<PAGE>

               UNITED STATES SECURITIES AND EXCHANGE COMMISSION
                           Washington, D. C.,  20549
                                   FORM 10-K
                                   ---------

    [X]  Annual Report Pursuant to Section 13 or 15 (d) of the Securities
                             Exchange Act of 1934
                  For the fiscal year ended December 31, 2001

                                      OR

   [_]  Transition Report Pursuant to Section 13 or 15 (d) or the Securities
                             Exchange Act of 1934
         For the transition period from _____________ to _____________

                        Commission file number: 0-11671

                        FIRST CENTURY BANKSHARES, INC.
                        ------------------------------
            (Exact name of registrant as specified in its charter)

               West Virginia                               55-0628089
               -------------                               ----------
         (State or other jurisdiction of                 (IRS Employer
         incorporation or organization)                 Identification No.)

        500 Federal Street, Bluefield, WV                     24701
        ---------------------------------                     -----
     (Address of principal executive offices)               (Zip Code)

      Registrant's telephone number, including area code:  (304) 325-8181
                                                           --------------

          Securities registered pursuant to Section 12(b) of the Act:

                                            Name of each exchange on
               Title of each class              which registered
               -------------------          ------------------------
                      NONE                            NONE

          Securities registered pursuant to Section 12(g) of the Act:

        First Century Bankshares, Inc.: $1.25 Par Value - Common Stock
                               (Title of class)

Indicate by check mark whether the registrant (1) has filed all reports required
  to be filed by Section 13 or 15 (d) of the Securities Exchange Act of 1934
during the preceding 12 months (or for such shorter period that the registrant
  was required to file such reports), and (2) has been subject to such filing
               requirements for the past 90 days. Yes [X] No [_]

Indicate by check mark if disclosure of delinquent filers pursuant to Item 405
 of Regulation S-K is not contained herein, and will not be contained, to the
 best of registrant's knowledge, in definitive proxy or information statements
incorporated by reference in Part III of this Form 10-K or any amendment to this
                                Form 10-K. [X]

The aggregate market value of the voting stock held by non-affiliates of the
   registrant as of March 15, 2002 was $23,451,170 and the number of shares
          outstanding of the registrant's common stock was 2,000,000.

                      DOCUMENTS INCORPORATED BY REFERENCE
     Portions of the annual shareholders report for the fiscal year ended
         December 31, 2001 are incorporated by reference into Part II.

   Portions of the proxy statement for the annual shareholders meeting to be
       held April 16, 2002, are incorporated by reference into Part III.

         Total number of pages, including cover page and exhibits - 72

                                       1
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                        FIRST CENTURY BANKSHARES, INC.
                         2001 FORM 10-K ANNUAL REPORT
                               TABLE OF CONTENTS

<TABLE>
<CAPTION>
                                    PART I
<S>                                                                         <C>
ITEM 1.  BUSINESS.........................................................   3
ITEM 2.  PROPERTIES.......................................................   7
ITEM 3.  LEGAL PROCEEDINGS................................................   7
ITEM 4.  SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS..............   7

                                    PART II
ITEM 5.  MARKET FOR REGISTRANT'S COMMON EQUITY AND RELATED
      STOCKHOLDER MATTERS.................................................   7
ITEM 6.  SELECTED FINANCIAL DATA..........................................   8
ITEM 7.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
      CONDITION AND RESULTS OF OPERATIONS.................................   8
ITEM 7A. QUANTITATIVE  AND QUALITATIVE DISCLOSURES
      ABOUT MARKET RISK...................................................   8
ITEM 8.  FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA......................   8
ITEM 9.  CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON
      ACCOUNTING AND FINANCIAL DISCLOSURE.................................   8

                                   PART III

ITEM 10.  DIRECTORS AND EXECUTIVE OFFICERS OF THE REGISTRANT..............   9
ITEM 11.  EXECUTIVE COMPENSATION..........................................   9
ITEM 12.  SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS
      AND MANAGEMENT......................................................   9
ITEM 13.  CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS..................   9

                                    PART IV

ITEM 14.  EXHIBITS, FINANCIAL STATEMENT SCHEDULES,
      AND REPORTS ON FORM 8-K........................................   9 - 10
SIGNATURES...........................................................  11 - 12
</TABLE>

                                       2
<PAGE>

                                    PART I
ITEM 1.  BUSINESS

FIRST CENTURY BANKSHARES, INC.

