UNITED STATES

                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                   FORM 10-QSB

(Mark One)

(X)  QUARTERLY  REPORT  PURSUANT  TO  SECTION  13 OR 15 (d)  OF  THE  SECURITIES
     EXCHANGE ACT OF 1934

     For the quarterly period ended September 30, 1999

                                       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: 000-22407

                          SVB Financial Services, Inc.

             (Exact name of registrant as specified in its charter)

        New Jersey                                                22-3438058
(State of other jurisdiction of                               (I.R.S. Employer
incorporation or organization)                               Identification No.)

103 West End Avenue, Somerville, New Jersey                   08876
(Address of principal executive officers)                             (Zip Code)

                                 (908) 704-1188
              (Registrant's telephone number, including area code)

(Former  name,  former  address and former  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.

                           (X) Yes             ( ) No

As of November 10, 1999, there were 2,805,824 shares of common stock,  $2.09 par
value outstanding.
                                       2
<PAGE>
                          SVB FINANCIAL SERVICES, INC.
                          ----------------------------

                                   FORM 10-QSB

                                      INDEX
<TABLE>
<CAPTION>
                                                                              Page
                                                                              ----
<S>                                                                           <C>

PART I  - FINANCIAL INFORMATION

ITEM 1  - Financial Statements and Notes to Consolidated Financial Statements  3

ITEM 2  - Management's Discussion and Analysis of Financial Condition
          and Results of Operations                                            9

PART II - OTHER INFORMATION

ITEM 1  - Legal Proceedings                                                   13

ITEM 2  - Changes in Securities                                               13

ITEM 3  - Defaults Upon Senior Securities                                     13

ITEM 4  - Submission of Matters to a Vote of Security Holders                 13

ITEM 5  - Other Information                                                   13

ITEM 6  - Exhibits and Reports on Form 8-K                                 13-14

SIGNATURES                                                                    14
</TABLE>

                                       3
<PAGE>
<TABLE>
<CAPTION>
CONSOLIDATED BALANCE SHEETS                                         September 30,     December 31,
September 30, 1999 and December 31, 1998                                1999           1998
                                                                    ------------------------------
(in thousands)                                                                (Unaudited)
<S>                                                                         <C>           <C>
ASSETS

Cash & Due from Banks                                                       $9,513        $ 8,358
Federal Funds Sold                                                               -         10,325
Other Short Term Investments                                                     -            965
                                                                    ------------------------------
Total Cash and Cash Equivalents                                              9,513         19,648
                                                                    ------------------------------

Interest Bearing Time Deposits                                               6,480          4,090

Securities

   Available for Sale, at Market Value                                      27,569         21,523
   Held to Maturity                                                          7,185         15,052
                                                                    ------------------------------
Total Securities                                                            34,754         36,575
                                                                    ------------------------------

Loans                                                                      145,947        121,474
   Allowance for Possible Loan Losses                                       (1,447)        (1,211)
   Unearned Income                                                            (184)           (87)
                                                                    ------------------------------
Net Loans                                                                  144,316        120,176
                                                                    ------------------------------

Premises & Equipment, Net                                                    3,435          2,303
Other Assets                                                                 2,696          2,435
                                                                    ==============================
Total Assets                                                              $201,194       $185,227
                                                                    ==============================
</TABLE>
(continued)
<PAGE>
<TABLE>
<CAPTION>
CONSOLIDATED BALANCE SHEETS                                         September 30,     December 31,
September 30, 1999 and December 31, 1998                                1999           1998
                                                                    ------------------------------
(in thousands)                                                                (Unaudited)
<S>                                                                         <C>           <C>

LIABILITIES & SHAREHOLDERS' EQUITY

LIABILITIES

Deposits
Demand

   Non-interest Bearing                                                    $34,674        $27,897
   NOW Accounts                                                             27,990         24,502
Savings                                                                     15,665         13,836
Money Market Accounts                                                       22,546         20,226
Time

   Greater than $100,000                                                    15,421         14,088
   Less than $100,000                                                       68,538         69,165
                                                                    -----------------------------
Total Deposits                                                             184,834        169,714
                                                                    -----------------------------

Obligations Under Capital Lease                                                434            438
Other Liabilities                                                              792            710
                                                                    -----------------------------
Total Liabilities                                                          186,060        170,862
                                                                    -----------------------------

