UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20429

                                   Form 10-QSB

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

               For the quarterly period ended: September 30, 2005

          [ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
                         SECURITIES EXCHANGE ACT OF 1934

           For the transition period from ____________ to ____________

                          Commission File No. 000-51338

                               PARKE BANCORP, INC.
                               -------------------
        (Exact name of small business issuer as specified in its charter)

             New Jersey                                   65-1241959
-------------------------------             ------------------------------------
(State or other jurisdiction of             (IRS Employer Identification Number)
incorporation or organization)

             601 Delsea Drive, Washington Township, New Jersey 08080
             -------------------------------------------------------
                    (Address of principal executive offices)

                                  856-256-2500
                                  ------------
                           (Issuer's telephone number)

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

         Check whether the issuer (1) filed all reports  required to be filed by
Section 13 or 15(d) of the  Exchange  Act during the past 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         No  X
                                                         ---        ---

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

                      APPLICABLE ONLY TO CORPORATE ISSUERS

         State the number of shares  outstanding of each of the issuer's classes
of common equity as of the latest  practicable date:  2,263,400 shares of common
stock outstanding as of October 20, 2005.

         Transitional Small Business  Disclosure Format (check one):
                                                     Yes         No  X
                                                         ---        ---

<PAGE>

                               PARKE BANCORP, INC.

                                   FORM 10-QSB

                    FOR THE QUARTER ENDED SEPTEMBER 30, 2005

                                      INDEX


                                                                            Page
                                                                            ----
Part I      FINANCIAL INFORMATION

Item 1.     Financial Statements..............................................1
Item 2.     Management's Discussion and Analysis or Plan of Operation........10
Item 3.     Controls and Procedures..........................................15

Part II     OTHER INFORMATION

Item 1.     Legal Proceedings................................................16
Item 2.     Unregistered Sales of Equity Securities and Use of Proceeds......16
Item 3.     Default Upon Senior Securities...................................16
Item 4.     Submission of Matters to a Vote of Security Holders..............16
Item 5.     Other Information................................................16
Item 6.     Exhibits.........................................................16

SIGNATURES...................................................................17

EXHIBITS and CERTIFICATIONS

<PAGE>

                          PART I. FINANCIAL INFORMATION

ITEM 1.  FINANCIAL STATEMENTS

                       PARKE BANCORP, INC. AND SUBSIDIARY
                           CONSOLIDATED BALANCE SHEETS
                    SEPTEMBER 30, 2005 AND DECEMBER 31, 2004

<TABLE>
<CAPTION>
                                                                        September 30,    December 31,
                                                                           2005              2004
                                                                       -------------    -------------
                                                                               (unaudited)
<S>                                                                   <C>              <C>
ASSETS
Cash and cash due from banks                                           $   7,230,097    $   1,780,280
Federal funds sold                                                         5,587,798           21,508
                                                                       -------------    -------------
          Cash and cash equivalents                                       12,817,895        1,801,788

Investment securities available for sale, at market value                 20,126,308       24,042,802
Investment securities held to maturity, at amortized cost
     (market value $2,339,691 in 2005 and $540,740 in 2004)                2,402,119          547,632
                                                                       -------------    -------------
          Total investment securities                                     22,528,427       24,590,434

Restricted stock, at cost                                                    746,900        1,064,200

Loans                                                                    232,109,937      188,606,990
Less: allowance for loan losses                                           (3,199,812)      (2,620,651)
                                                                       -------------    -------------
          Total net loans                                                228,910,125      185,986,339

Building premises and equipment, net                                       3,139,169        3,247,179

Accrued interest receivable and other assets                               8,010,246        7,648,623
                                                                       -------------    -------------

          Total assets                                                 $ 276,152,762    $ 224,338,563
                                                                       =============    =============
</TABLE>

See Notes to Consolidated Financial Statements

                                       1

<PAGE>

                       PARKE BANCORP, INC. AND SUBSIDIARY
                           CONSOLIDATED BALANCE SHEETS
                    SEPTEMBER 30, 2005 AND DECEMBER 31, 2004

<TABLE>
<CAPTION>
                                                                       September 30,     December 31,
                                                                            2005            2004
                                                                       -------------    -------------
                                                                        (unaudited)
<S>                                                                  <C>              <C>
LIABILITIES & SHAREHOLDERS' EQUITY
LIABILITIES

Deposits
     Noninterest-bearing demand                                        $  17,580,840    $  15,960,444
     Interest-bearing                                                    202,929,277      163,624,567
                                                                       -------------    -------------
          Total deposits                                                 220,510,117      179,585,011

Borrowed funds                                                             5,082,500        3,100,000
Federal Home Loan Bank advances                                           12,230,738       17,278,726
Subordinated debentures                                                   10,000,000                -
Accrued interest payable and other accrued liabilities                     2,470,790        1,545,675
                                                                       -------------    -------------
          Total liabilities                                              250,294,145      201,509,412
                                                                       -------------    -------------
COMMITMENTS AND CONTINGENCIES (Note 1)
SHAREHOLDERS' EQUITY
  Common stock, $ 0.10 par value, 10,000,000 shares
  authorized; 2,255,090 shares issued and outstanding at
  September 30, 2005 and 2,175,559 shares issued and
  outstanding at December 31, 2004                                           225,509          217,556
  Preferred stock, 1,000,000 shares authorized; no shares issued and
   outstanding at both dates                                                       -                -
  Additional paid-in capital                                              20,046,126       19,390,102
  Retained earnings                                                        5,818,130        3,292,697
  Accumulated other comprehensive loss                                      (231,148)         (71,204)
                                                                       -------------    -------------
          Total shareholders' equity                                      25,858,617       22,829,151
                                                                       -------------    -------------
          Total liabilities and shareholders' equity                   $ 276,152,762    $ 224,338,563
                                                                       =============    =============
</TABLE>

See Notes to Consolidated Financial Statements

                                       2

<PAGE>

                       PARKE BANCORP, INC. AND SUBSIDIARY
                      CONSOLIDATED STATEMENTS OF OPERATIONS
                                   (Unaudited)

<TABLE>
<CAPTION>
                                                                        For the three   For the three  For the nine    For the nine
                                                                        months ended    months ended   months ended    months ended
                                                                        September 30,   September 30,  September 30,   September 30,
                                                                         ------------   ------------   ------------    ------------
                                                                              2005           2004           2005            2004
                                                                         ------------   ------------   ------------    ------------
<S>                                                                     <C>            <C>            <C>             <C>
INTEREST AND DIVIDEND INCOME
  Loans, including fees                                                  $  4,116,948   $  2,770,890   $ 11,317,002    $  8,022,093
  Investment securities                                                       273,994        193,454        868,372         524,030
  Federal funds sold                                                           43,426         16,006         52,290          30,905
                                                                         ------------   ------------   ------------    ------------
          Total interest and dividend income                                4,434,368      2,980,350     12,237,664       8,577,028
                                                                         ------------   ------------   ------------    ------------

