8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549


_________

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934


Date of Report (Date of earliest event reported):  January 23, 2013



                       KENTUCKY BANCSHARES, INC.
          (Exact Name of Registrant as specified in Charter)


   Kentucky                  000-52598              61-0993464
 (State or other            (Commission            (IRS Employer
  jurisdiction of           File Number)        Identification No.)
  incorporation)


P.O. Box 157, Paris, Kentucky                          40362-0157
(Address of principal executive offices)               (Zip code)


(859)987-1795
(Registrant's telephone number, including area code)

N/A
(Former name or former address, if changed since last report.)


Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under
any of the following provisions:

__ Written communications pursuant to Rule 425 under the Securities Act
(17CFR230.425)

__ Soliciting material pursuant to Rule 14a-12 under the Exchange Act
(17 CFR 240.14a-12)

__ Pre-commencement communications pursuant to Rule 14d-2(b) under the
Exchange Act (17 CFR 240.14d-2(b))

__ Pre-commencement communications pursuant to Rule 13e-4(c) under the
Exchange Act (17 CFR 240.13e-4(c))
INFORMATION TO BE INCLUDED IN THE REPORT

  Item 2.02. Results of Operations and Financial Condition

       The Registrant expects to mail to its shareholders the
Registrants quarterly financial information for the fourth quarter of
2012 on or about January 30, 2013.  A copy of this mailing is attached
as Exhibit 99.1.

       The information in this Form 8-K and Exhibit 99.1 attached hereto
shall not be deemed filed for purposes of Section 18 of the Securities
Exchange Act of 1934 or otherwise subject to the liabilities of that
section, nor shall it be deemed incorporated by reference in any filing
under the Securities Act of 1933, except as shall be expressly set
forth by specific reference.

  Item 9.01.  Financial Statements and Exhibits

Exhibit 99.1 - Release dated January 23, 2013 of quarterly financial
information as of December 31, 2012.

SIGNATURE

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

                                            KENTUCKY BANCSHARES, INC.



Date: January 23, 2013               By      /s/ Gregory J. Dawson___
                                                    Gregory J. Dawson
                                                    Chief Financial Officer

EX-99

Exhibit 99.1

January 23, 2013

Quarterly Report
Fourth Quarter 2012

We are pleased to report for the year ended December 31, 2012, your
company had record earnings of $7.0 million.  This represents a 23.2%
increase over the year ended December 31, 2011 total of $ 5.7 million.
For the fourth quarter 2012, net income is $1.9 million.  When compared
to the same period in 2011, earnings are up 55.6% over the $1.2 million
figure.  Additionally, I am pleased to announce that our earnings for the
year increased from $2.09 per share on a fully diluted basis to $2.59,
which is a 23.9% increase.

We are also pleased to announce that total assets reached a record high
at December 31, 2012 of $701 million compared to $659 million for 2011.
This represents a 6.3% increase.

The state of the national and local economies is improving, but there is
still a bit of uncertainty facing the country. While Congress did,
temporarily, avoid the so called fiscal cliff, there are many government
expenditure issues that have yet to be resolved.  As it relates to your
bank, we have seen a slight increase in commercial loan activity.
Additionally, unemployment rates are dropping in virtually all the
markets in which we operate.  Our refinancing of residential real estate
mortgages has been extremely strong.  This has not only contributed
financially, but has also allowed us to establish stronger relationships
with our existing customers and with new customers who have come to us
from other financial institutions.

We want to take this opportunity to thank William M. Arvin, who is
retiring after sixteen years as a director of your company.  He has
served on our Compensation, Audit, Wealth Management, Loan, and Strategic
Planning Committees.  His leadership and contributions have been
significant in helping us grow in a profitable manner.

Clark Nyberg, Director of our Wealth Management Department, will be
retiring as of March 31, 2013.  Under his management that area has
experienced healthy growth.  We thank him for his service and wish him
nothing but success in his future endeavors.

In December, Jim Elliott joined our team to assume the position of
Director of the Wealth Management Department upon Clark's   retirement.
Jim was formerly with BB&T in Lexington and has managed Private Banking,
as well as Retail Banking areas during his career.  His long time
experience assisting clients and customers in the management of their
assets will be helpful to our Kentucky Bank clients also.  He and Clark
are working together to ensure that our customers are well taken care of
during this transition period.

