Exhibit 99.1

Exhibit 99.1

NEWS RELEASE


FOR IMMEDIATE RELEASE:				FOR MORE INFORMATION,
January 24, 2006				CONTACT: Mark A. Wendel
				(276) 326-9000

First Community Bancshares, Inc. Announces Record Fourth Quarter and Annual Earnings

Bluefield, Virginia – First Community Bancshares, Inc. (NASDAQ: FCBC) (www.fcbinc.com) today reported record earnings of $7.1 million for the fourth quarter of 2005, or $0.63 diluted earnings per share. This represents a 17% increase over fourth quarter 2004 earnings of $6.1 million, or $0.54 diluted earnings per share. Net income for the full year 2005 increased 17% to $26.2 million, or $2.31 diluted earnings per share, compared to $22.4 million, or $1.97 diluted earnings per share in 2004, and represents record annual earnings for the Company. Return on average assets for the fourth quarter of 2005 was 1.42%, which was an increase compared to the last four quarters. Return on average equity for the fourth quarter of 2005 was 14.47%, compared to 13.20% for the same period in 2004.

During the fourth quarter, the Bank sold its Clifton Forge, Virginia branch location. The transaction resulted in a deposit premium of approximately $3.4 million and real estate gains of $1.0 million. According to CEO John M. Mendez, “the decision to sell the Clifton Forge office is part of the Company’s continuing effort to increase shareholder value through the ongoing evaluation of the branch network. Capital generated through the sale will be redirected to support continued expansion in the Company’s targeted growth markets in the Southeast.” During the quarter, the Company opened a loan production office in Kernersville, North Carolina, and has plans to open five de novo branches, convert three loan production offices to full service locations, and open two new loan production offices in 2006 and 2007. Most of these locations will be in the Richmond, Virginia and Winston-Salem, North Carolina metropolitan areas.

Also in the fourth quarter, as previously announced, the Company restructured certain liabilities which will have an immediate positive impact on earnings. First Community prepaid $77 million of FHLB advances and incurred prepayment penalties of approximately $3.8 million. The retired advances had a weighted-average interest rate of 5.96% and maturity of 4.3 years. In January, the Company borrowed $75 million in new adjustable-rate advances from the FHLB, of which $50 million of the advances were hedged by an interest rate swap to approximate a fixed rate of 4.34%. On this portion of the new advances, the Company expects to save over $810 thousand annually in interest expense. The remaining $25 million will float at an interest rate equal to 3-month LIBOR less 45 basis points. The initial interest rate on the floating portion of the FHLB advance is 4.10%, approximately 186 basis points less than the weighted-average rate of the prepaid advances.

Financial Highlights
Fourth Quarter 2005 vs. 2004

•

The total loan portfolio grew 7.5% to $1.33 billion with total fourth quarter production of over $200 million, and annual production of over $855 million. Commercial loans grew 8.4% and retail loans grew 6.1% in 2005. The Bank’s thirteen de novo and loan production offices contributed $97 million to loan growth in 2005.

•

Net interest income was $18.8 million, an improvement of $882 thousand, or 4.9%. The increase was due primarily to an increase of $92 million in the average balance of loans held for investment, part of a $142 million increase in average earning assets.

•

The increase in earning assets was funded, in large part, by $70 million growth in average customer deposits within the existing branch network.

•

Tax-equivalent net interest margin was 4.29%, down slightly from 4.33% for the third quarter of 2005, and from 4.45% for the fourth quarter of 2004. Like our peers, the margin has been impacted by the flattening of the treasury yield curve.

•

Non-interest income was $8.9 million. However, excluding the gain from the branch sale, non-interest income was $4.6 million compared to $4.2 million, an 8.2% increase. The increase reflects continued improvement in the areas of service charges on deposit accounts and all other service charges, commissions and fees. Service charges on deposit accounts increased $264 thousand, or 11%. Other service charges, commissions and fees increased $126 thousand, or 21%.

•

Non-interest expense was $17.5 million. However, excluding the FHLB advance prepayment penalty, non-interest expense was $13.7 million, compared to $12.7 million for the fourth quarter of 2004. Most of the 8.5% increase can be attributed to increases in salaries and benefits from the Company’s expansion efforts and from increased incentive accruals reflecting 2005 performance, as well as increased health care costs. Excluding the effects of the branch sale gains and the prepayment penalties, the efficiency ratio was 56.0% compared to 54.5%.

