UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                              WASHINGTON, DC 20549

                                    FORM 10-Q

[X]      QUARTERLY  REPORT  PURSUANT  TO SECTION  13 OR 15(d) OF THE  SECURITIES
         EXCHANGE ACT OF 1934
         For the quarterly period ended March 31, 2007.

                                       OR

[_]      TRANSITION  REPORT  PURSUANT  TO SECTION 13 OR 15(d) OF THE  SECURITIES
         EXCHANGE  ACT OF 1934
         For the transition period from __________ to __________.

                         Commission file number 0-49925

                             Central Jersey Bancorp
-------------------------------------------------------------------------------
             (Exact name of registrant as specified in its charter)


          New Jersey                                     22-3757709
---------------------------------           ------------------------------------
(State or other jurisdiction of             (I.R.S. Employer Identification No.)
 incorporation or organization)


                627 Second Avenue, Long Branch, New Jersey 07740
                ------------------------------------------------
          (Address of principal executive offices, including zip code)


                                 (732) 571-1300
              ----------------------------------------------------
              (Registrant's telephone number, including area code)


--------------------------------------------------------------------------------
              (Former name, former address and formal fiscal year,
                         if changed since last report)


Indicate  by check  mark  whether  the  registrant:  (1) has filed  all  reports
required to be filed by Section 13 or 15(d) of the  Securities  Exchange  Act of
1934  during  the  preceding  12 months  (or for such  shorter  period  that the
registrant was required to file such reports),  and (2) has been subject to such
filing requirements for the past 90 days.
Yes [X]   No [_]

Indicate by check mark whether the registrant is a large  accelerated  filer, an
accelerated  filer, or a  non-accelerated  filer. See definition of "accelerated
filer and large accelerated filer" in Rule 12b-2 of the Exchange Act. Check one:
Large accelerated filer [_]    Accelerated filer [X]   Non-accelerated filer [_]

Indicate by check mark whether the  registrant is a shell company (as defined in
Rule 12b-2 of the Exchange Act).
Yes [_]   No [X].

As of May 6, 2007, there were 8,257,553 shares of the registrant's common stock,
par value $.01 per share, outstanding.

<page>
<table>
<caption>

                                   Central Jersey Bancorp
                                     INDEX TO FORM 10-Q
                                     ------------------
                                                                                       PAGE
                                                                                       ----
PART I.    FINANCIAL INFORMATION
------     ---------------------

        <c>                                                                           <c>
Item 1.    Financial Statements

           Consolidated Statements of Financial Condition
           as of March 31, 2007 (unaudited) and December 31, 2006........................1

           Consolidated Statements of Income (unaudited)
           for the three months ended March 31, 2007  and 2006...........................2

           Consolidated Statements of Changes in Shareholders' Equity (unaudited)
           for the three months ended March 31, 2007 and 2006............................3

           Consolidated Statements of Cash Flows (unaudited)
           for the three months ended March 31, 2007 and 2006............................4

           Notes to Unaudited Consolidated Financial Statements..........................5

Item 2.    Management's Discussion and Analysis
           of Financial Condition and Results of Operations.............................13

Item 3.    Quantitative and Qualitative Disclosures about Market Risk...................23

Item 4.    Controls and Procedures......................................................24

PART II.   OTHER INFORMATION
-------    -----------------

Item 1.    Legal Proceedings............................................................25

Item 1A.   Risk Factors.................................................................25

Item 2.    Unregistered Sales of Equity Securities and Use of Proceeds..................25

Item 3.    Defaults Upon Senior Securities..............................................25

Item 4.    Submission of Matters to a Vote of Security Holders..........................25

Item 5.    Other Information............................................................25

Item 6.    Exhibits.....................................................................25

Signatures..............................................................................26

Index of Exhibits......................................................................E-1

</table>

                           Forward-Looking Statements

Statements   contained  in  this  report  that  are  not  historical   fact  are
forward-looking  statements,  as that term is defined in the Private  Securities
Litigation  Reform  Act  of  1995.  Such  statements  may  be  characterized  as
management's  intentions,  hopes,  beliefs,  expectations  or predictions of the
future. It is important to note that such forward-looking statements are subject
to risks and uncertainties  that could cause actual results to differ materially
from those  projected  in such  forward-looking  statements.  Factors that could
cause future results to vary materially from current  expectations  include, but
are not limited to, changes in interest rates, economic conditions,  deposit and
loan growth,  real estate values,  loan loss provisions,  competition,  customer
retention,  changes  in  accounting  principles,   policies  or  guidelines  and
legislative and regulatory changes.

                                       i

<page>
<table>
<caption>

                                 PART I. FINANCIAL INFORMATION

Item 1.  Financial Statements

                         CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
                        MARCH 31, 2007 (UNAUDITED) AND DECEMBER 31, 2006
                                     (dollars in thousands)
                                                                    March 31,      December 31,
                                                                      2007            2006
                                                                  ------------    ------------

                                                                      <c>             <c>
ASSETS                                                            (unaudited)
------
Cash and due from banks                                           $     10,545    $     16,162
Federal funds sold                                                      34,186          21,634
                                                                  ------------    ------------
Cash and cash equivalents                                               44,731          37,796
Investment securities available-for-sale, at market value               94,529          95,735
Investment securities held-to-maturity (market value of $20,130
     (unaudited) and $20,454 at March 31, 2007 and December 31,
     2006, respectively)                                                20,449          20,820
Federal Reserve Bank Stock                                               1,952           1,952
Federal Home Loan Bank Stock                                               542             542
Loans held-for-sale                                                      1,925             242

Loans                                                                  318,984         315,322
     Less: Allowance for loan losses                                     3,447           3,229
                                                                  ------------    ------------
          Loans, net                                                   315,537         312,093

Accrued interest receivable                                              2,740           2,613
Premises and equipment                                                   5,185           5,357
Bank owned life insurance                                                3,476           3,447
Goodwill                                                                26,957          26,957
Core deposit intangible                                                  2,340           2,478
Due from broker                                                             --           3,527
Other assets                                                             2,081           2,740
                                                                  ------------    ------------
          Total assets                                            $    522,444    $    516,299
                                                                  ============    ============

LIABILITIES AND SHAREHOLDERS' EQUITY
------------------------------------

Deposits:
     Non-interest bearing                                         $     82,319    $     83,482
     Interest bearing                                                  344,567         343,795
                                                                  ------------    ------------
                                                                       426,886         427,277
Other borrowings                                                        23,373          17,099
Subordinated debentures                                                  5,155           5,155
Accrued expenses and other liabilities                                   1,469           1,273
                                                                  ------------    ------------
          Total liabilities                                            456,883         450,804
                                                                  ------------    ------------

Shareholders' equity:
Common stock, par value $0.01 per share. Authorized
     100,000,000 shares and issued and outstanding
     8,670,430 and 8,667,280 shares at March 31, 2007 and
     December 31, 2006, respectively                                        87              87
Additional paid-in capital                                              60,511          60,501
Accumulated other comprehensive loss                                       (91)         (1,409)
Retained earnings                                                        5,054           6,316
                                                                  ------------    ------------
          Total shareholders' equity                                    65,561          65,495
                                                                  ------------    ------------
          Total liabilities and shareholders' equity              $    522,444    $    516,299
                                                                  ============    ============

See accompanying notes to consolidated financial statements.

                                               1
</table>
<page>
<table>
<caption>

                             CONSOLIDATED STATEMENTS OF INCOME
                      FOR THE THREE MONTHS ENDED MARCH, 2007 AND 2006
                     (dollars in thousands, except per share amounts)

                                                                   Three months ended
                                                                        March 31,
                                                                   2007            2006
                                                                -----------    -----------

                                                                   <c>            <c>
                                                                        (unaudited)
Interest and dividend income:
     Interest and fees on loans                                 $     5,786    $     5,605
     Interest on securities available-for-sale                        1,041          1,156
     Interest on federal funds sold and due from banks                  335             48
     Interest on securities held-to-maturity                            236            255
                                                                -----------    -----------
          Total interest and dividend income                          7,398          7,064

Interest expense:
     Interest expense on deposits                                     3,103          2,097
     Interest expense on other borrowings                               159            603
     Interest expense on subordinated debentures                        109             99
                                                                -----------    -----------
          Total interest expense                                      3,371          2,799

                                                                -----------    -----------
          Net interest income                                         4,027          4,265
                                                                -----------    -----------

Provision for loan losses:                                              125             51
                                                                -----------    -----------
          Net interest income after provision for loan losses         3,902          4,214
                                                                -----------    -----------

Other income:
     Impairment on available-for-sale securities                     (1,957)            --
     Service charges on deposit accounts                                354            339
     Income on bank owned life insurance                                 29             29
     Gain on sale of loans held-for-sale                                  6            110
     Other service charges, commissions and fees                         --              2
                                                                -----------    -----------
          Total other (loss) income                                  (1,568)           480
                                                                -----------    -----------

Operating expenses:
     Salaries and employee benefits                                   1,819          1,882
     Net occupancy expenses                                             473            402
     Data processing fees                                               229            203
     Core deposit intangible amortization                               138            155
     Other operating expenses                                           992            899
                                                                -----------    -----------
          Total other expenses                                        3,651          3,541
                                                                -----------    -----------

(Loss) income before provision for income taxes                      (1,317)         1,153

Income tax (benefit) expense                                            (55)           428
                                                                -----------    -----------

          Net (loss) income                                     $    (1,262)   $       725
                                                                ===========    ===========

Basic (loss) earnings per share                                 $     (0.15)   $      0.08
                                                                ===========    ===========
Diluted (loss) earnings per share                               $     (0.15)   $      0.08
                                                                ===========    ===========

Average basic shares outstanding                                  8,668,330      8,610,316
                                                                ===========    ===========
Average diluted shares outstanding                                8,668,330      9,252,069
                                                                ===========    ===========

See accompanying notes to consolidated financial statements.

