Document:

exv4w20

Exhibit 4.20

PREFERRED SECURITIES GUARANTEE AGREEMENT

by and between

EVANS BANCORP, INC.,

as Guarantor

and

WILMINGTON TRUST COMPANY,

as Guarantee Trustee

relating to

EVANS CAPITAL TRUST III

Dated as of                                         

 

 

TABLE OF CONTENTS

	 	 	 	 	 
	ARTICLE I
	 
	 
	 	 	 	 
	Definitions
	 
	 
	 	 	 	 
	Section 1.1. Definitions
	 	 	1	 
	 
	 	 	 	 
	ARTICLE II
	 
	 
	 	 	 	 
	Trust Indenture Act
	 
	 
	 	 	 	 
	Section 2.1. Trust Indenture Act; Application
	 	 	3	 
	Section 2.2. List of Holders
	 	 	3	 
	Section 2.3. Reports by the Guarantee Trustee
	 	 	3	 
	Section 2.4. Periodic Reports to the Guarantee Trustee
	 	 	4	 
	Section 2.5. Evidence of Compliance with Conditions Precedent
	 	 	4	 
	Section 2.6. Events of Default; Waiver
	 	 	4	 
	Section 2.7. Event of Default; Notice
	 	 	4	 
	Section 2.8. Conflicting Interests
	 	 	4	 
	 
	 	 	 	 
	ARTICLE III
	 
	 
	 	 	 	 
	Powers, Duties and Rights of the Guarantee Trustee
	 
	 
	 	 	 	 
	Section 3.1. Powers and Duties of the Guarantee Trustee
	 	 	4	 
	Section 3.2. Certain Rights of Guarantee Trustee
	 	 	5	 
	Section 3.3. Compensation; Indemnity; Fees
	 	 	6	 
	 
	 	 	 	 
	ARTICLE IV
	 
	 
	 	 	 	 
	Guarantee Trustee
	 
	 
	 	 	 	 
	Section 4.1. Guarantee Trustee; Eligibility
	 	 	7	 
	Section 4.2. Appointment, Removal and Resignation of the Guarantee Trustee
	 	 	7	 
	 
	 	 	 	 
	ARTICLE V
	 
	 
	 	 	 	 
	Guarantee
	 
	 
	 	 	 	 
	Section 5.1. Guarantee
	 	 	8	 
	Section 5.2. Waiver of Notice and Demand
	 	 	8	 
	Section 5.3. Obligations Not Affected
	 	 	8	 
	Section 5.4. Rights of Holders
	 	 	9	 
	Section 5.5. Guarantee of Payment
	 	 	9	 
	Section 5.6. Subrogation
	 	 	9	 
	Section 5.7. Independent Obligations
	 	 	9	 

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	ARTICLE VI
	 
	 
	 	 	 	 
	Covenants and Subordination
	 
	 
	 	 	 	 
	Section 6.1. Subordination
	 	 	9	 
	Section 6.2. Pari Passu Guarantees
	 	 	9	 
	 
	 	 	 	 
	ARTICLE VII
	 
	 
	 	 	 	 
	Termination
	 
	 
	 	 	 	 
	Section 7.1. Termination
	 	 	10	 
	 
	 	 	 	 
	ARTICLE VIII
	 
	 
	 	 	 	 
	Miscellaneous
	 
	 
	 	 	 	 
	Section 8.1. Successors and Assigns
	 	 	10	 
	Section 8.2. Amendments
	 	 	10	 
	Section 8.3. Notices
	 	 	10	 
	Section 8.4. Benefit
	 	 	11	 
	Section 8.5. Governing Law
	 	 	11	 
	Section 8.6. Counterparts
	 	 	11	 
	Section 8.7. Force Majeure
	 	 	11	 

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     GUARANTEE AGREEMENT, dated as of                                         , between EVANS BANCORP, INC., a New York
corporation (the “Guarantor”), and WILMINGTON TRUST COMPANY, as trustee (the “Guarantee Trustee”),
for the benefit of the Holders (as defined herein) from time to time of the Preferred Securities
(as defined herein) of EVANS CAPITAL TRUST III, a Delaware statutory trust (the “Issuer Trust”).

RECITALS OF THE GUARANTOR AND THE ISSUER TRUST

     WHEREAS, pursuant to an Amended and Restated Declaration of Trust, dated as of
                                         (the “Declaration of Trust”), among Evans Bancorp, Inc., as Sponsor, Wilmington
Trust Company, as Property Trustee, Wilmington Trust Company, as Delaware Trustee, and the
Administrative Trustees named therein, the Issuer Trust is issuing up to $                     aggregate
Liquidation Amount (as defined in the Declaration of Trust) of its ___% Preferred Securities
(liquidation amount $         per Preferred Security) (the “Preferred Securities”), representing
preferred undivided beneficial interests in the assets of the Issuer Trust and having the terms set
forth in the Declaration of Trust; and

     WHEREAS, the Preferred Securities will be issued by the Issuer Trust and the proceeds thereof,
together with the proceeds from the issuance of the Issuer Trust’s Common Securities (as defined
herein), will be used to purchase the Debentures (as defined in the Declaration of Trust) of the
Guarantor, which Debentures will be deposited with Wilmington Trust Company, as Property Trustee
under the Declaration of Trust, as trust assets; and

     WHEREAS, as an incentive for the Holders to purchase Preferred Securities, the Guarantor
irrevocably and unconditionally agrees, to the extent set forth herein, to pay to the Holders of
the Preferred Securities the Guarantee Payments (as defined herein) and to make certain other
payments on the terms and conditions set forth herein.

     NOW, THEREFORE, in consideration of the purchase of Preferred Securities by each Holder, which
purchase the Guarantor hereby acknowledges shall benefit the Guarantor, the Guarantor executes and
delivers this Guarantee Agreement for the benefit of the Holders from time to time of the Preferred
Securities.

ARTICLE I

DEFINITIONS

	 	 	Section 1.1 Definitions.

     For all purposes of this Guarantee Agreement, except as otherwise expressly provided or unless
the context otherwise requires:

          (a) The terms defined in this Article have the meanings assigned to them in this
Article, and include the plural as well as the singular;

          (b) All other terms used herein that are defined in the Trust Indenture Act (as defined
herein), either directly or by reference therein, have the meanings assigned to them therein;

          (c) The words “include”, “includes” and “including” shall be deemed to be followed by the
phrase “without limitation”;

          (d) All accounting terms used but not defined herein have the meanings assigned to them in
accordance with United States generally accepted accounting principles;

          (e) Unless the context otherwise requires, any reference to an “Article” or a
“Section” refers to an Article or a Section, as the case may be, of this Guarantee
Agreement; and

          (f) The words “hereby”, “herein”, “hereof and “hereunder” and other words of similar
import refer to this Guarantee Agreement as a whole and not to any particular Article, Section or
other subdivision.

          “Affiliate” of any specified Person means any other Person directly or indirectly controlling
or controlled by or under direct or indirect common control with such specified Person. For the
purposes of this definition, “control”, when used with respect to any specified Person, means the
power to direct the management and policies of such Person, directly or indirectly, whether through
the ownership of voting securities, by contract or otherwise; and the terms “controlling” and
“controlled” have meanings correlative to the foregoing.

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          “Preferred Securities” shall have the meaning specified in the first recital of this
Guarantee Agreement.

          “Common Securities” means the securities representing common undivided beneficial interests
in the assets of the Issuer Trust.

          “Declaration of Trust” means the Amended and Restated Declaration of Trust of the Issuer Trust
referred to in the recitals to this Guarantee Agreement, as modified, amended or supplemented from
time to time.

          “Event of Default” means (i) a default by the Guarantor in any of its payment obligations
under this Guarantee Agreement or (ii) a default by the Guarantor in any other obligation hereunder
that remains unremedied for 30 days.

          “Guarantee Agreement” means this Guarantee Agreement, as modified, amended or
supplemented from time to time.

          “Guarantee Payments” means the following payments or distributions, without duplication, with
respect to the Preferred Securities, to the extent not paid or made by or on behalf of the Issuer
Trust: (i) any accumulated and unpaid Distributions (as defined in the Declaration of Trust)
required to be paid on the Preferred Securities, to the extent the Issuer Trust shall have funds on
hand available therefor at such time; (ii) the Redemption Price (as defined in the Declaration of
Trust) with respect to any Preferred Securities called for redemption by the Issuer Trust, to the
extent the Issuer Trust shall have funds on hand available therefor at such time; and (iii) upon a
voluntary or involuntary termination, winding-up or liquidation of the Issuer Trust, unless
Debentures are distributed to the Holders, the lesser of (a) the Liquidation Distribution (as
defined in the Declaration of Trust) with respect to the Preferred Securities, to the extent that
the Issuer Trust shall have funds on hand available therefor at such time, and (b) the amount of
assets of the Issuer Trust remaining available for distribution to Holders on liquidation of the
Issuer Trust.

          “Guarantee Trustee” means Wilmington Trust Company, solely in its capacity as Guarantee
Trustee and not in its individual capacity, until a Successor Guarantee Trustee has been appointed
and has accepted such appointment pursuant to the terms of this Guarantee Agreement, and thereafter
means each such Successor Guarantee Trustee.

          “Guarantor” has the meaning specified in the preamble to this Guarantee Agreement.

          “Holder” means any Holder (as defined in the Declaration of Trust) of any Preferred
Securities; provided, however, that in determining whether the holders of the requisite percentage
of Preferred Securities have given any request, notice, consent or waiver hereunder, “Holder” shall
not include the Guarantor, the Guarantee Trustee, or any Affiliate of the Guarantor or the
Guarantee Trustee.

          “Indenture” means the Junior Subordinated Indenture, dated as of                                         , between
Evans Bancorp, Inc. and Wilmington Trust Company, as trustee, as the same may be modified, amended
or supplemented from time to time.

          “Issuer Trust” has the meaning specified in the preamble to this Guarantee Agreement.

          “List of Holders” has the meaning specified in Section 2.2(a).

          “Majority in Liquidation Amount of the Preferred Securities” means, except as provided by the
Trust Indenture Act, Preferred Securities representing more than 50% of the aggregate Liquidation
Amount (as defined in the Declaration of Trust) of all Preferred Securities then Outstanding (as
defined in the Declaration of Trust).

          “Officers’ Certificate” means a certificate signed by the Chairman of the Board of Directors,
a Vice Chairman of the Board of Directors, the Chief Executive Officer, the Chief Financial
Officer, the President or a Vice President, the Treasurer, an Assistant Treasurer, the Secretary or
an Assistant Secretary of the Guarantor, and delivered to the Guarantee Trustee. Any Officers’
Certificate delivered with respect to compliance with a condition or covenant provided for in this
Guarantee Agreement shall include:

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          (a) a statement by each officer signing the Officers’ Certificate that such officer has
read the covenant or condition and the definitions relating thereto;

          (b) a brief statement of the nature and scope of the examination or investigation
undertaken by each officer in rendering the Officers’ Certificate;

          (c) a statement that each officer has made such examination or investigation as, in such
officer’s opinion, is necessary to enable such officer to express an informed opinion as to whether
or not such covenant or condition has been complied with; and

          (d) a statement as to whether, in the opinion of each officer, such condition or
covenant has been complied with.

          “Person” means a legal person, including any individual, corporation, estate, partnership,
joint venture, association, joint-stock company, company, limited liability company, trust,
business trust, statutory trust, unincorporated association, or government or any agency or
political subdivision thereof, or any other entity of whatever nature.

          “Preferred Securities” has the meaning specified in the recitals to this Guarantee
Agreement.

          “Successor Guarantee Trustee” means a successor Guarantee Trustee possessing the
qualifications to act as Guarantee Trustee under Section 4.1.

          “Trust Indenture Act” means the Trust Indenture Act of 1939 as in force at the date as of
which this Guarantee Agreement was executed; provided, however, that in the event the Trust
Indenture Act of 1939 is amended after such date, “Trust Indenture Act” means, to the extent
required by any such amendment, the Trust Indenture Act of 1939 as so amended.

ARTICLE II

TRUST INDENTURE ACT

     Section 2.1 Trust Indenture Act; Application.

          (a) This Guarantee Agreement is subject to the provisions of the Trust Indenture Act that
are required to be part of this Guarantee Agreement and shall, to the extent applicable, be
governed by such provisions.

          (b) If and to the extent that any provision of this Guarantee Agreement limits, qualifies
or conflicts with the duties imposed by Sections 310 to 317, inclusive, of the Trust Indenture Act
through the operation of Section 318(c) thereof, such imposed duties shall control. If any
provision of this Guarantee Agreement modifies or excludes any provision of the Trust Indenture Act
which may be so modified or excluded, the latter provision shall be deemed to apply to this
Guarantee Agreement as so modified or to be excluded, as the case may be.

     Section 2.2 List of Holders.

          (a) The Guarantor shall furnish or cause to be furnished to the Guarantee Trustee (a)
semiannually, on or before June 30 and December 31 of each year, a list, in such form as the
Guarantee Trustee may reasonably require, of the names and addresses of the Holders (a “List of
Holders”) as of a date not more than 15 days prior to the delivery thereof, and (b) at such other
times as the Guarantee Trustee may request in writing, within 30 days after the receipt by the
Guarantor of any such request, a List of Holders as of a date not more than 15 days prior to the
time such list is furnished, in each case to the extent such information is in the possession or
control of the Guarantor and is not identical to a previously supplied list of Holders or has not
otherwise been received by the Guarantee Trustee in its capacity as such. The Guarantee Trustee may
destroy any List of Holders previously given to it on receipt of a new List of Holders.

          (b) The Guarantee Trustee shall comply with the requirements of Section 31l(a), Section
31l(b) and Section 312(b) of the Trust Indenture Act.

     Section 2.3 Reports by the Guarantee Trustee.

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     Not later than June 15 of each year, commencing June 15, 2008, the Guarantee Trustee shall
provide to the Holders such reports, if any, as are required by Section 313 of the Trust Indenture
Act in the form and in the manner provided by Section 313 of the Trust Indenture Act. The Guarantee
Trustee shall also comply with the requirements of Section 313(d) of the Trust Indenture Act.

     Section 2.4 Periodic Reports to the Guarantee Trustee.

     The Guarantor shall provide to the Guarantee Trustee, the Securities and Exchange Commission
and the Holders such documents, reports and information, if any, as required by Section 314 of the
Trust Indenture Act and the compliance certificate required by Section 314 of the Trust Indenture
Act, in the form, in the manner and at the times required by Section 314 of the Trust Indenture
Act.

     Section 2.5 Evidence of Compliance with Conditions Precedent.

     The Guarantor shall provide to the Guarantee Trustee such evidence of compliance with such
conditions precedent, if any, provided for in this Guarantee Agreement that relate to any of the
matters set forth in Section 314(c) of the Trust Indenture Act. Any certificate or opinion required
to be given by an officer of the Guarantor pursuant to Section 314(c)(l) maybe given in the form of
an Officers’ Certificate.

     Section 2.6 Events of Default; Waiver.

     The Holders of at least a Majority in Liquidation Amount of the Preferred Securities may, by
vote, on behalf of the Holders of all the Preferred Securities, waive any past default or Event of
Default and its consequences. Upon such waiver, any such default or Event of Default shall cease to
exist, and any default or Event of Default arising therefrom shall be deemed to have been cured,
for every purpose of this Guarantee Agreement, but no such waiver shall extend to any subsequent or
other default or Event of Default or impair any right consequent therefrom.

     Section 2.7 Event of Default; Notice.

          (a) The Guarantee Trustee shall, within 90 days after the occurrence of an Event of
Default, transmit by mail, first class postage prepaid, to the Holders, notice of any such Event of
Default known to the Guarantee Trustee, unless such Event of Default has been cured before the
giving of such notice, provided that, except in the case of a default in the payment of a Guarantee
Payment, the Guarantee Trustee shall be protected in withholding such notice if and so long as the
board of directors, the executive committee or a trust committee of directors of the Guarantee
Trustee in good faith determines that the withholding of such notice is in the interests of the
Holders.

          (b) The Guarantee Trustee shall not be deemed to have knowledge of any Event of Default
unless the Guarantee Trustee shall have received written notice, or an officer of the Guarantee
Trustee charged with the administration of this Guarantee Agreement shall have obtained written
notice of such Event of Default.

     Section 2.8 Conflicting Interests.

     The Declaration of Trust and the Indenture shall be deemed to be specifically described in
this Guarantee Agreement for the purposes of clause (i) of the first proviso contained in Section
310(b) of the Trust Indenture Act.

ARTICLE III

POWERS, DUTIES AND RIGHTS OF THE GUARANTEE TRUSTEE

     Section 3.1 Powers and Duties of the Guarantee Trustee.

          (a) This Guarantee Agreement shall be held by the Guarantee Trustee for the benefit of the
Holders, and the Guarantee Trustee shall not transfer this Guarantee Agreement to any Person except
to a Successor Guarantee Trustee on acceptance by such Successor Guarantee Trustee of its
appointment to act as Guarantee Trustee hereunder. The right, title and interest of the Guarantee
Trustee, as such, hereunder shall automatically vest in any Successor Guarantee Trustee, upon
acceptance by such Successor Guarantee Trustee of its appointment hereunder, and such vesting of
title shall be effective whether or not conveyancing documents have been executed and delivered
pursuant to the appointment of such Successor Guarantee Trustee.

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          (b) If an Event of Default has occurred and is continuing, the Guarantee Trustee shall
enforce this Guarantee Agreement for the benefit of the Holders.

          (c) The Guarantee Trustee, before the occurrence of any Event of Default, and after the
curing of all Events of Default that may have occurred, shall undertake to perform only such duties
as are specifically set forth in this Guarantee Agreement, and no implied covenants shall be read
into this Guarantee Agreement against the Guarantee Trustee. If an Event of Default has occurred
(that has not been cured or waived pursuant to Section 2.6), the Guarantee Trustee shall exercise
such of the rights and powers vested in it by this Guarantee Agreement, and use the same degree of
care and skill in its exercise thereof, as a prudent person would exercise or use under the
circumstances in the conduct of his or her own affairs.

          (d) No provision of this Guarantee Agreement shall be construed to relieve the Guarantee
Trustee from liability for its own negligent action, its own negligent failure to act or its own
willful misconduct, except that:

          (i) Prior to the occurrence of any Event of Default and after the curing or
waiving of all such Events of Default that may have occurred:

          (A) the duties and obligations of the Guarantee Trustee shall be determined
solely by the express provisions of this Guarantee Agreement (including pursuant to
Section 2.1), and the Guarantee Trustee shall not be liable except for the
performance of such duties and obligations as are specifically set forth in this
Guarantee Agreement; and

          (B) in the absence of bad faith on the part of the Guarantee Trustee, the
Guarantee Trustee may conclusively rely, as to the truth of the statements and the
correctness of the opinions expressed therein, upon any certificates or opinions
furnished to the Guarantee Trustee and conforming to the requirements of this
Guarantee Agreement; but in the case of any such certificates or opinions that by
any provision hereof or of the Trust Indenture Act are specifically required to be
furnished to the Guarantee Trustee, the Guarantee Trustee shall be under a duty to
examine the same to determine whether or not they conform to the requirements of
this Guarantee Agreement.

          (ii) The Guarantee Trustee shall not be liable for any error of judgment made in good
faith by an officer of the Guarantee Trustee, unless it shall be proved that the Guarantee
Trustee was negligent in ascertaining the pertinent facts upon which such judgment was made.

          (iii) The Guarantee Trustee shall not be liable with respect to any action taken or
omitted to be taken by it in good faith in accordance with the direction of the Holders of
not less than a Majority in Liquidation Amount of the Preferred Securities relating to the
time, method and place of conducting any proceeding for any remedy available to the Guarantee
Trustee, or exercising any trust or power conferred upon the Guarantee Trustee under this
Guarantee Agreement.

          (iv) No provision of this Guarantee Agreement shall require the Guarantee Trustee to
expend or risk its own funds or otherwise incur personal financial liability in the
performance of any of its duties or in the exercise of any of its rights or powers if the
Guarantee Trustee shall have reasonable grounds for believing that the repayment of such
funds or liability is not assured to it under the terms of this Guarantee Agreement or
adequate indemnity against such risk or liability is not reasonably assured to it.

     Section 3.2 Certain Rights of Guarantee Trustee.

          (a) Subject to the provisions of Section 3.1:

          (i) The Guarantee Trustee may rely and shall be fully protected in acting or
refraining from acting upon any resolution, certificate, statement, instrument, opinion,
report, notice, request, direction, consent, order, bond, debenture, note, other evidence of
indebtedness or other paper or document reasonably believed by it to be genuine and to have
been signed, sent or presented by the proper party or parties.

          (ii) Any direction or act of the Guarantor contemplated by this Guarantee Agreement
shall be sufficiently evidenced by an Officers’ Certificate unless otherwise prescribed
herein.

          (iii) Whenever, in the administration of this Guarantee Agreement, the Guarantee
Trustee

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shall deem it desirable that a matter be proved or established before taking, suffering
or omitting to take any action hereunder, the Guarantee Trustee (unless other evidence is
herein specifically prescribed) may, in the absence of bad faith on its part, request and
rely upon an Officers’ Certificate which, upon receipt of such request from the Guarantee
Trustee, shall be promptly delivered by the Guarantor.

          (iv) The Guarantee Trustee may consult with legal counsel, and the written advice or
opinion of such legal counsel with respect to legal matters shall be full and complete
authorization and protection in respect of any action taken, suffered or omitted to be taken
by it hereunder in good faith and in accordance with such advice or opinion. Such legal
counsel may be legal counsel to the Guarantor or any of its Affiliates and may be one of its
employees. The Guarantee Trustee shall have the right at any time to seek instructions
concerning the administration of this Guarantee Agreement from any court of competent
jurisdiction.

          (v) The Guarantee Trustee shall be under no obligation to exercise any of the rights
or powers vested in it by this Guarantee Agreement at the request or direction of any Holder
unless such Holder shall have provided to the Guarantee Trustee such adequate security and
indemnity as would satisfy a reasonable person in the position of the Guarantee Trustee
against the costs, expenses (including attorneys’ fees and expenses) and liabilities that
might be incurred by it in complying with such request or direction, including such
reasonable advances as may be requested by the Guarantee Trustee; provided that nothing
contained in this Section 3.2(a)(v) shall be taken to relieve the Guarantee Trustee, upon the
occurrence of an Event of Default, of its obligation to exercise the rights and powers vested
in it by this Guarantee Agreement.

          (vi) The Guarantee Trustee shall not be bound to make any investigation into the
facts or matters stated in any resolution, certificate, statement, instrument, opinion,
report, notice, request, direction, consent, order, bond, debenture, note, other evidence of
indebtedness or other paper or document, but the Guarantee Trustee, in its discretion, may
make such further inquiry or investigation into such facts or matters as it may see fit.

          (vii) The Guarantee Trustee may execute any of the trusts or powers hereunder or
perform any duties hereunder either directly or by or through its agents or attorneys, and
the Guarantee Trustee shall not be responsible for any misconduct or negligence on the part
of any such agent or attorney appointed by it with due care hereunder.

          (viii) Whenever in the administration of this Guarantee Agreement the Guarantee
Trustee shall deem it desirable to receive instructions with respect to enforcing any remedy
or right or taking any other action hereunder, the Guarantee Trustee (A) may request
instructions from the Holders, (B) may refrain from enforcing such remedy or right or taking
such other action until such instructions are received, and (C) shall be protected in acting
in accordance with such instructions.

          (ix) the Guarantee Trustee shall not be deemed to have notice or be charged with
knowledge of any default or Event of Default unless a Responsible Officer of the Guarantee Trustee
has actual knowledge thereof or unless written notice of such a Default is received from the
Depositor, any Administrative Trustee, Debenture Trustee or a Holder
by the Guarantee Trustee at the
Corporate Trust Office of the Guarantee Trustee, and such notice references the Trust Securities;

          (x) the rights, privileges, protections, immunities and benefits given to the Guarantee
Trustee, including, without limitation, its right to be indemnified, are extended to, and shall be
enforceable by, the Guarantee Trustee in each of its capacities hereunder, and to each agent,
custodian and other Person employed to act hereunder; and

          (xi) anything in this Agreement notwithstanding, in no event shall the Guarantee Trustee be
responsible or liable for special, indirect or consequential loss or damage of any kind whatsoever (including, but not limited to, loss of profit) irrespective of whether the Trustees have been
advised of the likelihood of such loss or damage regardless of the form of action.

          (b) No provision of this Guarantee Agreement shall be deemed to impose any duty or
obligation on the Guarantee Trustee to perform any act or acts or exercise any right, power, duty
or obligation conferred or imposed on it in any jurisdiction in which it shall be illegal, or in
which the Guarantee Trustee shall be unqualified or incompetent in accordance with applicable law,
to perform any such act or acts or to exercise any such right, power, duty or obligation. No
permissive power or authority available to the Guarantee Trustee shall be construed to be a duty to
act in accordance with such power and authority.

     Section 3.3 Compensation; Indemnity; Fees. The Guarantor agrees:

          (a) to pay to the Guarantee Trustee from time to time such reasonable compensation for all
services rendered by it hereunder as may be agreed by the Guarantor and the Guarantee Trustee from
time to time (which compensation shall not be limited by any provision of law in regard to the
compensation of a trustee of an express trust);

          (b) except as otherwise expressly provided herein, to reimburse the Guarantee Trustee upon
request for all reasonable expenses, disbursements and advances incurred or made by the Guarantee
Trustee in accordance with any provision of this Guarantee Agreement (including the reasonable
compensation and the expenses and disbursements of its agents and counsel), except any such
expense, disbursement or advance as may be attributable to its negligence or willful misconduct;
and

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          (c) to indemnify the Guarantee Trustee and its directors, officers, employees and agents
(collectively with the Guarantee Trustee, the “Indemnitees”) for, and to hold them harmless
against, any loss, liability or expense, including without limitation, damages, fines, suits,
actions, demands, penalties, costs, out-of-pocket or incidental expenses, reasonable legal fees and
expenses and the costs and expenses of defending or preparing to defend against any claim
(collectively, “Losses”), that may be imposed on or incurred by any Indemnitee for or in respect of
the Guarantee Trustee’s (i) execution and delivery of this Guarantee Agreement, (ii) compliance or
attempted compliance with or reliance upon any instruction or other direction upon which the
Guarantee Trustee is authorized to rely pursuant to the terms of this Guarantee Agreement and (iii)
performance under this Guarantee Agreement, except in each case to the extent that the Loss
resulted from the Guarantee Trustee’s or such Indemnitee’s negligence or willful misconduct. The
provisions of this Section shall survive the termination of the Guarantee Agreement and the
resignation or removal of the Guarantee Trustee for any reason. The Guarantee Trustee will not
claim or exact any lien or charge on any Guarantee Payments as a result of any amount due to it
under this Guarantee Agreement.

ARTICLE IV

GUARANTEE TRUSTEE

     Section 4.1 Guarantee Trustee; Eligibility.

          (a) There shall at all times be a Guarantee Trustee which shall:

          (i) not be an Affiliate of the Guarantor; and

          (ii) be a Person that is eligible pursuant to the Trust Indenture Act to act as such
and has a combined capital and surplus of at least $50,000,000, and shall be a corporation
meeting the requirements of Section 310(a) of the Trust Indenture Act. If such corporation
publishes reports of condition at least annually, pursuant to law or to the requirements of
its supervising or examining authority, then, for the purposes of this Section 4.1 and to the
extent permitted by the Trust Indenture Act, the combined capital and surplus of such
corporation shall be deemed to be its combined capital and surplus as set forth in its most
recent report of condition so published.

          (b) If at any time the Guarantee Trustee shall cease to be eligible to so act under
Section 4.1 (a), the Guarantee Trustee shall immediately resign in the manner and with the effect
set out in Section 4.2.

          (c) If the Guarantee Trustee has or shall acquire any “conflicting interest” within the
meaning of Section 310(b) of the Trust Indenture Act, the Guarantee Trustee and Guarantor shall in
all respects comply with the provisions of Section 310(b) of the Trust Indenture Act.

     Section 4.2 Appointment, Removal and Resignation of the Guarantee Trustee.

          (a) Subject to Section 4.2(b), the Guarantee Trustee may be appointed or removed (i) at
any time by the action of the Holders of a Majority in Liquidation Amount of Preferred Securities
delivered to the Guarantee Trustee and (ii) by the Guarantor (A) for cause or (B) if a Debenture
Event of Default (as defined in the Declaration of Trust) shall have occurred and be continuing at
any time.

          (b) The Guarantee Trustee shall not be removed until a Successor Guarantee Trustee has been
appointed and has accepted such appointment by written instrument executed by such Successor
Guarantee Trustee and delivered to the Guarantor.

          (c) The Guarantee Trustee appointed hereunder shall hold office until a Successor
Guarantee Trustee shall have been appointed or until its removal or resignation. The Guarantee
Trustee may resign from office (without need for prior or subsequent accounting) by an instrument
in writing executed by the Guarantee Trustee and delivered to the Guarantor and the Holders, which
resignation shall not take effect until a Successor Guarantee Trustee has been appointed and has
accepted such appointment by instrument in writing executed by such Successor Guarantee Trustee and
delivered to the Guarantor and the resigning Guarantee Trustee.

