SECURITIES AND EXCHANGE COMMISSION
                                Washington, D.C.


                                   FORM 10-QSB

[ X ]  QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES
       EXCHANGE ACT OF 1934 FOR THE QUARTER ENDED SEPTEMBER 30, 2000

                                       OR

[  ]   TRANSITION REPORT PURSUANT TO SECTION 13 OT 15(d) OF THE SECURITIES
       EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD FROM ________________
       TO _______________.

                         FDIC Certificate Number 26588-8


                       DARLINGTON COUNTY BANCSHARES, INC.
             (Exact Name of Registrant as Specified in the Charter)


                   Incorporated in the State of South Carolina
                I.R.S. Employer Identification Number 57-0805621


                    202 Cashua Street, Darlington, S.C. 29532
                    (Address of Principal Executive Offices)


                                 (843) 395-1956
              (Registrant's Telephone Number, including Area Code)



     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  periods  that the
registrant was required to file such reports),  and (2) has been subject to such
filing requirements for the past 90 days. [ X ] Yes [ ] No

     Indicate the number of shares  outstanding of each of the issuer's  classes
of common stock, as of the latest practicable date.


Common Stock - $.01 Par Value
158,000 Shares Outstanding on November 1, 2000





<PAGE>



                                     PART I
                              FINANCIAL INFORMATION

ITEM 1.  FINANCIAL STATEMENTS
-------
<TABLE>
<CAPTION>

                       DARLINGTON COUNTY BANCSHARES, INC.
                           CONSOLIDATED BALANCE SHEETS
                             (DOLLARS IN THOUSANDS)


                                                                                           (UNAUDITED)       (AUDITED)
                                                                                          SEPTEMBER 30,     DECEMBER 31,
                                                                                               2000             1999
                                                                                        ----------------  ---------------

<S>                                                                                     <C>               <C>

ASSETS
   Cash and due from banks                                                              $          1,098  $         1,409
   Investment securities - held to maturity                                                          721            1,023
   Investment securities - available for sale                                                      5,209            5,181
   Other investments, at cost                                                                         50               50
   Federal funds sold                                                                              3,920            1,960

   Loans                                                                                          17,006           16,491
   Less allowance for loan losses                                                                   (251)            (209)
                                                                                        ----------------  ---------------
       Loans - net                                                                                16,755           16,282
   Premises and equipment - net                                                                      870              914
   Other assets                                                                                      539              548
                                                                                        ----------------  ---------------
       Total assets                                                                     $         29,162  $        27,367
                                                                                        ================  ===============

 LIABILITIES
   Deposits
     Demand deposits                                                                    $          6,236  $         4,645
     Savings and NOW accounts                                                                      8,755            9,850
     Time deposits $100,000 and over                                                               1,914            2,046
     Other time deposits                                                                           8,605            7,393
                                                                                        ----------------  ---------------
       Total deposits                                                                             25,510           23,934
   Other liabilities                                                                                 153              129
                                                                                        ----------------  ---------------
       Total liabilities                                                                          25,663           24,063
                                                                                        ----------------  ---------------

STOCKHOLDERS' EQUITY
   Common  stock - $.01 par value  authorized,  issued and  outstanding  158,000
     shares at September 30, 2000 and
     December 31, 1999                                                                                 2                2
   Additional paid in capital                                                                      1,618            1,618
   Retained earnings                                                                               1,958            1,787
   Accumulated other comprehensive loss                                                              (79)            (103)
                                                                                        ----------------  ---------------
       Total stockholders' equity                                                                  3,499            3,304
                                                                                        ----------------  ---------------
       Total liabilities and stockholders' equity                                       $         29,162  $        27,367
                                                                                        ================  ===============
</TABLE>

       See notes to consolidated financial statements.