•

Credit quality remains sound with total delinquencies as a percent of total loans at 0.79% at December 31, 2005, compared with 0.83% at December 31, 2004. The ratio of allowance for credit losses as a percent of loans held for investment was 1.14% compared to 1.32%. The provision for credit losses was $887 thousand compared to the $264 thousand. Net charge-offs were $632 thousand compared to an unusually low $158 thousand for fourth quarter 2004.

•

During the fourth quarter, the board of directors declared a dividend to stockholders of twenty-five and a half cents ($0.255). The dividend represents an increase of 2.0% over the $0.25 per share paid in the fourth quarter of 2004. 2005 was the 15^th consecutive year of regular dividend increases to stockholders. Dividends have increased at an average annual rate of over 11% since 1990. 2005 dividend yield was 3.3% based on the year-end closing price of $31.16.

Year End 2005 vs. 2004

•

Net interest income grew $4.6 million, or 6.6%. Tax-equivalent net interest margin was 4.40% compared to 4.41%.

•

Non-interest income was $22.3 million, an increase of $4.9 million, or 29%. The bulk of the increase was due to gains realized from the branch sale. Wealth management income increased 19%, service charges on deposit accounts increased 11%, and other service charges, commissions and fees increased 24%.

•

Non-interest expense, excluding the prepayment penalty, increased $4.6 million to $52.6 million. 2005 marked the first full year of expense absorption associated with the March 2004 acquisition of People’s Community Bank in Tennessee. Also contributing to the increases are increased health and welfare benefit costs, the Company’s continued expansion through loan production offices, as well as increases in supporting infrastructure. Excluding the effects of the branch sale gain and the prepayment penalties, the efficiency ratio for the full 2005 year was 54.7% compared to 53.2% in 2004.

•

Net charge-offs were $4.9 million compared to $2.7 million. Net charge-offs were elevated due to the resolution of a $4.3 million non-accruing commercial loan to a hospitality concern. The net loss from the transaction was $1.5 million. Non-performing loans decreased to $3.4 million, a $1.8 million improvement. Non-performing loans as a percentage of loans held for investment were 0.25% compared to 0.42% in 2004.

•

Consolidated assets increased $121.7 million, a 6.6% growth rate, to $1.95 billion compared to $1.83 billion. Deposits and customer repurchase agreements increased $61.2 million, a growth rate of 4.2%, net of the $45 million transfer of deposits in the sale of the Clifton Forge, Virginia, branch location. On a same-store basis, deposits and customer repurchase agreements increased 7.7%.

•

Total stockholders’ equity for the Company was $193.8 million, resulting in a book value per common share outstanding of $17.23 compared to $183.2 million and $16.29 per common share.

The Company will host an investor and media teleconference and webcast on Wednesday, January 25, 2006 at 10:00 a.m. To access the teleconference, the toll-free number to call is (877) 407-8031. Alternatively, individuals may listen to the live or archived webcast of the conference call. To listen to the webcast, visit www.fcbinc.com and follow the link under the Current News Releases section. The Company’s press release and financial summary will be available in this section, as well. Copies of the Company’s fourth quarter 2005 earnings press release and financial summary will also be made available upon request via fax, email or postal service mail. To request a copy, contact Dave Brown at (800) 425-0839.

First Community Bancshares, Inc., headquartered in Bluefield, Virginia, is a $1.95 billion bank holding company and is the parent company of First Community Bank, N. A. First Community Bank, N. A. operates through fifty-one full service banking locations, ten loan production offices, and six wealth management offices in the four states of Virginia, West Virginia, North Carolina and Tennessee. First Community Bank, N. A. is also the parent of Stone Capital Management, Inc., a SEC registered investment advisory firm, which offers wealth management and investment advice. The Company also offers wealth management services through its Trust & Financial Services Division, which as of December 31, 2005 manages assets with a market value of $487 million. First Community Bancshares, Inc.’s common stock is traded on the NASDAQ National Market under the symbol “FCBC”. Additional investor information can be found on the Internet at www.fcbinc.com.