          (d) If no Successor Guarantee Trustee shall have been appointed and accepted appointment as
provided in this Section 4.2 within 60 days after delivery to the Guarantor and the Holders of an
instrument of

7

 

resignation, the resigning Guarantee Trustee may petition, at the expense of the Guarantor,
any court of competent jurisdiction for appointment of a Successor Guarantee Trustee. Such court
may thereupon, after prescribing such notice, if any, as it may deem proper, appoint a Successor
Guarantee Trustee.

ARTICLE V

GUARANTEE

     Section 5.1 Guarantee.

     The Guarantor irrevocably and unconditionally agrees to pay in full to the Holders the
Guarantee Payments (subject to the limitations contained in the definition of that term) (without
duplication of amounts theretofore paid by or on behalf of the Issuer Trust), as and when due,
regardless of any defense, right of set-off or counterclaim which the Issuer Trust may have or
assert, except the defense of payment. The Guarantor’s obligation to make a Guarantee Payment may
be satisfied by direct payment of the required amounts by the Guarantor to the Holders or by
causing the Issuer Trust to pay such amounts to the Holders.

     Section 5.2 Waiver of Notice and Demand.

     The Guarantor hereby waives notice of acceptance of this Guarantee Agreement and of any
liability to which it applies or may apply, presentment, demand for payment, any right to require a
proceeding first against the Guarantee Trustee, the Issuer Trust or any other Person before
proceeding against the Guarantor, protest, notice of nonpayment, notice of dishonor, notice of
redemption and all other notices and demands.

     Section 5.3 Obligations Not Affected.

     The obligations, covenants, agreements and duties of the Guarantor under this Guarantee
Agreement shall in no way be affected or impaired by reason of the happening from time to time of
any of the following:

          (a) the release or waiver, by operation of law or otherwise, of the performance or
observance by the Issuer Trust of any express or implied agreement, covenant, term or condition
relating to the Preferred Securities to be performed or observed by the Issuer Trust;

          (b) the extension of time for the payment by the Issuer Trust of all or any portion of the
Distributions (other than an extension of time for payment of Distributions that results from the
extension of any interest payment period on the Debentures as provided in the Indenture),
Redemption Price, Liquidation Distribution or any other sums payable under the terms of the
Preferred Securities or the extension of time for the performance of any other obligation under,
arising out of, or in connection with, the Preferred Securities;

          (c) any failure, omission, delay or lack of diligence on the part of the Holders to
enforce, assert or exercise any right, privilege, power or remedy conferred on the Holders pursuant
to the terms of the Preferred Securities, or any action on the part of the Issuer Trust granting
indulgence or extension of any kind;

          (d) the voluntary or involuntary liquidation, dissolution, receivership, insolvency,
bankruptcy, assignment for the benefit of creditors, reorganization, arrangement, composition or
readjustment of debt of, or other similar proceedings affecting, the Issuer Trust or any of the
assets of the Issuer Trust;

          (e) any invalidity of, or defect or deficiency in, the Preferred Securities;

          (f) the settlement or compromise of any obligation guaranteed hereby or hereby
incurred; or

          (g) any other circumstance whatsoever that might otherwise constitute a legal or equitable
discharge or defense of a guarantor (other than payment of the underlying obligation), it being the
intent of this Section 5.3 that the obligations of the Guarantor hereunder shall be absolute and
unconditional under any and all circumstances.

     There shall be no obligation of the Holders to give notice to, or obtain the consent of, the
Guarantor with respect to the happening of any of the foregoing.

8

 

     Section 5.4 Rights of Holders.

     The Guarantor expressly acknowledges that: (i) this Guarantee Agreement will be deposited with
the Guarantee Trustee to be held for the benefit of the Holders; (ii) the Guarantee Trustee has the
right to enforce this Guarantee Agreement on behalf of the Holders; (iii) the Holders of a Majority
in Liquidation Amount of the Preferred Securities have the right to direct the time, method and
place of conducting any proceeding for any remedy available to the Guarantee Trustee in respect of
this Guarantee Agreement or exercising any trust or power conferred upon the Guarantee Trustee
under this Guarantee Agreement; and (iv) any Holder may institute a legal proceeding directly
against the Guarantor to enforce its rights under this Guarantee Agreement without first
instituting a legal proceeding against the Guarantee Trustee, the Issuer Trust or any other Person.

     Section 5.5 Guarantee of Payment.

     This Guarantee Agreement creates a guarantee of payment and not of collection. This Guarantee
Agreement will not be discharged except by payment of the Guarantee Payments in full (without
duplication of amounts theretofore paid by the Issuer Trust) or upon the distribution of Debentures
to Holders as provided in the Declaration of Trust.

     Section 5.6 Subrogation.

     The Guarantor shall be subrogated to all rights (if any) of the Holders against the Issuer
Trust in respect of any amounts paid to the Holders by the Guarantor under this Guarantee
Agreement; provided, however, that the Guarantor shall not (except to the extent required by
mandatory provisions of law) be entitled to enforce or exercise any rights which it may acquire by
way of subrogation or any indemnity, reimbursement or other agreement, in all cases as a result of
payment under this Guarantee Agreement, if, at the time of any such payment, any amounts are due
and unpaid under this Guarantee Agreement. If any amount shall be paid to the Guarantor in
violation of the preceding sentence, the Guarantor agrees to hold such amount in trust for the
Holders and to pay over such amount to the Holders.

     Section 5.7 Independent Obligations.

     The Guarantor acknowledges that its obligations hereunder are independent of the obligations
of the Issuer Trust with respect to the Preferred Securities and that the Guarantor shall be liable
as principal and as debtor hereunder to make Guarantee Payments pursuant to the terms of this
Guarantee Agreement notwithstanding the occurrence of any event referred to in subsections (a)
through (g), inclusive, of Section 5.3 hereof.

ARTICLE VI

COVENANTS AND SUBORDINATION

     Section 6.1 Subordination.

     The obligations of the Guarantor under this Guarantee Agreement will constitute unsecured
obligations of the Guarantor and will rank subordinate and junior in right of payment to all Senior
Debt (as defined in the Indenture) of the Guarantor to the extent and in the manner set forth in
the Indenture with respect to the Debentures, and the provisions of Article XIII of the Indenture
will apply, mutatis mutandis, to the obligations of the Guarantor hereunder. The obligations of the
Guarantor hereunder do not constitute Senior Debt of the Guarantor.

     Section 6.2 Pari Passu Guarantees.

     The obligations of the Guarantor under this Guarantee Agreement shall rank pari passu with the
obligations of the Guarantor under any other security, guarantee or other agreement that is
expressly stated to rank pari passu with the obligations of the Guarantor under this Guarantee
Agreement and which includes the obligations of the Guarantor under (i) the Indenture, (ii) the
Securities, and (iii) the Expense Agreement (as defined in the Declaration of Trust).

9

 

ARTICLE VII

TERMINATION

     Section 7.1 Termination.

     This Guarantee Agreement shall terminate and be of no further force and effect upon (i) full
payment of the Redemption Price (as defined in the Declaration of Trust) of all Preferred
Securities, (ii) the distribution of Debentures to the Holders in exchange for all of the Preferred
Securities or (iii) full payment of the amounts payable in accordance with Article IX of the
Declaration of Trust upon liquidation of the Issuer Trust. Notwithstanding the foregoing, this
Guarantee Agreement will continue to be effective or will be reinstated, as the case may be, if at
any time any Holder is required to repay any sums paid with respect to Preferred Securities or this
Guarantee Agreement.

ARTICLE VIII

MISCELLANEOUS

     Section 8.1 Successors and Assigns.

     All guarantees and agreements contained in this Guarantee Agreement shall bind the successors,
assigns, receivers, trustees and representatives of the Guarantor and shall inure to the benefit of
the Holders of the Preferred Securities then outstanding. Except in connection with a
consolidation, merger or sale involving the Guarantor that is permitted under Article VIII of the
Indenture and pursuant to which the successor or assignee agrees in writing to perform the
Guarantor’s obligations hereunder, the Guarantor shall not assign its obligations hereunder, and
any purported assignment other than in accordance with this provision shall be void.

     Section 8.2 Amendments.

     Except with respect to any changes that do not adversely affect the rights of the Holders in
any material respect (in which case no consent of the Holders will be required), this Guarantee
Agreement may only be amended with the prior approval of the Holders of not less than a Majority in
Liquidation Amount of the Preferred Securities. The provisions of Article VI of the Declaration of
Trust concerning meetings of the Holders shall apply to the giving of such approval.

     Section 8.3 Notices.

     Any notice, request or other communication required or permitted to be given hereunder shall
be in writing, duly signed by the party giving such notice, and delivered, telecopied or mailed by
first class mail as follows:

          (a) if given to the Guarantor, to the address or facsimile number set forth below or such
other address or facsimile number as the Guarantor may give notice to the Guarantee Trustee and the
Holders:

Evans Bancorp, Inc.

14-16 North Main Street

Angola, New York 14006

Attention:                                         

          (b) if given to the Guarantee Trustee, at the address or facsimile number set forth below
or such other address or facsimile number as the Guarantee Trustee may give notice to the Guarantor
and the Holders:

Wilmington Trust Company

Rodney Square North,

1100 North Market Street,

Wilmington, Delaware 19801

Facsimile No.:                                         

Attention: Corporate Trust Administration

          (c) if given to any Holder, at the address set forth on the books and records of the

10

 

Issuer Trust.

          All notices hereunder shall be deemed to have been given when received in person, telecopied
with receipt confirmed, or mailed by first class mail, postage prepaid, except that if a notice or
other document is refused delivery or cannot be delivered because of a changed address of which no
notice was given, such notice or other document shall be deemed to have been delivered on the date
of such refusal or inability to deliver.

     Section 8.4 Benefit.

     This Guarantee Agreement is solely for the benefit of the Holders and is not
separately transferable from the Preferred Securities.

     Section 8.5 Governing Law.

     THIS GUARANTEE AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED AND INTERPRETED IN ACCORDANCE WITH
THE LAWS OF THE STATE OF NEW YORK.

     Section 8.6 Counterparts.

     This instrument may be executed in any number of counterparts, each of which so executed shall
be deemed to be an original, but all such counterparts shall together constitute but one and the
same instrument.

     Section 8.7 Force Majeure.

     In no event shall the Guarantee Trustee or the Delaware Trustee
be responsible or liable for any failure or delay in the performance of its obligations under this
Agreement arising out of or caused by, directly or indirectly, forces beyond its control, including
without limitation strikes, work stoppages, any provision of any law or regulation or any act of
any governmental authority, accidents, acts of war or terrorism, sabotage, epidemics, riots, civil
or military disturbances, nuclear or natural catastrophes or acts of God, and interruptions, loss
or malfunctions of utilities, communications or computer (software or hardware) services.

11

 

     IN WITNESS WHEREOF, the parties hereto have executed this Guarantee Agreement as of the day
and year first above written.

	 	 	 	 	 
	 	EVANS BANCORP, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	WILMINGTON TRUST COMPANY,

as Guarantee Trustee

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

12exv4w21

Exhibit 4.21

EVANS BANCORP, INC.

and

WILMINGTON TRUST COMPANY

as Trustee

JUNIOR SUBORDINATED INDENTURE

Dated as of                     

 

 

TABLE OF CONTENTS

	 	 	 	 	 
	 	 	 	 	Page
	ARTICLE I
	 	DEFINITIONS AND OTHER PROVISIONS OF GENERAL APPLICATION	 	1
	Section 1.1
	 	Definitions	 	1
	Section 1.2
	 	Compliance Certificate and Opinions	 	6
	Section 1.3
	 	Forms of Documents Delivered to Trustee	 	7
	Section 1.4
	 	Acts of Holders	 	7
	Section 1.5
	 	Notices, Etc. to Trustee and Company	 	8
	Section 1.6
	 	Notice to Holders; Waiver	 	9
	Section 1.7
	 	Conflict with Trust Indenture Act	 	9
	Section 1.8
	 	Effect of Headings and Table of Contents	 	9
	Section 1.9
	 	Successors and Assigns	 	9
	Section 1.10
	 	Separability Clause	 	9
	Section 1.11
	 	Benefits of Indenture	 	9
	Section 1.12
	 	Governing Law	 	9
	Section 1.13
	 	Legal Holidays	 	9
	Section 1.14
	 	Force Majeure	 	9
	 
	 	 	 	 
	ARTICLE II
	 	SECURITY FORMS	 	 
	Section 2.1
	 	Forms Generally	 	9
	Section 2.2
	 	Form of Face of Security	 	10
	Section 2.3
	 	Form of Reverse of Security	 	12
	Section 2.4
	 	Additional Provisions Required in Global Security	 	14
	Section 2.5
	 	Form of Trustee’s Certificate of Authentication	 	14
	 
	 	 	 	 
	ARTICLE III
	 	THE SECURITIES.	 	 
	Section 3.1
	 	Amount Unlimited Issuable in Series	 	14
	Section 3.2
	 	Denominations	 	16
	Section 3.3
	 	Execution, Authentication, Delivery and Dating	 	16
	Section 3.4
	 	Temporary Securities	 	17
	Section 3.5
	 	Registration, Transfer and Exchange	 	17
	Section 3.6
	 	Mutilated, Destroyed, Lost and Stolen Securities	 	19
	Section 3.7
	 	Payment of Interest; Interest Rights Preserved	 	19
	Section 3.8
	 	Persons Deemed Owners	 	20
	Section 3.9
	 	Cancellation	 	21
	Section 3.10
	 	Computation of Interest	 	21
	Section 3.11
	 	Deferrals of Interest Payment Dates	 	21
	Section 3.12
	 	Right of Set-off	 	22
	Section 3.13
	 	Agreed Tax Treatment	 	22
	Section 3.14
	 	CUSIP Numbers	 	22
	 
	 	 	 	 
	ARTICLE IV
	 	SATISFACTION AND DISCHARGE	 	 
	Section 4.1
	 	Satisfaction and Discharge of Indenture	 	22
	Section 4.2
	 	Application of Trust Money	 	23
	 
	 	 	 	 
	ARTICLE V
	 	REMEDIES	 	 
	Section 5.1
	 	Events of Default	 	23
	Section 5.2
	 	Acceleration of Maturity; Rescission and Annulment	 	24
	Section 5.3
	 	Collection of Indebtedness and Suits for Enforcement by Trustee	 	24

i

 

TABLE OF CONTENTS

(continued)

	 	 	 	 	 
	 	 	 	 	Page
	Section 5.4
	 	Trustee May File Proofs of Claim	 	25
	Section 5.5
	 	Trustee May Enforce Claim Without Possession of Securities	 	25
	Section 5.6
	 	Application of Money Collected	 	26
	Section 5.7
	 	Limitation on Suits	 	26
	Section 5.8
	 	Unconditional Right of Holders to Receive Principal, Premium and	 	 
	 
	 	Interest; Direct Action by Holders of Trust Preferred Securities	 	26
	Section 5.9
	 	Restoration of Rights and Remedies	 	26
	Section 5.10
	 	Rights and Remedies Cumulative	 	27
	Section 5.11
	 	Delay or Omission Not Waiver	 	27
	Section 5.12
	 	Control by Holders	 	27
	Section 5.13
	 	Waiver of Past Defaults	 	27
	Section 5.14
	 	Undertaking for Costs	 	27
	Section 5.15
	 	Waiver of Usury, Stay or Extension Laws	 	28
	 
	 	 	 	 
	ARTICLE VI
	 	THE TRUSTEE	 	 
	Section 6.1
	 	Certain Duties and Responsibilities	 	28
	Section 6.2
	 	Notice of Defaults	 	29
	Section 6.3
	 	Certain Rights of Trustee	 	29
	Section 6.4
	 	Not Responsible for Recitals or Issuance of Securities	 	30
	Section 6.5
	 	May Hold Securities	 	30
	Section 6.6
	 	Money Held in Trust	 	30
	Section 6.7
	 	Compensation and Reimbursement	 	30
	Section 6.8
	 	Disqualification; Conflicting Interests	 	30
	Section 6.9
	 	Corporate Trustee Required; Eligibility	 	30
	Section 6.10
	 	Resignation and Removal; Appointment of Successor	 	31
	Section 6.11
	 	Acceptance of Appointment by Successor	 	32
	Section 6.12
	 	Merger, Conversion, Consolidation or Succession to Business	 	32
	Section 6.13
	 	Preferential Collection of Claims Against Company	 	33
	Section 6.14
	 	Appointment of Authenticating Agent	 	33
	 
	 	 	 	 
	ARTICLE VII
	 	HOLDER’S LISTS AND REPORTS BY TRUSTEE AND COMPANY	 	 
	Section 7.1
	 	Company to Furnish Trustee Names and Addresses of Holders	 	34
	Section 7.2
	 	Preservation of Information, Communications to Holders	 	34
	Section 7.3
	 	Reports by Trustee	 	34
	Section 7.4
	 	Reports by Company	 	34
	 
	 	 	 	 
	ARTICLE VIII
	 	CONSOLIDATION, MERGER, CONVEYANCE, TRANSFER OR LEASE	 	 
	Section 8.1
	 	Company May Consolidate, Etc., only on Certain Terms	 	35
	Section 8.2
	 	Successor Corporation Substituted	 	35
	 
	 	 	 	 
	ARTICLE IX
	 	SUPPLEMENTAL INDENTURES	 	 
	Section 9.1
	 	Supplemental Indentures Without Consent of Holders	 	36
	Section 9.2
	 	Supplemental Indentures with Consent of Holders	 	36
	Section 9.3
	 	Execution of Supplemental Indentures	 	37
	Section 9.4
	 	Effect of Supplemental Indentures	 	37
	Section 9.5
	 	Conformity with Trust Indenture Act	 	37
	Section 9.6
	 	Reference in Securities to Supplemental Indentures	 	37

ii

 

TABLE OF CONTENTS

(continued)

	 	 	 	 	 
	 	 	 	 	Page
	Section 9.7
	 	Section 9.7 Subordination	 	37
	 
	 	 	 	 
	ARTICLE X
	 	COVENANTS	 	 
	Section 10.1
	 	Payment of Principal, Premium and Interest	 	38
	Section 10.2
	 	Maintenance of Office or Agency	 	38
	Section 10.3
	 	Money for Securities Payments to be Held in Trust	 	38
	Section 10.4
	 	Statement as to Compliance	 	39
	Section 10.5
	 	Waiver of Certain Covenants	 	39
	Section 10.6
	 	Additional Sums	 	39
	Section 10.7
	 	Additional Covenants	 	40
	 
	 	 	 	 
	ARTICLE XI
	 	REDEMPTION OF SECURITIES	 	 
	Section 11.1
	 	Applicability of this Article	 	40
	Section 11.2
	 	Election to Redeem; Notice to Trustee	 	41
	Section 11.3
	 	Selection of Securities to be Redeemed	 	41
	Section 11.4
	 	Notice of Redemption	 	41
	Section 11.5
	 	Deposit of Redemption Price	 	42
	Section 11.6
	 	Payment of Securities Called for Redemption	 	42
	Section 11.7
	 	Right of Redemption of Securities Initially Issued to an Evans Bancorp	 	 
	 
	 	Trust	 	42
	 
	 	 	 	 
	ARTICLE XII
	 	SINKING FUNDS	 	 
	Section 12.1
	 	Applicability of Article	 	42
	Section 12.2
	 	Satisfaction of Sinking Fund Payments with Securities	 	43
	Section 12.3
	 	Redemption of Securities for Sinking Fund	 	43
	 
	 	 	 	 
	ARTICLE XIII
	 	SUBORDINATION OF SECURITIES	 	 
	Section 13.1
	 	Securities Subordinate to Senior Debt	 	44
	Section 13.2
	 	Company Not to Pay if Senior Debt of Company is in Default	 	44
	Section 13.3
	 	Payment over of Proceeds upon Dissolution, Default, Etc., of the	 	 
	 
	 	Company	 	44
	Section 13.4
	 	Subrogation to Rights of Holders of Senior Debt	 	45
	Section 13.5
	 	Reliance on Certificate of Liquidating Agent	 	45
	Section 13.6
	 	Payment Permitted if No Default	 	45
	Section 13.7
	 	Trustee Not Charged with Knowledge of Prohibition	 	45
	Section 13.8
	 	Provisions are Solely to Define Relative Rights	 	46
	Section 13.9
	 	No Waiver of Subordination Provisions	 	46
	Section 13.10
	 	Trustee to Effectuate Subordination	 	46
	Section 13.11
	 	Rights of Trustee as Holder of Senior Debt	 	46
	Section 13.12
	 	Article Applicable to Paying Agents	 	46
	 
	 	 	 	 
	ARTICLE XIV
	 	REPAYMENT AT THE OPTION OF HOLDERS	 	 
	Section 14.1
	 	Applicability of Article	 	47
	Section 14.2
	 	Repayment of Securities	 	47
	Section 14.3
	 	Exercise of Option; Notice	 	47
	Section 14.4
	 	Securities Payable on the Repayment Date	 	47

iii

 

EVANS BANCORP, INC.

Certain Sections of this Indenture relating to Sections 310 through 318, inclusive, of the Trust
Indenture Ac^of 1939:

	 	 	 	 	 	 	 
	TRUST INDENTURE ACT SECTION	 	INDENTURE SECTION
	§310

	 	(a)(l), (2)and(5)
	 	 	6.9	 
	 

	 	(a)(3)
	 	Not Applicable

	 

	 	(a)(4)
	 	Not Applicable

	 

	 	(b)
	 	 	6.8	 
	 

	 	 	 	 	6.10	 
	 

	 	(c)
	 	Not Applicable

	§311

	 	(a)
	 	 	6.13	 
	 

	 	(b)
	 	 	6.13	 
	§312

	 	(a)
	 	 	7.1	 
	 

	 	 	 	 	7.2	(a)
	 

	 	(b)
	 	 	7.2	(b)
	 

	 	(c)
	 	 	7.2	(c)
	§313

	 	(a)
	 	 	7.3	(a)
	 

	 	 	 	 	7.3	(b)
	 

	 	(b)
	 	 	7.3	(b)
	 

	 	(c)
	 	 	7.3(a), 7.3	(b)
	 

	 	(d)
	 	 	7.3	(c)
	§314

	 	(a)(l),(2)and(3)
	 	 	7.4	 
	 

	 	(a)(4)
	 	 	10.4	 
	 

	 	(b)
	 	Not Applicable

	 

	 	(c)(l)
	 	 	1.2	 
	 

	 	(c)(2)
	 	 	1.2	 
	 

	 	(c)(3)
	 	Not Applicable

	 

	 	(d)
	 	Not Applicable

	 

	 	(e)
	 	 	1.2	 
	 

	 	(f)
	 	Not Applicable

	§315

	 	(a)
	 	 	6.1	 
	 

	 	(b)
	 	 	6.2	 
	 

	 	(c)
	 	 	6.1	 
	 

	 	(d)
	 	 	6.1	 
	 

	 	(e)
	 	 	5.14	 
	§316

	 	(a)
	 	 	1.1	 
	 

	 	(a)(l)(A)
	 	 	5.12	 
	 

	 	(a)(l)(B)
	 	 	5.13	 
	 

	 	(a)(2)
	 	Not Applicable

	 

	 	(b)
	 	 	5.8	 
	 

	 	(c)
	 	 	1.4	(f)
	§317

	 	(a)(l)
	 	 	5.3	 
	 

	 	(a)(2)
	 	 	5.4	 
	 

	 	(b)
	 	 	10.3	 
	§318

	 	(a)
	 	 	1.7	 

Note: This reconciliation and tie shall not, for any purpose, be deemed to be a part of the Indenture.

iv

 

     JUNIOR SUBORDINATED INDENTURE, dated as of                                         , between EVANS BANCORP, INC., a
New York corporation (hereinafter called the “Company”), and WILMINGTON TRUST COMPANY, as Trustee
(hereinafter called the “Trustee”).

RECITALS OF THE COMPANY

     The Company has duly authorized the execution and delivery of this Indenture to provide for
the issuance from time to time of its unsecured junior subordinated debt securities in series
(hereinafter called the “Securities”) of substantially the tenor hereinafter provided, including,
without limitation, Securities issued to evidence loans made to the Company of the proceeds from
the issuance from time to time by one or more statutory trusts (each an “Evans Bancorp Trust,” and,
collectively, the “Evans Bancorp Trusts”) of preferred trust interests in such Trusts (the “Trust
Preferred Securities”) and common interests in such Trusts (the “Common Securities” and,
collectively with the Trust Preferred Securities, the “Trust Securities”), and to provide the terms
and conditions upon which the Securities are to be authenticated, issued and delivered.

     All things necessary to make the Securities, when executed by the Company and authenticated
and delivered hereunder and duly issued by the Company, the valid obligations of the Company, and
to make this Indenture a valid agreement of the Company, in accordance with their and its terms,
have been done.

     NOW THEREFORE, THIS INDENTURE WITNESSETH: For and in consideration of the premises and the
purchase of the Securities by the Holders thereof, it is mutually covenanted and agreed, for the
equal and proportionate benefit of all Holders of the Securities or of any series thereof, as
follows:

ARTICLE I DEFINITIONS AND OTHER PROVISIONS OF GENERAL APPLICATION

     Section 1.1 Definitions. For all purposes of this Indenture, except as otherwise expressly
provided or unless the context otherwise requires:

          (1) the terms defined in this Article have the meanings assigned to them in this Article,
and include the plural as well as the singular;

          (2) all other terms used herein that are defined in the Trust Indenture Act, either
directly or by reference therein, have the meanings assigned to them therein;

          (3) all accounting terms not otherwise defined herein have the meanings assigned to them in
accordance with generally accepted accounting principles, and the term “generally accepted
accounting principles” with respect to any computation required or permitted hereunder shall mean
such accounting principles that are generally accepted at the date or time of such computation;
provided that when two or more principles are so generally accepted, it shall mean that set of
principles consistent with those in use by the Company;

          (4) the words “herein,” “hereof and “hereunder” and other words of similar import refer to
this Indenture as a whole and not to any particular Article, Section or other subdivision; and

          (5) unless the context otherwise requires, any reference to an “Article,” a “Section” or a
“Subsection” refers to an Article, Section or Subsection, as the case may be, of this Indenture.

     “Act” when used with respect to any Holder has the meaning specified in Section 1.4(a).

     “Additional Interest” means the interest, if any, that shall accrue on any interest on the
Securities of any series the payment of which has not been made on the applicable Interest Payment
Date and that shall accrue at the rate per annum specified or determined as specified in such
Security.

     “Additional Sums” has the meaning specified in Section 10.6.

     “Additional Taxes” means the sum of any additional taxes, duties, assessments or governmental
charges of whatever nature, other than withholding taxes, imposed by the United States, or any
other taxing authority.

     “Affiliate” of any specified Person means any other Person directly or indirectly controlling
or controlled by or under direct or indirect common control with such specified Person; provided,
however, no Evans Bancorp Trust to which Securities have been issued shall be deemed to be an
Affiliate of the Company. For the purposes of this definition, “control” when used with respect to
any specified Person means the power to direct the management

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and policies of such Person, directly or indirectly, whether through the ownership of voting
securities, by contract or otherwise; and the terms “controlling” and “controlled” have meanings
correlative to the foregoing.

     “Authenticating Agent” means any Person authorized by the Trustee pursuant to Section 6.14 to
act on behalf of the Trustee to authenticate Securities of one or more series.

     “Board of Directors” means either the board of directors of the Company or any committee of
that board duly authorized to act hereunder.

     “Board Resolution” means a copy of a resolution certified by the Secretary or an Assistant
Secretary of the Company to have been duly adopted by the Board of Directors, or such committee of
the Board of Directors or officers of the Company to which authority to act on behalf of the Board
of Directors has been delegated, and to be in full force and effect on the date of such
certification, and delivered to the Trustee.

     “Evans Bancorp Guarantee” means the guarantee by the Company of distributions on the Trust
Preferred Securities of an Evans Bancorp Trust to the extent provided in a guarantee agreement.

     “Evans Bancorp Trust” has the meaning specified in the first recital of this Indenture.

     “Business Day” means any day other than a Saturday, Sunday, or any other day on which banking
institutions and trust companies in New York, New York or Wilmington, Delaware, are permitted or
required by any applicable law to close.

     “Capital Treatment Event” means the reasonable determination by the Company (as evidenced by
an Officers’ Certificate delivered to the Trustee) that, as a result of the occurrence of any
amendment to, or change (including any announced prospective change) in, the laws (or any rules or
regulations thereunder) of the United States or any political subdivision thereof or therein, or as
a result of any official or administrative pronouncement or action or judicial decision
interpreting or applying such laws, rules or regulations, which amendment or change is effective or
which pronouncement, action or decision is announced on or after the date of issuance of the Trust
Preferred Securities of an Evans Bancorp Trust, there is more than an insubstantial risk that the
Company is, or will be within 90 days of the date of such determination not be entitled to treat an
amount equal to the aggregate Liquidation Amount of such Trust Preferred Securities as “tier 1
capital” (or the then equivalent thereof) for purposes of the capital adequacy guidelines of the
Federal Reserve, as then in effect and applicable to the Company.