SHAREHOLDERS' EQUITY

Common Stock $2.09 Par Value: 20,000,000                                     5,864          5,794
   Shares Authorized; 2,805,824 Shares in 1999 and
   2,772,224 Shares in 1998 Issued and Outstanding
Additional Paid-in Capital                                                   5,586          5,502
Accumulated Other Comprehensive (Loss)/Income                                (343)              7
Retained Earnings                                                            4,027          3,062
                                                                    -----------------------------
Total Shareholders' Equity                                                  15,134         14,365
                                                                    -----------------------------
Total Liabilities and Shareholders' Equity                                $201,194       $185,227
                                                                    =============================
</TABLE>
                                       4
<PAGE>
<TABLE>
<CAPTION>
SVB FINANCIAL SERVICES, INC.
CONSOLIDATED STATEMENTS OF INCOME                                            FOR THE THREE MONTHS      FOR THE NINE MONTHS
FOR THE PERIOD ENDED SEPTEMBER 30,                                                  ENDED                      ENDED
(in thousands)                                                                1999         1998          1999        1998
                                                                    ---------------------------------------------------------
                                                                                 (Unaudited)                (Unaudited)
<S>                                                                         <C>           <C>          <C>           <C>
INTEREST INCOME
Loans                                                                       $ 3,072       $ 2,682      $ 8,500       $ 7,542
Securities Available for Sale                                                   397           182        1,075           541
Securities Held to Maturity                                                     100           214          428           776
Federal Funds Sold                                                              104            85          262           248
Time Deposits Due from Banks                                                     94            17          233            21
Other Short Term Investments                                                      1             3           10            16
                                                                    ---------------------------------------------------------
Total Interest Income                                                         3,768         3,183       10,508         9,144
                                                                    ---------------------------------------------------------

INTEREST EXPENSE

Deposits                                                                      1,548         1,417        4,477         4,106
Federal Funds Purchased                                                           1             -            3             -
Obligations Under Capital Lease                                                  10             9           28            28
                                                                    ---------------------------------------------------------
Total Interest Expense                                                        1,559         1,426        4,508         4,134
                                                                    ---------------------------------------------------------

Net Interest Income                                                           2,209         1,757        6,000         5,010
PROVISION FOR POSSIBLE LOAN LOSSES                                              150            90          330           225
                                                                    ---------------------------------------------------------
Net Interest Income after Provision For Possible Loan Losses                  2,059         1,667        5,670         4,785
                                                                    ---------------------------------------------------------
</TABLE>
(continued)
<PAGE>
<TABLE>
<CAPTION>
                                                                             FOR THE THREE MONTHS      FOR THE NINE MONTHS
                                                                                    ENDED                      ENDED
(in thousands)                                                                1999         1998          1999        1998
                                                                    ---------------------------------------------------------
                                                                                 (Unaudited)                (Unaudited)
<S>                                                                         <C>           <C>          <C>           <C>
OTHER INCOME

Service Charges on Deposit Accounts                                             106            77          277           211
Gain on the Sale of Loans                                                       100           144          184           264
(Loss)/Gain on the Sale of Securities, Available for Sale                       (3)             4          (8)             4
Other Income                                                                     27            35          117            92
                                                                    ---------------------------------------------------------
Total Other Income                                                              230           260          570           571
                                                                    ---------------------------------------------------------
OTHER EXPENSE

Salaries and Employee Benefits                                                  832           678        2,368            2,031
Occupancy Expense                                                               216           162          629              470
Equipment Expense                                                               110            98          317              278
Other Expenses                                                                  456           384        1,386            1,159
                                                                    ------------------------------------------- - --------------
Total Other Expense                                                           1,614         1,322        4,700            3,938
                                                                    ------------------------------------------- - --------------

Income Before Provision for Income Taxes                                        675           605        1,540            1,418
Provision for Income Taxes                                                      258           238          575              567
                                                                    ------------------------------------------- - --------------
NET INCOME                                                                    $ 417         $ 367        $ 965            $ 851
                                                                    =========================================== = ==============

EARNINGS PER COMMON SHARES - BASIC (1)                                       $ 0.14        $ 0.12       $ 0.33           $ 0.29
                                                                    =========================================== = ==============
EARNINGS PER COMMON SHARES - DILUTED (1)                                     $ 0.14        $ 0.12       $ 0.32           $ 0.29
                                                                    =========================================== = ==============
</TABLE>
(1)  Amounts have been restated to show the effects of a 5% stock dividend which
     was declared October 29, 1999.