                                            2
</table>
<page>
<table>
<caption>

                                 CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY
                                     FOR THE THREE MONTHS ENDED MARCH 31, 2007 AND 2006
                                                   (dollars in thousands)


                                                                               Accumulated
                                                                Additional        other
                                                    Common        paid-in     comprehensive      Retained
                                                    stock         capital     (loss) income      earnings           Total
----------------------------------------------------------------------------------------------------------------------------

                                             <c>            <c>            <c>             <c>               <c>
Balance at December 31, 2005                     $         86   $     59,995   $     (2,153)   $      3,850      $   61,778
----------------------------------------------------------------------------------------------------------------------------
Comprehensive income:
Net income                                                 --             --             --             725             725
Unrealized loss on securities
   available-for-sale, net of tax of $88                   --             --           (145)             --            (145)
                                                                                                                 ----------
Total comprehensive income                                 --             --             --              --             580

Exercise of stock options - 51,073 shares                  --            365             --              --             365

----------------------------------------------------------------------------------------------------------------------------
Balance at March 31, 2006                        $         86   $     60,360   $     (2,298)   $      4,575      $   62,723
----------------------------------------------------------------------------------------------------------------------------

----------------------------------------------------------------------------------------------------------------------------
Balance at December 31, 2006                     $         87   $     60,501   $     (1,409)   $      6,316      $   65,495
----------------------------------------------------------------------------------------------------------------------------
Comprehensive income:
Net loss                                                   --             --             --          (1,262)         (1,262)
Unrealized loss on securities
   available-for-sale, net of tax of ($5)                  --             --              7              --               7
Impairment on securities
   available-for-sale, net of tax of ($646)                --             --          1,311              --           1,311
                                                                                                                 ----------
Total comprehensive income                                 --             --             --              --              56

Exercise of stock options - 3,150 shares                   --             10             --              --              10

----------------------------------------------------------------------------------------------------------------------------
Balance at March 31, 2007                        $         87   $     60,511   $        (91)   $      5,054      $   65,561
============================================================================================================================

See accompanying notes to consolidated financial statements.

                                                             3
</table>
<page>
<table>
<caption>

                                           CONSOLIDATED STATEMENTS OF CASH FLOWS
                                    FOR THE THREE MONTHS ENDED MARCH 31, 2007 AND 2006
                                                  (dollars in thousands)
                                                                                                      Three months ended
                                                                                                           March 31,
                                                                                                       2007        2006
                                                                                                     --------    --------
                                                                                                    (unaudited) (unaudited)

                                                                                                    <c>         <c>
Cash flows from operating activities:
     Net (loss) income                                                                               $ (1,262)   $    725
Adjustments to reconcile net (loss) income to net cash (used in) provided by operating activities:
    Increase in cash surrender value of life insurance                                                    (29)        (29)
    Deferred taxes                                                                                         44         219
    Tax benefit of stock option exercises                                                                  --        (102)
    Provision for loan losses                                                                             125          51
    Depreciation and amortization                                                                         194         221
    Net discount accretion on held-to-maturity securities                                                  (2)         (1)
    Net premium amortization on available-for-sale securities                                              32          45
    Core deposit intangible amortization                                                                  138         155
    Impairment on available-for-sale securities                                                         1,957          --
    Gain on the sale of loans held-for-sale                                                                (6)       (110)
    Originations of loans held-for-sale                                                                (5,147)     (9,799)
    Proceeds from the sale of loans held-for-sale                                                       3,470      11,120
    (Increase) decrease in accrued interest receivable                                                   (127)          5
    Increase  in other assets                                                                             (24)       (223)
    Increase (decrease) in accrued expenses and other liabilities                                         196        (348)
                                                                                                     --------    --------
         Net cash (used in) provided by operating activities                                             (441)      1,929
                                                                                                     --------    --------

Cash flows from investing activities:
     Maturities of and paydowns on investment securities held-to-maturity                                 373         471
     Maturities of and paydowns on investment securities available-for-sale                             1,174       2,511
     Decrease in due from broker                                                                        3,527          --
     Net increase in loans                                                                             (3,569)     (5,946)
     Purchases of premises and equipment, net                                                             (22)       (124)
                                                                                                     --------    --------
           Net cash provided by (used in) investment activities                                         1,483      (3,088)
                                                                                                     --------    --------

Cash flows from financing activities:
     Net proceeds from stock options exercised                                                             10         467
     Net decrease in non-interest bearing deposits                                                     (1,163)     (3,437)
     Net increase (decrease) in interest bearing deposits                                                 772     (10,565)
     Net increase in other borrowings                                                                   6,274      10,905
                                                                                                     --------    --------
           Net cash provided by (used in) financing activities                                          5,893      (2,630)
                                                                                                     --------    --------

            Increase (decrease) in cash and cash equivalents                                            6,935      (3,789)

Cash and cash equivalents at beginning of period                                                       37,796      21,228
                                                                                                     --------    --------
Cash and cash equivalents at end of period                                                           $ 44,731    $ 17,439
                                                                                                     ========    ========

Cash paid during the period for:
     Interest                                                                                        $  3,257    $  2,775
                                                                                                     ========    ========
     Income taxes                                                                                    $     --    $     --
                                                                                                     ========    ========

See accompanying notes to consolidated financial statements.

                                                            4
</table>
<page>

                      Central Jersey Bancorp and Subsidiary

              NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS
              ----------------------------------------------------

Note 1.  Basis of Presentation
------------------------------

The  accompanying   unaudited  consolidated  financial  statements  include  the
accounts of Central  Jersey  Bancorp and its  wholly-owned  subsidiary,  Central
Jersey Bank,  N.A., which are sometimes  collectively  referred to herein as the
"Company."

The interim  consolidated  financial statements reflect all normal and recurring
adjustments that are, in the opinion of management,  considered  necessary for a
fair  presentation of the financial  condition and results of operations for the
periods  presented.  The results of operations  for the three months ended March
31, 2007 are not necessarily indicative of the results of operations that may be
expected for all of 2007.

Certain  information  and  note  disclosures   normally  included  in  financial
statements  prepared  in  accordance  with U.S.  generally  accepted  accounting
principles  ("GAAP") have been  condensed or omitted,  pursuant to the rules and
regulations of the Securities and Exchange Commission.

The number of shares outstanding and earnings per share amounts set forth herein
for all periods  presented have been adjusted to reflect the 5% stock  dividend,
paid on July 1, 2006 for  shareholders  of record June on 15,  2006,  and the 5%
stock dividend, announced on April 30, 2007, for shareholders of record June 15,
2007.

These unaudited  consolidated financial statements should be read in conjunction
with the audited consolidated financial statements and notes thereto included in
Central Jersey  Bancorp's Annual Report on Form 10-K for the year ended December
31, 2006.

Certain  prior period  amounts have been  reclassified  to  correspond  with the
current period presentation.

Note 2.  Earnings Per Share
---------------------------

The following table reconciles shares outstanding for basic and diluted earnings
per share for the three months ended March 31, 2007 and 2006:

                                             Three months ended
                                                 March 31,
                                             2007        2006
                                           ---------------------
Average basic shares outstanding           8,668,330   8,610,316
Add effect of dilutive securities:
       Stock options                              --     641,753
                                           ---------------------
Average diluted shares outstanding         8,668,330   9,252,069
                                           ---------------------

For the three  months ended March 31,  2007,  the effect of dilutive  securities
related to the Company's Employee and Director Stock Option plan totaled 470,552
which, when added to the average basic shares  outstanding  totaling  8,668,330,
would have resulted in average diluted shares  outstanding  totaling  9,138,882.
However, in accordance with Statement of Financial Accounting

                                       5
<page>

                      Central Jersey Bancorp and Subsidiary

Standards  ("SFAS") No. 128,  Earnings Per Share, due to the Company reporting a
net loss for the three months ended March 31, 2007,  including  potential common
shares in the denominator of a diluted per-share  computation would result in an
antidilutive per-share amount.

Stock Appreciation Rights

On January 31, 2006,  the Company  granted under its 2005 Equity  Incentive Plan
165,375 Stock Appreciation Rights ("SARS") (93,713 were granted to employees and
71,662 were granted to directors), each with an exercise price of $9.87. Of this
amount, 5,510 SARS were subsequently  forfeited.  These SARS can only be settled
in cash. The SARS vest over a four year period and expire  February 1, 2016. The
fair  value  of  SARS  granted  was  estimated  on  March  31,  2007  using  the
Black-Scholes   option   pricing  model  with  the  following   weighted-average
assumptions used: stock price $9.53,  dividend yield of 0%; expected  volatility
of 41.17%;  risk free interest rate of 4.54%; and expected lives of seven years.
These SARS had a fair value of approximately  $4.73 per share at March 31, 2007.
The  Company  recorded  share based  payment  expense of  approximately  $92,000
(pre-tax)  related to the  granting of SARS during the three  months ended March
31,  2007.  As of March  31,  2007,  total  unvested  compensation  expense  was
approximately $664,000 (pre-tax) and will vest over 34 months.

A summary of the status of the  Company's  SARS for the three months ended March
31, 2007 is presented below:

                                          For the three months ended
                                               March 31, 2007
---------------------------------------------------------------------
                                                            Weighted
                                                            average
                                                            exercise
                                              SARS           price
---------------------------------------------------------------------

Outstanding at beginning of year             159,865      $      9.87

Granted                                           --               --

Forfeited                                         --               --

Exercised                                         --               --
=====================================================================

Outstanding at period end                    159,865      $      9.87
=====================================================================
                                              39,966      $      9.87
SARS exercisable at period end

Weighted average fair value of
     SARs granted                          $    4.73
=====================================================================

                                       6
<page>

                      Central Jersey Bancorp and Subsidiary

Stock Option Plan

In 2000,  the Company  established  its Employee and Director  Stock Option Plan
(the "Plan").  The Plan currently  provides for the granting of stock options to
purchase in aggregate  up to 1,458,605  shares of the  Company's  common  stock,
subject to adjustment for certain  dilutive events such as stock  distributions.
During the three  months ended March 31, 2007,  no options  were  granted.  As a
result of the January 1, 2005  combination  with  Allaire  Community  Bank,  all
outstanding  options  granted under the Plan became fully  vested.  In addition,
options to purchase  763,551 shares of Allaire  Community Bank common stock were
converted  into options to purchase  763,551  shares of Central  Jersey  Bancorp
common stock, all of which are fully vested.

A summary of the status of the  Company's  stock options as of and for the three
months ended March 31, 2007 is presented below:

                                           For the three months ended
                                                March 31, 2007
---------------------------------------------------------------------
                                                            Weighted
                                                             average
                                                            exercise
                                               Shares         price
---------------------------------------------------------------------

Outstanding at beginning of year              1,429,800    $     4.93

Granted                                              --            --

Forfeited                                            --            --

Exercised                                        (3,150)         3.11
=====================================================================
Outstanding at period end                     1,426,650    $     4.94
=====================================================================

Options exercisable at period end             1,426,650    $     4.94

Weighted average fair value of
     options granted                                           n/a(1)
=====================================================================

-------------------------
(1) No stock options were granted in 2007.