   First Century Bankshares, Inc. ("Corporation" or "Registrant"), formerly
Pocahontas Bankshares Corporation, was organized under the laws of West Virginia
in 1983 at the  direction of the Board of Directors of The First National Bank
of Bluefield ("Bluefield").  On March 1, 1984, the effective date of the
corporate reorganization, the shareholders of Bluefield became the shareholders
of the Corporation, and Bluefield became a wholly-owned subsidiary of the
Corporation.  On March 11, 1988, the Registrant acquired control of the Bank of
Oceana, Oceana, WV ("Oceana").  On May 24, 1991, the Registrant formed First
Century Bank, Roanoke, Virginia.  During 1993, the main office of First Century
Bank was redesignated to Wytheville, Virginia.  Effective November 28, 1994, the
merger of Bank of Oceana into The First National Bank of Bluefield was completed
and the name of the resulting entity was changed to First Century Bank, National
Association ("FCBNA"), with its main office in Bluefield, West Virginia.
Effective May 7, 1999, First Century Bank was merged into FCBNA.

   During 2001, the Corporation formed a financial subsidiary, First Century
Financial Services, LLC, ("FCFSLLC").  This entity will conduct the
Corporation's insurance activities through its investment in the Banker's
Insurance Corporation, a relationship with 67 community banks, which will offer
a full range of insurance products and services.  This entity was formed with a
minimal capital investment.

   Substantially, all of the operations of the Corporation are carried on
through FCBNA which is the Registrant's only banking subsidiary.  The officers
and directors of the Corporation, who are also officers and directors of FCBNA,
receive their entire compensation from FCBNA.  The Corporation's executive
offices are located at 500 Federal Street, Bluefield, West Virginia.

   The Registrant's principal business and major source of revenue is, and is
expected to remain, commercial banking.  The Registrant currently derives
substantially all its revenues from dividends paid by the subsidiary bank. The
earnings, asset growth and current capital position of the subsidiary influence
dividend payments by FCBNA.  In addition, various regulatory agencies control
the payment of dividends.  For additional information regarding the payment of
dividends, see Note 16 of the Notes to the Consolidated Financial Statements in
the Registrant's 2001 Annual Report to the Stockholders attached as Exhibit 13
to this report.

FIRST CENTURY BANK, N.A.

   First Century Bank, N.A., a national banking association, was organized and
chartered in 1891 as The First National Bank of Bluefield, under the laws of the
State of West Virginia and the National Bank Act.  FCBNA offers customary
banking services, including commercial, real estate, installment, and other
loans; interest-bearing and non-interest bearing transaction accounts, savings
and time deposit accounts including certificates and other deposit accounts,
featuring various maturities and market rates; Individual Retirement Accounts;
Visa and MasterCard services under an arrangement with a correspondent bank;
safe deposit facilities; personal and corporate trust services; and various cash
management services.

   In addition to the main office, FCBNA currently operates ten additional
branches in Mercer, Summers and Wyoming counties in southern West Virginia and
Tazewell and Wythe Counties in southwestern Virginia.  As of December 31, 2001,
FCBNA had 170 full-time employees and 13 part-time employees.  FCBNA is not a
party to any collective bargaining agreements, and, in the opinion of
management, enjoys satisfactory relations with its employees.

COMPETITION

   Vigorous and intense competition exists in all areas where the Registrant and
its subsidiaries are engaged in business, generally from other banks located in
southern West Virginia and southwestern Virginia.  However, this competition is
not only limited to other commercial banks.  The subsidiaries also compete for
certain lines of business with savings and loan associations, mortgage
companies, credit unions, consumer finance companies, leasing companies,
insurance companies, mutual funds and brokerage firms.  Significant competition
also exists from state-wide and nation-wide bank holding companies located in
West Virginia and Virginia, which have offices in the

                                       3
<PAGE>

communities the Registrant serves. These institutions are larger in terms of
capital, resources and personnel. This requires that the Registrant place a high
emphasis on quality service, with a significant amount of personal attention, in
order to effectively compete with these larger institutions. Management feels
that this competitive environment will continue in the markets in which the
Registrant currently operates.

