Financial Institutions 8K Statements contained in this presentation which are not historical facts and which | FISI 21 May 14

Delivering

On Our

Promise

NASDAQ: FISI

May 21, 2014

Exhibit 99.1

Forward Looking Statements

Statements contained in this presentation which are not historical facts and which

pertain to future operating results of Financial Institutions, Inc. and its subsidiaries

constitute “forward looking statements”

within the meaning of the Private Securities

Litigation Reform Act of 1995. These forward looking statements involve significant

risks and uncertainties. We refer you to the documents the Company files from time to

time with the Securities and Exchange Commission, specifically the Company’s last

filed Form 10-K and Form 10-Q. These documents contain and identify important

factors that could cause actual results to differ materially from those contained in our

projections or forward looking statements. The Company assumes no obligation to

update any information presented herein.

Key Investment Considerations

Experienced leadership

Attractive footprint in Upstate NY, uniquely positioned to seize

market opportunities

…and Delivering on our Promise to All Stakeholders

Low cost and streamlined

Sustainable, scalable business model

Effective enterprise risk management

Solid capital structure

Investments in people and infrastructure

Consistent, strong operating results

and favorable trends

Positioned to Achieve Long-Term Growth…

operating emphasis

Martin K. Birmingham

President & Chief Executive Officer

Kevin B. Klotzbach

Executive Vice President, Chief Financial

Officer & Treasurer

Who We Are

Regional community bank headquartered in

Warsaw, NY with $3.0 billion in assets

10,000 square-mile operating footprint with 50

banking locations in 15 contiguous counties

concentrated in Upstate NY

Top 20 bank of those headquartered in NY based

on asset size

Experienced management team with extensive

market knowledge

Franchise is a diversified mix of consumer and

business customers, products and revenue

sources; generating consistent, strong operating

results

Corporate Overview

Key Corporate Statistics

Assets:

$3.02 billion

Loans:

$1.85 billion

Deposits:

$2.53 billion

2013 Revenue:

$116 million

FTEs:

~ 600

Shareholders’

Equity:

$263 million

Market Capitalization:

$321 million

Common Book Value:

$17.72 share

Tangible Common Book Value:

$14.12 share

Annualized Dividend:

$0.76

Dividend Yield:

3.28%

NASDAQ:

FISI

# Analyst Coverage:

Note: Financials as of March 31, 2014. Market data as of April 30, 2014.

Management Team

Average Years:

Name

Title

Years with

FISI

Years in

Banking

Martin K. Birmingham

President & CEO

Richard J. Harrison

EVP, Chief Operating Officer

Jeffrey P. Kenefick

EVP, Commercial Banking

Kevin B. Klotzbach

EVP, Chief Financial Officer

Kenneth V. Winn

EVP, Chief Risk Officer

David G. Case

SVP, Chief Commercial Credit Officer

Paula D. Dolan

SVP, Human Resources

Sonia M. Dumbleton

SVP, Controller

Michael D. Grover

SVP, Chief Accounting Officer

Charles J. Guarino

SVP, Marketing

Sound Risk

Management

Our Strategy and Approach

Balance between volume

and risk; maintain our

credit discipline

Diversified loan portfolio

through retail and

commercial exposures

Effective risk

management committee

structures

Uphold rigorous expense

management practices

Principled, growth oriented

approach guided by our

commitment to enhance:

Shareholder value

Customer experience

Employee experience

Productivity measures per

FTE

Smart Growth

Maintain our

Culture

Focus on Value

Continue to capitalize on

banking dislocation in our

region; uniquely positioned

to seize market

opportunities and achieve

scale in growth markets

Invest in people, product

development and

infrastructure, especially

potential growth segments

Key lending hires in

Buffalo and Rochester, new

e-banking services (mobile

banking, web apps) and

product offerings

Continue non-interest

income growth

Five Star Investment

Services

Agreement with Welch

ATM/Rite Aid for Free

ATM access

Attract, retain and cultivate

top talent

Promote from within,

create career

opportunities

Focus on the Five Star

Bank Experience;

dictates how we:

Hire

Evaluate

Reward

Comprehensive incentive

compensation structure

supports

cross-functional

focus

Satisfied employees =

satisfied customers

Our Strategic Initiatives have Driven Growth

and Performance

Optimization and consolidation of

branches offices

Investment in asset classes which offer

excellent risk adjusted returns and

duration

Continuous reinvestment in people,

processes and infrastructure

Positioning ourselves for market

expansion through key group hires and

branch purchases

Keen focus on expense control, efficiency

improvements and risk management

Consistent, strong operating results

Meaningful organic loan growth

Increased positive operating leverage

Pristine asset quality

Attractive market position

Strong 5-year total shareholder return

Record earnings per share

Initiatives

Outcomes

A Dominant, Established Franchise…

Deposit Market Share: Counties of Operation

10,000 square-mile operating

footprint

50 banking offices in 15 contiguous

counties concentrated in Upstate NY

Top 3 market share in 11 counties

Top 5 bank in counties of operation

Significant opportunities exist to

gain market share

Key Highlights

Source: SNL Financial. Deposits by County as of June 30, 2013 for comparative purposes

Rank

Institution

Branches

2013

Deposits

in Market

($MM)

Share (%)

Manufacturers and Traders Trust Co.

116

19,562

32.1%

First Niagara Bank NA

9,726

16.0%

KeyBank NA

4,362

7.2%

RBS Citizens NA

2,891

4.7%

Five Star Bank

2,332

3.8%

JPMorgan Chase Bank NA

2,026

3.3%

Community Bank NA

2,000

3.3%

Bank of America NA

1,791

2.9%

Canandaigua National Bank and Trust Co.

1,696

2.8%

Bank of Castile

885

1.5%

Evans Bank NA

698

1.1%

Northwest Savings Bank

625

1.0%

Chemung Canal Trust Co.

569

0.9%

Lake Shore Savings Bank (MHC)

396

0.7%

Steuben Trust Co.

349

0.6%

Market

…Uniquely Positioned For Future Growth

Capitalizing on banking dislocation due to larger

institutions divesting in our markets

Acquired 4 former First Niagara Offices in June 2012

$129.6 million in deposits

Entered Orleans County

Strengthened presence in Genesee and Seneca

Counties

Acquired 4 former HSBC Offices in August 2012

$157.2 Million in deposits

Gained Significant Market Share in Chemung

County

Consolidated 4 of the 8 acquired branches into

existing FISI offices

Rochester MSA

Buffalo MSA

Over 50 NY banks (non-MHC) under $1 billion in

assets located in non-NYC Metro area

Market Footprint

Source: SNL Mapping

Erie County

Deposit Market:

$30.5 Bln

Monroe County

Deposit Market:

$11.4 Bln

Chemung County

Deposit Market:

$1.0 Bln

Source: SNL Financial

Opportunity to fuel organic growth exists in attractive

markets where we have less than 2% of collective market

At $3.02 billion in assets, we believe we have the capacity to

consolidate smaller banks in our footprint

Balance Sheet Growth

$1,264

$1,346

$1,485

$1,706

$1,834

$1,717

$1,849

$1,743

$1,883

$1,932

$2,262

$2,320

$2,409

$2,533

$2,062

$2,214

$2,336

$2,764

$2,929

$2,828

$3,016

$500

$1,000

$1,500

$2,000

$2,500

$3,000

$3,500

2009

2010

2011

2012

2013

2013Q1

2014Q1

Loans

Deposits

Assets

Balance Sheet Growth

Loan Growth

Emphasis on driving quality loan growth by

balancing between volume and risk along with

maintaining a diversified portfolio

Our largest concentration, indirect auto at 35% of

total loans, is an excellent asset class as it offers

low duration (approx. 2.4 years), good credit risk

(average FICO 720) and relatively high risk-

adjusted yields

Balancing organic and acquisition loan growth

initiatives

C&I and Home Equity have become key areas of

focus for growth

C&I effort to be targeted at Buffalo and

Rochester

Recently hired local talent away from

competitors to gain traction

Home Equity growth strategy positioned as

alternative

mortgages

most

are

first

lien

position, but are more attractive from interest

rate risk prospective

$200

$400

$600

$800

$1,000

$1,200

$1,400

$1,600

$1,800

$2,000

Consumer

Indirect

Home Equity

Residential Mtg

CRE

C&I

6.5%

9.1%

12.9%

15.9%

Loan Portfolio Composition

Lending Strategy

Large and fragmented market

Favorable competitive conditions and risk-

adjusted returns

Natural risk dispersion that comes with retail

loans

Relatively short duration loans

Necessary expertise available

Underwriting Manager

25 years of experience

Credit Administration

35 years of experience

Sales Manager

25 years of experience

Collections Manager

30 years of experience

Underwriting Supervisor

15 years of experience

Loan Processing Supervisor

20 years of experience

Market Dynamics

Our Team

Indirect Lending as a Core Business

Our Portfolio

Indirect

Net

Charge-Off

Originating prime loans –

average credit score is

720

Originate through approximately 420 franchised

automobile dealerships

No independent used car dealerships

All dealers are within Upstate New York and

Pennsylvania

Most key personnel have auto finance experience

from Charter One Auto Finance (originated over $2

Bln /year in 21 states and had a serviced portfolio in

excess of $6.5 Bln)

0.83%

0.60%

0.72%

0.82%

0.85%

0.00%

0.10%

0.20%

0.30%

0.40%

0.50%

0.60%

0.70%

0.80%

0.90%

2009

2010

2011

2012

2013

2014Q1

Deposit Portfolio

Deposit Strategy

Cost of Total Deposits

Deposit Composition

18%

43%

29%

10%

Consistent emphasis on growing core (non-

time) deposits, which equated to 75% of the

total deposit portfolio at March 31, 2014

Strong growth in our non-interest bearing

deposits, currently at 21% of our deposit

base or $533 million (growth in excess 80%

since 2008)

Overall cost of deposits at 0.26% as of

March 31, 2014

30%

10%

42%

18%

$500

$1,000

$1,500

$2,000

$2,500

$3,000

NIB Demand

IB Demand

Savings & Money Market

CDs <$100

CDs >$100

18.1%

6.7%

13.4%

1.82%

0.26%

0.00%

0.50%

1.00%

1.50%

2.00%

2008

2009

2010

2011

2012

2013

2014Q1

Revenue Growth

Net Interest Income and Noninterest Income

Note: All periods exclude OTTI & Securities Gains

$72.3

$78.8

$81.9

$88.5

$91.6

$22.9

$23.3

$20.0

$19.9

$20.9

$22.2

$23.6

$5.7

$6.0

$0.0

$20.0

$40.0

$60.0

$80.0

$100.0

$120.0

$140.0

2009

2010

2011

2012

2013

2013Q1

2014Q1

Net Interest Income

Noninterest Income

Operating Leverage by Successful Growth Strategies

and Effective Expense Management

Growing Net Interest Income

Increasing Fee Income

Improving Efficiency

12/31/13

YTD $23.6 Million

12/31/12

YTD $21.2 Million

Noninterest Income

Revenue and Expenses

Revenue grew by 25% between 2009 and 2013 while expenses

increased by only 11%

Source: SNL Financial

Net Interest Income

Continues to Grow…

…despite margin

compression headwinds

(1)

* Peers

include

all

Banks

and

Thrifts

the

Mid-Atlantic

region

from

Bln

Bln in assets. Peer data reflects median values for the component companies within

the group.