                                       5
<PAGE>
SVB FINANCIAL SERVICES, INC.
CONSOLIDATED STATEMENTS OF
COMPREHENSIVE INCOME
<TABLE>
<CAPTION>
                                                           FOR THE THREE MONTHS ENDED       FOR THE NINE MONTHS ENDED
For the Period Ended September 30,                             1999          1998              1999            1998
                                                        -----------------------------------------------------------------
(in thousands)                                              (Unaudited)                     (Unaudited)
<S>                                                            <C>           <C>               <C>             <C>
Net Income                                                     $417          $367              $ 965           $851
Other Comprehensive Income, Net of Tax

   Unrealized Gains/(Losses) Arising in the Period             (23)            34              (350)             16
                                                        -----------------------------------------------------------------
Comprehensive Income                                           $394          $401              $ 615           $867
                                                        =================================================================
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
SVB FINANCIAL SERVICES, INC.
STATEMENTS OF CASH FLOW
                                                                                         1999                 1998
For the Period Ended September 30,                                                ---------------------------------------
(in thousands)                                                                       (unaudited)
OPERATING ACTIVITIES
<S>                                                                                     <C>                  <C>
 Net Income                                                                             $  965               $  851
 Adjustments to Reconcile Net Income to
    Net Cash Provided by Operating Activities:

 Provision for Possible Loan Losses                                                        330                  225
 (Gains) on the Sale of Loans                                                             (184)                (264)
 Depreciation and Amortization                                                             341                  283
 (Accretion)/Amortization of Securities Discount                                           (35)                   2
 Losses/(Gains) on the Sale of Securities Available for Sale, Net                            8                   (4)
 (Increase) in Other Assets                                                                (95)                (103)
 Increase in Other Liabilities                                                              86                  131
 Increase in Unearned Income                                                                97                    2
                                                                                  ---------------------------------------
 Net Cash  Provided By Operating Activities                                              1,513                1,123
                                                                                  ---------------------------------------
 INVESTING ACTIVITIES

 Proceeds from Sale of Securities Available for Sale                                     6,512                2,504
 Proceeds from Maturities of Securities
    Available for Sale                                                                   4,302                5,324
    Held to Maturity                                                                    13,233               12,888
 Purchases of Securities

    Available for Sale                                                                 (16,845)              (8,282)
    Held to Maturity                                                                    (5,296)              (2,748)
    Equity Securities                                                                     (589)                   -
 (Increase) in Interest Bearing Time Deposits                                           (2,390)              (2,194)
 Proceeds from the sale of Loans                                                             -                6,941
 (Increase) in Loans                                                                   (24,383)             (17,198)
 Capital Expenditures                                                                   (1,462)                (307)
                                                                                  ---------------------------------------
 Net Cash Used for Investing Activities                                                (26,918)              (3,072)
                                                                                  ---------------------------------------
</TABLE>
(continued)
<PAGE>
<TABLE>
<CAPTION>
SVB FINANCIAL SERVICES, INC.
STATEMENTS OF CASH FLOW
                                                                                         1999                 1998
For the Period Ended September 30,                                                ---------------------------------------
(in thousands)                                                                       (unaudited)
<S>                                                                                     <C>                  <C>
FINANCING ACTIVITIES

 Net Increase in Demand Deposits                                                        10,265                8,376
 Net Increase in Savings Deposits                                                        1,829                3,377
 Net Increase in Money Market Deposits                                                   2,320                1,694
 Net Increase in Time Deposits                                                             706                9,803
 (Decrease) in Federal Funds Purchased                                                       -                (500)
 (Decrease) in Obligation Under Capital Lease                                               (4)                  (4)
 Proceeds from the Issuance of Common Stock, Net                                           154                   91
                                                                                  ---------------------------------------
Net Cash Provided by Financing Activities                                              15,270                22,837
                                                                                  ---------------------------------------

 (Decrease)/Increase in Cash and Cash Equivalents, Net                                 (10,135)              20,888
 CASH AND CASH EQUIVALENTS, Beginning of Year                                           19,648                5,983
                                                                                  =======================================
 CASH AND CASH EQUIVALENTS, End of Period                                              $ 9,513             $ 26,871
                                                                                  =======================================
 SUPPLEMENTAL DISCLOSURE OF CASH FLOW

    INFORMATION
 Cash Paid During the Year for Interest                                                $ 4,502              $ 4,133
                                                                                  =======================================
 Cash Paid During the Year for Federal Income Taxes                                    $   540              $   490
                                                                                  =======================================
</TABLE>
                                       6
<PAGE>
                          SVB FINANCIAL SERVICES, INC.
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                         September 30, 1999 (UNAUDITED)

1.   SVB Financial Services,  Inc., (the "Company"), a bank holding company, was
incorporated on February 7, 1996 with authorized capital of 10,000,000 shares of
$4.17 par value common  stock.  On September 3, 1996,  the Company  acquired 100
percent of the shares of  Somerset  Valley  Bank (the  "Bank") by  exchanging  6
shares of its Common Stock for each 5 shares of the Bank. This exchange has been
accounted for as a reorganization of entities under common control, similar to a
pooling of interests,  which resulted in no changes to the  underlying  carrying
amounts  of assets  and  liabilities.  Effective  April 16,  1998,  the  Company
declared a 2 for 1 stock split, resulting in a $2.09 par value common stock, and
a change in the authorized shares to $20 million.