FUTURE ACQUISITIONS AND EXPANSION

   The Registrant may from time to time consider expansion of its banking
operations through acquisition of or formation of other banks and/or bank
related businesses.  In addition to traditional banking products and services,
with the passage of the Graham-Leach-Bliley Financial Modernization Act, the
registrant will evaluate the potential of offering new financial services
allowed under the Act.

SUPERVISION AND REGULATION

The Corporation is under the jurisdiction of the United States Securities and
Exchange Commission and the State of West Virginia's Secretary of State with
respect to matters relating to the offer and sale of its securities and matters
relating to reporting to such commissions and to its shareholders. The business
in which the Corporation and its subsidiaries are engaged is subject to
extensive supervision, regulation and examination by various bank regulatory
authorities and other governmental agencies in the states where the Corporation
and its subsidiaries operate. The supervision, regulation and examination to
which the Corporation and its subsidiaries are subject are intended primarily
for the protection of depositors or are aimed at carrying out broad public
policy goals, rather than for the protection of security holders.

   Several of the more significant regulatory provisions applicable to the
Corporation and its subsidiaries are discussed below. To the extent that the
following information describes statutory or regulatory provisions, it is
qualified in its entirety by reference to the particular statutory provisions.
Any change in applicable law or regulation may have a material effect on the
business and prospects of the Corporation and its subsidiaries.

   The Corporation is a financial holding company under the Bank Holding Company
Act of 1956 ("BHCA"), as amended, and is regulated by the Federal Reserve.  As a
financial holding company, the Corporation is required to file with the Federal
Reserve an Annual Report and such additional information as the Federal Reserve
may require pursuant to the Bank Holding Company Act.  The Federal Reserve may
also conduct examinations of the Corporation and each subsidiary.  The Bank
Holding Company Act requires every financial holding company to obtain prior
approval from the Federal Reserve before acquiring direct or indirect ownership
or control of more than five percent of the voting shares of any bank which is
not already majority owned or controlled by that bank holding company.

   In addition to having the right to acquire ownership and control of other
banks, the Corporation is authorized to acquire ownership and control of non-
banking companies, provided the activities of such companies are so closely
related to banking or managing or controlling banks that the Federal Reserve
considers such activities to be proper to the operation and control of banks.
Regulation Y, promulgated by the Federal Reserve, sets forth those activities
which are regarded as closely related to banking or managing or controlling
banks and thus are permissible activities for bank holding companies, subject to
the approval by the Federal Reserve in individual cases.

   The BHCA permits the Corporation to purchase or redeem its own securities.
However, Regulation Y provides that prior notice must be given to the Federal
Reserve if the gross consideration for such purchase or consideration, when
aggregated with the net consideration paid by the company for all such purchases
or redemptions during the preceding 12 months is equal to 10 percent or more of
the company's consolidated net worth. Prior notice is not required if (i) both
before and immediately after the redemption, the financial holding company is
well-capitalized; (ii) the financial holding company is well-managed and (iii)
the financial holding company is not the subject of any unresolved supervisory
issues.

   The BHCA further provides that the Federal Reserve will not approve any
acquisition, merger or consolidation (i) which would result in a monopoly, (ii)
which would be in furtherance of any combination or conspiracy to monopolize or
attempt to monopolize the business of banking in any part of the United States,
(iii) the effect of which may be to substantially lessen competition or to tend
to create a monopoly in any section of the country or (iv) which in any other
manner would be in restraint of trade, unless the anti-competitive effects of
the proposed transaction are clearly outweighed by the public interest in the
probable effect of the transaction meeting the convenience and needs of the
community to be served.