                                       -2-


<PAGE>

<TABLE>
<CAPTION>


                       DARLINGTON COUNTY BANCSHARES, INC.
                        CONSOLIDATED STATEMENTS OF INCOME
                  (Dollars in thousands except per share data)
                                   (Unaudited)


                                                                   Three months ended                Nine months ended
                                                                        September 30,                   September 30,
                                                             ----------------------------    ----------------------------
                                                                   2000           1999              2000          1999
                                                             -------------  -------------    -------------  -------------
<S>                                                          <C>            <C>              <C>            <C>

INTEREST INCOME
   Loans, including fees                                     $         401  $         349    $       1,185  $       1,093
   Investment securities
     U. S. Government Agencies                                          83             80              246            236
     Municipal securities                                                9             11               28             35
     Other equity securities                                             1              -                2              3
   Federal funds sold and securities purchased
     under agreements to resell                                         34             27              106            119
                                                             -------------  -------------    -------------  -------------
       Total interest income                                           528            467            1,567          1,486
                                                             -------------  -------------    -------------  -------------
INTEREST EXPENSE
   Time deposits $100,000 and over                                      26             88               78            122
   Other deposits                                                      163             73              453            381
                                                             -------------  -------------    -------------  -------------
       Total interest expense                                          189            161              531            503
                                                             -------------  -------------    -------------  -------------
NET INTEREST INCOME                                                    339            306            1,036            983
PROVISION FOR LOAN LOSSES                                               16              -               61              -
                                                             -------------  -------------    -------------  -------------
       Net interest income after provision for loan losses             323            306              975            983
                                                             -------------  -------------    -------------  -------------
NONINTEREST INCOME
   Service charges on deposit accounts                                  64             75              173            192
   Other service charges, commissions and fees                          12              8               23             18
                                                             -------------  -------------    -------------  -------------
       Total noninterest income                                         76             83              196            210
                                                             -------------  -------------    -------------  -------------
NONINTEREST EXPENSES
   Salaries and employee benefits                                      129            119              378            358
   Data processing                                                      23             25               70             75
   Occupancy                                                            18             19               58             49
   Furniture and equipment                                              18             17               50             53
   Other                                                                58             67              195            222
                                                             -------------  -------------    -------------  -------------
       Total noninterest expenses                                      246            247              751            757
                                                             -------------  -------------    -------------  -------------
   Income before income taxes                                          153            142              420            436
   Provision for income taxes                                           51             42              123            147
                                                             -------------  -------------    -------------  -------------
       Net income                                            $         102  $         100    $         297  $         289
                                                             =============  =============    =============  =============

PER SHARE
   Average shares outstanding                                      158,000        158,000          158,000         158,000
                                                             =============  =============      ===========     ============
   Net income                                                $        0.65  $        0.63    $        1.88     $      1.83
                                                             =============  =============    =============     ============
   Dividends paid                                            $           -  $           -    $        0.80     $       .65
                                                             =============  =============    =============     ============

</TABLE>

    See notes to consolidated financial statements.

                                       -3-

<PAGE>
<TABLE>
<CAPTION>

                       DARLINGTON COUNTY BANCSHARES, INC.
                 CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY
                             (Dollars in thousands)
                                   (Unaudited)


                                                                                               Accumulated
                                               Common stock                                    other compre-
                                        -----------------------
                                         Number                   Additional                       hensive
                                               of                    paid in      Retained           income
                                           shares     Amount         capital      earnings           (loss)         Total
                                        -----------  ----------   ------------ ---------------- --------------   ----------

<S>                                         <C>      <C>          <C>         <C>              <C>            <C>

BALANCE, JANUARY 1, 1999                    158,000  $      790   $      830  $      1,477     $         11   $     3,108

Net income for period                             -           -            -           289                -           289

Comprehensive income, net of tax
   Net change in unrealized gain on
     securities available for sale                -           -            -             -             (165)         (165)
                                                                                               ------------   -----------
   Comprehensive income                                                                                   -           124

Cash dividend ($.65 per share)                    -           -            -          (102)               -          (102)

Par value conversion                              -        (788)         788             -                -             -
                                        -----------  ----------   ----------  ------------     ------------   -----------

BALANCE, September 30, 1999                 158,000  $        2   $    1,618  $      1,664             (154)  $     3,130
                                        ===========  ==========   ==========  ============     ============   ===========


