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 reported): February 2, 2006



                    FIRST KEYSTONE CORPORATION
               ____________________________________
      (Exact name of registrant as specified in its Charter)


          PENNSYLVANIA             2-88927           23-2249083
       __________________         __________         _____________
        (State or other          (Commission         (IRS Employer
          jurisdiction          File Number)     Identification No.
       of incorporation)



111 West Front Street, Berwick, Pennsylvania       18603
____________________________________________      ________
  (Address of principal executive offices)       (Zip Code)


Registrant's telephone number, including area code: (570) 752-3671


                               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 (see General
Instruction A.2. below):

[ ]  Written communications pursuant to Rule 425 under the
     Securities Act (17 CFR 230.425)

[ ]  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))





Item 2.02  RESULTS OF OPERATIONS AND FINANCIAL CONDITION

On January 31, 2006, First Keystone Corporation announced its
earnings for the quarter ending December 31, 2005.  The press
release announcing increased fourth quarter 2005 earnings is
filed as Exhibit 99.1 and incorporated herein by reference.


Item 9.01. FINANCIAL STATEMENTS AND EXHIBITS

     (a)   Not applicable

     (b)   Not applicable

     (c)   The following exhibit is filed herewith:

Exhibit No.              Description

    99.1                 Press Release of First Keystone
                         Corporation dated January 31, 2006.



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                            Signatures


     Pursuant to the requirements of Section 13 or 15(d) of the
Securities Exchange Act of 1934, the Registrant has duly caused
this report to be signed on its behalf by the undersigned, there
unto duly authorized.


FIRST KEYSTONE CORPORATION
     (Registrant)




By:       /s/ J. Gerald Bazewicz
          J. Gerald Bazewicz
          President and Chief Executive Officer

Date:     February 2, 2006



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EXHIBIT INDEX

                                                        Page
Exhibit No.     Description                              No.
___________     ___________                             _____

   99.1         Press Release of First Keystone           5
                Corporation dated January 31, 2006



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EX-99

                             For Further Information Contact:

                             J. Gerald Bazewicz
                             President and
                             Chief Executive Officer
                             (570) 752-3671



                           Exhibit 99.1


                          PRESS RELEASE

               FIRST KEYSTONE ANNOUNCES INCREASE IN
                 FOURTH QUARTER AND 2005 EARNINGS

Berwick, Pennsylvania - January 31, 2006 - First Keystone
Corporation (OTC BB: FKYS), parent company of The First National
Bank of Berwick, reported net income of $1,591,000 for the
quarter ending December 31, 2005, as compared to $1,353,000 for
the fourth quarter of 2004, an increase of 17.6%. For the year
ending December 31, 2005, net income increased to $6,847,000 as
compared to $6,787,000 for 2004.  Return on assets and return on
equity were 1.35% and 12.65%, respectively for the year ending
December 31, 2005.

Earnings per share were $.36 for the fourth quarter of 2005, and
$1.56 for the year ending December 31, 2005, which compares to
$.31 and $1.55 for the fourth quarter and year, respectively in
2004.  Cash dividends paid for 2005 were $.82 as compared to $.73
paid in 2004, an increase of 12.3%

President J. Gerald Bazewicz reported, "The financial results
reflect a solid performance in 2005 when opportunities to
increase net-interest income, our largest revenue component, were
limited because of a flattened yield curve.  The tightening of
our net-interest margin, and a decline in non-interest income in
2005 were largely offset by a decrease in our provision for loan
losses.  The reduction in our provision for loan losses was a
result of a decline in charge-offs, decreased non-performing
loans, and improved asset quality."

Total assets increased to $512,399,000 as of December 31, 2005,
an increase of 3.0% over 2004.  In addition, total deposits
increased $4,840,000 to $362,796,000 as of December 31, 2005.
Stockholders' equity remained very strong at $53,443,000 as of
December 31, 2005.

The First National Bank of Berwick, an independently owned
community bank since 1864, presently operates 10 full service
offices in Columbia (5), Luzerne (4), and Montour (1) Counties
providing banking and trust services.



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Inquiries regarding the purchase of the company's stock may be
made through the following brokers:  Legg Mason Wood Walker,
Inc., 800-888-6673; Janney Montgomery Scott, Inc., 800-526-6397;
Ferris, Baker, Watts, Inc., 800-638-7411; F. J. Morrissey & Co.,
800-842-8928; Ryan, Beck and Company, 800-223-8969; and Boenning
& Scattergood, Inc., 800-883-8383.

Note:  This press release may contain forward-looking statements
as defined in the Private Securities Litigation Reform Act of
1995.  Actual results and trends could differ materially from
those set forth in such statements due to various factors.  These
factors include operating, legal and regulatory risks, changing
economic and competitive conditions and other risks and
uncertainties.

For more information on The First National Bank of Berwick or its
parent company, First Keystone Corporation, please contact J.
Gerald Bazewicz at 570-752-3671, extension 172.



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