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COVENANT BANK ANNOUNCES $3.4 MILLION PLACEMENT OF PREFERRED STOCK

 HADDONFIELD, N.J., Jan. 11 /PRNewswire/ -- Covenant Bank announced the successful placement of 138,300 shares of convertible preferred stock totaling $3,457,500.
 The placement, which was the first preferred stock offering in the bank's history, immediately resulted in the over-subscription of an additional 18,300 shares.
 "What made this offering such a tremendous success was the over- subscription of the stock on a first-time offer and the extremely short timeframe in which it turned around," said Richard A. Hocker, chairman of Covenant Bank. "This placement further validates Covenant's growing reputation as a valuable banking franchise in southern New Jersey," he added. The stock was offered on Nov. 18, 1992, and closed on Dec. 31, 1992. Janney Montgomery Scott acted as financial advisor and selling agent for Covenant Bank in this offering.
 Even more significant is that the placement increased Covenant's capital position to $12.2 million or 11 percent of its total assets. This amount is well in excess of the minimum regulatory capital requirements of 3 percent to 5 percent.
 Covenant's strong capital position will allow the bank to continue to expand as demonstrated by the pending acquisition of New Jersey Savings and Loan Association. The bank, with branches in Atco, Sicklerville and Voorhees, N.J., has assets totaling $52 million. Covenant Bank entered into a letter of intent on Dec. 24, 1992.
 "Our pending acquisition of New Jersey Savings is a natural building block in creating a banking franchise in southern New Jersey, especially in light of Covenant's first convertible stock offering," said Philip W. Koebig III, president and chief executive officer of Covenant Bank.
 Covenant Bank operates full-service banking offices in Haddonfield, Linwood and Cape May Court House, N.J. Covenant will also open a full- service banking office in Moorestown, N.J., in January. Covenant's assets as of Dec. 31, 1992, totaled $110 million.
 /delval/
 -0- 1/11/93
 /CONTACT: Beverly Cohen, vp of Covenant Bank, 609-428-3105/


CO: Covenant Bank; New Jersey Savings and Loan Association ST: New Jersey IN: FIN SU: OFR

MK-LJ -- PH002 -- 3442 01/11/93 10:03 EST
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Date:Jan 11, 1993
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