This news release may include forward-looking statements. These forward-looking statements are based on current expectations that involve risks, uncertainties and assumptions. Should one or more of these risks or uncertainties materialize or should underlying assumptions prove incorrect, actual results may differ materially. These risks include: changes in business or other market conditions; the timely development, production and acceptance of new products and services; the challenge of managing asset/liability levels; the management of credit risk and interest rate risk; the difficulty of keeping expense growth at modest levels while increasing revenues; and other risks detailed from time to time in the Company’s Securities and Exchange Commission reports, including but not limited to the Annual Report on Form 10-K for the most recent year ended. Pursuant to the Private Securities Litigation Reform Act of 1995, the Company does not undertake to update forward-looking statements contained within this news release.

First Community Bancshares, Inc.
Consolidated Statements of Income


		Three Months Ended						Twelve Months Ended
		December 31,						December 31,
(Dollars in Thousands, Except Share and Per Share Data)(Unaudited)		2005			2004			2005			2004
Interest	Interest and fees on loans held for investment	$	23,841		$	20,518		$	90,024		$	76,713
Income	Interest on securities-taxable		3,322			2,460			11,077			12,119
	Interest on securities-nontaxable		1,854			1,727			7,451			6,712
	Interest on federal funds sold and deposits		341			197			1,077			592

	Total interest income		29,358			24,902			109,629			96,136

Interest	Interest on deposits		7,225			4,648			24,030			18,478
Expense	Interest on borrowings		3,380			2,383			11,850			8,475

	Total interest expense		10,605			7,031			35,880			26,953

	Net interest income		18,753			17,871			73,749			69,183
	Provision for loan losses		882			264			3,706			2,671

	Net interest income after provision for loan losses		17,871			17,607			70,043			66,512

Non-Interest	Wealth management income		716			702			2,956			2,489
Income	Service charges on deposit accounts		2,664			2,400			10,095			9,122
	Other service charges, commissions and fees		723			597			2,785			2,239
	Gain on sale of securities		74			95			753			1,604
	Other operating income		4,771			440			5,683			1,875

	Total non-interest income		8,948			4,234			22,272			17,329

Non-Interest	Salaries and employee benefits		7,656			7,064			29,686			26,646
Expense	Occupancy expense of bank premises		992			900			3,903			3,559
	Furniture and equipment expense		867			764			3,319			2,872
	Amortization of intangible assets		102			112			435			399
	Prepayment penalties on FHLB advances		3,794			—			3,794			—
	Other operating expense		4,118			3,822			15,307			14,559

	Total non-interest expense		17,529			12,662			56,444			48,035

	Income from continuing operations before income taxes		9,290			9,179			35,871			35,806
	Income tax expense continuing operations		2,158			2,969			9,530			9,786

	Income from continuing operations		7,132			6,210			26,341			26,020

	Loss from discontinued operations before tax		(27	)		(215	)		(233	)		(5,746	)
	Income tax benefit from discontinued operations		(11	)		(84	)		(91	)		(2,090	)

	Loss from discontinued operations		(16	)		(131	)		(142	)		(3,656	)

	Net income	$	7,116		$	6,079		$	26,199		$	22,364

	Basic earnings per common share (EPS)	$	0.63		$	0.54		$	2.32		$	1.99
	Diluted earnings per common share (DEPS)	$	0.63		$	0.54		$	2.31		$	1.97
	Basic earnings per common share-continuing operations	$	0.63		$	0.55		$	2.34		$	2.32
	Diluted earnings per common share-continuing operations	$	0.63		$	0.55		$	2.32		$	2.29
	Weighted Average Shares Outstanding:
	Basic		11,268,496			11,248,137			11,269,258			11,238,648
	Diluted		11,340,526			11,355,202			11,341,804			11,337,606
	For the period:
	Return on average assets		1.42	%		1.32	%		1.36	%		1.24	%
	Return on average assets-continuing operations		1.43	%		1.35	%		1.37	%		1.45	%
	Return on average equity		14.47	%		13.20	%		13.74	%		12.53	%
	Return on average equity-continuing operations		14.51	%		13.48	%		13.81	%		14.58	%
	Return on average tangible equity		21.27	%		20.11	%		20.45	%		18.59	%
	Return on average tangible equity-continuing operations		21.32	%		20.54	%		20.56	%		21.60	%
	Cash dividends per share	$	0.255		$	0.25		$	1.02		$	1.00
	At period end:
	Book value per share	$	17.23		$	16.29		$	17.23		$	16.29
	Market value	$	31.16		$	36.08		$	31.16		$	36.08

