UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    FORM 10-Q

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

For the quarterly period ended: September 30, 2007
                                       or

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

For the transition period from ____________ to ____________

Commission File No. 000-51338

                               PARKE BANCORP, INC.
             (Exact name of registrant as specified in its charter)

                New Jersey                                 65-1241959
(State or other jurisdiction of incorporation             (IRS Employer
or organization                                         Identification No.)

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

                                  856-256-2500
              (Registrant's telephone number, including area code)

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

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

         Indicate by check mark whether the  registrant  is a large  accelerated
filer,  an accelerated  filer,  or a  non-accelerated  filer.  See definition of
"accelerated  filer and large  accelerated  filer" in Rule 12b-2 of the Exchange
Act. (Check one):

Large accelerated filer [ ]   Accelerated filer [ ]    Non-accelerated filer [X]

     Indicate by 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

         As of November 13, 2007,  there were issued and  outstanding  3,158,756
shares of the registrant's common stock.

<PAGE>

                               PARKE BANCORP, INC.

                                    FORM 10-Q

                    FOR THE QUARTER ENDED SEPTEMBER 30, 2007

                                      INDEX


                                                                            Page
                                                                            ----
Part I     FINANCIAL INFORMATION
------

Item 1.    Financial Statements................................................1
Item 2.    Management's Discussion and Analysis of Financial Condition
               and Results of Operations......................................11
Item 3.    Quantitative and Qualitative Disclosures About Market Risk.........19
Item 4.    Controls and Procedures............................................19

Part II    OTHER INFORMATION
-------

Item 1.    Legal Proceedings..................................................19
Item 1A.   Risk Factors.......................................................20
Item 2.    Unregistered Sales of Equity Securities and Use of Proceeds........20
Item 3.    Defaults Upon Senior Securities....................................20
Item 4.    Submission of Matters to a Vote of Security Holders................20
Item 5.    Other Information..................................................20
Item 6.    Exhibits...........................................................20

SIGNATURES

EXHIBITS and CERTIFICATIONS

<PAGE>

                          PART I. FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

                      PARKE BANCORP, INC. AND SUBSIDIARIES
                           CONSOLIDATED BALANCE SHEETS
                                   (unaudited)

<TABLE>
<CAPTION>
                                                                        September 30, 2007       December 31, 2006
                                                                        ------------------       -----------------
<S>                                                                     <C>                      <C>
ASSETS
Cash and due from banks                                                   $   3,785,208            $   6,183,916
Federal funds sold and other cash equivalents                                 8,565,847                5,076,895
                                                                          -------------            -------------
        Cash and cash equivalents                                            12,351,055               11,260,811
                                                                          -------------            -------------

Investment securities available for sale, at market value                    29,661,504               24,530,067

Investment securities held to maturity, at amortized cost (market value
$2,392,093 at September 30, 2007 and $2,425,629 at December 31, 2006)         2,449,316                2,430,958
                                                                          -------------            -------------
        Total investment securities                                          32,110,820               26,961,025
                                                                          -------------            -------------

Restricted stock, at cost                                                     1,873,300                1,492,800
                                                                          -------------            -------------

Loans                                                                       386,236,556              310,555,306
Less: allowance for loan losses                                              (5,407,529)              (4,511,004)
                                                                          -------------            -------------
        Total net loans                                                     380,829,027              306,044,302
                                                                          -------------            -------------

Bank premises and equipment, net                                              3,240,994                3,431,794
Bank owned life insurance                                                     4,768,277                4,632,159
Accrued interest receivable                                                   2,543,763                2,095,179
Other assets                                                                  3,302,579                4,078,701
                                                                          -------------            -------------
        Total other assets                                                   13,855,613               14,237,833
                                                                          -------------            -------------

        Total assets                                                      $ 441,019,815            $ 359,996,771
                                                                          =============            =============
</TABLE>

See Notes to Consolidated Financial Statements          1

<PAGE>

                      PARKE BANCORP, INC. AND SUBSIDIARIES
                           CONSOLIDATED BALANCE SHEETS
                                   (unaudited)

<TABLE>
<CAPTION>
                                                                       September 30, 2007         December 31, 2006
                                                                       ------------------         -----------------
<S>                                                                     <C>                       <C>
LIABILITIES AND SHAREHOLDERS' EQUITY
Liabilities
Deposits
  Non-interest bearing demand                                             $  23,814,673             $  18,287,577
  Interest-bearing demand                                                   328,938,109               271,641,283
                                                                          -------------             -------------
        Total deposits                                                      352,752,782               289,928,860
                                                                          -------------             -------------

Federal Home Loan Bank advances                                              29,305,695                24,441,370
Other borrowings                                                              6,500,000                   100,000
Subordinated debentures                                                      13,403,000                10,310,000
                                                                          -------------             -------------
        Total borrowings                                                     49,208,695                34,851,370
                                                                          -------------             -------------

Accrued interest payable                                                      2,036,823                 1,848,614
Other liabilities                                                             1,819,451                 2,658,767
                                                                          -------------             -------------
        Total other liabilities                                               3,856,274                 4,507,381
                                                                          -------------             -------------

        Total liabilities                                                   405,817,751               329,287,611
                                                                          -------------             -------------

SHAREHOLDERS' EQUITY
Common stock, $.10 par value, 10,000,000 shares authorized; 3,246,035
shares issued at September 30, 2007 and 2,884,937 shares issued at
December 31, 2006                                                               324,603                   288,494
Preferred stock, 1,000,000 shares authorized; no shares issued and
outstanding                                                                           -                         -
Additional paid-in capital                                                   26,442,579                21,153,220
Retained earnings                                                            10,432,715                10,847,763
Accumulated comprehensive income                                               (492,321)                 (420,250)
Treasury stock, at cost (88,876 shares at September 30, 2007 and 68,026
at December 31, 2006)                                                        (1,505,512)               (1,160,067)
                                                                          -------------             -------------
        Total shareholders' equity                                           35,202,064                30,709,160
                                                                          -------------             -------------

        Total liabilities and shareholders' equity                        $ 441,019,815             $ 359,996,771
                                                                          =============             =============
</TABLE>

See Notes to Consolidated Financial Statements          2

<PAGE>


                                      PARKE BANCORP, INC. AND SUBSIDIARIES
                                      CONSOLIDATED STATEMENTS OF OPERATIONS
                                                   (unaudited)