INTEREST EXPENSE
  Deposits                                                                  1,593,048        898,553      4,068,413       2,559,127
  Federal Home Loan Bank advances                                             128,546         47,912        408,424         147,370
  Borrowed funds                                                               89,315          7,694        114,505           9,633
                                                                         ------------   ------------   ------------    ------------
          Total interest expense                                            1,810,909        954,159      4,591,342       2,716.130
                                                                         ------------   ------------   ------------    ------------

          Net interest income                                               2,623,459      2,026,191      7,646,322       5,860,898

PROVISION FOR LOAN LOSSES                                                     298,005        101,951        806,162         399,411
                                                                         ------------   ------------   ------------    ------------

Net interest income after provision for loan losses                         2,325,454      1,924,240      6,840,160       5,461,487
                                                                         ------------   ------------   ------------    ------------

NONINTEREST INCOME
  Loan brokerage fees                                                            --            5,225           --             5,225
  Service charges and other fee income                                        237,771        278,144        718,238         575,696
  Gain (loss) on sale of securities                                              --            7,889         (9,240)          7,889
                                                                         ------------   ------------   ------------    ------------
          Total noninterest income                                            237,771        291,258        708,998         588,810
                                                                         ------------   ------------   ------------    ------------

NONINTEREST EXPENSES
  Compensation and benefits                                                   560,614        479,440      1,619,496       1,275,220
  Occupancy, equipment and data processing                                    196,282        184,027        594,611         600,138
  Marketing and business development                                           74,361         27,246        208,878         128,565
  Professional services                                                       161,522         75,646        564,672         191,037
  Other operating expenses                                                     88,945        190,534        362,418         498,599
                                                                         ------------   ------------   ------------    ------------
          Total noninterest expenses                                        1,081,724        956,893      3,350,075       2,693.559
                                                                         ------------   ------------   ------------    ------------

INCOME BEFORE INCOME TAX EXPENSE                                            1,481,501      1,258,605      4,199,083       3,356,738

INCOME TAX EXPENSE                                                            592,100        490,000      1,673,650       1,309,500
                                                                         ------------   ------------   ------------    ------------

NET INCOME                                                               $    889,401   $    768,605   $  2,525,433    $  2,047,238
                                                                         ============   ============   ============    ============

NET INCOME PER COMMON SHARE
      Basic                                                              $       0.39   $       0.36   $       1.13    $       0.95
                                                                         ============   ============   ============    ============
      Diluted                                                            $       0.34   $       0.31   $       0.96    $       0.81
                                                                         ============   ============   ============    ============

WEIGHTED AVERAGE SHARES OUTSTANDING
      Basic                                                                 2,253,522      2,151,334      2,235,239       2,149,081
                                                                         ============   ============   ============    ============
      Diluted                                                               2,652,323      2,519,009      2,626,906       2,525,064
                                                                         ============   ============   ============    ============
</TABLE>

See Notes to Consolidated Financial Statements

                                       3
<PAGE>

                       PARKE BANCORP, INC. AND SUBSIDIARY
                 CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY
                  NINE MONTHS ENDED SEPTEMBER 30, 2005 AND 2004
                                   (Unaudited)

<TABLE>
<CAPTION>
                                                               Additional                    Accumulated
                                                                 Paid                          Other               Total
                                                  Common          in            Retained    Comprehensive      Shareholders'
                                                   Stock        Capital         Earnings    Income (Loss)         Equity
                                                   -----        -------         --------    -------------         ------
<S>                                            <C>          <C>               <C>             <C>            <C>
   Balance,  December 31, 2003                   $178,624     $19,185,351       $570,939        $57,693        $19,992,607
      Stock options and
        warrants exercised                            902          82,092              -              -             82,994
     Comprehensive income
      Net income for the period                         -               -      2,047,238              -          2,047,238
     Change in net unrealized gain on
       securities available for sale,
       net of reclassification adjustment
       and tax effects, if any                          -               -              -        (29,956)           (29,956)
        Total comprehensive income                                                                               2,017,282
                                                 --------     -----------     ----------        -------        -----------
   Balance,  September 30, 2004                  $179,526     $19,267,443     $2,618,177        $27,737        $22,092,883
                                                 ========     ===========     ==========        =======        ===========


   Balance,  December 31, 2004                   $217,556     $19,390,102     $3,292,697       $(71,204)       $22,829,151
      Stock options and
        warrants exercised                          7,953         656,024              -              -            663,977
      Comprehensive income
        Net income for the period                       -               -      2,525,433              -          2,525,433
      Change in net unrealized loss on
        securities available for sale,
        net of reclassification adjustment
        and tax effects, if any                         -               -              -       (159,944)          (159,944)
         Total comprehensive income                                                                              2,365,489
                                                 --------     -----------     ----------        -------        -----------
   Balance,  September 30, 2005                  $225,509     $20,046,126     $5,818,130      $(231,148)       $25,858,617
                                                 ========     ===========     ==========      =========        ===========
</TABLE>
See Notes to Consolidated Financial Statements

                                       4

<PAGE>

                       PARKE BANCORP, INC. AND SUBSIDIARY
                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                  NINE MONTHS ENDED SEPTEMBER 30, 2005 AND 2004
                                   (Unaudited)

<TABLE>
<CAPTION>
                                                                                        2005            2004
                                                                                   ------------    ------------
<S>                                                                              <C>             <C>
OPERATING ACTIVITIES
Net income                                                                         $  2,525,433    $  2,047,238
Adjustments to reconcile net income to net cash provided by
   Operating activities:
      Depreciation and amortization                                                     198,960         184,111
      Provision for loan losses                                                         806,162         399,411
      Net accretion of investment securities premiums/discounts                         (66,656)        (46,394)
      Realized losses (gains) on sale of securities                                       9,240          (7,889)
Changes in operating assets and liabilities:
   Increase in accrued interest receivable and other assets                            (254,995)       (641,808)
   Increase in accrued interest payable and other liabilities                           925,115         578,788
                                                                                   ------------    ------------
      Net cash provided by operating activities                                       4,143,259       2,513,457
                                                                                   ------------    ------------

INVESTING ACTIVITIES
   Purchases of investment securities available for sale                             (4,836,518)     (7,455,477)
   Proceeds from sales of restricted stock                                              317,300          28,100
   Proceeds from sales of investment securities available for sale                    5,092,055       1,144,694
   Proceeds from maturities/call of investment securities
     available for sale                                                                       -       1,000,000
   Principal payments on mortgage-backed securities
     available for sale                                                               1,597,314       1,956,324
   Net increase in loans                                                            (43,729,948)    (21,770,986)
   Purchase of building premises and equipment                                          (90,950)       (192,763)
                                                                                   ------------    ------------
      Net cash used in investing activities                                         (41,650,747)    (25,290,108)
                                                                                   ------------    ------------


