On January 16, 2019, Rhinebeck Bancorp, Inc. assumed $5,155,000 in principal amount of floating rate junior subordinated debt securities due 2035, which were originally issued by Rhinebeck Bancorp, MHC in 2005. The assumption of the Debt Securities occurred as part of the reorganization of Rhinebeck Bank and the MHC into the two-tier mutual holding company structure, pursuant to which the Company became the majority-owned subsidiary of the MHC. In connection with the assumption of the Debt Securities, on January 16, 2019, the company entered into a Supplemental Indenture by and among the Company, the MHC and Wilmington Trust Company, a Delaware trust company, as trustee. Pursuant to the Supplemental Indenture, the company assumed the obligations of the MHC under the original Indenture, dated as of March 30, 2005, by and between the MHC and the Trustee. In March 2005, RSB Capital Trust I (the “Trust”), a wholly-owned subsidiary of the MHC, issued $5,000,000 in principal amount of trust preferred securities (the “Trust Preferred Securities”). The proceeds from the sale of the Trust Preferred Securities, combined with proceeds of $155,000 received by the Trust from the MHC in exchange for all of the Trust’s outstanding common securities, were used to purchase $5,155,000 in principal amount of Debt Securities of the MHC, issued pursuant to the Indenture. On January 16, 2019, the Company assumed the obligations of the MHC under the Indenture. Pursuant to the terms of the Indenture, the Company is required to make quarterly interest payments on the Debt Securities to the Trust, at a rate equal to the then-current three-month LIBOR, reset quarterly, plus 2.00% per annum. The Debt Securities mature in 2035. However, pursuant to the terms of the Indenture, and subject to the receipt by the Company of the prior approval of the Federal Reserve Board, the Debt Securities may be redeemed at par by the Company, in whole or in part, on any interest payment date. The Trust will be required to redeem a like amount of the Trust Preferred Securities if the Company exercises its right to redeem all or a portion of the Debt Securities. Either the Trustee or the holders of at least 25% of the aggregate principal amount of the outstanding Debt Securities may declare the principal amount of the Debt Securities, and any interest accrued thereon, to be due and payable immediately if an Event of Default occurs. An Event of Default generally includes ongoing defaults in the payment of any interest due, a default in payment upon maturity, a default in performance or breaches of certain covenants or agreements contained in the Indenture, bankruptcy or insolvency of the Company, or liquidation or dissolution of the Trust. Following an Event of Default, the Trustee, or in certain circumstances, the holders of the Debt Securities, may institute a suit, action or proceeding for any remedy available under the Indenture.