such designation may be made, revoked
or changed by the Participant at any time before death or receipt of the balance
of the  Bookkeeping  Account,  but such  designation of Beneficiary  will not be
effective  and  supersede  all  prior  designations  until  it is  received  and
acknowledged by the Committee or its delegate.

             Section 7.02 Proper Beneficiary.  If the Committee has any doubt as
to the proper  Beneficiary to receive  payments  hereunder,  the Committee shall
have  the  right  to  withhold  such  payments   until  the  matter  is  finally
adjudicated.  However,  any payment made in good faith shall fully discharge the
Committee,  Keystone,  the Participating Entities and the Board from all further
obligations with respect to that payment.

             Section 7.03 Minor or  Incompetent  Beneficiary.  If the  Committee
determines that any  Participant or Beneficiary  entitled to a payment under the
Plan is a minor or  incompetent by reason of physical or mental  disability,  it
may, in its sole discretion,  cause any payment thereafter  becoming due to such
person to be made to any other person for his benefit, without responsibility to
follow application of amounts so paid.  Payments made pursuant to this provision
shall completely discharge Keystone,  the Participating  Entities, the Plan, the
Committee and the Board.

<PAGE>

                                  ARTICLE VIII

                           ADMINISTRATION OF THE PLAN

             Section  8.01  Majority  Vote.  A  majority  of the  members of the
Committee  shall  constitute  a quorum  for  purposes  of  transacting  business
relating to the Plan. The acts of a majority of the members  present (in person,
or by conference  telephone) at any meeting of the Committee at which there is a
quorum  shall be valid  acts of the  Committee.  Acts  reduced  to and  approved
unanimously in writing by all of the Committee members shall also be valid acts.

             Section  8.02  Rules,  Regulations  and  Plan  Interpretation.  The
Committee shall,  from time to time,  establish  rules,  forms and procedures of
general application for the administration of the Plan. The Committee shall have
the full power and authority to construe and  interpret  the Plan,  and make all
determinations of Deferred  Compensation and Matching Contribution Credits under
the Plan,  designate  all  Executives,  and determine all facts and other issues
relating to claims and appeals under the Plan.  Any  determination  or action of
the  Committee  or the Board and the  records of the  Committee  shall be final,
conclusive  and  binding  on  all  Participants  and  Beneficiaries,  and  their
beneficiaries,  heirs, personal  representatives,  executors and administrators,
and upon Keystone,  the  Participating  Entities and all other persons having or
claiming  to have any right or  interest  in or under the Plan.  No  Participant
shall  participate in any decision of the Board or the Committee  which directly
or  indirectly  affects  the  Participant's  Deferred   Compensation,   Matching
Contribution Credits or Bookkeeping Account.

             Section 8.03 Certificates and Reports. The members of the Committee
and the officers and directors of Keystone and the Participating  Entities shall
be entitled to rely on all certificates and reports made by any accountants, and
on all opinions given by legal counsel  which,  legal counsel may be counsel for
Keystone or a Participating Entity.

             Section 8.04  Expenses.   The costs  and expenses  involved  in the
administration  of  the  Plan  shall  be  borne by Keystone or the Participating
Entity.

<PAGE>

                                   ARTICLE IX

                                CLAIMS PROCEDURE

             Section  9.01  Written   Claim.   The  value  of  a   Participant's
Bookkeeping Account shall be paid in accordance with the provisions of the Plan.
In the event of a claim by a Participant or a  Participant's  Beneficiary for or
in respect of any benefit under the Plan or the method of payment thereof,  such
Participant or Beneficiary  shall present the reason for his claim in writing to
the Committee,  in c/o Keystone HR Administration,  Williamsport,  or such other
person or entity designated and communicated by the Committee.

             Section 9.02 Denied Claim. The Committee shall,  within ninety (90)
days after the receipt of such written claim,  send written  notification to the
Participant or Beneficiary as to its disposition,  unless special  circumstances
require an extension of time for processing  the claim.  If such an extension of
time for  processing  is  required,  written  notice of the  extension  shall be
furnished to the claimant  prior to the  termination  of the initial ninety (90)
day period. In no event shall such extension exceed a period of ninety (90) days
from the end of such initial  period.  The extension  notice shall  indicate the
special  circumstances  requiring an extension of time and the date by which the
Committee expects to render the final decision. In the event the claim is wholly
or partially denied, the written notification shall state the specific reason or
reasons for the denial, include specific references to pertinent Plan provisions
on which the denial is based,  provide an explanation of any additional material
or information necessary for the Participant or Beneficiary to perfect the claim
and a statement of why such material or information is necessary,  and set forth
the procedure by which the  Participant or Beneficiary  may appeal the denial of
the claim. If the claim has not been granted and notice is not furnished  within
the time period specified in the preceding paragraph,  the claim shall be deemed
denied for the purpose of proceeding  to appeal in accordance  with Section 9.03
below.

             Section  9.03  Review  Procedure.  In the  event a  Participant  or
Beneficiary wishes to appeal the denial of his claim, he may request a review of
such denial by making written  application to the Committee,  in c/o Keystone HR
Administration,  Williamsport,  or such other  person or entity  designated  and
communicated  by the  Committee,  within  sixty (60) days  after  receipt of the
written  notice of denial (or the date on which  such claim is deemed  denied if
written notice is not received  within the applicable  time period  specified in
Section 9.02 above).  Such  Participant or Beneficiary  (or his duly  authorized
representative)  may, upon written  request to the Committee,  review  documents
which are pertinent to such claim,  and submit in writing issues and comments in
support of his position.

             Section 9.04 Committee Review. Within sixty (60) days after receipt
of the written  appeal  (unless an extension of time is necessary due to special
circumstances  or is agreed  to by the  parties,  but in no event  more than one
hundred and twenty (120) days after such  receipt),  the Committee  shall notify
the Participant or Beneficiary of its final decision.  Such final decision shall
be in writing and shall include specific reasons for the decision,  written in a
manner calculated to be understood by the claimant,  and specific  references to
the pertinent Plan provisions on which the decision is based. If an extension of
time for review is required because of special circumstances,  written notice of
the extension  shall be furnished to the claimant prior to the  commencement  of
the  extension.  If the claim has not been  granted  and  written  notice is not
provided  within the time period  specified  above,  the appeal  shall be deemed
denied.