<TABLE>
<CAPTION>
                                                         For the three months ended           For the nine months ended
                                                                September 30,                       September 30,
                                                       --------------------------------    --------------------------------
                                                            2007             2006               2007             2006
                                                       ---------------  ---------------    ---------------  ---------------
<S>                                                  <C>              <C>                <C>              <C>
Interest and dividend income
  Loans, including fees                                $    8,458,830   $    6,373,897     $   23,115,910   $   17,412,925
  Securities                                                  451,951          343,119          1,240,288          977,224
  Federal funds sold                                           51,629           35,941            183,622           90,761
                                                       --------------   --------------     --------------   --------------
             Total interest and dividend income             8,962,410        6,752,957         24,539,820       18,480,910
                                                       --------------   --------------     --------------   --------------

Interest expense
  Deposits                                                  3,978,597        2,788,168         11,231,990        7,226,022
  Federal Home Loan Bank advances                             303,821          247,157            942,270          661,458
  Other borrowings                                            271,533          205,582            623,805          593,344
                                                       --------------   --------------     --------------   --------------
             Total interest expense                         4,553,951        3,240,907         12,798,065        8,480,824
                                                       --------------   --------------     --------------   --------------

Net interest income                                         4,408,459        3,512,050         11,741,755       10,000,086

  Provision for loan losses                                   186,000          211,000            896,496          774,000
                                                       --------------   --------------     --------------   --------------
Net interest income after provision for loan losses         4,222,459        3,301,050         10,845,259        9,226,086
                                                       --------------   --------------     --------------   --------------

Noninterest income
  Deposit account service charges and other fees               66,755           55,213            554,576          169,814
  Gain on sale of other real estate owned                           -                -            205,090                -
  Loan fees                                                    63,271           91,911            165,782          315,094
  Bank owned life insurance income                             46,542           42,882            136,118          127,582
  Loss on sale of securities                                        -                -            (14,609)               -
                                                       --------------   --------------     --------------   --------------
             Total noninterest income                         176,568          190,006          1,046,957          612,490
                                                       --------------   --------------     --------------   --------------

Noninterest expense
  Compensation and benefits                                   853,089          722,097          2,339,241        2,054,622
  Occupancy and equipment                                     187,777          170,146            559,456          477,610
  Professional services                                       194,442          139,363            494,379          486,421
  Data processing                                              98,858          108,293            293,304          267,702
  Marketing and business development                           74,762           57,393            215,838          184,302
  Other operating expenses                                    307,024          271,482            767,049          684,744
                                                       --------------   --------------     --------------   --------------
             Total noninterest expense                      1,715,952        1,468,774          4,669,267        4,155,401
                                                       --------------   --------------     --------------   --------------

Income before income tax expense                            2,683,075        2,022,282          7,222,949        5,683,175

Income tax expense                                          1,055,098          805,600          2,836,294        2,269,820
                                                       --------------   --------------     --------------   --------------
Net income                                             $    1,627,977   $    1,216,682     $    4,386,655   $    3,413,355
                                                       ==============   ==============     ==============   ==============

Net income per common share
  Basic                                                $         0.52   $         0.39     $         1.39   $         1.10
  Diluted                                              $         0.45   $         0.34     $         1.22   $         0.95

Weighted average shares outstanding
  Basic                                                     3,160,052        3,109,110          3,154,316        3,096,057
  Diluted                                                   3,608,681        3,617,113          3,604,171        3,587,356
</TABLE>

See Notes to Consolidated Financial Statements           3

<PAGE>

                                    PARKE BANCORP, INC. AND SUBSIDIARIES
                              CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY
                           FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2007 AND 2006
                                               (unaudited)

<TABLE>
<CAPTION>
                                                                                           Accumulated
                                                              Additional                      Other                        Total
                                                 Common         Paid-         Retained    Comprehensive    Treasury    Shareholders'
                                                  Stock       In capital      Earnings    Income (Loss)      Stock         Equity
                                                ---------    ------------   ------------    ----------   ------------  ------------
<S>                                            <C>          <C>             <C>            <C>             <C>        <C>
Balance at December 31, 2005                    $ 231,736    $ 20,511,410    $ 6,787,118    $ (286,296)     $ (50,641) $ 27,193,327
Stock options and warrants
exercised                                           7,533         533,189              -                                    540,722
Treasury stock purchased                                -               -              -                   (1,109,426)   (1,109,426)
20% stock dividend                                 47,243         (51,972)             -                                     (4,729)
Comprehensive income:
  Net income for the period                             -               -      3,413,355                                  3,413,355
  Change in net unrealized gain
  on securities available for sale,
  net of reclassification
  adjustment and tax effects                            -               -              -        19,295                       19,295
                                                                                                                       -------------
Total comprehensive income                                                                                                3,432,650
                                                ---------    ------------   ------------    ----------   ------------  ------------
Balance at September 30, 2006                   $ 286,512    $ 20,992,627   $ 10,200,473    $ (267,001)  $ (1,160,067) $ 30,052,544
                                                =========    ============   ============    ==========   ============  ============

Balance at December 31, 2006                    $ 288,494    $ 21,153,220   $ 10,847,763    $ (420,250)  $ (1,160,067) $ 30,709,160
Stock options and warrants
exercised                                           6,766         496,284              -                                    503,050
Stock compensation                                      -          24,789              -             -              -        24,789
Treasury stock purchased                                -               -              -                     (345,445)     (345,445)
10% stock dividend                                 29,343       4,768,286     (4,801,703)                                    (4,074)
Comprehensive income:                                                                                                             -
  Net income for the period                             -               -      4,386,655                                  4,386,655
  Change in net unrealized gain
  on securities available for sale,
  net of reclassification
  adjustment and tax effects                            -               -              -       (86,957)                     (86,957)
  Adjustment to minimum
  pension liability                                     -               -              -        14,886              -        14,886
                                                                                                                       ------------
Total comprehensive income                                                                                                4,314,584
                                                ---------    ------------   ------------    ----------   ------------  ------------
Balance at September 30, 2007                   $ 324,603    $ 26,442,579   $ 10,432,715    $ (492,321)  $ (1,505,512) $ 35,202,064
                                                =========    ============   ============    ==========   ============  ============
</TABLE>

See Notes to Consolidated Financial Statements                          4

<PAGE>

                                            PARKE BANCORP, INC. AND SUBSIDIARIES
                                           CONSOLIDATED STATEMENTS OF CASH FLOWS
                                                        (unaudited)

