CENTER BANCORP, INC. TO ACQUIRE RED OAK BANK

UNION, NJ -- (MARKET WIRE) -- 12/20/04 -- Center Bancorp, Inc. (NASDAQ: CNBC),
the holding company for Union Center National Bank, and Red Oak Bank (OTC BB:
ROBK) announced today the signing of a definitive merger agreement for Center
Bancorp to acquire Red Oak Bank , a state-chartered bank headquartered in
Morristown, New Jersey. The total value of the acquisition, including stock
options, is approximately $26.3 million.

Pursuant to the merger agreement, Red Oak Bank will be merged into Center
Bancorp's subsidiary, Union Center National Bank, and each share of Red Oak
stock will be converted into the right to receive $12.35 per share in cash or a
fixed ratio of 0.9449 of a share of CNBC common stock, at the election of the
stockholder, subject to a potential reduction in the cash and stock to be
received of up to $0.30 per Red Oak share and allocation provisions designed to
assure that 50% of Red Oak Bank's shares are converted into cash and 50% are
converted into Center Bancorp's common stock. Center Bancorp anticipates a
closing to occur in the first half of 2005, contingent upon receiving regulatory
and shareholder approvals. Center Bancorp expects the acquisition of Red Oak
Bank to be accretive to earnings within one year following the closing of the
merger.

John J. Davis, President & CEO of Center Bancorp, stated, "We are pleased to be
able to acquire a local community bank located in such an attractive market as
Morristown, New Jersey. This acquisition strengthens our foothold in this market
area where we already have a presence, and allows us to remain dedicated to our
focus of quality service in each of our local markets, which has been the
hallmark of our Corporation for over 80 years. We welcome our new employees and
customers to the Union Center National Bank family." Davis further indicated
that he and his Board of Directors are confident that the combination of the two
companies will give their customers access to more products and services. He
added: "We expect the acquisition of Red Oak to create synergies and operational
efficiencies. Further, we anticipate that the merger will allow Center Bancorp
to benefit from Red Oak's past net operating loss carryforward, enabling us to
deliver increased value to our shareholders."

Dale G. Potter, Chairman and CEO of Red Oak Bank , added, "Joining with Center
Bancorp and Union Center National Bank is an excellent opportunity for both Red
Oak stockholders and customers. We are indeed fortunate to combine with an
organization that has similar values to ours in terms of providing professional
personal service to customers and an enhanced opportunity for stockholders to
gain from the larger growth potential of Union Center. Customers will also
benefit from a wider range of products and services, including an expanded ATM
network."

As of September 30, 2004, Red Oak Bank had approximately $95.6 million in
assets, $74.5 million of deposits and $11.7 million of stockholders' equity. The
acquisition of Red Oak will add to Union Center National Bank's branch network
another location in Morristown and potentially another branch location that Red
Oak is currently developing in Mountain Lakes/Boonton.



Keefe Ventures, LLC served as financial advisor to Red Oak Bank and Cohen Bros.
& Co. served as financial advisor to Center Bancorp. Red Oak Bank received legal
counsel from McCarter & English, LLP, and Center Bancorp received legal counsel
from Lowenstein Sandler PC .

About Center Bancorp:

Center Bancorp, Inc. , through its wholly owned subsidiary, Union Center
National Bank, Union, New Jersey, currently operates thirteen banking locations.
Banking centers are located in Union Township (6 locations), Berkeley Heights,
Madison, Millburn/Vauxhall, Morristown (2 locations), Springfield, and Summit,
New Jersey. The Bank also operates remote ATM locations in the Union New Jersey
Transit train station and in Union Hospital. The Bank also received recent
approvals to install and operate two additional off-premise ATM locations in the
Chatham and Madison New Jersey Transit Stations.

Union Center National Bank is the largest commercial Bank headquartered in Union
County; it was chartered in 1923 and is a full-service banking company.

For further information regarding Center Bancorp, Inc. , visit our web site at
http://www.centerbancorp.com.

Contact: John J. Davis, President and Chief Executive Officer, Center Bancorp at
908-206-2828 or Anthony Weagley, Vice President and Treasurer at 908-206-2886.

For additional information on Red Oak Bank visit www.redoakbank.com. Also
contact: Dale G. Potter, Chairman & CEO at 973-451-9141 Ext. 301, Stephen T.
Emr, President at 973-451-9141 Ext. 309

All non-historical statements in this press release (including statements
regarding the potential accretive nature of the merger and the potential
benefits of the merger) constitute forward-looking statements within the meaning
of the Private Securities Litigation Reform Act of 1995. These forward-looking
statements may use such forward-looking terminology as "expect," "look,"
"believe," "plan," "anticipate," "may," "will" or similar statements or
variations of such terms or otherwise express views concerning trends and the
future. Such forward-looking statements involve certain risks and uncertainties.
These include, but are not limited to, the direction of interest rates,
continued levels of loan quality and origination volume, continued relationships
with major customers including sources for loans, as well as the effects of
international, national, regional and local economic conditions and legal and
regulatory barriers and structure, including those relating to the deregulation
of the financial services industry, and other risks cited in reports filed by
the Corporation with the Securities and Exchange Commission. Actual results may
differ materially from such forward-looking statements. Center Bancorp, Inc.
assumes no obligation for updating any such forward-looking statement at any
time.



Center Bancorp plans to file a Registration Statement on SEC Form S-4 in
connection with the merger and the parties expect to mail a Proxy
Statement/Prospectus to shareholders containing information about the merger.
INVESTORS AND SECURITY HOLDERS ARE URGED TO READ THE REGISTRATION STATEMENT AND
THE PROXY STATEMENT/PROSPECTUS CAREFULLY WHEN THEY ARE AVAILABLE. THE
REGISTRATION STATEMENT AND THE PROXY STATEMENT/PROSPECTUS WILL CONTAIN IMPORTANT
INFORMATION ABOUT CENTER BANCORP, RED OAK, THE MERGER AND RELATED MATTERS.
Investors and security holders will be able to obtain free copies of these
documents through the web site maintained by the U.S. Securities and Exchange
Commission at http//www.sec.gov. In addition to the Registration Statement and
the Proxy Statement/Prospectus, Center Bancorp files annual, quarterly and
special reports, proxy statements and other information with the Securities and
Exchange Commission. You may read and copy any reports, statements and other
information filed by Center Bancorp at the SEC public reference rooms at 450
Fifth Street, N.W., Washington, D.C. 20549 or at the Commission's other public
reference rooms in New York, New York and Chicago, Illinois. Please call the
Commission at 1-800-SEC-0330 for further information on public reference rooms.
Center Bancorp's filings with the Commission also are available to the public
from commercial document-retrieval services and at the web site maintained by
the Commission at http://www.sec.gov. Red Oak, its directors, executive officers
and certain members of management and employees may be soliciting proxies from
Red Oak's stockholders in favor of the adoption of the merger agreement. A
description of any interests that Red Oak's directors and executive officers
have in the merger will be available in the Proxy Statement/Prospectus. This
press release does not constitute an offer of any securities for sale.


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