             Section  9.05  Claims  Procedure   Mandatory  and  Binding.   If  a
Participant  or Beneficiary  does not follow the procedures set forth above,  he
shall be deemed to have waived his right to appeal benefit  determinations under
the Plan.  In addition,  all  determinations  by and  decisions of the Committee
under this Article IX shall be binding on and  conclusive as to the  Participant
or Beneficiary.

<PAGE>

                                    ARTICLE X

                              NATURE OF OBLIGATION

             Section 10.01  Obligation.  The Plan  constitutes a mere promise by
Keystone or the  Participating  Entity to make  benefit  payments in the future.
Keystone and the  Participating  Entities'  obligations  under the Plan shall be
unfunded and unsecured promises to pay. Keystone and the Participating  Entities
shall not be obligated under any circumstance to fund their respective financial
obligations under this Plan. Any of them may, in its discretion, set aside funds
in a trust or other vehicle, subject to the claims of its creditors, in order to
assist it in meeting its obligations  under the Plan, if such  arrangement  will
not cause the Plan to be considered a funded  deferred  compensation  plan under
ERISA, or the Code and provided,  further, that any trust created by Keystone or
a  Participating  Entity and any assets held by such trust to assist Keystone or
the Participating  Entity in meeting its obligations under the Plan will conform
to the terms of the model trust, as described in Rev. Proc.  92-64,  1992-2 C.B.
422 or any successor.

             Section   10.02   Creditor   Status.   Neither   Keystone  nor  the
Participating  Entities  nor this Plan  gives  the  Participant  any  beneficial
ownership  interest in any asset of Keystone or the  Participating  Entity.  The
Participants and their  Beneficiaries shall have the status of, and their rights
to receive  payments  from a  Bookkeeping  Account  shall be no greater than the
rights  of,   general   unsecured   creditors  of  Keystone  or  the  applicable
Participating Entity.

<PAGE>

                                   ARTICLE XI

                                  MISCELLANEOUS

             Section 11.01  Written  Notice.  Any notice to the Committee  which
shall be or may be given  under  the Plan and  Deferral  Agreements  shall be in
writing and delivered to the Committee or its delegate.  Notice to a Participant
shall  be  addressed  to  the  address  shown  on  such  Participant's  Deferral
Agreement.

             Section 11.02 Change of Address.  Any party may, from time to time,
change the address to which notices shall be mailed by giving  written notice of
such new address.

             Section 11.03 Merger, Consolidation or Acquisition. All obligations
for  amounts  vested but not yet paid under the Plan shall  survive  any merger,
consolidation  or sale of  substantially  all of Keystone's  or a  Participating
Entity's  assets to any entity,  and be the  liability  of the  successor to the
merger or  consolidation  or purchaser of assets,  unless otherwise agreed to by
the parties thereto.

             Section 11.04  Amendment and  Termination.  The Board,  in its sole
discretion, may amend, modify or terminate the Plan at any time and from time to
time, provided that no such amendment, modification, or termination shall reduce
the Participant's or Beneficiary's vested interest in the Bookkeeping Account as
of the day  before  any such  amendment,  modification  or  termination,  unless
consented  to  by  the  affected  Participant  or  by  the  Beneficiary  if  the
participant is deceased.

             Section  11.05  Nonalienation.  Except as may be  required  by law,
neither the Participant nor any Beneficiary shall have the right to, directly or
indirectly,  alienate,  assign, transfer, pledge, anticipate or encumber (except
by reason of death) any amount that is or may be payable hereunder, including in
respect of any liability of a Participant  or  Beneficiary  for alimony or other
payments for the support of a spouse,  former spouse,  child or other dependent,
prior to actually  being received by the  Participant or Beneficiary  hereunder,
nor shall the  Participant's or  Beneficiary's  rights to benefit payments under
the Plan be subject in any manner to anticipation,  alienation,  sale, transfer,
assignment, pledge, encumbrance,  attachment, or garnishment by creditors of the
Participant or Beneficiary or to the debts, contracts, liabilities, engagements,
or torts of any Participant or  Beneficiary,  or transfer by operation of law in
the event of bankruptcy or insolvency of the Participant or any Beneficiary,  or
any legal process. Notwithstanding the foregoing, the Committee may, in its sole
discretion,  recognize and establish  procedures  for  administering  a domestic
relations  or other family  court order  providing  for the Plan to pay all or a
portion  of a  Participant's  Bookkeeping  Account  to or for the  benefit  of a
Participant's spouse,  former spouse or children,  provided that such order does
not require the Plan to make payment prior to the time payment  would  otherwise
be made to the  Participant  pursuant to the terms of the Plan as in effect from
time to time and that it meets such other  requirements  as the Committee  shall
specify.

             Section  11.06 Legal Fees. A  Participant  or  Beneficiary  will be
reimbursed by Keystone (or its  successor) or the  Participating  Entity (or its
successor)  for any and all  reasonable  legal  fees  incurred  in  successfully
enforcing,  by  judgment  of a court of  competent  jurisdiction  and  after all
appeals have been exhausted, the Participant's or Beneficiary's right to receive
payments under the terms of the Plan.

             Section  11.07  Construction.  The  provisions of the Plan shall be
construed,  administered  and  governed  by  the  laws  of the  Commonwealth  of
Pennsylvania, including its statute of limitations provisions, to the extent not
preempted  by ERISA or other  applicable  Federal  law.  Titles of Articles  and
Sections of the Plan are for  convenience  of  reference  only and are not to be
taken into account when construing and interpreting the provisions of the Plan.

             Section  11.08 Gender and Number.  The masculine  pronoun  whenever
used in the Plan shall include the feminine and vice versa.  The singular  shall
include the plural and the plural  shall  include  the  singular  whenever  used
herein unless the context requires otherwise.

             Section  11.09 No  Employment  Rights.  Neither the adoption of the
Plan  nor any  provision  of the  Plan  shall  be  construed  as a  contract  of
employment  between  Keystone or a  Participating  Entity and any  Executive  or
Participant,  or as a guarantee  or right of any  Executive  or  Participant  to
future or continued employment with Keystone or a Participating  Entity, or as a
limitation on the right of Keystone or a  Participating  Entity to discharge any
of  its  employees  with  or  without  cause.  Specifically,  designation  as an
Executive or being a Participant  does not create any rights,  and no rights are
created  under the Plan,  with  respect to  continued  or future  employment  or
conditions of employment.

