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): March 29, 2007

FIRST STATE BANCORPORATION

(Exact name of registrant as specified in its charter)

New Mexico	001-12487	85-0366665
(State or Other Jurisdiction of Incorporation)	(Commission File Number)	(I.R.S. Employer Identification No.)

7900 Jefferson, N.E.,

Albuquerque, New Mexico 87109

(Address of principal executive offices) (Zip Code)

Registrant’s Telephone Number, Including Area Code (505) 241-7500

Not Applicable

(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 (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 8.01 Other Events.

On March 29, 2007, Mr. Michael R. Stanford, President and Chief Executive Officer, and a Director of the Registrant, and Raymond James & Associates, entered into a “ Sales Trading Plan” pursuant to the requirements of Rule 10b5-1 (c) promulgated by the Securities and Exchange Commission under Section 10 (b) of the Securities Exchange Act of 1934, as amended (the “Plan”). The Plan covers the proposed disposition by Mr. Stanford of up to 60,000 shares of the Registrant’s common stock during the period commencing April 5, 2007 and ending on or before July 24, 2007. The options will not be exercised at any time if the market price of the underlying common stock is below $21.00 per share on the exercise date. The purpose of the Plan is to enable Mr. Stanford to exercise currently outstanding options, which expire on July 25, 2007, and to subsequently sell the underlying common stock in an orderly fashion to pay for, among other uses of the proceeds, the exercise price of the options and related federal income withholding taxes.

A copy of the Sales Trading Plan is attached hereto as Exhibit 99.1.

Item 9.01 Financial Statements and Exhibits.

Exhibit 99.1 Sales Trading Plan between Michael R. Stanford, President and Chief Executive Officer, and a Director of the Registrant, and Raymond James & Associates, Inc., pursuant to Rule 10b5-1 (c) under Section 10 (b) of the Securities Act of 1934, as amended.

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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 hereunto duly authorized.

	FIRST STATE BANCORPORATION
Date: March 30, 2007
	By:	/s/ Christopher C. Spencer
		Christopher C. Spencer
		Senior Vice President and
		Chief Financial Officer

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EXHIBIT INDEX

Exhibit Number	Description
Exhibit 99.1	Sales Trading Plan between Michael R. Stanford, President and Chief Executive Officer, and a Director of the Registrant, and Raymond James & Associates, pursuant to Rule 10b5-1 (c) under Section 10 (b) of the Securities Act of 1934, as amended.

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