UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC  20549

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

For the quarterly period ended June 30,1999
Commission File Number 0-12635

SOUTHERN JERSEY BANCORP OF DELAWARE, INC.
(Exact Name of Registrant as specified in Charter)

Delaware                                          22-2983654
(State of Other Jurisdiction                     (I.R.S. Employer
of Incorporation or Organization)                 Identification Number)

53 South Laurel Street
Bridgeton, New Jersey  08302
(Address of Principal Executive Offices)

(609) 453-3000
(Registrant's Area Code and Telephone Number)

Registrant has filed all reports required to be filed by Section 13 or
15(d) of the Securities and Exchange Act of 1934 during the period it
has been subject to such filing requirements.

                   [X]  YES           [ ]  NO
Common Stock Outstanding as of June 30, 1999      1,128,081

<PAGE>
<TABLE>
PART I - Financial Information
This is the consolidated balance sheet for Southern Jersey Bancorp.
All dollar amounts are in thousands.

                               6/30/99     6/30/98       12/31/98
<S>                             <C>         <C>           <C>
ASSET
Cash and due from banks         20,625      19,642         18,879
Interest Bearing Deposits          450       4,000          2,450
Investment Securities Held to Maturity
                                     0      59,362              0
Investment Securities Available for Sale
                               114,148      40,393         98,974
Fair Value: Securities Held-to-Maturity
   6/30/99        0
   6/30/98   59,870
  12/31/98        0
Loan: Net of Unearned Income   242,194    289,582         268,894
Less: Allowance for loan losses  9,182      7,054          10,137
                                ------    -------           -----
Net Loans                      233,012    282,528         258,757
                                ------    -------           -----
Federal Funds Sold              49,600     46,100          67,700
Bank Premises and Equipment - Net
                                 6,969      6,450           6,994
Other Assets                    27,613     23,860          28,911
                                 -----     ------           -----
Total Assets                   452,417    482,335         482,665
                               =======    =======          ======

LIABILITIES                    6/30/99    6/30/98        12/31/98

Deposits - Interest Bearing    357,001    377,500         380,179
Non-Interest Bearing Deposits   62,108     61,456          65,387
                               -------    -------          ------
Total Deposits                 419,109    438,956         445,566
Funds Purchased                    -            -               -
Other Liabilities                5,151      5,059           5,010
                                ------    -------          ------
Total Liabilities              424,260    444,015         450,576
Shareholder's Equity
Common Stock Par Value $1.67 per share
Authorized 5,000,000 shares;
Issued 1,307,683 shares         2,184       2,129           2,184
Surplus                         3,259       2,260           3,259
Undivided Profits              29,095      37,588          29,549
                               ------     -------          ------
                               34,538      41,977          34,992
Less: Treasury Stock at cost

 179,602 Common Shares  6-30-99
 179,525 Common Shares  6-30-98
 180,202 Common Shares 12-31-98
                               3,824        3,806            3,839
                               -----      -------           ------
                              30,714       38,171           31,153
Allowance for unrealized gain/losses
on Available for Sale Securities
                              (2,557)         149              936
                               -----      -------           ------
Total Shareholder's Equity    28,157       38,320           32,089
                               -----      -------            -----
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY
                             452,417      482,335          482,665
                             =======      =======          =======
</TABLE>
<PAGE>
<TABLE>
This is the consolidated balance sheet for Southern
Jersey Bancorp of Delaware, Inc. All dollar amounts
are shown in thousands except for the per share data.