FINANCING ACTIVITIES
   Proceeds from issuance of common stock                                               663,977          82,994
   Net increase in borrowed funds                                                     1,982,500       2,592,970
   Net increase in subordinated debt                                                 10,000,000               -
   Net decrease in Federal Home Loan Bank advances                                   (5,047,988)     (3,295,775)
   Net increase in interest-bearing deposits                                         39,304,710      26,485,733
   Net increase in noninterest-bearing deposits                                       1,620,396       3,105,624
                                                                                   ------------    ------------
      Net cash provided by financing activities                                      48,523,595      28,971,546
                                                                                   ------------    ------------

INCREASE IN CASH AND CASH EQUIVALENTS                                                11,016,107       6,194,895

CASH AND CASH EQUIVALENTS, JANUARY 1,                                                 1,801,788       4,267,256
                                                                                   ------------    ------------

CASH AND CASH EQUIVALENTS, SEPTEMBER 30,                                           $ 12,817,895    $ 10,462,151
                                                                                   ============    ============

SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
   Cash paid during the period for:
     Interest on deposits and borrowed funds/FHLB advances                         $  4,023,000    $  2,599,419
                                                                                   ============    ============
     Income taxes                                                                  $  1,220,000    $  1,413,115
                                                                                   ============    ============
</TABLE>

See Notes to Consolidated Financial Statements

                                       5

<PAGE>
                      PARKE BANCORP, INC. AND SUBSIDIARY
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (Unaudited)

NOTE 1.  GENERAL

Business

         Parke Bancorp, Inc. ("Parke Bancorp or the "Company") is a bank holding
company  incorporated  under the laws of the State of New Jersey in January 2005
for the sole purpose of becoming the holding company of Parke Bank (the "Bank").
Parke Bancorp recognized the assets and liabilities  transferred at the carrying
amounts in the accounts of the Bank as of June 1, 2005,  the  effective  date of
the reorganization. The accompanying consolidated financial statements have been
prepared in accordance  with  accounting  principles  generally  accepted in the
United States of America and are presented as if the exchange of shares occurred
as of January 1, 2004.  Pursuant to the Plan of  Acquisition,  each  outstanding
share of Parke Bank was  converted  automatically  by  operation of law into one
share of Parke Bancorp.  Parke Bancorp had no activity prior to the  competition
of this  reorganization.  Parke Bancorp is authorized to issue 10,000,000 shares
of common  stock,  par value  $0.10  per  share and  1,000,000  shares of serial
preferred  stock,  par value $0.10 per share.  Options and warrants  outstanding
under the Bank's various Plans were converted  automatically by operation of law
into options and warrants to purchase  shares of Parke Bancorp on the same terms
and conditions.

         The Bank is a commercial  bank,  which commenced  operations on January
28,  1999.  The Bank is chartered  by the New Jersey  Department  of Banking and
insured by the Federal Deposit Insurance Corporation ("FDIC"). Parke Bancorp and
the Bank  maintain  their  principal  offices  at 601 Delsea  Drive,  Washington
Township,  New  Jersey.  The Bank also  conducts  business  through  offices  in
Northfield and Washington Township, New Jersey. In addition, the Bank also has a
Loan Production Office in Philadelphia,  Pennsylvania maintained exclusively for
loan production.

Financial Statements

         The  financial  statements  as  of  September  30,  2005  and  for  the
three-month  and nine-month  periods ended  September 30, 2005 and September 30,
2004  included  herein have not been  audited.  Comparison  to 2004 year-end and
interim period  financial data relate to the financial  condition and results of
operations of Parke Bank. Certain information and footnote  disclosures normally
included  in  financial   statements  prepared  in  accordance  with  accounting
principles generally accepted in the United States of America ("GAAP") have been
condensed or omitted;  therefore,  these financial  statements should be read in
conjunction with the Bank's audited  financial  statements and the notes thereto
for the years ended  December  31, 2004 and 2003  included in the Bank's  Annual
Report on Form 10-KSB for the fiscal year ended December 31, 2004, as filed with
the FDIC. The accompanying  financial statements reflect all adjustments,  which
are, in the opinion of management,  necessary to present a fair statement of the
results for the interim  periods  presented.  Such  adjustments  are of a normal
recurring  nature.  The  results  for the three  months  and nine  months  ended
September  30, 2005 are not  necessarily  indicative  of the results that may be
expected for the year ending December 31, 2005 or any other periods.

Basis of Financial Statement Presentation

         The financial  statements include the accounts of Parke Bancorp and the
Bank.  All  significant   inter-company  accounts  and  transactions  have  been
eliminated.  Such  statements  have been prepared in accordance  with accounting
principles  generally  accepted  in the  United  States of America  and  general
practice within the banking industry.

Use of Estimates

         The  preparation of financial  statements  requires  management to make
estimates  and  assumptions  that  affect  the  reported  amounts  of assets and
liabilities and the disclosure of contingent  assets and liabilities at the date
of the financial  statements  and the reported  amounts of revenues and expenses
during the reporting period. Actual results could differ from such estimates.

                                       6

<PAGE>

Investments

         The Bank has  identified  investment  securities  that will be held for
indefinite periods of time,  including securities that will be used as a part of
the Bank's  asset/liability  management  strategy and may be sold in response to
changes in interest rates, prepayments and similar factors. These securities are
classified as "available-for-sale" and are carried at fair value, with temporary
unrealized gains or losses reported as a separate component of accumulated other
comprehensive income (losses), net of the related income tax effect. Declines in
the fair value of the individual  available-for-sale securities below their cost
that are other than temporary result in write downs of the individual securities
to their fair value and are included in noninterest  income in the  consolidated
statements of  operations.  Factors  affecting the  determination  of whether an
other-than-temporary  impairment  has  occurred  include  a  downgrading  of the
security  by a rating  agency,  a  significant  deterioration  in the  financial
condition of the issuer,  or that the Bank would not have the intent and ability
to hold a security for a period of time  sufficient to allow for any anticipated
recovery in fair value.  The unrealized  losses that existed as of September 30,
2005 are the result of market  changes in interest  rates  since the  securities
where purchased.  This factor coupled with the fact the Bank has both the intent
and ability to hold  securities for a period of time sufficient to allow for any
anticipated  recovery in fair value  substantiates that the unrealized losses in
the available-for-sale portfolio are temporary.

Commitments

         In the  general  course  of  business,  there are  various  outstanding
commitments to extend  credit,  such as letters of credit and  un-advanced  loan
commitments,  which are not reflected in the accompanying  financial statements.
Management  does  not  anticipate  any  material  losses  as a  result  of these
commitments.

Contingencies

         The Company is from time to time a party to routine  litigation  in the
normal course of its business.  Management  does not believe that the resolution
of  this  litigation  will  have a  material  adverse  effect  on the  financial
condition or results of operations of the Company. However, the ultimate outcome
of any such litigation,  as with litigation  generally,  is inherently uncertain
and it is possible that some litigation matters may be resolved adversely to the
Company.


NOTE 2.  EARNINGS PER SHARE

         Basic  earnings per share is computed by dividing  income  available to
holders of common stock (the numerator) by the weighted average number of common
shares outstanding (the denominator) during the period. Shares issued during the
period are  weighted  for the portion of the period that they were  outstanding.
The weighted  average number of common shares  outstanding  for the three months
ended September 30, 2005 and 2004 was 2,253,522 and 2,151,334, respectively, and
for the nine  months  ended  September  30,  2005 and 2004,  was  2,235,239  and
2,149,081, respectively.

