UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 8-K

Current Report

Pursuant to Section 13 or 15(d)

of the Securities Exchange Act of 1934

June 2829, 2007

Date of Report (Date of earliest event reported)

FNB Financial Services Corporation

(Exact name of registrant as specified in its charter)

Commission file number: 000-13086

North Carolina	56-1382275
(State of incorporation)	(I.R.S. Employer Identification No.)

1501 Highwoods Boulevard, Suite 400
Greensboro, North Carolina	27410
(Address of principal executive offices)	(Zip Code)

(336) 369-0900

(Registrant's telephone number, including area code)

Not Applicable

(Former address of principal executive offices)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

~~Item 1.01. Entry into a Material Definitive Agreement.~~INDEX

By resolution effective on June 28, 2007, the Boards of Directors of FNB Financial Services Corporation (the “Company”) and its subsidiary bank, FNB Southeast, approved an amendment to the FNB Financial Services Corporation Employees Pension Plan (the “Plan”) and an enhancement to the FNB Southeast 401(k) Retirement Plan (the “401(k) Plan”). This action was taken to reduce pension expense in order to enhance the Company’s competitiveness in the marketplace.

	Page

Item 1.01 – Entry into a Material Definitive Agreement	3

Item 9.01 – Financial Statements and Exhibits	4

Signatures	5

Effective July 15, 2007, the Company will freeze benefit accrual and participation in the Plan except with respect to participants, who have attained age 55 and who have been credited with ten (10) or more years of benefit service (as defined in the Plan). The Amendment to the Plan, which was signed on June 28, 2007, is filed as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated herein by reference.2

Effective August 1, 2007, there will be an increase to the matching contribution in the 401(k) Plan from the current matching contribution of 50% of the first 6% of employee deferrals (for a total possible matching contribution of 3% of compensation) to a safe harbor matching contribution of 100% of the first 3% of employee deferrals and 50% of the next 2% of employee deferrals (for a total possible matching contribution of 4% of compensation)ITEM1. ~~Amendment~~01 #ENTRY ~~1 FNB~~INTO ~~Southeast~~A ~~401(k)~~MATERIAL ~~Retirement~~DEFINITIVE ~~Plan, which was also signed on June 28, 2007, is filed as Exhibit 99.2 to this Current Report on Form 8-K and is incorporated herein by reference.~~AGREEMENT

~~Item~~On June 29, ~~9.01.~~2007, FNB Southeast, a North Carolina banking corporation and a wholly-owned subsidiary of FNB Financial ~~Statements~~Services Corporation (“FNB”) (the “Registrant”), completed the sale of two of its branches located in the Norton and ~~Exhibits~~Pennington Gap, Virginia area to New Peoples Bank (“NPB”), a wholly-owned subsidiary of New Peoples Bankshares, Inc.

Under the terms of the agreement, FNB received a premium on the outstanding deposits on the effective date of the transaction, plus the net book value of qualifying loans, and certain other amounts for the real and personal property of the branches from New Peoples Bank. FNB anticipates a net gain on the transaction of approximately $5.0 million.

A copy of the press release, dated July 3, 2007 issued by FNB Southeast, is attached hereto as Exhibit 99.1 and is incorporated herein by reference.

ITEM 9.01.

FINANCIAL STATEMENTS AND EXHIBITS.

(d) Exhibits.

~~99.1~~The following ~~Amendment~~exhibit tois ~~the~~filed ~~FNB Financial Services Corporation Employees Pension Plan~~herewith:

99.2 Amendment # 1 FNB Southeast 401(k) Retirement Plan


EXHIBIT NO.		DESCRIPTION OF EXHIBIT

99.1		Press release dated July 3, 2007.

~~SIGNATURES~~4

S I G N A T U R E

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 hereunto duly authorized.

~~Dated: July 2, 2007~~ FNB FINANCIAL SERVICES CORPORATION (Registrant) By: /s/ K. Dwight Willoughby K. Dwight Willoughby Senior Vice President, Chief Accounting Officer and Controller

Date: July 5, 2007

EXHIBIT INDEX

Exhibit No.	Description of Exhibit
EXHIBIT NO.		DESCRIPTION OF EXHIBIT
99.1	~~Amendment to the FNB Financial Services Corporation Employees Pension Plan~~	Press release dated July 3, 2007.
99.2	Amendment # 1 FNB Southeast 401(k) Retirement Plan

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