                                       7
<page>

                      Central Jersey Bancorp and Subsidiary


Note 3.  Loans Receivable, Net and Loans Held-for-Sale
------------------------------------------------------

Loans receivable net and loans held-for-sale, at March 31, 2007 and December 31,
2006, consisted of the following (in thousands):

                                                      March 31,     December 31,
Loan Type                                                2007           2006
---------                                            ------------   ------------

Real estate loans - commercial                       $    242,614   $    237,015
Home equity and second mortgages                           37,112         35,573
Commercial and industrial loans                            32,049         35,476
1-4 family real estate loans                                4,005          4,182
Consumer loans                                              3,016          2,857
                                                     ------------   ------------

     Subtotal                                        $    318,796   $    315,103
Less:
Net deferred fees                                             188            219
     Allowance for loan losses                              3,447          3,229
                                                     ------------   ------------
          Net loans                                  $    315,537   $    312,093
                                                     ============   ============

Loans held-for-sale                                  $      1,925   $        242
                                                     ============   ============

Non-Performing Loans

Loans  are  considered  to be  non-performing  if they (a) are on a  non-accrual
basis, (b) are past due ninety days or more and still accruing interest,  or (c)
have been renegotiated to provide a reduction or deferral of interest because of
a weakening in the financial  position of the borrowers.  A loan,  which is past
due ninety days or more and still accruing  interest,  remains on accrual status
only when it is both adequately secured as to principal and is in the process of
collection.  Central Jersey Bancorp had  non-accrual  loans totaling  $90,000 at
March 31, 2007, as compared to $91,000 at December 31, 2006.

There were no loan  charge-offs and $93,000 in loan loss  recoveries  during the
three  months ended March 31, 2007,  as compared to no loan  charge-offs  and no
loan loss recoveries for the same prior year period.

                                       8
<page>

                      Central Jersey Bancorp and Subsidiary

Note 4.  Deposits
-----------------

The major  types of deposits  at March 31,  2007 and  December  31, 2006 were as
follows (in thousands):

                                                       March 31,    December 31,
Deposit Type                                             2007           2006
------------                                         ------------   ------------

Demand deposits, non-interest bearing                $     82,319   $     83,482
Savings, N.O.W. and money market accounts                 194,556        202,650
Certificates of deposit of less than $100,000              81,972         75,842
Certificates of deposit of $100,000 or more                68,039         65,303
                                                     ------------   ------------

     Total                                           $    426,886   $    427,277
                                                     ============   ============

Note 5.  Subordinated Debentures
--------------------------------

In March 2004, MCBK Capital Trust I, a special purpose business trust of Central
Jersey  Bancorp,  issued  an  aggregate  of  $5.0  million  of  trust  preferred
securities to ALESCO Preferred Funding III, a pooled investment vehicle. Sandler
O'Neill  &  Partners,  L.P.  acted as  placement  agent in  connection  with the
offering  of the  trust  preferred  securities.  The  securities  issued by MCBK
Capital Trust I are fully  guaranteed by Central  Jersey Bancorp with respect to
distributions  and amounts  payable upon  liquidation,  redemption or repayment.
These  securities have a floating  interest rate equal to the three-month  LIBOR
plus 285 basis points, which resets quarterly. The securities mature on April 7,
2034 and may be called at par by Central  Jersey Bancorp any time after April 7,
2009.  These  securities  were  placed  in a  private  transaction  exempt  from
registration under the Securities Act of 1933, as amended.

The entire proceeds to MCBK Capital Trust I from the sale of the trust preferred
securities  were used by MCBK Capital  Trust I in order to purchase $5.1 million
of  subordinated  debentures  from  Central  Jersey  Bancorp.  The  subordinated
debentures  bear a variable  interest rate equal to LIBOR plus 285 basis points.
Although  the  subordinated  debentures  are  treated as debt of Central  Jersey
Bancorp,  they currently qualify as Tier I Capital  investments,  subject to the
25% limitation under risk-based capital  guidelines of the Federal Reserve.  The
portion of the trust preferred securities that exceeds this limitation qualifies
as Tier II Capital of Central Jersey Bancorp. At March 31, 2007, $5.0 million of
the trust  preferred  securities  qualified  for  treatment  as Tier I  Capital.
Central Jersey  Bancorp is using the proceeds it received from the  subordinated
debentures to support the general balance sheet growth of Central Jersey Bancorp
and to help ensure  that  Central  Jersey  Bank,  N.A.  maintains  the  required
regulatory capital ratios.

On March 1, 2005,  the  Federal  Reserve  adopted a final  rule that  allows the
continued inclusion of outstanding and prospective  issuances of trust preferred
securities in the Tier I Capital of bank holding companies,  subject to stricter
quantitative  limits and  qualitative  standards.  The new  quantitative  limits
become  effective  after a five-year  transition  period  ending March 31, 2009.
Under the final rules,  trust  preferred  securities and other  restricted  core
capital  elements  are limited to 25% of all core capital  elements.  Amounts of
restricted  core  capital  elements in excess of these limits may be included in
Tier II Capital.  At March 31, 2007, the only  restricted  core capital  element
owned by Central Jersey Bancorp is trust  preferred  securities.  Central Jersey
Bancorp  believes  that its trust  preferred  issues  qualify as Tier I Capital.
However, in the

                                       9
<page>

                      Central Jersey Bancorp and Subsidiary

event that the trust preferred issues do not qualify as Tier I Capital,  Central
Jersey Bank, N.A. would remain well capitalized.

Note 6.  Other-Than-Temporary Impairment
----------------------------------------

Central  Jersey  Bancorp has  initiated a balance sheet  restructuring  strategy
involving  approximately  $88.6  million of  investment  securities  held in the
available-for-sale  investment  portfolio  in  accordance  with  SFAS No.  115 -
Accounting  for  Certain   Investments  in  Debt  and  Equity  Securities.   The
restructuring  resulted in a one-time pre-tax impairment charge of approximately
$1.96  million,  which is reflected  in Central  Jersey  Bancorp's  consolidated
financial   statements   for  the   three   months   ended   March   31,   2007.
Available-for-sale investment securities, consisting primarily of lower yielding
fixed rate callable agency investment  securities will be sold during the second
quarter of 2007 and replaced with higher yielding  investment  securities with a
comparable to modestly shorter aggregate weighted average life. The market value
loss that these investment securities carried at March 31, 2007, was recorded as
an other-than-temporary impairment since Central Jersey Bancorp did not have the
intent to hold these  securities  to recovery.  The  investment  securities  the
Company  identified as impaired were primarily fixed rate  government  sponsored
agency  bonds that either had a below  market  interest  rate coupon or a longer
than desired maturity term.

Note 7.  Income Taxes
---------------------

The Company recorded an income tax benefit of $55,000 for the three months ended
March 31, 2007 on a loss before  income taxes of $1.3  million,  resulting in an
effective  tax  benefit  rate of  (4.18%),  as compared to income tax expense of
$428,000  on income  before  taxes of $1.2  million for the same period in 2006,
resulting in an effective tax rate of 37.12%. The income tax benefit recorded by
the Company for the three  months  ended March 31, 2007  resulted  from the $1.3
million loss realized by the Company during this period.  The loss is due to the
overall  decrease in the taxable  income of the Company as well as the fact that
the majority of the  investment  securities  for which the  previously-mentioned
other-than-temporary impairment was recorded are held by CJB Investment Company,
a  wholly-owned  subsidiary  of  Central  Jersey  Bank,  N.A.  A full  valuation
allowance has been recorded for the impairment of the  investment  securities to
be sold by CJB Investment Company.  The impairment of the investment  securities
at the  investment  company  level is considered a capital loss for tax purposes
while the impairment of the investment  securities  held by Central Jersey Bank,
N.A. is considered an ordinary loss for tax  purposes.  CJB  Investment  Company
does not, at this time,  have the ability to generate  capital gains and utilize
the capital  losses and thus a full  valuation  allowance  is  required  for the
investment  company  available-for-sale  securities  which  were  identified  as
other-than-temporarily impaired.

Note 8. Recent Accounting Pronouncements
----------------------------------------

In March 2006, the Financial Accounting Standards Board ("FASB") issued SFAS No.
156, Accounting for Servicing of Financial Assets. Prior thereto,  SFAS No. 140,
Accounting for Transfers and Servicing of Financial  Assets and  Extinguishments
of  Liabilities,  established,  among  other  things,  the  accounting  for  all
separately recognized servicing assets and servicing  liabilities.  SFAS No. 156
amends SFAS No. 140 to require that all separately  recognized  servicing assets
and servicing  liabilities be initially  measured at fair value, if practicable.
SFAS No. 156  permits,  but does not  require,  the  subsequent  measurement  of
separately  recognized servicing assets and servicing liabilities at fair value.
Under SFAS No. 156, an entity can elect

                                       10
<page>

                      Central Jersey Bancorp and Subsidiary

subsequent  fair value  measurement  to account  for its  separately  recognized
servicing assets and servicing  liabilities.  By electing that option, an entity
may  simplify  its  accounting  because  SFAS No. 156 permits  income  statement
recognition of the potential offsetting changes in fair value of those servicing
assets  and  servicing  liabilities  and  derivative  instruments  in  the  same
accounting period.  SFAS No. 156 is effective in the first fiscal year beginning
after  September  15,  2006 with  earlier  adoption  permitted.  Central  Jersey
Bancorp's  adoption  of SFAS No.  156 on January 1, 2007 did not have a material
impact on its consolidated financial statements.

In July  2006,  the FASB  issued  FASB  Interpretation  No. 48,  Accounting  for
Uncertainty  in Income  Taxes  ("FIN  48").  FIN 48  establishes  a  recognition
threshold and measurement for income tax positions recognized in an enterprise's
financial  statements in  accordance  with SFAS No. 109,  Accounting  for Income
Taxes. FIN 48 also prescribes a two-step  evaluation  process for tax positions.
The first step is recognition and the second is measurement. For recognition, an
enterprise judgmentally determines whether it is more-likely-than-not that a tax
position will be sustained  upon  examination,  including  resolution of related
appeals or litigation processes,  based on the technical merits of the position.
If the tax position meets the  more-likely-than-not  recognition threshold it is
measured and recognized in the financial statements as the largest amount of tax
benefit  that is greater  than 50% likely of being  realized.  If a tax position
does not meet the  more-likely-than-not  recognition  threshold,  the benefit of
that position is not recognized in the financial statements.

Tax positions that meet the  more-likely-than-not  recognition  threshold at the
effective date of FIN 48 may be recognized,  or continue to be recognized,  upon
adoption  of  this  Interpretation.   The  cumulative  effect  of  applying  the
provisions of FIN 48 shall be reported as an  adjustment to the opening  balance
of retained  earnings for that fiscal year. FIN 48 is effective for fiscal years
beginning after December 15, 2006.  Central Jersey Bancorp's  adoption of FIN 48
on January 1, 2007 did not have a material impact on its consolidated  financial
statements.