BALANCE, JANUARY 1, 2000                    158,000  $        2   $    1,618  $      1,787     $       (103)  $     3,304

Net income for period                             -           -            -           297                -           297

Comprehensive income, net of tax
   Net change in unrealized loss on
     securities available for sale                -           -            -             -               24            24
                                                                                               ------------   -----------
   Comprehensive income                                                                                               321
Cash dividend ($.80 per share)                    -           -            -          (126)               -          (126)
                                        -----------  ----------   ----------  ------------     ------------   -----------

BALANCE, SEPTEMBER 30,
   2000                                 $   158,000   $       2    $   1,618  $      1,958     $       (79)  $      3,499
                                        ===========   =========    =========    ==========      ===========   ===========


</TABLE>



           See notes to consolidated financial statements.

                                       -4-

<PAGE>
<TABLE>
<CAPTION>

                       DARLINGTON COUNTY BANCSHARES, INC.
                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                             (Dollars in thousands)
                                   (Unaudited)

                                                                                                Nine months ended
                                                                                                   September 30,
                                                                                                 2000             1999
                                                                                        ----------------  ---------------
<S>                                                                                     <C>               <C>

OPERATING ACTIVITIES
   Net income                                                                           $            297  $           289
   Adjustments to reconcile net income to net cash provided
     by operating activities
     Provision for loan losses                                                                        61                -
     Depreciation                                                                                     55               46
     (Increase) decrease in other assets                                                               9              (23)
     Increase (decrease) in other liabilities                                                         (8)            (175)
                                                                                        ----------------- ---------------
         Net cash provided by operating activities                                                   414              137
                                                                                        ----------------  ---------------

INVESTING ACTIVITIES
   (Increase) decrease in federal funds sold                                                      (1,960)           5,560
   Proceeds from maturities of investment securities
     held to maturity                                                                                302                -
   Proceeds from maturities of investment securities
     available for sale                                                                                -            1,264
   Purchase of investment securities available for sale                                               28           (2,471)
   Net increase in loan balances                                                                    (534)            (761)
   Purchase of equipment                                                                             (11)             (16)
                                                                                        ----------------  ---------------
         Net cash provided by (used for) investing activities                                     (2,175)           3,576
                                                                                        ----------------  ---------------

FINANCING ACTIVITIES
   Net increase (decrease) in deposits                                                             1,576           (3,142)
   Cash dividends paid                                                                              (126)            (102)
                                                                                        ----------------  ---------------
         Net cash provided by (used for) financing activities                                      1,450           (3,244)
                                                                                        ----------------  ---------------
         Increase (decrease) in cash and cash equivalents                                           (311)             469

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD                                                     1,409              872
                                                                                        ----------------  ---------------

CASH AND CASH EQUIVALENTS,  END OF PERIOD                                               $          1,098  $         1,341
                                                                                        ================  ===============

CASH PAID FOR
   Interest                                                                             $            510  $           503
                                                                                        ================  ===============
   Income taxes                                                                         $             89  $           186
                                                                                        ================  ===============


</TABLE>


   See notes to consolidated financial statements.

                                       -5-


<PAGE>



                       DARLINGTON COUNTY BANCSHARES, INC.
              NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS


NOTE 1 - BASIS OF PRESENTATION
------------------------------

           The accompanying unaudited financial statements have been prepared in
accordance with generally accepted  accounting  principles for interim financial
information  and  with the  instructions  to Form  10-QSB  and  Item  310(b)  of
Regulation S-B of the Securities and Exchange Commission.  Accordingly,  they do
not  include all  information  and  footnotes  required  by  generally  accepted
accounting principles for complete financial statements. However, in the opinion
of management,  all  adjustments  (consisting of normal  recurring  adjustments)
considered necessary for a fair presentation have been included.