     The consolidated  financial  statements  included herein have been prepared
without an audit  pursuant to the rules and  regulations  of the  Securities and
Exchange  Commission.  Certain  information  and footnote  disclosures  normally
included in financial  statements prepared in accordance with generally accepted
accounting  principles have been omitted pursuant to such rules and regulations.
The  accompanying   condensed  consolidated  financial  statements  reflect  all
adjustments  which  are,  in the  opinion  of  management,  necessary  to a fair
statement of the results for the interim periods presented. Such adjustments are
of a normal recurring nature. These consolidated  condensed financial statements
should be read in  conjunction  with the audited  financial  statements  and the
notes thereto.  The results for the nine months ended September 30, 1999 are not
necessarily  indicative  of the results  that may be expected for the year ended
December 31, 1999.

     The  consolidated  financial  statements  include the  accounts of Somerset
Valley Bank. All significant  inter-company  accounts and transactions have been
eliminated.

<PAGE>
2.   LOANS

     At September 30, 1999 and December 31, 1998 the  composition of outstanding
loans is summarized as follows:
<TABLE>
<CAPTION>
                                                                     September 30,             December 31,
                                                                         1999                      1998
                                                                   ----------------          ---------------
<S>                                                                  <C>                       <C>
                           (in thousands)
                           Secured by Real Estate:

                              Residential Mortgage                   $ 39,896                  $  30,577
                              Commercial Mortgage                      49,490                     42,703
                              Construction                              9,893                      6,256
                           Commercial and Industrial                   29,060                     22,308
                           Loans to Individuals                         8,662                       8,864
                           Loans to Individuals for Automobiles         8,545                     10,298
                           OTHER LOANS                                    401                        468
                                                                     -----------               ------------
                                                                     $145,947                   $121,474
                                                                     ========                  =========
</TABLE>
         There were no loans restructured during 1999 or 1998. Loans past due 90
days or more and still  accruing  totalled  $255,000 at  September  30, 1999 and
$5,000 at December 31, 1998.  Loans in a non-accrual  status totaled $284,000 at
September 30, 1999 and $96,000 at December 31, 1998.

                                       7
<PAGE>
  3.     ALLOWANCE FOR POSSIBLE LOAN LOSSES

         The  allowance  for  possible  loan  losses is based on  estimates  and
ultimate  losses  may vary  from the  current  estimates.  These  estimates  are
reviewed periodically and as adjustments become necessary, they are reflected in
operations  in the  period  in which  they  become  known.  An  analysis  of the
allowance for possible loan losses is as follows:
<TABLE>
<CAPTION>
                                                      Nine Months
                                                       Ended           Year Ended
                                                     September 30,     December 31,
<S>             <C>                                    <C>              <C>
(in thousands)                                           1999             1998
----------------------------------------------         -------          -------
Balance January 1,                                     $ 1,211          $   982
Provision Charged to Operations                            330              300
Charge Offs                                               (101)             (80)
RECOVERIES                                                   7                9
                                                       -------          -------
BALANCE END OF PERIOD                                  $ 1,447          $ 1,211
                                                       =======          =======
</TABLE>
<PAGE>
4.       NEW ACCOUNTING PRONOUNCEMENT

         ON  JANUARY 1, 1998,  THE  COMPANY  ADOPTED  SFAS NO.  130,  "REPORTING
COMPREHENSIVE INCOME." This standard requires entities presenting a complete set
of  financial   statements   to  include   details  of   comprehensive   income.
Comprehensive  income  consists of net income or loss for the current period and
income,  expenses,  gains,  and losses that bypass the income  statement and are
reported directly in a separate component of equity.  These financial statements
have been reclassified to reflect the provisions of SFAS No. 130.

         On January 1, 1998,  the Company  adopted  SFAS No.  131,  "Disclosures
about Segments of an Enterprise and Related INFORMATION." SFAS No. 131 redefines
how  operating  segments  are  determined  and  requires  disclosure  of certain
financial and  descriptive  information  about a Company's  operating  segments.
Management has concluded that under current conditions,  the Company will report
one business segment, community banking.