             Section 11.10 Illegal or Invalid  Provision.  In case any provision
of the Plan shall be held  illegal or invalid  for any reason,  such  illegal or
invalid provision shall not affect the remaining parts of the Plan, but the Plan
shall be  construed  and  enforced  without  regard to such  illegal  or invalid
provision.KEYSTONE FINANCIAL, INC.

                             1992 DIRECTOR FEE PLAN
            (as amended through Amendment No. 4 adopted May 20, 1999)

                                    SECTION 1

                         Purpose; Reservation of Shares

         The purposes of the 1992  Director Fee Plan (the "Plan") are to provide
Directors   (as   hereinafter   defined)  of  Keystone   Financial,   Inc.  (the
"Corporation")  and its Subsidiaries with payment  alternatives for fees payable
for services as a member of a Board (as  hereinafter  defined) or any  committee
thereof  ("Director  Fees") and to  increase  the  identification  of  interests
between such  Directors and the  shareholders  of the  Corporation  by providing
Directors the opportunity to elect to receive payment of Director Fees in shares
of Common Stock, par value $2.00 per share, of the Corporation ("Common Stock").
For purposes of the Plan,  the term  "Subsidiary"  means any  corporation  in an
unbroken chain of corporations  beginning with the  Corporation,  if each of the
corporations  other than the last  corporation  in the unbroken chain owns stock
possessing fifty percent (50%) or more of the total combined voting power of all
classes  of  stock  in one of the  other  corporations  in the  chain.  For each
calendar  year,  the  aggregate  number of shares of Common  Stock  which may be
issued under Current Stock Elections or credited to Deferred Stock  Compensation
Accounts for  subsequent  issuance  under the Plan is limited to 75,000  shares,
subject to adjustment and substitution as set forth in Section 5(b).

                                    SECTION 2

                                   Eligibility

         Any  Director of the  Corporation  or a  Subsidiary  who is  separately
compensated  for  services  on a Board or on any  committee  of a Board shall be
eligible to  participate  in the Plan. The term  "Director"  shall  include,  in
addition to actual  Directors of the  Corporation  or a Subsidiary,  individuals
holding the status of  advisory  directors  (as that term is used in  applicable
regulations  of the Office of the  Comptroller of the Currency) for a Subsidiary
and to whom the  Corporation  may  refer as  "consulting  directors,"  "business
development  directors,"  "non-bank  board  directors" or such other term as the
Corporation may deem appropriate. The term "Board" shall include, in addition to
the Board of  Directors  of the  Corporation  or a  Subsidiary,  any regional or
advisory Board of a Subsidiary to which the Corporation may refer as a "Business
Development  Board,"  "Associate  Board," "Regional Board" or such other term as
the Corporation may deem appropriate.

                                    SECTION 3

                                    Elections

         (a)  General.  Each  Director may elect to receive  current  payment of
Director  Fees (on the date on which the Director  Fees are  payable)  either in
cash or in shares of Common Stock. Each Director also may elect to defer payment
of Director Fees for a calendar year and to receive such deferred payment either
in cash or in shares of Common  Stock.  The  election  by a Director  to receive
payment of  Director  Fees other than in cash on the date on which the  Director
Fees  are  otherwise  payable  is made  by  filing  with  the  Secretary  of the
Corporation a Notice of Election in the form  prescribed by the  Corporation (an
"Election").  Director  Fees  earned  at any time for which an  Election  is not
effective shall be paid in cash on the date when the Director Fees are otherwise
payable. Subject to the terms of the Plan, an Election may be changed,  modified
or terminated  by filing with the  Secretary of the  Corporation a new Notice of
Election,  with respect to a change or modification,  or a Notice of Termination
in the form prescribed by the  Corporation,  with respect to a termination.  Any
Election  shall  terminate  on the date a Director  ceases to be a member of all
Boards. Any Notice of Election or Notice of Termination shall become irrevocable
when  filed,  except by the  filing of a new Notice of  Election  or a Notice of
Termination which thereafter becomes effective in accordance with the provisions
of this Section 3.  Notwithstanding the provisions set forth below regarding the
effective  date of an Election,  no Election  filed which changes or modifies an
existing  Election  shall  become  effective  until  the  existing  Election  is
terminated or modified by the new Election under the provisions set forth below.

         (b) Current Stock  Payment.  Subject to the provisions of Sections 3(c)
and 3(d),  an Election to receive  payment of Director  Fees in shares of Common
Stock on the date on which the  Director  Fees are  payable  (a  "Current  Stock
Election")  shall be  effective  on the date on which the Notice of  Election is
filed.  The Current Stock  Election may be terminated  (i) by filing a Notice of
Termination,  in which case the  termination  shall be effective on the date the
Notice of Termination  is filed or (ii) by filing a Notice of Election  changing
the method of payment, in which case the termination shall be effective when the
new Election becomes  effective as provided in Section 3(c) or 3(d).  During the
period a Current Stock Election is effective, all Director Fees payable shall be
paid by the issuance to the Director of a number of whole shares of Common Stock
equal to the Director Fees payable divided by the Fair Market Value of one share
of the Common Stock, as defined in Section 11 hereof,  on the date on which such
Director  Fees are  payable.  Any amount of  Director  Fees which is not paid in
Common  Stock on the date  otherwise  payable  because less than the Fair Market
Value of a whole share shall be accumulated  in cash without  interest and added
to the amount used in computing the number of shares of Common Stock issuable on
the next  succeeding  date on which  Director Fees are payable under the Current
Stock  Election.  Any such  accumulated  fractional  amount  remaining as of the
effective  date  of  any  termination  of a  Current  Stock  Election  or of the
termination  of the  Plan  shall  be paid to the  Director  in cash on the  next
succeeding  date on which  Director Fees would have been payable to the Director
under the Current Stock Election. The Corporation shall issue share certificates
to the  Director  for the shares of Common  Stock  acquired  or, if requested in
writing by the Director,  the shares  acquired  shall be added to the Director's
account under the Corporation's  Dividend  Reinvestment  Plan. As of the date on
which the  Director  Fees are payable in shares of Common  Stock,  the  Director
shall be a shareholder of the Corporation with respect to such shares.