     “Commission” means the Securities and Exchange Commission, as from time to time constituted,
created under the Exchange Act, or if at any time after the execution of this instrument such
Commission is not existing and performing the duties now assigned to it under the Trust Indenture
Act, then the body performing such duties on such date.

     “Common Securities” has the meaning specified in the first recital of this Indenture.

     “Company” means the Person named as the “Company” in the first paragraph of this instrument
until a successor corporation shall have become such pursuant to the applicable provisions of this
Indenture, and thereafter “Company” shall mean such successor corporation.

     “Company Request” and “Company Order” mean, respectively, the written request or order signed
in the name of the Company by the Chairman of the Board of Directors, the Chairman of the Executive
Committee of the Board of Directors, the Chief Executive Officer, the President, the Chief
Operating Officer, a Vice Chairman or a Vice President, the Treasurer, an Assistant Treasurer, the
Secretary, an Assistant Secretary or the Comptroller of the Company, and delivered to the Trustee.

     “Corporate Trust Office” means the principal office of the Trustee at which at any particular
time its corporate trust business shall be administered.

     “Corporation” includes a corporation, association, company, joint-stock company or business
trust.

     “Debt” means with respect to any Person, whether recourse is to all or a portion of the assets
of such Person and whether or not contingent, (i) every obligation of such Person for money
borrowed; (ii) every obligation of such Person evidenced by bonds, debentures, notes or other
similar instruments, including obligations incurred in connection with the acquisition of property,
assets or businesses; (iii) every reimbursement obligation of such Person with respect to letters
of credit, bankers’ acceptances or similar facilities issued for the account of such

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Person; (iv) every obligation of such Person issued or assumed as the deferred purchase price
of property or services (but excluding trade accounts payable or accrued liabilities arising in the
ordinary course of business); (v) every capital lease obligation of such Person; and (vi) every
obligation of the type referred to in clauses (i) through (vi) of another Person and all dividends
of another Person the payment of which, in either case, such Person has guaranteed or is
responsible or liable, directly or indirectly, as obligor or otherwise.

     “Defaulted Interest” has the meaning specified in Section 3.7.

     “Deferral Period” has the meaning specified in Section 3.11.

     “Depositary” means, with respect to the Securities of any series issuable or issued in whole
or in part in the form of one or more Global Securities, the Person designated as Depositary by the
Company pursuant to Section 3.1 with respect to such series (or any successor thereto).

     “Distributions” with respect to the Trust Securities issued by an Evans Bancorp Trust, means
amounts payable in respect of such Trust Securities as provided in the related Trust Agreement and
referred to therein as “Distributions.”

     “Dollar” means the currency of the United States of America that, as at the time of payment,
is legal tender for the payment of public and private debts.

     “DTC” means The Depository Trust Company.

     “Event of Default” unless otherwise specified in a supplemental indenture creating a series of
Securities has the meaning specified in Article V.

     “Exchange Act” means the Securities Exchange Act of 1934 and any statute successor thereto, in
case as amended from time to time.

     “Federal Reserve” means the Board of Governors of the Federal Reserve System, as from time to
time constituted, or if at any time after the execution of this Indenture the Federal Reserve is
not existing and performing the duties now assigned to it, then the bodies performing such duties
at such time, or the Federal Reserve Bank of Chicago, or any successor Federal reserve bank having
primary jurisdiction over the Company.

     “Global Security” means a Security in the form prescribed in Sections 2.2, 2.3 and 2.4
evidencing all or part of a series of Securities, issued to the Depositary or its nominee for such
series, and registered in the name of such Depositary or its nominee.

     “Holder” means a Person in whose name a Security is registered in the Securities Register.

     “Indenture” means this instrument as originally executed or as it may from time to time be
supplemented or amended by one or more indentures supplemental hereto entered into pursuant to the
applicable provisions hereof and shall include the terms of each particular series of Securities
established as contemplated by Section 3.1.

     “Interest Payment Date” means as to each series of Securities the Stated Maturity of an
installment of interest on such Securities.

     “Investment Company Act” means the Investment Company Act of 1940, as amended.

     “Investment Company Event” means the receipt by an Evans Bancorp Trust of an Opinion of
Counsel experienced in such matters to the effect that, as a result of any (i) amendment to, or
change (including any announced prospective change) in, the laws (or any regulations thereunder) of
the United States or any political subdivision or taxing authority thereof or therein, or (ii)
official administrative pronouncement or judicial decision interpreting or applying such laws or
regulations, which amendment or change is effective or which pronouncement or decision is announced
on or after the date of issuance of the Trust Preferred Securities of such Evans Bancorp Trust,
there is more than an insubstantial risk that such Evans Bancorp Trust is, or will be within 90
days of the date of such Opinion of Counsel, will be considered an “investment company” that is
required to be registered under the Investment Company Act.

     “Maturity” when used with respect to any Security means the date on which the principal of
such Security or an installment of principal becomes due and payable as therein or herein provided,
whether at the Stated Maturity or by declaration of acceleration, call for redemption, repayment at
the option of the Holder or otherwise.

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     “Notice of Default means a written notice of the kind specified in Section 6.2.

     “Officers’ Certificate” means a certificate signed by the Chairman of the Board of Directors,
the Chairman of the Executive Committee of the Board of Directors, the Chief Executive Officer, the
President, the Chief Operating Officer, a Vice Chairman or a Vice President, the Treasurer, an
Assistant Treasurer, the Secretary, an Assistant Secretary or the Comptroller of the Company, and
delivered to the Trustees.

     “Opinion of Counsel” means a written opinion of outside counsel, experienced in matters
similar to the relevant matter who may be counsel for the Company or an Affiliate of the Company.

     “Original Issue Date” means the date of issuance specified as such in each Security.

     “Outstanding” means, when used in reference to any Securities, as of the date of
determination, all securities theretofore authenticated and delivered under this Indenture, except:

          (i) Securities theretofore cancelled by the Trustee or delivered to the Trustee for
cancellation;

          (ii) Securities for whose payment or redemption money in the necessary amount has
been theretofore deposited with the Trustee or any Paying Agent in trust for the Holders of
such Securities; and

          (iii) Securities in substitution for or in lieu of which other Securities have been
authenticated and delivered or that have been paid pursuant to Section 3.6, unless proof
satisfactory to the Trustee is presented that any such Securities are held by Holders in
whose hands such Securities are valid, binding and legal obligations of the Company;

provided, however, that in determining whether the Holders of the requisite principal amount of
Outstanding Securities have given any request, demand, authorization, direction, notice, consent or
waiver hereunder, Securities owned by the Company or any other obligor upon the Securities or any
Affiliate of the Company or such other obligor shall be disregarded and deemed not to be
Outstanding, except that, in determining whether the Trustee shall be protected in relying upon any
such request, demand, authorization, direction, notice, consent or waiver, only Securities that the
Trustee knows to be so owned shall be so disregarded. Securities so owned that have been pledged in
good faith may be regarded as Outstanding if the pledgee establishes to the satisfaction of the
Trustee the pledgee’s right so to act with respect to such Securities and that the pledgee is not
the Company or any other obligor upon the Securities or any Affiliate of the Company or such other
obligor. Upon the written request of the Trustee, the Company shall furnish to the Trustee promptly
an Officers’ Certificate listing and identifying all Securities, if any, known by the Company to be
owned or held by or for the account of the Company, or any other obligor on the Securities or any
Affiliate of the Company or such obligor, and, subject to the provisions of Section 6.1, the
Trustee shall be entitled to accept such Officers’ Certificate as conclusive evidence of the facts
therein set forth and of the fact that all Securities not listed therein are Outstanding for the
purpose of any such determination. Notwithstanding anything herein to the contrary, Securities
initially issued to an Evans Bancorp Trust that are owned by such Evans Bancorp Trust shall be
deemed to be Outstanding notwithstanding the ownership by the Company or an Affiliate of any
beneficial interest in such Evans Bancorp Trust.

     “Paying Agent” means the Trustee or any Person authorized by the Company to pay the principal
of (and premium, if any) or interest on any Securities on behalf of the Company.

     “Person” means a legal person, including any individual, corporation, estate, partnership,
joint venture, limited liability company, trust, unincorporated organization or government or any
agency or political subdivision thereof or any other entity of whatever nature.

     “Place of Payment” means, with respect to the Securities of any series, the place or places
where the principal of (and premium, if any) and interest on the Securities of such series are
payable pursuant to Sections 3.1 and 3.11.

     “Predecessor Security” of any particular Security means every previous Security evidencing all
or a portion of the same debt as that evidenced by such particular Security; and, for the purposes
of this definition, any security authenticated and delivered under Section 3.6 in exchange for or
in lieu of a mutilated, destroyed, lost or stolen Security shall be deemed to evidence the same
debt as the mutilated, destroyed, lost or stolen Security.

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     “Property Trustee” means, in respect of any Evans Bancorp Trust, the commercial bank or trust
company identified as the “Property Trustee” in the related Trust Agreement, solely in its capacity
as Property Trustee of such Evans Bancorp Trust under such Trust Agreement and not in its
individual capacity, or its successor in interest in such capacity, or any successor Property
Trustee appointed as therein provided.

     “Redemption Date,” when used with respect to any Security to be redeemed, means the date fixed
for such redemption by or pursuant to this Indenture.

     “Redemption Price,” when used with respect to any Security to be redeemed, means the price at
which it is to be redeemed pursuant to this Indenture.

     “Regular Record Date” for the interest payable on any Interest Payment Date with respect to
the Securities of a series means, unless otherwise provided pursuant to Section 3.1 with respect to
Securities of a series, the date that is the last day of the month immediately preceding the month
in which such Interest Payment Date falls (whether or not a Business Day).

     “Repayment Date” when used with respect to any Security to be repaid upon exercise of an
option for repayment by the Holder, means the date fixed for such repayment pursuant to this
Indenture.

     “Repayment Price,” when used with respect to any Security to be repaid upon exercise of an
option for repayment by the Holder, means the price at which it is to be repaid pursuant to this
Indenture.

     “Responsible Officer” means, when used with respect to the Trustee, any officer assigned to
the Corporate Trust Office with direct responsibility for the administration of this Indenture,
including any managing director, vice president, assistant vice president, assistant treasurer,
assistant secretary, any financial services officer or any other officer of the Trustee customarily
performing functions similar to those performed by any of the above designated officers, and also,
with respect to a particular matter, any other officer, to whom such matter is referred because of
such officer’s knowledge of and familiarity with the particular subject.

     “Securities” or “Security” means any debt securities or debt security, as the case may be,
authenticated and delivered under this Indenture.

     “Securities Act” means the Securities Act of 1933 (or any successor statute), as it may be
amended from time to time.

     “Securities Register” and “Securities Registrar” have the respective meanings specified in
Section 3.5.

     “Senior Debt” means, unless otherwise specified with respect to any series of Securities, the
principal of (and premium, if any) and interest, if any (including interest accruing on or after
the filing of any petition in bankruptcy or for reorganization relating to the Company whether or
not such claim for post-petition interest is allowed in such proceeding), on Debt, whether incurred
on or prior to the date of the Indenture or thereafter incurred, unless, in the instrument creating
or evidencing the same or pursuant to which the same is outstanding, it is provided that such
obligations are not superior in right of payment to the Securities or to other Debt that is pari
passu with, or subordinated to, the Securities, indebtedness evidenced by bonds, debentures, notes
or similar instruments, similar obligations arising from off-balance sheet guarantees and direct
credit substitutes, obligations associated with derivative products including but not limited to
interest rate and foreign exchange contracts and foreign contracts relating to mortgages, commodity
contracts, capital lease obligations and guarantees of any of the foregoing, but not including
trade accounts payable and accrued liabilities arising in the ordinary course of business, which
will rank equally in right of payment and upon liquidation with the Securities; provided, however.
Senior Debt shall not include (i) any obligations which, by their terms, are expressly stated to
rank on parity in right of payment with, or to not be superior in right of payment to, the junior
subordinated debentures, (ii) any Debt of the Company which when incurred and without respect to
any election under Section                      of the United States Bankruptcy Code of 1978, as amended, was
without recourse to the Company, (iii) any Debt of the Company to any of the Company’s
subsidiaries, (iv) Debt to any executive officer or director of the Company, or (v) any debt in
respect of debt securities issued to any trust, or a trustee of such trust, partnership or other
entity affiliated with the Company that is a financing entity of the Company in connection with the
issuance of such financing entity of securities that are similar to the Trust Preferred Securities.

     “Special Record Date” for the payment of any Defaulted Interest means a date fixed by the
Trustee pursuant to Section 3.7.

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     “Stated Maturity” when used with respect to any Security or any installment of principal
thereof or interest thereon means the date specified pursuant to the terms of such Security as the
date on which the principal of such Security or such installment of interest is due and payable, in
the case of such principal, as such date may be shortened or extended as provided pursuant to the
terms of such Security and this Indenture.

     “Subsidiary” means a corporation more than 50% of the outstanding voting stock of which is
owned, directly or indirectly, by the Company or by one or more other Subsidiaries, or by the
Company and one or more other Subsidiaries. The term Subsidiary shall not include any Evans Bancorp
Trust. For purposes of this definition, “voting stock” means stock that ordinarily has voting power
for the election of directors, whether at all times or only so long as no senior class of stock has
such voting power by reason of any contingency.

     “Tax Event” means the receipt by an Evans Bancorp Trust of an opinion of counsel experienced
in such matters to the effect that, as a result of any amendment to, or change (including any
announced prospective change) in, the laws (or any regulations thereunder) of the United States or
any political subdivision or taxing authority thereof or therein, or as a result of any official
administrative pronouncement or judicial decision interpreting or applying such laws or
regulations, which amendment or change is effective or which pronouncement or decision is announced
on or after the date of issuance of the Trust Preferred Securities of such Evans Bancorp Trust,
there is more than an insubstantial risk that (i) such Evans Bancorp Trust is, or will be within 90
days of the date of such Opinion of Counsel, subject to U.S. federal income tax with respect to
income received or accrued on the corresponding series of Securities issued by the Company to such
Evans Bancorp Trust, (ii) interest payable by the Company on such corresponding series of
Securities is not, or within 90 days of the date of such Opinion of Counsel, will not be,
deductible by the Company, in whole or in part, for U.S. federal income tax purposes or (iii) such
Evans Bancorp Trust is, or will be within 90 days of the date of such Opinion of Counsel, subject
to more than a de minimis amount of other taxes, duties or other governmental charges.

     “Trust Agreement” means the Trust Agreement (or an Amended and Restated Trust Agreement) under
which an Evans Bancorp Trust is created and providing for the issuance of Trust Securities by such
Evans Bancorp Trust, in each case as amended from time to time.

     “Trustee” means the Person named as the “Trustee” in the first paragraph of this instrument
until a successor Trustee shall have become such pursuant to the applicable provisions of this
Indenture, and thereafter “Trustee” shall mean or include each Person who is then a Trustee
hereunder and, if at any time there is more than one such Person, “Trustee” as used with respect to
the Securities of any series shall mean the Trustee with respect to Securities of that series.

     “Trust Indenture Act means the Trust Indenture Act of 1939 (15 U.S.C. §§ 77aaa-77bbb), as
amended and as in effect on the date as of this Indenture, except as provided in Section 9.5.

     “Trust Preferred Securities” has the meaning specified in the first recital of this Indenture.

     “Trust Securities” has the meaning specified in the first recital of this Indenture.

     Section 1.2 Compliance Certificate and Opinions. Upon any application or request by the
Company to the Trustee to take any action under any provision of this Indenture, the Company shall
furnish to the Trustee such certificates and opinions as may be required under the Trust Indenture
Act. Each such certificate or opinion shall be given in the form of an Officers’ Certificate, if to
be given by an officer of the Company, or an Opinion of Counsel, if to be given by Counsel, and
shall comply with the requirements of the Trust Indenture Act and any other requirements set forth
in this Indenture.

     Every certificate or opinion with respect to compliance with a condition or covenant provided
for in this Indenture (other than the certificates provided pursuant to Section 10.4) shall
include:

          (1) a statement that each individual signing such certificate or opinion has read such
covenant or condition and the definitions herein relating thereto;

          (2) a brief statement as to the nature and scope of the examination or investigation upon
which the statements or opinions contained in such certificate or opinion are based;

          (3) a statement that, in the opinion of each such individual, he has made such examination
or investigation as is necessary to enable him to express an informed opinion as to whether or not
such covenant or

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condition has been complied with; and

          (4) a statement as to whether, in the opinion of each such individual, such condition or
covenant has been complied with.

     Section 1.3 Forms of Documents Delivered to Trustee. In any case where several matters are
required to be certified by, or covered by an opinion of, any specified Person, it is not necessary
that all such matters be certified by, or covered by the opinion of, only one such Person, or that
they be so certified or covered by only one document, but one such Person may certify or give an
opinion with respect to some matters and one or more other such Persons as to other matters, and
any such Person may certify or give an opinion as to such matters in one or several documents.

     Any certificate or opinion of an officer of the Company may be based, insofar as it relates to
legal matters, upon a certificate or opinion of, or representations by, counsel, unless such
officer knows, or in the exercise of reasonable care should know, that the certificate or opinion
or representations with respect to the matters upon which his certificate or opinion is based are
erroneous. Any such certificate or opinion of counsel may be based, insofar as it relates to
factual matters, upon a certificate or opinion of, or representations by, an officer or officers of
the Company stating that the information with respect to such factual matters is in the possession
of the Company, unless such counsel knows, or in the exercise of reasonable care should know, that
the certificate or opinion or representations with respect to such matters are erroneous.

     Where any Person is required to make, give or execute two or more applications, requests,
consents, certificates, statements, opinions or other instruments under this Indenture, they may,
but need not, be consolidated and form one instrument.

     Section 1.4 Acts of Holders.

          (a) Any request, demand, authorization, direction, notice, consent, waiver or other action
provided or permitted by this Indenture to be given, made or taken by Holders may be embodied in
and evidenced by one or more instruments of substantially similar tenor signed by such Holders in
person or by an agent duly appointed in writing; and, except as herein otherwise expressly
provided, such action shall become effective when such instrument or instruments is or are
delivered to the Trustee, and, where it is hereby expressly required, to the Company. Such
instrument or instruments (and the action embodied therein and evidenced thereby) are herein
sometimes referred to as the “Act” of the Holders signing such instrument or instruments. Proof of
execution of any such instrument or of a writing appointing any such agent shall be sufficient for
any purpose of this Indenture and (subject to Section 6.1) conclusive in favor of the Trustee and
the Company, if made in the manner provided in this Section.

          (b) The fact and date of the execution by any Person of any such instrument or writing may
be proved by the affidavit of a witness of such execution or by the certificate of any notary
public or other officer authorized by law to take acknowledgments of deeds, certifying that the
individual signing such instrument or writing acknowledged to him the execution thereof. Where such
execution is by a Person acting in other than his individual capacity, such certificate or
affidavit shall also constitute sufficient proof of his authority.

          (c) The fact and date of the execution by any Person of any such instrument or writing, or
the authority of the Person executing the same, may also be proved in any other manner that the
Trustee deems sufficient.

          (d) The ownership of Securities shall be proved by the Securities Register.

          (e) Any request, demand, authorization, direction, notice, consent, waiver or other Act of
the Holder of any Security shall bind every future Holder of the same Security and the Holder of
every Security issued upon the registration of transfer thereof or in exchange therefor or in lieu
thereof in respect of anything done, omitted or suffered to be done by the Trustee or the Company
in reliance thereon, whether or not notation of such action is made upon such Security.

          (f) The Company may set any day as a record date for the purpose of determining the
Holders of Outstanding Securities of any series entitled to give, make or take any request, demand,
authorization, direction, notice, consent, waiver or other action provided or permitted by this
Indenture to be given, made or taken by

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Holders of Securities of such series, provided that the Company may not set a record date for,
and the provisions of this paragraph shall not apply with respect to, the giving or making of any
notice, declaration, request or direction referred to in the next paragraph. If any record date is
set pursuant to this paragraph, the Holders of Outstanding Securities of the relevant series on
such record date, and no other Holders, shall be entitled to take the relevant action, whether or
not such Holders remain Holders after such record date, provided that no such action shall be
effective hereunder unless taken on or prior to the applicable Expiration Date (as hereinafter in
this Section provided) by Holders of the requisite principal amount of Outstanding Securities of
such series on such record date. Nothing in this paragraph shall be construed to prevent the
Company from setting a new record date for any action for which a record date has previously been
set pursuant to this paragraph (whereupon the record date previously set shall automatically and
with no action by any Person be cancelled and of no effect), and nothing in this paragraph shall be
construed to render ineffective any action taken by Holders of the requisite principal amount of
Outstanding Securities of the relevant series on the date such action is taken. Promptly after any
record date is set pursuant to this paragraph, the Company, at its own expense, shall cause notice
of such record date, the proposed action by Holders and the applicable Expiration Date to be given
to the Trustee in writing and to each Holder of Securities of the relevant series in the manner set
forth in Section 1.6.

          The Trustee may set any day as a record date for the purpose of determining the Holders of
Outstanding Securities of any series entitled to join in the giving or making of(i) any Notice of
Default, (ii) any declaration of acceleration referred to in Section 5.2, (iii) any request to
institute proceedings referred to in Section 5.7(2) or (iv) any direction referred to in Section
5.12, in each case with respect to Securities of such series. If any record date is set pursuant to
this paragraph, the Holders of Outstanding Securities of such series on such record date, and no
other Holders, shall be entitled to join in such notice, declaration, request or direction, whether
or not such Holders remain Holders after such record date, provided that no such action shall be
effective hereunder unless taken on or prior to the applicable Expiration Date by Holders of the
requisite principal amount of Outstanding Securities of such series on such record date. Nothing in
this paragraph shall be construed to prevent the Trustee from setting a new record date for any
action for which a record date has previously been set pursuant to this paragraph (whereupon the
record date previously set shall automatically and with no action by any Person be cancelled and of
no effect), and nothing in this paragraph shall be construed to render ineffective any action taken
by Holders of the requisite principal amount of Outstanding Securities of the relevant series on
the date such action is taken. Promptly after any record date is set pursuant to this paragraph,
the Trustee, at the Company’s expense, shall cause notice of such record date, the proposed action
by Holders and the applicable Expiration Date to be given to the Company in writing and to each
Holder of Securities of the relevant series in the manner set forth in Section 1.6.

          With respect to any record date set pursuant to this Section, the party hereto that sets such
record dates may designate any day as the “Expiration Date” and from time to time may change the
Expiration Date to any earlier or later day, provided that no such change shall be effective unless
notice of the proposed new Expiration Date is given to the other party hereto in writing, and to
each Holder of Securities of the relevant series in the manner set forth in Section 1.6, on or
prior to the existing Expiration Date. If an Expiration Date is not designated with respect to any
record date set pursuant to this Section, the party hereto that set such record date shall be
deemed to have initially designated the 180th day after such record date as the
Expiration Date with respect thereto, subject to its right to change the Expiration Date as
provided in this paragraph. Notwithstanding the foregoing, no Expiration Date shall be later than
the 180th day after the applicable record date.

          (g) Without limiting the foregoing, a Holder entitled hereunder to take any action
hereunder with regard to any particular Security may do so with regard to all or any part of the
principal amount of such Security or by one or more duly appointed agents each of which may do so
pursuant to such appointment with regard to all or any part of such principal amount.

     Section 1.5 Notices, Etc. to Trustee and Company. Any request, demand, authorization,
direction, notice, consent, waiver or Act of Holders or other document provided or permitted by
this Indenture to be made upon, given or furnished to, or filed with, (1) the Trustee by any
Holder, any holder of Trust Preferred Securities or the Company shall be sufficient for every
purpose hereunder if made, given, furnished or filed in writing to or with the Trustee at its
Corporate Trust Office, or (2) the Company by the Trustee, any Holder or any holder of Trust
Preferred Securities shall be sufficient for every purpose (except as otherwise provided in
Section 5.1) hereunder if in writing and mailed, first class, postage prepaid, to the Company
addressed to it at the address of its principal office specified in the first paragraph of this
instrument or at any other address previously furnished in writing to the Trustee by the
Company.

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     Section 1.6 Notice to Holders; Waiver. Where this Indenture provides for notice to Holders
of any event, such notice shall be sufficiently given (unless otherwise herein expressly provided)
if in writing and mailed, first class postage prepaid, to each Holder affected by such event, at
the address of such Holder as it appears in the Securities Register, not later than the latest
date, and not earlier than the earliest date, prescribed for the giving of such notice. In any case
where notice to Holders is given by mail, neither the failure to mail such notice, nor any defect
in any notice so mailed, to any particular Holder shall affect the sufficiency of such notice with
respect to other Holders. In case, by reason of the suspension of or irregularities in regular mail
service or for any other reason, it shall be impossible or impracticable to mail notice of any
event to Holders when said notice is required to be given pursuant to any provision of this
Indenture or of the relevant Securities, then any manner of giving such notice as shall be
satisfactory to the Trustee shall be deemed to be a sufficient giving of such notice. Where this
Indenture provides for notice in any manner, such notice may be waived in writing by the Person
entitled to receive such notice, either before or after the event, and such waiver shall be the
equivalent of such notice. Waivers of notice by Holders shall be filed with the Trustee, but such
filing shall not be a condition precedent to the validity of any action taken in reliance upon such
waiver.

     Section 1.7 Conflict with Trust Indenture Act. If any provision hereof limits, qualifies or
conflicts with a provision of the Trust Indenture Act that is required under such Act to be a part
of and govern this Indenture, the latter provision shall control. If any provision of this
Indenture modifies or excludes any provision of the Trust Indenture Act that may be so modified or
excluded, the latter provision shall be deemed to apply to this Indenture as so modified or to be
excluded, as the case may be.

     Section 1.8 Effect of Headings and Table of Contents. The Article and Section headings
herein and the Table of Contents are for convenience only and shall not affect the construction
hereof.

     Section 1.9 Successors and Assigns. All covenants and agreements in this Indenture by the
Company shall bind its successors and assigns, whether so expressed or not.

     Section 1.10 Separability Clause. In case any provision in this Indenture or in the
Securities shall be invalid, illegal or unenforceable, the validity, legality and enforceability of
the remaining provisions shall not in any way be affected or impaired thereby.

     Section 1.11 Benefits of Indenture. Nothing in this Indenture or in the Securities, express
or implied, shall give to any Person, other than the parties hereto and their successors hereunder,
the holders of Senior Debt and assigns, the holders of the Trust Preferred Securities and the
Holders of the Securities, any benefit or any legal or equitable right, remedy or claim under this
Indenture.

     Section 1.12 Governing Law. This Indenture and the Securities shall be governed by and
construed and interpreted in accordance with the laws of the State of New York.

     Section 1.13 Legal Holidays. In any case where any Interest Payment Date, Redemption Date,
Repayment Date or Stated Maturity of any Security shall not be a Business Day at any Place of
Payment, then (notwithstanding any other provision of this Indenture or of the Securities (other
than a provision of any Security that specifically states that such provision shall apply in lieu
of this Section) payment of interest or principal (and premium, if any) need not be made on such
date, but may be made on the next succeeding Business Day at such Place of Payment (and no interest
shall accrue for the period from and after such Interest Payment Date, Redemption Date, Repayment
Date or Stated Maturity, as the case may be, until such next succeeding Business Day except that,
if such Business Day is in the next succeeding calendar year, such payment shall be made on the
immediately preceding Business Day (in each case with the same force and effect as if made on the
Interest Payment Date, Redemption Date or Repayment Date or at the Stated Maturity).

     Section 1.14 Force Majeure. In no event shall the Trustee be responsible or liable for any
failure or delay in the performance of its obligations under this Agreement arising out of or
caused by, directly or indirectly, forces beyond its control, including without limitation strikes,
work stoppages, any provision of any law or regulation or any act of any governmental authority,
accidents, acts of war or terrorism, sabotage, epidemics, riots, civil or military disturbances,
nuclear or natural catastrophes or acts of God, and interruptions, loss or malfunctions of
utilities, communications or computer (software or hardware) services.

ARTICLE II SECURITY

FORMS

     Section 2.1 Forms Generally. The Securities of each series shall be in substantially the
form set forth in this Article, or in such other form as shall be established by or pursuant to a
Board Resolution or in one or more indentures supplemental hereto, in each case with such
appropriate insertions, omissions, substitutions and other variations as are required or permitted
by this Indenture and may have such letters, numbers or other marks of identification and such
legends or endorsements placed thereon as may be required to comply with applicable tax laws or the
rules of any securities exchange or Depositary therefor or as may, consistently herewith, be
determined

9

 

by the officers executing such Securities, as evidenced by their execution thereof. If the
form of Securities of any series is established by action taken pursuant to a Board Resolution, a
copy of an appropriate record of such action shall be certified by the Secretary or an Assistant
Secretary of the Company and delivered to the Trustee at or prior to the delivery of the Company
Order contemplated by Section 3.3 with respect to the authentication and delivery of such
Securities.