In September 2006, the FASB issued SFAS No. 157, Fair Value  Measurements.  This
Statement  defines fair value,  establishes a framework for measuring fair value
in GAAP, and enhances disclosures about fair value measurements.  This Statement
applies when other accounting pronouncements require fair value measurements; it
does not require new fair value  measurements.  This  Statement is effective for
financial  statements issued for fiscal years beginning after November 15, 2007,
and interim  periods  within those years.  Earlier  application  is  encouraged,
provided the entity has not yet issued financial statements, including financial
statements for any interim  period for that fiscal year.  Central Jersey Bancorp
does not expect the  adoption  of SFAS No. 157 to have a material  impact on its
consolidated financial statements.

In September 2006, the Emerging Issues Task Force ("EITF") of the FASB discussed
public comments received on two issues: (1) EITF Issue No. 06-4,  Accounting for
Deferred  Compensation  and  Post-Retirement   Benefit  Aspects  of  Endorsement
Split-Dollar Life Insurance  Arrangements,  and (2) EITF Issue 06-5,  Accounting
for Purchases of Life Insurance -- Determining the Amount that could be Realized
in Accordance  with FASB Technical  Bulletin 85-4  (Accounting  for Purchases of
Life Insurance). On September 7, the EITF agreed to clarify certain points based
on  public  comments.  The EITF  reached a  consensus  that an  employer  should
recognize  a  liability  for  future  benefits  under SFAS No.  106,  Employers'
Accounting for Postretirement  Benefits Other Than Pensions,  or APB Opinion No.
12,  Omnibus  Opinion - 1967,  for an  endorsement  split-dollar  life insurance
arrangement subject to the EITF Issue No. 06-4. This liability is to be based on
the  substantive  agreement  with the  employee.  The

                                       11
<page>

                      Central Jersey Bancorp and Subsidiary

consensus is effective for fiscal years beginning after December 15, 2007. Early
adoption is permitted as of the beginning of an entity's  fiscal year.  Entities
should recognize the effects of applying the consensus on this issue as a change
in  accounting  principle  through a  cumulative-effect  adjustment  to retained
earnings  or to other  components  of equity or net assets in the  statement  of
financial  position as of the  beginning of the year of adoption.  Retrospective
application  to all prior  periods  is  permitted.  Central  Jersey  Bancorp  is
evaluating  the impact of  adoption of EITF 06-4 on its  consolidated  financial
statements.

In  February  2007,  the FASB issued  SFAS No.  159,  The Fair Value  Option for
Financial Assets and Financial Liabilities. Under this Statement, Central Jersey
Bancorp may elect to report  financial  instruments  and certain  other items at
fair value on a  contract-by-contract  basis with  changes in value  reported in
earnings. This election is irrevocable.  SFAS No. 159 provides an opportunity to
mitigate  volatility  in reported  earnings  that is caused by measuring  hedged
assets  and  liabilities  that  were  previously  required  to  use a  different
accounting method than the related hedging contracts when the complex provisions
of SFAS No. 133,  Accounting for Derivative  Instruments and Hedging Activities,
are not met.

SFAS No. 159 is effective for years  beginning  after  November 15, 2007.  Early
adoption by Central  Jersey Bancorp within 120 days of the beginning of its 2007
fiscal year is permissible,  provided  Central Jersey Bancorp has not yet issued
interim  financial  statements for 2007 and has adopted SFAS No. 157. If Central
Jersey  Bancorp  does not  elect  early  adoption  of SFAS No.  159,  it will be
required  to adopt the  provisions  of SFAS No. 159,  as  applicable,  beginning
January 1, 2008. Central Jersey Bancorp is evaluating the impact of the adoption
of SFAS No. 159 on its consolidated financial statements.


                                       12
<page>

Item 2.  Management's Discussion and Analysis of Financial Condition and Results
         -----------------------------------------------------------------------
         of Operations
         -------------

General

The following  discussion and analysis is intended to provide  information about
the Company's financial condition as of March 31, 2007 and results of operations
for the three months ended March 31, 2007 and 2006.  The  following  information
should  be  read  in  conjunction  with  the  Company's  unaudited  consolidated
financial  statements  for the  three  months  ended  March  31,  2007 and 2006,
including the related notes thereto, contained elsewhere in this document.

Critical Accounting Policies

"Management's  Discussion  and  Analysis of Financial  Condition  and Results of
Operations," as well as disclosures  found elsewhere in this quarterly report on
Form  10-Q,  are  based  upon the  Company's  unaudited  consolidated  financial
statements, which have been prepared in accordance with GAAP. The preparation of
these consolidated  financial  statements requires the Company to make estimates
and judgments that affect the reported amounts of assets, liabilities,  revenues
and expenses.  Note 1 to Central Jersey Bancorp's audited consolidated financial
statements  for the year ended  December 31, 2006,  included with Central Jersey
Bancorp's  annual  report on Form 10-K for the year  ended  December  31,  2006,
contains a summary of the Company's significant accounting policies.  Management
believes  the  Company's   policy  with  respect  to  the  methodology  for  the
determination  of the allowance for loan losses and the impairment of investment
securities requires  management to make difficult and subjective  judgments that
often require assumptions or estimates about uncertain matters. Changes in these
judgments,   assumptions  or  estimates  could  materially   impact  results  of
operations.  This critical policy and its application are periodically  reviewed
with the Company's Audit Committee and its Board of Directors.

For purposes of reporting cash flows, cash and cash equivalents  include cash on
hand,  amounts due from banks and overnight  federal  funds sold.  Federal funds
sold are generally sold for one-day periods.

Investment securities held-to-maturity are comprised of debt securities that the
Company has the positive intent and ability to hold to maturity. Such securities
are stated at cost,  adjusted  for  amortization  of premiums  and  accretion of
discounts over the estimated  remaining lives of the securities as an adjustment
to the yield using the level-yield  method.  On a quarterly  basis,  the Company
evaluates investment securities for other than temporary impairment.

Securities  to be held for  indefinite  periods of time and not  intended  to be
held-to-maturity,   including   all  equity   securities,   are   classified  as
available-for-sale.   Securities   available-for-sale  include  securities  that
management intends to use as part of its asset/liability management strategy and
that may be sold in response to changes in interest rates,  resultant prepayment
risk and other factors  related to interest rate and resultant  prepayment  risk
changes.  Securities  available-for-sale  are carried at  estimated  fair value.
Unrealized  holding gains and losses on such securities  available-for-sale  are
excluded  from  earnings and reported as a separate  component of  shareholders'
equity.  Gains and  losses  on sales of  securities  are  based on the  specific
identification method and are accounted for on a trade date basis.

On  a  quarterly  basis,  the  Company  evaluates   investment   securities  for
other-than-temporary

                                       13
<page>

impairment.   For  individual   investment   securities   classified  as  either
available-for-sale or held-to-maturity,  a determination is made as to whether a
decline in fair value below the amortized cost basis is other than temporary. If
the decline in fair value is judged to be other than  temporary,  the cost basis
of the individual  investment  security shall be written down to fair value as a
new cost basis and the amount of the  write-down  shall be  included in earnings
(that is,  accounted  for as a realized  loss).  The new cost basis shall not be
changed for  subsequent  recoveries in fair value.  Subsequent  increases in the
fair value of  available-for-sale  securities  shall be  included  as a separate
component  of  equity;   subsequent   decreases   in  fair  value,   if  not  an
other-than-temporary  impairment, also shall be included as a separate component
of equity.

Loans are stated at unpaid principal balances, less unearned income and deferred
loan fees and costs.

Interest on loans is  credited to  operations  based upon the  principal  amount
outstanding.

Loan origination and commitment fees and certain direct loan  origination  costs
are deferred,  and the net amount is amortized  over the  estimated  life of the
loan as an adjustment to the loan's yield using the level-yield method.

A loan is considered  impaired when, based on current information and events, it
is probable that the Company will be unable to collect all amounts due according
to the  contractual  terms of the loan  agreement.  Impaired  loans are measured
based on the  present  value of expected  future cash flows,  or, as a practical
expedient,  at the  loan's  observable  market  price,  or the fair value of the
underlying  collateral,   if  the  loan  is  collateral  dependent.   Conforming
residential  mortgage  loans,  home  equity and second  mortgages,  and loans to
individuals  are  excluded  from the  definition  of impaired  loans as they are
characterized  as  smaller  balance,  homogeneous  loans  and  are  collectively
evaluated.

The  accrual  of  income  on  loans,  including  impaired  loans,  is  generally
discontinued  when a  loan  becomes  more  than  ninety  days  delinquent  as to
principal or interest or when other  circumstances  indicate that  collection is
questionable,  unless the loan is well secured and in the process of collection.
Income on non-accrual loans, including impaired loans, is recognized only in the
period in which it is collected, and only if management determines that the loan
principal is fully  collectible.  Loans are returned to an accrual status when a
loan is brought  current as to principal  and  interest  and reasons  indicating
doubtful collection no longer exists.

A loan is considered past due when a payment has not been received in accordance
with  the  contractual  terms.   Generally,   commercial  loans  are  placed  on
non-accrual  status when they are 90 days past due unless they are well  secured
and in the process of  collection  or,  regardless of the past due status of the
loan,  when management  determines  that the complete  recovery of principal and
interest  is in doubt.  Commercial  loans  are  generally  charged  off after an
analysis is completed which indicates that  collectibility of the full principal
balance is in doubt.  Consumer loans are generally charged off after they become
120 days past due.  Mortgage  loans are not  generally  placed on a  non-accrual
status unless the value of the real estate has  deteriorated to the point that a
potential loss of principal or interest exists. Subsequent payments are credited
to income only if  collection  of  principal is not in doubt.  If principal  and
interest payments are brought contractually current and future collectibility is
reasonably  assured,  loans are returned to accrual  status.  Mortgage loans are
generally charged off when the value of the underlying collateral does not cover
the outstanding  principal  balance.  Loan  origination and commitment fees less
certain costs

                                       14
<page>

are deferred and the net amount amortized as an adjustment to the related loan's
yield. Loans held-for-sale are recorded at the lower of aggregate cost or market
value.