         (c) Deferred Cash Payment.  Subject to the next succeeding sentence, an
Election  to defer the  receipt  of all or a  portion  of  Director  Fees and to
receive  eventual  payment  of such  Director  Fees in  cash (a  "Cash  Deferral
Election")  shall be  effective on January 1 of the year  following  the date on
which the  Notice  of  Election  is filed.  A Cash  Deferral  Election  shall be
effective  on the date the Notice of Election is filed with  respect to Director
Fees payable for any portion of a calendar  year which  remains at the time of a
person's  initial  election  to  the  office  of  Director,  or  any  subsequent
re-election  if  immediately  prior  thereto  such  person was not  serving as a
Director,  provided  the Director  files such Notice of Election  within 30 days
subsequent to being  elected or  re-elected as a Director.  If only a portion of
Director's Fees otherwise  payable during a calendar year are deferred  pursuant
to a Cash  Deferral  Election,  the Director  Fees  deferred  shall be the first
Director  Fees paid during such year after the Cash  Deferral  Election  becomes
effective  up to the amount of the Director  Fees subject to such Cash  Deferral
Election,  and any later  Director Fees with respect to such calendar year shall
be paid to the Director  currently in cash. A Cash Deferral  Election may not be
modified or  terminated  with respect to Director  Fees payable for the calendar
year or for any portion of a calendar year for which such Cash Deferral Election
is effective, and such Cash Deferral Election,  unless modified or terminated by
filing a new Notice of Election or a Notice of Termination on or before December
31  immediately  preceding  the  calendar  year for which such  modification  or
termination  is to be  effective,  shall be effective  for and apply to Director
Fees payable with respect to each subsequent calendar year.

         (d) Deferred Stock Payment. Subject to the next succeeding sentence, an
Election to defer the receipt of Director Fees and to receive  eventual  payment
of such  Director Fees in shares of Common Stock (a "Stock  Deferral  Election")
shall be  effective  on  January 1 of the year  following  the date on which the
Notice of Election is filed. A Stock Deferral Election shall be effective on the
date the Notice of Election is filed with  respect to Director  Fees payable for
any portion of a calendar year which  remains at the time of a person's  initial
election to the office of Director, or any subsequent re-election if immediately
prior  thereto such person was not serving as a Director,  provided the Director
files such  Notice of Election  within 30 days  subsequent  to being  elected or
re-elected as a Director.  A Stock Deferral Election shall apply to all Director
Fees otherwise payable while such Stock Deferral Election is effective.  A Stock
Deferral  Election  may not be modified or  terminated  with respect to Director
Fees  payable for the  calendar  year or for any portion of a calendar  year for
which such Stock Deferral  Election is effective.  A Stock Deferral Election may
be modified or terminated with respect to future Director Fees payable, but such
modification  or termination  shall not be effective until January 1 of the year
following the date on which a new Notice of Election or a Notice of  Termination
is filed. A Stock Deferral Election shall continue in effect until the effective
date of any modification or termination.

         (e)  Transition  Provision.  To the extent  there is any  inconsistency
between the  provisions of the Plan as amended by Amendment No. 2 and a deferral
election or the time of payment  provisions of the Plan prior to such  Amendment
No. 2, with respect to deferrals of Director  Fees for periods  prior to January
1, 1994, the deferral election or prior Plan payment provisions shall control.

         (f) Retainer Fees.  Notwithstanding  any other  provision  contained in
this Section 3, effective on the date provided in Section 3(f)(3),  all retainer
fees  payable to  Directors  who are  members of the Board of  Directors  of the
Corporation  or a  Subsidiary  for service in such  capacity  ("Retainer  Fees")
shall,  to the extent shares remain  available for such purpose under Section 1,
be payable in shares of Common Stock on a current or deferred  basis as provided
in this Section 3(f). As used in this Section 3(f),  the term  "Director"  shall
include  only  persons who are actual  members of the Board of  Directors of the
Corporation  or a  Subsidiary  and shall not include any  advisory,  consulting,
business development or similar directors.

                 (1) Current  Payment.  Unless a Retainer  Deferral  Election is
        effective for a Director as provided in Section  3(f)(2) or as otherwise
        provided in Section 3(f)(3),  Retainer Fees shall be payable in the same
        manner as if a Current Stock Election had been made and become effective
        with respect to such Director Fees under Section 3(b).

                 (2) Deferred Payment.  Subject to the next succeeding sentence,
        an  Election  to defer  the  receipt  of  Retainer  Fees and to  receive
        eventual  payment  of such  Director  Fees in shares of Common  Stock (a
        "Retainer  Deferral  Election")  shall be  effective on January 1 of the
        year  following  the date on which the Notice of  Election  is filed.  A
        Retainer  Deferral Election shall be effective on the date the Notice of
        Election  is filed with  respect to  Retainer  Fees  payable  during any
        portion  of a  calendar  year  which  remains  at the time of a person's
        initial   election  to  the  office  of   Director  or  any   subsequent
        re-election,  if immediately  prior thereto such person was not eligible
        to participate  in the Plan,  provided the Director files such Notice of
        Election  prior to or  within 30 days  subsequent  to being  elected  or
        re-elected as a Director.  A Retainer  Deferral  Election shall apply to
        all  Retainer  Fees  otherwise  payable  while  such  Retainer  Deferral
        Election is  effective,  except that until  January 1, 2000,  a Retainer
        Deferral  Election filed on or before December 31, 1998 shall apply only
        to  Retainer  Fees  payable  for  services  as a member  of the Board of
        Directors of the Corporation.  A Retainer  Deferral  Election may not be
        modified or  terminated  with  respect to Retainer  Fees payable for the
        calendar  year or for any  portion  of a  calendar  year for which  such
        Retainer  Deferral  Election is effective.  A Retainer Deferral Election
        may be modified  or  terminated  with  respect to future  Retainer  Fees
        payable,  but such  modification  or termination  shall not be effective
        until January 1 of the year  following the date on which a new Notice of
        Election  or a Notice of  Termination  is  filed.  A  Retainer  Deferral
        Election  shall  continue  in  effect  until the  effective  date of any
        modification  or  termination.  For all  purposes of the Plan other than
        this Section 3, a Retainer  Deferral  Election  shall be considered  and
        treated in the same manner as a Stock  Deferral  Election  under Section
        3(d).