     The definitive Securities shall be printed, lithographed or engraved or produced by any
combination of these methods, if required by any securities exchange on which the Securities may be
listed, on a steel engraved border or steel engraved borders or may be produced in any other manner
permitted by the rules of any securities exchange on which the Securities may be listed, all as
determined by the officers executing such Securities, as evidenced by their execution of such
Securities.

     Securities distributed to holders of Trust Preferred Securities in book-entry form shall be
distributed in the form of one or more Global Securities registered in the name of a Depositary or
its nominee, and deposited with the Security Registrar, as custodian for such Depositary, or held
by such Depositary, for credit by the Depositary to the respective accounts of the beneficial
owners of the Securities represented thereby (or such other accounts as they may direct).
Securities distributed to holders of Trust Preferred Securities held in non book-entry definitive
form shall not be issued in the form of a Global Security or any other form intended to facilitate
book-entry trading in beneficial interests in such Securities.

     Section 2.2 Form of Face of Security. THIS NOTE IS NOT A DEPOSIT OR OTHER OBLIGATION OF A
DEPOSITORY INSTITUTION AND IS NOT INSURED BY THE FEDERAL DEPOSIT INSURANCE CORPORATION OR ANY OTHER
GOVERNMENTAL AGENCY.

[Insert any legend required by the Internal Revenue Code and the regulations thereunder.]

EVANS BANCORP, INC.

(TITLE OF SECURITY)

      

			
	No.                     
	 	$                    

     EVANS BANCORP, INC., a New York corporation (hereinafter called the “Company”, which term
includes any successor corporation under the Indenture hereinafter referred to), for value
received, hereby promises to pay to
                    , or registered assigns, the principal sum of                     
Dollars [If the Security is a Global Security, then insert, if applicable—, or such other
principal amount as may be set forth in the records of the Securities Registrar hereinafter
referred to in accordance with the Indenture,] on                     , [If applicable, insert—or such earlier
date as may be specified by the Company following a Remarketing (such date is hereinafter referred
to as] [(]the “Stated Maturity Date”). The Company further promises to pay interest on said
principal sum from                     , or from the most recent interest payment date (each such date, an
“Interest Payment Date”) on which interest has been paid or duly provided for, [monthly]
[quarterly] [semi-annually] [If applicable, insert—(subject to deferral as set forth herein)] in
arrears on [Insert applicable Interest Payment Dates} of each year, commencing                     , at the rate
of                     % per annum [If applicable, describe method for calculating floating rate], until the
principal hereof shall have become due and payable, [If applicable, insert—plus Additional
Interest, if any,] until the principal hereof is paid or duly provided for or made available for
payment [If applicable, insert—and on any overdue principal and (without duplication and to the
extent that payment of such interest is enforceable under applicable law) on any overdue
installment of interest at the rate of                     % per annum, compounded [monthly] [quarterly]
[semi-annually]]. The amount of interest payable for any period less than a full interest period
shall be computed on the basis of twelve 30-day months and a 360-day year and the actual number of
days elapsed in a partial month in a period. In the event that any date on which interest is
payable on this Security is not a Business Day, then a payment of the interest payable on such date
will be made on the next succeeding day that is a Business Day (and without any interest or other
payment in respect of any such delay), except that, if such Business Day is in the next succeeding
calendar year, such payment shall be made on the immediately preceding Business Day, in each case
with the same force and effect as if made on the date the payment was originally payable. A
“Business Day” shall mean any day other than a Saturday, Sunday, or any other day on which banking
institutions and trust companies in New York, New York or Wilmington, Delaware, are permitted or
required by any applicable law to close [If applicable, insert—, or the principal office of the
Property Trustee under the Trust Agreement hereinafter referred to for [Evans Bancorp Trust] is
closed for business]. The interest installment so payable, and punctually paid or duly provided
for,

10

 

on any Interest Payment Date will, as provided in the Indenture, be paid to the Person in
whose name this Security (or one or more Predecessor Securities is registered at the close of
business on the Regular Record Date for such interest installment, which shall be the                     
[Insert definition of Regular Record Dates]. Any such interest installment not so punctually paid
or duly provided for shall forthwith cease to be payable to the Holder on such Regular Record Date
and may either be paid to the Person in whose name this Security (or one or more Predecessor
Securities) is registered at the close of business on a Special Record Date for the payment of such
Defaulted Interest to be fixed by the Trustee, notice whereof shall be given to Holders of
Securities of this series not less than 10 days prior to such Special Record Date, or be paid at
any time in any other lawful manner not inconsistent with the requirements of any securities
exchange on which the Securities of this series may be listed, and upon such notice as may be
required by such exchange, all as more fully provided in said Indenture.

     [If applicable, insert—So long as no Event of Default has occurred and is continuing, the
Company shall have the right at any time during the term of this Security to defer payment of
interest on this Security, at any time or from time to time, for up to consecutive [monthly]
[quarterly] [semi-annual] interest payment periods with respect to each deferral period (each an
“Deferral Period”), during which Deferral Periods the Company shall have the right to make partial
payments of interest on any Interest Payment Date, and at the end of which the Company shall pay
all interest then accrued and unpaid (together with Additional Interest thereon to the extent
permitted by applicable law); provided, however, that no Deferral Period shall extend beyond the
Stated Maturity of the principal of this Security; provided, however, that during any such Deferral
Period, the Company shall not, and shall not permit any Subsidiary of the Company to, (i) declare
or pay any dividends or distributions on any shares of the Company’s capital stock, or redeem,
purchase, acquire or make a liquidation payment with respect to, any shares of the Company’s
preferred stock, (ii) make any payment of principal of or interest or premium, if any, on or repay,
repurchase or redeem any debt security of the Company that ranks pari passu in all respects with or
junior in interest to this Security (except for partial payments of interest with respect to the
Security) or (iii) make any guarantee payments with respect to any guarantee by the Company of the
debt securities of any Subsidiary of the Company that by their terms rank pari passu in all
respects with or junior in interest to this Security (other than (a) any repurchase, redemption or
other acquisition of shares of the Company’s capital stock in connection with (1) any employment
contract, benefit plan or other similar arrangement with or for the benefit of any one or more
employees, officers, directors, consultants or independent contractors, (2) the satisfaction of the
Company’s obligations pursuant to any contract entered into in the ordinary course prior to the
beginning of the Deferral Period, (3) a dividend reinvestment or stockholder purchase plan, or (4)
the issuance of the Company’s capital stock, or securities convertible into or exercisable for such
capital stock, as consideration in an acquisition transaction entered into prior to the applicable
Deferral Period; (b) any exchange, redemption or conversion of any class or series of the Company’s
capital stock, or the capital stock of one of its subsidiaries, for any other class or series of
the Company’s capital stock, or any class or series of the Company’s indebtedness for any class or
series of its capital stock; (c) any purchase of fractional interests in shares of the Company’s
capital stock pursuant to the conversion or exchange provisions of such capital stock or the
securities being converted or exchanged; (d) any declaration of a dividend in connection with any
rights plan, or the issuance of rights, stock or other property under any rights plan, or the
redemption or repurchase of rights pursuant thereto; (e) payments under any Evans Bancorp Guarantee
executed for the benefit of the holders of the Trust Preferred Securities; or (f) any dividend in
the form of stock, warrants, options or other rights where the dividend stock or stock issuable
upon exercise of such warrants, options or other rights is the same stock as that on which the
dividend is being paid or ranks equally with or junior to such stock). Prior to the termination of
any such Deferral Period, the Company may further extend the interest payment period, provided that
no Deferral Period shall exceed consecutive [months] [quarters] [semi-annual periods] or extend
beyond the Stated Maturity of the principal of this Security. Upon the termination of any such
Deferral Period and upon the payment of all accrued and unpaid interest and any Additional Interest
then due, the Company may elect to begin a new Deferral Period, subject to the above requirements.
No interest shall be due and payable during an Deferral Period except at the end thereof. The
Company shall give the [Holder of this Security and the] Trustee notice of its election to begin or
extend any Deferral Period at least ten Business Days prior to the date on which Distributions on
the Trust Preferred Securities would be payable but for the election to begin or extend such
Deferral Period. The Trustee or its designee shall give notice of the Company’s election to begin
or extend any Deferral Period to the Property Trustee.]

     Payment of the principal of (and premium, if any) and interest on this Security will be made
at the office or agency of the Company maintained for that purpose in the United States, in such
coin or currency of the United States of America as at the time of payment is legal tender for
payment of public and private debts [If applicable, insert—; provided, however, that at the option
of the Company payment of interest may be made (i) by check mailed to the address of the Person
entitled thereto as such address shall appear in the Securities Register or (ii) by wire

11

 

transfer in immediately available funds at such place and to such account as may be designated
by the Person entitled thereto as specified in the Securities Register in writing not less than ten
days before the date of the interest payment].

     The indebtedness evidenced by this Security is, to the extent provided in the Indenture,
subordinate and junior in right of payments to the prior payment in full of all Senior Debt, and
this Security is issued subject to the provisions of the Indenture with respect thereto. Each
Holder of this Security, by accepting the same, (a) agrees to and shall be bound by such
provisions, (b) authorizes and directs the Trustee on his behalf to take such actions as may be
necessary or appropriate to effectuate the subordination so provided and (c) appoints the Trustee
his attorney-in-fact for any and all such purposes.

     Each Holder hereof, by his acceptance hereof, waives all notice of the acceptance of the
subordination provisions contained herein and in the Indenture by each holder of Senior
Indebtedness, whether now outstanding or hereafter incurred, and waives reliance by each such
holder upon said provisions.

     Reference is hereby made to the further provisions of this Security set forth on the reverse
hereof, which further provisions shall for all purposes have the same effect as if set forth at
this place.

     Unless the certificate of authentication hereon has been executed by the Trustee referred to
on the reverse hereof by manual signature, this Security shall not be entitled to any benefit under
the Indenture or be valid or obligatory for any purpose.

     IN WITNESS WHEREOF, the Company has caused this instrument to be duly executed.

	 	 	 	 	 
	 	EVANS BANCORP, INC.

 	 
	 	By:  	 	 
	 	 	[PRESIDENT OR VICE PRESIDENT] 	 
	 	 	 	 
	 

	 	 	 	 	 
	Attest:
	 	 	 	 
	[SECRETARY OR ASSISTANT SECRETARY]	 	 

     Section 2.3 Form of Reverse of Security. This Security is one of a duly authorized
issue of securities of the Company (herein called the “Securities”), issued and to be issued in one
or more series under an Indenture, dated as of                                          (herein called the “Indenture”),
between the Company and Wilmington Trust Company, as Trustee (herein called the “Trustee”, which
term includes any successor trustee under the Indenture), to which Indenture and all indentures
supplemental thereto reference is hereby made for a statement of the respective rights, limitations
of rights, duties and immunities thereunder of the Trustee, the Company and the Holders of the
Securities, and of the terms upon which the Securities are, and are to be, authenticated and
delivered. [If applicable, insert—By the terms of the Indenture, the Securities are issuable in
series that may vary as to amount, date of maturity, rate of interest, rank and in any other
respect provided in the Indenture.]

     All terms used in this Security that are defined in the Indenture [I/applicable, insert—or in
the Amended and Restated Trust Agreement, dated as of                     , as amended (the “Trust Agreement”),
for [Evans Bancorp Trust] among EVANS BANCORP, INC., as Sponsor, and the Trustees named therein,
shall have the meanings assigned to them in the Indenture [If applicable, insert—or the Trust
Agreement, as the case may be].

     [If applicable, insert — The Company may at any time, at its option, on or after                     ,
and subject to the terms and conditions of Article XI of the Indenture, redeem this Security in
whole at any time or in part from time to time, without premium or penalty, at a redemption price
equal to 100% of the principal amount thereof plus accrued and unpaid interest [If applicable,
insert—including Additional Interest, if any] to the Redemption Date.]

[If applicable, describe rate reset.]

12

 

[If applicable, describe Remarketing.]

     In the event of redemption of this Security in part only, a new Security or Securities of this
series for the unredeemed portion hereof will be issued in the name of the Holder hereof upon the
cancellation hereof.

     The Indenture contains provisions for satisfaction and discharge of the entire indebtedness of
this Security upon compliance by the Company with certain conditions set forth in the Indenture.

     The Indenture permits, with certain exceptions as therein provided, the Company and the
Trustee at any time to enter into a supplemental indenture or indentures for the purpose of
modifying in any manner the rights and obligations of the Company and of the Holders of the
Securities, with the consent of the Holders of not less than a majority in principal amount of the
Outstanding Securities of each series to be affected by such supplemental indenture. The Indenture
also contains provisions permitting Holders of specified percentages in principal amount of the
Securities of each series at the time Outstanding, on behalf of the Holders of all Securities of
such series, to waive compliance by the Company with certain provisions of the Indenture and
certain past defaults under the Indenture and their consequences. Any such consent or waiver by the
Holder of this Security shall be conclusive and binding upon such Holder and upon all future
Holders of this Security and of any Security issued upon the registration of transfer hereof or in
exchange herefor or in lieu hereof, whether or not notation of such consent or waiver is made upon
this Security.

     As provided in and subject to the provisions of the Indenture, if an Event of Default with
respect to the Securities of this series at the time Outstanding occurs and is continuing, then and
in every such case the Trustee or the Holders of not less than 25% in principal amount of the
Outstanding Securities of this series may declare the principal amount of all the Securities of
this series to be due and payable immediately, by a notice in writing to the Company (and to the
Trustee if given by Holders), provided that, in the case of the Securities of this series issued to
an Evans Bancorp Trust, if upon an Event of Default, the Trustee or the Holders of not less than
25% in principal amount of the Outstanding Securities of this series fails to declare the principal
of all the Securities of this series to be immediately due and payable, the holders of at least 25%
in aggregate Liquidation Amount (as defined in the Trust Agreement) of the Trust Preferred
Securities of such Evans Bancorp Trust then outstanding shall have such right by a notice in
writing to the Company and the Trustee; and upon any such declaration the principal amount of and
the accrued interest (including any Additional Interest) on all the Securities of this series shall
become immediately due and payable, provided that the payment of principal and interest (including
any Additional Interest) on such Securities shall remain subordinated to the extent provided in
Article XIII of the Indenture.

     No reference herein to the Indenture and no provision of this Security or of the Indenture
shall alter or impair the obligation of the Company, which is absolute and unconditional, to pay
the principal of (and premium, if any) and interest on this Security at the times, place and rate,
and in the coin or currency, herein prescribed.

     As provided in the Indenture and subject to certain limitations therein set forth, the
transfer of this Security is registrable in the Securities Register, upon surrender of this
Security for registration of transfer at the office or agency of the Company maintained under
Section 10.2 of the Indenture duly endorsed by, or accompanied by a written instrument of transfer
in form satisfactory to the Company and the Securities Registrar duly executed by, the Holder
hereof or his attorney duly authorized in writing, and thereupon one or more new Securities of this
series, of authorized denominations and for the same aggregate principal amount, will be issued to
the designated transferee or transferees. No service charge shall be made for any such registration
of transfer or exchange, but the Company may require payment of a sum sufficient to cover any tax
or other governmental charge payable in connection therewith.

     Prior to due presentment of this Security for registration of transfer, the Company, the
Trustee and any agent of the Company or the Trustee shall treat the Person in whose name this
Security is registered as the owner hereof for all purposes, whether or not this Security be
overdue, and neither the Company, the Trustee nor any such agent shall be affected by notice to the
contrary.

     The Securities of this series are issuable only in registered form without coupons in minimum
denominations of $1,000 and any integral multiples of $1,000 in excess thereof. As provided in the
Indenture and subject to certain limitations therein set forth. Securities of this series are
exchangeable for a like aggregate principal amount of Securities of such series of a different
authorized denomination, as requested by the Holder surrendering the same.

13

 

     The Company and, by its acceptance of this Security or a beneficial interest therein, the
Holder of, and any Person that acquires a beneficial interest in, this Security agree that for U.S.
federal, state and local tax purposes it is intended that this Security constitute indebtedness.

     The Indenture and this Security shall be governed by and construed and interpreted in
accordance with the laws of the State of New York.

     Section 2.4 Additional Provisions Required in Global Security. Unless otherwise specified
as contemplated by Section 3.1 for the Securities evidenced thereby, every Global Security
authenticated and delivered hereunder shall bear a legend in substantially the following form:

THIS SECURITY IS A GLOBAL SECURITY WITHIN THE MEANING OF THE INDENTURE HEREINAFTER REFERRED
TO AND IS REGISTERED IN THE NAME OF A DEPOSITARY OR A NOMINEE THEREOF. THIS SECURITY MAY NOT
BE EXCHANGED IN WHOLE OR IN PART FOR SECURITY REGISTERED, AND NO TRANSFER OF THIS SECURITY IN
WHOLE OR IN PART MAY BE REGISTERED, IN THE NAME OF ANY PERSON OTHER THAN SUCH DEPOSITARY OR A
NOMINEE THEREOF, EXCEPT IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE.

UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST
COMPANY, A NEW YORK CORPORATION (“DTC’), TO THE ISSUER OR ITS AGENT FOR REGISTRATION OR
TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE &
CO. OR IN SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY
PAYMENT IS MADE TO CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR
TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER, CEDE & CO., HAS AN INTEREST
HEREIN.

     Section 2.5 Form of Trustee’s Certificate of Authentication. The Trustee’s certificate
of authentication shall be substantially in the following form:

     This is one of the Securities referred to in the within mentioned Indenture.

	 	 	 	 	 
	 	WILMINGTON TRUST COMPANY,

not in its individual capacity but solely as
Trustee

 	 
	 	By:  	 	 
	 	 	AUTHORIZED OFFICER 	 
	 	 	 	 
	 

ARTICLE III THE

SECURITIES

     Section 3.1 Amount Unlimited Issuable in Series. The aggregate principal amount of
Securities that may be authenticated and delivered under this Indenture is unlimited.

     The Securities may be issued in one or more series. There shall be established in or pursuant
to a Board Resolution, and, subject to Section 3.3, set forth, or determined in the manner
provided, in an Officers’ Certificate, or established in one or more indentures supplemental
hereto, prior to the issuance of Securities of any series:

          (a) the title of the Securities of such series, which shall distinguish the Securities of
the series from all other Securities;

          (b) the limit, if any, upon the aggregate principal amount of the Securities of such series
that may be authenticated and delivered under this Indenture (except for Securities authenticated
and delivered upon registration of transfer of, or in exchange for, or in lieu of, other Securities
of the series pursuant to Section 3.4, 3.5, 3.6, 9.6, 11.6 or 14.3 and except for any Securities
that, pursuant to Section 3.3, are deemed never to have been

14

 

authenticated and delivered hereunder); provided, however, that the authorized aggregate
principal amount of such series may be increased above such amount by a Board Resolution to such
effect;

          (c) the Stated Maturity or Maturities on which the principal of the Securities of such
series is payable or the method of determination thereof;

          (d) the rate or rates, if any, at which the Securities of such series shall bear interest,
the rate or rates and extent to which Additional Interest, if any, shall be payable in respect of
any Securities of such series, or the method or methods by which such rate or rates may be
determined, whether payment of interest will be contingent in any respect and/or the interest rate
reset, the date or dates from which such interest or Additional Interest shall accrue, the Interest
Payment Dates on which such interest shall be payable, the right, pursuant to Section 3.11 or as
otherwise set forth therein, of the Company to defer or extend an Interest Payment Date, the
Regular Record Date for the interest payable on any Security on any Interest Payment Date and other
circumstances, if any, in which the Company may defer interest payments, or the method by which any
of the foregoing shall be determined;

          (e) if applicable, the remarketing or extension features of the Securities of the series;

          (f) the place or places where the principal of (and premium, if any) and interest on the
Securities of such series shall be payable, the place or places where the Securities of such series
may be presented for registration of transfer or exchange, and the place or places where notices
and demands to or upon the Company in respect of the Securities of such series may be made;

          (g) the period or periods within or the date or dates on which, if any, the price or prices
at which and the terms and conditions upon which the Securities of such series may be redeemed, in
whole or in part, at the option of the Company;

          (h) the obligation or the right, if any, of the Company to redeem, repay or purchase the
Securities of such series pursuant to any sinking fund, amortization or analogous provisions, or at
the option of a Holder thereof, and the period or periods within which, the price or prices at
which, the currency or currencies (including currency unit or units) in which and the other terms
and conditions upon which Securities of the series shall be redeemed, repaid or purchased, in whole
or in part, pursuant to such obligation;

          (i) the denominations in which any Securities of such series shall be issuable, if
other than denominations of $1,000 and any integral multiple of $1,000 in excess thereof;

          (j) if other than Dollars, the currency or currencies (including currency unit or units)
in which the principal of (and premium, if any) and interest, if any, on the Securities of the
series shall be payable, or in which the Securities of the series shall be denominated and the
manner of determining the equivalent thereof in Dollars for purposes of the definition of
Outstanding;

          (k) the additions, modifications or deletions, if any, in the Events of Default or
covenants of the Company set forth herein with respect to the Securities of such series;

          (1) if other than the principal amount thereof, the portion of the principal amount of
Securities of such series that shall be payable upon declaration of acceleration of the Maturity
thereof;

          (m) any index or indices used to determine the amount of payments of principal of and
premium, if any, on the Securities of such series or the manner in which such amounts will be
determined;

          (n) whether the Securities of the series, or any portion thereof, shall initially be
issuable in the form of a temporary Global Security representing all or such portion of the
Securities of such series and provisions for the exchange of such temporary Global Security for
definitive Securities of such series;

          (o) if applicable, that any Securities of the series shall be issuable in whole or in part
in the form of one or more Global Securities and, in such case, the respective Depositaries for
such Global Securities, the form of any legend or legends that shall be borne by any such Global
Security in addition to or in lieu of that set forth in Section 2.4 and any circumstances in
addition to or in lieu of those set forth in Section 3.5 in which any such Global Security may be
exchanged in whole or in part for Securities registered, and any transfer of such Global Security
in whole or in part may be registered, in the name or names of Persons other than the Depositary
for such Global

15

 

Security or a nominee thereof;

          (p) the appointment of any Paying Agent or Agents for the Securities of such series;

          (q) the terms of any right to convert or exchange Securities of such series into any
other securities or property of the Company, and the additions or changes, if any, to this
Indenture with respect to the Securities of such series to permit or facilitate such conversion
or exchange;

          (r) if applicable, the Evans Bancorp Trust, Trust Agreement and Evans Bancorp Guarantee
relating to the Securities of such series;

          (s) the relative degree, if any, to which the Securities of the series shall be senior to
or be subordinated to other series of Securities in right of payment, whether such other series of
Securities are Outstanding or not;

          (t) if applicable, that the subordination provisions of Article XIII shall apply to the
Securities of the series or that any different subordination provisions, including a different
definition of the term ‘Senior Debt’ shall apply to the Securities of such series; and

          (u) any other terms of the Securities of such series (which terms shall not be
inconsistent with the provisions of this Indenture).

     All Securities of any one series shall be substantially identical except as to denomination
and except as may otherwise be provided herein or in or pursuant to such Board Resolution and set
forth in such Officers’ Certificate or in any such indenture supplemental hereto.

     If any of the terms of the series are established by action taken pursuant to a Board
Resolution, a copy of an appropriate record of such action shall be certified by the Secretary or
an Assistant Secretary of the Company and delivered to the Trustee at or prior to the delivery of
the Officers’ Certificate setting forth the terms of the series.

     Section 3.2 Denominations. The Securities of each series shall be in registered form
without coupons and shall be issuable in denominations of $1,000 and any integral multiple of
$1,000 in excess thereof, unless otherwise specified as contemplated by Section 3.1.

     Section 3.3 Execution, Authentication, Delivery and Dating. The Securities shall be
executed on behalf of the Company by its President or one of its Vice Presidents and attested by
its Secretary or one of its Assistant Secretaries. The signature of any of these officers on the
Securities may be manual or facsimile.

     Securities bearing the manual or facsimile signatures of individuals who were at any time the
proper officers of the Company shall bind the Company, notwithstanding that such individuals or any
of them have ceased to hold such offices prior to the authentication and delivery of such
Securities or did not hold such offices at the date of such Securities. At any time and from time
to time after the execution and delivery of this Indenture, the Company may deliver Securities of
any series executed by the Company to the Trustee for authentication, together with a Company Order
for the authentication and delivery of such Securities, and the Trustee in accordance with the
Company Order shall authenticate and deliver such Securities. If the form or terms of the
Securities of the series have been established by or pursuant to one or more Board Resolutions as
permitted by Sections 2.1 and 3.1, in authenticating such Securities, and accepting the additional
responsibilities under this Indenture in relation to such Securities, the Trustee shall be entitled
to receive, and (subject to Section 6.1) shall be fully protected in relying upon, an Opinion of
Counsel stating,

          (1) if the form of such Securities has been established by or pursuant to Board
Resolution as permitted by Section 2.1 that such form has been established in conformity with
the provisions of this Indenture;

          (2) if the terms of such Securities have been established by or pursuant to Board
Resolution as permitted by Section 3.1, that such terms have been established in conformity with
the provisions of this Indenture; and

          (3) that such Securities, when authenticated and delivered by the Trustee and issued by the
Company in the manner and subject to any conditions specified in such Opinion of Counsel, will
constitute valid and

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legally binding obligations of the Company enforceable in accordance with their terms, subject
to bankruptcy, insolvency, fraudulent transfer, reorganization, moratorium and similar laws of
general applicability relating to or affecting creditors’ rights and to general equity principles.

     If such form or terms have been so established, the Trustee shall not be required to
authenticate such Securities if the issue of such Securities pursuant to this Indenture will affect
the Trustee’s own rights, duties or immunities under the Securities and this Indenture or otherwise
in a manner that is not reasonably acceptable to the Trustee.

     Notwithstanding the provisions of Section 3.1 and of the preceding paragraph, if all
Securities of a series are not to be originally issued at one time, it shall not be necessary to
deliver the Officers’ Certificate otherwise required pursuant to Section 3.1 or the Company Order
and Opinion of Counsel otherwise required pursuant to such preceding paragraph at or prior to the
authentication of each Security of such series if such documents are delivered at or prior to the
authentication upon original issuance of the first Security of such series to be issued.

     Each Security shall be dated the date of its authentication.

     No Security shall be entitled to any benefit under this Indenture or be valid or obligatory
for any purpose, unless there appears on such Security a certificate of authentication
substantially in the form provided for herein executed by the Trustee by the manual signature of
one of its authorized officers, and such certificate upon any Security shall be conclusive
evidence, and the only evidence, that such Security has been duly authenticated and delivered
hereunder. Notwithstanding the foregoing, if any Security shall have been authenticated and
delivered hereunder but never issued and sold by the Company, and the Company shall deliver such
Security to the Trustee for cancellation as provided in Section 3.9, for all purposes of this
Indenture such Security shall be deemed never to have been authenticated and delivered hereunder
and shall never be entitled to the benefits of this Indenture.

     Section 3.4 Temporary Securities. Pending the preparation of definitive Securities of any
series, the Company may execute, and upon Company Order the Trustee shall authenticate and deliver,
temporary Securities that are printed, lithographed, typewritten, mimeographed or otherwise
produced, in any denomination, substantially of the tenor of the definitive Securities of such
series in lieu of which they are issued and with such appropriate insertions, omissions,
substitutions and other variations as the officers executing such Securities may determine, as
evidenced by their execution of such Securities.

     If temporary Securities of any series are issued, the Company will cause definitive Securities
of such series to be prepared without unreasonable delay. After the preparation of definitive
Securities, the temporary Securities shall be exchangeable for definitive Securities upon surrender
of the temporary Securities at the office or agency of the Company designated for that purpose
without charge to the Holder. Upon surrender for cancellation of any one or more temporary
Securities, the Company shall execute and the Trustee shall authenticate and deliver in exchange
therefor one or more definitive Securities of the same series, of any authorized denominations
having the same Original Issue Date and Stated Maturity and having the same terms as such temporary
Securities. Until so exchanged, the temporary Securities of any series shall in all respects be
entitled to the same benefits under this Indenture as definitive Securities of such series.

     Section 3.5 Registration, Transfer and Exchange. The Company shall cause to be kept at
each office or agency maintained for registrations of transfers and exchanges in a Place of Payment
pursuant to Section 10.2 with respect to the Securities of each series a register in which, subject
to such reasonable regulations as it may prescribe, the Company shall provide for the registration
of Securities and of transfers of Securities. Each such register is herein sometimes referred to as
the “Securities Register.” The Company shall designate one Person to maintain the Securities
Register for the Securities of each series on a consolidated basis, and such Person is referred to
herein, with respect to such series, as the “Securities Registrar.” The Company appoints the
Trustee as Securities Registrar unless otherwise specified with respect to any particular series in
accordance with Section 3.1. Anything herein to the contrary notwithstanding, the Company may
designate one or more of its offices as an office in which a register with respect to the
Securities of one or more series shall be maintained, and the Company may designate itself the
Securities Registrar with respect to one or more of such series. The Company may revoke any
designation of a Securities Registrar theretofore made by it. The Securities Register shall be open
for inspection by the Trustee and the Company at all reasonable times.

