**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**




**March
      23, 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):





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





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





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




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















**Item
                  8.01.**
              **Other
                  Events.**
  On
        March
        23, 2007, FNB Financial Services Corporation (the “Company”) issued a press
        release and sent a letter to its employees announcing the senior management
        group for the combined company resulting from the merger of LSB Bancshares,
        Inc.
        and the Company.  A copy of the press release is attached to this
        filing as Exhibit 99.1 and a copy of the letter to employees is attached
        to this
        filing as Exhibit 99.2.  Both Exhibits are incorporated herein by
        reference.
  **Item
                  9.01.**
              **Financial
                  Statements and Exhibits.**
  This
        Exhibit is being provided solely for the purpose of providing disclosure
        pursuant to Item 8.01 – Other Events.
 
 (99.1)
              Press
                  release issued by the Company on March 23,
                  2007.
 (99.2)
              Letter
                  to the Company’s employees dated March 23,
                  2007.
 
 **Disclosures
        About Forward Looking Statements**


The
      discussions included in this document and its exhibits may contain forward
      looking statements within the meaning of the Private Securities Litigation
      Act
      of 1995, including Section 21E of the Securities Exchange Act of 1934 and
      Section 27A of the Securities Act of 1933. Such statements involve known and
      unknown risks, uncertainties and other factors that may cause actual results
      to
      differ materially. For the purposes of these discussions, any statements that
      are not statements of historical fact may be deemed to be forward looking
      statements. Such statements are often characterized by the use of qualifying
      words such as “expects,” “anticipates,” “believes,” “estimates,” “plans,”
“projects,” or other statements concerning opinions or judgments of the Company
      and its management about future events. The accuracy of such forward looking
      statements could be affected by such factors as, including but not limited
      to,
      the financial success or changing conditions or strategies of the Company’s
      customers or vendors, fluctuations in interest rates, actions of government
      regulators, the availability of capital and personnel or general
      conditions.










**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 hereunto
      duly authorized.




Dated:  March
                    23, 2007
                **FNB
                    FINANCIAL SERVICES CORPORATION**
                  (Registrant)
                  By:
                    /s/ K. Dwight Willoughby
                  
                  K.
                    Dwight Willoughby
                  Senior
                    Vice President, Chief Accounting Officer and Controller





**EXHIBIT
      INDEX**




Exhibit
                  No.
              Description
                  of Exhibit99.1
              Press
                  Release of FNB Financial Services Corporation dated March 23,
                  2007.99.2
              Letter
                  to FNB Financial Services Corporation employees dated March 23,
                  2007.