<TABLE>
<CAPTION>
                                                                                       For the nine months ended
                                                                                            September 30,
                                                                                         2007            2006
                                                                                     ------------    ------------
<S>                                                                                <C>             <C>
Operating Activities
  Net income                                                                         $  4,386,655    $  3,413,355
  Adjustments to reconcile net income to net cash provided by operating activities
    Depreciation                                                                          228,178         197,569
    Provision for losses                                                                  896,496         774,000
    Net (accretion) of investment securities premium/discounts                            (45,943)        (13,446)
    Stock compensation                                                                     24,789               -
    Bank owned life insurance income                                                     (136,118)       (127,582)
    Supplemental executive retirement plan                                                194,274         220,678
    Loss on sale of investments                                                            14,609               -
    Changes in operating assets and liabilities:
      Decrease (increase) in accrued interest receivable and other assets                 477,742         (77,767)
      (Decrease) increase in accrued interest payable and other liabilities              (827,211)        715,503
                                                                                     ------------    ------------
        Net cash provided by operating activities                                       5,213,471       5,102,310
                                                                                     ------------    ------------

Investment Activities
  Purchases of investment securities available for sale                                (9,648,517)     (3,003,543)
  Purchase of restricted stock                                                           (380,500)       (274,300)
  Proceeds from sales of investment securities available for sale                         985,391               -
  Proceeds from maturities of investment securities available for sale                  2,050,000               -
  Principal payments on mortgage-backed securities                                      1,349,636         928,524
  Net increase in loans                                                               (75,683,637)    (41,762,936)
  Purchases of bank premises and equipment                                                (37,377)       (419,385)
                                                                                     ------------    ------------
        Net cash used in investing activities                                         (81,365,004)    (44,531,640)
                                                                                     ------------    ------------

Financing Activities
  Proceeds from exercise of stock options and warrants                                    503,050         540,722
  Purchase of treasury stock                                                             (345,445)     (1,109,426)
  Cash dividends                                                                           (4,074)         (4,729)
  Net increase (decrease) in other borrowings                                           6,400,000      (1,182,852)
  Net increase in Federal Home Loan Bank advances                                       4,864,324       5,764,131
  Proceeds from issuance of subordinated debentures                                     3,000,000               -
  Net increase in interest-bearing deposits                                            57,296,826      38,894,845
  Net increase in noninterest-bearing deposits                                          5,527,096         347,859
                                                                                     ------------    ------------
        Net cash provided by financing activities                                      77,241,774      43,250,550
                                                                                     ------------    ------------

        Increase in cash and cash equivalents                                           1,090,244       3,821,220

Cash and Cash Equivalents at January 1,                                                11,260,811       4,380,036
                                                                                     ------------    ------------
Cash and Cash Equivalents at September 30,                                           $ 12,351,055    $  8,201,256
                                                                                     ============    ============

Supplemental Disclosure of Cash Flow Information:
Cash paid during the period for:
Interest on deposits and borrowings                                                  $ 12,609,856    $  8,262,000
                                                                                     ============    ============
Income taxes                                                                         $  3,612,651    $  2,750,000
                                                                                     ============    ============
</TABLE>

See Notes to Consolidated Financial Statements                          5


<PAGE>

                      PARKE BANCORP, INC. AND SUBSIDIARIES
                   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").

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 and  Philadelphia,  Pennsylvania  and has loan
production offices in Millville, New Jersey and Havertown, Pennsylvania.

Financial Statements

The accompanying financial statements as of September 30, 2007 and for the three
and nine month  periods ended  September 30, 2007 and 2006 included  herein have
not been audited. 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 Company's audited  financial  statements and the notes thereto included
in the Company's  Annual Report on Form 10-K for the fiscal year ended  December
31, 2006, as filed with the SEC. 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 and nine
months ended  September 30, 2007 are not  necessarily  indicative of the results
that may be expected for the year ending December 31, 2007 or any other periods.

Basis of Financial Statement Presentation

The  financial  statements  include the  accounts of Parke  Bancorp Inc. and its
wholly owned  subsidiaries,  Parke Bank,  Parke Capital  Markets and Farm Folly,
LLC.  Parke  Capital Trust I, Parke Capital Trust II and Parke Capital Trust III
are wholly-owned  subsidiaries but are not consolidated because they do not meet
the  consolidation  requirements.  All  significant  inter-company  balances and
transactions  have  been  eliminated.  Such  statements  have been  prepared  in
accordance with GAAP 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.  A material
estimate that is  particularly  susceptible to a significant  change in the near
term is the determination of the allowance for loan losses.

Investments

The  Company  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 (loss), net of the related income tax effect.  Declines in
the fair value of the individual available-for-sale securities below their

                                        6

<PAGE>

                      PARKE BANCORP, INC. AND SUBSIDIARIES
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (unaudited)


cost  that  are  other  than  temporary  have  resulted  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 Company 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, 2007 are the result of market  changes in  interest  rates
since the  securities  were  purchased.  This factor,  coupled with the fact the
Company 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.

Income Taxes

When  corporate  income tax returns are filed,  it is highly  certain  that some
positions taken would be sustained upon  examination by the taxing  authorities,
while others are subject to  uncertainty  about the merits of the position taken
or the amount of the position that ultimately would be sustained. The benefit of
a tax position is recognized  in the  financial  statements in the period during
which,   based  on  all   available   evidence,   management   believes   it  is
more-likely-than  not that the  position  will be  sustained  upon  examination,
including  the  resolution  of  appeals or  litigation  processes,  if any.  The
evaluation  of a tax position  taken is  considered  by itself and not offset or
aggregated with other  positions.  Tax positions that meet the  more-likely-than
not recognition threshold are measured as the largest amount of tax benefit that
is more  than 50  percent  likely of being  realized  upon  settlement  with the
applicable  taxing  authority.  The  portion  of  benefits  associated  with tax
positions taken that exceeds the amount measured as described above is reflected
as a liability for unrecognized  tax benefits in the accompanying  balance sheet
along with any  associated  interest and penalties  that would be payable to the
taxing  authorities  upon  examination.  Interest and penalties  associated with
unrecognized  tax benefits are recognized in income tax expense on the statement
of operations.

Recent Accounting Pronouncements

In September 2006, the FASB issued SFAS No. 157, Fair Value Measurements  ("SFAS
No.  157").  This  statement  defines fair value,  establishes  a framework  for
measuring fair value in generally accepted  accounting  principles,  and expands
disclosures about fair value measurements. SFAS No. 157 does not require any new
fair value measurements,  but provides enhanced guidance to other pronouncements
that require or permit assets or liabilities to be measured at fair value.  This
statement  is  effective  for  financial  statements  issued  for  fiscal  years
beginning after November 15, 2007, and interim  periods within those years.  The
adoption of SFAS No. 157 is not  expected  to  materially  affect the  Company's
financial position or results of operations.