     Upon surrender for registration of transfer of any Security at the office or agency of the
Company designated for that purpose the Company shall execute, and the Trustee shall authenticate
and deliver, in the name of

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the designated transferee or transferees, one or more new Securities of the same series of any
authorized denominations, of a like aggregate principal amount, of the same Original Issue Date and
Stated Maturity and having the same terms.

     At the option of the Holder, Securities may be exchanged for other Securities of the same
series of any authorized denominations, of a like aggregate principal amount, of the same Original
Issue Date and Stated Maturity and having the same terms, upon surrender of the Securities to be
exchanged at such office or agency. Whenever any securities are so surrendered for exchange, the
Company shall execute, and the Trustee shall authenticate and deliver, the Securities that the
Holder making the exchange is entitled to receive.

     All Securities issued upon any transfer or exchange of Securities shall be the valid
obligations of the Company, evidencing the same debt, and entitled to the same benefits under this
Indenture, as the Securities surrendered upon such transfer or exchange.

     Every Security presented or surrendered for transfer or exchange shall (if so required by the
Company or the Securities Registrar) be duly endorsed, or be accompanied by a written instrument of
transfer in form satisfactory to the Company and the Securities Registrar, duly executed by the
Holder thereof or his attorney duly authorized in writing.

     No service charge shall be made to a Holder for any transfer or exchange of Securities, but
the Company may require payment of a sum sufficient to cover any tax or other governmental
charge that may be imposed in connection with any transfer or exchange of Securities.

The provisions of Clauses (1), (2), (3) and (4) below shall apply only to Global Securities:

          (1) Each Global Security authenticated under this Indenture shall be registered in the name
of the Depositary designated for such Global Security or a nominee thereof and delivered to such
Depositary or a nominee thereof or custodian therefor, and each such Global Security shall
constitute a single Security for all purposes of this Indenture.

          (2) Notwithstanding any other provision in this Indenture, no Global Security may be
exchanged in whole or in part for Securities registered, and no transfer of a Global Security in
whole or in part may be registered, in the name of any Person other than the Depositary for such
Global Security or a nominee thereof unless (A) such Depositary (i) has notified the Company that
it is unwilling or unable to continue as Depositary for such Global Security and no successor
Depository has been appointed within 90 days of this notice or (ii) has ceased to be a clearing
agency registered under the Exchange Act at a time when the Depositary is required to be so
registered to act as depositary and no successor Depository has been appointed within 90 days after
the Company has learned that the Depositary has ceased to be so registered, (B) there shall have
occurred and be continuing an Event of Default with respect to such Global Security, (C) the
Company in its sole discretion determines that such Global Security will be so exchangeable or
transferable or (D) there shall exist such circumstances, if any, in addition to or in lieu of the
foregoing as have been specified for this purpose as contemplated by Section 3.1.

          (3) Subject to Clause (2) above, any exchange of a Global Security for other Securities may
be made in whole or in part, and all Securities issued in exchange for a Global Security or any
portion thereof shall be registered in such names as the Depositary for such Global Security shall
direct.

          (4) Every Security authenticated and delivered upon registration of transfer of, or in
exchange for or in lieu of, a Global Security or any portion thereof, whether pursuant to this
Section, Section 3.4, 3.6, 9.6, 11.6 or 14.3 or otherwise, shall be authenticated and delivered in
the form of, and shall be, a Global Security, unless such Security is registered in the name of a
Person other than the Depositary for such Global Security or a nominee thereof.

          (5) Neither any members of, or participants in, the Depositary nor any other Persons on
whose behalf such members or participants may act shall have any rights under this Indenture with
respect to any Global Security registered in the name of the Depositary or any nominee thereof, and
the Depositary or such nominee, as the case may be, may be treated by the Company, the Trustee and
any agent of the Company or the Trustee as the absolute owner and holder of such Global Security
for all purposes whatsoever. None of the Company, the Trustee, any Paying Agent, any Securities
Registrar, any authenticating agent or any other agent of the Company or any agent of the Trustee
shall have any responsibility or liability for any aspect of the records relating to or payments

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made on account of beneficial ownership interests of a Security in the form of a Global
Security, or for maintaining, supervising or reviewing any records relating to such beneficial
ownership interests. The Company, the Trustee, any Paying Agent, any Securities Registrar and any
other agent of the Company and any agent of the Trustee shall be entitled to deal with any
depositary (including any Depositary), and any nominee thereof, that is the holder of any such
Global Security for all purposes of this Indenture relating to such Global Security (including the
payment of principal, premium, if any, and interest, if any, and the giving of instructions or
directions by or to the owner or holder of a beneficial ownership interest in such Global Security)
as the sole holder of such Global Security and shall have no obligations to the beneficial owners
thereof. None of the Company, the Trustee, any Paying Agent, any Securities Registrar or any other
agent of the Company or any agent of the Trustee shall have any responsibility or liability for any
acts or omissions of any such depositary with respect to such Global Note, for the records of any
such depositary, including records in respect of beneficial ownership interests in respect of any
such Global Security, for any transactions between such depositary and any members or participants
in the Depositary or other participant in such depositary or between or among any such depositary,
any such member or participant in the Depositary or other participant and/or any holder or owner of
a beneficial interest in such Global Security or for any transfers of beneficial interests in any
such Global Security. Notwithstanding the foregoing, nothing herein shall prevent the Company, the
Trustee or any agent of the Company or the Trustee from giving effect to any written certification,
proxy or other authorization furnished by the Depositary or such nominee, as the case may be, or
impair, as between the Depositary, members or participants of the Depositary and any other Person
on whose behalf a member or participant of the Depositary may act, the operation of customary
practices of such Persons governing the exercise of the rights of a beneficial holder of any Global
Security.

     Neither the Company nor the Trustee shall be required, pursuant to the provisions of this
Section, (a) to issue, register the transfer of or exchange any Security of any series during a
period beginning at the opening of business 15 days before the day of selection for redemption of
Securities pursuant to Article XI and ending at the close of business on the day of mailing of
notice of redemption or (b) to transfer or exchange any Security so selected for redemption in
whole or in part, except, in the case of any Security to be redeemed in part, any portion thereof
not to be redeemed.

     Section 3.6 Mutilated, Destroyed, Lost and Stolen Securities. If any mutilated Security is
surrendered to the Trustee, the Company shall execute and the Trustee shall authenticate and
deliver in exchange therefor a new Security of the same issue and series of like tenor and
principal amount, having the same Original Issue Date and Stated Maturity, and bearing a number not
contemporaneously outstanding.

     If there shall be delivered to the Company and to the Trustee (i) evidence to their
satisfaction of the destruction, loss or theft of any Security, and (ii) such security or indemnity
as may be required by them to save each of them and any agent of them harmless, then, in the
absence of notice to the Company or the Trustee that such Security has been acquired by a bona fide
purchaser, the Company shall execute and the Trustee shall authenticate and deliver, in lieu of any
such destroyed, lost or stolen Security, a new Security of the same issue and series of like tenor
and principal amount, having the same Original Issue Date and Stated Maturity as such destroyed,
lost or stolen Security, and bearing a number not contemporaneously outstanding.

     In case any such mutilated, destroyed, lost or stolen Security has become or is about to
become due and payable, the Company in its discretion may, instead of issuing a new Security, pay
such Security.

     Upon the issuance of any new Security under this Section, the Company and the Trustee may
require the payment of a sum sufficient to cover any tax or other governmental charge that may be
imposed in relation thereto and any other expenses (including the fees and expenses of the Trustee)
connected therewith.

     Every new Security of any series issued pursuant to this Section in lieu of any destroyed,
lost or stolen Security shall constitute an original additional contractual obligation of the
Company, whether or not the destroyed, lost or stolen Security shall be at any time enforceable by
anyone, and shall be entitled to all the benefits of this Indenture equally and proportionately
with any and all other Securities of that series duly issued hereunder.

     The provisions of this Section are exclusive and shall preclude (to the extent lawful) all
other rights and remedies with respect to the replacement or payment of mutilated, destroyed,
lost or stolen Securities.

     Section 3.7 Payment of Interest; Interest Rights Preserved. Interest on any Security of any
series that is payable, and is punctually paid or duly provided for, on any Interest Payment Date,
shall be paid to the Person in

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whose name that Security (or one or more Predecessor Securities) is registered at the close of
business on the Regular Record Date for such interest in respect of Securities of such series,
except that, unless otherwise provided in the Securities of such series, interest payable on the
Stated Maturity of the principal of a Security shall be paid to the Person to whom principal is
paid. The initial payment of interest on any Security of any series that is issued between a
Regular Record Date and the related Interest Payment Date shall be payable as provided in such
Security or in the Board Resolution pursuant to Section 3.1 with respect to the related series of
Securities.

     Any interest on any Security that is payable, but is not timely paid or duly provided for, on
any Interest Payment Date for Securities of such series (herein called “Defaulted Interest”), shall
forthwith cease to be payable to the registered Holder on the relevant Regular Record Date by
virtue of having been such Holder, and such Defaulted Interest may be paid by the Company, at its
election in each case, as provided in Clause (1) or (2) below:

          (1) The Company may elect to make payment of any Defaulted Interest to the Persons in whose
names the Securities of such series in respect of which interest is in default (or their respective
Predecessor Securities) are registered at the close of business on a Special Record Date for the
payment of such Defaulted Interest, which shall be fixed in the following manner.

          The Company shall notify the Trustee in writing of the amount of Defaulted Interest proposed
to be paid on each Security and the date of the proposed payment, and at the same time the Company
shall deposit with the Trustee an amount of money equal to the aggregate amount proposed to be paid
in respect of such Defaulted Interest or shall make arrangements satisfactory to the Trustee for
such deposit prior to the date of the proposed payment, such money when deposited to be held in
trust for the benefit of the Persons entitled to such Defaulted Interest as in this Clause
provided. Thereupon the Trustee shall fix a Special Record Date for the payment of such Defaulted
Interest that shall be not more than 15 days and not less than 10 days prior to the date of the
proposed payment and not less than 10 days after the receipt by the Trustee of the notice of the
proposed payment. The Trustee shall promptly notify the Company of such Special Record Date and, in
the name and at the expense of the Company, shall cause notice of the proposed payment of such
Defaulted Interest and the Special Record Date therefor to be mailed, first class, postage prepaid,
to each Holder of a Security of such series at the address of such Holder as it appears in the
Securities Register not less than 10 days prior to such Special Record Date. Notice of the proposed
payment of such Defaulted Interest and the Special Record Date therefor having been mailed as
aforesaid, such Defaulted Interest shall be paid to the Persons in whose names the Securities of
such series (or their respective Predecessor Securities) are registered at the close of business on
such Special Record Date and shall no longer be payable pursuant to the following Clause (2).

          (2) The Company may make payment of any Defaulted Interest in any other lawful manner not
inconsistent with the requirements of any securities exchange on which the Securities of the series
in respect of which interest is in default may be listed and, upon such notice as may be required
by such exchange (or by the Trustee if the Securities are not listed), if, after notice given by
the Company to the Trustee of the proposed payment pursuant to this Clause, such payment shall be
deemed practicable by the Trustee.

     Subject to the foregoing provisions of this Section, each Security delivered under this
Indenture upon transfer of or in exchange for or in lieu of any other Security shall carry the
rights to interest accrued and unpaid, and to accrue, which were carried by such other Security.

     Section 3.8 Persons Deemed Owners. The Company, the Trustee and any agent of the Company or
the Trustee may treat the Person in whose name any Security is registered as the owner of such
Security for the purpose of receiving payment of principal of and any premium and (subject to
Section 3.7) any interest on such Security and for all other purposes whatsoever, whether or not
such Security be overdue, and neither the Company, the Trustee nor any agent of the Company or the
Trustee shall be affected by notice to the contrary.

     No holder of any beneficial interest in any Global Security held on its behalf by a Depositary
shall have any rights under this Indenture with respect to such Global Security, and such
Depositary may be treated by the Company, the Trustee and any agent of the Company or the Trustee
as the owner of such Global Security for all purposes whatsoever. Notwithstanding the foregoing,
nothing herein shall prevent the Company, the Trustee or any agent of the Company or the Trustee
from giving effect to any written certification, proxy or other authorization furnished by a
Depositary or impair, as between a Depositary and such holders of beneficial interests, the
operation of customary practices governing the exercise of the rights of the Depositary (or its
nominee) as Holder of any Security.

20

 

     Section 3.9 Cancellation. All Securities surrendered for payment, redemption, repayment,
transfer or exchange shall, if surrendered to any Person other than the Trustee, be delivered to
the Trustee, and any such Securities and Securities surrendered directly to the Trustee for any
such purpose shall be promptly cancelled by it. The Company may at any time deliver to the Trustee
for cancellation any Securities previously authenticated and delivered hereunder that the Company
may have acquired in any manner whatsoever, and all Securities so delivered shall be promptly
cancelled by the Trustee. No Securities shall be authenticated in lieu of or in exchange for any
Securities cancelled as provided in this Section, except as expressly permitted by this Indenture.
All cancelled Securities shall be destroyed by the Trustee and the Trustee shall deliver to the
Company a certificate of such destruction.

     Section 3.10 Computation of Interest. Except as otherwise specified as contemplated by
Section 3.1 for Securities of any series, interest on the Securities of each series for any partial
period shall be computed on the basis of a 360-day year of twelve 30-day months and the actual days
elapsed in a partial month in such period.

     Section 3.11 Deferrals of Interest Payment Dates. If specified as contemplated by Section
2.1 or Section 3.1 with respect to the Securities of a particular series, so long as no Event of
Default has occurred and is continuing, the Company shall have the right, at any time during the
term of such series, from time to time to defer the payment of interest on such Securities for such
period or periods as may be specified as contemplated by Section 3.1, but not less than 20
consecutive quarters (each, an “Deferral Period”), during which Deferral Periods the Company shall
if so specified as contemplated by Section 3.1, have the right to make partial payments of interest
on any Interest Payment Date. The Company shall exercise such right to defer the payment of the
interest on such Securities at its option or when directed to do so by the Federal Reserve. No
Deferral Period shall end on a date other than an Interest Payment Date. At the end of any such
Deferral Period the Company shall pay all interest then accrued and unpaid on the Securities
(together with Additional Interest thereon, if any, at the rate specified for the Securities of
such series to the extent permitted by applicable law); provided, however, that no Deferral Period
shall extend beyond the Stated Maturity of the principal of the Securities of such series;
provided, further, that, unless otherwise specified as contemplated by Section 3.4, that during any
such Deferral Period, the Company shall not, and shall not permit any Subsidiary to, (i) declare or
pay any dividends or distributions on any shares of the Company’s capital stock, or redeem,
purchase, acquire or make a liquidation payment with respect to, any shares of the Company’s
preferred stock, (ii) make any payment of principal of or interest or premium, if any, on or repay,
repurchase or redeem any debt security of the Company that ranks pari passu in all respects with or
junior in interest to the Securities of such series (except for partial payments of interest with
respect to such series of Securities) or (iii) make any guarantee payments with respect to any
guarantee by the Company of the debt securities of any Subsidiary of the Company that by their
terms rank pari passu in all respects with or junior in interest to the securities of such series
(other than (a) any repurchase, redemption or other acquisition of shares of the Company’s capital
stock in connection with (1) any employment contract, benefit plan or other similar arrangement
with or for the benefit of any one or more employees, officers, directors, consultants or
independent contractors, (2) the satisfaction of the Company’s obligations pursuant to any contract
entered into in the ordinary course prior to the beginning of the Deferral Period, (3) a dividend
reinvestment or stockholder purchase plan, or (4) the issuance of the Company’s capital stock, or
securities convertible into or exercisable for such capital stock, as consideration in an
acquisition transaction entered into prior to the applicable Deferral Period; (b) any exchange,
redemption or conversion of any class or series of the Company’s capital stock, or the capital
stock of one of its subsidiaries, for any other class or series of the Company’s capital stock, or
any class or series of the Company’s indebtedness for any class or series of its capital stock; (c)
any purchase of fractional interests in shares of the Company’s capital stock pursuant to the
conversion or exchange provisions of such capital stock or the securities being converted or
exchanged; (d) any declaration of a dividend in connection with any rights plan, or the issuance of
rights, stock or other property under any rights plan, or the redemption or repurchase of rights
pursuant thereto; (e) payments under any Evans Bancorp Guarantee executed for the benefit of the
holders of the Trust Preferred Securities; or (f) any dividend in the form of stock, warrants,
options or other rights where the dividend stock or stock issuable upon exercise of such warrants,
options or other rights is the same stock as that on which the dividend is being paid or ranks
equally with or junior to such stock). Prior to the termination of any such Deferral Period, the
Company may further extend the interest payment period, provided that no Deferral Period shall
exceed the period or periods specified in such Securities or extend beyond the Stated Maturity of
the principal of such Securities. Upon termination of any Deferral Period and upon the payment of
all accrued and unpaid interest and any Additional Interest then due on any Interest Payment Date,
the Company may elect to begin a new Deferral Period, subject to the above requirements. No
interest shall be due and payable during an Deferral Period, except at the end thereof.

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     The Company shall give the Trustee, the Property Trustee and each Paying Agent notice of
its election to begin or extend any Deferral Period at least ten Business Days prior to the next
succeeding Interest Payment Date on the Securities of such series.

     The Trustee shall give notice of the Company’s election to begin or extend any Deferral Period
to the Holders of the Outstanding Securities of such series, unless otherwise specified with
respect to such series in accordance with Section 3.1.

     Section 3.12 Right of Set-off. With respect to the Securities of a series issued to an Evans
Bancorp Trust, notwithstanding anything to the contrary herein, the Company shall have the right to
set-off any payment it is otherwise required to make thereunder in respect of any such Security to
the extent the Company has theretofore made, or is concurrently on the date of such payment making,
a payment under the Evans Bancorp Guarantee relating to such Security or to a holder of Trust
Preferred Securities pursuant to an action undertaken under Section 5.8 of this Indenture.

     Section 3.13 Agreed Tax Treatment. Each Security issued hereunder shall provide that the
Company and, by its acceptance of a Security or a beneficial interest therein, the Holder of, and
any Person that acquires a beneficial interest in, such Security agree to treat for U.S. federal,
state and local tax purposes such Security as indebtedness of the Company and to treat for U.S.
federal income tax purposes stated interest on the Security as ordinary interest income that is
includible in gross income to such Holder or other Person at the time the interest is paid or
accrued in accordance with its regular method of tax accounting.

     Section 3.14 CUSIP Numbers. The Company in issuing the Securities may use “CUSIP” numbers
(if then generally in use), and, if so, the Trustee or its designee shall use “CUSIP” numbers in
notices of redemption or other related material as a convenience to Holders; provided that any such
notice or other related material may state that no representation is made as to the correctness of
such numbers either as printed on the Securities or as contained in any notice of redemption or
other related material and that reliance may be placed only on the other identification numbers
printed on the Securities, and any such redemption shall not be affected by any defect in or
omission of such numbers. The Company shall promptly notify the Trustee of any change in the CUSIP
numbers.

ARTICLE IV SATISFACTION AND

DISCHARGE

     Section 4.1 Satisfaction and Discharge of Indenture. This Indenture shall, upon Company
Request, cease to be of further effect (except as to any surviving rights of registration of
transfer or exchange of Securities herein expressly provided for and as otherwise provided in this
Section) and the Trustee, on demand of and at the expense of the Company, shall execute proper
instruments acknowledging satisfaction and discharge of this Indenture, when

          (1) either

          (A) all Securities theretofore authenticated and delivered (other than (i) Securities
that have been destroyed, lost or stolen and which have been replaced or paid as provided in
Section 3.6 and (ii) Securities for whose payment money has theretofore been deposited in
trust or segregated and held in trust by the Company and thereafter repaid to the Company or
discharged from such trust, as provided in Section 10.3) have been delivered to the Trustee
for cancellation; or

          (B) all such Securities not theretofore delivered to the Trustee for
cancellation:

          (i) have become due and payable,

          (ii) will become due and payable at their Stated Maturity within one
year of the date of deposit, or

          (iii) are to be called for redemption within one year by the Trustee
in the name, and at the expense, of the Company,

and the Company, in the case of Clause (B)(i), (ii) or (iii) above, has deposited or caused to be
deposited with the Trustee as trust funds in trust for such purpose an amount in the currency or
currencies in which the Securities of such series are payable sufficient to pay and discharge the
entire indebtedness on such Securities not theretofore

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delivered to the Trustee for cancellation, for principal (and premium, if any) and interest
(including any Additional Interest) to the date of such deposit (in the case of Securities that
have become due and payable) or to the Stated Maturity or Redemption Date, as the case may be;

          (2) the Company has paid or caused to be paid all other sums payable hereunder by the
Company; and

          (3) the Company has delivered to the Trustee an Officers’ Certificate and an Opinion of
Counsel each stating that all conditions precedent herein provided for relating to the satisfaction
and discharge of this Indenture have been complied with.

Notwithstanding the satisfaction and discharge of this Indenture, the obligations of the Company to
the Trustee under Section 6.7, the obligations of the Trustee to any Authenticating Agent under
Section 6.14 and, if money shall have been deposited with the Trustee pursuant to subclause (B) of
clause (1) of this Section, the obligations of the Trustee under Section 4.2 and the last paragraph
of Section 10.3 shall survive.

     Section 4.2 Application of Trust Money. Subject to the provisions of the last paragraph of
Section 10.3, all money deposited with the Trustee pursuant to Section 4.1 shall be held in trust
and applied by the Trustee, in accordance with the provisions of the Securities and this Indenture,
to the payment, either directly or through any Paying Agent (including the Company acting as its
own Paying Agent) as the Trustee may determine, to the Persons entitled thereto, of the principal
(and premium, if any) and interest for the payment of which such money or obligations have been
deposited with or received by the Trustee.

ARTICLE V REMEDIES

     Section 5.1 Events of Default. “Event of Default” wherever used herein with respect to the
Securities of any series, means any one of the following events (whatever the reason for such Event
of Default and whether it shall be voluntary or involuntary or be effected by operation of law or
pursuant to any judgment, decree or order of any court or any order, rule or regulation of any
administrative or governmental body):

          (1) default in the payment of any interest upon any Security of that series, including any
Additional Interest in respect thereof, when it becomes due and payable, and continuance of such
default for a period of 30 days after the conclusion of any Deferral Period; or

          (2) the voluntary or involuntary liquidation, dissolution, winding up or other termination
of an Evans Bancorp Trust except in connection with the (a) redemption of the Outstanding Trust
Preferred Securities issued by such Evans Bancorp Trust; or (b) distribution of all the Securities
of any series issued to an Evans Bancorp Trust to the holders of the Outstanding Trust Preferred
Securities of such Evans Bancorp Trust entitled to the distribution thereof; or (c) a merger,
consolidation or amalgamation of the Trust permitted under the Trust Agreement; or (d) assumption
of the Company’s obligations under the Securities by any successor entity; or

          (3) the entry of a decree or order by a court having jurisdiction in the premises adjudging
the Company a bankrupt or insolvent, or approving as properly filed a petition seeking
reorganization, arrangement, adjustment or composition of or in respect of the Company under any
applicable Federal or State bankruptcy, insolvency, reorganization or other similar law, or
appointing a receiver, liquidator, assignee, trustee, sequestrator (or other similar official) of
the Company or of any substantial part of its property or ordering the winding up or liquidation of
its affairs, and the continuance of any | such decree or order unstayed and in effect for a period
of 90 consecutive days; or

          (4) the institution by the Company of proceedings to be adjudicated a bankrupt or
insolvent, or the consent by it to the institution of bankruptcy or insolvency proceedings against
it, or the filing by it of a petition or answer or consent seeking reorganization or relief under
any applicable Federal or State bankruptcy, insolvency, reorganization or other similar law, or the
consent by it to the filing of any such petition or to the appointment of a receiver, liquidator,
assignee, trustee, sequestrator (or other similar official) of the Company or of any substantial
part of its property, or the making by it of an assignment for the benefit of creditors, or the
admission by it in writing of its inability to pay its debts generally as they become due and its
willingness to be adjudicated a bankrupt, or the taking of corporate action by the Company in
furtherance of any such action; or

          (5) any other Event of Default provided with respect to Securities of that series
specified as

23

 

contemplated in Section 3.1.

     Section 5.2 Acceleration of Maturity; Rescission and Annulment. If an Event of Default
specified in Section 5.1(1) with respect to Securities of any series at the time Outstanding occurs
and is continuing, then and in every such case the Trustee or the Holders of not less than 25% in
principal amount of the Outstanding Securities of that series may declare the principal amount of
all the Securities of that series to be due and payable immediately, by a notice in writing to the
Company (and to the Trustee if given by Holders), provided that, in the case of the Securities of a
series issued to an Evans Bancorp Trust, if, upon an Event of Default, the Trustee or the Holders
of not less than 25% in principal amount of the Outstanding Securities of that series fail to
declare the principal of all the Securities of that series to be immediately due and payable, the
holders of at least 25% in aggregate Liquidation Amount (as defined in the related Trust Agreement)
of the corresponding series of Trust Preferred Securities then outstanding shall have such right by
a notice in writing to the Company and the Trustee; and upon any such declaration such principal
amount (or specified portion thereof) of and the accrued interest (including any Additional
Interest) on all the Securities of such series shall become immediately due and payable. Payment of
principal and interest (including any Additional Interest) on such Securities shall remain
subordinated to the extent provided in Article XIII notwithstanding that such amount shall become
immediately due and payable as herein provided. If an Event of Default specified in Section 5.1(2),
5.1(3) or 5.1(4) and with respect to Securities of any series at the time Outstanding occurs, the
principal amount of all the Securities of that series shall automatically, and without any
declaration or other action on the part of the Trustee or any Holder, become immediately due and
payable.

     At any time after such a declaration of acceleration with respect to Securities of any series
has been made and before a judgment or decree for payment of the money due has been obtained by the
Trustee as hereinafter in this Article provided, the Holders of a majority in principal amount of
the Outstanding Securities of that series, by written notice to the Company and the Trustee, may
rescind and annul such declaration and its consequences if:

          (1) the Company has paid or deposited with the Trustee a sum sufficient to pay:

          (A) all overdue installments of interest (including any Additional Interest) on
all Securities of that series,

          (B) the principal of (and premium, if any, on) any Securities of that series that
have become due otherwise than by such declaration of acceleration and interest thereon at
the rate borne by the Securities, and

          (C) all sums paid or advanced by the Trustee hereunder and the reasonable
compensation, expenses, disbursements and advances of the Trustee, its agents and counsel;
and

          (2) all Events of Default with respect to Securities of that series, other than the
nonpayment of the principal of Securities of that series that has become due solely by such
acceleration, have been cured or waived as provided in Section 5.13.

     In the case of Securities of a series issued to an Evans Bancorp Trust, if the Holders of such
Securities fail to annul such declaration and waive such default, the holders of a majority in
aggregate Liquidation Amount (as defined in the Trust Agreement under which such Evans Bancorp
Trust is formed) of the related series of Trust Preferred Securities issued by such Evans Bancorp
Trust shall also have the right to rescind and annul such declaration and its consequences by
written notice to the Company and the Trustee, subject to the satisfaction of the conditions set
forth in Clauses (1) and (2) above of this Section 5.2.

          No such rescission shall affect any subsequent default or impair any right consequent thereon.

     Section 5.3 Collection of Indebtedness and Suits for Enforcement by Trustee. The Company
covenants that if:

          (1) default is made in the payment of any installment of interest (including any
Additional Interest) on any Security when such interest becomes due and payable and such
default
continues for a period of 30 days, or

          (2) default is made in the payment of the principal of (and premium, if any, on) any
Security at the Maturity thereof,

24

 

the Company will, upon demand of the Trustee, pay to the Trustee, for the benefit of the Holders of
such Securities, the whole amount then due and payable on such Securities for principal, including
any sinking fund payment or analogous obligations (and premium, if any) and interest (including any
Additional Interest); and, in addition thereto, all amounts owing the Trustee under Section 6.7.

     If the Company fails to pay such amounts forthwith upon such demand, the Trustee, in its own
name and as trustee of an express trust, may institute a judicial proceeding for the collection of
the sums so due and unpaid, and may prosecute such proceeding to judgment or final decree, and may
enforce the same against the Company or any other obligor upon the Securities and collect the
moneys adjudged or decreed to be payable in the manner provided by law out of the property of the
Company or any other obligor upon the Securities, wherever situated.

     If an Event of Default with respect to Securities of any series occurs and is continuing, the
Trustee may in its discretion proceed to protect and enforce its rights and the rights of the
Holders of Securities of such series by such appropriate judicial proceedings as the Trustee shall
deem most effectual to protect and enforce any such rights, whether for the specific enforcement of
any covenant or agreement in this Indenture or in aid of the exercise of any power granted herein,
or to enforce any other proper remedy. For the avoidance of doubt, an acceleration of maturity
shall only be triggered with respect to an Event of Default as set forth in Section 5.2.

