Citizens & Northern (CZNC) 8-K C&N Announces FIRST QUARTER 2012 UNAUDITED Financial RESULTS

EXHIBIT 99.3 – Supplemental, Unaudited Financial Information

AVAILABLE-FOR-SALE SECURITIES	March 31, 2012				December 31, 2011				March 31, 2011
(In Thousands)	Amortized		Fair		Amortized		Fair		Amortized		Fair
	Cost		Value		Cost		Value		Cost		Value
Obligations of U.S. Government agencies	$	24,810	$	25,488	$	24,877	$	25,587	$	36,963	$	37,129
Obligations of states and political subdivisions:
Tax-exempt		128,628		133,337		129,401		132,962		127,107		121,789
Taxable		16,846		17,206		14,004		14,334		11,676		11,507
Mortgage-backed securities		117,251		121,943		116,602		121,769		99,220		103,627
Collateralized mortgage obligations, Issued by U.S. Government agencies		162,846		165,764		161,818		165,131		152,718		153,558
Corporate bonds		0		0		0		0		1,000		1,019
Trust preferred securities issued by individual institutions		7,783		8,147		7,334		8,146		6,640		8,040
Collateralized debt obligations:
Pooled trust preferred securities - senior tranches		4,993		4,638		4,996		4,638		9,937		9,038
Pooled trust preferred securities - mezzanine tranches		0		782		0		730		0		0
Other collateralized debt obligations		660		660		660		660		681		681
Total debt securities		463,817		477,965		459,692		473,957		445,942		446,388
Marketable equity securities		6,151		8,699		5,643		7,728		4,789		6,586
Total	$	469,968	$	486,664	$	465,335	$	481,685	$	450,731	$	452,974

Summary of Loans by Type
(Excludes Loans Held for Sale)
(In Thousands)	Mar. 31,			Dec. 31,			Mar. 31,
	2012			2011			2011
Residential mortgage:
Residential mortgage loans - first liens	$	326,343		$	331,015		$	335,362
Residential mortgage loans - junior liens		27,590			28,851			30,403
Home equity lines of credit		30,534			30,037			26,887
1-4 Family residential construction		8,409			9,959			7,666
Total residential mortgage		392,876			399,862			400,318
Commercial:
Commercial loans secured by real estate		158,323			156,388			164,201
Commercial and industrial		54,370			57,191			57,494
Political subdivisions		36,517			37,620			36,226
Commercial construction and land		23,577			23,518			23,340
Loans secured by farmland		10,334			10,949			11,715
Multi-family (5 or more) residential		6,326			6,583			7,600
Agricultural loans		2,982			2,987			3,199
Other commercial loans		323			552			862
Total commercial		292,752			295,788			304,637
Consumer		11,960			12,665			14,004
Total		697,588			708,315			718,959
Less: allowance for loan losses		(7,370	)		(7,705	)		(8,846	)
Loans, net	$	690,218		$	700,610		$	710,113

Loans Held for Sale
(In Thousands)	Mar. 31,			Dec. 31,			Mar. 31,
	2012			2011			2011
Residential mortgage loans originated   and serviced - outstanding balance	$	64,569		$	57,577		$	35,493
Less: outstanding balance of loans sold		(62,346	)		(56,638	)		(35,358	)
Loans held for sale, net	$	2,223		$	939		$	135

ANALYSIS OF THE ALLOWANCE FOR LOAN LOSSES
(In Thousands)
	3 Months			3 Months			Year			3 Months
	Ended			Ended			Ended			Ended
	Mar. 31,			Dec. 31,			Dec. 31,			Mar. 31,
		2012			2011			2011			2011
Balance, beginning of period	$	7,705		$	8,177		$	9,107		$	9,107
Charge-offs		(176	)		(479	)		(1,446	)		(97	)
Recoveries		23			94			329			28
Net charge-offs		(153	)		(385	)		(1,117	)		(69	)
(Credit) provision for loan losses		(182	)		(87	)		(285	)		(192	)
Balance, end of period	$	7,370		$	7,705		$	7,705		$	8,846

PAST DUE AND NONPERFORMING ASSETS
(In Thousands)
	Mar. 31,			Dec. 31,			Mar. 31,
	2012			2011			2011
Total loans past due 30-89 days and still accruing	$	5,827		$	7,898		$	5,291
Nonperforming assets:
Total loans past due 90 days or more and still accruing	$	1,252		$	1,267		$	453
Total nonaccrual loans		6,961			7,197			10,371
Foreclosed assets held for sale (real estate)		977			1,235			707
Total nonperforming assets	$	9,190		$	9,699		$	11,531
Total nonperforming assets as a % of assets		0.70	%		0.73	%		0.88	%

Table III - Analysis of Average Daily Balances and Rates
(Dollars in Thousands)