NOTE 2 - NET INCOME PER SHARE
-----------------------------

           Net income per share is computed on the basis of the weighted average
number of common shares  outstanding  in accordance  with Statement of Financial
Accounting   Standards  No.  128,   "Earnings  per  Share".   Darlington  County
Bancshares,  Inc.  (the  "Company")  does  not have any  instruments  which  are
dilutive;  therefore,  only  basic  net  income  per  share of  common  stock is
presented.

NOTE 3 - ORGANIZATION
---------------------

           The  Company  was  organized  in July 1999 for the purpose of being a
holding  company  for  Darlington  County  Bank (the  "Bank").  On July 1, 1999,
pursuant  to a  Plan  of  Merger  approved  by  the  shareholders,  all  of  the
outstanding  shares of capital stock of the Bank were  converted  into shares of
common stock of the Company.  A par value conversion of $788,000 was recorded in
July 1999 to  reflect a change in the par value of common  stock  from $5.00 per
share to $.01 per share. The Company presently engages in no business other than
that of  owning  the  Bank and has no  employees.  Reporting  periods  presented
earlier than July 1, 1999 include the operations of Darlington County Bank only.

ITEM 2.
-------

MANAGEMENT'S  DISCUSSION  AND  ANALYSIS OF  FINANCIAL  CONDITION  AND RESULTS OF
OPERATIONS

           The following  discussion and analysis  should be read in conjunction
with the financial  statements and related notes appearing in the Company's 1999
Annual Report to shareholders.  Results of operations for the nine months ending
September 30, 2000 are not necessarily  indicative of the results to be attained
for any other period.  The  following  information  may contain  forward-looking
statements that involve risks and  uncertainties.  The Company's  actual results
may  differ  materially  from  the  results  discussed  in  the  forward-looking
statements.

NINE MONTHS ENDED SEPTEMBER 30, 2000 COMPARED TO NINE MONTHS ENDED SEPTEMBER 30,
1999

RESULTS OF OPERATIONS - NINE MONTHS ENDED SEPTEMBER 30, 2000
   The  Company's  net income for the nine months ended  September  30, 2000 was
   $297,000  or $1.88 per share as  compared  to $289,000 or $1.83 per share for
   the nine months ended September 30, 1999.



                                                                     (Continued)
                                       -6-
<PAGE>

ITEM 2: (CONTINUED)
-------------------

NET INTEREST INCOME
   Net interest income is the difference  between the interest earned on earning
   assets and the interest paid for funds acquired to support those assets.  Net
   interest income, the principal source of the Bank's earnings,  was $1,036,000
   and  $983,000  for the  nine  months  ended  September  30,  2000  and  1999,
   respectively.

   Changes  that affect net  interest  income are  changes in the  average  rate
   earned  on  interest-earning  assets,  changes  in the  average  rate paid on
   interest-bearing  liabilities,  and changes in the volume of interest-earning
   assets and interest-bearing liabilities.

   Interest-earning assets for the third quarter of 2000 increased by $1,968,000
   or 7.97% over the same  period in 1999,  while  interest-bearing  liabilities
   increased by $1,322,000 or 5.47% comparing the third quarter of 2000 with the
   third quarter of 1999.
<TABLE>
<CAPTION>

                                                              AVERAGE BALANCES, INCOME AND EXPENSES, AND RATES
                                                                 FOR THE NINE MONTHS ENDED SEPTEMBER 30,
                                ----------------------------------------------------------------------------------------------------
                                                     2000                                                    1999
                                --------------------------------------------------------------   -----------------------------------
                                   AVERAGE         INCOME/      ANNUALIZED             AVERAGE       INCOME/    ANNUALIZED
                                    BALANCE        EXPENSE      YIELD/RATE             BALANCE       EXPENSE    YIELD/RATE
                                ------------   -------------   ------------------  -------------- ------------ ------------
<S>                            <C>           <C>             <C>                 <C>             <C>            <C>