<CAPTION>
                               Six Months         Second Quarter
<S>                            <C>     <C>         <C>       <C>
INTEREST INCOME
  Int. on Securities:
   Taxable int. income         3,251   2,111        1,739     1,022
   Tax-Exempt int. inc.            1     710           (1)      358
   Interest and Fees on Loans  9,463  13,126        4,606     6,697
   Interest on Interest Bearing Deposits
                                  32     114            6       114
   Federal Funds Sold          1,752   1,184          811       657
   Lease Income                    0       0            0         0
                                ----    ----         ----     -----
Total Int. Income             14,499  17,245        7,161     8,848

INTEREST EXPENSE
Interest on Deposit Savings    2,548   2,757        1,291     1,379
Certificates of Deposit $100,000 and over
                               1,261   2,163          593     1,106
Federal Funds Purchased            -       -            -         -
Other Time Deposits            4,626   4,235        2,360     2,117
                               -----   -----         ----     -----
Total Int. Expense             8,435   9,155        4,244     4,602

NET INTEREST INCOME            6,064   8,090        2,917     4,246
Provision for Loan Losses      1,060   2,900          494     1,700
                               -----   -----         ----       ---
Net Interest Income After Provision for Loan Loss
                               5,004   5,190        2,423  	  2,546

OTHER OPERATING INCOME
Service charges on deposit accounts
                                 865     834          432       423
  Trust Department Income        453     399          230       209
  Comm., collection
    Charges and fees             403     524          186       270
  Investment Security gains/(losses)
                                 553       0            0         0
Other Non-Interest Income          0       0            0         0
                               -----   -----         ----      ----
Total Other Operating Income   2,274   1,757          848       902

OTHER OPERATING EXPENSES
  Salaries and Wages           2,836   2,457        1,352     1,363
  Pension and other benefits     656     697          346       369
  Occupancy and Equipment      1,002     969          523       519
  FDIC Assessment                 89      94           29        54
  Postage, stationary and supplies
                                 245     265          170       114
  Professional Fees              936     737          609       395
  Other Oper. Expen.           1,968   2,580        1,051     1,518
                               -----   -----        -----     -----
Total Other Oper. Expenses     7,732   7,799        4,080     4,332

Income Before Income Taxes      (454)   (852)        (809)     (884)
Applicable Income Taxes            0       0          (99)      (10)
                                ----   -----         ----     -----
NET INCOME                      (454)   (852)        (710)     (874)
                                 ===   =====         ====     =====
 Earnings Per Common Share     (0.40)  (0.70)       (0.63)    (0.72)
</TABLE>
<PAGE>
<TABLE>
SOUTHERN JERSEY BANCORP OF DELAWARE, INC.
CONSOLIDATED STATEMENT OF CASH FLOWS (Dollars in Thousands)
                                           Six Months Ended
                                                 June 30
                                            1999          1998
<S>                                        <C>           <C>
Cash Flows from Operating Activities
Net Income                                  (454)         (852)
 Adjustments to reconcile net income to
  net cash provided by oper. activities
 Amortization of Organization Expenses         0             0
 Depreciation of Premises and Equip.         392           264
 Net Loan Charge-Offs                     (2,016)       (1,082)
 Provision for Loan Losses                 1,060         2,900
 Premium Amortization net of discount accretion
                                               0             0
 Gain or (Loss) on Sale of Securities        553             0
 Gain on Other Real Estate                     0            (3)
 Gain on Sale of Bank Premises & Equipment     0             0
(Increase)/decrease in Other Assets        1,298        (3,405)
Increase/(decrease) in Other Liabilities     141          (272)
Increase/(decrease) in Borrowed Funds          0             0
                                          ------         -----
Net Cash Provided by Operating Activities    974        (2,450)

Cash Flows from Investing Activities
  Net (increase)/decrease in Int Bearing deposits
                                           2,000          114
  Net (increase)/decrease in federal funds sold
                                          18,100        (5,150)
  Purchase of Investment Securities      (65,988)      (32,390)
  Proceeds from Sale of Invest. Secur.         0              0
  Proceeds from Maturities of Invest. Securities
                                          56,697         24,971
  (Increase)/Decease in Loans             26,700         15,974
  Bank Premises and Equipment               (315)         (361)
  Proceeds from Sale of Bank Premises and Equipment
                                               0             0
  Proceeds from Sale of Other Real Estate     20           155
                                           -----          ----
Net Cash Used for Investing Activities    37,214         3,313

