Item 2.03 Creation of a Direct Financial Obligation or an Obligation Under an Off-balance Sheet Arrangement of a Registrant.

On October 31, 2008, management of ENB Financial Corp (the "Company") established a $1,222,000 liability in connection a voluntary severance package offered to employees of the Company's wholly owned subsidiary, Ephrata National Bank (the "Bank"). The voluntary severance package was extended at the end of September 2008 to all employees with 20 years of service or more to the Company as part of a workforce realignment initiative. The workforce realignment initiative is part of a larger business process improvement engagement that began in 2007 with the assistance of the consulting division of the Bank's core processor. The workforce realignment seeks to achieve better matching of employee talent to existing positions. The larger business processing engagement is to assist the Company in gaining greater efficiency and profitability by implementing many of our industry's best practices.

The establishment of this liability will result in $1,222,000 of additional salary and benefit costs in the fourth quarter of 2008. The liability covers all future severance obligations that are scheduled to be paid over 2009 and 2010 to 35 employees who have accepted the package. When obligated severance package costs are paid in 2009 and 2010 they will directly reduce the Company's liability and will not impact operating results.

Management does not anticipate any further severance costs associated with work force realignment or the greater business process improvement engagement. It is expected that total salary costs will be lower in 2009 as a result of this one time charge to income in 2008.

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ENB FINANCIAL CORP