ITEM 7.01 REGULATION FD DISCLOSURE

The following information and exhibit are being furnished pursuant to Regulation FD.

National Bankshares, Inc. issued a press release on May 13, 2009 announcing that its Board of Directors has declared a semi-annual dividend payable on June 1, 2009 to stockholders of record as of May 22, 2009. A copy of the press release is attached as Exhibit 99.1.

ITEM 8.01 OTHER EVENTS

National Bankshares, Inc.'s press release dated May 13, 2009 also announced the renewal of a stock repurchase plan, under which the Company's management is authorized to repurchase up to 100,000 shares of common stock in the open market in the period from June 1, 2009 through May 31, 2010. The press release is attached as Exhibit 99.1.