First Community Bancshares, Inc.
Quarterly Performance Summary
Income Statements


		As of and for the Quarter Ended
(Dollars in Thousands Except Share and Per Share Data)		December 31,			September 30,			June 30,			March 31,			December 31,
(Unaudited)		2005			2005			2005			2005			2004
Interest	Interest and fees on loans held for investment	$	23,841		$	23,263		$	22,192		$	20,728		$	20,518
Income	Interest on securities-taxable		3,322			2,904			2,555			2,296			2,460
	Interest on securities-nontaxable		1,854			1,783			1,865			1,949			1,727
	Interest on federal funds sold and deposits		341			343			178			215			197

	Total interest income		29,358			28,293			26,790			25,188			24,902

Interest	Interest on deposits		7,225			6,296			5,547			4,962			4,648
Expense	Interest on borrowings		3,380			3,276			2,721			2,473			2,383

	Total interest expense		10,605			9,572			8,268			7,435			7,031

	Net interest income		18,753			18,721			18,522			17,753			17,871
	Provision for loan losses		882			1,060			1,073			691			264

	Net interest income after provision for loan losses		17,871			17,661			17,449			17,062			17,607

Non-Int	Wealth management income		716			757			793			689			702
Income	Service charges on deposit accounts		2,664			2,660			2,623			2,148			2,400
	Other service charges, commissions and fees		723			733			671			659			597
	Gain (loss) on Securities		74			536			121			22			95
	Other operating income		4,771			346			362			204			440

	Total non-interest income		8,948			5,032			4,570			3,722			4,234

Non-Int	Salaries and employee benefits		7,656			7,260			7,452			7,318			7,064
Expense	Occupancy expense of bank premises		992			1,000			968			943			900
	Furniture and equipment expense		867			855			813			784			764
	Amortization of intangible assets		102			112			111			110			112
	Prepayment penalties on FHLB advances		3,794			—			—			—			—
	Other operating expense		4,118			3,891			3,957			3,341			3,822

	Total non-interest expense		17,529			13,118			13,301			12,496			12,662

	Income before income taxes-continuing operations		9,290			9,575			8,718			8,288			9,179
	Income tax expense-continuing operations		2,158			2,641			2,494			2,237			2,969

	Income from continuing operations		7,132			6,934			6,224			6,051			6,210

	Loss before tax-discontinued operations		(27	)		(36	)		(39	)		(131	)		(215	)
	Income tax benefit -discontinued operations		(11	)		(14	)		(15	)		(51	)		(84	)

	Loss from discontinued operations		(16	)		(22	)		(24	)		(80	)		(131	)

	Net income	$	7,116		$	6,912		$	6,200		$	5,971		$	6,079

Per	Basic EPS	$	0.63		$	0.61		$	0.55		$	0.53		$	0.54
Share	Diluted EPS	$	0.63		$	0.61		$	0.55		$	0.53		$	0.54
Data	Basic EPS from continuing operations	$	0.63		$	0.61		$	0.55		$	0.54		$	0.55
	Diluted EPS from continuing operations	$	0.63		$	0.61		$	0.55		$	0.53		$	0.55
	Cash dividends per share	$	0.255		$	0.255		$	0.255		$	0.255		$	0.25
	Weighted Average Shares Outstanding:
	Basic		11,268,496			11,275,156			11,273,724			11,259,494			11,248,137
	Diluted		11,340,526			11,342,912			11,344,480			11,339,136			11,355,202
	Actual shares outstanding at period end		11,251,803			11,273,248			11,274,391			11,271,835			11,250,927
	Book Value per share at period end	$	17.23		$	17.15		$	16.83		$	16.35		$	16.29
	Market Value per share at period end	$	31.16		$	29.34		$	32.50		$	28.07		$	36.08

First Community Bancshares, Inc.
Quarterly Balance Sheets
(Unaudited)


	December 31,			September 30,			June 30,			March 31,			December 31,
	2005			2005			2005			2005			2004
	(Dollars in Thousands)
Cash and due from banks	$	46,872		$	48,122		$	43,415		$	34,328		$	37,294
Interest-bearing deposits with banks		10,667			47,822			64,488			48,942			17,452
Securities available for sale		417,257			424,631			381,540			372,585			388,678
Securities held to maturity		24,173			24,723			29,854			32,009			34,221
Loans held for sale		1,274			1,377			1,075			1,182			1,194
Loans held for investment, net of unearned income		1,331,039			1,321,221			1,296,728			1,282,546			1,238,756
Less allowance for loan losses		14,736			14,486			15,984			16,543			16,339