                 (3) Effective Dates;  Transition Provisions.  This Section 3(f)
        is  effective  for  Retainer  Fees for  services  as a  Director  of the
        Corporation  payable on or after May 16, 1995 and will be effective  for
        Retainer  Fees for services as a Director of a Subsidiary  payable on or
        after May 20, 1999.  The  remaining  provisions of this Section 3 and of
        the Plan  shall  continue  to  apply to all  Director  Fees  other  than
        Retainer Fees payable for services as a member of the Board of Directors
        of the  Corporation  or a  Subsidiary.  When this  Section  3(f) becomes
        effective  for a type of Retainer  Fees and  thereafter,  all  Elections
        other than Retainer  Deferral  Elections  shall be deemed  automatically
        modified to exclude such  Retainer  Fees,  except that until  January 1,
        2000, a Stock  Deferral  Election  filed on or before  December 31, 1998
        shall  continue to apply to  Retainer  Fees  payable  for  services as a
        Director of a Subsidiary.

                                    SECTION 4

                       Deferred Cash Compensation Account

         (a) General.  The amount of any Director  Fees  deferred in  accordance
with a Cash  Deferral  Election  shall be  credited  on the  date on which  such
Director Fees are  otherwise  payable to a deferred  cash  compensation  account
maintained  by the  Corporation  or a Subsidiary  in the name of the Director (a
"Deferred Cash  Compensation  Account").  A separate  Deferred Cash Compensation
Account  shall be  maintained  for each  calendar  year for which a Director has
elected a different number of payment installments or as otherwise determined by
the Board of the Corporation.

         (b)  Adjustment  for Earnings or Losses.  The amount in the  Director's
Deferred Cash Compensation  Account shall be adjusted on a quarterly basis as of
the last day of each calendar  quarter to reflect net earnings,  gains or losses
for the quarter.  The adjustment for earnings,  gains or losses for each quarter
shall be equal to the amount determined under (1) or (2) below as follows:

                  (1) Moody's  Long-Term  Corporate Bond Rates. The total amount
         determined by  multiplying  (A) one hundred and five percent  (105%) of
         the average of the Moody's Long-Term Corporate Bond Rates for the three
         (3) months in the current  calendar  quarter divided by twelve,  by (B)
         the balance in the Director's Deferred Cash Compensation  Account as of
         the end of each month in the current quarter; or

                  (2) Deemed  Investment  Funds. The total amount  determined by
         multiplying  the  rate  earned  (positive  or  negative)  by each  fund
         available under the Plan (taking into account earnings  distributed and
         share  appreciation  (gains) or  depreciation  (losses) on the value of
         shares of the fund) for each month of the current  calendar  quarter by
         the portion of the balance in the Director's Deferred Cash Compensation
         Account as of the end of each such month, respectively, which is deemed
         to be invested in the fund pursuant to paragraph (3) below.  Subject to
         elimination,  modification  or addition by the  Corporation's  Board of
         Directors,  the  funds  available  under  the Plan  for the  Director's
         election of deemed investments pursuant to paragraph (3) below shall be
         the same as the funds  (other than the  Keystone  Stock Fund) which are
         available  from time to time for  actual  investment  of  participants'
         contributions under the Corporation's 401(k) Savings Plan.

                  (3)  Deemed Investment Elections.
                       ---------------------------

                           (A)  The  Director   shall   designate,   on  a  form
                  prescribed by the Corporation,  the percentage, in ten percent
                  (10%)  multiples (or such other  percentage as permitted  from
                  time to time by the Board of the Corporation), of the deferred
                  Director  Fees  that are to be deemed  to be  invested  in the
                  available funds under paragraph (2) above, with the balance of
                  the  deferred   Director  Fees  to  receive   interest  credit
                  according to paragraph (1) above.  Said  designation  shall be
                  effective on a date specified by the Board of the  Corporation
                  and  remain in effect  and  apply to all  subsequent  deferred
                  Director Fees until changed as provided below.

                           (B) A  Director  may elect to  change,  on a calendar
                  quarter basis, the deemed investment  election under paragraph
                  (A) above with respect to future deferred  Director Fees among
                  one or more of the options then available by written notice to
                  the Secretary of the Corporation,  on a form prescribed by the
                  Corporation (or by voice or other form of notice  permitted by
                  the Corporation), at least 30 days before the first day of the
                  calendar  quarter as of which the  change is to be  effective,
                  with such change to be effective  for deferred  Director  Fees
                  credited to the Deferred Cash Compensation Account on or after
                  the effective date.

                           (C) A Director may elect to reallocate the balance of
                  his Deferred Cash Compensation Account, subject to limitations
                  imposed by the Board of the Corporation, on a calendar quarter
                  basis,   in  ten  percent  (10%)   multiples  (or  such  other
                  percentage as permitted  from time to time by the Board of the
                  Corporation),   among  the  deemed  investment   options  then
                  available.  A Director  may make such an  election  by written
                  notice  to  the  Secretary  of  the  Corporation,  on  a  form
                  prescribed  by the  Corporation  (or by voice or other form of
                  notice permitted by the Corporation),  at least 30 days before
                  the first day of the calendar quarter as of which the transfer
                  election is to be effective, with such transfer to be based on
                  the value of the  Deferred  Cash  Compensation  Account on the
                  last day of the preceding quarter.

                           (D) The  election  of  deemed  investments  among the
                  options  provided  above shall be the sole  responsibility  of
                  each Director. The Corporation,  the Subsidiaries,  Directors,
                  and   Board   members   are  not   authorized   to  make   any
                  recommendation  to any Director with respect to such election.
                  Each Director  assumes all risk  connected with any adjustment
                  to  the  value  of his  Deferred  Cash  Compensation  Account.
                  Neither the Board, the Corporation,  nor any Subsidiary in any
                  way guarantees against loss or depreciation.

                           (E) All payments from the Plan shall be made from the
                  portion of the Director's  Deferred Cash Compensation  Account
                  which  is  deemed  to be  invested  in the  Moody's  Long-Term
                  Corporate  Bond Rates first,  the Fixed Income Fund next,  the
                  Balanced Fund next,  the Core Equity Fund next, the Aggressive
                  Equity  Fund  next,  the Global  Fund next,  and last from all
                  other  funds  in the  order  established  by the  Board of the
                  Corporation.