         Diluted  earnings  per share are  similar to the  computation  of basic
earnings  per share  except that the  denominator  is  increased  to include the
number of  additional  common  shares  that would have been  outstanding  if the
dilutive  options  and  warrants  outstanding  had been  exercised.  The assumed
conversion  of  dilutive  options and  warrants  resulted in 398,801 and 367,675
additional shares for the three months period ended September 30, 2005 and 2004,
respectively,  and for the nine  months  ended  September  30, 2005 and 2004 was
391,667 and 375,983, respectively.

         Both basic and diluted earnings per share computations give retroactive
effect to stock dividends declared and paid in December 2004.

                                       7

<PAGE>

NOTE 3.  STOCK-BASED EMPLOYEE COMPENSATION

         The Company has stock-based  employee  compensation plans. As permitted
under  generally  accepted  accounting  principles,  grants of options under the
plans are accounted for under the recognition and measurement  principles of APB
Opinion  No.  25,  Accounting  for  Stock  Issued  to  Employees,   and  related
Interpretations.  Because  options granted under the plans had an exercise price
equal to or greater than the market value of the underlying  common stock on the
date  of  grant,  no  stock-based  employee  compensation  cost is  included  in
determining net income. The following table illustrates the effect on net income
and earnings per share for the three and nine months  ended  September  30, 2005
and 2004,  if the Company had applied the fair value  recognition  provisions of
Financial  Accounting Standards Board ("FASB") Statement No. 123, Accounting for
Stock-Based Employee Compensation,  to stock-based employee  compensation.  Both
basic and  diluted  calculations  give  retroactive  effect  to stock  dividends
declared.

<TABLE>
<CAPTION>
                                        Three months ended                 Nine months ended
                                           September 30                       September 30
                                       2005              2004              2005              2004
                                     --------          --------        ----------        ----------
<S>                                 <C>               <C>             <C>               <C>
Net income, as reported              $889,401          $768,605        $2,525,433        $2,047,238
Deduct total stock-based
compensation expense determined
under the fair value method for
all awards, net of related tax
effects                                     -                 -           (90,000)          (34,800)
                                     --------          --------        ----------        ----------
Pro-forma net income                 $889,401          $768,605        $2,435,433        $2,012,438
                                     ========          ========        ==========        ==========

Basic earnings per share:
      As reported                       $0.39             $0.36             $1.13             $0.95
      Pro-forma                         $0.39             $0.36             $1.09             $0.94

Diluted earnings per share:
      As reported                       $0.34             $0.31             $0.96             $0.81
      Pro-forma                         $0.34             $0.31             $0.93             $0.80
</TABLE>


NOTE 4.  REGULATORY RESTRICTIONS

         The Bank is subject  to  various  regulatory  capital  requirements  of
federal and state 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 the
Company's  financial  statements.  Under  capital  adequacy  guidelines  and the
regulatory  framework for prompt corrective  action, the Bank must meet specific
capital guidelines that involve  quantitative  measures of assets,  liabilities,
and certain  off-balance  sheet items as calculated under regulatory  accounting
practices.  The Bank'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 the Bank to maintain  minimum amounts and ratios (set forth in
the following table) of total and Tier I capital (as defined in the regulations)
to  risk-weighted  assets (as  defined),  and of Tier I capital (as  defined) to
average assets (as defined).

                                       8

<PAGE>

Parke Bank

<TABLE>
<CAPTION>
                                                                                     For Capital
                                                            Actual                Adequacy Purpose
                                                     Amount        Ratio         Amount        Ratio
                                                     ------        -----         ------        -----
<S>                                                <C>            <C>         <C>             <C>
As of September 30, 2005:
-------------------------
Total Risk Based Capital                             $37,574        16%         $18,790         8%
(to Risk Weighted Assets)
     Tier 1 Capital                                  $34,627        15%          $9,419         4%
(to Risk Weighted Assets)
     Tier 1 Capital                                  $34,627        13%         $10,688         4%
(to Average Assets)
</TABLE>

<TABLE>
<CAPTION>
                                                                                     For Capital
                                                            Actual                Adequacy Purpose
                                                     Amount        Ratio         Amount        Ratio
                                                     ------        -----         ------        -----
<S>                                                <C>            <C>         <C>             <C>
As of December 31, 2004:
------------------------
Total Risk Based Capital                             $25,254        13%         $15,042         8%
(to Risk Weighted Assets)
     Tier 1 Capital                                  $22,900        12%          $7,521         4%
(to Risk Weighted Assets)
     Tier 1 Capital                                  $22,900        11%          $8,301         4%
(to Average Assets)
</TABLE>

Parke Bancorp, Inc.
<TABLE>
<CAPTION>
                                                                                     For Capital
                                                            Actual                Adequacy Purpose
                                                     Amount        Ratio         Amount        Ratio
                                                     ------        -----         ------        -----
<S>                                                 <C>            <C>         <C>             <C>
As of September 30, 2005:
-------------------------
Total Risk Based Capital                             $29,036        10%         $18,830         8%
(to Risk Weighted Assets)
     Tier 1 Capital                                  $26,089        11%          $9,415         4%
(to Risk Weighted Assets)
     Tier 1 Capital                                  $26,089        12%         $10,688         4%
(to Average Assets)
</TABLE>

<TABLE>
<CAPTION>
                                                                                     For Capital
                                                            Actual                Adequacy Purpose
                                                     Amount        Ratio         Amount        Ratio
                                                     ------        -----         ------        -----
<S>                                                 <C>            <C>         <C>             <C>
As of December 31, 2004:
------------------------
Total Risk Based Capital                               n/a          n/a           n/a           8%
(to Risk Weighted Assets)
     Tier 1 Capital                                    n/a          n/a           n/a           4%
(to Risk Weighted Assets)
     Tier 1 Capital                                    n/a          n/a           n/a           4%
(to Average Assets)
</TABLE>

         Management  believes,  as of September  30, 2005 and December 31, 2004,
that the Bank and the Bancorp met all capital adequacy  requirements to which it
was subject.

                                       9

<PAGE>

NOTE 5.  SUBORDINATED DEBENTURES

         On  August  23,  2005,  Parke  Capital  Trust I, a  Delaware  statutory
business trust and a wholly-owned  subsidiary of the Company,  issued $5 million
of variable  rate  capital  trust  pass-through  securities  to  investors.  The
variable  interest rate re-prices  quarterly at the three-month LIBOR plus 1.66%
and was 5.48% at  September  30,  2005.  Parke  Capital  Trust I purchased  $5.2
million of variable rate junior subordinated deferrable interest debentures from
The Company.  The debentures  are the sole asset of the Trust.  The terms of the
junior  subordinated  debentures  are  the  same  as the  terms  of the  capital
securities.  The  Company  has also  fully and  unconditionally  guaranteed  the
obligations of the Trust under the capital  securities.  The capital  securities
are  redeemable by the Company on or after  November 23, 2010, at par or earlier
if the  deduction of related  interest for federal  income taxes is  prohibited,
classification  as  Tier 1  Capital  is no  longer  allowed,  or  certain  other
contingencies arise. The capital securities must be redeemed upon final maturity
of the subordinated  debentures on November 23, 2035.  Proceeds of approximately
$4.2 million were  contributed  to paid-in  capital at the Bank.  The  remaining
$800,000 was retained at the Company for future use.