Net loans		1,316,303			1,306,735			1,280,744			1,266,003			1,222,417
Premises and equipment		34,993			35,640			35,796			35,869			37,360
Other real estate owned		1,400			1,690			975			1,389			1,419
Interest receivable		10,232			10,175			9,476			9,124			8,554
Intangible assets		61,119			61,287			61,399			61,510			61,310
Other assets		28,261			25,312			26,496			23,895			20,923

Total Assets	$	1,952,551		$	1,987,514		$	1,935,258		$	1,886,836		$	1,830,822

Deposits:
Demand	$	230,542		$	237,455		$	235,217		$	220,741		$	221,499
Interest-bearing demand		144,314			152,331			150,112			154,316			150,127
Savings		355,184			375,027			350,189			364,933			385,134
Time		675,904			681,225			662,381			661,882			602,304

Total Deposits		1,405,944			1,446,038			1,397,899			1,401,872			1,359,064
Interest, taxes and other liabilities		16,877			15,169			15,122			15,625			14,313
Federal funds purchased		82,500			—			—			—			32,500
Securities sold under agreements to repurchase		124,154			125,739			125,285			128,244			109,857
FHLB and other indebtedness		129,231			207,180			207,231			156,822			131,855

Total Liabilities		1,758,706			1,794,126			1,745,537			1,702,563			1,647,589


Common stock, $1 par value		11,496			11,496			11,496			11,491			11,472
Additional paid-in capital		108,573			108,606			108,639			108,576			108,263
Retained earnings		82,725			78,484			74,444			71,116			68,019
Treasury stock, at cost		(7,625	)		(6,897	)		(6,864	)		(6,804	)		(6,881	)
Accumulated other comprehensive income (loss)		(1,324	)		1,699			2,006			(106	)		2,360

Total Stockholders’ Equity		193,845			193,388			189,721			184,273			183,233

Total Liabilities and Stockholders’ Equity	$	1,952,551		$	1,987,514		$	1,935,258		$	1,886,836		$	1,830,822

First Community Bancshares, Inc.
Selected Financial Information
(Unaudited)


	As of and for the Quarter Ended
	December 31,			September 30,			June 30,			March 31,			December 31,
	2005			2005			2005			2005			2004
	(Dollars in Thousands)
Ratios
Return on average assets		1.42	%		1.40	%		1.31	%		1.30	%		1.32	%
Return on average assets-continuing operations		1.43	%		1.40	%		1.32	%		1.32	%		1.35	%
Return on average equity		14.47	%		14.23	%		13.19	%		13.00	%		13.20	%
Return on average equity-continuing operations		14.51	%		14.28	%		13.24	%		13.17	%		13.48	%
Return on average tangible equity		21.27	%		21.08	%		19.78	%		19.57	%		20.11	%
Return on average tangible equity-continuing operations		21.32	%		21.15	%		19.85	%		19.83	%		20.54	%
Net interest margin		4.29	%		4.33	%		4.51	%		4.47	%		4.45	%
Efficiency Ratio at end of period-continuing operations		55.98	%		53.23	%		54.57	%		54.94	%		54.52	%
Equity as a percent of total assets at end of period		9.93	%		9.73	%		9.80	%		9.77	%		10.01	%
Average earning assets as a percentage of average total assets		92.12	%		92.09	%		91.95	%		91.93	%		91.92	%
Average loans (not including loans held for sale) as a percentage of average deposits		92.34	%		92.94	%		92.48	%		91.21	%		90.31	%

Average Balances
Investments	$	464,713		$	444,720		$	416,279		$	416,422		$	414,855
Loans		1,326,858			1,320,434			1,299,358			1,260,521			1,234,932
Earning Assets		1,826,221			1,804,504			1,739,147			1,707,710			1,684,058
Total Assets		1,982,411			1,959,583			1,891,333			1,857,645			1,832,023
Deposits		1,436,927			1,420,799			1,405,086			1,381,929			1,367,365
Interest-bearing deposits		1,202,972			1,187,958			1,176,779			1,162,230			1,143,060
Average Borrowings		334,917			331,142			284,562			273,965			269,420
Average Interest-bearing Liabilities		1,537,889			1,519,100			1,461,341			1,436,195			1,412,480
Average Equity		195,051			192,648			188,532			186,332			183,258
Tax-equivalent Net Interest Income		19,762			19,691			19,535			18,833			18,824

