Item 8.01 Other Events.

In a press release issued on February 1, 2013, President James M. Gasior announced that the Board of Directors of Cortland Bancorp (the "Company") has declared a dividend of $0.03. The dividend is payable on or after February 28, 2013 to shareholders of record as of February 14, 2013. The press release is included as Exhibit 99.1 to this current report on Form 8K.

The Cortland Bancorp Dividend Reinvestment Plan was filed November 21, 2012. The Company has mailed all necessary documents to shareholders who are eligible to participate. New enrollment forms are required for any shareholder wishing to participate. The plan is available for this dividend. No assurance can be provided that another dividend will be paid.

This announcement may contain forward-looking statements that involve risk and uncertainties, including changes in general economic and financial market conditions and the Company's ability to execute its business plans. Although management believes the expectations reflected in such statements are reasonable, actual results may differ materially.

Item 9.01. Financial Statements and Exhibits.

Exhibit 99.1 - Press Release dated February 1, 2013.

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