                                       7

<PAGE>

                      PARKE BANCORP, INC. AND SUBSIDIARIES
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (unaudited)


In February  2007, the FASB issued SFAS No. 159, Fair Value Option for Financial
Assets and  Financial  Liabilities  ("SFAS No.  159").  This  statement  permits
entities to choose to measure many financial instruments and certain other items
at fair value that are not currently required to be measured at fair value. SFAS
No. 159 is effective for fiscal years  beginning  after November 15, 2007,  with
early adoption permitted provided the entity also elects to apply the provisions
of SFAS No.  157.  The  adoption of SFAS No. 159 is not  expected to  materially
affect the Company's financial position or results of operations.

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, 2007 and 2006 was  3,160,052  and  3,109,110,  respectively,  and
3,154,316 and  3,096,057 for the nine months ended  September 30, 2007 and 2006,
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 448,629 and 508,003  additional shares
for the three months ended  September 30, 2007 and 2006,  respectively,  and for
the nine months  ended  September  30,  2007 and 2006 was  449,855 and  491,299,
respectively.

Both basic and diluted earnings per share  calculations give retroactive  effect
to stock  dividends  declared,  including the most recently  completed 10% stock
dividend that was effective April 23, 2007.

NOTE 3. STOCK COMPENSATION

Effective  January 1, 2006, the Company adopted Financial  Accounting  Standards
Board  ("FASB")  Statement No. 123  Share-Based  Payment  (Revised  2004) ("SFAS
123R")  utilizing  the  modified  prospective   approach.   Under  the  modified
prospective transition method, the Company is required to recognize compensation
cost for 1) all  share-based  payments  granted  prior to, but not vested as of,
January 1, 2006 based on the grant date fair value  estimated in accordance with
the original provisions of SFAS 123; and 2) for all share-based payments granted
on or after  January 1, 2006 based on the grant  date fair  value  estimated  in
accordance with SFAS 123R. In accordance with the modified  prospective  method,
the Company has not restated prior period results.

Prior to January 1, 2006, the Company  accounted for share-based  payments under
the recognition and measurement provisions of APB Opinion No. 25, Accounting for
Stock Issued to  Employees,  and related  Interpretations,  as permitted by FASB
Statement No. 123,  Accounting for  Stock-Based  Compensation.  All  outstanding
stock  options  as of January 1, 2006 were  fully  vested (in prior  years,  all
options  vested upon  issuance),  thus no  compensation  expense was  recognized
during the nine months ended  September 30, 2007 or 2006 for such  options.  The
Company used the  Black-Scholes  option pricing model to estimate the fair value
of stock-based awards in 2006 and thereafter.

As of September  30, 2007,  and  December 31, 2006,  there were 15,400  unvested
options after adjusting for the stock dividend in April 2007.  Compensation cost
related to share-based payments amounted to $24,789 during the first nine months
of 2007, which were related to options issued in 2006.

                                        8


<PAGE>

                      PARKE BANCORP, INC. AND SUBSIDIARIES
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (unaudited)


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
Bank'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).


                                                            For Capital Adequacy
                                                                 Purposes
                                     Actual               ----------------------
                                     Amount      Ratio     Amount        Ratio
                                   ----------  --------   -----------  ---------
As of September 30, 2007:
-------------------------------
(amount in thousands)
Total Risk Based Capital            $ 53,716     12.8%      $ 33,625      8%
  (to Risk Weighted Assets)
Tier 1 Capital                      $ 48,460     11.5%      $ 16,813      4%
  (to Risk Weighted Assets)
Tier 1 Capital                      $ 48,460     11.5%      $ 16,889      4%
  (to Average Assets)



                                                            For Capital Adequacy
                                                                 Purposes
                                     Actual               ----------------------
                                     Amount      Ratio     Amount        Ratio
                                   ----------  --------   -----------  ---------
As of December 31, 2006
-------------------------------
(amount in thousands)
Total Risk Based Capital            $ 44,405     14.5%      $ 24,499      8%
  (to Risk Weighted Assets)
Tier 1 Capital                      $ 40,569     13.5%      $ 12,249      4%
  (to Risk Weighted Assets)
Tier 1 Capital                      $ 40,569     11.6%      $ 14,054      4%
  (to Average Assets)



Management  believes,  as of September 30, 2007 and December 31, 2006,  that the
Bank met all capital adequacy requirements to which it was subject.

NOTE 5. SUBORDINATED DEBENTURES

On June 21, 2007, Parke Capital Trust III, a Delaware  statutory  business trust
and a  wholly-owned  subsidiary of the Company,  issued $3.0 million of variable
rate capital trust pass-through  securities to investors.  The variable interest
rate re-prices  quarterly at the  three-month  LIBOR plus 1.50% and was 7.19% at
September 30, 2007.  Parke Capital Trust III purchased  $3.1 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

                                        9

<PAGE>

                      PARKE BANCORP, INC. AND SUBSIDIARIES
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (unaudited)


Trust under the capital securities. The capital securities are redeemable by the
Company on or after June 15, 2012, 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 September 15, 2037.  Proceeds of approximately  $3.0 million were retained at
the Company for future use.

NOTE 6. INCOME TAXES

The Company adopted the provisions of FASB Interpretation No. 48, Accounting for
Uncertainty  in Income Taxes,  ("FIN 48"), on January 1, 2007. The Company files
United  States  (US)  federal  income tax  returns  and state tax returns in New
Jersey. Based upon the statute of limitations,  the Company is no longer subject
to US federal and state  examinations  by tax authorities for years before 2003.
Based on the review of the tax returns filed for the years 2003 through 2005 and
the  deferred  tax  benefits  accrued in the 2006 annual  financial  statements,
management  determined that all tax positions taken had a probability of greater
than 50 percent of being sustained and that 100 percent of the benefits  accrued
were  expected to be realized.  Management  has a high  confidence  level in the
technical  merits of the positions.  It believes that the  deductions  taken and
benefits  accrued are based on widely  understood  administrative  practices and
procedures and are based on clear and  unambiguous  tax law. As a result of this
evaluation, no liability has been recorded for unrecognized tax benefits.

