SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 or 15(d) of
THE SECURITIES EXCHANGE ACT OF 1934
Date of Report:
(Date of earliest event reported)
October 16, 1996
Summit Bancorp.
(Exact name of registrant as specified in its charter)
NEW JERSEY 1-6451 22-1903313
(State or other juris- (Commission (IRS Employer
diction of incorporation File No.) Identification No.)
or organization)
301 Carnegie Center, P.O. Box 2066,
Princeton, New Jersey 08543-2066
(Address of principal executive offices)
Registrant's telephone number, including area code (609) 987-3200
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Item 5. Other Information.
On September 30, 1996 President Clinton signed into law an omnibus spending
bill which included provisions for the recapitalization of the Savings
Association Insurance Fund ("SAIF") through a one-time special assessment of
approximately 65.7 basis points on SAIF deposits held by institutions as of
March 31, 1995. Certain qualifying commercial banks holding SAIF deposits are
assessed at a reduced rate of 80% of the special assessment rate. The assessment
is due by the end of November, 1996.
As a result of the foregoing special assessment, Summit Bancorp. (the
"Registrant") recorded a charge to earnings for the quarter ended September 30,
1996 of $11.1 million ($6.7 million or $.07 per common share, after tax).
On May 22, 1996, the Registrant entered into an Agreement and Plan of
Merger with Central Jersey Financial Corporation ("Central Jersey"), a savings
and loan holding company. The merger is expected to close in the fourth quarter
of 1996, subject to regulatory and Central Jersey Shareholder's approvals and
the market price of Registrant's common stock. As of March 31, 1995, Central
Jersey held SAIF deposits of approximately $359 million. Accordingly, based upon
Central Jersey's SAIF deposit base as of March 31, 1995 and assuming an
assessment rate of 65.7 basis points, it is estimated that Central Jersey will
incur a charge to earnings of approximately $2.4 million ($1.5 million or $.54
per common share, after tax) for the quarter ended September 30, 1996.
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SIGNATURE
Pursuant to the requirements of Section 12 of the Securities Exchange
Act of 1934, the registrant has duly caused this report to be signed on its
behalf by the undersigned, thereto duly authorized.
Date: October 22, 1996 SUMMIT BANCORP.
By: /s/ Dennis A. Williams
Dennis A. Williams
Senior Vice President
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