Federal funds sold             $  2,264,781  $     106,000          6.24%        $   3,268,205   $   119,000         4.85%
Investment securities             6,001,589        276,000          6.13%            6,264,198       274,000         5.83%
Loans                            16,718,848      1,185,000          9.45%           15,931,199     1,093,000          9.15%
                               ------------    -----------  ------------         -------------   -----------    ----------
     Total earning assets      $ 24,985,218      1,567,000          8.36%        $  25,463,602     1,486,000         7.78%
                               ============                                      =============
     Total interest bearing
       liabilities             $ 23,994,194        531,000          2.95%        $  19,779,854       503,000         3.39%
                               ============     ----------  -------------        =============   -----------    -----------

Net interest  spread                                                5.41%                                            4.39%

Net  interest  income/margin                   $ 1,036,000          5.53%                        $   983,000         5.15%
                                                ==========  =============                        ===========    ===========
</TABLE>


As  reflected  above,  for the nine months of 2000 the average  yield on earning
assets  amounts  amounted to 8.36%,  while the average cost of  interest-bearing
liabilities was 2.95%. For the same period of 1999, the average yield on earning
assets was 7.78% and the average cost of interest-bearing liabilities was 3.39%.
The increase in the yield on earning  assets is  attributable  to an increase in
the yield on investment  securities and loans sold.  The net interest  margin is
computed by subtracting  interest  expense from interest income and dividing the
resulting figure by average interest-earning assets. The net interest margin for
the nine month period ended  September 30, 2000 was 5.53% and for the comparable
period in 1999 was 5.15%.  This  increase  was the result of an  increase in the
rates on  interest-earning  assets,  offset  by an  increase  in the  volume  of
earning-bearing liabilities.

The following  table  represents  changes in the  Company's net interest  income
which primarily result from changes in volume and rates of its  interest-earning
assets and interest-bearing  liabilities. The decrease in net interest income is
due to decreased volume of earning assets and interest bearing liabilities and a
decrease in rates on earning assets and interest bearing liabilities.







                                                                     (Continued)

                                       -7-
<PAGE>

ITEM 2: (CONTINUED)
-------------------

NET INTEREST INCOME, CONTINUED
<TABLE>
<CAPTION>

                   ANALYSIS OF CHANGES IN NET INTEREST INCOME
                                                                                      FOR THE NINE MONTHS ENDED
                                                                                          9/30/00 VERSUS 9/30/99
                                                                          -----------------------------------------------
                                                                            VOLUME            RATE          NET CHANGE
                                                                          ------------    ------------    ---------------

<S>                                                                      <C>              <C>             <C>

Federal fund sold                                                        $     (37,000)   $    24,000     $       (13,000)
Investment securities                                                          (12,000)        14,000               2,000
Loans                                                                           54,000         38,000              92,000
                                                                         -------------    -----------     ---------------
       Total earning assets                                                      5,000         76,000              81,000
       Total interest on interest-bearing liabilities                         (107,000)        79,000             (28,000)
                                                                         -------------    -----------     ---------------
Net interest income                                                      $    (102,000)   $   155,000     $        53,000
                                                                         =============    ===========     ===============

</TABLE>

NONINTEREST INCOME
   Noninterest income for the nine months ended September 30, 2000 and 1999 were
   $195,000 and $210,000, respectively.  Noninterest income is comprised of fees
   and charges on deposits.

NONINTEREST EXPENSES
   Noninterest  expenses for the nine months ended  September  30, 2000 and 1999
   were $751,000 and $757,000, respectively.  Noninterest expenses is comparable
   due to the results of operations remaining relatively stable.

   The allowance for loan losses was 1.48% of loans, net of unearned income,  at
   September 30, 2000 compared to 1.34% at September 30, 1999. The provision for
   loan losses was $61,000 and $0 for the nine months ended  September  30, 2000
   and 1999, respectively. The 1999 provision was lower because of a recovery of
   a previously  charged off loan in 4th quarter  1998.  Management  reviews the
   adequacy of the  allowance on an ongoing  basis and believes the allowance is
   adequate.

THREE MONTHS ENDED  SEPTEMBER 30, 2000 COMPARED TO THREE MONTHS ENDED  SEPTEMBER
30, 1999

RESULTS OF OPERATIONS - Three months ended September 30, 2000
   The  Company's net income for the third quarter of 2000 was $102,000 or $0.65
   per share  compared to  $100,000  or $.63 per share for the third  quarter of
   1999.