NOTE 7. COMPREHENSIVE INCOME

The Company's comprehensive income is presented in the following table.

<TABLE>
<CAPTION>
                                          For the three months ended    For the nine months ended
                                                 September 30,                 September 30,
                                          --------------------------    --------------------------
                                             2007           2006           2007           2006
                                          -----------    -----------    -----------    -----------
<S>                                      <C>            <C>            <C>            <C>
Net Income                                $ 1,627,977    $ 1,216,682    $ 4,386,655    $ 3,413,355
Unrealized gains (losses) on securities       143,400        339,454       (144,929)        32,158
Adjustment to minimum pension liability         8,268           --           24,804           --
Income tax (expense) benefit                  (60,706)      (135,782)        48,054        (12,863)
                                          -----------    -----------    -----------    -----------

Total comprehensive income                $ 1,718,939    $ 1,420,355    $ 4,314,584    $ 3,432,650
                                          ===========    ===========    ===========    ===========
</TABLE>

                                       10


<PAGE>

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-Q, Annual Reports on
Form 10-K and any current reports on Form 8-K.

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.


               Three Months Ended September 30, 2007 Compared to
                      Three Months Ended September 30, 2006
                                  (unaudited)

The following  discussion compares the results of operations for the three month
period ended September 30, 2007 to the results of operations for the three month
period ended September 30, 2006.  This discussion  should be read in conjunction
with the  accompanying  financial  statements  and related  notes as well as the
financial information included in the 2006 Annual Report on Form 10-K.

                                       11

<PAGE>

Results of Operations

Net Income.  For the quarter ended  September 30, 2007,  net income totaled $1.6
million,  compared to $1.2  million for the quarter  ended  September  30, 2006.
Diluted earnings per share for the three months ended September 30, 2007 totaled
$0.45,  compared  to $0.34 per share for the same period of 2006.  The  earnings
improvement for the current quarter was primarily the result of continued growth
in the loan  portfolio  during the past year and in particular the first half of
2007. In addition,  earnings for the current quarter were favorably  impacted by
the  collection  of  past  due  interest   payments   associated  with  a  large
nonperforming loan.

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, 2007 totaled $4.4
million,  an increase of  $896,000,  or 25.5%,  over $3.5  million for the three
months ended September 30, 2006. The increase is  attributable  primarily to the
growth in the loan portfolio,  in particular  commercial loan balances.  The net
interest margin for the quarter ended September 30, 2007 was 4.27%,  compared to
4.30% for the comparable quarter of 2006. The net interest margin was negatively
impacted  by  higher  cost  time   deposits  to  fund  loan  growth,   primarily
certificates  of  deposit  with  maturities  of one  year or less  and  brokered
certificates  of  deposit  with  mainly  one-year  maturities.  The  margin  was
favorably  impacted by the payment of past due interest and a prepayment penalty
associated with a large nonperforming loan that paid off in July 2007.

Interest  income  amounted to $9.0 million for the quarter  ended  September 30,
2007, and increased by $2.2 million,  or 32.7%,  from the comparable  quarter of
2006, primarily due to an increase of $85.6 million in average  interest-earning
assets,  mainly  commercial loans, a higher yield on interest earning assets and
past due interest and prepayment penalty collected on a large nonperforming loan
that paid off during the quarter.  Average loans outstanding  amounted to $373.3
million  and  increased  by $78.6  million,  or 26.7%,  and  average  investment
securities increased by $5.9 million, or 21.9%. Yields on earning assets for the
three months ended September 30, 2007 increased to 8.67% from 8.26% for the same
period of 2006. The increase was primarily  attributable  to increased  interest
rates and the past due interest  payments and penalty  associated with the large
nonperforming  loan. The past due interest and related  income  collected on the
nonperforming loan amounted to $420,000 for the third quarter of 2007.

Interest  expense of $4.6  million for the quarter  ended  September  30,  2007,
increased  by  $1.3   million,   or  40.5%,   due  to  an  increase  in  average
interest-bearing  liabilities  and  higher  interest  rates on retail  deposits,
brokered deposits and borrowed funds.  Average  interest-bearing  liabilities of
$363.4  million for the third  quarter of 2007  increased by $78.6  million,  or
27.6%,  from the  comparable  quarter of 2006. The largest change year over year
occurred in retail  certificates of deposits,  which increased by $48.5 million,
or 41.8%,  from the average level for the comparable period of 2006. The average
rate paid on interest-bearing  liabilities increased by 45 basis points to 4.97%
for the quarter ended September 30, 2007, from 4.52% for the comparable  quarter
of 2006.  Interest  rates  increased  year  over  year for all  interest-bearing
liabilities as retail  certificates  of deposits  increased from 4.68% to 5.15%,
brokered  certificates of deposits  increased from 4.74% to 5.20% and borrowings
increased from 5.34% to 5.56%.

Provision for Loan Losses.  The  provision for loan losses  amounted to $186,000
for the third quarter of 2007 as compared to $211,000 for the comparable quarter
of 2006. The allowance for loan losses amounted to 1.40% of total gross loans at
September  30, 2007 as  compared  to 1.45% of total gross loans at December  31,
2006.  The level of  nonperforming  loans at September 30, 2007 amounted to $1.0
million,  which  represented  an increase  from the  December  31, 2006 level of
$788,000  but  declined by $3.3  million from the level at June 30, 2007 of $4.3
million.  The decline was attributable to one large nonperforming loan which was
paid in full in July 2007.

Noninterest Income.  Noninterest income totaled $177,000 for the current quarter
and  declined by $13,000 from  $190,000  recorded in the  comparable  quarter of
2006. The decrease was mainly  attributable to a decline in commercial loan fees
which consist of exit/modification fees, inspection fees and documentation fees.

                                       12

<PAGE>

Noninterest Expense. For the three months ended September 30, 2007,  noninterest
expense amounted to $1.7 million versus $1.5 million for the comparable  quarter
of 2006, resulting in an increase of $247,000, or 16.8%.  Increased compensation
and related  expenses  associated with the  Philadelphia  retail branch and loan
production office in Millville, New Jersey that were opened in the third quarter
of 2006  and the new  loan  production  office  that was  opened  in  Havertown,
Pennsylvania  in September  2007  accounted  for a majority of the increase year
over year.

Income Taxes. The Company recorded income tax expense of $1.1 million, on income
before  taxes of $2.7 million for the three  months  ended  September  30, 2007,
resulting in an effective  tax rate of 39.3%,  compared to income tax expense of
$806,000 on income  before  taxes of $2.0 million for the  comparable  period of
2006, resulting in an effective tax rate of 39.8%.