         In June 1998, the Financial  Accounting  Standards  Board (FASB) issued
Statement  of  Financial  Accounting  Standards  SFAS No. 133,  "Accounting  for
Derivative   Instruments  and  Hedging   Activity."  SFAS  No.  133  establishes
accounting and reporting standards for derivative instruments, including certain
derivative instruments imbedded in other contracts,  and for hedging activities.
It  requires  that an entity  recognize  all  derivatives  as  either  assets or
liabilities in the statement of financial position and measure those instruments
at fair value.  If certain  conditions are met, a derivative may be specifically
designated  as a  hedge.  The  accounting  for  changes  in the  fair  value  of
derivative  (gains and losses) depends on the intended use of the derivative and
resulting designation. Subsequent to SFAS No. 133, the FASB issued SFAS No. 137,
which  amended the effective  date of SFAS No. 133 to be all fiscal  quarters of
all fiscal years beginning after June 15, 2000.  Based on the Company's  minimal
use of  derivatives  at the current time,  management  does not  anticipate  the
adoption  of SFAS  No.  133 to have a  significant  impact  on the  earnings  or
financial position of the Company.  However, the impact of adopting SFAS No. 133
will depend on the nature and purpose of the  derivative  instruments  in use by
the Company at that time.

5.       STOCK DIVIDEND

     On  October  29,  1999,  the  Company  declared  a  5%  stock  dividend  to
shareholders of record as of November 4, 1999. Net income per share and weighted
average shares outstanding have been restated to reflect the stock dividend.

                                        8
<PAGE>
ITEM 2 - MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
              AND RESULTS OF OPERATIONS

         Management of SVB Financial Services, Inc. (the "Company") is not aware
of any known trends,  events or  uncertainties  that will have or are reasonably
likely to have a material effect on the Company's  liquidity,  capital resources
or results of operations.  The following  discussion and analysis should be read
in  conjunction  with  the  detailed  information  and  consolidated   financial
statements,  including  notes thereto,  included  elsewhere in this report.  The
consolidated  financial  condition  and results of operations of the Company are
essentially those of the Bank. Therefore,  the analysis that follows is directed
to the  performance  of the  Bank.  Such  financial  condition  and  results  of
operations are not intended to be indicative of future performance.

         In addition to historical  information,  this  discussion  and analysis
contains forward-looking  statements.  The forward-looking  statements contained
herein are subject to certain  risks and  uncertainties  that could cause actual
results  to  differ  materially  from  those  projected  in the  forward-looking
statements.  Important factors that might cause such a difference  include,  but
are not limited  to,  those  discussed  in the  section  entitled  "Management's
Discussion  and  Analysis of  Financial  Condition  and Results of  Operations."
Readers  are  cautioned  not to place undue  reliance  on these  forward-looking
statements,  which reflect  management's  analysis only as the date hereof.  The
Company   undertakes  no   obligation   to  publicly   revise  or  update  these
forward-looking  statements to reflect events or circumstances  that arise after
the date hereof.

         With  regard  to  the  Year  2000  disclosure,  these  "forward-looking
statements" include, but are not limited to, estimates of capital  expenditures,
costs of remediation and testing, the timetable for implementing the remediation
and testing phases of Year 2000 planning,  the possible impact of third parties'
Year 2000 issues on the Company,  management's  assessment of contingencies  and
possible scenarios in its Year 2000 planning.  The "forward-looking  statements"
in this report  reflect what we currently  anticipate  will happen in each case.
What actually happens could differ materially from what we currently  anticipate
will happen. We are not promising to make any public  announcement when we think
"forward-looking statements" in this document are no longer accurate, whether as
a result of new  information,  what  actually  happens  in the future or for any
other reason.

RESULTS OF OPERATION
--------------------

         Net income for the first nine months of 1999 was $965,000,  an increase
of  $114,000  or 13% as  compared  to the  same  period  in 1998.  Earnings  per
share-Basic were $.33 in 1999 as compared to $.29 in 1998.  Earnings per share -
Diluted were $.32 in 1999 and $.29 in 1998.