The  allowance  for loan  losses is based upon  management's  evaluation  of the
adequacy of the  allowance,  including an assessment  of: (a) known and inherent
risks in the loan portfolio, (b) the size and composition of the loan portfolio,
(c)  actual  loan  loss  experience,  (d) the  level of  delinquencies,  (e) the
individual  loans for which  full  collectibility  may not be  assured,  (f) the
existence and estimated net realizable  value of any  underlying  collateral and
guarantees  securing  the  loans,  and  (g)  the  current  economic  and  market
conditions.  Although management uses the best information available,  the level
of the  allowance  for loan  losses  remains  an  estimate  that is  subject  to
significant judgment and short-term change.  Various regulatory agencies,  as an
integral part of their examination  process,  periodically  review the Company's
allowance  for loan  losses.  Such  agencies  may  require  the  Company to make
additional  provisions for loan losses based upon information  available to them
at the time of their  examination.  Furthermore,  the majority of the  Company's
loans are secured by real estate in the State of New  Jersey.  Accordingly,  the
collectibility  of a substantial  portion of the carrying value of the Company's
loan portfolio is  susceptible to changes in local market  conditions and may be
adversely  affected  should real estate values decline or the Central New Jersey
area experience an adverse economic climate. Future adjustments to the allowance
for loan losses may be necessary  due to  economic,  operating,  regulatory  and
other  conditions  beyond the Company's  control.  Management  believes that the
allowance for loan losses is adequate.

Income taxes are  accounted for under the asset and  liability  method.  Current
income  taxes are  provided  for based upon  amounts  estimated  to be currently
payable, for both federal and state income taxes. Deferred federal and state tax
assets and liabilities  are recognized for the expected future tax  consequences
of existing  differences  between financial  statement and tax basis of existing
assets and liabilities. Deferred tax assets are recognized for future deductible
temporary  differences  and tax  loss  carryforwards  if  their  realization  is
"more-likely-than-not." The effect of a change in the tax rate on deferred taxes
is recognized in the period of the enactment date.

Comprehensive  income is  segregated  into net  income  and other  comprehensive
income.  Other comprehensive  income includes items previously recorded directly
to equity, such as unrealized gains and losses on securities available-for-sale.
Comprehensive  income is presented in the Statements of Changes in Shareholders'
Equity.

The  Company's  operations  are solely in the  financial  services  industry and
include  providing  to its  customers  traditional  banking and other  financial
services.  The Company operates primarily in the geographical  region of Central
New Jersey.  Management makes operating decisions and assesses performance based
on an ongoing review of the Company's consolidated financial results. Therefore,
the Company has a single operating segment for financial reporting purposes.

Intangible  assets  of the  Company,  consists  of  goodwill  and  core  deposit
premiums.  Goodwill  represents  the  excess  of the  purchase  price  over  the
estimated  fair value of  identifiable  net  assets  acquired  through  purchase
acquisitions.  In  accordance  with SFAS No. 142,  goodwill  with an  indefinite
useful life is not  amortized,  but is  evaluated  for  impairment  on an annual
basis.

Core deposit premiums represent the intangible value of depositor  relationships
assumed in purchase  acquisitions and are amortized on an accelerated basis over
a period of ten years.  The amortization of the core deposit premium is recorded
in other operating expenses.

                                       15
<page>

Long-lived assets including  goodwill and certain  identifiable  intangibles are
periodically  evaluated for impairment in value.  Long-lived assets and deferred
costs are typically measured whenever events or circumstances  indicate that the
carrying amount may not be recoverable.  No such events have occurred during the
periods reported.  Certain  identifiable  intangibles and goodwill are evaluated
for impairment at least annually  utilizing the "market  approach" as prescribed
by SFAS No. 142,  Goodwill and Other  Intangible  Assets.  Asset  impairment  is
recorded when required.

Overview

Central  Jersey  Bancorp has  initiated a balance sheet  restructuring  strategy
involving  approximately  $88.6  million of  investment  securities  held in the
available-for-sale  investment  portfolio  in  accordance  with  SFAS No.  115 -
Accounting  for  Certain   Investments  in  Debt  and  Equity  Securities.   The
restructuring  resulted in a one-time pre-tax impairment charge of approximately
$1.96  million,  which is reflected  in Central  Jersey  Bancorp's  consolidated
financial   statements   for  the   three   months   ended   March   31,   2007.
Available-for-sale investment securities, consisting primarily of lower yielding
fixed rate callable agency investment  securities will be sold during the second
quarter of 2007 and replaced with higher yielding  investment  securities with a
comparable to modestly shorter aggregate weighted average life. The market value
loss that these investment securities carried at March 31, 2007, was recorded as
an other-than-temporary impairment since Central Jersey Bancorp did not have the
intent to hold these  securities  to recovery.  The  investment  securities  the
Company  identified as impaired were primarily fixed rate  government  sponsored
agency  bonds that either had a below  market  interest  rate coupon or a longer
than desired maturity term.

As a result of the  previously-mentioned  balance sheet  restructuring,  Central
Jersey  Bancorp  reported a net loss of $1.3  million for the three months ended
March 31,  2007,  as compared  to net income of $725,000  for the same period in
2006. Basic and diluted loss per share for the three months ended March 31, 2007
were each ($0.15), as compared to basic and diluted earnings per share that were
each $0.08 for the same period in 2006. Per share earnings have been adjusted in
all periods to reflect the 5% stock  dividend  paid on July 1, 2006,  and the 5%
stock dividend, announced on April 30, 2007, for shareholders of record June 15,
2007.

The Company recorded an income tax benefit of $55,000 for the three months ended
March 31, 2007 on a loss before  income taxes of $1.3  million,  resulting in an
effective  tax  benefit  rate of  (4.18%),  as compared to income tax expense of
$428,000  on income  before  taxes of $1.2  million for the same period in 2006,
resulting in an effective tax rate of 37.12%. The income tax benefit recorded by
the Company for the three months ended March 31, 2007, is a result from the $1.3
million loss realized by the Company during this period.  The loss is due to the
overall  decrease in the taxable  income of the Company as well as the fact that
the majority of the  investment  securities  for which the  previously-mentioned
other-than-temporary impairment was recorded are held by CJB Investment Company,
a  wholly-owned  subsidiary  of  Central  Jersey  Bank,  N.A.  A full  valuation
allowance  has been recorded for the  impairment of investment  securities to be
sold by CJB Investment Company.  The impairment of the investment  securities at
the  investment  company level are  considered  capital  losses for tax purposes
while the impairment of the investment  securities  held by Central Jersey Bank,
N.A. are considered  ordinary  losses for tax purposes.  CJB Investment  Company
does not, at this time,  have the ability to generate  capital gains and utilize
the capital losses and thus a full valuation allowance is required for the

                                       16
<page>

investment  company  available-for-sale  securities  which  were  identified  as
other-than-temporarily  impaired.

Total  assets of $522.4  million at March 31, 2007 were  comprised  primarily of
$115.0  million in  investment  securities,  $315.5  million in net loans,  $1.9
million in loans  held-for-sale  and $44.7 million in cash and cash equivalents,
as  compared  to total  assets of $516.3  million at December  31,  2006,  which
primarily consisted of $116.6 million in investment  securities,  $312.1 million
in net loans,  $242,000 in residential loans  held-for-sale and $37.8 million in
cash and cash equivalents.  Total assets at March 31, 2007 were funded primarily
through  deposits  totaling $426.9 million and other  borrowings  totaling $23.4
million,  as compared  to $427.3  million and $17.1  million,  respectively,  at
December 31, 2006.

At March 31, 2007,  non-accrual  loans totaled $90,000 as compared to $91,000 at
December 31, 2006. There were no loan charge-offs  during the three months ended
March 31, 2007 and 2006.  Recoveries  totaled  $93,000  during the three  months
ended  March 31,  2007,  as compared  to no  recoveries  for the same prior year
period.

Results of Operations

General

Central Jersey  Bancorp's  principal  source of revenue is derived from its bank
subsidiary's  net interest  income,  which is the  difference  between  interest
income on earning  assets and interest  expense on deposits and borrowed  funds.
Interest-earning  assets consist principally of loans, investment securities and
federal funds sold, while the sources used to fund such assets consist primarily
of deposits.  Central  Jersey  Bancorp's net income is also affected by its bank
subsidiary's  provision  for loan  losses,  other-than-temporary  impairment  of
investment  securities,  other income and other expenses.  Other income consists
primarily  of service  charges and fees.  Other  expenses  consist  primarily of
salaries and employee  benefits,  occupancy  costs and other  operating  related
expenses.

For the three months ended March 31, 2007 and 2006

Net Interest Income

Net interest  income was $4.0 million for the three months ended March 31, 2007,
as compared to $4.3 million for the same period in 2006. Net interest income for
the three months ended March 31, 2007 was comprised primarily of $5.8 million of
interest and fees on loans, $1.3 million of interest on securities, and $335,000
of interest on federal funds sold and due from banks,  less interest  expense on
deposits of $3.1  million,  interest  expense on borrowed  funds of $159,000 and
interest  expense on  subordinated  debentures  of  $109,000.  The  average  net
interest  margin for the three months ended March 31, 2007 was 3.48% as compared
to 3.69% for the same period in 2006.

Interest and  dividend  income was $7.4 million for the three months ended March
31,  2007,  as  compared  to $7.1  million  for the same  period  in 2006.  This
represents  an increase of  $300,000,  or 4.2%,  which is due  primarily  to the
general increase in interest rates and commercial loan growth. The average yield
on  interest-earning  assets increased to 6.41% for the three months ended March
31,  2007,  as  compared  to  6.16%  for  the  same  period  in  2006.   Average
interest-earning  assets,  which  were 90.6% of average  total  assets,  totaled
$462.3  million for the three months ended March

                                       17
<page>

31,  2007,  and were  comprised  primarily  of $317.9  million in loans,  $117.9
million in investment  securities,  $22.9 million in federal funds sold and $3.6
million in other interest bearing deposits.

Interest  expense was $3.4 million for the three months ended March 31, 2007, as
compared  to $2.8  million  for the same  period  in 2006.  This  represents  an
increase of $600,000,  or 21.4%.  The increase was due  primarily to the cost of
interest bearing liabilities which increased to an average cost of 3.73% for the
three  months  ended March 31,  2007 from an average  cost of 3.03% for the same
period in 2006. Average interest-bearing deposits totaled $337.7 million for the
three months ended March 31,  2007,  as compared to $308.1  million for the same
period in 2006,  an increase of 9.6%,  and were  comprised of $120.4  million in
interest-bearing  checking and money market  deposits,  $72.9 million in savings
deposits and $144.4 million in time deposits.  Interest expense  associated with
borrowings  and   subordinated   debentures   totaled   $159,000  and  $109,000,
respectively, for the three months ended March 31, 2007, as compared to $603,000
and $99,000, respectively, for the same period in 2006. Borrowings for the three
months ended March 31, 2007 averaged $17.3 million, as compared to $53.5 million
for the same period in 2006.