<TABLE>
<CAPTION>
                                                                               Interest Yield Table
                                                                            For the three months ended
                                                           September 30, 2007                      September 30, 2006
                                                  -------------------------------------     -------------------------------------
                                                      Average                                  Average
                                                      Balance        Interest    Yield         Balance         Interest    Yield
                                                  --------------  ------------- -------     --------------  ------------- -------
<S>                                             <C>             <C>             <C>       <C>             <C>             <C>
Assets
  Loans                                           $ 373,314,332   $  8,458,830    8.99 %    $ 294,705,065   $  6,373,897    8.58 %
  Investment securities                              32,827,976        451,951    5.46         26,928,323        343,119    5.06

Federal funds sold and money markets                  3,861,140         51,629    5.30          2,742,856         35,941    5.20
                                                  -------------   ------------              -------------   ------------
      Total interest-earning assets                 410,003,448   $  8,962,410    8.67        324,376,244   $  6,752,957    8.26
                                                                  ============                              ============

Allowance for loan loss                              (5,247,372)                               (4,202,910)
Other assets                                         17,338,984                                15,797,456
                                                  -------------                             -------------
      Total assets                                $ 422,095,060                             $ 335,970,790
                                                  =============                             =============

Liabilities and Shareholders' Equity
  NOWs                                                7,023,772         27,570    1.56          9,915,703         37,708    1.51 %
  Money markets                                      29,508,946        333,885    4.49         16,947,750        163,652    3.83
  Savings                                            28,670,868        270,662    3.75         27,484,841        254,632    3.68
  Time deposits                                     164,333,938      2,131,240    5.15        115,859,960      1,366,269    4.68
  Brokered CDs                                       92,784,334      1,215,240    5.20         80,866,563        965,907    4.74
                                                  -------------   ------------              -------------   ------------
      Total interest-bearing deposits               322,321,858      3,978,597    4.90        251,074,817      2,788,168    4.41
  Borrowings                                         41,032,151        575,354    5.56         33,629,991        452,739    5.34
                                                  -------------   ------------              -------------   ------------
      Total interest-bearing liabilities            363,354,009   $  4,553,951    4.97        284,704,808   $  3,240,907    4.52
                                                                  ============                              ============

Non-interest bearing demand deposits                 20,040,686                                18,406,957
Other liabilities                                     3,826,811                                 2,755,367
Shareholders' equity                                 34,873,554                                30,103,658
                                                  -------------                             -------------
      Total liabilities and shareholders' equity  $ 422,095,060                             $ 335,970,790
                                                  =============                             =============

                                                                  ------------                              ------------
      Net interest income                                         $  4,408,459                              $  3,512,050
                                                                  ============                              ============

Interest rate spread                                                              3.70 %                                    3.74 %

Net interest margin                                                               4.27 %                                    4.30 %
</TABLE>


                                       13

<PAGE>

                 Nine Months Ended September 30, 2007 and 2006
                                   (unaudited)

The following  discussion compares the results of operations for the nine months
ended  September 30, 2007 to the results of operations for the nine months ended
September  30, 2006.  This  discussion  should be read in  conjunction  with the
accompanying  financial  statements  and related  notes as well as the financial
information included in the 2006 Annual Report on Form 10-K.

Results of Operations

Net Income.  For the nine months ended  September 30, 2007,  net income  totaled
$4.4 million,  compared to $3.4 million for the nine months ended  September 30,
2006, an increase of 28.5%. Diluted earnings per share for the first nine months
of 2007  totaled  $1.22,  compared to $0.95 for the  comparable  period of 2006,
resulting in an increase of $0.27, or 28.3%.  Increased net income for the first
nine months of 2007 was  attributable  primarily to  continued  loan growth that
resulted in  increases in net interest  income of $1.7  million,  an increase in
noninterest income of $434,000 associated with a gain on the sale of repossessed
property and insurance reimbursements related to the recovery of legal and other
expenses for repossessed  assets.  The increased revenue was partially offset by
an increase  in the  provision  for loan  losses of $122,000  and an increase in
noninterest expenses of $514,000.

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 first nine months of 2007 totaled $11.7 million,  an
increase of $1.7  million,  or 17.4%,  above  $10.0  million for the nine months
ended  September  30, 2006.  The net  interest  margin for the nine month period
ended September 30, 2007 was 4.01%, which was down from 4.33% for the comparable
period of 2006. Higher cost time deposits,  both retail  certificates of deposit
and  brokered  certificates  of  deposit  coupled  with the  flat and  sometimes
inverted  shape of the yield curve for most of the past year  contributed to the
margin compression during the first nine months of 2007.

Interest  income of $24.5  million for the nine months ended  September 30, 2007
increased by $6.1 million,  or 32.8%, from the level of the comparable period of
2006.  This was driven  primarily  by an  increase  of $82.5  million in average
interest-earning  assets,  which was mainly  related to commercial  loans and an
increase in the yield on interest-earning  assets.  Average loans outstanding of
$356.0 million for the nine months ended September 30, 2007,  increased by $76.1
million,  or 27.2%, from the comparable period of 2006 while average  investment
securities of $30.5 million increased by $4.2 million from the comparable period
of 2006. Yields on  interest-earning  assets for the nine months ended September
30, 2007 increased to 8.39% from 8.01% for the comparable  period of 2006 mainly
due to increased interest rates.  Yields on average loan balances for the period
ended  September  30,  2007  increased  to 8.68% from 8.32% from the  comparable
period of 2006.

Interest  expense for the nine months ended September 30, 2007 amounted to $12.8
million and increased by $4.3 million,  or 50.9% primarily due to an increase in
average  interest-bearing  liabilities and increased  interest rates on customer
deposits and borrowed funds. Average interest-bearing deposits of $309.8 million
for the nine months ended  September 30, 2007,  increased by $71.7  million,  or
30.1%,  from the  comparable  period of 2006 while  average  borrowings of $37.9
million increased by $5.4 million during  comparable  periods of both years. The
average  rate paid on  interest-bearing  liabilities  increased to 4.92% for the
period ended  September 30, 2007 from 4.19% for the  comparable  period of 2006.
Retail  certificates  of  deposit  increased  year over year from 4.35% to 5.10%
while brokered  certificates  of deposit  increased year over year from 4.38% to
5.16%.  Short term interest  rates for customer  deposits have become  extremely
competitive  as banks are  required to not only  compete  against  each other on
competitive  interest  rates but also with credit  unions,  brokerage  firms and
large  mortgage  companies  experiencing  liquidity  issues due to the sub-prime
mortgage market.