   Subsidiary banks of a financial holding company are subject to certain
restrictions imposed by the BHCA on any extension of credit to the bank holding
company or any of its subsidiaries, on investment in the stock or other
securities

                                       4
<PAGE>

thereof, and on the taking of such stock or securities for loans to any
borrower. Further, under Section 106 of the 1970 amendments to the Bank Holding
Company Act and the regulations of the Federal Reserve, a financial holding
company through its banking subsidiaries is prohibited from engaging in certain
tie-in arrangements in connection with any extension of credit or provision of
any property or services. The Federal Reserve possesses cease and desist powers
over financial holding companies and their non-bank subsidiaries if their
actions are unsafe or unsound practices or violations of law.

  In November 1999, Congress passed the "Gramm-Leach-Bliley" Financial Services
Modernization Act (the "GLB Act") which repealed two provisions of the Glass-
Stegall Act that previously separated banking, insurance, and securities
activities. The GLB Act creates a new financial services structure, the
financial holding company, under the BHCA. Financial holding companies will be
able to engage in any activity that is deemed (i) financial in nature, (ii)
incidental to any such financial activity, or (iii) complementary to any such
financial activity and does not pose a substantial risk to the safety or
soundness of depository institutions or the financial system generally. The GLB
Act specifies certain activities that are deemed to be financial in nature,
including lending, exchanging, transferring, investing for others, or
safeguarding money or securities; underwriting and selling insurance; providing
financial, investment, or economic advisory services; underwriting, dealing in
or making a market in, securities; and any activity currently permitted for bank
holding companies by the Federal Reserve Board under section 4(c)(8) of the
BHCA. The GLB Act does not authorize banks or their affiliates to engage in
commercial activities that are not financial in nature.

  The GLB Act also contains a number of other provisions that will affect the
Corporation's operations and the operations of all financial institutions. One
of the new provisions, which became effective on July 1, 2000, relates to the
financial privacy of consumers. Federal banking regulators issued final
regulations in November 2000 related to consumer privacy which limit the ability
of banks and other financial entities to disclose non-public information about
consumers to non-affiliated entities. These limitations will require more
disclosure to consumers, and in some circumstances, to require consent by the
consumer before information is allowed to be provided to a third party.

  The GLB Act adopts a system of functional regulation where the nature of the
activity rather than the type of institution determine the primary regulator.
Although the Federal Reserve Board (the "FRB") is the umbrella supervisor of
financial holding companies, the GLB Act limits the FRB's power to supervise and
conduct examinations of affiliated companies of the financial holding company.
Rather, under the provisions of the GLB Act, the securities activities would be
regulated by the SEC and other securities regulators, insurance activities by
the state insurance authorities, and banking activities by the appropriate bank
regulator.

As a financial holding company doing business in Virginia and West Virginia, the
Corporation is also subject to regulation by the Virginia State Corporation
Commission and the West Virginia Board of Banking and Financial Institutions and
must submit annual reports to the Virginia Bureau of Financial Institutions and
to the West Virginia Division of Banking.  Under West Virginia banking law, an
acquisition or merger is not permitted if the resulting depository institution
or its holding company, including any depository institutions affiliated
therewith, would assume additional deposits to cause it to control deposits in
the State of West Virginia in excess of twenty five percent (25%) of such total
amount of all deposits held by insured depository institutions in West Virginia.
This limitation may be waived by the Commissioner of Banking for good cause
shown.

  The Federal Deposit Insurance Corporation Improvement Act of 1991 ("FDICIA"),
requires that a financial holding company guarantee that any "undercapitalized"
(as defined in the statute) insured depository institution subsidiary will
comply with the terms of any capital restoration plan filed by such subsidiary
with its appropriate federal banking agency up to the lesser of (i) an amount
equal to 5% of the institution's total assets at the time the institution became
undercapitalized, or (ii) the amount that is necessary (or would be necessary)
to bring the institution into compliance with all applicable capital standards
as of the time the institution fails to comply with such capital restoration
plan.

  On August 2, 1995, the Federal Reserve and other banking agencies issued their
final rule to implement the portion of Section 305 of FDICIA that requires the
banking agencies to revise their risk-based capital standards to ensure that
those standards take adequate account of interest rate risk. This final rule
amends the capital standards to specify that the banking agencies will include,
in their evaluations of a bank's capital adequacy, an assessment of the exposure
to declines in the economic value of the bank's capital due to changes in
interest rates.