The financial year of 2012 has been a nice improvement over 2011.  A
major factor, along with our refinancing activities and improved loan
growth, has been our ability to manage our balance sheet and cost of
funds so as to positively impact our net interest margin.  To build on
the financial success of 2012, we will pursue future growth and expansion
opportunities as they arise. We believe the strength of Kentucky Bank
provides a great foundation for either strategic acquisitions or organic
growth.

We will continue to do everything possible to meet future challenges so
that we can accomplish what is in the long term best interest of our
shareholders, customers, and employees.

As always, we appreciate your support.



/s/Louis Prichard
Louis Prichard
President, CEO


                                         UNAUDITED


CONSOLIDATED BALANCE SHEET
                                                                                Percentage
                                                12/31/2012      12/31/2011        Change
                                                                        
Assets
  Cash & Due From Banks                        $  31,579,930   $  17,128,480       84.4%
  Securities                                     192,780,473     180,419,376        6.9
  Loans Held for Sale                                485,845         625,400      -22.3
  Loans                                          429,975,099     411,866,439        4.4
  Reserve for Loan Losses                          6,047,343       5,841,719        3.5
    Net Loans                                    423,927,756     406,024,720        4.4
  Federal Funds Sold                                 184,000         528,000      -65.2
  Other Assets                                    52,052,306      54,727,485       -4.9
     Total Assets                              $ 701,010,310   $ 659,453,461        6.3%

Liabilities & Stockholders' Equity
  Deposits
    Demand                                     $ 144,574,752   $ 130,998,872       10.4%
    Savings & Interest Checking                  256,588,854     209,326,962       22.6
    Certificates of Deposit                      189,260,978     202,598,045       -6.6
      Total Deposits                             590,424,584     542,923,879        8.7
  Repurchase Agreements                            3,815,384       3,223,526       18.4
  Other Borrowed Funds                            25,165,932      38,843,229      -35.2
  Other Liabilities                                7,595,750       5,509,726       37.9
    Total Liabilities                            627,001,650     590,500,360        6.2
  Stockholders' Equity                            74,008,660      68,953,101        7.3
    Total Liabilities & Stockholders' Equity   $ 701,010,310   $ 659,453,461        6.3%






CONSOLIDATED INCOME STATEMENT

                                          Twelve Months Ending                  Three Months Ending
                                                                 Percentage                              Percentage
                                        12/31/2012    12/31/2011   Change     12/31/2012    12/31/2011     Change
                                                                                       
Interest Income                        $ 28,232,911  $ 29,889,329   -5.5%    $ 6,812,257   $ 7,284,595      -6.5%
Interest Expense                          3,715,640     5,565,428  -33.2         841,655     1,161,756     -27.6
  Net Interest Income                    24,517,271    24,323,901    0.8       5,970,602     6,122,839      -2.5
Loan Loss Provision                       2,050,000     2,450,000  -16.3         450,000       550,000     -18.2
  Net Interest Income After Provision    22,467,271    21,873,901    2.7       5,520,602     5,572,839      -0.9
Other Income                             11,869,972     9,347,106   27.0       3,803,686     2,855,676      33.2
Other Expenses                           25,686,008    24,614,718    4.4       6,903,030     7,061,165      -2.2
  Income Before Taxes                     8,651,235     6,606,289   31.0       2,421,258     1,367,350      77.1
Income Taxes                              1,643,673       919,415   78.8         507,678       137,782     268.5
  Net Income                           $  7,007,562  $  5,686,874   23.2%    $ 1,913,580   $ 1,229,568      55.6%
Net Change in Unrealized Gain (loss)
  on Securities                             513,513     5,021,922  -89.8      (1,005,965)      310,609    -423.9
  Comprehensive Income                 $  7,521,075  $ 10,708,796  -29.8%    $   907,615   $ 1,540,177     -41.1%

Selected Ratios
  Return on Average Assets                     1.03%         0.87%                  1.11%         0.77%
  Return on Average Equity                     9.70          8.74                  10.31          7.12

  Earnings Per Share                        $  2.59       $  2.09                $  0.71       $  0.44
  Earnings Per Share - assuming di             2.59          2.09                   0.71          0.44
  Cash Dividends Per Share                     0.92          0.88                   0.23          0.22
  Book Value Per Share                        27.21         25.38


  Market Price                         High        Low         Close
    Fourth Quarter '12                 $21.10      $17.96      $18.50
    Third Quarter '12                  $23.00      $20.27      $21.10