NET INTEREST INCOME
   Net interest income is the difference  between the interest earned on earning
   assets and the interest paid for funds acquired to support those assets.  Net
   interest income,  the principal  source of the Bank's earnings,  was $339,000
   and  $306,000  for  the  quarters   ended   September   30,  2000  and  1999,
   respectively.

NONINTEREST INCOME
   Noninterest  income  remained  flat for the three months ended  September 30,
   2000 and 1999. Amounts were $76,000 and $83,000, respectively.



                                       -8-

<PAGE>

ITEM 2: (CONTINUED)
-------------------

NONINTEREST EXPENSES
   Noninterest  expenses for the three months ended  September 30, 2000 and 1999
   were $246,000 and $247,000, respectively.  Noninterest expenses is comparable
   due to the results of operations remaining relatively stable.

   The allowance for loan losses was 1.48% of loans, net of unearned income,  at
   September 30, 2000 compared to 1.34% at September 30, 1999. The provision for
   loan losses was $16,000 and $0 for the three months ended  September 30, 2000
   and 1999, respectively. The 1999 provision was lower because of a recovery of
   a previously  charged off loan in 4th quarter  1998.  Management  reviews the
   adequacy of the  allowance on an ongoing  basis and believes the allowance is
   adequate.

FINANCIAL CONDITION
   The Company's  primary source of funds for loans and investments is deposits.
   Depostis were $25,510,000,  an increase of $1,576,000. This increase was used
   primarily to invest in federal funds sold, which increased by $1,960,000.

LIQUIDITY
   Liquidity  is the  ability to meet  current  and future  obligations  through
   liquidation or maturity of existing assets or the acquisition of liabilities.
   The Company manages both assets and liabilities to achieve appropriate levels
   of liquidity.  Cash and  short-term  investments  are the  Company's  primary
   sources of asset liquidity.  These funds provide a cushion against short-term
   fluctuations  in cash flow from  both  deposits  and  loans.  The  investment
   portfolio  is the  Bank's  principal  source of  secondary  asset  liquidity.
   However,  the  availability  of this source of funds is  influenced by market
   conditions.  Individual and commercial deposits are the Bank's primary source
   of funds  for  credit  activities.  Management  believes  that the  Company's
   liquidity sources are adequate to meet its operating needs.

LOANS
   Commercial,  financial and agricultural loans made up 32.6% of the total loan
   portfolio as of September  30, 2000,  totaling  $5,547,000.  Loans secured by
   real estate for construction and land development totaled $800,000 or 4.7% of
   the total loan portfolio while all other loans secured by real estate totaled
   $6,766,000  or 39.8% of the total loan  portfolio as of  September  30, 2000.
   Installment loans and other consumer loans to individuals totaling $3,893,000
   comprised 22.9% of the total loan portfolio.

CAPITAL RESOURCES
   Stockholders'  Equity for the  Company  increased  by  $195,000  for the nine
   months of 2000. This net change includes an increase to equity for net income
   of  $297,000  offset  by an  decrease  in  unrealized  losses  on  investment
   securities  of $24,000 and cash  dividends  paid of $126,000.  The  Company's
   equity to asset ratio was 12.00% on September 30, 2000, as compared to 12.07%
   on December 31, 1999.

   The  Federal  Deposit   Insurance   Corporation  has  issued  guidelines  for
   risk-based capital requirements. As of September 30, 2000, the Bank's capital
   ratios were as follows:

<TABLE>
<CAPTION>
                                 CAPITAL RATIOS
                             (AMOUNTS IN THOUSANDS)
                                                                                 Well                     Adequately
                                                                              Capitalized                 Capitalized
                                                         Actual              Requirement                  Requirement
                                           -----------------------    --------------------     --------------------------
                                             Amount         Ratio      Amount        Ratio       Amount           Ratio
                                           -----------  ----------    ----------  --------     -----------    -----------