  Failure to meet applicable capital guidelines could subject the financial
holding company to a variety of enforcement remedies available to the federal
regulatory authorities, including limitations on the ability to pay dividends,
the issuance by the regulatory authority of a capital directive to increase
capital and termination of deposit insurance by the FDIC, as well as to the
measures described under FDICA as applicable to undercapitalized institutions.

                                       5
<PAGE>

   As of December 31, 2001, the regulatory capital ratios of the Corporation and
FCBNA are set forth in the table in Note 16 of the notes of the accompanying
consolidated financial statements.

   FCBNA operates as a national banking association subject to examination by
the Office of the Comptroller of the Currency (the "OCC").  The OCC regulates
all areas of a national bank's operations, both commercial and trust, including
loans, deposits, mergers, branches and payments of dividends.  FCBNA, by means
of its national charter, is also a member of the Federal Reserve System, and as
such, is affected by the monetary policies of the Federal Reserve System, which
regulates the national money supply in order to mitigate recessionary and
inflationary pressures.  The instruments of monetary policy employed by the
Federal Reserve include open market operations in U. S. Government securities,
changes in the reserve requirement for member banks, and changes in the discount
rate for member bank borrowings.  FCBNA is also insured and regulated by the
Federal Deposit Insurance Corporation (the "FDIC").  The major function of the
FDIC with respect to insured member banks is to pay depositors to the extent
provided by law in the event an insured bank is closed without adequately
providing for payment of the claims of the depositors.

   The OCC also administers a number of federal statutes that apply to national
banks such as the Depository Institution Management Interlocks Act, the
International Lending Supervision Act of 1983 and the Community Reinvestment Act
of 1977 ("CRA"). CRA requires that, in connection with their examinations of
financial institutions, the OCC shall evaluate the record of FCBNA in meeting
the credit needs of the local community, including low and moderate income
neighborhoods, consistent with the safe and sound operation of the bank. These
factors are also considered in evaluating mergers, acquisitions, and
applications to open a branch facility. The federal banking agencies, including
the OCC, issued a new joint rule which became effective for FCBNA in 1997
related to evaluating an institution's CRA performance. The new rule evaluates
institutions based on their actual performance (rather than efforts) in meeting
community credit needs. Subject to certain exceptions, the OCC assesses the CRA
performance of a national bank by applying lending, investment, and service
tests. The OCC assigns a rating to a national bank based on the bank's
performance under the tests. To evaluate compliance with the lending, investment
and service tests, subject to certain exceptions, FCBNA is required to collect
and report to the OCC extensive demographic and loan data. FCBNA received a
"satisfactory" rating in its most recent CRA examination.

   The passage of the Riegle-Neal Interstate Banking and Branching Efficiency
Act of 1994 (the "Riegle-Neal Act") increased the ability of financial holding
companies and banks to operate across state lines. Under the Riegle-Neal Act,
with the approval of the Board of Governors of the Federal Reserve System, and
subject to nationwide and statewide concentration limits, the Corporation and
any other bank holding company located in West Virginia may acquire or merge
with a bank located in any other state and a bank holding company located
outside of West Virginia may acquire or merge with any West Virginia-based bank,
provided the acquirer is adequately capitalized and adequately managed, as
defined in the Riegle-Neal Act. The Interstate Banking Act also permits de novo
branching provisions. The legislation preserves the state laws which require
that a bank must be in existence for a minimum period of time before being
acquired, as long as the requirement is five years or less. FCBNA, under the
provisions of the Riegle-Neal Act, is headquartered in West Virginia and
operates branches in both West Virginia and Virginia.

   FCBNA is a member of the Federal Home Loan Bank of Pittsburgh ("FHLB") which
provides a central credit facility primarily for member institutions. Members of
the FHLB are required to acquire and hold shares of capital stock in, and may
obtain advances from, the FHLB. The amount of stock owned is based on the
member's balance of residential mortgages and the balance of outstanding
advances from the FHLB. The FHLB makes advances to members in accordance with
policies and procedures established by its Board of Directors. FCBNA is
authorized to borrow funds from the FHLB to meet demands for withdrawals of
deposit accounts, to meet seasonal requirements, to fund expansion of the loan
portfolio, or for general asset/liability management. Advances may be made on a
secured or unsecured basis depending on a number of factors, including the
purpose for which the funds are being borrowed and existing advances. Collateral
on secured advances may be in the form of first mortgages on 1-4 family real
estate, government securities, or other assets acceptable to the FHLB. Interest
rates charged for advances vary depending upon maturity, the cost of funds to
the FHLB, and general market conditions.

