Effective October 1, 2016, DNB Financial Corporation (DNB) completed its merger with East River Bank. Pursuant to an Agreement and plan of merger dated as of April 4, 2016, at the effective time of the merger, ERB merged with and into DNB First, N.A., a national banking association and wholly owned subsidiary of DNB. The merger agreement requires DNB to increase the size of its board of directors by three members, effective immediately following the effective time of the merger, and to elect John F. McGill and two additional pre-Merger directors of ERB to fill those positions. In connection therewith, DNB's board of directors has taken the necessary action to increase the size of the board of directors and has appointed Charles A. Murray, Daniel O'Donnell and John F. McGill to serve as directors, serving in the class of directors whose terms expire at the 2017, 2018 and 2019 annual meetings of DNB shareholders, respectively. Mr. McGill also has been appointed as the Vice Chairman of the board of directors. In addition, Messrs. Murray, O'Donnell and McGill have been appointed to the board of directors of DNB First. Committee assignments for Messrs. Murray, O'Donnell and McGill will be determined at a later date. The employment of Albert J. Melfi, DNB's Executive Vice President and Chief Lending Officer, ended effective October 1, 2016. Mr. Mefli's operating responsibilities will be assumed by other members of DNB management.