Provision for Loan Losses

For the three  months ended March 31, 2007,  the  provision  for loan losses was
$125,000,  as compared to $51,000 for the same period in 2006.  The  increase is
due primarily to the growth of the loan portfolio  during the three months ended
March 31, 2007 and additional  loan loss reserves  recorded in conjunction  with
the downgrade in risk rating on certain  commercial  loans.  Recoveries  totaled
$93,000  during  the three  months  ended  March 31,  2007,  as  compared  to no
recoveries for the same prior year period.

Non-Interest Income

Non-interest  income,  which  consists of service  charges on deposit  accounts,
income  from  bank  owned  life  insurance,  fees  from  the gain on the sale of
residential  mortgages  and  the  impairment  on  available-for-sale  investment
securities,  was a loss of $1.6  million  for the three  months  ended March 31,
2007,  as compared to income of $480,000,  for the same prior year  period.  The
non-interest  income loss for the three months ended March 31, 2007, is directly
related to the previously-disclosed $1.96 million, pre-tax, other than temporary
impairment recorded in conjunction with the one-time balance sheet restructuring
charge.

Non-Interest Expense

Non-interest expense was $3.6 million for the three months ended March 31, 2007,
as compared to $3.5  million for the same period in 2006.  Non-interest  expense
generally  includes  costs  associated  with  employee  salaries  and  benefits,
occupancy expenses,  data processing fees, professional fees and other operating
expenses.


                                       18
<page>

The table below present's non-interest expense, by major category, for the three
months ended March 31, 2007 and 2006 (in thousands):

                                      Three months ended
                                          March 31,
Non-Interest Expense                    2007     2006
--------------------                   ------   ------

Salaries and employee benefits         $1,819   $1,882
Net occupancy expenses                    473      402
Data processing fees                      229      203
Outside service fees                      202      209
Core deposit intangible amortization      138      155
Audit and tax fees                        115       63
Legal fees and expenses                   113       21
Printing, stationery, and supplies         62       53
Advertising and marketing expenses         36       50
Other operating expenses                  464      503
                                       ------   ------
      Total                            $3,651   $3,541
                                       ======   ======

Income Tax (Benefit) Expense

The Company recorded an income tax benefit of $55,000 for the three months ended
March 31, 2007 on a loss before  income taxes of $1.3  million,  resulting in an
effective  tax  benefit  rate of  (4.18%),  as compared to income tax expense of
$428,000  on income  before  taxes of $1.2  million for the same period in 2006,
resulting in an effective tax rate of 37.12%. The income tax benefit recorded by
the Company for the three  months  ended March 31, 2007  resulted  from the $1.3
million loss realized by the Company during this period.  The loss is due to the
overall  decrease in the taxable  income of the Company as well as the fact that
the majority of the  investment  securities  for which the  previously-mentioned
other-than-temporary impairment was recorded are held by CJB Investment Company,
a  wholly-owned  subsidiary  of  Central  Jersey  Bank,  N.A.  A full  valuation
allowance has been recorded for the impairment of the  investment  securities to
be sold by CJB Investment  Company.  The impairment of investment  securities at
the investment company level is considered a capital loss for tax purposes while
the impairment of investment  securities  held by Central  Jersey Bank,  N.A. is
considered an ordinary loss for tax purposes.  CJB Investment  Company does not,
at this time, have the ability to generate capital gains and utilize the capital
losses  and thus a full  valuation  allowance  is  required  for the  investment
company    available-for-sale    securities    which    were    identified    as
other-than-temporarily impaired.

Financial Condition

Cash and Cash Equivalents

Cash and cash equivalents  consist primarily of cash on hand, due from banks and
federal  funds sold.  At March 31, 2007,  cash and cash  equivalents  were $44.7
million, an increase of $6.9 million, or 18.3%, from the December 31, 2006 total
of $37.8  million.  During this period,  federal  funds sold  increased by $12.6
million.  This increase was due primarily to the timing of cash flows related to
the Company's business activities.

                                       19
<page>

Investment Portfolio

Investment  securities  totaled  $115.0 million at March 31, 2007, a decrease of
$1.6 million, or 1.4%, from the December 31, 2006 total of $116.6 million.  This
decrease was primarily  attributable  to principal pay downs on  mortgage-backed
securities.   The  proceeds  received  by  Central  Jersey  Bancorp  from  these
transactions were used to fund loan growth that occurred during the period.

Loan Portfolio

Loans  held-for-sale  totaled  $1.9  million at March 31,  2007,  as compared to
$242,000 at December  31,  2006.  The  increase  in loans  held-for-sale  is due
primarily to the timing of residential mortgage loan closings.

Loans, net of the allowance for loan losses, closed the three months ended March
31,  2007 at $315.5  million,  an increase of $3.4  million,  or 1.1%,  over the
$312.1  million  balance  at  December  31,  2006.  The modest  increase  is due
primarily to the origination of commercial real estate loans during the period.

The allowance for loan losses,  which began the year at $3.23 million,  or 1.02%
of total loans, was $3.45 million at March 31, 2007, with the allowance for loan
losses ratio at 1.08% of total loans.  The  increase in the  allowance  for loan
losses ratio is due primarily to the incremental loan loss provision recorded in
conjunction  with the  downgrade  in risk  rating of certain  commercial  loans.
Recoveries  totaled  $93,000  during the three months  ended March 31, 2007,  as
compared to no recoveries for the prior year period.

Non-performing Loans

A loan is considered to be non-performing  if it (1) is on a non-accrual  basis,
(2) is past due ninety days or more and still accruing interest, or (3) has been
renegotiated to provide a reduction or deferral of interest or principal because
of a weakening in the financial position of the borrower.  A loan, which is past
due ninety days or more and still accruing  interest,  remains on accrual status
only where it is both  adequately  secured as to principal and is in the process
of collection.  Central Jersey  Bancorp,  at March 31, 2007, had  non-performing
loans totaling $90,000, as compared to $91,000 at December 31, 2006.

Potential Problem Loans

In addition to non-performing  loans,  Central Jersey Bancorp maintains a "watch
list" of loans which are subject to heightened scrutiny and more frequent review
by management.  Loans may be placed on the "watch list" because of documentation
deficiencies,  or because management has identified  "structural weakness" which
potentially could cause such loans to become non-performing in future periods.

As of March 31, 2007, loans on the watch list totaled $5.4 million,  as compared
to $5.0 million at December 31, 2006.

                                       20
<page>

Allowance for Loan Losses and Related Provision

For the three  months ended March 31, 2007,  the  provision  for loan losses was
$125,000,  as compared to $51,000 for the same period in 2006.  The  increase is
due primarily to the growth of the loan portfolio  during the three months ended
March 31, 2007 and the incremental  loan loss provision  recorded in conjunction
with the downgrade in risk rating of certain commercial loans.

Loan portfolio composition remained consistent at March 31, 2007, as compared to
December  31,  2006,  with  commercial  loans  comprising  86.2% of total  loans
outstanding  at March 31, 2007,  as compared to 85.5% at December  31, 2006.  In
addition, Central Jersey Bancorp had non-accrual loans totaling $90,000 at March
31, 2007, as compared to $91,000 at December 31, 2006.  Net loans totaled $315.5
million at March 31, 2007,  as compared to $312.1  million at December 31, 2006,
an increase of $3.4 million, or 1.1%. The allowance for loan losses increased to
$3.45 million,  or 1.08% of total gross loans, at March 31, 2007, as compared to
$3.23 million, or 1.02% of total gross loans, at December 31, 2006. The increase
in the allowance for loan losses ratio is due primarily to the incremental  loan
loss  provision  recorded in  conjunction  with the  downgrade in risk rating of
certain commercial loans.

Deposits

One of Central  Jersey  Bancorp's  primary  strategies is the  accumulation  and
retention of core  deposits.  Core deposits are defined as all deposits with the
exception of certificates of deposits in excess of $100,000.  Deposits, at March
31, 2007,  totaled $426.9  million,  a decrease of $400,000,  or .09%,  from the
December 31, 2006 total of $427.3  million.  Core  deposits as a  percentage  of
total  deposits  were 84.1% and 84.7%,  at March 31, 2007 and December 31, 2006,
respectively.

Borrowings

Other  borrowings  were $23.4  million at March 31,  2007,  as compared to $17.1
million at December  31,  2006,  representing  an increase of $6.3  million,  or
36.7%.  These borrowings are short-term in nature. The increase is due to growth
in Central Jersey Bank, N.A.'s sweep account product for business customers.

Liquidity and Capital Resources

Liquidity  defines the ability of Central Jersey Bank, N.A. to generate funds to
support asset growth, meet deposit  withdrawals,  maintain reserve  requirements
and otherwise  operate on an ongoing basis.  An important  component of a bank's
asset and liability  management  structure is the level of liquidity,  which are
net liquid assets  available to meet the needs of its  customers and  regulatory
requirements.  The  liquidity  needs of  Central  Jersey  Bank,  N.A.  have been
primarily met by cash on hand, loan and investment amortizations and borrowings.
Central  Jersey  Bank,  N.A.  invests  funds not needed for  operations  (excess
liquidity)  primarily in daily federal funds sold. During the three months ended
March 31,  2007,  Central  Jersey  Bank,  N.A.  continued  to  maintain  a large
secondary source of liquidity known as investment securities available-for-sale.
The market value of that portfolio was $94.5 million and $95.7 million, at March
31, 2007 and December 31, 2006, respectively.

It has been Central Jersey Bank,  N.A.'s  experience  that its core deposit base
(which  is  defined  as  transaction  accounts  and term  deposits  of less than
$100,000) is primarily relationship-driven.

                                       21
<page>

Non-core  deposits  (which are defined as term  deposits of $100,000 or greater)
are much more  interest  rate  sensitive.  In any  event,  adequate  sources  of
reasonably  priced on-balance sheet funds, such as overnight federal funds sold,
due from banks and short-term  investments  maturing in less than one year, must
be  continually  accessible  for  contingency  purposes.  This  is  accomplished
primarily by the daily monitoring of certain accounts for sufficient balances to
meet future loan  commitments,  as well as measuring Central Jersey Bank, N.A.'s
liquidity position on a monthly basis.