     Section 5.4 Trustee May File Proofs of Claim. In case of the pendency of any receivership,
insolvency, liquidation, bankruptcy, reorganization, arrangement, adjustment, composition or other
judicial proceeding relative to the Company or any other obligor upon the Securities or the
property of the Company or of such other obligor or their creditors:

          (a) the Trustee (irrespective of whether the principal of the Securities of any series
shall then be due and payable as therein expressed or by declaration or otherwise and irrespective
of whether the Trustee shall have made any demand on the Company for the payment of overdue
principal (and premium, if any) or interest (including any Additional Interest)) shall be entitled
and empowered, by intervention in such proceeding or otherwise,

          (i) to file and prove a claim for the whole amount of principal (and premium, if
any) and interest (including any Additional Interest) owing and unpaid in respect to the
Securities and to file such other papers or documents as may be necessary or advisable and to
take any and all actions as are authorized under the Trust Indenture Act in order to have the
claims of the Holders and any predecessor to the Trustee under Section 6.7 allowed in any
such judicial proceedings; and

          (ii) in particular, the Trustee shall be authorized to collect and receive any moneys
or other property payable or deliverable on any such claims and to distribute the same in
accordance with Section 5.6; and

          (b) any custodian, receiver, assignee, trustee, liquidator, sequestrator (or other similar
official) in any such judicial proceeding is hereby authorized by each Holder to make such payments
to the Trustee for distribution in accordance with Section 5.6, and in the event that the Trustee
shall consent to the making of such payments directly to the Holders, to pay to the Trustee any
amount due to it and any predecessor Trustee under Section 6.7.

          Nothing herein contained shall be deemed to authorize the Trustee to authorize or consent to
or accept or adopt on behalf of any Holder any plan of reorganization, arrangement, adjustment or
composition affecting the Securities or the rights of any Holder thereof, or to authorize the
Trustee to vote in respect of the claim of any Holder in any such proceeding; provided, however,
that the Trustee may, on behalf of the Holders, vote for the election of a trustee in bankruptcy or
similar official and be a member of a creditors’ or other similar committee.

     Section 5.5 Trustee May Enforce Claim Without Possession of Securities. All rights of
action and claims under this Indenture or the Securities may be prosecuted and enforced by the
Trustee without the possession of any of the Securities or the production thereof in any proceeding
relating thereto, and any such proceeding instituted by the Trustee shall be brought in its own
name or as trustee of an express trust, and any recovery of judgment shall, after provision for the
payment of all the amounts owing the Trustee and any predecessor Trustee under Section 6.7, its
agents and counsel, be for the ratable benefit of the Holders of the Securities in respect of which
such judgment has been recovered.

25

 

     Section 5.6 Application of Money Collected. Any money or property collected or to be
applied by the Trustee with respect to a series of Securities pursuant to this Article shall be
applied in the following order, at the date or dates fixed by the Trustee and, in case of the
distribution of such money or property on account of principal (or premium, if any) or interest
(including any Additional Interest), upon presentation of the Securities and the notation thereon
of the payment if only partially paid and upon surrender thereof if fully paid:

          FIRST: To the payment of all amounts due the Trustee under Section 6.7;

          SECOND: Subject to Article XIII, to the payment of the amounts then due and unpaid upon such
series of Securities for principal (and premium, if any) and interest (including any Additional
Interest), in respect of which or for the benefit of which such money has been collected, ratably,
without preference or priority of any kind, according to the amounts due and payable on such series
of Securities for principal (and premium, if any) and interest (including any Additional Interest),
respectively; and

          THIRD: The balance, if any, to the Company or any other Person entitled thereto.

     Section 5.7 Limitation on Suits. Subject to Section 5.8, no Holder of any Securities of
any series shall have any right to institute any proceeding, judicial or otherwise, with respect to
this Indenture or for the appointment of a receiver, assignee, trustee, liquidator, sequestrator
(or other similar official) or for any other remedy hereunder, unless:

          (1) such Holder has previously given written notice to the Trustee of a continuing Event of
Default with respect to the Securities of that series;

          (2) the Holders of not less than 25% in principal amount of the Outstanding Securities of
that series shall have made written request to the Trustee to institute proceedings in respect of
such Event of Default in its own name as Trustee hereunder;

          (3) such Holder or Holders have offered to the Trustee reasonable indemnity against the
costs, expenses and liabilities to be incurred in compliance with such request;

          (4) the Trustee for 60 days after its receipt of such notice, request and offer of
indemnity has failed to institute any such proceeding; and

          (5) no direction inconsistent with such written request has been given to the Trustee
during such 60-day period by the Holders of a majority in principal amount of the Outstanding
Securities of that series;

it being understood and intended that no one or more of such Holders shall have any right in any
manner whatever by virtue of, or by availing itself of, any provision of this Indenture to affect,
disturb or prejudice the rights of any other Holders of Securities, or to obtain or to seek to
obtain priority or preference over any other of such Holders or to enforce any right under this
Indenture, except in the manner herein provided and for the equal and ratable benefit of all such
Holders.

     Section 5.8 Unconditional Right of Holders to Receive Principal, Premium and Interest;
Direct Action by Holders of Trust Preferred Securities. Notwithstanding any other provision in this
Indenture, the Holder of any Security shall have the right, which is absolute and unconditional, to
receive payment of the principal of (and premium, if any) and (subject to Sections 3.7 and 3.11)
interest (including any Additional Interest) on such Security on the respective Stated Maturities
expressed in such Security (or, in the case of redemption or repayment, on the Redemption Date or
the Repayment Date, as the case may be) and to institute suit for the enforcement of any such
payment, and such right shall not be impaired without the consent of such Holder. In the case of
Securities of a series issued to an Evans Bancorp Trust, any holder of the corresponding series of
Trust Preferred Securities issued by such Evans Bancorp Trust shall have the right, upon the
occurrence of an Event of Default described in Section 5.1(1), to institute a suit directly against
the Company for enforcement of payment to such holder of principal of (premium, if any) and
(subject to Sections 3.7 and 3.11) interest (including any Additional Interest) on the Securities
having a principal amount equal to the aggregate Liquidation Amount (as defined in the Trust
Agreement under which such Evans Bancorp Trust is formed) of such Trust Preferred Securities of the
corresponding series held by such holder.

     Section 5.9 Restoration of Rights and Remedies. If the Trustee, any Holder or any holder of
Trust

26

 

Preferred Securities has instituted any proceeding to enforce any right or remedy under this
Indenture and such proceeding has been discontinued or abandoned for any reason, or has been
determined adversely to the Trustee, such Holder or such holder of Trust Preferred Securities, then
and in every such case the Company, the Trustee, the Holders and such holder of Trust Preferred
Securities shall, subject to any determination in such proceeding, be restored severally and
respectively to their former positions hereunder, and thereafter all rights and remedies of the
Trustee, the Holders and the holders of Trust Preferred Securities shall continue as though no such
proceeding had been instituted.

     Section 5.10 Rights and Remedies Cumulative. Except as otherwise provided in the last
paragraph of Section 3.6, no right or remedy herein conferred upon or reserved to the Trustee or to
the Holders is intended to be exclusive of any other right or remedy, and every right and remedy
shall, to the extent permitted by law, be cumulative and in addition to every other right and
remedy given hereunder or now or hereafter existing at law or in equity or otherwise. The assertion
or employment of any right or remedy hereunder, or otherwise, shall not prevent the concurrent
assertion or employment of any other appropriate right or remedy.

     Section 5.11 Delay or Omission Not Waiver. No delay or omission of the Trustee, any Holder
of any Security or any holder of any Trust Security to exercise any right or remedy accruing upon
any Event of Default shall impair any such right or remedy or constitute a waiver of any such Event
of Default or an acquiescence therein.

     Every right and remedy given by this Article or by law to the Trustee or to the Holders and
the right and remedy given to the holders of Trust Preferred Securities by Section 5.8 may be
exercised from time to time, and as often as may be deemed expedient, by the Trustee, the Holders
or the holders of Trust Preferred Securities, as the case may be.

     Section 5.12 Control by Holders. The Holders of a majority in principal amount of the
Outstanding Securities of any series shall have the right to direct the time, method and place
of conducting any proceeding for any remedy available to the Trustee or exercising any trust
or power conferred on the Trustee, with respect to the Securities of such series, provided
that:

          (1) such direction shall not be in conflict with any rule of law or with this Indenture,

          (2) the Trustee may take any other action deemed proper by the Trustee that is not
inconsistent with such direction, and

          (3) subject to the provisions of Section 6.1, the Trustee shall have the right to decline
to follow such direction if a Responsible Officer or Officers of the Trustee shall, in good faith,
determine that the proceeding so directed would be unjustly prejudicial to the Holders not joining
in any such direction or would involve the Trustee in personal liability.

     Section 5.13 Waiver of Past Defaults. The Holders of not less than a majority in principal
amount of the Outstanding Securities of any series and, in the case of any Securities of a series
issued to an Evans Bancorp Trust, the holders of Trust Preferred Securities issued by such Evans
Bancorp Trust may waive any past default hereunder and its consequences with respect to such series
except a default:

          (1) in the payment of the principal of (or premium, if any) or interest (including any
Additional Interest, if any) on any Security of such series, or

          (2) in respect of a provision hereof that under Article IX cannot be modified or amended
without the consent of the Holder of each Outstanding Security of such series affected.

     Any such waiver shall be deemed to be on behalf of the Holders of all the Securities of such
series or, in the case of a waiver by holders of Trust Preferred Securities issued by such Evans
Bancorp Trust, by all holders of Trust Preferred Securities issued by such Evans Bancorp Trust.

     Upon any such waiver, such default shall cease to exist, and any Event of Default arising
therefrom shall be deemed to have been cured, for every purpose of this Indenture; but no such
waiver shall extend to any subsequent or other default or impair any right consequent thereon.

     Section 5.14 Undertaking for Costs. All parties to this Indenture agree, and each Holder of
any Security by his acceptance thereof shall be deemed to have agreed, that any court may in its
discretion require, in any suit for the

27

 

enforcement of any right or remedy under this Indenture, or in any suit against the Trustee
for any action taken or omitted by it as Trustee, the filing by any party litigant in such suit of
an undertaking to pay the costs of such suit, and that such court may in its discretion assess
reasonable costs, including reasonable attorneys’ fees, against any party litigant in such suit,
having due regard to the merits and good faith of the claims or defenses made by such party
litigant; but the provisions of this Section shall not apply to any suit instituted by the Trustee,
to any suit instituted by any Holder, or group of Holders, holding in the aggregate more than 10%
in principal amount of the Outstanding Securities of any series, or to any suit instituted by any
Holder for the enforcement of the payment of the principal of (or premium, if any) or interest
(including any Additional Interest) on any Security on or after the respective Stated Maturities
expressed in such Security (or, in the case of redemption or repayment, on or after the Redemption
Date or the Repayment Date, as the case may be).

     Section 5.15 Waiver of Usury, Stay or Extension Laws. The Company covenants (to the extent
that it may lawfully do so) that it will not at any time insist upon, or plead, or in any manner
whatsoever claim or take the benefit or advantage of, any usury, stay or extension law wherever
enacted, now or at any time hereafter in force, which may affect the covenants or the performance
of this Indenture; and the Company (to the extent that it may lawfully do so) hereby expressly
waives all benefit or advantage of any such law, and covenants that it will not hinder, delay or
impede the execution of any power herein granted to the Trustee, but will suffer and permit the
execution of every such power as though no such law had been enacted.

ARTICLE VI THE

TRUSTEE

     Section 6.1 Certain Duties and Responsibilities.

          (a) Except during the continuance of an Event of Default,

          (1) the Trustee undertakes to perform such duties and only such duties as are
specifically set forth in this Indenture, and no implied covenants or obligations shall be
read into this Indenture against the Trustee; and

          (2) in the absence of bad faith on its part, the Trustee may conclusively rely, as
to the truth of the statements and the correctness of the opinions expressed therein, upon
certificates or opinions furnished to the Trustee and conforming to the requirements of this
Indenture; but in the case of any such certificates or opinions that by any provisions
hereof are specifically required to be furnished to the Trustee, the Trustee shall be under
a duty to examine the same to determine whether or not they conform to the requirements of
this Indenture.

          (b) In case an Event of Default has occurred and is continuing, the Trustee shall exercise
such of the rights and powers vested in it by this Indenture, and use the same degree of care and
skill in their exercise, as a prudent person would exercise or use under the circumstances in the
conduct of his or her own affairs.

          (c) No provision of this Indenture shall be construed to relieve the Trustee from
liability for its own negligent action, its own negligent failure to act, or its own willful
misconduct except that:

          (1) this Subsection shall not be construed to limit the effect of Subsection (a) of
this Section;

          (2) the Trustee shall not be liable for any error of judgment made in good faith by
a Responsible Officer, unless it shall be proved that the Trustee was negligent in
ascertaining the pertinent facts; and

          (3) the Trustee shall not be liable with respect to any action taken or omitted to
be taken by it in good faith in accordance with the direction of Holders pursuant to Section
5.12 relating to the time, method and place of conducting any proceeding for any remedy
available to the Trustee, or exercising any trust or power conferred upon the Trustee, under
this Indenture with respect to the Securities.

          (d) No provision of this Indenture shall require the Trustee to expend or risk its own
funds or otherwise incur any financial liability in the performance of any of its duties hereunder,
or in the exercise of any of its rights or powers, if there shall be reasonable grounds for
believing that repayment of such funds or

28

 

adequate indemnity against such risk or liability is not reasonably assured to it.

          (e) Whether or not therein expressly so provided, every provision of this Indenture
relating to the conduct or affecting the liability of or affording protection to the Trustee shall
be subject to
the provisions of this Section.

     Section 6.2 Notice of Defaults. Within 90 days after the occurrence of any default
hereunder with respect to the Securities of any series, the Trustee shall transmit by mail to all
Holders of Securities of such series, as their names and addresses appear in the Securities
Register, notice of such default, unless such default shall have been cured or waived; provided,
however, that, except in the case of a default in the payment of the principal of (or premium, if
any) or interest (including any Additional Interest) on any Security of such series, the Trustee
shall be protected in withholding such notice if and so long as the Board of Directors, the
executive committee or a trust committee of directors and/or Responsible Officers of the Trustee in
good faith determines that the withholding of such notice is in the interests of the Holders of
Securities of such series; and provided, further, that, in the case of any default of the character
specified in Section 5.1 (2), no such notice to Holders of Securities of such series shall be given
until at least 30 days after the occurrence thereof. For the purpose of this Section, the term
“default” means any event that is, or after notice or lapse of time or both would become, an Event
of Default with respect to Securities of such series. The Trustee shall not be charged with knowledge of any Default or Event of Default with
respect to the Securities, unless either (1) a Responsible Officer shall have actual knowledge of
such Default or Event of Default or (2) written notice of such Default or Event of Default shall
have been given to the Trustee by the Company or by any Holder of the Securities.

     Section 6.3 Certain Rights of Trustee. Subject to the provisions of Section 6.1:

          (a) the Trustee may rely and shall be protected in acting or refraining from acting upon
any resolution, certificate, statement, instrument, opinion, report, notice, request, direction,
consent, order, bond, debenture, Security or other paper or document believed by it to be genuine
and to have been signed or presented by the proper party or parties;

          (b) any request or direction of the Company mentioned herein shall be sufficiently
evidenced by a Company Request or Company Order and any resolution of the Board of Directors may be
sufficiently evidenced by a Board Resolution;

          (c) whenever in the administration of this Indenture the Trustee shall deem it desirable
that a matter be proved or established prior to taking, suffering or omitting any action hereunder,
the Trustee (unless other evidence be herein specifically prescribed) may, in the absence of bad
faith on its part, rely upon an Officers’ Certificate;

          (d) the Trustee may consult with counsel and the advice of such counsel or any Opinion of
Counsel shall be full and complete authorization and protection in respect of any action taken,
suffered or omitted by it hereunder in good faith and in reliance thereon;

          (e) the Trustee shall be under no obligation to exercise any of the rights or powers
vested in it by this Indenture at the request or direction of any of the Holders pursuant to this
Indenture, unless such Holders shall have offered to the Trustee reasonable security or indemnity
against the costs, expenses and liabilities that might be incurred by it in compliance with such
request or direction;

          (f) the Trustee shall not be bound to make any investigation into the facts or matters
stated in any resolution, certificate, statement, instrument, opinion, report, notice, request,
direction, consent, order, bond, indenture, security or other paper or document, but the Trustee in
its discretion may make such inquiry or investigation into such facts or matters as it may see fit,
and, if the Trustee shall determine to make such inquiry or investigation, it shall be entitled to
examine the books, records and premises of the Company, personally or by agent or attorney;

          (g) the Trustee may execute any of the trusts or powers hereunder or perform any duties
hereunder either directly or by or through agents or attorneys and the Trustee shall not be
responsible for any misconduct or negligence on the part of any agent or attorney appointed with
due care by it hereunder;

          (h) the rights, privileges, protections, immunities and benefits given to the Trustee,
including, without limitation, its right to be indemnified, are extended to, and shall be
enforceable by, the Trustee in each of its capacities hereunder, and to each agent, custodian and
other Person employed to act hereunder; and

          (i) anything in this Agreement notwithstanding, in no event shall the Trustee be responsible
or liable for special, indirect or consequential loss or damage of any kind whatsoever (including,
but not limited to, loss of profit) irrespective of whether the Trustees have been advised of the
likelihood of such loss or damage regardless of the form of action.

     Section 6.4 Not Responsible for Recitals or Issuance of Securities. The recitals contained
herein and in the Securities, except the Trustee’s certificates of authentication, shall be taken
as the statements of the Company, and neither the Trustee nor any Authenticating Agent assumes any
responsibility for their correctness. The Trustee makes no representations as to the validity or
sufficiency of this Indenture or of the Securities. Neither the Trustee

29

 

nor any Authenticating Agent shall be accountable for the use or application by the Company of
the Securities or the proceeds thereof.

     Section 6.5 May Hold Securities. The Trustee, any Authenticating Agent, any Paying Agent,
any Securities Registrar or any other agent of the Company, in its individual or any other
capacity, may become the owner or pledgee of Securities and, subject to Sections 6.8 and 6.13, may
otherwise deal with the Company with the same rights it would have if it were not Trustee,
Authenticating Agent, Paying Agent], Securities Registrar or such other agent.

     Section 6.6 Money Held in Trust. Money held by the Trustee in trust hereunder need not be
segregated from other funds except to the extent required by law. The Trustee shall be under no
liability for interest on any money received by it hereunder except as otherwise agreed with the
Company.

     Section 6.7 Compensation and Reimbursement. The Company agrees:

          (1) to pay to the Trustee from time to time reasonable compensation for all services
rendered by it hereunder in such amounts as the Company and the Trustee shall agree from time to
time (which compensation shall not be limited by any provision of law in regard to the compensation
of a trustee of an express trust);

          (2) except as otherwise expressly provided herein, to reimburse the Trustee upon its
request for all reasonable expenses, disbursements and advances incurred or made by the Trustee in
accordance with any provision of this Indenture (including the reasonable compensation and the
expenses and disbursements of its agents and counsel), except any such expense, disbursement or
advance as may be attributable to its negligence or bad faith; and

          (3) to indemnify the Trustee for, and to hold it harmless against, any loss, liability,
claim, action, suit, cost or expense incurred without negligence or bad faith on its part, arising
out of or in connection with the acceptance or administration of this trust or the performance of
its duties hereunder, including the costs and expenses of defending itself against any claim or
liability in connection with the exercise or performance of any of its powers or duties hereunder.

     When the Trustee incurs expenses or renders services after an Event of Default specified in
Section 5.1(3) or 5.1(4) occurs, the expenses and the compensation for the services are intended to
constitute expenses of administration under the Bankruptcy Reform Act of 1978 or any successor
statute.

     Section 6.8 Disqualification; Conflicting Interests.

          (a) If the Trustee has or shall acquire a conflicting interest within the meaning of the
Trust Indenture Act, the Trustee shall either eliminate such interest or resign, to the extent and
in the manner provided by, and subject to the provisions of, the Trust Indenture Act and this
Indenture. To the extent permitted by such Act, the Trustee shall not be deemed to have a
conflicting interest by virtue of being a trustee under this Indenture with respect to Securities
of more than one series if all such series rank equally at the time of issuance.

          (b) The Trust Agreement and the Evans Bancorp Guarantee shall be deemed to be specifically
described in this Indenture for the purposes of clause (i) of the first proviso contained in
Section 310(b) of the Trust Indenture Act.

     Section 6.9 Corporate Trustee Required; Eligibility. There shall at all times be a Trustee
hereunder with respect to the Securities of each series, which may be Trustee hereunder for
Securities of one or more other series. Each Trustee shall be a Person that is eligible pursuant to
the Trust Indenture Act to act as such and shall be:

          (a) a corporation organized and doing business under the laws of the United States of
America or of any State or Territory or the District of Columbia, authorized under such laws to
exercise corporate trust powers and subject to supervision or examination by Federal, State,
Territorial or District of Columbia authority, or

          (b) a corporation or other Person organized and doing business under the laws of a foreign
government that is permitted to act as Trustee pursuant to a rule, regulation or order of the
Commission, authorized under such laws to exercise corporate trust powers, and subject to
supervision or examination by authority of such foreign government or a political subdivision
thereof substantially equivalent to supervision or examination applicable to United States
institutional trustees, in either case having a combined capital and surplus of at least

30

 

$50,000,000, subject to supervision or examination by Federal or State authority. If such
corporation publishes reports of condition at least annually, pursuant to law or to the
requirements of the aforesaid supervising or examining authority, then, for the purposes of this
Section, the combined capital and surplus of such corporation shall be deemed to be its combined
capital and surplus as set forth in its most recent report of condition so published. If at any
time the Trustee with respect to the Securities of any series shall cease to be eligible in
accordance with the provisions of this Section, it shall resign immediately in the manner and with
the effect hereinafter specified in this Article. Neither the Company nor any Person directly or
indirectly controlling, controlled by or under common control with the Company shall serve as
Trustee for the Securities of any series issued hereunder.

     Section 6.10 Resignation and Removal; Appointment of Successor.

          (a) No resignation or removal of the Trustee and no appointment of a successor Trustee
pursuant to this Article shall become effective until the acceptance of appointment by the
successor Trustee under Section 6.11.

          (b) The Trustee may resign at any time with respect to the Securities of one or more series
by giving written notice thereof to the Company. If an instrument of acceptance by a successor
Trustee shall not have been delivered to the Trustee within 30 days after the giving of such notice
of resignation, the resigning Trustee may petition any court of competent jurisdiction for the
appointment of a successor Trustee with respect to the Securities of such series.

          (c) The Trustee may be removed at any time with respect to the Securities of any series by
Act of the Holders of a majority in principal amount of the Outstanding Securities of such series,
delivered to the Trustee and to the Company.

          (d) If at any time:

          (1) the Trustee shall fail to comply with Section 6.8 after written request therefor
by the Company or by any Holder who has been a bona fide Holder of a Security for at least
six months, or

          (2) the Trustee shall cease to be eligible under Section 6.9 and shall fail to resign
after written request therefor by the Company or by any such Holder, or

          (3) the Trustee shall become incapable of acting or shall be adjudged a bankrupt or
insolvent or a receiver of the Trustee or of its property shall be appointed or any public
officer shall take charge or control of the Trustee or of its property or affairs for the
purpose of rehabilitation, conservation or liquidation,

then, in any such case, (i) the Company, acting pursuant to the authority of a Board Resolution,
may remove the Trustee with respect to all Securities, or (ii) subject to Section 5.14, any Holder
who has been a bona fide Holder of a Security for at least six months may, on behalf of himself and
all others similarly situated, petition any court of competent jurisdiction for the removal of the
Trustee with respect to all Securities and the appointment of a successor Trustee or Trustees.

          (e) If the Trustee shall resign, be removed or become incapable of acting, or if a vacancy
shall occur in the office of Trustee for any cause with respect to the Securities of one or more
series, the Company, by a Board Resolution, shall promptly appoint a successor Trustee or Trustees
with respect to the Securities of that or those series (it being understood that any such successor
Trustee may be appointed with respect to the Securities of one or more or all of such series and
that at any time there shall be only one Trustee with respect to the Securities of any particular
series) and shall comply with the applicable requirements of Section 6.11. If, within one year
after such resignation, removal or incapability, or the occurrence of such vacancy, a successor
Trustee with respect to the Securities of any series shall be appointed by Act of the Holders of a
majority in aggregate principal amount of the Outstanding Securities of such series delivered to
the Company and the retiring Trustee, the successor Trustee so appointed shall, forthwith upon its
acceptance of such appointment, become the successor Trustee with respect to the Securities of such
series and supersede the successor Trustee appointed by the Company. If no successor Trustee with
respect to the Securities of any series shall have been so appointed by the Company or the Holders
and accepted appointment in the manner hereinafter provided, any Holder who has been a bona fide
Holder of a Security of such series for at least six months may, subject to Section 5.14, on behalf
of himself and all others similarly

31

 

situated, petition any court of competent jurisdiction for the appointment of a successor
Trustee with respect to the Securities of such series.

          (f) The Company shall give notice of each resignation and each removal of the
Trustee with respect to the Securities of any series and each appointment of a successor Trustee
with respect to the Securities of any series by mailing written notice of such event by first-class
mail, postage prepaid, to the Holders of Securities of such series as their names and addresses
appear in the Securities Register. Each notice shall include the name of the successor Trustee with
respect to the Securities of such series and the address of its Corporate Trust Office.

     Section 6.11 Acceptance of Appointment by Successor.

          (a) In case of the appointment hereunder of a successor Trustee with respect to all
Securities, every such successor Trustee so appointed shall execute, acknowledge and deliver to the
Company and to the retiring Trustee an instrument accepting such appointment, and thereupon the
resignation or removal of the retiring Trustee shall become effective and such successor Trustee,
without any further act, deed or conveyance, shall become vested with all the rights, powers,
trusts and duties of the retiring Trustee; but, on the request of the Company or the successor
Trustee, such retiring Trustee shall, upon payment of its charges, execute and deliver an
instrument transferring to such successor Trustee all the rights, powers and trusts of the retiring
Trustee and shall duly assign, transfer and deliver to such successor Trustee all property and
money held by such retiring Trustee hereunder.

          (b) In case of the appointment hereunder of a successor Trustee with respect to the
Securities of one or more (but not all) series, the Company, the retiring Trustee and each
successor Trustee with respect to the Securities of one or more series shall execute and deliver an
instrument in writing or an indenture supplemental hereto wherein each successor Trustee shall
accept such appointment and that (1) shall contain such provisions as shall be necessary or
desirable to transfer and confirm to, and to vest in, each successor Trustee all the rights,
powers, trusts and duties of the retiring Trustee with respect to the Securities of that or those
series to which the appointment of such successor Trustee relates, (2) if the retiring Trustee is
not retiring with respect to all Securities, shall contain such provisions as shall be deemed
necessary or desirable to confirm that all the rights, powers, trusts and duties of the retiring
Trustee with respect to the Securities of that or those series as to which the retiring Trustee is
not retiring shall continue to be vested in the retiring Trustee, and (3) shall add to or change
any of the provisions of this Indenture as shall be necessary to provide for or facilitate the
administration of the trusts hereunder by more than one Trustee, it being understood that nothing
herein or in such instrument in writing or supplemental indenture shall constitute such Trustees
co-trustees of the same trust and that each such Trustee shall be trustee of a trust or trusts
hereunder separate and apart from any trust or trusts hereunder administered by any other such
Trustee; and upon the execution and delivery of such instrument in writing or supplemental
indenture the resignation or removal of the retiring Trustee shall become effective to the extent
provided therein and each such successor Trustee, without any further act, deed or conveyance,
shall become vested with all the rights, powers, trusts, and duties of the retiring Trustee with
respect to the Securities of that or those series to which the appointment of such successor
Trustee relates; but, on request of the Company or any successor Trustee, such retiring Trustee
shall duly assign, transfer and deliver to such successor Trustee all property and money held by
such retiring Trustee hereunder with respect to the Securities of that or those series to which the
appointment of such successor Trustee relates.

          (c) Upon request of any such successor Trustee, the Company shall execute any and all
instruments for more fully and certainly vesting in and confirming to such successor Trustee all
rights, powers and trusts referred to in paragraph (a) or (b) of this Section, as the case may be.

          (d) No successor Trustee shall accept its appointment unless at the time of such
acceptance such successor Trustee shall be qualified and eligible under this Article.

     Section 6.12 Merger, Conversion, Consolidation or Succession to Business. Any corporation
into which the Trustee may be merged or converted or with which it may be consolidated, or any
corporation resulting from any merger, conversion or consolidation to which the Trustee shall be a
party, or any corporation succeeding to all or substantially all of the corporate trust business of
the Trustee, shall be the successor of the Trustee hereunder, provided such corporation shall be
otherwise qualified and eligible under this Article, without the execution or filing of any paper
or any further act on the part of any of the parties hereto. In case any Securities shall have been
authenticated, but not delivered, by the Trustee then in office, any successor by merger,
conversion or consolidation

32

 

to such authenticating Trustee may adopt such authentication and deliver the Securities so
authenticated, and in case any Securities shall not have been authenticated, any successor to the
Trustee may authenticate such Securities either in the name of any predecessor Trustee or in the
name of such successor Trustee, and in all cases the certificate of authentication shall have the
full force that it is provided anywhere in the Securities or in this Indenture that the certificate
of the Trustee shall have.