Noninterest Income. Noninterest income of $1.0 million for the nine months ended
September  30,  2007  increased  $434,000,  or  70.9%,  from  $612,000  for  the
comparable  period of 2006. The increase was  principally due to the gain on the
sale of repossessed property in the second quarter ($205,000) and the insurance

                                       14

<PAGE>

reimbursements  ($377,000)  that occurred in the first quarter of 2007 that were
partially offset by lower commercial loan fees.

Provision  for Loan Losses.  The  provision for loan losses was $896,000 for the
nine months ended  September 30, 2007,  compared to $774,000 for the  comparable
period in 2006.  The increase in the provision for the 2007 period was primarily
due to the  significant  increase in loan balances  during the nine months ended
September 30, 2007.

Noninterest Expense.  For the nine months ended September 30, 2007,  noninterest
expense of $4.7 million increased by $514,000, or 12.4% compared to $4.2 million
for the same period of 2006. The increase was mainly due to staffing and related
expenses  associated  with the new retail  branch in  Philadelphia  and the loan
production office in Millville, New Jersey that were opened in the third quarter
of 2006 and the new loan production office opened in Havertown,  Pennsylvania in
September 2007.

Income Taxes.  The Company recorded income tax expense of $2.8 million on income
before  taxes of $7.2  million for the nine months  ended  September  30,  2007,
resulting in an effective  tax rate of 39.3%,  compared to income tax expense of
$2.3 million on income before taxes of $5.7 million for the comparable period of
2006, resulting in an effective tax rate of 39.9%.

                                       15

<PAGE>

<TABLE>
<CAPTION>
                                                                                Interest Yield Table
                                                                             For the nine months ended
                                                           September 30, 2007                      September 30, 2006
                                                  -------------------------------------     -------------------------------------
                                                      Average                                  Average
                                                      Balance        Interest    Yield         Balance         Interest    Yield
                                                  --------------  ------------- -------     --------------  ------------- -------
<S>                                             <C>             <C>             <C>       <C>             <C>             <C>
Assets
  Loans                                            $  356,030,809  $  23,115,910   8.68 %    $  279,925,898  $  17,412,925   8.32 %
  Investment securities                                30,455,261      1,240,288   5.44          26,161,288        977,224   4.99

  Federal funds sold                                    4,596,076        183,622   5.34           2,487,100         90,761   4.88
                                                   --------------  -------------             --------------  -------------
      Total interest-earning assets                   391,082,146  $  24,539,820   8.39         308,574,286  $  18,480,910   8.01
                                                                   =============                             =============

  Allowance for loan loss                              (4,966,505)                               (3,915,323)
  Other assets                                         18,089,961                                15,904,662
                                                   --------------                            ---------------
      Total assets                                 $  404,205,602                            $  320,563,625
                                                   ==============                            ===============

Liabilities and Shareholders' Equity
  NOWs                                                  8,105,405         94,771   1.56          10,293,877        118,779   1.54 %
  Money markets                                        25,126,253        825,331   4.39          14,930,169        372,152   3.33
  Savings                                              26,842,384        746,841   3.72          30,214,716        776,205   3.43
  Time deposits                                       153,872,729      5,867,945   5.10         107,791,730      3,509,521   4.35
  Brokered CDs                                         95,821,670      3,697,102   5.16          74,793,780      2,449,365   4.38
                                                   --------------  -------------             --------------  -------------
      Total interest-bearing deposits                 309,768,441     11,231,990   4.85         238,024,272      7,226,022   4.06
  Borrowings                                           37,940,795      1,566,075   5.52          32,545,618      1,254,802   5.15
                                                   --------------  -------------             --------------  -------------
      Total interest-bearing liabilities              347,709,236   $ 12,798,065   4.92         270,569,890    $ 8,480,824   4.19
                                                                   =============                             =============

  Non-interest bearing demand deposits                 19,327,811                                18,246,444
  Other liabilities                                     3,790,039                                 2,675,720
  Shareholder's equity                                 33,378,516                                29,071,571
                                                   --------------                            --------------
      Total liabilities and shareholders' equity   $  404,205,602                            $  320,563,625
                                                   ==============                            ==============

                                                                   -------------                             -------------
      Net interest income                                          $  11,741,755                             $  10,000,086
                                                                   =============                             =============

Interest rate spread                                                               3.47 %                                    3.82 %

Net interest margin                                                                4.01 %                                    4.33 %
</TABLE>


                               Financial Condition
                   At September 30, 2007 and December 31, 2006
                                   (unaudited)

The following  discussion compares the financial condition at September 30, 2007
to the financial  condition at December 31, 2006. This discussion should be read
in conjunction with the accompanying  financial  statements and related notes as
well as statistical information included in the 2006 Annual Report on Form 10-K.

Total  assets at  September  30, 2007  amounted to $441.0  million,  compared to
$360.0 million at December 31, 2006,  resulting in an increase of $81.0 million,
or 22.5%.  This  increase  was driven  primarily  by loan  growth as the Company
continued to expand its loan portfolio  through  development of new and existing
business  relationships and through greater  penetration of Philadelphia and the
surrounding market.

Total loans at September  30, 2007 were $386.2  million,  which  represented  an
increase  of $75.7  million,  or 24.4%  above  the level of  $310.6  million  at
December 31, 2006. Growth occurred in all loan categories

                                       16

<PAGE>

with  commercial  loan  growth  of $65.6  million,  or 23.3%,  representing  the
majority of the loan growth for 2007.  Investment  securities  amounted to $32.1
million at September 30, 2007 versus $27.0 million at December 31, 2006.

The  allowance  for loan losses  amounted to $5.4 million at September  30, 2007
compared to $4.5 million at December 31, 2006.  The ratio of the  allowance  for
loan losses to total loans decreased from 1.45% at December 31, 2006 to 1.40% at
September 30, 2007. The Company's  management has taken  nonperforming loans and
other loans of concern into consideration 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  assessment of the risks
within the portfolio  based upon the  information  revealed in credit  reporting
processes.  The  Company  utilizes  a  risk-rating  system  on  all  commercial,
business, agricultural,  construction,  consumer, multi-family,  residential and
commercial real estate loans,  including  purchased loans.  This risk assessment
takes into account the  composition of the loan  portfolio and  historical  loss
experience for each major loan category. In addition qualitative adjustments are
made for levels and trends in  delinquencies,  non-accruals  and impaired loans;
trends in volume;  effects,  if any, for changes in the Company's credit policy;
experience  and depth of the lending  staff;  any  national  and local  economic
trends and conditions; and concentrations of credit within the total portfolio.