3.25%

3.50%

3.75%

4.00%

4.25%

$20.0

$21.0

$22.0

$23.0

$24.0

Net Interest Income

Net Interest Margin

57.0%

56%

58%

60%

62%

64%

66%

2009

2010

2011

2012

2013

2014Q1

Efficiency Ratio

FISI

Peer *

39%

21%

23%

Service Charges on Deposits

ATM & Debit Card Revenue

Broker-Dealer Fees & Commissions

Company Owned Life Insurance

Other

42%

22%

10%

19%

$20

$40

$60

$80

$100

$120

$140

2009

2010

2011

2012

2013

2013Q1

2014Q1

Total Revenue

Total Expenses

(1)

(2)

(1)

All periods exclude OTTI & Securities Gains

(2)

2012 excludes acquisition and CEO transition expenses

(1)

Asset Quality Overview

Non-performing Assets (“NPAs”) Trends

Asset quality remains a top priority

Disciplined oversight of risk in lending

portfolio

Asset quality metrics continue to

outperform peer levels

Key Highlights

Source: SNL Financial

50%

100%

150%

200%

250%

300%

2009

2010

2011

2012

2013

2014Q1

Reserves / NPAs

FISI

Mid-Atl. Peer Median

$8.7

$7.6

$7.1

$9.1

$16.6

$16.3

$0.5

$0.0

$2.0

$4.0

$6.0

$8.0

$10.0

$12.0

$14.0

$16.0

$18.0

2009

2010

2011

2012

2013

2014Q1

Nonperforming Loans

OREO & Nonperforming securities

0.0%

0.5%

1.0%

1.5%

2.0%

2009

2010

2011

2012

2013

2014Q1

FISI

Mid-Atl. Peer Median

$1.3

Note:

Peers

include

all

Banks

and

Thrifts

the

Mid-Atlantic

region

from

Bln

assets.

Peer data reflects median values for the component companies within the group

$2.1

$1.8

$0.9

NPAs / Assets

Investment Portfolio

Low risk security portfolio

High percentage of the portfolio consists

of securities backed by the U.S.

government (“USG”) and agencies

Approximately $930 million in total

securities and the majority are utilized

for various pledging purposes

Data as of March 31,2014

Low Risk Security Portfolio

Other

Securities

0.2%

USG Agencies

CMO’s

22.8%

USG Agencies

& GSE

20.5%

HTM Municipal

Debt

27.4%

USG Agencies

Mortgage-

backed Pass-

Throughs

29.1%

Capital Management

2011Q4

2012Q1

2012Q2

2012Q3

2012Q4

2013Q1

2013Q2

2013Q3

2013Q4

2014Q1

Tangible Common Equity / Tangible Assets

7.93%

7.64%

7.20%

7.05%

6.86%

6.74%

6.49%

6.40%

6.51%

6.60%

Tier 1 Risk

Based Capital Ratio

12.20%

12.22%

11.39%

10.91%

10.73%

10.84%

10.96%

10.94%

10.82%

10.89%

Total Risk Based Capital

13.45%

13.47%

12.64%

12.16%

11.98%

12.09%

12.21%

12.19%

12.08%

12.14%

Tier 1 Leverage

8.63%

8.80%

8.27%

7.67%

7.71%

7.46%

7.59%

7.68%

7.63%

7.51%

7.93%

6.60%

12.20%

10.89%

13.45%

12.14%

8.63

7.51%

5.0%

7.0%

9.0%

11.0%

13.0%

15.0%

Capital Ratios

Planning and Investing For the Future

We are constantly investing and adapting our scalable infrastructure to strengthen our competitive

position

Our

infrastructure’s

strength

state

the

art

technology

and

motivated

human

resources

Smart investments in technology have enabled us to be competitive with even the largest

banking institutions. Investments include:

Mobile banking

•

102% increase in Mobile banking users since January 2013

Enhanced Web Presence (online account opening, updated online banking, emphasis on e-statements)

•

200% increase in e-statement penetration since January 2013

New product offerings allow us to remain nimble vs. competition

Enhanced Retail Checking Products (debit card rewards)

•

5% increase in debit card transaction since January 2013

Expanded Indirect Lending

How Do We Compare?

