Alliance Financial Corporation announced its intention to commence a public offering of approximately $25 million of its common stock. The shares will be issued pursuant to a prospectus supplement filed as part of an existing shelf registration statement filed with the Securities and Exchange Commission. The Company expects to use the net proceeds from this offering for general corporate purposes, which may include, among other uses, making additional capital contributions to the Bank and our other operating subsidiaries to support the growth of their lending and investing activities, reducing or refinancing existing debt, possible acquisitions of other institutions, branches or other lines of business, if opportunities for such transactions become available, and other investments.

Alliance Financial Corporation - Conference Presentation Calls

Alliance Financial Corporation reported unaudited consolidated earnings results for the third quarter and nine months ended September 30, 2009. Net income available to common shareholders for the third quarter ended September 30, 2009 was $2.9 million or $0.64 per basic and diluted share, compared with $3.0 million or $0.65 per basic and diluted share in the year-ago quarter. Net income increased $922,000 or 45.3% compared with the second quarter of 2009 due primarily to a $608,000 increase in net interest income and a $675,000 decrease in the provision for credit losses as a result of a $670,000 decrease in net charge-offs in the third quarter. Total interest income was $16.1 million against $16.7 million last year. Net interest income was $11.2 million against $9.5 million last year. Net interest income after provision for credit losses was $10.1 million against $8.7 million last year. Income before income tax expense was $3.9 million against $3.9 million last year. Return on average assets was 0.82% against 0.92% last year. Return on average equity was 9.68% against 10.42% last year. Return on average common equity was 9.68% against 10.42% last year. Return on average tangible common equity was 14.85% against 16.89% last year. Net interest income increased $608,000 or 5.7% compared with the second quarter of 2009. The increases in net interest income were driven by the continued expansion of the company's net interest margin and to an increase in average earning assets. Net income available to common shareholders for the nine months ended September 30, 2009 was $6.9 million or $1.50 per basic share and $1.49 per diluted share, compared with $8.0 million or $1.71 per basic share and $1.69 per diluted share in the year-ago period. Total interest income was $47.8 million against $51.2 million last year. Net interest income was $31.8 million against $27.8 million last year. Net interest income after provision for credit losses was $27.2 million against $24.3 million last year. Income before income tax expense was $10.2 million against $10.6 million last year. Return on average assets was 0.65% against 0.81% last year. Return on average equity was 6.84% against 9.172% last year. Return on average common equity was 7.55% against 9.17% last year. Return on average tangible common equity was 11.69% against 13.98% last year.