SOURCE: First Morris Bank & Trust

December 21, 2006 17:39 ET

First Morris Bank & Trust Adjusts Net Income for the Three and Nine Months Ended September 30, 2006

MORRIS TOWNSHIP, NJ -- (MARKET WIRE) -- December 21, 2006 -- First Morris Bank & Trust (OTCBB: FMJE) ("First Morris") today announced that it was adjusting net income for the three and nine months ended September 30, 2006 to reflect the recognition of a valuation allowance related to a deferred tax asset. As a result of the adjustment, net income will decrease from $826 thousand to $791 thousand for the three months ended September 30, 2006 and from $1.58 million to $1.35 million for the nine months ended September 30, 2006.

About First Morris

First Morris was established in 1969. At September 30, 2006, First Morris had total assets of $572.3 million and total stockholders' equity of $41.0 million. It operates nine branch offices in Morris County, New Jersey.

On October 16, 2006, First Morris announced the signing of a definitive agreement under which First Morris will merge into The Provident Bank, a subsidiary of Provident Financial Services, Inc. ("Provident"). Under the agreement, First Morris stockholders will receive a combination of stock and cash, subject to election, valued at $39.75 per share or approximately $124.1 million.

Provident has filed with the Securities and Exchange Commission (SEC) a registration statement, a prospectus that will also serve as the proxy statement for the vote of the stockholders of First Morris, and other relevant documents concerning the proposed transaction. Stockholders of First Morris are urged to read the registration statement and the prospectus when it becomes available and any other relevant documents filed with the SEC, as well as any amendments or supplements to those documents, because they will contain important information. You will be able to obtain a free copy of the prospectus, as well as other filings containing information about Provident and First Morris, at the SEC's Internet site (http://www.sec.gov). Copies of the prospectus and the SEC filings that will be incorporated by reference in the prospectus can be obtained, without charge, by directing a request to John F. Kuntz, General Counsel, Provident Financial Services, Inc., 830 Bergen Avenue, Jersey City, NJ 07306, tel: (201) 333-1000.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements may be identified by words such as "expects," "anticipates," "intends," "plans," "believes," "seeks," "estimates" or words of similar meaning. These forward-looking statements are based upon the current beliefs and expectations of Provident's and First Morris' management and are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond our control. Actual results may differ materially from the anticipated results discussed in these forward-looking statements. The following factors, among others, could cause actual results to differ materially from the anticipated results or other expectations expressed in the forward-looking statements: (1) the businesses of Provident and First Morris may not be combined successfully, or such combination may take longer to accomplish than expected; (2) the cost savings from the merger may not be fully realized or may take longer to realize than expected; (3) operating costs, customer loss and business disruption following the merger, including adverse effects on relationships with employees, may be greater than expected; (4) governmental approvals of the merger may not be obtained, or adverse regulatory conditions may be imposed in connection with governmental approvals of the merger; (5) the stockholders of First Morris may fail to approve the merger; (6) adverse governmental or regulatory policies may be enacted; (7) the interest rate environment may further compress margins and adversely affect net interest income; (8) the risks associated with continued diversification of assets and adverse changes to credit quality; (9) difficulties associated with achieving expected future financial results; (10) competition from other financial services companies in Provident's and First Morris' markets; (11) the risk of an economic slowdown that would adversely affect credit quality and loan originations. Additional factors that could cause actual results to differ materially from those expressed in the forward-looking statements are discussed in Provident's reports filed with the Securities and Exchange Commission and available at the SEC's Internet site (http://www.sec.gov).

All subsequent written and oral forward-looking statements concerning the proposed transaction or other matters attributable to Provident or First Morris or any person acting on their behalf are expressly qualified in their entirety by the cautionary statements above. Except as required by law, Provident and First Morris do not undertake any obligation to update any forward-looking statement to reflect circumstances or events that occur after the date the forward-looking statement is made.

Contact Information

  • CONTACT:

    First Morris Bank & Trust:
    William Keefe
    EVP / CFO
    (973) 656-2171
    Email Contact