In 1988, Ronald E. Hermance, Jr. was hired at Hudson City Savings as Senior Executive Vice President and Chief Operating Officer. He had previously been Chief Financial Officer of Southold Savings Bank on Long Island, New York. By the end of 1989, Hudson City Savings Bank had 69 branches and total assets of US$3.2 billion. In 1992, following the 1990-1991 recession, the bank became the largest savings bank in New Jersey. In 1996, Leonard S. Gudelski was elected chairman, and also retained his position as president through that year.