Note: FISI market data as of March 31, 2014. Peer data as of December 31, 2013 and reflects

median

values

for

the

component

companies

within

each

respective

index.

16.0x

14.0x

12.0x

10.0x

8.0x

6.0x

4.0x

2.0x

0.0x

16.0x

14.0x

12.0x

10.0x

8.0x

6.0x

4.0x

2.0x

0.0x

12.7x

16.0x

15.7x

FISI

Mid-Atl. Peers $1B -

$5B

SNL Banks $1 -

$5B

Index

11.5x

15.8x

16.1x

FISI

Mid-Atl. Peers $1B -

$5B

SNL Banks $1 -

$5B

Index

3.35%

1.93%

1.49%

0.0%

0.5%

1.0%

1.5%

2.0%

2.5%

3.0%

3.5%

4.0%

FISI

Mid-Atl. Peers $1B -

$5B

SNL Banks $1 -

$5B

Index

Price/ TTM EPS

Dividend Yield

Price/ MRQ EPS

Total Shareholder Return

Note: Market data as of April 30, 2014. Peer data reflects median values for the

component companies within each respective index

5-Year Total Shareholder Return

82%

68%

71%

25%

22%

23%

10%

20%

30%

40%

50%

60%

70%

80%

90%

FISI

Mid-Atl. Banks $1-$5B

SNL US Banks $1-$5B

5 Year Return

1 Year Return

Source: SNL Financial. Market data as of March 31, 2014

Diversified Shareholder Base

Holder

Position

Market

Value

($000)

Out (%)

Wellington Management Co. LLP

1,016,643

23,403

7.34

BlackRock Fund Advisors

827,548

19,050

5.97

Dimensional Fund Advisors LP

613,864

14,131

4.43

Canandaigua National Bank and Trust Co.

603,369

13,890

4.36

Columbia Management Investment Advisers LLC

473,930

10,910

3.42

Commonwealth Equity Services, Inc.

473,452

10,899

3.42

Bryn Mawr Capital Management Inc

434,181

9,995

3.13

Vanguard Group Inc.

393,229

9,052

2.84

Putnam Investment Management LLC

327,997

7,550

2.37

Kennedy Capital Management Inc.

298,696

6,876

2.16

LSV Asset Management

291,938

6,720

2.11

Investment Counselors of Maryland LLC

287,200

6,611

2.07

Northern Trust Global Investments Ltd.

249,563

5,745

1.80

DePrince Race & Zollo Inc.

226,100

5,205

1.63

SSgA Funds Management Inc.

226,016

5,203

1.63

JP Morgan Asset Management

221,829

5,107

1.60

AlphaOne Investment Services LLC

201,674

4,643

1.46

Castine Capital Management LLC

117,252

2,699

0.85

Clover Partners LP

102,499

2,360

0.74

Aberdeen Asset Management Inc.

101,988

2,348

0.74

63%

30%

Institutional

FISI Board / Management

Other / Retail

Shareholder Composition

Top 20 Institutional Investors

Key Investment Considerations

Experienced leadership

Positioned to Achieve Long-Term Growth…

Attractive footprint in Upstate NY, uniquely positioned to seize

market opportunities

…and Delivering on our Promise to All Stakeholders

Low cost and streamlined

Sustainable, scalable business model

Effective enterprise risk management

Solid capital structure

Investments in people and infrastructure

Consistent, strong operating results

and favorable trends

operating emphasis

Delivering

On Our

Promise

NASDAQ: FISI

May 21, 2014

Financial Institutions (FISI) 8-KStatements contained in this presentation which are not historical facts and which