Calculation Purposes Only:
End of Period:
Total Assets	$	1,952,551		$	1,987,514		$	1,935,258		$	1,886,836		$	1,830,822
Continuing Assets	$	1,952,551		$	1,987,514		$	1,935,258		$	1,886,836		$	1,830,822
Total Equity	$	193,845		$	193,388		$	189,721		$	184,273		$	183,233

First Community Bancshares, Inc.
Selected Financial Information
(Unaudited)


	As of and for the Quarter Ended
	December 31,			September 30,			June 30,			March 31,			December 31,
	2005			2005			2005			2005			2004
				(Dollars in Thousands)
Asset Quality Analysis:
Allowance for Credit Losses:
Beginning balance	$	14,946		$	16,597		$	16,543		$	16,339		$	16,233
Provision for Credit Losses		887			907			1,294			691			264
Charge-offs		(1,417	)		(3,037	)		(1,638	)		(844	)		(718	)
Recoveries		785			479			398			357			560

Net charge-offs		(632	)		(2,558	)		(1,240	)		(487	)		(158	)

Ending balance	$	15,201		$	14,946		$	16,597		$	16,543		$	16,339


Nonperforming Assets:
Nonaccrual loans	$	3,383		$	5,417		$	4,132		$	6,419		$	5,168
Foreclosed real estate		1,400			1,690			975			1,389			1,419
Repossessions		55			14			29			26			1
Loans 90 days or more past due and still accruing		11			—			—			—			—

Nonperforming assets	$	4,849		$	7,121		$	5,136		$	7,834		$	6,588


Asset Quality Ratios:
Nonaccrual loans and leases as a percentage of loans held for investment		0.25	%		0.41	%		0.32	%		0.50	%		0.42	%
Nonperforming assets as a percentage of:
Total assets		0.25	%		0.36	%		0.27	%		0.42	%		0.36	%
Loans held for investment plus foreclosed property		0.36	%		0.54	%		0.40	%		0.61	%		0.53	%
Annualized net charge-offs as a % of average loans held for investment		0.19	%		0.77	%		0.38	%		0.15	%		0.05	%
Allowance for credit losses as a percentage of loans held for investment		1.14	%		1.13	%		1.28	%		1.29	%		1.32	%
Ratio of allowance for credit losses to nonaccrual loans		4.49			2.76			4.02			2.58			3.16

Restructured loans performing according to modified terms	$	302		$	313		$	327		$	344		$	354

First Community Bancshares, Inc.
Consolidated Average Balance Sheets, Yields, and Rates

(Unaudited)


	Three Months Ended December 31,
	2005							2004
					Yield/							Yield/
	Average		Interest		Rate			Average		Interest		Rate
	Balance		(1)		(1)			Balance		(1)		(1)
	(Dollars in thousands)
Earning Assets:
Loans:
Held for Investment (2)
Taxable	$	1,325,231	$	23,820		7.13	%	$	1,229,827	$	20,473		6.62	%
Tax-Exempt		1,627		33		8.04	%		5,105		69		5.41	%

Total		1,326,858		23,853		7.13	%		1,234,932		20,542		6.62	%
Securities Available for Sale:
Taxable		290,546		3,318		4.53	%		259,051		2,456		3.77	%
Tax-Exempt		149,707		2,358		6.25	%		121,583		1,961		6.42	%

Total		440,253		5,676		5.11	%		380,634		4,417		4.62	%
Held to Maturity Securities:
Taxable		394		4		4.03	%		410		4		3.88	%
Tax-Exempt		24,066		494		8.14	%		33,811		696		8.18	%

Total		24,460		498		8.08	%		34,221		700		8.13	%
Interest Bearing Deposits with Banks		34,650		341		3.90	%		34,271		197		2.29	%
Fed Funds Sold		—		—					—		—

Total Earning Assets		1,826,221	$	30,368		6.60	%		1,684,058	$	25,856		6.11	%
Other Assets		156,190							147,965