   In addition to banking laws, regulations and regulatory agencies, the
Corporation and its subsidiary, FCFSLLC, are subject to supervision and
regulation by state insurance authorities.  FCFSLLC, a limited liability company
organized under the laws of West Virginia, is a minority owner of a multi-bank
owned insurance agency located in Virginia.  Although FCFSLLC does not engage in
the insurance business directly, it is, nevertheless, subject to supervision,
regulation and examination by the Insurance Commissions of Virginia and West
Virginia.

                                       6
<PAGE>

   In view of the changing conditions in the national economy and the money
markets, as well as the effect of actions by monetary and fiscal authorities,
including the Federal Reserve, no prediction can be made as to possible future
changes in interest rates, deposit levels, loan demand of the business and
earnings of the Corporation or its subsidiaries.

STATISTICAL DISCLOSURE

   The statistical and other financial data disclosures required pursuant to
Guide 3 of the Preparation and Filing of Reports and Registration Statements
under the Securities Exchange Act of 1934 are contained within Management's
Discussion and Analysis of Financial Condition and Results of Operations
appearing on pages 3 through 20 of the accompanying 2001 Annual Report to
Stockholders, incorporated herein by reference in this Form 10-K annual report
as Exhibit 13.

ITEM 2.  PROPERTIES

   The executive offices of the Registrant are located at 500 Federal Street,
Bluefield, West Virginia. There are eleven properties owned or leased by FCBNA
consisting of modern single purpose facilities that house all the amenities to
comfortably conduct the full range of financial services provided by the
Registrant and its subsidiaries. Eight of these offices are owned and three are
leased.

ITEM 3.  LEGAL PROCEEDINGS

   Neither the Registrant nor any of its subsidiaries are presently involved in
any material legal proceedings other than ordinary routine litigation incidental
to its business, except as follows:

   In First Century Bank, National Association, v. Community National Bank, in
the United States District Court, Western District of Virginia, Roanoke
Division, Case No.7:00CV00904, FCBNA brought suit against the defendant seeking
recovery of approximately $3,400,000 plus interest and costs related to the
dishonor of checks presented for payment by FCBNA as a depository bank and
violations of Regulation CC of The Code of Federal Regulations, Part 229 of
Title 12.  The defendant has filed third party complaints against additional
parties.  While the net recovery cannot be stated with reasonable certainty, the
claims asserted against the defendant are valid and a recovery is expected.

ITEM 4.  SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

There were no matters submitted to security holders for a vote during the fourth
quarter ended December 31, 2001.

                                    PART II

ITEM 5.  MARKET FOR REGISTRANT'S COMMON EQUITY AND RELATED STOCKHOLDER MATTERS

   No established public market presently exists for the common stock of the
Registrant.  Quotations may be obtained through the OTC Bulletin Board under the
trading symbol FCBS.  Management does not expect that a more active trading
market will develop in the near future for the common stock of the Registrant.

   Page 18 of the 2001 Annual Report to Stockholders (incorporated herein by
reference) describes further the information for market, stockholders, and
dividends.  The payment of dividends is subject to the restrictions described in
Note 16 of the Notes to Consolidated Financial Statements. The Board of
Directors evaluates the dividend payment on the Registrant's common stock after
the conclusion of each calendar quarter.

                                       7
<PAGE>

ITEM 6.  SELECTED FINANCIAL DATA

   The selected financial data required by this item is set forth in
Management's Discussion and Analysis of Financial Condition and Results of
Operations on page 20 of the Registrant's 2001 Annual Report to Stockholders
(Exhibit 13), incorporated herein by reference.