         On August  23,  2005,  Parke  Capital  Trust II, a  Delaware  statutory
business trust and a wholly-owned  subsidiary of the Company,  issued $5 million
of  fixed/variable  rate capital  trust  pass-through  securities  to investors.
Currently, the interest rate is fixed at 6.25%. The fixed/variable interest rate
re-prices  quarterly at the three-month LIBOR plus 1.66% beginning  November 23,
2010.  Parke  Capital  Trust II purchased  $5.2 million of variable  rate junior
subordinated deferrable interest debentures from the Company. The debentures are
the sole asset of the Trust. The terms of the junior subordinated debentures are
the same as the terms of the capital securities.  The Company has also fully and
unconditionally  guaranteed  the  obligations  of the Trust  under  the  capital
securities.  The capital  securities  are  redeemable by the Company on or after
November 23, 2010,  at par or earlier if the  deduction of related  interest for
federal  income  taxes is  prohibited,  classification  as Tier 1 Capital  is no
longer allowed,  or certain other  contingencies  arise. The capital  securities
must be redeemed upon final maturity of the subordinated  debentures on November
23, 2035.  Proceeds of  approximately  $4.2 million were  contributed to paid-in
capital at the Bank.  The  remaining  $800,000  was  retained at the Company for
future use.


ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION

Forward-Looking Statements

         The Company may from time to time make written or oral "forward-looking
statements"   including  statements  contained  in  this  Report  and  in  other
communications by the Company which are made in good faith pursuant to the "safe
harbor"  provisions  of the Private  Securities  Litigation  Reform Act of 1995.
These  forward-looking  statements,  such as statements of the Company's  plans,
objectives,   expectations,   estimates  and   intentions,   involve  risks  and
uncertainties and are subject to change based on various important factors (some
of which are beyond the Company's control). The following factors, among others,
could cause the Company's  financial  performance to differ  materially from the
plans,  objectives,  expectations,  estimates and  intentions  expressed in such
forward-looking statements: the strength of the United States economy in general
and  the  strength  of  the  local  economies  in  which  the  Company  conducts
operations;  the effects of, and changes in, trade, monetary and fiscal policies
and laws,  including  interest  rate  policies of the Board of  Governors of the
Federal  Reserve  System,   inflation,   interest  rate,   market  and  monetary
fluctuations;  the timely  development  of and  acceptance  of new  products and
services of the Company and the perceived  overall  value of these  products and
services by users,  including  the  features,  pricing  and quality  compared to
competitors' products and services;  the impact of changes in financial services
laws and regulations  (including laws concerning taxes, banking,  securities and
insurance);  technological changes;  acquisitions;  changes in consumer spending
and saving habits; and the success of the Company at managing the risks involved
in the foregoing.

         The Company  cautions that the foregoing  list of important  factors is
not exclusive.  The Company also cautions readers not to place undue reliance on
these forward-looking statements, which reflect management's analysis only as of
the date on which  they are given.  The  Company is not  obligated  to  publicly
revise  or  update  these  forward-looking   statements  to  reflect  events  or
circumstances  that arise after any such date.  Readers should  carefully review
the risk factors  described in other  documents  the Company  files from time to
time with the SEC, including quarterly reports on Form 10-QSB, annual reports on
Form 10-KSB and any current reports on Form 8-K.

                                       10

<PAGE>

General

         The  Company's  results of operations  are  dependent  primarily on net
interest income,  which is the difference  between the interest income earned on
its  interest-earning  assets,  such as loans and  securities,  and the interest
expense  paid  on  its  interest-bearing   liabilities,  such  as  deposits  and
borrowings.  The  Company  also  generates  noninterest  income  such as service
charges,  earnings  from bank owned life  insurance  (BOLI),  loan exit fees and
other fees. The Company's  noninterest  expenses  primarily  consist of employee
compensation  and  benefits,   occupancy  expenses,   marketing  expenses,  data
processing  costs and other operating  expenses.  The Company is also subject to
losses in its loan  portfolio if borrowers fail to meet their  obligations.  The
Company's  results of  operations  are also  significantly  affected  by general
economic and  competitive  conditions,  particularly  changes in market interest
rates, government policies and actions of regulatory agencies.

                              Results of Operations
                Three Months Ended September 30, 2005 Compared to
                      Three Months Ended September 30, 2004
                                   (Unaudited)

         The following  discussion  compares the results of  operations  for the
three  month  period  ended  September  30, 2005  (unaudited)  to the results of
operations for the three month period ended September 30, 2004 (unaudited). This
discussion  should  be read  in  conjunction  with  the  accompanying  financial
statements  (unaudited)  and related notes as well as the financial  information
included in the 2004 annual report on Form 10KSB.

         Net Income.  For the three months ended  September 30, 2005, net income
totaled $889,401,  compared to $768,605 for the three months ended September 30,
2004.  Diluted  earnings per share for the three months ended September 30, 2005
totaled  $0.34,  compared  to  $0.31  per  share  for the same  period  of 2004.
Increased  net  income  for the  three  months  ended  September  30,  2005  was
attributable  primarily to increases  in revenue  (net  interest  income and non
interest  income) of $543,781,  partially offset by an increase in the provision
for loan losses of $196,054,  an increase in non interest  expenses of $124,831,
and an increase in tax expense of $102,100.

         Net  Interest  Income.  Our primary  source of earnings is net interest
income,  which is the  difference  between  income  earned  on  interest-earning
assets, such as loans and investment  securities,  and interest expense incurred
on the interest-bearing  sources of funds, such as deposits and borrowings.  The
level of net interest  income is  determined  primarily by the average  balances
("volume")  and the rate  spreads  between the  interest-earning  assets and our
funding sources.

         Net  interest  income for the three  months  ended  September  30, 2005
totaled  $2.6  million,  an increase of 29.5%  compared to $2.0  million for the
three months ended September 30, 2004. The increase is directly  attributable to
the growth in loan balances.  The net interest margin for the three months ended
September 30, 2005 was 4.2%, compared to 4.3% for the comparable period of 2004.

         Interest  income  increased  by $1.5 million for the three months ended
September  30, 2005,  primarily  as a result of an increase of $64.6  million in
average  interest-earning  assets.  Average loans outstanding increased by $60.2
million and average investment  securities increased by $4.4 million.  Yields on
earning  assets for the three months ended  September 30, 2005 increased to 7.0%
from 6.4% for the same period of 2004.  Interest expense  increased by $856,750,
which  is  primarily  attributable  to  average   interest-bearing   liabilities
increasing  by $59.9  million  coupled  with a general  rise in interest  rates.
Average  interest-bearing  deposits  increased  by  $49.0  million  and  average
borrowings increased by $10.9 million. The average rate paid on interest-bearing
liabilities increased to 3.3% for the three months ended September 30, 2005 from
2.2% for the same period of 2004.