	3 Months						3 Months						3 Months
	Ended			Rate of			Ended			Rate of			Ended			Rate of
	3/31/2012			Return/			12/31/2011			Return/			3/31/2011			Return/
	Average			Cost of			Average			Cost of			Average			Cost of
	Balance			Funds %			Balance			Funds %			Balance			Funds %
EARNING ASSETS
Available-for-sale securities,  at amortized cost:
Taxable	$	331,007			3.32	%	$	337,405			3.27	%	$	327,104			3.42	%
Tax-exempt		127,729			6.03	%		130,819			5.87	%		126,973			6.08	%
Total available-for-sale securities		458,736			4.08	%		468,224			4.00	%		454,077			4.16	%
Interest-bearing due from banks		34,334			0.33	%		36,404			0.31	%		31,750			0.20	%
Loans held for sale		1,057			3.42	%		953			7.08	%		1,722			4.95	%
Loans receivable:
Taxable		665,936			6.26	%		669,755			6.33	%		687,253			6.40	%
Tax-exempt		36,218			6.36	%		35,744			6.29	%		35,073			6.44	%
Total loans receivable		702,154			6.27	%		705,499			6.33	%		722,326			6.40	%
Total Earning Assets		1,196,281			5.25	%		1,211,080			5.25	%		1,209,875			5.40	%
Cash		16,891						17,812						16,985
Unrealized gain/loss on securities		17,923						12,710						(588	)
Allowance for loan losses		(7,739	)					(8,255	)					(9,201	)
Bank premises and equipment		18,898						19,286						22,474
Intangible Asset - Core Deposit Intangible		204						230						315
Intangible Asset - Goodwill		11,942						11,942						11,942
Other assets		48,282						50,743						60,758
Total Assets	$	1,302,682					$	1,315,548					$	1,312,560
INTEREST-BEARING LIABILITIES
Interest-bearing deposits:
Interest checking	$	161,524			0.13	%	$	161,274			0.15	%	$	163,479			0.32	%
Money market		205,866			0.19	%		208,855			0.18	%		203,439			0.30	%
Savings		104,532			0.10	%		101,405			0.10	%		92,625			0.25	%
Certificates of deposit		191,924			1.73	%		195,774			1.81	%		212,133			1.99	%
Individual Retirement Accounts		146,241			0.96	%		149,219			1.12	%		161,174			2.99	%
Other time deposits		942			0.00	%		801			0.50	%		956			0.42	%
Total interest-bearing deposits		811,029			0.67	%		817,328			0.73	%		833,806			1.25	%
Borrowed funds:
Short-term		7,422			0.16	%		12,673			0.09	%		16,865			0.14	%
Long-term		115,607			4.00	%		127,692			4.04	%		145,802			4.01	%
Total borrowed funds		123,029			3.77	%		140,365			3.68	%		162,667			3.61	%
Total Interest-bearing Liabilities		934,058			1.08	%		957,693			1.16	%		996,473			1.63	%
Demand deposits		189,275						186,562						168,211
Other liabilities		9,452						8,721						6,461
Total Liabilities		1,132,785						1,152,976						1,171,145
Stockholders' equity, excluding  other comprehensive income/loss		158,801						154,484						142,054
Other comprehensive income/loss		11,096						8,088						(639	)
Total Stockholders' Equity		169,897						162,572						141,415
Total Liabilities and Stockholders' Equity	$	1,302,682					$	1,315,548					$	1,312,560
Interest Rate Spread					4.17	%					4.09	%					3.77	%
Net Interest Income/Earning Assets					4.41	%					4.33	%					4.05	%
Total Deposits (Interest-bearing and Demand)	$	1,000,304					$	1,003,890					$	1,002,017

(1)	Rates of return on tax-exempt securities and loans are presented on a fully taxable-equivalent basis.
	The income tax rate used was 35% for the 3 months ended March 31, 2012 and 34% for the 2011 tables.
(2)	Nonaccrual loans have been included with loans for the purpose of analyzing net interest earnings.

COMPARISON OF NONINTEREST INCOME
(In Thousands)	Three Months Ended
	Mar. 31,		Dec. 31,		Mar. 31,
	2012		2011		2011
Service charges on deposit accounts	$	1,161	$	1,187	$	1,131
Service charges and fees		220		206		218
Trust and financial management revenue		929		864		877
Brokerage revenue		168		89		123
Insurance commissions, fees and premiums		34		65		68
Interchange revenue from debit card transactions		495		495		452
Net gains from sales of loans		265		430		259
Increase in cash surrender value of life insurance		119		127		122
Net gain (loss) from other real estate		104		33		(19	)
Impairment loss on limited partnership investment		0		0		(948	)
Other operating income		264		215		272
Total other operating income, before realized gains on available-for-sale securities, net	$	3,759	$	3,711	$	2,555

COMPARISON OF NONINTEREST EXPENSE
(In Thousands)	Three Months Ended
	Mar. 31,		Dec. 31,		Mar. 31,
	2012		2011		2011
Salaries and wages	$	3,575	$	3,545	$	3,401
Pensions and other employee benefits		1,366		1,063		1,306
Occupancy expense, net		636		600		732
Furniture and equipment expense		482		497		484
FDIC Assessments		146		144		325
Pennsylvania shares tax		332		322		319
Other operating expense		1,980		1,777		1,696
Total Noninterest Expense	$	8,517	$	7,948	$	8,263