Cash Flows from Financing Activities
  (Decrease)/Increase in Total Deposits  (36,457)          492
  Cash Dividends                               0          (329)
  Purchase of Treasury Stock                   0          (174)
  Sale of Treasury Stock                      15           225
                                           -----          ----
Net Cash Provided by Financing Activities
                                         (36,442)          214
Net Increase/(Decrease) in Cash and Cash Equivalents
                                           1,746         1,077
Cash and Equivalents at the Beginning of the Year
  	                                    18,879        18,565
                                          ------         -----
Cash and Equivalents at End of the Quarter
                                          20,625        19,642
                                           =====         =====
Supplementary Schedule of Non-Cash Investing and
Financing Activities
Loans, Net of Charge-Offs transferred to
Other Real Estate Owned:                    1,026          399
</TABLE>
<PAGE>
                SOUTHERN JERSEY BANCORP OF DELAWARE, INC.
                     NOTES TO FINANCIAL STATEMENTS
                   THREE MONTHS ENDED JUNE 30, 1999

1.  Principals of Consolidation: The consolidated financial statements
reflect the account of Southern Jersey Bancorp of Delaware, Inc. and its
subsidiary The Farmers and Merchants National Bank of Bridgeton, after
the elimination of all inter-company balances and transactions.

2.  There have been no significant changes in the accounting policies of
the Registrant the date the most recent annual report to security holders,
nor have there occurred events which have material impact on the disclosures
herein.

3.  The interim financial statements contained herein reflect all
adjustments which are, in the opinion of management, necessary to a fair
statement of the results for the interim period presented.

4.  In accordance with Rule 10-01(b)(8), the unaudited interim financial
statements filed under cover of Form 10-Q for June 30, 1999, reflect
adjustments that are of a normal recurring nature which are, in the
opinion of Management, necessary to a fair statement of the results
for the interim periods presented.

                       SOUTHERN JERSEY BANCORP OF DELAWARE, INC.

                                    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.


           SOUTHERN JERSEY BANCORP OF DELAWARE, INC.
           (Registrant)



           Paul J. Ritter, III
           Treasurer



           Clarence D. McCormick
           Chairman/CEO

DATE:   August 16, 1999

<PAGE>
                      MANAGEMENT'S DISCUSSION AND ANALYSIS
                                      OF
                             RESULTS IN OPERATIONS

 Six Months Ended June 30, 1999

   The Company had a net loss of $454,000 for the first six months of 1999
as compared to net loss of $852,000 for the comparable period of 1998. The
decrease in the net loss is primarily a result of the gain realized on the
sale of the investment securities classified available for sale totaling
approximately $553,000.

   The Company had $242,194,000 in total loans at June 30, 1999 as compared to
$289,582,000 in total loans at June 30, 1998. The 16.4% decrease in total loans
for the first six months of 1999 is a result of the Company's tightening of
credit standards and the continued implementation of its revised loan policy
with its stricter underwriting guidelines.

   The Company had interest income from its loans and investment securities of
$14,499,000 for the first six month period ended June 30, 1999 as compared to
$17,264,000 for the comparable period in 1998. This 19.1% decrease in interest
income is primarily attributable to the $47,388,000 decrease in loans at the
Company. As a result of fewer loans booked at the Company, its net interest
income fell 33.7% from $8,109,000 for the first six months of 1998 to
$6,064,000 for the comparable period in 1999.

   The Company's non-interest income held steady for the first six months of
1999 with the Company earning $1,721,000 as compared to $1,739,000 during the
first six months of 1998.

   The Company's non-interest expense increased for the first six months of
1999 with the Company expensing $7,534,000 as compared to $7,166,000 during
the first six months of 1998. This increase was primarily a result of a
$303,000 increase in legal and professional fees incurred due to problem
assets in the first six months of 1999 as compared to the comparable period
in 1998.

   The Company had $419,109,000 in total deposits for the first six months
of 1999 as compared to $438,956,000 for the first six months of 1998. This
4.7% decrease is primarily a result of the deposit run-off experienced by the
Company after it lowered the interest rates it paid on deposits in the second
quarter of 1999.