         Noninterest Income. Noninterest income decreased $53,487, or 18.4%, for
the three months ended  September  30, 2005 to $237,771,  down from $291,258 for
the same period of 2004, reflecting mainly a decrease in service charges.

         Provision  for Loan Losses.  The provision for loan losses was $298,005
for the three months ended September 30, 2005, compared to $101,951 for the same
period in 2004.  The  increase in the  provision  for the 2005 period was due to
substantial loan growth in 2005.

                                       11

<PAGE>

         Noninterest  Expenses.  For the three months ended  September 30, 2005,
noninterest  expenses increased by $124,831,  or 13.1%, to $1.1 million compared
to  $956,893  for the same  period of 2004.  A 16.9%  increase  in  compensation
expenses was related to personnel  costs for staffing  increases to support loan
and deposit growth.  In addition,  marketing costs increased for new promotional
programs,  and  professional  fees increased due to the formation of the holding
company.

         Income Taxes. The Company  recorded income tax expense of $592,100,  on
income  before taxes of $1.5 million for the three  months ended  September  30,
2005,  resulting  in an  effective  tax rate of 40.0%,  compared  to income  tax
expense of $490,000 on income  before  taxes of $1.3 million for the same period
of 2004, resulting in an effective tax rate of 38.9%.

                              Results of Operations
                Nine Months Ended September 30, 2005 Compared to
                      Nine Months Ended September 30, 2004
                                   (Unaudited)

         The following  discussion  compares the results of  operations  for the
nine months ended  September 30, 2005  (unaudited)  to the results of operations
for the nine months ended September 30, 2004 (unaudited). This discussion should
be read in conjunction with the accompanying  financial  statements  (unaudited)
and  related  notes as well as the  financial  information  included in the 2004
annual report on Form 10KSB.

         Net Income.  For the nine months ended  September 30, 2005,  net income
totaled  $2.5  million,  compared  to $2.0  million  for the nine  months  ended
September 30, 2004. Diluted earnings per share for the first nine months of 2005
totaled  $0.96,  compared  to  $0.81  per  share  for the same  period  of 2004.
Increased  net  income  for the  first  nine  months  of 2004  was  attributable
primarily to increases in revenue (net interest income and  noninterest  income)
of $1.9  million,  partially  offset by an  increase in the  provision  for loan
losses of $406,751,  an increase in  noninterest  expenses of  $656,516,  and an
increase in tax expense of $364,150.

         Net Interest  Income.  Net interest income for the first nine months of
2005 totaled $7.6  million,  an increase of 30.4% over $5.9 million for the nine
months ended September 30, 2004. Net interest income  increased  during the nine
months  ended  September  30, 2005 due to  increased  interest  income.  The net
interest margin for the nine months ended September 30, 2005 was 4.3%, which was
the slightly lower for the comparable period last year of 4.4%..

         Interest  income  increased by $3.7  million,  driven by an increase of
$58.7 million in average  interest-earning  assets.  Average  loans  outstanding
increased by $52.7 million,  while average  investment  securities  increased by
$6.0 million and federal funds sold decreased by $1.4 million. Yields on earning
assets for the nine months ended  September 30, 2005 increased to 6.9% from 6.4%
for the same period of 2004.  Interest expense increased by $1.9 million for the
nine months.  Average  interest-bearing  liabilities increased by $51.1 million.
Average  interest-bearing  deposits  increased  by  $42.0  million  and  average
borrowings  increased by $9.1 million. The average rate paid on interest-bearing
liabilities  increased to 3.0% for the nine months ended September 30, 2005 from
2.3% for the same period of 2004.

         Noninterest Income.  Noninterest income increased  $120,188,  or 20.4%,
for the nine months ended  September 30, 2005 to $708,998,  up from $588,810 for
the same period of 2004 due to additional loan exit fees in 2005.

         Provision  for Loan Losses.  The provision for loan losses was $806,162
for the nine months ended September 30, 2005,  compared to $399,411 for the same
period in 2004.  The  increase in the  provision  for the 2005 period was due to
substantial loan growth in 2005.

         Noninterest  Expenses.  For the nine months ended  September  30, 2005,
noninterest  expenses increased by $656,516,  or 24.4%, to $3.4 million compared
to $2.7  million for the same period of 2004. A 27.0%  increase in  compensation
expenses was related to personnel costs as a result of staffing increases in the
loan and  deposit  areas  compared  to the  same  period  of 2004.  Professional
expenses  increased  $373,635  to  $564,672  due  to  reorganization  and  costs
associated with the formation of the holding company.

         Income Taxes.  The Company  recorded income tax expense of $1.7 million
on income  before taxes of $4.2 million for the nine months ended  September 30,
2005,  resulting  in an  effective  tax rate of 39.9%,  compared  to income  tax
expense of $1.3  million on income  before  taxes of $3.4  million  for the same
period of 2004, resulting in an effective tax rate of 39.0%.

                                       12

<PAGE>

                               Financial Condition
                   At September 30, 2005 and December 31, 2004
                                   (Unaudited)

         The following  discussion compares the financial condition at September
30, 2005  (unaudited0  to the financial  statements  at December 31, 2004.  This
discussion  should  be read  in  conjunction  with  the  accompanying  financial
statements  (unaudited)  and related  notes as well as  statistical  information
included in this Form 10-QSB.

         Total  assets  increased  to $276.2  million  at  September  30,  2005,
compared to $224.3 million at December 31, 2004,  increasing  $51.8 million,  or
23.1%. Loans outstanding  increased $43.5 million, or 23.2%.  Deposits increased
by $40.9 million, or 22.8%.  Borrowed funds increased by $6.9 million, or 34.0%.
Shareholders'  equity increased by $3.0 million,  or 13.3%, driven by net income
of $2.5 million for the nine months ended  September 30, 2005,  and the exercise
of warrants and options in the amount of $663,977.

         The  increase  in total loans was  primarily  due to  increases  in the
commercial  loans,  which grew by $41.7 million and totaled $209.0 million as of
September 30, 2005.  This  increase is in line with the  Company's  management's
strategic plan and reflects  increased  origination  activity over the past year
and a strong local real estate market.  All other  categories of loans increased
in the aggregate by $1.8 million.