                  (4)  Other  Options.  In  addition  to,  or in  lieu  of,  the
         investment options described above, other funds may be established from
         time to time, as determined  by the  Corporation's  Board of Directors,
         and such  Board may  provide  any other  form of  investment  option it
         determines  to be  advisable;  provided,  however,  that such funds and
         options shall be made available and  communicated to all Directors on a
         uniform basis.

         (c) Manner of  Payment.  The  balance  of a  Director's  Deferred  Cash
Compensation  Account  will be paid to the  Director  or,  in the  event  of the
Director's death, to the Director's designated  beneficiary,  in accordance with
the Cash  Deferral  Election.  A Director may elect at the time of filing of the
Notice of  Election  for a Cash  Deferral  Election  to  receive  payment of the
Director Fees in annual  installments  rather than a lump sum, provided that the
payment period for installment payments shall not exceed ten years following the
Payment  Commencement  Date, as described in Section 6 hereof. The amount of any
installment shall be determined by multiplying (i) the balance in the Director's
Deferred Cash  Compensation  Account on the date of such  installment  by (ii) a
fraction,  the  numerator  of which is one and the  denominator  of which is the
number of  remaining  unpaid  installments.  The  balance of the  Deferred  Cash
Compensation  Account shall be  appropriately  reduced on the date of payment to
the Director or the Director's designated beneficiary to reflect the installment
payments  made  hereunder.  Amounts held pending  distribution  pursuant to this
Section 4(c) shall continue to be credited with the earnings, gains or losses on
a quarterly  basis as  described in Section  4(b)  hereof.  Notwithstanding  the
provisions  of any Cash Deferral  Election,  if the balance in any Deferred Cash
Compensation  Account  (including any separate Account maintained for a Director
as  referred  to in the  second  sentence  of  Section  4(a)) as of the  Payment
Commencement Date is less than $5,000, the Corporation may in its discretion pay
the  balance  of the  Account  to the  Director  or  the  Director's  designated
beneficiary in a single lump sum.

                                    SECTION 5

                       Deferred Stock Compensation Account

         (a) General.  The amount of any Director  Fees  deferred in  accordance
with  a  Stock  Deferral   Election  shall  be  credited  to  a  deferred  stock
compensation  account  maintained by the Corporation or a Subsidiary in the name
of the Director (a "Deferred Stock Compensation  Account").  A separate Deferred
Stock Compensation  Account shall be maintained for each calendar year for which
a  Director  has  elected a  different  number  of  payment  installments  or as
otherwise  determined  by the  Board of the  Corporation.  On each date on which
Director Fees are otherwise  payable and a Stock Deferral  Election is effective
for a Director,  the  Director's  Deferred Stock  Compensation  Account for that
calendar  year  shall be  credited  with a number  of  shares  of  Common  Stock
(including  fractional shares) equal to the Director Fees payable divided by the
Fair  Market  Value of one share of the Common  Stock,  as defined in Section 11
hereof,  on the date on which such Director  Fees are payable.  If a dividend or
distribution  is paid on the Common Stock in cash or property  other than Common
Stock,  on the date of payment of the dividend or distribution to holders of the
Common Stock each Deferred Stock  Compensation  Account shall be credited with a
number of shares of Common  Stock  (including  fractional  shares)  equal to the
number of shares of Common Stock  credited to such Account on the date fixed for
determining the  shareholders  entitled to receive such dividend or distribution
times the amount of the dividend or distribution  paid per share of Common Stock
divided by the Fair Market Value of one share of the Common Stock, as defined in
Section 11 hereof, on the date on which the dividend or distribution is paid. If
the dividend or distribution is paid in property,  the amount of the dividend or
distribution  shall equal the fair market  value of the  property on the date on
which the dividend or  distribution  is paid.  The Deferred  Stock  Compensation
Account of a Director  shall be  charged  on the date of  distribution  with any
distribution  of shares of Common Stock made to the  Director  from such Account
pursuant to Section 5(c) hereof.

         (b) Adjustment and  Substitution.  The number of shares of Common Stock
credited to each Deferred Stock Compensation  Account,  and the number of shares
of Common  Stock  available  for  issuance or  crediting  under the Plan in each
calendar  year in  accordance  with Section 1 hereof,  shall be  proportionately
adjusted to reflect any dividend or other distribution on the outstanding Common
Stock  payable in shares of Common  Stock or any split or  consolidation  of the
outstanding  shares of Common Stock. If the  outstanding  Common Stock shall, in
whole or in part,  be changed  into or  exchangeable  for a  different  class or
classes of securities of the Corporation or securities of another corporation or
cash or  property  other than  Common  Stock,  whether  through  reorganization,
reclassification,  recapitalization,  merger,  consolidation  or otherwise,  the
Board of the  Corporation  shall adopt such  amendments  to the Plan as it deems
necessary  to carry out the  purposes  of the  Plan,  including  the  continuing
deferral of any amount of any Deferred Stock Compensation Account.