   The increase in the Company's Allowance for Loan and Lease Losses of
$2,128,000 from $7,054,000 as of June 30, 1998 to $9,182,000 as of June 30,
1999 was a result of the $9,476,000 (108.8%) increase in non-performing loans
experienced by the Company in the first six months 1999 as compared to the
first six months of 1998. The increase in the amount of loans on non-performing
status is a result of the Company's internal loan review of its commercial
portfolio and the classifications resulting therefrom.

Year 2000


    In the past, many computer systems were designed only to recognize
a six-digit date structure (i.e. two digits for each of the month, day, and
year). Many of these programs and systems may not be able to interpret and
process accurately a six-digit date ending with "00". To the extent these
systems are unable to process into the year 2000, inaccurate results may
be produced.

    The Company utilizes computer hardware and software programs to conduct
and support its ongoing operations. Management implemented a plan (the
"Plan") in January 1997 to address the Company's Year 2000 situation. To
implement the Plan, management established a task force responsible for
overseeing the implementation of the Plan to completion. The Plan includes
the estimated costs of repairing or replacing computer systems or software
as necessary and is expected to cost between approximately $1.5 million
and $2.0 million. To date, the Company has expended approximately $1.8 million
to effectuate the Plan.

    The Plan is comprised of several phases. The first phase involved
the assessment of the Company's current systems and vendors to determine
their Y2K compliance. The Company reviewed all of its software vendors,
both banking specific and general software applications; hardware vendors;
Trust Department vendors; third party service providers; and infrastructure
issues. During this evaluation, the Company made the determination of what
systems needed to be updated or replaced.

    After the completion of this assessment, the Company began the upgrade or
replacement of any systems that were identified as non-Y2K compliant in
the assessment phase. This included the replacement of the Company's core
accounting system hardware and software. The Company formed a committee to
monitor this process. The conversion was completed by the end of the third
quarter of 1998. The Company also performed several other replacements and
upgrades to ensure year 2000 compliance. These upgrades have been completed.

    The Company has completed the validation phase of the project. The Company
prioritized its systems based on the critical nature of each. Those
of higher priorities were tested and the results reviewed for accuracy.
A Y2K Test Committee was formed to complete this phase of the project.
This committee consisted of members of the Company's management representing
the various departments of the Company. The testing of internal applications
was completed by March 31, 1999. The testing of external vendor
relationships was completed by June 30, 1999.

    Although the Company has developed and is implementing its Plan to
address the Year 2000 issue, no assurances can be made that the Plan will
be fully implemented within the estimated timeframe and cost; nor can any
assurances be given, regardless of whether the Plan is fully and timely
implemented, that the efforts of the Company will be, either partially or
wholly, successful. Much of the Company's success in implementing its Plan
will rely on third parties who are beyond the Company's control. The complete
failure of the Company's Plan to address the Year 2000 situation may have a
material adverse effect on the operations of the Company. As of June 30,
1999, the Company is uncertain of the magnitude of the impact the Year 2000
issue will have on its operations. Management has prepared contingency
plans to address the partial or complete failure of the Plan, and/or the
failure of third parties with whom the Company does business to address
timely and successfully the Year 2000 issue. These contingency plans were
completed by June 30, 1999.

Recent Developments

   On June 28,1999, the Company entered into a merger agreement with Hudson
United Bancorp in Mahwah, New Jersey. The merger terms provide for the
Conversion of each share of Company common stock into 1.26 shares of Hudson
United common stock. This Merger is expected to be completed by the fourth
quarter of 1999.

The foregoing discussion contains forward-looking statements that
involve risks and uncertainties. The Company's actual results could differ
materially from those anticipated in these forward-looking statements
as a result of certain factors, including the performance of the Company's
marine loan portfolio, the commercial and industrial loans and the banking
industry performance in general.

<PAGE>
                         PART II - OTHER INFORMATION

EXHIBITS AND REPORTS ON FORM 8-K
      A.  	Exhibits
            Exhibit 27. Financial Data Schedule
      B.    Reports on Form 8-K
            No reports have been filed on Form 8-K during this quarter.