         A detailed discussion of the major components of net income follows:

NET INTEREST INCOME
-------------------

          Net interest income for the first nine months of 1999 was $6.0 million
compared to $5.0 million in 1998, an increase of $1.0 million or 20%.
<PAGE>
         Almost all of the increase can be  attributed to an increase in average
earnings  assets.  Average earning assets for the first nine months of 1999 were
$180.9 million an increase of $33.3 million or 23% from the first nine months of
1998.  Loans accounted for 64% of this increase as loans averaged $132.8 million
during the nine months.  The increase in loan balances caused interest income to
increase $1.3 million.  Partially  offsetting this, the yield on loans decreased
from 9.04%, to 8.56%, mainly due to two quarter point drops in the prime rate in
the latter half of 1998 and increased  competition in the market place. However,
the yield on loans for the nine month  period in 1999  increased 3 basis  points
from the six month yield of 1999 and will most likely continue to improve due to
two quarter point  increases in the prime rate during the third quarter of 1999.
The decrease in the yield caused interest income on loans to decrease  $372,000.
Overall, interest income increased $1.4 million. The yield on earning assets was
7.77% for 1999 and 8.28% for 1998.
                                       9
<PAGE>
         The overall cost of  interest-bearing  liabilities  decreased fifty-two
basis  points  from 4.66% to 4.14%,  which  resulted  in a decrease  in interest
expense of $231,000.  Offsetting this, total interest bearing deposits increased
$26.7  million  during the nine months of 1999 to $144.9  million,  of which NOW
Account  and  time  deposits   accounted  for  36%  and  33%  of  the  increase,
respectively.  The  increase in  deposits  caused  interest  expense to increase
$602,000.  Overall,  interest expense increased $374,000,  however,  the cost of
funding earning assets decreased from 3.74% to 3.33% in 1999.

         The net result of the change in net interest  income for the first nine
months of 1999  versus the first  nine  months of 1998 was an  increase  of $1.0
million. The net interest margin decreased eleven points from 4.54% to 4.43%.

PROVISION FOR LOAN POSSIBLE LOSSES
----------------------------------

         The  provision  for possible loan losses was $330,000 in the first nine
months of 1999 as compared  to  $225,000  in the first nine months of 1998.  The
increase  in  provision  can  be  attributed  to  an  increase  in  loans  which
experienced a net increase of $29.0 million since September 30, 1998.

OTHER INCOME
------------

         During the first nine months of 1999,  other income was almost equal to
the same period last year. Service charges on deposit accounts increased $66,000
or 31% from the same  period last year.  The growth in the number of  commercial
and  consumer  checking  accounts  resulted  in  increased  overdraft,   account
maintenance and wire transfer fees.  Foreign  transaction  fees at the Company's
ATM machines accounted for 10% of the increase in service charges on deposits.

         Gains on the sale of SBA loans  decreased  $108,000 for the same period
last year. The Company is a preferred SBA lender and, as such, it originates SBA
loans and sells the government guaranteed portions in the secondary market while
retaining  the  servicing.  The  amount  of  gains  recognized  on SBA  loans is
dependent on the volume of new SBA loans generated each quarter. The amounts can
vary  greatly  from  quarter to quarter  and from year to year.  Offsetting  the
decrease in SBA loan sale  activity,  the Company earned $29,000 for the sale of
FNMA mortgage  loans.  The Company was approved by FNMA to sell  mortgage  loans
late in the third quarter of 1998. Overall, gains on the sale of loans decreased
$80,000 from the same period in 1998.
<PAGE>
         The Company had a net $8,000 in loss from the sale of securities during
the first nine months of 1999.  The Company will  periodically  sell some of its
available  for sale  securities  for  varying  reasons.  These  reasons  include
achieving additional liquidity to meet increasing loan demand. Such was the case
during the past quarter.

         Other income  increased  $25,000 or 27% compared to 1998.  Over half of
this  increase  or 52% was  related  to fees  generated  from  the  sale of FNMA
mortgage  loans.  Additionally  fees,  related to the  servicing of SBA loans as
described above, increased 26% over the same period for last year.

                                       10
<PAGE>
OTHER EXPENSE
-------------

         Other  expenses for the nine months ended  September 30, 1999 increased
$762,000 or 19% from the same period in 1998. In the first quarter of 1998,  the
Company opened two branches,  one located on Gaston Avenue in Somerville and one
in the assisted living  facility in Arbor Glen in  Bridgewater.  A new branch in
Manville  was  opened  in the  first  quarter  of 1999.  Additionally,  expenses
involved with the plans for three more branches and a new  Operations  Center in
Somerville  have been incurred.  The branches are located in Aberdeen  Township,
Bernards Township and Edison Township. Expenses have been impacted by additional
personnel,  occupancy costs and other expenses related to the opening of the new
branches.  Consequently,  total  assets  have grown  $28.8  million or 17% since
September 30, 1998. Because of the growth in assets and in offices,  the Company
has also had to hire  additional  lending and  back-office  personnel  to better
service its customer base. These additions combined with normal salary increases
caused salary and benefits  expense to increase  $337,000 or 17% from last year.
Rent on the newly  opened  locations  and the  potential  branch site  locations
coupled  with  depreciation  on other  facilities  resulted in a $159,000 or 34%
increase in occupancy  expenses.  Purchases of equipment for new employees,  the
additional  branches and the new Operations  Center increased  equipment expense
$39,000 or 14% from last year. Other expenses  increased from last year $227,000
or 20%.  Much of this  increase  was related to the growth of the Company  which
affected many areas, but especially data processing  costs, and other outsourced
services.

