UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20429





Form 10-K/A





(MARK ONE)

|x | ANNUAL REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|- | ------------------------------------------------------------------------------

For the fiscal year ended December 31, 2007



| ̈ | TRANSITION REPORT UNDER SECTION 13 OR 15(b) OF THE SECURITIES EXCHANGE ACT OF 1934
|- | ----------------------------------------------------------------------------------

For the transition period from  to

Commission file number 0000-50313





SURREY BANCORP

(Exact Name of Registrant as Specified in Its Charter)







|                                                               |  |                                  
|-------------------------------------------------------------- |  | ---------------------------------
|NORTH CAROLINA                                                 |  | 59-3772016                       
|(State or Other Jurisdiction of incorporation or organization) |  | (IRS Employer Identification No.)

145 North Renfro Street (P.O. Box 1227); Mount Airy, NC 27030

(Address of Principal Executive Office)

(336) 783-3900

(Issuers telephone number, including area code)





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

NONE

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

COMMON STOCK, NO PAR VALUE

(Title of Class)



---



Check whether the issuer is not required to file reports pursuant to Section 13 or 15(d) of the Exchange Act.   ̈

Check whether the issuer (1) filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the
past 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   ̈

Check if no disclosure of delinquent filers in response to Item 405 of Regulation S-K is contained in this form, and no disclosure will 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

Indicate by checkmark whether the registrant is a larger accelerated filer, an accelerated filer, or a non-accelerated filer. See
definition of accelerated and large accelerated filer in Rule 12b-2 of the Exchange Act (Check one):



|                             |  |                               
|---------------------------- |  | ------------------------------
|Large accelerated filer     ̈ |  | Accelerated filer     ̈        
|                             | 
|Non-accelerated filer       ̈ |  | Smaller reporting company    x

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the
Exchange Act)

Yes   ̈    No  x

The aggregate market value of the voting common equity held by non-affiliates computed by reference to the price at which the common
equity was last sold, or the average bid and asked price of such common equity, as of the last business day of the registrants most recently completed second quarter was $31.1 million.

3,166,174 shares of the Issuers common stock were issued and outstanding as of March 14, 2008.

DOCUMENTS INCORPORATED BY REFERENCE

The
annual report to security holders for fiscal year ended December 31, 2007, is incorporated by reference into Form 10-K Part II, Items 6, 7 and 8, and Part IV, Item 15. The issuers Proxy Statement dated March 31, 2008, is
incorporated by reference into Form 10-K Part III, Items 10, 11, 12, 13 and 14.









---

PART I

EXPLANATORY NOTE

Surrey Bancorp has amended its Annual Report on Form 10-K. This annual report is for the year ended December 31,
2007, and was originally filed with the Commission on March 27, 2008. The purpose of this amendment is to correct the inadvertent omission of managements report on internal control over financial reporting, as required by Exchange Act
Rules 13a-15 and 15d-15 and our assessment and conclusion as to the effectiveness of the Companys internal control over financial reporting, as required by Item 308T(a) of Regulation S-K; and to revise the Principal Executive Officer and
Principal Financial Officer certifications to include corrected introductory language of paragraph 4(b) under Item 601(b)(31) of Regulation S-K. The amended certifications do not include item (3), which refers to financial information not
included in this amendment. We have not undertaken to update all the information in this Annual Report, but instead have only updated those areas related to the amendments. Please read all of our filings with the Commission in conjunction with this
Form 10K/A.



---

FORM 10-K, ITEM 9A. CONTROLS AND PROCEDURES

As of the end of the period covered by this Annual Report on Form 10-K, an evaluation was performed under the supervision and with the participation of the Companys management, including the Chief Executive
Officer and Chief Financial Officer, of the effectiveness of the design and operation of our disclosure controls and procedures pursuant to Exchange Act Rule 13a-14. Based on that evaluation, the Chief Executive Officer and Chief Financial Officer
concluded that the design and operation of these disclosure controls and procedures were effective. We continue to evaluate our internal controls each year.