Supplemental  sources  of  liquidity  include  large  certificates  of  deposit,
wholesale  and  retail   repurchase   agreements,   and  lines  of  credit  with
correspondent  banks.  Correspondent  banks,  which are typically referred to as
"banker's  banks,"  offer  essential  services  such as cash letter  processing,
investment services,  loan participation  support,  wire transfer operations and
other  traditional  banking  services.  Brokered  deposits,  which are  deposits
obtained, directly or indirectly, from or through the mediation or assistance of
a deposit  broker,  may be  utilized as  supplemental  sources of  liquidity  in
accordance  with Central Jersey Bank,  N.A.'s balance sheet  management  policy.
Contingent  liquidity  sources  may include  off-balance  sheet  funds,  such as
advances from both the Federal Home Loan Bank and the Federal  Reserve Bank, and
federal  funds  purchase  lines with  "upstream"  correspondents.  An additional
source of liquidity is made  available by  curtailing  loan activity and instead
using  the  available  cash to fund  short-term  investments  such as  overnight
federal funds sold or other approved investments maturing in less than one year.
In addition,  future  expansion of Central  Jersey Bank,  N.A.'s retail  banking
network is expected to create  additional  sources of liquidity from new deposit
customer relationships.

Central Jersey Bank, N.A. is subject to various regulatory capital  requirements
administered  by  federal  banking  agencies.  Failure to meet  minimum  capital
requirements   can  initiate   certain   mandatory   and   possibly   additional
discretionary,  actions by regulators  that, if undertaken,  could have a direct
material  effect on Central  Jersey Bank,  N.A.'s  financial  statements.  Under
capital adequacy  guidelines and the regulatory  framework for prompt corrective
action,  Central Jersey Bank,  N.A. must meet specific  capital  guidelines that
involve quantitative measures of Central Jersey Bank, N.A.'s assets, liabilities
and certain  off-balance-sheet  items as calculated under regulatory  accounting
practices.  Central Jersey Bank, N.A.'s capital amounts and  classification  are
also subject to qualitative  judgments by the regulators about components,  risk
weightings and other factors.

Quantitative  measures  established  by  regulation to ensure  capital  adequacy
require  Central Jersey Bank,  N.A. to maintain  minimum amounts and ratios (set
forth in the  following  table)  of Total  Capital  and Tier 1  Capital  to risk
weighted assets and of Tier 1 Capital to average assets (leverage  ratio). As of
March 31, 2007, Central Jersey Bank, N.A. met all capital adequacy  requirements
to which it is subject.

The  following is a summary of Central  Jersey Bank,  N.A.'s and Central  Jersey
Bancorp's  actual  capital  ratios as of March 31, 2007 and  December  31, 2006,
compared to the minimum capital  adequacy  requirements and the requirements for
classification as a "well-capitalized" institution:

                                       22
<page>
<table>
<caption>

                                                Tier I                         Tier I
                                              Capital to                     Capital to                   Total Capital to
                                         Average Assets Ratio              Risk Weighted                    Risk Weighted
                                           (Leverage Ratio)                  Asset Ratio                     Asset Ratio
                                       March 31,     December 31,      March 31,     December 31,      March 31,     December 31,
                                         2007            2006            2007           2006             2007             2006
                                     ------------    ------------    ------------    ------------    ------------    ------------

                                      <c>             <c>            <c>             <c>             <c>             <c>
Central Jersey Bancorp                   8.40%           8.38%          11.46%          11.71%          12.44%          12.62%
Central Jersey Bank, N.A.                8.59%           8.47%          11.72%          11.81%          12.70%          12.72%

"Adequately capitalized"
institution (under federal
regulations)                             4.00%           4.00%           4.00%           4.00%           8.00%           8.00%

"Well capitalized" institution
(under federal regulations)              5.00%           5.00%           6.00%           6.00%          10.00%          10.00%

</table>

Item 3.  Quantitative and Qualitative Disclosures about Market Risk

Qualitative Analysis. Interest rate risk is the exposure of a bank's current and
future  earnings  and capital  arising  from the adverse  movements  in interest
rates.  Central Jersey Bank,  N.A.'s most  significant risk exposure is interest
rate risk.  The  guidelines of Central  Jersey Bank,  N.A.'s  interest rate risk
policy seek to limit the  exposure to changes in interest  rates that affect the
underlying economic value of assets and liabilities, earnings and capital.

The ALCO/Investment  Committee of Central Jersey Bank, N.A. meets on a quarterly
basis to review the impact of interest rate changes on net interest income,  net
interest margin and the economic value of equity. Members of the ALCO/Investment
Committee  include  Central  Jersey  Bancorp's  President  and  Chief  Executive
Officer,  Chief Operating  Officer,  Chief  Financial  Officer and Chief Lending
Officer.  The  ALCO/Investment  Committee  reviews a variety of strategies  that
project  changes in asset or  liability  mix and the impact of those  changes on
projected net interest income.

Central  Jersey Bank,  N.A.'s  strategy for  liabilities  has been to maintain a
stable  core-funding  base by focusing on core deposit  account  acquisition and
increasing products and services per household. Time deposits as a percentage of
total  deposits were 35.14% at March 31, 2007, as compared to 33.03% at December
31, 2006.  Time  deposits are  generally  short term in nature.  As of March 31,
2007, 89.1% of all time deposits had maturities of one year or less, as compared
to 85.7% at December 31, 2006.  Central  Jersey Bank,  N.A.'s  ability to retain
maturing  time  deposit   accounts  is  the  result  of  a  strategy  to  remain
competitively priced within the marketplace. Central Jersey Bank, N.A.'s pricing
strategy may vary depending  upon funding needs and Central Jersey Bank,  N.A.'s
ability to fund operations through alternative  sources,  primarily by accessing
short term lines of credit  with the Federal  Home Loan Bank  during  periods of
pricing dislocation.

Quantitative Analysis. Central Jersey Bank, N.A. measures sensitivity to changes
in interest rates through the use of balance sheet and income simulation models.
The analyses  capture  changes in net interest income using flat rates as a base
case and rising and declining interest rate forecasts. Central Jersey Bank, N.A.
measures  changes in net  interest  income for the  forecast  period,  generally
twelve to twenty-four months, within set limits for acceptable change.

                                       23
<page>

The following  table sets forth the results of the projected net interest income
simulation model for the twelve month period commencing April 1, 2007 and ending
March 31, 2008:

                                             Net Interest Income
                                             -------------------
Change in Interest Rates
In Basis Points (Rate Shock)        Amount ($)    Change (%)    Change ($)
-----------------------------------------------------------------------------

+200                                $  19,269     $   1,725       9.83%
+100                                   18,430           886       5.05%
Base Case                              17,544            --         --
-100                                   16,526        (1,018)     (5.80%)
-200                                $  15,209     $  (2,335)    (13.31%)

The preceding  table indicates that for the twelve month period ending March 31,
2008, in the event of an immediate 200 basis point parallel increase in interest
rates,  Central  Jersey Bank,  N.A. would  experience a 9.83%,  or $1.7 million,
increase  in net  interest  income for the  period.  In the event of a 200 basis
point decrease in interest rates,  Central Jersey Bank, N.A. would  experience a
(13.31%), or $2.3 million,  decrease in net interest income for the twelve month
period ending March 31, 2008.

Item 4.  Controls and Procedures

As required by Rule 13a-15 under the Securities Exchange Act of 1934, as amended
(the  "Exchange  Act"),  as of the end of the period  covered by this  quarterly
report, the Company carried out an evaluation of the effectiveness of the design
and operation of its disclosure  controls and  procedures.  This  evaluation was
carried out under the  supervision and with the  participation  of the Company's
management,  including its President and Chief  Executive  Officer and Executive
Vice  President and Chief  Financial  Officer,  who concluded that the Company's
disclosure  controls  and  procedures  are  effective.  The  Company's  Internal
Auditors also  participated in this evaluation.  There has been no change in the
Company's  internal  controls during the last fiscal quarter that has materially
affected,  or is reasonably likely to materially  affect, the Company's internal
control over financial reporting.

Disclosure  controls and procedures are controls and other  procedures  that are
designed to ensure that  information  required to be disclosed in the  Company's
reports  filed or  submitted  under the  Exchange  Act is  recorded,  processed,
summarized and reported, within the time periods specified in the Securities and
Exchange  Commission's  rules and  forms.  Disclosure  controls  and  procedures
include,  without  limitation,  controls and procedures  designed to ensure that
information  required to be disclosed in the  Company's  reports filed under the
Exchange Act is  accumulated  and  communicated  to  management,  including  its
President and Chief  Executive  Officer and Executive  Vice  President and Chief
Financial Officer, to allow timely decisions regarding required disclosure.

                                       24
<page>

                           PART II. OTHER INFORMATION

Item 1.       Legal Proceedings
              -----------------

              The Company is not engaged in any legal  proceedings of a material
              nature at the present  time.  From time to time,  the Company is a
              party to routine  legal  proceedings  within the normal  course of
              business.  Such routine  legal  proceedings  in the  aggregate are
              believed by management to be immaterial to the Company's financial
              condition or results of operations.

Item 1A.      Risk Factors
              ------------

              There have been no material  changes to the risk factors that were
              previously  disclosed in the Company's  annual report on Form 10-K
              for the fiscal year ended December 31, 2006.

Item 2.       Unregistered Sales of Equity Securities and Use of Proceeds
              -----------------------------------------------------------

              Not Applicable.

Item 3.       Defaults Upon Senior Securities
              -------------------------------

              Not Applicable.

Item 4.       Submission of Matters to a Vote of Security Holders
              ---------------------------------------------------

              Not Applicable.

Item 5.       Other Information
              -----------------

              Not Applicable.

Item 6.       Exhibits
              --------

              See Index of Exhibits commencing on page E-1.


                                       25
<page>


                                   SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, as amended,
the  Registrant  has duly  caused  this report to be signed on its behalf by the
undersigned, thereunto duly authorized.

                                    Central Jersey Bancorp
                                    -------------------------------------------
                                    Registrant


Date:   May 10, 2007                /s/ James S. Vaccaro
                                    -------------------------------------------
                                    James S. Vaccaro
                                    President and
                                    Chief Executive Officer
                                    (Principal Executive Officer)


Date:   May 10, 2007                /s/ Anthony Giordano, III
                                    -------------------------------------------
                                    Anthony Giordano, III
                                    Executive Vice President, Chief Financial
                                    Officer, Treasurer and Assistant Secretary
                                    (Principal Financial and Accounting Officer)


                                       26
<page>

                                INDEX OF EXHIBITS

        Exhibit No.                        Description of Exhibit
        -----------                        ----------------------

            2.1         Plan of Acquisition of all of the  outstanding  stock of
                        Monmouth Community Bank by the Registrant,  entered into
                        as of March 16, 2000 by Monmouth  Community Bank and the
                        Registrant  (Incorporated by reference to Exhibit 2.1 to
                        the  Registrant's  Registration  Statement  on Form SB-2
                        (Registration No. 333-87352), effective July 23, 2002).

