The board of directors of the Harleysville National Corporation today announced an agreement in principal has been approved and signed calling for a combination of the Summit Hill Trust Company with the Harleysville institution.

Summit Hill’s bank will become a wholly-owned subsidiary of the Harleysville corporation, joining the latter’s two other commercial banking firms, the Harleysville National Bank and Trust Company and Citizens National Bank, Lansford.

Under the terms of the agreement, each of the 5,000 outstanding shares of the Summit Hill Trust Company will be exchanged for not more than 34 shares and not less than 31 shares of Harleysville National Corporation Common Stock, based upon a value of $925 per share of Summit Hill Trust Company.