Total	$	1,982,411						$	1,832,023

Interest-Bearing Liabilities:
Demand Deposits	$	149,318	$	106		0.28	%	$	153,999	$	95		0.25	%
Savings Deposits		371,081		1,496		1.60	%		383,876		866		0.90	%
Time Deposits		682,573		5,624		3.27	%		605,185		3,688		2.42	%
Short-term Borrowings (5)		267,450		2,606		3.87	%		252,400		2,138		3.37	%
Long-term Borrowings		67,467		774		4.55	%		17,020		245		5.73	%

Total Interest-bearing Liabilities		1,537,889		10,606		2.74	%		1,412,480		7,032		1.98	%
Demand Deposits		233,955							224,305
Other Liabilities		15,516							11,980
Stockholders’ Equity		195,051							183,258

Total	$	1,982,411						$	1,832,023

Net Interest Income			$	19,762						$	18,824

Net Interest Rate Spread (3)						3.86	%						4.13	%

Net Interest Margin (4)						4.29	%						4.45	%


(1)		Fully Taxable Equivalent at the rate of 35%.

(2)		Non-accrual loans are included in average balances outstanding but with no related interest income during the period of non-accrual.

(3)		Represents the difference between the yield on earning assets and cost of funds.

(4)		Represents tax equivalent net interest income divided by average interest earning assets.

(5)		FHLB advances are included in short-term borrowings due to quarterly call options.

First Community Bancshares, Inc.
Consolidated Average Balance Sheets, Yields, and Rates
(Unaudited)


	Twelve Months Ended December 31,
	2005							2004
					Yield/							Yield/
	Average		Interest		Rate			Average		Interest		Rate
	Balance		(1)		(1)			Balance		(1)		(1)
	(Dollars in thousands)
Earning Assets:
Loans:
Held for Investment (2)
Taxable	$	1,299,328	$	89,909		6.92	%	$	1,154,166	$	76,519		6.63	%
Tax-Exempt		2,692		177		6.58	%		4,965		297		5.98	%

Total		1,302,020		90,086		6.92	%		1,159,131		76,816		6.63	%
Securities Available for Sale:
Taxable		262,715		11,062		4.21	%		313,033		12,094		3.86	%
Tax-Exempt		144,242		9,193		6.37	%		110,904		7,474		6.74	%

Total		406,957		20,255		4.98	%		423,937		19,568		4.62	%
Held to Maturity Securities:
Taxable		399		15		3.76	%		419		25		5.97	%
Tax-Exempt		28,336		2,269		8.01	%		35,535		2,853		8.03	%

Total		28,735		2,284		7.95	%		35,954		2,878		8.00	%
Interest Bearing Deposits with Banks		32,100		1,077		3.36	%		32,430		591		1.82	%
Fed Funds Sold		—		—					60		1		1.67	%

Total Earning Assets		1,769,812	$	113,702		6.42	%		1,651,512	$	99,854		6.05	%
Other Assets		153,410							155,329

Total	$	1,923,222						$	1,806,841

Interest-Bearing Liabilities:
Demand Deposits	$	152,774	$	401		0.26	%	$	149,502	$	366		0.24	%
Savings Deposits		368,339		4,309		1.17	%		366,074		3,112		0.85	%
Time Deposits		661,498		19,321		2.92	%		615,346		15,001		2.44	%
Short-term Borrowings (5)		272,388		9,721		3.57	%		240,593		7,587		3.15	%
Long-term Borrowings		33,995		2,129		6.26	%		17,014		888		5.22	%

Total Interest-bearing Liabilities		1,488,994		35,881		2.41	%		1,388,529		26,954		1.94	%
Demand Deposits		228,781							212,777
Other Liabilities		14,772							27,093
Stockholders’ Equity		190,675							178,442

Total	$	1,923,222						$	1,806,841

Net Interest Income			$	77,821						$	72,900

Net Interest Rate Spread (3)						4.01	%						4.11	%

Net Interest Margin (4)						4.40	%						4.41	%


(1)		Fully Taxable Equivalent at the rate of 35%.

(2)		Non-accrual loans are included in average balances outstanding but with no related interest income during the period of non-accrual.

(3)		Represents the difference between the yield on earning assets and cost of funds.

(4)		Represents tax equivalent net interest income divided by average interest earning assets.

(5)		FHLB advances are included in short-term borrowings due to quarterly call options.