         Allowance  for Loan  Losses.  The  allowance  for loan  losses was $3.2
million at September  30, 2005 as compared to $2.6 million at December 31, 2004.
The ratio of the allowance for loan losses to total loans  decreased to 1.38% at
September 30, 2005 from 1.39% at December 31, 2004. The Company's management has
considered non-performing assets and other assets of concern in establishing the
allowance  for loan losses.  The Company  continues to monitor its allowance for
loan losses and will make future  additions or  reductions in light of the level
of loans in its portfolio and as economic conditions dictate.  The current level
of the  allowance  for loan  losses  is a result of the  Company's  management's
assessment of the risks within the portfolio based on the  information  revealed
in credit reporting processes.  The Company utilizes a risk-rating system on all
commercial, business, agricultural, construction and multi-family and commercial
real estate  loans,  including  purchased  loans.  A periodic  credit  review is
performed on all types of loans to establish the necessary  reserve based on the
estimated risk within the portfolio.  This assessment of risk takes into account
the composition of the loan portfolio,  historical loss experience for each loan
category,  previous loan experience,  concentrations of credit, current economic
conditions, and other factors that in management's judgment deserve recognition.

         Although  the  Company's  management  believes  that it uses  the  best
information available to determine the allowances,  unforeseen market conditions
could result in  adjustments  and net earnings being  significantly  affected if
circumstances differ substantially from the assumptions used in making the final
determinations.  Future  additions to the Company's  allowances  may result from
periodic loan,  property and collateral  reviews and thus cannot be predicted in
advance.

         Non-performing  assets,  expressed  as a  percentage  of total  assets,
increased to 0.2% at  September  30,  2005,  from 0.1% at December 31, 2004.  At
September  30,  2005,  the Company had  $520,000 in  non-accruing  loans,  which
increased  from $240,816 in  non-accruing  loans at December 31, 2004.  One loan
became non-accrual during the quarter

         Deposits.  Deposits  totaled  $220.5  million at  September  30,  2005,
increasing $40.9 million, or 22.8%, from the December 31, 2004 balance of $179.6
million. The increase in deposits is attributable to the Company's  management's
growth  strategy,  which  includes  significant  marketing,  promotion and cross
selling of additional  products to existing  customers.  New accounts  generated
$15.0  million in savings  deposits  in the third  quarter  due to a  successful
promotion program.  In addition,  the Company continued to use brokered deposits
as a funding source when needed.

         Included in deposits at  September  30, 2005 and December 31, 2004 were
$61.4 million and $38.9 million, respectively, of brokered deposits.

         Borrowed  Funds.  Borrowed funds totaled $27.3 million at September 30,
2005,  increasing $6.9 million,  or 34.0%, from December 31, 2004. This increase
was  attributable  to the issuance of trust  preferred  securities  totaling $10
million  in August  2005  offset by  maturities  of the  Federal  Home Loan Bank
("FHLB") advances.

                                       13

<PAGE>

Comparative Average Balances, Interest and Yields

         The following table provides information regarding the average balances
and  yield/rates on  interest-earning  assets and  interest-bearing  liabilities
during the periods indicated:

<TABLE>
<CAPTION>

        `                                                                    Nine Months Ended
                                         -----------------------------------------------------------------------------------------
                                                         September 30, 2005                           September 30, 2004
                                         -------------------------------------------   -------------------------------------------
                                            Average           Interest         Annual     Average           Interest       Annual
                                            Balance        Income/Expense      Yield      Balance        Income/Expense    Yield
                                            -------        --------------      -----      -------        --------------    -----
<S>                                      <C>                 <C>               <C>    <C>                  <C>             <C>
Assets
Loans                                     $209,947,182        $11,317,002       7.2%   $157,224,069         $8,022,093      6.8%
Investment securities                       24,289,057            868,372       4.8      16,889,054            524,030      4.1
Federal funds sold                           2,221,788             52,290       3.1       3,654,156             30,905      1.1
                                          ------------        -----------              ------------         ----------
Total interest-earning assets              236,458,027        $12,237,664       6.9     177,767,279         $8,577,028      6.4
                                                              ===========                                   ==========

Allowance for loan losses                   (2,906,584)                                  (2,425,438)
Other assets                                15,486,413                                   15,804,506
                                          ------------                                 ------------
Total assets                              $249,037,856                                 $191,146,347
                                          ============                                 ============

Liabilities and Shareholders' Equity
Regular savings deposits                  $ 25,254,599         $  466,304       2.5%   $ 22,031,171         $  326,297       2.0%
NOW & money market                          25,456,954            330.053       1.7      29,378,005            344,090       1.6
Time deposits                              135,735,369          3,272,056       3.2      93,035,065          1,888,740       2.7
                                          ------------         ----------              ------------         ----------         -
Total interest-bearing deposits            186,446,922          4,068,413       2.9     144,444,241          2,559,127       2.2

Borrowed funds & FHLB advances              19,748,951            522,929       3.5      10,645,789            157,003       2.0
                                          ------------         ----------              ------------         ----------
Total interest-bearing liabilities         206,195,873         $4,591,342       3.0     155,090,030         $2,716,130       2.3
                                                               ==========                                   ==========

Non interest-bearing demand deposits        16,473,659                                   13,547,222
Other liabilities                            1,777,934                                    1,498,584
Shareholders' equity                        24,590,390                                   21,010,511
                                          ------------                                 ------------
    Total liabilities and shareholders'
        Equity                            $249,037,856                                 $191,146,347
                                          ============                                 ============

Net interest income                                            $7,646,322                                   $5,860,898
                                                               ==========                                   ==========

Interest rate spread                                                            3.9%                                         4.1%

Net interest margin                                                             4.3%                                         4.4%
</TABLE>

Critical Accounting Policy

         The Company's  financial  statements  are prepared in  accordance  with
accounting  principles  generally accepted in the United States of America.  The
financial  information  contained  within these  statements is, to a significant
extent,  financial  information  that  is used on  approximate  measures  of the
financial effects of transactions and events that have already  occurred.  Based
on its  consideration  of accounting  policies that involve the most complex and
subjective  decisions  and  assessments,  management  has  identified  its  most
critical  accounting policy to be related to the allowance for loan losses.  The
Company's  allowance for loan loss  methodology  incorporates  a variety of risk
considerations,  both  quantitative and qualitative in establishing an allowance
for loan loss that  management  believes is appropriate at each reporting  date.
Quantitative   factors  include  the  Company's   historical  loss   experience,
delinquency and charge-offs trends,  collateral values, changes in nonperforming
loans,  and  other  factors.   Quantitative   factors  also  incorporate   known
information about individual loans, including borrowers' sensitivity to increase
rate movements.  Qualitative factors include the general economic environment in
the Company's market area. Size and complexity of individual credits in relation
to loan structure, existing loan policies and pace of portfolio growth are other
qualitative  factors that are  considered  in the  methodology.  Management  may
report a materially  different  amount for the  provision for loan losses in the
statement  of  operations  to  change  the  allowance  for  loan  losses  if its
assessment of the above factors were  different.  This  discussion  and analysis
should be read in conjunction  with the Company's  financial  statements and the
accompanying  notes presented  elsewhere  herein, as well as the portion of this
Managements  Discussion  and  Analysis,  which  discusses the allowance for loan
losses in this section,  entitled  "Financial  Condition".  Although  management
believes the levels of this  allowance as of September 30, 2005 and December 31,
2004 were adequate to absorb losses inherent in the loan portfolio, a decline in
local economic conditions,  or other factors,  could result in increasing losses
that can not be reasonably predicated at this time.