     Section 6.13 Preferential Collection of Claims Against Company. If and when the Trustee
shall be or become a creditor of the Company (or any other obligor upon the Securities), the
Trustee shall be subject to the provisions of the Trust Indenture Act regarding the collection of
claims against the Company (or any such other obligor).

     Section 6.14 Appointment of Authenticating Agent. The Trustee may appoint an Authenticating
Agent or Agents with respect to one or more series of Securities that shall be authorized to act on
behalf of the Trustee to authenticate Securities of such series issued upon original issue and upon
exchange, registration of transfer or partial redemption thereof or pursuant to Section 3.6, and
Securities so authenticated shall be entitled to the benefits of this Indenture and shall be valid
and obligatory for all purposes as if authenticated by the Trustee hereunder. Wherever reference is
made in this Indenture to the authentication and delivery of Securities by the Trustee or the
Trustee’s certificate of authentication, such reference shall be deemed to include authentication
and delivery on behalf of the Trustee by an Authenticating Agent and a certificate of
authentication executed on behalf of the Trustee by an Authenticating Agent. Each Authenticating
Agent shall be acceptable to the Company and shall at all times be a corporation organized and
doing business under the laws of the United States of America, or of any State or Territory or the
District of Columbia, authorized under such laws to act as Authenticating Agent, having a combined
capital and surplus of not less than $50,000,000 and subject to supervision or examination by
Federal or State authority. If such Authenticating Agent publishes reports of condition at least
annually, pursuant to law or to the requirements of said supervising or examining authority, then
for the purposes of this Section the combined capital and surplus of such Authenticating Agent
shall be deemed to be its combined capital and surplus as set forth in its most recent report of
condition so published. If at any time an Authenticating Agent shall cease to be eligible in
accordance with the provisions of this Section, such Authenticating Agent shall resign immediately
in the manner and with the effect specified in this Section.

     Any corporation into which an Authenticating Agent may be merged or converted or with which it
may be consolidated, or any corporation resulting from any merger, conversion or consolidation to
which such Authenticating Agent shall be a party, or any corporation succeeding to all or
substantially all of the corporate trust business of an Authenticating Agent shall be the successor
Authenticating Agent hereunder, provided such corporation shall be otherwise eligible under this
Section, without the execution or filing of any paper or any further act on the part of the Trustee
or the Authenticating Agent.

     An Authenticating Agent may resign at any time by giving written notice thereof to the Trustee
and to the Company. The Trustee may at any time terminate the agency of an Authenticating Agent by
giving written notice thereof to such Authenticating Agent and to the Company. Upon receiving such
a notice of resignation or upon such a termination, or in case at any time such Authenticating
Agent shall cease to be eligible in accordance with the provisions of this Section, the Trustee may
appoint a successor Authenticating Agent that shall be acceptable to the Company and shall give
notice of such appointment in the manner provided in Section 1.6 to all Holders of Securities of
the series with respect to which such Authenticating Agent will serve. Any successor Authenticating
Agent upon acceptance of its appointment hereunder shall become vested with all the rights, powers
and duties of its predecessor hereunder, with like effect as if originally named as an
Authenticating Agent. No successor Authenticating Agent shall be appointed unless eligible under
the provision of this Section.

     The Trustee agrees to pay to each Authenticating Agent from time to time reasonable
compensation for its services under this Section, and the Trustee shall be entitled to be
reimbursed for such payments, subject to the provisions of Section 6.7.

     If an appointment with respect to one or more series is made pursuant to this Section, the
Securities of such series may have endorsed thereon, in addition to the Trustee’s certificate of
authentication, an alternative certificate of authentication in the following form:

     This is one of the Securities of the series designated therein referred to in the within
mentioned Indenture Dated:

33

 

	 	 	 	 	 
	 	WILMINGTON TRUST COMPANY,

Not in its individual capacity but solely as
Trustee

 	 
	 	By:  	 	 
	 	 	AS AUTHENTICATING AGENT 	 
	 	 	 	 
	 
	 	 	 
	 	By:  	
 	 
	 	 	AUTHORIZED OFFICER 	 
	 	 	 	 
	 

ARTICLE VII HOLDER’S LISTS AND REPORTS BY TRUSTEE AND

COMPANY

     Section 7.1 Company to Furnish Trustee Names and Addresses of Holders. The Company will
furnish or cause to be furnished to the Trustee:

          (a) monthly, quarterly or semi-annually, as the case may be, not more than 15 days after
such Regular Record Date in each year, a list, in such form as the Trustee may reasonably require,
of the names and addresses of the Holders of Securities of each series as of such Regular Record
Date, and

          (b) at such other times as the Trustee may request in writing, within 30 days after the
receipt by the Company of any such request, a list of similar form and content as of a date not
more than 15 days prior to the time such list is furnished, excluding from any such list
names and addresses received by the Trustee in its capacity as Securities Registrar.

     Section 7.2 Preservation of Information, Communications to Holders.

          (a) The Trustee shall preserve, in as current a form as is reasonably practicable, the
names and addresses of Holders contained in the most recent list furnished to the Trustee as
provided in Section 7.1 and the names and addresses of Holders received by the Trustee in its
capacity as Securities Registrar. The Trustee may destroy any list furnished to it as provided in
Section 7.1 upon receipt of a new list so furnished.

          (b) The rights of Holders to communicate with other Holders with respect to their rights
under this Indenture or under the Securities, and the corresponding rights and privileges of the
Trustee, shall be as provided in the Trust Indenture Act.

          (c) Every Holder of Securities, by receiving and holding the same, agrees with the Company
and the Trustee that neither the Company nor the Trustee nor any agent of either of them shall be
held accountable by reason of the disclosure of information as to the names and addresses of the
Holders made pursuant to the Trust Indenture Act.

     Section 7.3 Reports by Trustee.

          (a) The Trustee shall transmit to Holders such reports concerning the Trustee and its
actions under this Indenture as may be required pursuant to the Trust Indenture Act, at the times
and in the manner provided pursuant thereto.

          (b) Reports so required to be transmitted at stated intervals of not more than 12 months
shall be transmitted no later than 60 days after                      in each calendar year, commencing with
the first                      after the first issuance of Securities under this Indenture.

          (c) A copy of each such report shall, at the time of such transmission to Holders, be filed
by the Trustee with each securities exchange upon which any Securities are listed, with the
Commission and with the Company. The Company will notify the Trustee when any Securities are listed
on any securities exchange.

     Section 7.4 Reports by Company. The Company shall file with the Trustee and the Commission,
and transmit to Holders, copies of such information, documents and other reports, and such
summaries thereof, as may be required pursuant to the Trust Indenture Act at the times and in the
manner provided in the Trust Indenture Act; provided that any such information, documents or
reports required to be filed with the Commission pursuant to

34

 

Section 13 or Section 15(d) of the Exchange Act shall be filed with the Trustee within 15 days
after the same are filed with the Commission.

ARTICLE VIII CONSOLIDATION, MERGER, CONVEYANCE, TRANSFER OR

LEASE

     Section 8.1 Company May Consolidate, Etc., only on Certain Terms. The Company shall not
consolidate with or merge into any other Person or convey, transfer or lease its properties and
assets substantially as an entirety to any Person, and no Person shall consolidate with or merge
into the Company or convey, transfer or lease its properties and assets substantially as an
entirety to the Company, unless:

          (1) in case the Company shall consolidate with or merge into another Person or convey,
transfer or lease its properties and assets substantially as an entirety to any Person, the Person
formed by such consolidation or into which the Company is merged or the Person that acquires by
conveyance or transfer, or that leases, the properties and assets of the Company substantially as
an entirety shall be organized and existing under the laws of the United States of America or any
State or the District of Columbia and shall expressly assume, by an indenture supplemental hereto,
executed and delivered to the Trustee, in form reasonably satisfactory to the Trustee, the due and
punctual payment of the principal of (and premium, if any) and interest (including any Additional
Interest) on all the Securities and the performance of every covenant of this Indenture on the part
of the Company to be performed or observed;

          (2) immediately after giving effect to such transaction, no Event of Default, and no event
fiat, after notice or lapse of time, or both, would become an Event of Default, shall have happened
and be ‘continuing;

          (3) in the case of the Securities of a series issued to an Evans Bancorp Trust, such
consolidation, merger, conveyance, transfer or lease is permitted under the related Trust Agreement
and Evans Bancorp Guarantee; and

          (4) the Company has delivered to the Trustee an Officers’ Certificate and an Opinion of
Counsel, each stating that such consolidation, merger, conveyance, transfer or lease and any such
supplemental indenture comply with this Article and that all conditions precedent herein provided
for relating to such transaction have been complied with.

     Section 8.2 Successor Corporation Substituted. Upon any consolidation or merger by the
Company with or into any other Person, or any conveyance, transfer or lease by the Company of its
properties and assets substantially as an entirety to any Person in accordance with Section 8.1,
the successor Person formed by such consolidation or into which the Company is merged or to which
such conveyance, transfer or lease is made shall succeed to, and be substituted for, and may
exercise every right and power of, the Company under this Indenture with the same effect as if such
successor Person had been named as the Company herein; and in the event of any such conveyance,
transfer or lease the Company shall be discharged from all obligations and covenants under the
Indenture and the Securities and may be dissolved and liquidated.

     Such successor Person may cause to be executed, and may issue either in its own name or in the
name of the Company, any or all of the Securities issuable hereunder that theretofore shall not
have been signed by the Company and delivered to the Trustee; and, upon the order of such successor
Person instead of the Company and subject to all the terms, conditions and limitations in this
Indenture prescribed, the Trustee shall authenticate and shall deliver any Securities that
previously shall have been signed and delivered by the officers of the Company to the Trustee for
authentication pursuant to such provisions and any Securities that such successor Person thereafter
shall cause to be signed and delivered to the Trustee on its behalf for the purpose pursuant to
such provisions. All the Securities so issued shall in all respects have the same legal rank and
benefit under this Indenture as the Securities theretofore or thereafter issued in accordance with
the terms of this Indenture as though all of such Securities had been issued at the date of the
execution hereof.

     In case of any such consolidation, merger, sale, conveyance or lease, such changes in
phraseology and form may be made in the Securities thereafter to be issued as may be appropriate.

35

 

ARTICLE IX SUPPLEMENTAL

INDENTURES

     Section 9.1 Supplemental Indentures Without Consent of Holders. Without the consent of any
Holders, the Company, when authorized by a Board Resolution, and the Trustee, at any time and from
time to time, may enter into one or more indentures supplemental hereto, in form satisfactory to
the Trustee, for any of the following purposes:

          (1) to evidence the succession of another Person to the Company, and the assumption
by any such successor of the covenants of the Company herein and in the Securities
contained; or

          (2) to convey, transfer, assign, mortgage or pledge any property to or with the Trustee
or to surrender any right or power herein conferred upon the Company; or

          (3) to establish the form or terms of Securities of any series as permitted by Section
2.1 or 3.1; or

          (4) to add to the covenants of the Company for the benefit of the Holders of all or any
series of Securities (and if such covenants are to be for the benefit of less than all series of
Securities, stating that such covenants are expressly being included solely for the benefit of such
series) or to surrender any right or power herein conferred upon the Company; or

          (5) to add any additional Events of Default for the benefit of the Holders of all or any
series, of Securities (and if such additional Events of Default are to be for the benefit of less
than all series of Securities, stating that such additional Events of Default are expressly being
included solely for the beneiit of such series); or

          (6) add to, change or eliminate any of the provisions of this Indenture in respect of one
or more series of Securities, provided that any such addition, change or elimination (a) shall
become effective only when there is no Security Outstanding of any series created prior to the
execution of such supplemental indenture that is entitled to the benefit of such provision or (b)
shall not apply to any Outstanding Securities; or

          (7) to cure any ambiguity, to correct or supplement any provision herein that may be
defective or inconsistent with any other provision herein, or to make any other provisions with
respect to matters or questions arising under this Indenture, provided that such action pursuant to
this clause (7) shall not adversely affect the interest of the Holders of Securities of any series
in any material respect or, in the case of the Securities of a series issued to an Evans Bancorp
Trust and for so long as any of the corresponding series of Trust Preferred Securities issued by
such Evans Bancorp Trust shall remain outstanding, the holders of such Trust Preferred Securities;
or

          (8) to evidence and provide for the acceptance of appointment hereunder by a successor
Trustee with respect to the Securities of one or more series and to add to or change any of the
provisions of this Indenture as shall be necessary to provide for or facilitate the administration
of the trusts hereunder by more than one Trustee, pursuant to the requirements of Section 6.11 (b);
or

          (9) to comply with the requirements of the Commission in order to effect or maintain the
qualification of this Indenture under the Trust Indenture Act.

     Section 9.2 Supplemental Indentures with Consent of Holders. With the consent of the
Holders of not less than a majority in principal amount of the Outstanding Securities of each
series affected by such supplemental indenture, by Act of said Holders delivered to the Company and
the Trustee, the Company, when authorized by a Board Resolution, and the Trustee may enter into an
indenture or indentures supplemental hereto for the purpose of adding any provisions to or changing
in any manner or eliminating any of the provisions of this Indenture or of modifying in any manner
the rights of the Holders of Securities of such series under this Indenture; provided, however,
that no such supplemental indenture shall, without the consent of the Holder of each Outstanding
Security affected thereby,

          (1) except to the extent permitted by Section 3.11 or as otherwise specified as
contemplated by Section 2.1 or Section 3.1 with respect to the deferral of the payment of interest
on the Securities of any series, change the Stated Maturity of the principal of, or any installment
of interest (including any Additional Interest) on, any Security, or reduce the principal amount
thereof or the rate of interest thereon or reduce any premium payable upon the redemption thereof,
or change the place of payment where, or the coin or currency in which, any Security or any premium
or interest thereon is payable, or impair the right to institute suit for the enforcement of any
such

36

 

payment on or after the Stated Maturity thereof (or, in the case of redemption or repayment,
on or after the Redemption Date or Repayment Date), or

          (2) reduce the percentage in principal amount of the Outstanding Securities of any series,
the consent of whose Holders is required for any such supplemental indenture, or the consent of
whose Holders is required for any waiver (of compliance with certain provisions of this Indenture
or certain defaults hereunder and their consequences) provided for in this Indenture, or

          (3) modify any of the provisions of this Section, Section 5.13 or Section 10.5, except to
increase any such percentage or to provide that certain other provisions of this Indenture cannot
be modified or waived without the consent of the Holder of each Outstanding Security affected
thereby; or

          (4) modify the provisions in Article XIII of this Indenture with respect to the
subordination of Outstanding Securities of any series in a manner adverse to the Holders
thereof;

provided, further, that, in the case of the Securities of a series issued to an Evans Bancorp
Trust, so long as any of the corresponding series of Trust Preferred Securities issued by such
Evans Bancorp Trust remains outstanding, (i) no such amendment shall be made that adversely affects
the holders of such Trust Preferred Securities in any material respect, and no termination of this
Indenture shall occur, and no waiver of any Event of Default or compliance with any covenant under
this Indenture shall be effective, without the prior consent of the holders of at least a majority
of the aggregate Liquidation Amount of such Trust Preferred Securities then outstanding unless and
until the principal (and premium, if any) of the Securities of such series and all accrued and,
subject to Section 3.7, unpaid interest (including any Additional Interest) thereon have been paid
in full and (ii) no amendment shall be made to Section 5.8 of this Indenture that would impair the
rights of the holders of Trust Preferred Securities provided therein without the prior consent of
the holders of each Trust Preferred Security then outstanding unless and until the principal (and
premium, if any) of the Securities of such series and all accrued and (subject to Section 3.7)
unpaid interest (including any Additional Interest) thereon have been paid in full.

     A supplemental indenture that changes or eliminates any covenant or other provision of this
Indenture that has expressly been included solely for the benefit of one or more particular series
of Securities or Trust Preferred Securities, or that modifies the rights of the Holders of
Securities or holders of Trust Preferred Securities of such series with respect to such covenant or
other provision, shall be deemed not to affect the rights under this Indenture of the Holders of
Securities or holders of Trust Preferred Securities of any other series.

     It shall not be necessary for any Act of Holders under this Section to approve the particular
form of any proposed supplemental indenture, but it shall be sufficient if such Act shall approve
the substance thereof.

     Section 9.3 Execution of Supplemental Indentures. In executing or accepting the additional
trusts created by any supplemental indenture permitted by this Article or the modifications thereby
of the trusts created by this Indenture, the Trustee shall be entitled to receive, and (subject to
Section 6.1) shall be fully protected in relying upon, an Officers’ Certificate and an Opinion of
Counsel stating that the execution of such supplemental indenture is authorized or permitted by
this Indenture. The Trustee may, but shall not be obligated to, enter into any such supplemental
indenture that affects the Trustee’s own rights, duties or immunities under this Indenture or
otherwise.

     Section 9.4 Effect of Supplemental Indentures. Upon the execution of any supplemental
indenture under this Article, this Indenture shall be modified in accordance therewith, and such
supplemental indenture shall form a part of this Indenture for all purposes; and every Holder of
Securities theretofore or thereafter authenticated and delivered hereunder shall be bound thereby.

     Section 9.5 Conformity with Trust Indenture Act. Every supplemental indenture executed
pursuant to this Article shall conform to the requirements of the Trust Indenture Act as then in
effect.

     Section 9.6 Reference in Securities to Supplemental Indentures. Securities of any series
authenticated and delivered after the execution of any supplemental indenture pursuant to this
Article may, and shall if required by the Company, bear a notation in form approved by the Company
as to any matter provided for in such supplemental indenture. If the Company shall so determine,
new Securities of any series so modified as to conform, in the opinion of the Company, to any such
supplemental indenture may be prepared and executed by the Company and authenticated and delivered
by the Trustee in exchange for Outstanding Securities of such series.

     Section 9.7 Subordination Unimpaired. No provision in any supplemental indenture that
affects the

37

 

superior position of any holder of Senior Debt shall be effective against any such holder
of Senior Debt, unless such holder shall have consented thereto.

ARTICLE X

COVENANTS

          Section 10.1 Payment of Principal, Premium and Interest. The Company covenants and agrees
for the benefit of each series of Securities that it will duly and punctually pay the principal of
(and premium, if any) and interest (including any Additional Interest) on the Securities of that
series in accor4ance with the terms of such Securities and this Indenture.

          Section 10.2 Maintenance of Office or Agency. The Company will maintain in each Place of
Payment for any series of Securities, an office or agency where Securities of that series may be
presented or surrendered for payment and an office or agency where Securities of that series may be
surrendered for transfer or exchange and where notices and demands to or upon the Company in
respect of the Securities of that series and this Indenture may be served. The Company initially
appoints the Trustee, acting through its Corporate Trust Office, as its agent for said purposes.
The Company will give prompt written notice to the Trustee of any change in the location of any
such office or agency. If at any time the Company shall fail to maintain such office or agency or
shall fail to furnish the Trustee with the address thereof, such presentations, surrenders, notices
and demands may be made or served at the Corporate Trust Office of the Trustee, and the Company
hereby appoints the Trustee as its agent to receive all such presentations, surrenders, notices and
demands.

          The Company may also from time to time designate one or more other offices or agencies where
the Securities of one or more series may be presented or surrendered for any or all of such
purposes, and may from time to time rescind such designations; provided, however, that no such
designation or rescission shall in any manner relieve the Company of its obligation to maintain an
office or agency in each Place of Payment for Securities of any series for such purposes. The
Company will give prompt written notice to the Trustee of any such designation and any change in
the location of any such office or agency.

          Section 10.3 Money for Securities Payments to be Held in Trust. If the Company shall at any
time act as its own Paying Agent with respect to any series of Securities, it will, on or before
each due date of the principal of (and premium, if any) or interest (including any Additional
Interest) on any of the Securities of such series, segregate and hold in trust for the benefit of
the Persons entitled thereto a sum sufficient to pay the principal (and premium, if any) or
interest (including any Additional Interest) so becoming due until such sums shall be paid to such
Persons or otherwise disposed of as herein provided, and will promptly notify the Trustee of its
failure so to act.

          Whenever the Company shall have one or more Paying Agents for any series of Securities, it
will, prior to 10:00 a.m. New York City time on each due date of the principal (and premium, if
any) of or interest (including any Additional Interest) on any Securities of that series, deposit
with a Paying Agent a sum sufficient to pay the principal (and premium, if any) or interest so
becoming due, such sum to be held in trust for the benefit of the Persons entitled to such
principal (and premium, if any) or interest (including any Additional Interest), and (unless such
Paying Agent is the Trustee) the Company will promptly notify the Trustee of its failure so to act.

          The Company will cause each Paying Agent for any series of Securities other than the Trustee
to execute and deliver to the Trustee an instrument in which such Paying Agent shall agree with the
Trustee, subject to the provisions of this Section, that such Paying Agent will:

          (1) hold all sums held by it for the payment of the principal of (and premium, if any) or
interest (including any Additional Interest) on Securities of that series in trust for the benefit
of the Persons entitled thereto until such sums shall be paid to such Persons or otherwise disposed
of as herein provided;

          (2) give the Trustee notice of any default by the Company (or any other obligor upon the
Securities of that series) in the making of any payment of principal of (and premium, if any) or
interest (including any Additional Interest);

          (3) at any time during the continuance of any such default, upon the written request of the
Trustee, forthwith pay to the Trustee all sums so held in trust by such Paying Agent; and

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          (4) comply with the provisions of the Trust Indenture Act applicable to it as Paying Agent.

     The Company may at any time, for the purpose of obtaining the satisfaction and discharge of
this Indenture or for any other purpose, pay, or by Company Order direct any Paying Agent to pay,
to the Trustee all sums held in trust by the Company or such Paying Agent, such sums to be held by
the Trustee upon the same trusts as those upon which such sums were held by the Company or such
Paying Agent; and, upon such payment by any Paying Agent to the Trustee, such Paying Agent shall be
released from all further liability with respect to such money.

     Any money deposited with the Trustee or any Paying Agent, or then held by the Company, in
trust for the payment of the principal of (and premium, if any) or interest (including any
Additional Interest) on any Security of that series and remaining unclaimed for two years after
such principal (and premium, if any) or interest (including any Additional Interest) has become due
and payable shall be paid on Company Request to the Company, or (if then held by the Company) shall
(unless otherwise required by mandatory provision of applicable escheat or abandoned or unclaimed
property law) be discharged from such trust; and the Holder of such Security shall thereafter, as
an unsecured general creditor, look only to the Company for payment thereof, and all liability of
the Trustee or such Paying Agent with respect to such trust money, and all liability of the Company
as trustee thereof, shall thereupon cease; provided, however, that the Trustee or such Paying
Agent, before being required to make any such repayment, may at the expense of the Company cause to
be published once, in a newspaper published in the English language, customarily published on each
Business Day and of general circulation in the Borough of Manhattan, The City of New York, notice
that such money remains unclaimed and that, after a date specified therein, which shall not be less
than 30 days from the date of such publication, any unclaimed balance of such money then remaining
will be repaid to the Company.

     Section 10.4 Statement as to Compliance. The Company shall deliver to the Trustee, within
120 days after the end of each calendar year of the Company ending after the date hereof, an
Officers’ Certificate covering the preceding calendar year, stating whether or not to the best
knowledge of the signers thereof the Company is in default in the performance, observance or
fulfillment of or compliance with any of the terms, provisions, covenants and conditions of this
Indenture, and if the Company shall be in default, specifying all such defaults and the nature and
status thereof of which they may have knowledge. For the purpose of this Section, compliance shall
be determined without regard to any grace period or requirement of notice provided pursuant to the
terms of this Indenture.

     Section 10.5 Waiver of Certain Covenants. The Company may omit in any particular instance to
comply with any covenant or condition provided pursuant to Section 3.1, 9.1(3) or 9.1(4) with
respect to the Securities of any series, if before or after the time for such compliance the
Holders of at least a majority in principal amount of the Outstanding Securities of such series
shall, by Act of such Holders, either waive such compliance in such instance or generally waive
compliance with such covenant or condition, but no such waiver shall extend to or affect such
covenant or condition except to the extent so expressly waived, and, until such waiver shall become
effective, the obligations of the Company in respect of any such covenant or condition shall remain
in full force and effect. If the Securities of a series have not been registered under the
Securities Act, the Holders of at least a majority in principal amount of such Aeries, by Act of
such Holders, may waive compliance by the Company with the Trust Indenture Act with respect to such
series unless such compliance is otherwise required by the Trust Indenture Act.

     Section 10.6 Additional Sums. In the case of the Securities of a series issued to an Evans
Bancorp Trust, so long as no Event of Default has occurred and is continuing and except as
otherwise specified as contemplated by Section 2.1 or Section 3.1, in the event that (i) an Evans
Bancorp Trust is the Holder of all of the Outstanding Securities of such series and (ii) such Evans
Bancorp Trust shall be required to pay Additional Taxes, the Company shall pay to such Evans
Bancorp Trust(and its permitted successors or assigns under the related Trust Agreement) as Holder
of the Securities of such series for so long as such Evans Bancorp Trust(or its permitted successor
or assignee) is the registered Holder of any Securities of such series, such additional sums as may
be necessary in order that the amount of Distributions (including any Additional Amounts (as
defined in such Trust Agreement)) then due and payable by such Evans Bancorp Trust on the related
Trust Preferred Securities and Common Securities that at any time remain outstanding in accordance
with the terms thereof shall not be reduced as a result: of any Additional Taxes (the “Additional
Sums”). Whenever in this Indenture or the Securities there is a reference in any context to the
payment of principal of or interest on the Securities, such mention shall be deemed to include
mention of the payments of the Additional Sums provided for in this paragraph to the extent that,
in such context. Additional Sums are, were or would be payable in respect thereof pursuant to the
provisions of this paragraph and express mention of

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the payment of Additional Sums (if applicable) in any provisions hereof shall not be construed
as excluding Additional Sums in those provisions hereof where such express mention is not made;
provided, however, that the deferral of the payment of interest pursuant to Section 3.11 or the
Securities shall not defer the payment of any Additional Sums that may be due and payable.

     Section 10.7 Additional Covenants. The Company covenants and agrees with each Holder of
Securities of each series that it shall not, and it shall not permit any Subsidiary of the Company
to, (x) declare or pay any dividends or distributions on any shares of the Company’s capital stock,
or redeem, purchase, acquire or make a liquidation payment with respect to, any shares of the
Company’s preferred stock, (y) make any payment of principal of or interest or premium, if any, on
or repay, repurchase or redeem any debt security of the Company that ranks pari passu in all
respects with or junior in interest to the Securities of such series (except for partial payments
of interest with respect to such series of Securities) or (z) make any guarantee payments with
respect to any guarantee by the Company of the debt securities of any Subsidiary of the Company
that by their terms rank pari passu in all respects with or junior in interest to the securities of
such series (other than (a) any repurchase, redemption or other acquisition of shares of the
Company’s capital stock in connection with (1) any employment contract, benefit plan or other
similar arrangement with or for the benefit of any one or more employees, officers, directors,
consultants or independent contractors, (2) a dividend reinvestment or stockholder purchase plan,
or (3) the issuance of the Company’s capital stock, or securities convertible into or exercisable
for such capital stock, as consideration in an acquisition transaction entered into prior to the
applicable Event of Default, default or Deferral Period, as the case may be; (b) any exchange,
redemption or conversion of any class or series of the Company’s capital stock, or the capital
stock of one of its subsidiaries, for any other class or series of the Company’s capital stock, or
any class or series of the Company’s indebtedness for any class or series of its capital stock; (c)
any purchase of fractional interests in shares of the Company’s capital stock pursuant to the
conversion or exchange provisions of such capital stock or the securities being converted or
exchanged; (d) any declaration of a dividend in connection with any rights plan, or the issuance of
rights, stock or other property under any rights plan, or the redemption or repurchase of rights
pursuant thereto; (e) payments under any Evans Bancorp Guarantee executed for the benefit of the
holders of the Trust Preferred Securities; or (f) any dividend in the form of stock, warrants,
options or other rights where the dividend stock or stock issuable upon exercise of such warrants,
options or other rights is the same stock as that on which the dividend is being paid or ranks
equally with or junior to such stock), if at such time (i) there shall have occurred any event of
which the Company has actual knowledge that (A) with the giving of notice or the lapse of time or
both, would constitute an Event of Default with respect to the Securities of such series and (B) in
respect of which the Company shall not have taken reasonable steps to cure, (ii) if the Securities
of such series are held by an Evans Bancorp Trust, the Company shall be in default with respect to
its payment of any obligations under the Evans Bancorp Guarantee relating to the Trust Preferred
Securities issued by such Evans Bancorp Trust or (iii) the Company shall have given notice of its
election to begin an Deferral Period with respect to the Securities of such series as provided
herein and shall not have rescinded such notice, or such Deferral Period, or any extension thereof,
shall be continuing.