Disclosure controls and procedures are designed to ensure that information required to be disclosed by us in the reports that we file or submit under the Exchange Act is accumulated and communicated to our management, including our
principal executive officer and principal financial officer, as appropriate, to allow timely decisions regarding required disclosure.

The design of any
system of controls is based in part upon certain assumptions about the likelihood of future events. There can be no assurance that any design will succeed in achieving its stated goal under every potential condition, regardless of how remote. In
addition, the operation of any system of controls and procedures is dependent upon the employees responsible for executing it. While we have evaluated the operation of our disclosure controls and procedures and found them effective, there can be no
assurance that they will succeed in every instance to achieve their objective.

Managements Annual Report on Internal Control over Financial
Reporting

Our management is responsible for establishing and maintaining adequate internal control over financial reporting (as such term is defined in
Rule 13a-15(f) under the Exchange Act). Our internal control over financial reporting includes those policies and procedures that (i) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the
transactions and dispositions of our assets; (ii) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that our
receipts and expenditures are being made only in accordance with authorizations of our management and directors; and (iii) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of
our assets that could have a material effect on the financial statements.

Because of the inherent limitations in any internal control, no matter how well
designed, misstatements may occur and not be prevented or detected. Accordingly, even effective internal control over financial reporting can provide only reasonable assurance with respect to financial statement preparation. Further, the evaluation
of the effectiveness of internal control over financial reporting was made as of a specific date, and continued effectiveness in future periods is subject to the risks that controls may become inadequate because of changes in conditions or that the
degree of compliance with the policies and procedures may decline.

Management conducted an evaluation of the effectiveness of our system of internal
control over financial reporting as of December 31, 2007, based on the framework set forth in Internal ControlIntegrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission. Based on its
evaluation, management concluded that, as of December 31, 2007, Surrey Bancorps internal control over financial reporting was effective.

Changes in Internal Control over Financial Reporting

There were no changes in the Companys internal controls over financial reporting
during the fourth fiscal quarter of the fiscal year covered by this report that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.



---

SIGNATURES

In accordance with Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant caused this report to be signed on behalf by the undersigned, thereunto duly authorized



|        |  |                                      
|------- |  | -------------------------------------
|        |  | SURREY BANCORP                       
|        | 
|7/30/08 |  | /s/ Edward C. Ashby, III             
|Date    |  | Edward C. Ashby, III                 
|        |  | President and Chief Executive Officer

In accordance with the Exchange Act, this report has to be signed below by the following persons on behalf of the
registrant and in the capacity and on the dates indicated.



|                             |  |                         |  |        
|---------------------------- |  | ----------------------- |  | -------
|Signature                    |  | Title                   |  | Date   
|                             |  |                        
|/s/ Edward C. Ashby, III     |  | Director, President and |  | 7/30/08
|Edward C. Ashby, III         |  | Chief Executive Officer |  |        
|                             |  |                        
|/s/ Mark H. Towe             |  | Sr. Vice President and  |  | 7/30/08
|Mark H. Towe                 |  | Chief Financial Officer |  |        
|                             |  |                        
|/s/ Hylton Wright            |  | Chairman of the Board   |  | 7/30/08
|Hylton Wright                |  |                         |  |        
|                             |  |                        
|/s/ William A. Johnson       |  | Director                |  | 7/30/08
|William A. Johnson           |  |                         |  |        
|                             |  |                        
|/s/ Elizabeth Johnson Lovill |  | Director                |  | 7/30/08
|Elizabeth Johnson Lovill     |  |                         |  |        
|                             |  |                        
|/s/ Robert H. Moody          |  | Director                |  | 7/30/08
|Robert H. Moody              |  |                         |  |        
|                             |  |                        
|/s/ Tom G. Webb              |  | Director                |  | 7/30/08
|Tom G. Webb                  |  |                         |  |        
|                             |  |                        
|/s/ Gene Rees                |  | Director                |  | 7/30/08
|Gene Rees                    |  |                         |  |        
|                             |  |                        
|/s/ Buddy Williams           |  | Director                |  | 7/30/08
|Buddy Williams               |  |                         |  |