Although the Company's  management  believes  that it uses the best  information
available  to  determine  the  allowance  for  loan  losses,  unforeseen  market
conditions   could  result  in  adjustments   to  the  allowance,   which  could
significantly  impact the Company's financial results,  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  coupled with  negative  trends in the factors
noted above and therefore cannot always be accurately predicted in advance.

Non-performing  loans,  expressed  as a percentage  of total loans,  amounted to
0.27% at September  30, 2007 versus 0.25% at December 31, 2006. At September 30,
2007, the Company had $1.0 million in non-accruing  loans,  which increased from
$788,000 at December 31, 2006. There were no loan charge-offs during the current
quarter or year.

Total deposits amounted to $352.8 million at September 30, 2007 and increased by
$62.8 million, or 21.7%, from $289.9 million at December 31, 2006. Time deposits
(retail  certificates  of deposit)  accounted  for a majority of the increase in
total deposits.

Borrowings,  which included Federal Home Loan Bank (FHLB)  advances,  repurchase
agreements and  subordinated  debentures  amounted to $49.2 million at September
30, 2007,  an increase of $14.4 million from $34.9 million at December 31, 2006.
The  majority of the increase was related to FHLB  advances  which  increased to
fund the significant  loan growth.  Also, on June 21, 2007,  Parke Capital Trust
III, a Delaware  statutory  business trust and a wholly-owned  subsidiary of the
Company,  issued  $3.0  million of  variable  rate  capital  trust  pass-through
securities to investors.  The variable interest rate re-prices  quarterly at the
three-month  LIBOR plus 1.50% and was 7.19% at September 30, 2007. Parke Capital
Trust III purchased $3.1 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 September 15, 2012,
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 September  15,  2037.  Proceeds of
approximately $3.0 million were retained at the Company for future use.

Shareholders'  equity was $35.2  million at September 30, 2007 and $30.7 million
at December  31,  2006,  amounting  to an increase  of $4.5  million,  or 14.6%.
Increases in net income of $4.4 million and capital of $523,000  associated with
the exercise of warrants and stock options were  modestly  offset by an increase
in investment  portfolio losses included in other  comprehensive  income loss of
$72,000,  which was primarily  associated with unrealized  investment  portfolio
losses and an increase in treasury stock purchases of $345,000.

                                       17

<PAGE>

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
increased  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 level of this  allowance as of September  30,
2007 was 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 predicted at this time.

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 109.5% and 107.1% at September  30, 2007
and  December  31,  2006,  respectively.  Funds  received  from new and existing
depositors  provided a large source of liquidity for the nine-month period ended
September 30, 2007.  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,  2007,  the Company  maintained  lines of credit with the FHLB of
$41.4 million, of which $30.8 million was outstanding at September 30, 2007.

As of September 30, 2007, the Company's investment securities portfolio included
$17.4 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

                                       18

<PAGE>

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 in accordance  with  regulatory
criteria.  Regulators have also adopted minimum Tier I leverage ratio standards,
which measure the ratio of Tier I capital to total assets.

At September 30, 2007, the Company's  management  believes that the Bank and the
Company are  "well-capitalized" and in compliance with all applicable regulatory
requirements.

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

There have been no material  changes from the information  regarding market risk
disclosed under the heading  "Management's  Discussion and Analysis of Financial
Condition and Results of Operations -- Interest Rate  Sensitivity  and Liquidity
-- Rate  Sensitivity  Analysis" in the Company's  Annual Report on Form 10-K for
the fiscal year ended December 31, 2006.

ITEM 4. 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-Q, 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
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.

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.  The Bank believes that the action is
without  merit and intends to  vigorously  defend  against it. The suit alleges,
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.  This lawsuit is currently  in the  discovery  phase of
litigation.

In January,  2007, the Bank reached a final agreement with both Atlantic Central
Bankers Bank and New Century Bank in connection  with their action filed against
the Bank in 2005 alleging  breach of  participation  agreements  and  fraudulent
misrepresentation in connection with the plaintiffs'  participations in loans to
the same Parke Bank  customers as the First  Republic  matter  discussed  above.
Their lawsuit against Parke Bank was dismissed in February,  2007. In connection
with this  settlement,  the Bank paid  $150,000  and  $60,000,  respectively  to
Atlantic Central Bankers Bank and New Century Bank in February and March,  2007,
respectively.

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

                                       19

<PAGE>

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, 2007, the Company was not a party to
any material legal proceedings.

ITEM 1A. RISK FACTORS

There have been no material changes from the Risk Factors disclosed in Company's
Annual Report for the fiscal year ended December 31, 2006.

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

Treasury stock repurchases during the third quarter for Parke Bancorp, Inc. were
as follows:

                                            Total number of
                                           shares purchased    Maximum number
                     Total                    as part of     of shares that may
                   number of    Average       publicity       yet be purchased
                     shares    price paid   announced plans  under the plans or
Period             purchased   per share      or programs         programs
---------------- -----------  -----------  ---------------- -------------------


July, 2007             600      $ 17.66            600             81,736
August, 2007        12,450        16.44         12,450             69,286
September, 2007          -            -              -             69,286
                                                                  -------
                   -------      -------        -------
Totals:             13,050      $ 16.49         13,050
                   =======      =======        =======


As of September  30, 2007,  the Company has  purchased  88,776  shares of common
stock and is allowed to  purchase  up to 5% of the  outstanding  stock  (158,062
shares), which allows additional repurchases of 69,286 shares.

ITEM 3. DEFAULTS 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).

         32   Certification required by 18 U.S.C. ss.1350.

                                       20

<PAGE>

                                   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.



                                           PARKE BANCORP, INC.





Date:    November 14, 2007                 /s/Vito S. Pantilione
                                           -------------------------------------
                                           Vito S. Pantilione
                                           President and Chief Executive Officer
                                           (Principal Executive Officer)





Date:    November 14, 2007                 /s/Robert A. Kuehl
                                           -------------------------------------
                                           Robert A. Kuehl
                                           Senior Vice President and
                                           Chief Financial Officer
                                           (Principal Accounting Officer)