<S>                                        <C>               <C>      <C>            <C>       <C>                 <C>

Total capital (to risk weighted assets)    $     3,814       21.6%    $    1,762     10.0%     $     1,409         8.0%
Tier 1 capital (to risk weighted assets)         3,593       20.3          1,057      6.0              705         4.0
Tier 1 capital (to average assets)               3,593       13.1          1,369      5.0            1,096         4.0



</TABLE>




                                       -9-
<PAGE>

ITEM 2: (CONTINUED)
-------------------

ASSET QUALITY
   Nonperforming assets as a percentage of loans and foreclosed property totaled
   6.10% and 6.20% as of September 30, 2000 and December 31, 1999, respectively.
   Nonperforming  assets were $1,021,000 as of September 30, 2000 and $1,024,000
   at December  31, 1999.  The  nonperforming  assets at September  30, 2000 and
   December 31, 1999 include a farm loan totaling  $926,000 of which $740,000 is
   guaranteed  by the US  Government.  Charge-offs  during the nine months ended
   September 30, 2000 and 1999 were $19,000 and $53,000, respectively.

 EFFECTS OF REGULATORY ACTION
   The management of the Company is not aware of any current  recommendations by
   regulatory  authorities,  which if they were to be implemented,  would have a
   material effect on liquidity, capital resources, or operations.

IMPACT OF INFLATION
   Unlike most  industrial  companies,  the assets and  liabilities of financial
   institutions  such as the Bank are primarily  monetary in nature.  Therefore,
   interest rates have a more significant  impact on the Bank's performance than
   do the effects of changes in the  general  rate of  inflation  and changes in
   prices.  In  addition,  interest  rates do not  necessarily  move in the same
   magnitude  as the  prices of goods and  services.  As  discussed  previously,
   management  seeks to manage  the  relationships  between  interest  sensitive
   assets and  liabilities in order to protect  against wide rate  fluctuations,
   including those resulting from inflation.

RECENTLY ISSUED ACCOUNTING STANDARDS
   In June 1998, the FASB issued SFAS 133, "Accounting for Derivative Instrument
   and Hedging Activities". All derivatives are to be measured at fair value and
   recognized  in the  balance  sheet as assets and  liabilities.  SFAS No. 138,
   "Accounting   for  Certain   Derivative   Instruments   and  Certain  Hedging
   Activities"  was issued in June 2000 and amends the  accounting and reporting
   standards  of  SFAS  133  for  certain  derivative  instruments  and  hedging
   activities.  The  two  statements  are to be  adopted  concurrently  and  are
   effective for fiscal years and quarters  beginning  after June 15, 2000.  The
   Company  does not expect  that the  adoption of SFAS No. 133 and SFAS No. 138
   will have a material impact on the  presentation  of the Company's  financial
   results or financial position.

   Other accounting standards that have been issued or proposed by the Financial
   Accounting  Standards Board that do not require  adoption until a future date
   are not  expected  to have a material  impact on the  consolidated  financial
   statements upon adoption.


PART II - OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS
-------------------------

There are no  material  pending  legal  proceedings  to which the Company or its
subsidiary party or of which any of their property is the subject.

ITEM 2.  CHANGES IN SECURITIES
------------------------------

Not Applicable

ITEM 3.  DEFAULTS UPON SENIOR SECURITIES
----------------------------------------

Not Applicable



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<PAGE>

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

There were no matters  submitted to security holders for a vote during the three
months ended September 30, 2000.

ITEM 5.  OTHER INFORMATION
--------------------------

None

ITEM 6. EXHIBITS AND REPORT ON FORM 8-K
---------------------------------------




SIGNATURES


Under the requirements of the Securities Exchange Act of 1934, the Bank has duly
caused this report to be signed on its behalf by the undersigned  thereunto duly
authorized.




            DARLINGTON COUNTY BANCSHARES, INC.
            ----------------------------------
                    Name of Bank



By:                                               Date:
     ---------------------------------------           -----------------------
     Albert L. James, III
     Secretary and Treasurer






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