ITEM 7.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS

   Management's Discussion and Analysis of Financial Condition and Results of
Operations appearing on pages 3 through 20 of the accompanying 2001 Annual
Report to Stockholders is incorporated by reference in this Form 10-K annual
report as Exhibit 13.  Management's discussion and analysis should be read in
conjunction with the related financial statements and notes thereto.

ITEM 7A.  QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

   Information for this item can be found in the Asset and Liability Management
and Interest Rate Sensitivity section of Management's Discussion and Analysis of
Financial Condition and Results of Operations appearing on pages 12 through 13;
and Note 15, Financial Instruments, Concentrations of Credit and Fair Values,
appearing on pages 38 through 39 of the accompanying 2001 Annual Report to
Stockholders, and is incorporated by reference in this Form 10-K.

ITEM 8.  FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA

   The following financial statements and report of independent accountants for
the years ended December 31, 2001, 2000, and 1999, which are included in the
Corporation's 2001 Annual Report to Stockholders (Exhibit 13), are incorporated
herein by reference:
   The report of independent accountants on page 43 of the Registrant's 2001
Annual Report to Stockholders reflects an unqualified opinion on the 2001 and
2000 consolidated statements of financial condition and the related consolidated
statements of income and comprehensive income, changes in stockholders' equity,
and cash flows for each of the years in the three-year period ended December 31,
2001, issued by PricewaterhouseCoopers LLP, Greensboro, North Carolina, the
Registrant's independent accountant for those years.

                                                     Reference to
                                                  2001 Annual Report
                                                  ------------------
Consolidated Statements of Financial Condition          Page 21
Consolidated Statements of Income
 and Comprehensive Income                               Page 22
Consolidated Statements of Cash Flows                   Page 23
Consolidated Statements of Changes
 in Stockholders' Equity                                Page 24
Notes to Consolidated Financial
 Statements                                       Pages 25 through 42
Report of Independent Accountants                       Page 43


   The supplementary financial information required by this item is set forth in
Note 17 of "Notes to Consolidated Financial Statements" on Page 41 of the
Corporation's 2001 Annual Report to Stockholders (Exhibit 13), incorporated
herein by reference.

ITEM 9.  CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND
FINANCIAL DISCLOSURE

   There have been no disagreements with the independent accountants on
accounting principles or practices, financial statement disclosure, or auditing
scope or procedure.

                                       8
<PAGE>

                                   PART III

ITEM 10.  DIRECTORS AND EXECUTIVE OFFICERS OF THE REGISTRANT

   The information concerning the directors and executive officers of the
Registrant has been omitted in accordance with General Instruction G since
Registrant has filed its definitive proxy statement with the Commission on or
about March 22, 2002 (which is not later than 120 days after December 31, 2001,
the close of the fiscal year of Registrant): and such information is
incorporated herein by reference to such proxy statement.

ITEM 11.  EXECUTIVE COMPENSATION

   Management remuneration has been omitted in accordance with General
Instruction G since Registrant has filed its definitive proxy statement with the
Commission on or about March 22, 2002, (which is not later than 120 days after
December 31, 2001, the close of the fiscal year of Registrant): and such
information is incorporated herein by reference to such proxy statement.

ITEM 12.  SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT

   Security ownership of certain beneficial owners and management has been
omitted in accordance with General Instruction G since Registrant has filed its
definitive proxy statement with the Commission on or about March 22, 2002,
(which is not later than 120 days after December 31, 2001, the close of the
fiscal year of Registrant): and such information is incorporated herein by
reference to such proxy statement.

ITEM 13.  CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS

   Certain relationships and related transactions has been omitted in accordance
with General Instruction G since Registrant has filed its definitive proxy
statement with the commission on or about March 22, 2002, (which is not later
than 120 days after December 31, 2001, the close of the fiscal year of
Registrant): and is incorporated herein by reference to such proxy statement.

                                    PART IV

ITEM 14.  EXHIBITS, FINANCIAL STATEMENT SCHEDULES, AND REPORTS ON FORM 8-K

(a) 1. Financial Statements.
        See Item 8 on Page 8 of this document for a listing of all Financial
        Statements, Accountants' Report, and Supplementary Data.