FINANCIAL CONDITION
SEPTEMBER 30, 1999 COMPARED TO DECEMBER 31, 1998
------------------------------------------------

         Total  assets  increased  $16.0  million or 9% from  December 31, 1998.
Total loans  increased  $24.5  million.  Loans secured by real estate  increased
$19.7 million.  Residential  mortgage loans  increased $9.3 million.  Commercial
mortgages and commercial and industrial loans both increased $6.8 million.

         Deposits  increased  $15.1  million or 9% during the first nine months.
The two largest increases were non interest bearing deposits at $6.8 million and
NOW accounts at $3.5 million.

         Investment  securities decreased $1.8 million.  Anticipated loan growth
and fluctuation in demand deposit balances has caused a shift from securities to
short term  investments,  such as Federal  Funds sold and time deposits due from
banks.
<PAGE>
ASSET QUALITY

     Loans past due 90 days or more and still  accruing as of September 30, 1999
were $255,000.  Loans past due 90 days or more and still accruing as of December
31, 1998 were $5,000.

     Loans in a non-accrual  status  totaled  $284,000 at September 30, 1999 and
$96,000 at December 31, 1998 and represented .19% of total loans as of September
30, 1999 and .08% as of December 31, 1998.

     Loans  considered to be impaired  totaled $349,000 at September 30, 1999, a
valuation reserve of $20,000 is attributed to these loans.

     The Company had no other real estate owned at September 30, 1999.

ALLOWANCE FOR POSSIBLE LOAN LOSSES

     The allowance for possible loan losses is maintained at a level  considered
adequate to provide for  potential  loan losses.  The level of the  allowance is
based on  management's  evaluation of potential  losses in the portfolio,  after
consideration  of  risk   characteristics   of  the  loans  and  prevailing  and
anticipated  economic  conditions.  The  allowance is  increased  by  provisions
charged to expense and reduced by charge-offs, net of recoveries.

     At September 30, 1999,  the allowance for loans losses was  $1,447,000  and
represented .99% of total loans and 510% of non-performing  loans compared to an
allowance  for loan losses at December 31, 1998 of  $1,211,000 or 1.00% of total
loans and 1,261% of non-performing loans at December 31, 1998.

     Charge-offs for the first nine months of 1999 totaled $101,000  compared to
$80,000 for the year ended December 31, 1998.

                                       11
<PAGE>
CAPITAL RESOURCES
-----------------

         Total  Shareholders'  Equity was  $15,134,000  at  September  30,  1999
compared to $14,365,000 at December 31, 1998.

         Under the FDIC  Improvement Act of 1991, banks are required to maintain
a minimum ratio of total capital to risk based assets of 8% of which at least 4%
must be in the form of Tier I  Capital  (primarily  Shareholders'  Equity).  The
following are the Company's capital ratios at the end of the periods indicated.
<TABLE>
<CAPTION>
                                                      September 30,               December 31,
                                                          1999                      1998
                                                      -------------               ------------
<S>                                                       <C>                       <C>
Tier I Capital to Risk Weighted Assets                    9.39%                     10.24%
Total Capital to Risk Weighted Assets                    10.32%                     11.14%
Leverage Ratio                                            7.14%                      8.54%
</TABLE>

LIQUIDITY
---------

         Cash and cash equivalents  totaled $9.5 million at September 30, 1999 a
decrease of $10.1 million, since December 31, 1998.

         The decrease in Cash and Cash Equivalents was primarily attributable to
an increase in loans of $24.4 million.  Interest bearing time deposits increased
$2.4 million.

         On the financing side,  deposits generated $15.1 million in funds, with
non interest bearing deposits and Now accounts experiencing the largest increase
of $10.3 million.