         (c) Manner of  Payment.  The  balance of a  Director's  Deferred  Stock
Compensation  Account will be paid in shares of Common Stock to the Director or,
in the event of the Director's death, to the Director's designated  beneficiary,
in accordance with the Stock Deferral Election. A Director may elect at the time
of filing of the Notice of  Election  for a Stock  Deferral  Election to receive
payment of the shares of Common Stock credited to the Director's  Deferred Stock
Compensation  Account in annual  installments  rather than a lump sum,  provided
that the  payment  period for  installment  payments  shall not exceed ten years
following the Payment  Commencement  Date as described in Section 6 hereof.  The
number of  shares  of Common  Stock  distributed  in each  installment  shall be
determined  by  multiplying  (i) the  number of  shares  of Common  Stock in the
Deferred Stock Compensation  Account on the date of payment of such installment,
by (ii) a fraction,  the numerator of which is one and the  denominator of which
is the number of remaining unpaid installments, and by rounding such result down
to the nearest  whole  number of shares.  The balance of the number of shares of
Common Stock in the Deferred Stock  Compensation  Account shall be appropriately
reduced in  accordance  with  Section  5(a)  hereof to reflect  the  installment
payments made  hereunder.  Shares of Common Stock  remaining in a Deferred Stock
Compensation  Account pending  distribution  pursuant to this Section 5(c) shall
continue to be credited with respect to dividends or  distributions  paid on the
Common Stock  pursuant to Section 5(a) hereof and shall be subject to adjustment
pursuant to Section 5(b) hereof.  If a lump sum payment or the final installment
payment  hereunder would result in the issuance of a fractional  share of Common
Stock,  such  fractional  share  shall  not be  issued  and cash in lieu of such
fractional share shall be paid to the Director based on the Fair Market Value of
a share  of  Common  Stock,  as  defined  in  Section  11  hereof,  on the  date
immediately  preceding the date of such  payment.  The  Corporation  shall issue
share certificates to the Director,  or the Director's  designated  beneficiary,
for the shares of Common Stock distributed hereunder, or if requested in writing
by the Director,  the shares to be distributed  shall be added to the Director's
account under the Corporation's  Dividend  Reinvestment  Plan. As of the date on
which the Director is entitled to receive  payment of shares of Common Stock,  a
Director shall be a shareholder of the Corporation  with respect to such shares.
Notwithstanding  the  provisions  of any Stock  Deferral  Election,  if the Fair
Market Value of any Deferred Stock Compensation  Account (including any separate
Account  maintained  for a Director  as  referred  to in the second  sentence of
Section  5(a)) as of the  Payment  Commencement  Date is less than  $5,000,  the
Corporation may in its discretion pay the balance of the Account to the Director
or the Director's designated beneficiary in a single lump sum.

                                    SECTION 6

                            Payment Commencement Date

         Payment  of  amounts  in a  Deferred  Cash  Compensation  Account  or a
Deferred Stock  Compensation  Account shall commence on March 30 (or if March 30
is not a business day, on the first preceding business day) of the calendar year
following the calendar  year during which the Director  ceases to be a member of
all Boards for any reason, including death or disability.

                                    SECTION 7

                             Beneficiary Designation

         A  Director  may  designate,   in  the  Beneficiary   Designation  form
prescribed by the Corporation,  any person to whom payments of cash or shares of
Common Stock are to be made if the Director dies before receiving payment of all
amounts due hereunder.  A beneficiary  designation  will be effective only after
the  signed  beneficiary  designation  form is filed with the  Secretary  of the
Corporation  while  the  Director  is alive  and  will  cancel  all  beneficiary
designations  signed and filed  earlier.  If the  Director  fails to designate a
beneficiary,  or if all designated  beneficiaries of the Director die before the
Director or before complete payment of all amounts due hereunder,  any remaining
unpaid amounts shall be paid in one lump sum to the estate of the last to die of
the Director or the Director's designated beneficiaries, if any.

                                    SECTION 8

                          Non-Alienability of Benefits

         Neither the Director  nor any  beneficiary  designated  by the Director
shall have the right to,  directly or indirectly,  alienate,  assign,  transfer,
pledge, anticipate or encumber (except by reason of death) any amount that is or
may be payable hereunder,  nor shall any such amount be subject to anticipation,
alienation,  sale, transfer,  assignment,  pledge,  encumbrance,  attachment, or
garnishment  by  creditors  of  the  Director  or  the   Director's   designated
beneficiary or to the debts, contracts,  liabilities,  engagements,  or torts of
any Director or designated  beneficiary,  or transfer by operation of law in the
event of bankruptcy or  insolvency  of the Director or any  beneficiary,  or any
legal process.

                                    SECTION 9

                           Nature of Deferred Accounts

         Any Deferred Cash Compensation  Account or Deferred Stock  Compensation
Account and any cash fractional  amount  accumulated under Section 3(c) shall be
established and maintained only on the books and records of the Corporation or a
Subsidiary,  and no assets or funds of the Corporation, a Subsidiary or the Plan
or shares of Common Stock of the Corporation shall be removed from the claims of
the Corporation's or a Subsidiary's  general or judgment  creditors or otherwise
made  available  until such amounts are  actually  payable to Directors or their
designated beneficiaries as provided herein. The Plan constitutes a mere promise
by the Corporation or a Subsidiary to make payments in the future. The Directors
and their designated beneficiaries shall have the status of, and their rights to
receive a payment of cash or shares of Common  Stock  under the Plan shall be no
greater than the rights of, general  unsecured  creditors of the  Corporation or
the applicable Subsidiary. No person shall be entitled to any voting rights with
respect to shares credited to a Deferred Stock Compensation  Account and not yet
payable to a Director or the Director's designated beneficiary.  The Corporation
and  Subsidiaries  shall not be obligated  under any  circumstance to fund their
respective  financial  obligations  under the Plan and the Plan is  intended  to
constitute an unfunded plan for tax purposes.  However,  the  Corporation or any
Subsidiary may, in its discretion,  set aside funds in a trust or other vehicle,
subject to the  claims of its  creditors,  in order to assist it in meeting  its
obligations  under the Plan, if such  arrangement  will not cause the Plan to be
considered a funded deferred  compensation  plan under the Internal Revenue Code
of 1986,  as  amended,  and  provided,  further,  that any trust  created by the
Corporation  or a  Subsidiary,  and any assets  held by such trust to assist the
Corporation  or the  Subsidiary in meeting its  obligations  under the Plan will
conform to the terms of the model  trust,  as  described  in Rev.  Proc.  92-64,
1992-2 C.B. 422 or any successor.