    2. Financial Statement Schedules.
        All schedules are omitted, as the required information is inapplicable
        or the information is presented in the Consolidated Financial Statements
        or related notes.

(b) Reports on Form 8-K.
        On November 2, 2001, the Corporation filed a current report on Form 8-K
        announcing its earnings for the period ended September 30, 2001.

(c) Exhibits

    3.  Articles of incorporation and bylaws.
        Articles of amendment to articles of incorporation and restated articles
        of incorporation were filed with the Annual Report on Form 10-K for the
        year ended December 31, 1999 and are incorporated herein by reference.
        (Bylaws were previously filed in a Registration Statement on Form S-14,
        Registration No. 2-85126, and are incorporated herein by reference.)

                                       9
<PAGE>

   10.  Material Contracts
        a.  Sample agreement pertaining to a split-dollar life insurance
            arrangement between FCBNA and Messrs. Wilkinson, Satterfield,
            Kennett and Albert.

        b.  Employment agreement between the Corporation and Byron K.
            Satterfield.

   11.  Statement regarding computation of per share earnings.

        (These statements are included in the notes to the consolidated
        financial statements which are incorporated herein by reference.)

   13.  Annual report to security holders.

   22.  Subsidiaries of the registrant.
        (This disclosure is included in the notes to the consolidated financial
        statements which are incorporated herein by reference.)

                                       10
<PAGE>

                                  SIGNATURES

   Pursuant to the requirements of Section 13 or 15(d) of the Securities
Exchange Act of 1934, the registrant has duly caused this report to be signed on
its behalf by the undersigned, thereunto duly authorized.

  (Registrant)       First Century Bankshares, Inc.

                   BY:  /s/ J. Ronald Hypes
                      ------------------------------------------
                   J. Ronald Hypes, Treasurer
                   (Principal Accounting & Financial Officer)

                   DATE:     March 21, 2002
                        ----------------------------------------

   Pursuant to the requirements of the Securities Exchange Act of 1934, this
report has been signed below by the following persons on behalf of the
registrant and in the capacities and on the dates indicated.

BY:  /s/ B. L. Jackson                         Date:   March 19, 2002
   ----------------------------------------         --------------------
B. L. Jackson, Jr., Chairman of the Board
 and Director


BY:  /s/ R. W. Wilkinson                       Date:   March 19, 2002
   ----------------------------------------         --------------------
R. W. Wilkinson, President & Chief
 Executive Officer & Director
 (Principal Executive Officer)


BY:  /s/ Charles A. Peters                     Date:   March 19, 2002
   ----------------------------------------         --------------------
Charles A. Peters, Secretary and Director


BY:  /s/ Paul Cole, Jr.                        Date:   March 19, 2002
   ----------------------------------------         --------------------
Paul Cole, Jr., Director


BY:  /s/ Eustace Frederick                     Date:   March 19, 2002
   ----------------------------------------         --------------------
Eustace Frederick, Director


BY:  /s/ Robert M. Jones, Jr.                  Date:   March 19, 2002
   ----------------------------------------         --------------------
Robert M. Jones, Jr., M.D., Director


BY:________________________________________    Date:____________________
Marshall S. Miller, Director


BY:________________________________________    Date:____________________
C. E. Richner, Director


BY:________________________________________    Date:____________________
Byron K. Satterfield, Director

                                       11
<PAGE>

BY:  /s/ John H. Shott                         Date:   March 19, 2002
   ----------------------------------------         --------------------
John H. Shott, Director


BY:________________________________________    Date:____________________
Scott H. Shott, Director


BY:________________________________________    Date:____________________
Walter L. Sowers, Director


BY:  /s/ Wm. Chandler Swope                    Date:   March 19, 2002
   ----------------------------------------         --------------------
Wm. Chandler Swope, Director


BY:  /s/ J. Brookins Taylor, M. D.             Date:   March 19, 2002
   ----------------------------------------         --------------------
J. Brookins Taylor, M. D., Director


BY:  /s/ Frank W. Wilkinson                    Date:   March 19, 2002
   ----------------------------------------         --------------------
Frank W. Wilkinson, Director

                                       12