            2.2         Agreement and Plan of Acquisition,  dated as of June 30,
                        2004,  by  and  between  the   Registrant   and  Allaire
                        Community  Bank  ("Allaire"):  Upon the  request  of the
                        Securities  and  Exchange  Commission,   the  Registrant
                        agrees to furnish a copy of Exhibit A - Voting Agreement
                        of  Allaire  Stockholders  and Voting  Agreement  of the
                        Registrant's Shareholders; Exhibit B - Allaire Affiliate
                        Agreement,  Exhibit C - Opinion of Giordano,  Halleran &
                        Ciesla, P.C., as counsel to the Registrant,  and Exhibit
                        D - Opinion of Frieri Conroy & Lombardo, LLC, as counsel
                        to  Allaire,  and  the  following  Schedules:   Schedule
                        1.10(a)  -  Composition  of the  Registrant's  Board  of
                        Directors; Schedule 1.10(b) - Composition of Allaire and
                        Monmouth  Community  Bank Boards of Directors;  Schedule
                        1.10(c) - Executive Officers of the Registrant,  Allaire
                        and Monmouth  Community Bank;  Schedule  3.02(a) - Stock
                        Options  (Allaire);   Schedule  3.02(b)  -  Subsidiaries
                        (Allaire);  Schedule 3.08 - Absence of Changes or Events
                        (Allaire);  Schedule  3.09 - Loan  Portfolio  (Allaire);
                        Schedule 3.10 - Legal  Proceedings  (Allaire);  Schedule
                        3.11 - Tax  Information  (Allaire);  Schedule  3.12(a) -
                        Employee  Benefit Plans  (Allaire);  Schedule  3.12(b) -
                        Defined  Benefit  Plans  (Allaire);  Schedule  3.12(h) -
                        Payments or Obligations  (Allaire);  Schedule  3.12(m) -
                        Grantor or "Rabbi" Trusts (Allaire);  Schedule 3.12(n) -
                        Retirement  Benefits   (Allaire);   Schedule  3.13(c)  -
                        Buildings and Structures  (Allaire);  Schedule 3.14(a) -
                        Real  Estate   (Allaire);   Schedule  3.14(b)  -  Leases
                        (Allaire);   Schedule   3.16(a)  -  Material   Contracts
                        (Allaire);  Schedule  3.16(c) - Certain Other  Contracts
                        (Allaire);  Schedule  3.16(d) - Effect on Contracts  and
                        Consents   (Allaire);   Schedule  3.18  -   Registration
                        Obligations   (Allaire);   Schedule   3.20  -  Insurance
                        (Allaire);  Schedule  3.21(b) - Benefit or  Compensation
                        Plans  (Allaire);  Schedule  3.21(d)  - Labor  Relations
                        (Allaire);  Schedule 3.22 - Compliance  with  Applicable
                        Laws  (Allaire);   Schedule  3.23  -  Transactions  with
                        Management   (Allaire);   Schedule   3.25   -   Deposits
                        (Allaire);    Schedule    4.02(a)   -   Stock    Options
                        (Registrant);    Schedule    4.02(b)   -    Subsidiaries
                        (Registrant);  Schedule  4.08 - Absence  of  Changes  or
                        Events  (Registrant);  Schedule  4.09 -  Loan  Portfolio
                        (Registrant);   Schedule   4.10  -   Legal   Proceedings
                        (Registrant);    Schedule   4.11   -   Tax   Information
                        (Registrant);  Schedule 4.12(a) - Employee Benefit Plans
                        (Registrant);  Schedule  4.12(b) - Defined Benefit Plans
                        (Registrant); Schedule 4.12(g) - Payments or Obligations
                        (Registrant);  Schedule  4.12(l)  - Grantor  or  "Rabbi"
                        Trusts  (Registrant);   Schedule  4.12(m)  -  Retirement
                        Benefits (Registrant);  Schedule 4.13(c) - Buildings and
                        Structures;  (Registrant) Schedule 4.14(a) and 4.14(b) -
                        Real Estate and Leases (Registrant);  Schedule 4.16(a) -
                        Material  Contracts

                                      E-1
<page>

                        (Registrant); Schedule 4.16(c) - Certain Other Contracts
                        (Registrant); Schedule 4.16(d) - Effect on Contracts and
                        Consents  (Registrant);  Schedule  4.18  -  Registration
                        Obligations  (Registrant);  Schedule  4.20  -  Insurance
                        (Registrant); Schedule 4.21(b) - Benefit or Compensation
                        Plans  (Registrant);  Schedule 4.21(d) - Labor Relations
                        (Registrant); Schedule 4.22 - Compliance with Applicable
                        Laws  (Registrant);  Schedule 4.23 -  Transactions  with
                        Management   (Registrant);   Schedule  4.25  -  Deposits
                        (Registrant);  Schedule  6.18(a) - Notice  of  Deadlines
                        (Allaire);  and  Schedule  6.18(b) - Notice of Deadlines
                        (Registrant)  (Incorporated  by reference to Exhibit 2.2
                        to the Registrant's  Quarterly Report on Form 10-QSB for
                        the quarter ended June 30, 2004).

            3.1         Certificate  of  Incorporation  of  the  Registrant,  as
                        amended and restated on January 1, 2005 (Incorporated by
                        reference  to  Exhibit  3.1 to the  Registrant's  Annual
                        Report on Form  10-KSB for the year ended  December  31,
                        2004).

            3.2         By-laws of the  Registrant,  as amended and  restated on
                        January 1, 2005  (Incorporated  by  reference to Exhibit
                        3.2 to the Registrant's Annual Report on Form 10-KSB for
                        the year ended December 31, 2004).

            4.          Specimen   certificate   representing  the  Registrant's
                        common stock, par value $0.01 per share (Incorporated by
                        reference  to  Exhibit  4 to  Amendment  No.  1  to  the
                        Registrant's   Registration   Statement   on  Form  SB-2
                        (Registration No. 333-87352), effective July 23, 2002).

            10.1        Registrant's   Stock   Option  Plan   (Incorporated   by
                        reference   to   Exhibit   10.1   to  the   Registrant's
                        Registration  Statement on Form SB-2  (Registration  No.
                        333-87352), effective July 23, 2002).

            10.2        Indenture   between   Registrant  and  Wilmington  Trust
                        Company, dated March 25, 2004 (Incorporated by reference
                        to Exhibit  10.10 to the  Registrant's  Annual Report on
                        Form 10-KSB for the year ended December 31, 2003).

            10.3        Amended  and  Restated  Declaration  of  Trust  of  MCBK
                        Capital Trust I, dated March 25, 2004  (Incorporated  by
                        reference to Exhibit  10.11 to the  Registrant's  Annual
                        Report on Form  10-KSB for the year ended  December  31,
                        2003).

            10.4        Guarantee  Agreement by Registrant and Wilmington  Trust
                        Company, dated March 25, 2004 (Incorporated by reference
                        to Exhibit  10.12 to the  Registrant's  Annual Report on
                        Form 10-KSB for the year ended December 31, 2003).

            10.5        Change of Control Agreement, dated as of August 1, 2006,
                        by and  between  the  Registrant  and  Robert  S.  Vuono
                        (Incorporated  by  reference  to  Exhibit  10.13  to the
                        Registrant's  Current Report on Form 8-K dated August 1,
                        2006).

            10.5.1      Amendment No. 1 to Change of Control Agreement, dated as
                        of February 21, 2007,  between the Registrant and Robert
                        S. Vuono (Incorporated by reference to Exhibit 10.5.1 to
                        the Registrant's Annual Report on Form 10-K for the year

                                      E-2
<page>

                        ended December 31, 2006).

            10.6        Change of  Control  Agreement,  dated as of  January  1,
                        2005,  between  the  Registrant  and  Robert K.  Wallace
                        (Incorporated  by  reference  to  Exhibit  10.8  to  the
                        Registrant's  Annual  Report on Form 10-KSB for the year
                        ended December 31, 2004).

            10.7        Severance  Agreement,  dated  as  of  January  1,  2005,
                        between the Registrant and Carl F. Chirico (Incorporated
                        by reference to Exhibit 10.9 to the Registrant's  Annual
                        Report on Form  10-KSB for the year ended  December  31,
                        2004).

            10.8        Change of Control Agreement, dated as of August 1, 2006,
                        by and  between  the  Registrant  and  James S.  Vaccaro
                        (Incorporated  by  reference  to  Exhibit  10.11  to the
                        Registrant's  Current Report on Form 8-K dated August 1,
                        2006).

            10.8.1      Amendment No. 1 to Change of Control Agreement, dated as
                        of February 21, 2007,  between the  Registrant and James
                        S. Vaccaro  (Incorporated by reference to Exhibit 10.8.1
                        to the  Registrant's  Annual Report on Form 10-K for the
                        year ended December 31, 2006).

            10.9        Change of Control Agreement, dated as of August 1, 2006,
                        by and between the Registrant and Anthony Giordano,  III
                        (Incorporated  by  reference  to  Exhibit  10.12  to the
                        Registrant's  Current Report on Form 8-K dated August 1,
                        2006).

            10.9.1      Amendment No. 1 to Change of Control Agreement, dated as
                        of February 21, 2007, between the Registrant and Anthony
                        Giordano,  III  (Incorporated  by  reference  to Exhibit
                        10.9.1 to the  Registrant's  Annual  Report on Form 10-K
                        for the year ended December 31, 2006).

            10.10       Change of Control  Agreement,  dated as of February  21,
                        2007,  between  the  Registrant  and  Thomas J.  Garrity
                        (Incorporated  by  reference  to  Exhibit  10.10  to the
                        Registrant's  Annual  Report  on Form  10-K for the year
                        ended December 31, 2006).

            10.11       Change of Control  Agreement,  dated as of February  21,
                        2007  between  the   Registrant  and  Lisa  A.  Borghese
                        (Incorporated  by  reference  to  Exhibit  10.11  to the
                        Registrant's  Annual  Report  on Form  10-K for the year
                        ended December 31, 2006).

            10.12       Central  Jersey  Bancorp  2005  Equity   Incentive  Plan
                        (Incorporated  by  reference  to  Exhibit  10.10  to the
                        Registrant's  Quarterly  Report  on  Form  10-Q  for the
                        quarter ended March 31, 2005).

            31.1        Section 302 Certification of Chief Executive Officer.

            31.2        Section 302 Certification of Chief Financial Officer.

                                      E-3
<page>

            32.1        Certification of Chief Executive  Officer Pursuant to 18
                        U.S.C. Section 1350.

            32.2        Certification of Chief Financial  Officer Pursuant to 18
                        U.S.C. Section 1350.



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