Year 2000 Disclosure
--------------------

         The Year 2000 ("Y2K") issue is the result of computer  programs using a
two-digit  format as opposed to four digits to indicate the year.  Such computer
systems  will be unable to interpret  dates beyond the year 1999,  which cause a
system  failure  or  other  computer  errors,  leading  to  the  disruptions  in
operations.
<PAGE>
         In 1997,  the Company formed a Year 2000 Committee to develop a plan to
address the issue.  The first phase of the plan called for  identifying all date
reliant hardware,  including  computers,  check encoders,  vaults, A/C & heating
systems, lighting systems, etc. and computer software by performing an inventory
and contacting all vendors for information regarding the Y2K compliance of their
products.  The second phase of the plan called for the replacement or upgrade of
non-compliant  hardware  or software to Y2K  compliant  status.  The third phase
called for the testing of mission  critical  hardware  and software to ascertain
Y2K compliance.  In addition,  contingency  plans are being written to allow the
continuation of operations in case of system failures.

         Phase  I   (Inventory/Assessment)   has   been   completed.   Phase  II
(Renovation/Implementation)  has been  completed  except for the  replacement of
check encoder  hardware which will take place in the fourth quarter 1999.  Phase
III  (Validation/Testing)  is completed.  Contingency  plans will continue to be
updated as necessary through year end.

                                       12
<PAGE>
         Most of the Company's  major computer  applications  (loans,  deposits,
general  ledger,  etc.) are  outsourced to Fiserv,  one of the largest bank data
processing servicers in the country.  Fiserv has a Year 2000 Plan, is performing
testing on all mission  critical  systems and interfaces,  and has developed its
own contingency plans. Fiserv has completed testing of its systems. We have been
provided access to all its documentation and test results. As of this point, all
application  served by Fiserv  have been  certified  Year 2000  compliant  by an
independent auditor, hired by Fiserv's client group.

         The  Company  expects to spend  $200,000  for  equipment  upgrades  and
$30,000  for  direct  expense  items  to cover  additional  Y2K  charges.  As of
September 30, 1999, the Company has spent $45,000 in equipment upgrades.  Direct
expenses for Y2K were $8,000 for 1998 and $2,600 as of September 30, 1999.

         The Company has also made several mailings to its retail and commercial
customers to apprise them of the Y2K problem.  Y2K risk assessment has been made
a part of the Bank's  commercial loan  underwriting  procedures.  The commercial
portfolio has been reviewed and a Y2K risk assessment  made of customers.  These
customers  have been contacted and asked to complete a  questionnaire  regarding
their Y2K effort.

                            PART II-OTHER INFORMATION

ITEM 1   -        LEGAL PROCEEDINGS

                           The  Company  is  party  in the  ordinary  course  of
                    business  to  litigation   involving   collection   matters,
                    contract  claims  and other  miscellaneous  causes of action
                    arising from its business. Management does not consider that
                    such proceedings  depart from usual routine  litigation and,
                    in  its  judgment,  the  Company's  financial  position  and
                    results of  operations  will not be affected  materially  by
                    such proceedings.

ITEM 2   -        CHANGES IN SECURITIES
                  None.

ITEM 3   -        DEFAULTS UPON SENIOR SECURITIES
                  None.

ITEM 4   -        SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
                  ---------------------------------------------------
                    None.

ITEM 5   -        OTHER INFORMATION

                  OnJuly 6, 1998,  the common stock of the Company began trading
                  on the Nasdaq  National  Market,  under the  trading  symbol
                  SVBF.  On  September  30,  1999,  the  closing  bid  of  the
                  Company's common stock was $8.875 per share.

                  Effective  in July 1999,  the Company has a website and can be
                  located on www.svbfs.com.

                  In  September  1999,  the Bank  became a member of the Federal
                  Home Loan Bank.
                                       13
<PAGE>
ITEM 6   -        EXHIBITS AND REPORTS ON FORM 8-K
                  --------------------------------
            (A)   EXHIBITS

           3(I)   ARTICLES OF INCORPORATION
                  -------------------------
                  Certificate of  Incorporation of the Company is incorporated
                  by reference to the Company's Registration Statement on Form
                  SB-2 File Number  333-12305  Amendment No. 2, Filed November
                  4, 1996.

         3(II)    BYLAWS

                  Bylaws of the Company are  incorporated  by reference to the
                  Company's  Registration   Statement  on  Form  SB-2  File No.
                  333-12305 Amendment No.2, Filed November 4, 1996.

            (B)   FORM 8-K

                  There has been no Form 8-K filed  during the third  quarter of
1999.

           (27)   FINANCIAL DATA SCHEDULE

                                   SIGNATURES

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

                                        SVB FINANCIAL SERVICES, INC.
                                        (Registrant)

DATED:   NOVEMBER 10, 1999              BY: Keith B. McCarthy
                                           -------------------------------
                                           Keith B. McCarthy
                                           Executive Vice President
                                           Chief Accounting Officer