                                       14

<PAGE>

Liquidity and Capital Resources

         Liquidity describes our ability to meet the financial  obligations that
arise out of the ordinary course of business.  Liquidity addresses the Company's
ability to meet deposit  withdrawals  on demand or at contractual  maturity,  to
repay borrowings as they mature,  and to fund current and planned  expenditures.
Liquidity is derived from increased  repayment and income from  interest-earning
assets.  The loan to deposit  ratio was 103.8% and 105.0% at September  30, 2005
and  December  31,  2004,  respectively.  Funds  received  from new and existing
depositors  provided a large source of liquidity for the nine month period ended
September 30, 2005.  The Company  seeks to rely  primarily on core deposits from
customers  to provide  stable and  cost-effective  sources of funding to support
local  growth.  The Company also seeks to augment such deposits with longer term
and higher yielding  certificates of deposit. To the extent that retail deposits
are not adequate to fund customer loan demand, liquidity needs can be met in the
short-term  funds  market.  Longer  term  funding  can be  obtained  through the
issuance  of trust  preferred  securities  and  advances  from the  FHLB.  As of
September  30,  2005,  the Company  maintained  lines of credit with the FHLB of
$23.9 million.

         As of September 30, 2005, the Company's investment securities portfolio
included $8.6 million of  mortgage-backed  securities  that provide  significant
cash flow each month. The majority of the investment  portfolio is classified as
available for sale, is readily  marketable,  and is available to meet  liquidity
needs. The Company's residential real estate portfolio includes loans, which are
underwritten to secondary market criteria,  and accordingly could be sold in the
secondary  mortgage market if needed as an additional  source of liquidity.  The
Company's management is not aware of any known trends,  demands,  commitments or
uncertainties  that are  reasonably  likely  to result in  material  changes  in
liquidity.

Capital

         A strong  capital  position is  fundamental  to support  the  continued
growth of the  Company.  The  Company is subject to various  regulatory  capital
requirements.  Regulatory  capital  is  defined  in  terms  of  Tier  I  capital
(shareholders'   equity  as  adjusted   for   unrealized   gains  or  losses  on
available-for-sale securities), Tier II capital (which includes a portion of the
allowance for loan losses) and total  capital (Tier I plus Tier II).  Risk-based
capital  ratios  are  expressed  as  a  percentage  of   risk-weighted   assets.
Risk-weighted  assets are determined by assigning  various weights to all assets
and off-balance sheet associated risk. Regulators have also adopted minimum Tier
I leverage ratio  standards,  which measure the ratio of Tier I capital to total
assets.

         At September 30, 2005, the Company's  management believes that the Bank
and the Company are  "well-capitalized"  and in compliance  with all  applicable
regulatory requirements.


ITEM 3.  CONTROLS AND PROCEDURES

Disclosure Controls and Procedures

         Evaluation  of  disclosure  controls  and  procedures.  Based  on their
evaluation of the Company's  disclosure  controls and  procedures (as defined in
Rule 13a-15(e) under the Securities Exchange Act of 1934, (the "Exchange Act")),
the Company's  principal  executive officer and principal financial officer have
concluded that as of the end of the period  covered by this Quarterly  Report on
Form 10-QSB,  such  disclosure  controls and  procedures are effective to ensure
that  information  required to be  disclosed  by the Company in reports  that it
files or submits under the Exchange Act is recorded,  processed,  summarized and
reported within the required time periods.

Internal Controls

         Changes in internal control over financial  reporting.  During the last
fiscal  quarter,  there was no change in the  Company's  internal  control  over
financial  reporting that has materially  affected,  or is reasonably  likely to
materially affect, the Company's internal control over financial reporting.

                                       15

<PAGE>

                           PART II. OTHER INFORMATION

ITEM 1.  LEGAL PROCEEDINGS

         On December 27,  2004,  Republic  First Bank filed an action  captioned
Republic  First Bank v. Parke Bank and Vito S.  Pantilione in the Superior Court
of New Jersey Law Division,  Gloucester  County,  alleging,  among other things,
fraud,  negligent  misrepresentation,  breach of  fiduciary  duty and  breach of
contract in connection  with certain loans to two Parke Bank  customers in which
Republic  First  Bank  became a  participant.  Republic  First  Bank is  seeking
unspecified  damages and requesting that a receivership be appointed for certain
collateral.  The complaint in the action was served on us in January  2005.  The
Bank  filed  an  answer  to the  complaint,  and the  case is  currently  in the
discovery  phase. The Bank believes that the action is without merit and intends
to vigorously defend against it.

         On June 1, 2005,  Atlantic  Central  Bankers  Bank and New Century Bank
filed an action captioned  Atlantic Central Bankers Bank and New Century Bank v.
Parke  Bank and  Parke  Capital  Markets  in the  Superior  Court of New  Jersey
Chancery Division, Cape May County, alleging breach of participation  agreements
and   fraudulent   misrepresentation   in   connection   with  the   plaintiffs'
participations  in loans to the same Parke Bank  customers as the Republic First
Bank matter  discussed  above.  In August  2005,  the  plaintiffs'  motion for a
preliminary  injunction  was  denied,  and they were  ordered  to pay the Bank's
expenses. This case has been consolidated with the Republic First Bank case, and
is  currently  in the  discovery  phase.  The Bank  believes  that the action is
without merit and intends to vigorously defend against it.

         On November 4, 2004,  Stephen P.  Magenta  and other  parties  filed an
action captioned  Stephen P. Magenta,  et. al. v. General  Insulation  Services,
Inc.,  et. al. in the  Superior  Court of New Jersey  Law  Division,  Gloucester
County, related to the alleged embezzlement of over $1 million by an employee of
one of our customers of funds maintained in accounts at the Bank. All but one of
the claims  against the Bank have been  dismissed.  The Bank  believes  that the
action  is  without  merit and  intends  to  vigorously  defend  against  it. In
addition, the Bank believes that this action is covered by its insurance.

         Other than the foregoing,  at September 30, 2005, the Company was not a
party to any material legal proceedings.

ITEM 2.  UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

         None.

ITEM 3.  DEFAULT UPON SENIOR SECURITIES

         None.

ITEM 4.  SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

         None.

ITEM 5.  OTHER INFORMATION

         None.

ITEM 6.  EXHIBITS

         31       Certifications required by Rule 13a-14(a) or 15d-14(a).

         32       Certification required by Rule 13a-14(b) or 15d-14(b) and 18
                  U.S.C. Section 1350.

                                       16
<PAGE>

                                   SIGNATURES


         In accordance with the requirements of the Exchange Act, the registrant
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.


                                           PARKE BANCORP, INC.





Date: November 9, 2005                     /s/Vito S. Pantilione
                                           -------------------------------------
                                           Vito S. Pantilione
                                           President and Chief Executive Officer
                                           (Principal Executive Officer)





Date: November 9, 2005                     /s/Ernest D. Huggard
                                           -------------------------------------
                                           Ernest D. Huggard
                                           Senior Vice President and
                                           Chief Financial Officer
                                           (Principal Accounting Officer)