     The Company also covenants with each Holder of Securities of a series issued to an Evans
Bancorp Trust (i) to hold, directly or indirectly, 100% of the Common Securities of such Evans
Bancorp Trust, provided that any permitted successor of the Company hereunder may succeed to the
Company’s ownership of such Common Securities, (ii) as holder of the Common Securities, not to
voluntarily terminate, wind-up or liquidate an Evans Bancorp Trust, other than (a) in connection
with a distribution of the Securities to the holders of the Trust Preferred Securities in
liquidation of such Evans Bancorp Trust, or (b) in connection with certain mergers, consolidation
or amalgamations permitted by the Trust Agreement, and (iii) to use its reasonable efforts,
consistent with the terms and provisions of the Trust Agreement, to cause the Evans Bancorp Trust
to be characterized as a grantor trust for United States Federal income tax purposes and to not be
required to register as an “investment company” under the Investment Company Act.

ARTICLE XI REDEMPTION OF

SECURITIES

     Section 11.1 Applicability of this Article. Redemption of Securities of any series as
permitted or required by any form of Security issued pursuant to this Indenture shall be made in
accordance with such form of Security and this Article; provided, however, that if any provision of
any such form of Security shall conflict with any provision of this Article, the provision of such
form of Security shall govern. Except as otherwise set forth in the

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form of Security for such series, each Security of such series shall be subject to partial
redemption only in the amount of $1,000 or integral multiples thereof.

     Section 11.2 Election to Redeem; Notice to Trustee. The election of the Company to redeem
any Securities shall be evidenced by or pursuant to a Board Resolution. In case of any redemption
at the election of the Company of any of the Securities of any particular series and having the
same terms, the Company shall, not less than 30 nor more than 60 days prior to the Redemption Date
(unless a shorter notice shall be satisfactory to the Trustee), notify the Trustee and, in the case
of Securities of a series held by an Evans Bancorp Trust, the Property Trustee under the related
Trust Agreement, of such date and of the principal amount of Securities of that series to be
redeemed; provided that in the case of any series of Securities initially issued to an Evans
Bancorp Trust, for so long as such Securities are held by such Evans Bancorp Trust, such notice
shall be given not less than 45 nor more than 75 days prior to such Redemption Date (unless a
shorter notice shall be satisfactory to the Property Trustee under the related Trust Agreement). In
the case of any redemption of Securities prior to the expiration of any restriction on such
redemption provided in the terms of such Securities, the Company shall furnish the Trustee with an
Officers’ Certificate and an Opinion of Counsel evidencing compliance with such restriction.

     Section 11.3 Selection of Securities to be Redeemed. If less than all the Securities of any
series are to be redeemed, the particular Securities to be redeemed shall be selected not more than
60 days prior to the Redemption Date by the Trustee, from the Outstanding Securities of such series
not previously called for redemption, by such method as the Trustee shall deem fair and appropriate
and which may provide for the selection for redemption of a portion of the principal amount of any
Security of such series, provided that the unredeemed portion of the principal amount of any
Security shall be in a denomination (which shall not be less than the minimum authorized
denomination) for such Security.

     The Trustee shall promptly notify the Company in writing of the Securities selected for
partial redemption and the principal amount thereof to be redeemed. For all purposes of this
Indenture, unless the context otherwise requires, all provisions relating to the redemption of
Securities shall relate, in the case of any Security redeemed or to be redeemed only in part, to
the portion of the principal amount of such Security that has been or is to be redeemed. If the
Company shall so direct, Securities registered in the name of the Company, any Affiliate or any
Subsidiary thereof shall not be included in the Securities selected for redemption.

     Section 11.4 Notice of Redemption. Notice of redemption shall be given by first-class mail,
postage prepaid, mailed not later than the thirtieth day, and not earlier than the sixtieth day,
prior to the Redemption Date, to each Holder of Securities to be redeemed, at the address of such
Holder as it appears in the Securities Register; provided that in the case of any Securities held
by an Evans Bancorp Trust, such notice shall be given not less than 45 nor more than 75 days prior
to such Redemption Date (unless a shorter notice shall be satisfactory to the Property Trustee
under the related Trust Agreement).

	 	 	With respect to Securities of each series to be redeemed, each notice of redemption shall
state:

          (a) the Redemption Date;

          (b) the Redemption Price or if the Redemption Price cannot be calculated prior to the time
the notice is required to be sent, the estimate of the Redemption Price provided pursuant to the
Indenture together with a statement that it is an estimate and that the actual Redemption Price
will be calculated on a specified day prior to the Redemption Date;

          (c) if less than all Outstanding Securities of such particular series and having the same
terms are to be redeemed, the identification (and, in the case of partial redemption, the
respective principal amounts) of the particular Securities to be redeemed;

          (d) that on the Redemption Date, the Redemption Price will become due and payable upon each
such Security or portion thereof, and that interest thereon, if any, shall cease to accrue on and
after said date;

          (e) the place or places where such Securities are to be surrendered for payment of the
Redemption Price; and

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          (f) that the redemption is for a sinking fund, if such is the case.

     Notice of redemption of Securities to be redeemed at the election of the Company shall be
given by the Company or, at the Company’s request, by the Trustee in the name and at the expense of
the Company and shall not be irrevocable. The notice if mailed in the manner herein provided shall
be conclusively presumed to have been duly given, whether or not the Holder receives such notice.
In any case, a failure to give such notice by mail or any defect in the notice to the Holder of any
Security designated for redemption as a whole or in part shall not affect the validity of the
proceedings for the redemption of any other Security.

     Section 11.5 Deposit of Redemption Price. Prior to 10:00 a.m. New York City time on the
Redemption Date specified in the notice of redemption given as provided in Section 11.4, the
Company will deposit with the Trustee or with one or more Paying Agents (or if the Company is
acting as its own Paying Agent, the Company will segregate and hold in trust as provided in Section
10.3) an amount of money sufficient to pay the Redemption Price of, and any accrued interest
(including Additional Interest) on, all the Securities that are to be redeemed on that date.

     Section 11.6 Payment of Securities Called for Redemption. If any notice of redemption has
been given as provided in Section 11.4, the Securities or portion of Securities with respect to
which such notice has been given shall become due and payable on the date and at the place or
places stated in such notice at the applicable Redemption Price, together with accrued interest
(including any Additional Interest) to the Redemption Date. On presentation and surrender of such
Securities at a Place of Payment in said notice specified, the said Securities or the specified
portions thereof shall be paid and redeemed by the Company at the applicable Redemption Price,
together with accrued interest (including any Additional Interest) to the Redemption Date;
provided, however, that, unless otherwise specified as contemplated by Section 3.1, installments of
interest (including any Additional Interest) whose Stated Maturity is on or prior to the Redemption
Date will be payable to the Holders of such Securities, or one or more Predecessor Securities,
registered as such at the close of business on the relevant record dates according to their terms
and the provisions of Section 3.7.

     Upon presentation of any Security redeemed in part only, the Company shall execute and the
Trustee shall authenticate and deliver to the Holder thereof, at the expense of the Company, a new
Security or Securities of the same series, of authorized denominations, in aggregate principal
amount equal to the unredeemed portion of the Security so presented and having the same Original
Issue Date, Stated Maturity and terms. If a Global Security is so surrendered, such new Security
(subject to Section 3.5) will also be a new Global Security.

     If any Security called for redemption shall not be so paid upon surrender thereof for
redemption, the principal of and premium, if any, on such Security shall, until paid, bear interest
from the Redemption Date at the rate prescribed therefor in the Security.

     Section 11.7 Right of Redemption of Securities Initially Issued to an Evans Bancorp Trust.
In the case of the Securities of a series initially issued to an Evans Bancorp Trust, if specified
as contemplated by Section 3.1, the Company, at its option, may redeem such Securities in whole but
not in part upon the occurrence and during the continuation of a Tax Event, Investment Company
Event or Capital Treatment Event of such Securities at any time within 90 days following the
occurrence of such Tax Event, Investment Company Event or Capital Treatment Event in respect of
such Evans Bancorp Trust, in each case at a Redemption Price specified as contemplated by Section
3.1.

ARTICLE XII SINKING

FUNDS

     Section 12.1 Applicability of Article. The provisions of this Article shall be applicable to
any sinking fund for the retirement of Securities of any series except as otherwise specified as
contemplated by Section 3.1 for such Securities.

     The minimum amount of any sinking fund payment provided for by the terms of any Securities of
any series is herein referred to as a “mandatory sinking fund payment,” and any sinking fund
payment in excess of such minimum amount that is permitted to be made by the terms of such
Securities of any series is herein referred to as an “optional sinking fund payment.” If provided
for by the terms of any Securities of any series, the cash amount of any sinking fund payment may
be subject to reduction as provided in Section 12.2. Each sinking fund payment shall be applied to
the redemption (or purchase by tender or otherwise) of Securities of any series as provided for by
the terms of such Securities.

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     Section 12.2 Satisfaction of Sinking Fund Payments with Securities. In lieu of making all or
any part of a mandatory sinking fund payment with respect to any Securities of a series in cash,
the Company may at its option, at any time no more than 16 months and no less than 45 days prior to
the date on which such sinking fund payment is due, deliver to the Trustee Securities of such
series (together with the unmatured coupons, if any, appertaining thereto) theretofore purchased or
otherwise acquired by the Company, except Securities of such series that have been redeemed through
the application of mandatory or optional sinking fund payments pursuant to the terms of the
Securities of such series, accompanied by a Company Order instructing the Trustee to credit such
obligations and stating that the Securities of such series were originally issued by the Company by
way of bona fide sale or other negotiation for value; provided that the Securities to be so
credited have not been previously so credited. The Securities to be so credited shall be received
and credited for such purpose by the Trustee at the Redemption Price for such Securities, as
specified in the Securities so to be redeemed, for redemption through operation of the sinking fund
and the amount of such sinking fund payment shall be reduced accordingly.

     Section 12.3 Redemption of Securities for Sinking Fund. Not less than 60 days prior to each
sinking fund payment date for any series of Securities, the Company will deliver to the Trustee an
Officers’ Certificate specifying the amount of the next ensuing sinking fund payment for such
Securities pursuant to the terms of such Securities, the portion thereof, if any, which is to be
satisfied by payment of cash in the currency in which the Securities of such series are payable
(except as provided pursuant to Section 3.1) and the portion thereof, if any, which is to be
satisfied by delivering and crediting Securities pursuant to Section 12.2 and will also deliver to
the Trustee any Securities to be so delivered. Such Officers’ Certificate shall be irrevocable and
upon its delivery the Company shall be obligated to make the cash payment or payments therein
referred to, if any, on or before the succeeding sinking fund payment date. In the case of the
failure of the Company to deliver such Officers’ Certificate (or, as required by this Indenture,
the Securities and coupons, if any, specified in such Officers’ Certificate), the sinking fund
payment due on the succeeding sinking fund payment date for such series shall be paid entirely in
cash and shall be sufficient to redeem the principal amount of the Securities of such series
subject to a mandatory sinking fund payment without the right to deliver or credit securities as
provided in Section 12.2 and without the right to make the optional sinking fund payment with
respect to such series at such time. Any sinking fund payment or payments (mandatory or optional)
made in cash plus any unused balance of any preceding sinking fund payments made with respect to
the Securities of any particular series shall be applied by the Trustee (or by the Company if the
Company is acting as its own Paying Agent) on the sinking fund payment date on which such payment
is made (or, if such payment is made before a sinking fund payment date, on the sinking fund
payment date immediately following the date of such payment) to the redemption of Securities of
such series at the Redemption Price specified in such Securities with respect to the sinking fund.
Any sinking fund moneys not so applied or allocated by the Trustee (or, if the Company is acting as
its own Paying Agent, segregated and held in trust by the Company as provided in Section 10.3) for
such series and together with such payment (or such amount so segregated) shall be applied in
accordance with the provisions of this Section. Any and all sinking fund moneys with respect to the
Securities of any particular series held by the Trustee (or if the Company is acting as its own
Paying Agent, segregated and held in trust as provided in Section 10.3) on the last sinking fund
payment date with respect to Securities of such series and not held for the payment or redemption
of particular Securities of such series shall be applied by the Trustee (or by the Company if the
Company is acting as its own Paying Agent), together with other moneys, if necessary, to be
deposited (or segregated) sufficient for the purpose, to the payment of the principal of the
Securities of such series at Maturity. The Trustee shall select the Securities to be redeemed upon
such sinking fund payment date in the manner specified in Section 11.3 and cause notice of the
redemption thereof to be given in the name of and at the expense of the Company in the manner
provided in Section 11.4. Such notice having been duly given, the redemption of such Securities
shall be made upon the terms and in the manner stated in Section 11.6. On or before each sinking
fund payment date, the Company shall pay to the Trustee (or, if the Company is acting as its own
Paying Agent, the Company shall segregate and hold in trust as provided in Section 10.3) in cash a
sum in the currency in which Securities of such series are payable (except as provided pursuant to
Section 3.1) equal to the principal, premium, if any, and any interest accrued to the Redemption
Date for Securities or portions thereof to be redeemed on such sinking fund payment date pursuant
to this Section.

     Neither the Trustee nor the Company shall redeem any Securities of a series with sinking fund
moneys or mail any notice of redemption of Securities of such series by operation of the sinking
fund for such series during the continuance of a default in payment of interest, if any, on any
Securities of such series or of any Event of Default (other than an Event of Default occurring as a
consequence of this paragraph) with respect to the Securities of such series, except that if the
notice of redemption shall have been provided in accordance with the provisions hereof, the Trustee
(or the Company, if the Company is then acting as its own Paying Agent) shall redeem such
Securities if

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cash sufficient for that purpose shall be deposited with the Trustee (or segregated by the
Company) for that purpose in accordance with the terms of this Article. Except as aforesaid, any
moneys in the sinking fund for such series at the time when any such default or Event of Default
shall occur and any moneys thereafter paid into such sinking fund shall, during the continuance of
such default or Event of Default, be held as security for the payment of the Securities and
coupons, if any, of such series; provided, however, that in case such default or Event of Default
shall have been cured or waived herein, such moneys shall thereafter be applied on the next sinking
fund payment date for the Securities of such series on which such moneys may be applied pursuant to
the provisions of this Section.

ARTICLE XIII SUBORDINATION OF

SECURITIES

     Section 13.1 Securities Subordinate to Senior Debt. The Company, for itself, its successors
and assigns, covenants and agrees, and each Holder likewise covenants and agrees by his acceptance
thereof, that the obligations of the Company to make any payment on account of the principal of
(and premium, if any) and interest (including any Additional Interest) on each and all of the
Securities shall be subordinate and junior, to the extent and in the manner hereinafter set forth,
in right of payment and upon liquidation to the Company’s obligations to the holders of Senior Debt
of the Company.

     Section 13.2 Company Not to Pay if Senior Debt of Company is in Default. No payment on
account of principal (and premium, if any) or interest (including any Additional Interest) on the
Securities shall be made by the Company unless full payment of amounts then due for principal (and
premium, if any), sinking funds, and interest on Senior Debt of the Company has been made for duly
provided for in money or money’s worth in accordance with its terms. No payment on account of
principal or interest on the Securities shall be made by the Company if, at the time of such
payment or immediately after giving effect thereto, there shall have occurred an event of default
with respect to any Senior Debt of the Company or in any instrument under which the same is
outstanding, permitting the holders thereof (or a trustee on behalf of the holders thereof) to
accelerate the maturity thereof, or an event that, with the giving of notice or the passage of time
or both, would constitute such event of default, and such event of default shall not have been
cured or waived.

     Section 13.3 Payment over of Proceeds upon Dissolution, Default, Etc., of the Company. The
Company agrees that upon (i) the occurrence of any event of default referred to in Section 13.2
above that shall not have been cured or waived or (ii) any payment or distribution of assets of the
Company of any kind or character, whether in cash, property or securities, to creditors upon any
dissolution or winding up or total or partial liquidation or reorganization of the Company, whether
voluntary or involuntary or in bankruptcy, insolvency, receivership, conservatorship or other
proceedings, all principal (and premium, if any), sinking fund payments and interest due or to
become due upon all Senior Debt of the Company shall first be paid in full, or payment thereof
provided for in money or money’s worth in accordance with its terms, before any payment is made on
account of the principal of or interest on the indebtedness evidenced by the Securities due and
owing at the time and upon any such dissolution or winding up or liquidation or reorganization, any
payment or distribution of assets of the Company of any kind or character, whether in cash,
property or securities (other than securities of the Company or any other Person provided for by a
plan of reorganization or readjustment, the payment of which is subordinate, at least to the extent
provided in this Section with respect to the Securities, to the payment in full of all Senior Debt,
provided the rights of the Holders of the Senior Debt are not altered by such reorganization or
readjustment), to which the Holders of the Securities would, except for the provisions hereof, be
entitled, shall be paid by the Company or by any receiver, trustee in bankruptcy, liquidating
trustee, agent or other person making such payment or distribution, or by the Holders or by the
Trustee under this instrument if received by them or it, directly to the holders of Senior Debt of
the Company (pro rata to each such holder on the basis of the respective amounts of Senior Debt
held by such holder) or their representatives, to the extent necessary to pay all Senior Debt of
the Company in full, in money or money’s worth, after giving effect to any concurrent payment or
distribution to or for the holders of such Senior Debt, before any payment or distribution is made
to the Holders of the indebtedness evidenced by the Securities or to the Trustee or to any Paying
Agent for the account of the Holders of the Securities (subject, in the case of the Trustee or any
Paying Agent, to the provisions of Section 6.7) under this instrument.

     In the event that any payment or distribution of assets of the Company of any kind or
character, whether in cash, property or securities, including any such payment or distribution that
may be payable or deliverable by reason of the payment of any other indebtedness of the Company
being subordinated to the payment of the Securities, not

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permitted by the foregoing, shall be received by the Trustee or any Holder before all Senior
Debt of the Company is paid in full, or provision is made for such payment, in accordance with its
terms, such payment or distribution shall be held in trust for the benefit of, and shall be paid
over or delivered to, the holders of such Senior Debt of the Company (pro rata to each such holder
on the basis of the respective amounts of Senior Debt held by such holder) or their representative
or representatives, or to the trustee or trustees under any indenture pursuant to which any
instruments evidencing any of such Senior Debt of the Company may have been issued, as their
respective interests may appear, or to any receiver, trustee in bankruptcy, liquidating trustee,
agent or other person making such distribution, for application to the payment of all Senior Debt
of the Company remaining unpaid to the extent necessary to pay all such Senior Debt of the Company
in full in accordance with its terms, after giving effect to any concurrent payment or distribution
to the holders of such Senior Debt of the Company.

     The consolidation of the Company with, or the merger of the Company into, another corporation
or the liquidation or dissolution of the Company following the conveyance or transfer of its
properties and assets substantially as an entirety to another Person upon the terms and conditions
set forth in Article VIII shall not be deemed a dissolution, winding up, liquidation or
reorganization for the purposes of this Section if the corporation formed by such consolidation or
into which the Company is merged or the Person that acquires by conveyance or transfer such
properties and assets substantially as an entirety, as the case may be, shall, as a part of such
consolidation, merger, conveyance or transfer, comply with the conditions set forth in Article
VIII.

     Section 13.4 Subrogation to Rights of Holders of Senior Debt. Subject to the prior payment
in full of all Senior Debt of the Company, the Holders shall be subrogated (equally and ratably
with the holders of all indebtedness of the Company that by its express terms is subordinated to
indebtedness of the Company to substantially the same extent as the Securities are subordinated and
is entitled to like rights of subrogation) to the rights of the holders of such Senior Debt to
receive payments or distributions of cash, property and securities applicable to the Senior Debt of
the Company until the Securities shall be paid in full. For purposes of such subrogation, no
payments or distributions in respect of the Senior Debt of the Company of any cash, property or
securities to which the Holders of the Securities or the Trustee would be entitled except for the
provisions of this Article, and no payments over pursuant to the provisions of this Article to the
holders of Senior Debt by Holders of the Securities or the Trustee, shall, as between the Company,
its creditors other than holders of Senior Debt of the Company and the Holders of the Securities,
be deemed to be a payment or distribution by the Company to or on account of the Senior Debt of the
Company; and no payments or distributions to the Trustee or the Holders of the Securities of cash,
property or securities that are applied to the satisfaction of Senior Debt of the Company, as the
case may be, by virtue of the subordination herein provided for shall, as between the Company, its
creditors other than the holders of Senior Debt of the Company and the Holders of the Securities,
be deemed to be a payment by the Company to or on account of the Securities.

     Section 13.5 Reliance on Certificate of Liquidating Agent. Upon any payment or distribution
of assets of the Company referred to in this Article, the Trustee, subject to the provisions of
Section 6.1, and the Holders shall be entitled to rely upon an order or decree made by any court of
competent jurisdiction in which such dissolution or winding up or liquidation or reorganization or
arrangement proceedings are pending or upon a certificate of the trustee in bankruptcy, receiver,
conservator, assignee for the benefit of creditors or other person making such payment or
distribution, delivered to the Trustee or to the Holders, for the purpose of ascertaining the
persons entitled to participate in such distribution, the holders of the Senior Debt, the amount
thereof or payable thereon, the amount or amounts paid or distributed thereon and all other facts
pertinent or to this Article.

     Section 13.6 Payment Permitted if No Default. Nothing contained in this Article or elsewhere
in this Indenture, or in any of the Securities, shall prevent (a) the Company, at any time except
during the pendency of any dissolution, winding up, liquidation or reorganization or other similar
proceedings referred to in Section 13.3 or under the conditions described in Section 13.2, from
making payments at any time of principal of (or premium, if any) or interest (including any
Additional Interest) on the Securities or (b) the application by the Trustee or any Paying Agent of
any moneys deposited with it hereunder to the payment of or on account of the principal of (or
premium, if any) or interest (including any Additional Interest) on Securities or the retention by
such payment by the Holders, if, at the time of such application, the Trustee or such Paying Agent,
as the case may be, did not have knowledge that such payment would have been prohibited by the
provisions of this Article.

     Section 13.7 Trustee Not Charged with Knowledge of Prohibition. Anything in this Article or
elsewhere in this Indenture contained to the contrary notwithstanding, the Trustee shall not at any
time be charged with

45

 

knowledge of the existence of any facts that would prohibit the making of any payment of moneys to
or by the Trustee and, subject to the provisions of Section 6.1, shall be entitled to assume that
no event of default or prohibition specified in Section 13.2 has happened, until the Trustee shall
have received an Officers’ Certificate of the Company to that effect or notice in writing signed by
or on behalf of the holders, or their representatives, of Senior Debt of the Company who shall have
been certified by the Company or otherwise established to the reasonable satisfaction of the
Trustee to be such holders or representatives or from any trustee under any indenture pursuant to
which such Senior Debt shall be outstanding.

     Section 13.8 Provisions are Solely to Define Relative Rights. The provisions of this Article
are and are intended solely for the purpose of defining the relative rights of the Holders on the
one hand, and the holders of the Senior Debt on the other. Nothing contained in this Article or
elsewhere in this Indenture or in the Securities is intended to or shall (a) impair, as among the
Company, its creditors other than holders of Senior Debt and the Holders of the Securities, the
obligation of the Company, which is absolute and unconditional (and which, subject to the rights
under this Article of the holders of Senior Debt, is intended to rank equally with all other
general obligations of the Company), to pay to the Holders of the Securities the principal of (and
premium, if any, on) and interest on the Securities as and when the same shall become due and
payable in accordance with their terms; (b) affect the relative rights against the Company of the
Holders of the Securities and creditors of the Company other than the holders of Senior Debt; or
(c) prevent the Trustee or the Holder of any Security from exercising all remedies otherwise
permitted by applicable law upon default under this Indenture, subject to the rights, if any, under
this Article of the holders of Senior Debt, to receive cash, property and securities otherwise
payable or deliverable to the Trustee or such Holder.

     Section 13.9 No Waiver of Subordination Provisions. No right of any present or future holder
of any Senior Debt of the Company to enforce subordination as herein provided shall at any time in
any way be prejudiced or impaired by any act or failure to act on the part of the Company or by any
act or failure to act, in good faith, by any such holder, or by any noncompliance by the Company
with the terms, provisions and covenants of this Indenture, regardless of any knowledge thereof any
such holder may have or be otherwise charged with.

     Section 13.10 Trustee to Effectuate Subordination. Each Holder by his acceptance of a
Security or Securities authorizes and directs the Trustee in his behalf to take such action as
may be necessary or appropriate to effectuate the subordination as provided in this Article and
appoints the Trustee his attorney-in-fact for any and all such purposes.

     Section 13.11 Rights of Trustee as Holder of Senior Debt. The Trustee shall be entitled to
all the rights set forth in this Article with respect to any Senior Debt that may at any time be
held by it, to the same extent as any other holder of Senior Debt, as the case may be, and nothing
in this Indenture shall deprive the Trustee of any of its rights as such holder.

     Section 13.12 Article Applicable to Paying Agents. In case at any time any Paying Agent other
than the Trustee shall have been appointed by the Company with respect to a series of securities
and be then acting hereunder, the term “Trustee” as used in this Article shall in such case (unless
the context shall otherwise require) be construed as extending to, and including such Paying Agent
within its meaning as fully for all intents and purposes as if such Paying Agent were named in this
Article in addition to or in place of the Trustee; provided, however, that Sections 13.8 and 13.11
shall not apply to the Company or any Affiliate of the Company if it or such Affiliate acts as
Paying Agent; and provided, further, that no Paying Agent (other than the Company or any Affiliate
of the Company if it or such Affiliate acts as Paying Agent) shall be deemed to owe any fiduciary
duty to the holders of Senior Debt or shall be liable to any such holder if it shall pay over or
distribute to or on behalf of Holders of Securities or the Company or any other Person moneys or
assets to which any holder of Senior Debt shall be entitled by virtue of this Article or otherwise.
No Paying Agent shall be deemed to have received any Officers’ Certificate or notice required
pursuant to or referred in this Article (whether or not actually received) until after the second
Business Day after any such notice shall have been delivered to a Responsible Officer of such
Paying Agent at the Paying Agent Office of such Paying Agent, as such Responsible Officer and
Paying Agent Office shall be specified with respect to such series in accordance with Section 3.1;
and furthermore, Section 6.1 (as referred to in Section 13.7) is not applicable to any Paying
Agent.

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ARTICLE XIV REPAYMENT AT THE OPTION OF

HOLDERS

     Section 14.1 Applicability of Article. Securities of any series that are repayable at the
option of the Holders thereof before their Stated Maturity shall be repaid in accordance with their
terms and (except as otherwise specified pursuant to Section 3.1 for Securities of such series) in
accordance with this Article.

     Section 14.2 Repayment of Securities. Each Security that is subject to repayment in whole or
in part at the option of the Holder thereof on a Repayment Date shall be repaid at the applicable
Repayment Price together with interest accrued to such Repayment Date as specified pursuant to
Section 3.1.

     Section 14.3 Exercise of Option; Notice. Each Holder desiring to exercise such Holder’s
option for repayment shall, as conditions to such repayment, surrender the Security to be repaid in
whole or in part together with written notice of the exercise of such option at any office or
agency of the Company in a Place of Payment, not less than 30 nor more than 45 days prior to the
Repayment Date. Such notice, which shall be irrevocable, shall specify the principal amount of such
Security to be repaid, which shall be equal to the minimum authorized denomination for such
Security or an integral multiple thereof, and shall identify the Security to be repaid and, in the
case of a partial repayment of the Security, shall specify the denomination or denominations of the
Security or Securities of the same series to be issued to the Holder for the portion of the
principal of the Security surrendered that is not to be repaid.

     The Company shall execute and the Trustee shall authenticate and deliver without service
charge to the Holder of any Security so surrendered a new Security or Securities of the same
series, of any authorized denomination specified in the foregoing notice, in an aggregate principal
amount equal to any portion of the principal of the Security so surrendered that is not to be
repaid.

     For all purposes of this Indenture, unless the context otherwise requires, all provisions
relating to the repayment of Securities shall relate, in the case of any Security repaid or to be
repaid only in part, to the portion of the principal of such Security that has been or is to be
repaid.

     Section 14.4 Securities Payable on the Repayment Date. Notice of exercise of the option of
repayment having been given and the Securities so to be repaid having been surrendered as
aforesaid, such Securities shall, unless purchased in accordance with this Section, on the
Repayment Date become due and payable at the price therein specified and from and after the
Repayment Date such Securities shall cease to bear interest and shall be paid on the Repayment
Date, unless the Company shall default in the payment of such price in which case the Company shall
continue to be obligated for the principal amount of such Securities and shall be obligated to pay
interest on such principal amount at the rate borne by such Securities from time to time until
payment in full of such principal amount.

* * * *

     This instrument may be executed in any number of counterparts, each of which so executed shall
be deemed to be an original, but all such counterparts shall together constitute but one and the
same instrument.

47

 

     IN WITNESS WHEREOF, the parties hereto have caused this Indenture to be duly executed
and attested, all as of the day and year first above written.

	 	 	 	 	 	 	 	 
	 	 	 	 	EVANS BANCORP, INC.

 	 
	Attest:	 	 	 	By:  	
 	 
	 	 	 	 	 	Name:  	 	 
	By:  	 	 	 	 	Title:  	 	 
	 	 	 	 
	 	 	 	 	WILMINGTON TRUST COMPANY,

Individually and as Trustee

 	 
	Attest:	 	 	 	By:  	

 	 
	 	 	 	 	 	Name:  	 	 
	By:  	 	 	 	 	Title:  	 	 
	 	 	 	 

48

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