                                   SECTION 10

                   Administration of Plan; Hardship Withdrawal

         Full power and authority to construe,  interpret,  and  administer  the
Plan shall be vested in the Board of the  Corporation.  Decisions  of such Board
shall be final,  conclusive,  and binding upon all parties.  Notwithstanding the
terms  of a Cash  Deferral  Election  or a  Stock  Deferral  Election  made by a
Director  hereunder,  the Board of the Corporation  may, in its sole discretion,
permit the  withdrawal  of amounts  credited  to a  Deferred  Cash  Compensation
Account or shares credited to a Deferred Stock Compensation Account with respect
to  Director  Fees  previously  payable,  upon the  request of a Director or the
Director's representative, or following the death of a Director upon the request
of a Director's beneficiary or such beneficiary's representative,  if such Board
determines that the Director or the Director's beneficiary,  as the case may be,
is  confronted  with  an   unforeseeable   emergency.   For  this  purpose,   an
unforeseeable emergency is an unanticipated emergency caused by an event that is
beyond the control of the Director or the Director's  beneficiary and that would
result  in  severe  financial   hardship  to  the  Director  or  the  Director's
beneficiary if an early hardship withdrawal were not permitted.  The Director or
the  Director's  beneficiary  shall  provide to such Board such  evidence as the
Board, in its discretion may require to demonstrate  that such emergency  exists
and financial  hardship  would occur if the withdrawal  were not permitted.  The
withdrawal  shall be limited  to the  amount or to the number of shares,  as the
case may be,  necessary  to meet the  emergency.  For  purposes  of the Plan,  a
hardship shall be considered to constitute an immediate and unforeseen financial
hardship if the  Director  has an  unexpected  need for cash to pay for expenses
incurred by him or a member of his immediate  family  (spouse  and/or natural or
adopted  children) such as those arising from illness,  casualty loss, or death.
Cash needs arising from foreseeable  events, such as the purchase or building of
a house or  education  expenses  will not be  considered  to be the result of an
unforeseeable financial emergency. Payment shall be made, as soon as practicable
after the Board of the  Corporation  approves  the  payment and  determines  the
amount of the payment or number of shares which shall be withdrawn,  in a single
lump sum from the portion of the Deferred Cash Compensation  Account or Deferred
Stock Compensation  Account,  as applicable,  for calendar years beginning on or
after January 1, 1994 with the longest number of installment payments first, and
then from the portion of the same account representing  calendar years beginning
prior to January 1, 1994 with the latest Payment  Commencement  Dates first,  in
each case in accordance with Section  4(b)(3)(E) if the distribution is from the
Deferred  Cash  Compensation  Account.  No  Director  shall  participate  in any
decision of such Board regarding such Director's  request for a withdrawal under
this Section 10.

                                   SECTION 11

                                Fair Market Value

         Fair market  value of the Common  Stock  shall be the mean  between the
following prices,  as applicable,  for the date as of which fair market value is
to be determined as quoted in The Wall Street Journal (or in such other reliable
publication as the Board of the Corporation or its delegate,  in its discretion,
may  determine to rely upon):  (a) if the Common Stock is listed on the New York
Stock  Exchange,  the  highest and lowest  sales  prices per share of the Common
Stock as quoted in the NYSE-Composite Transactions listing for such date, (b) if
the Common  Stock is not listed on such  exchange,  the highest and lowest sales
prices  per share of Common  Stock for such date on (or on any  composite  index
including) the principal United States securities  exchange registered under the
Securities  Exchange Act of 1934 on which the Common Stock is listed,  or (c) if
the Common  Stock is not listed on any such  exchange,  the  highest  and lowest
sales  prices  per  share of the  Common  Stock  for such  date on the  National
Association of Securities  Dealers Automated  Quotations System or any successor
system then in use  ("NASDAQ").  If there are no such sale price  quotations for
the date as of which fair market  value is to be  determined  but there are such
sale price  quotations  within a  reasonable  period  both before and after such
date, then fair market value shall be determined by taking a weighted average of
the means  between the highest and lowest  sales  prices per share of the Common
Stock as so quoted on the nearest  date  before and the  nearest  date after the
date as of which fair market value is to be  determined.  The average  should be
weighted inversely by the respective numbers of trading days between the selling
dates and the date as of which fair market value is to be  determined.  If there
are no such sale price  quotations on or within a reasonable  period both before
and after the date as of which fair market value is to be determined,  then fair
market value of the Common Stock shall be the mean between the bona fide bid and
asked prices per share of Common Stock as so quoted for such date on NASDAQ,  or
if none, the weighted  average of the means between such bona fide bid and asked
prices on the nearest trading date before and the nearest trading date after the
date as of which fair market value is to be  determined,  if both such dates are
within a  reasonable  period.  The  average  is to be  determined  in the manner
described above in this Section 11. If the fair market value of the Common Stock
cannot be determined on the basis previously set forth in this Section 11 on the
date as of  which  fair  market  value  is to be  determined,  the  Board of the
Corporation or its delegate shall in good faith  determine the fair market value
of the Common Stock on such date. Fair market value shall be determined  without
regard to any restriction  other than a restriction  which,  by its terms,  will
never lapse.

                                   SECTION 12

                       Securities Laws; Issuance of Shares

         The  obligation of the  Corporation to issue or credit shares of Common
Stock under the Plan shall be subject to (i) the effectiveness of a registration
statement  under the  Securities  Act of 1933, as amended,  with respect to such
shares, if deemed necessary or appropriate by counsel for the Corporation,  (ii)
the condition  that the shares shall have been listed (or authorized for listing
upon official notice of issuance) upon each stock exchange, if any, on which the
Common  Stock  shares  may then be listed and (iii) all other  applicable  laws,
regulations,  rules and orders  which may then be in effect.  If, on the date on
which any shares of Common  Stock would be issued  pursuant  to a Current  Stock
Election or credited to a Deferred Stock Compensation Account, sufficient shares
of Common  Stock are not  available  under  the Plan or the  Corporation  is not
obligated to issue shares  pursuant to this Section 12, then no shares of Common
Stock shall be issued or credited  but  rather,  in the case of a Current  Stock
Election, cash shall be paid in payment of the Director Fees payable, and in the
case of a Deferred Stock Compensation Account, Director Fees and dividends which
would  otherwise  have been credited in shares of Common Stock shall be credited
in cash to a Deferred Cash Compensation Account in the name of the Director. The
Board of the Corporation  shall adopt appropriate rules and regulations to carry
out the intent of the immediately  preceding sentence if the need for such rules
and regulations arises.

                                   SECTION 13

                                  Governing Law

         The  provisions  of this Plan shall be  interpreted  and  construed  in
accordance with the laws of the Commonwealth of Pennsylvania.

                                   SECTION 14

                    Effective Date; Amendment and Termination

         The Plan was adopted by the Board of  Directors of the  Corporation  on
March 26,  1992 and  became  effective  on May 14,  1992,  the date of  approval
approval of the Plan by the  shareholders  of the Corporation at its 1992 Annual
Meeting.  The Board of Directors of the  Corporation  may amend or terminate the
Plan at any time, provided that no such amendment or termination shall adversely
affect  rights with  respect to amounts or shares then  credited to any Deferred
Cash Compensation Account or Deferred Stock Compensation Account.

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