UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the

~~the~~ Securities Exchange Act of 1934

Date of Report (Date of earliest event reported) ~~August~~November 245, 2012 (~~August~~November 222, 2012)

Princeton National Bancorp, Inc.

(Exact name of registrant as specified in its charter)

Delaware

(State or other jurisdiction

of incorporation)

0-20050		36-3210283
(Commission File Number)		(IRS Employer Identification No.)
(CommissionFile Number)		(IRS Employer Identification No.)
606 South Main Street
606 South Main Street Princeton, Illinois		61356
Princeton, Illinois		61356
(Address of Principal Executive Offices)		(Zip Code)
(Address of Principal Mr. Ogaard Offices)		(Zip Code)

Registrant’s telephone number, including area code (815) 875-4444

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~~Item 81.0103 ~~OTHER~~BANKRUPTCY ~~EVENTS.~~OR RECEIVERSHIP

On ~~August~~November 222, 2012, the Office of the Comptroller of the Currency closed Citizens First National Bank (the “Bank”) , ~~the~~which is a wholly- owned banking subsidiary of Princeton National Bancorp, Inc. (the “Company”), ~~received~~and ~~a notification from~~ the ~~Office of the Comptroller of the Currency~~ ~~(“OCC”) confirming that the Bank became “critically undercapitalized” within the meaning of the Prompt Corrective Action (“PCA”) provisions of the~~ Federal Deposit Insurance ~~Act~~Corporation ~~and the regulations of the OCC as of August 20, 2012, the date the Bank filed its amended Report of Condition and Income Report for the quarter ended June 30, 2012~~ (“~~Call Report~~FDIC”). Inwas ~~the~~named ~~Call Report, the Bank reported that its tangible equity to total assets ratio~~ as of the ~~end~~receiver of the ~~quarter was 1~~Bank.~~92%.~~ The ~~Bank~~Company’s ~~capital~~principal ~~category~~asset is ~~determined solely for~~ the ~~purposes~~capital ofstock ~~applying~~it ~~PCA~~owns ~~and~~in the ~~capital~~Bank. ~~category~~As ~~may~~a ~~not~~result ~~constitute~~of anthe ~~accurate~~closure ~~representation~~ of the Bank’s, ~~overall~~the ~~financial~~Company ~~condition~~has ~~or prospects.~~no remaining assets.

As athe ~~result~~direct owner of itall ~~being~~of ~~“critically undercapitalized” for PCA purposes,~~ the ~~Bank remains obligated to submit a~~ capital ~~restoration~~stock ~~plan~~of ~~acceptable to~~ the ~~OCC~~Bank, ~~which plan must be guaranteed by~~ the Company. Inwould ~~addition~~be toentitled ~~other restrictions and prohibitions applicable~~ to ~~depository institutions that are “critically undercapitalized,”~~ the ~~Bank~~ isnet ~~prohibited~~recoveries, ~~without~~if ~~the prior written approval of the Federal Deposit Insurance Corporation (the “FDIC”)~~any, following ~~from (1) entering into any material transaction other than in~~ the ~~usual~~liquidation ~~course~~or ~~of business, including any investment, expansion, acquisition,~~ sale of ~~assets, or other similar action with respect to which~~ the Bank isor ~~required~~its toassets ~~provide~~by ~~notice to~~ the ~~OCC; (2) extending any credit for any highly leveraged transactions as defined in 12 C~~FDIC.~~F.R.~~ ~~§ 325.2(i); (3) amending the Bank’s charter or bylaws~~However, ~~except to~~ the ~~extent~~Company ~~necessary~~does tonot ~~carry~~believe ~~out~~that any ~~other~~recovery ~~requirement~~will ofbe ~~law,~~realized. ~~regulation~~Accordingly, ~~or order; (4) making any material change in accounting methods; (5) engaging in any covered transaction as defined in Section 23A(b) of~~ the ~~Federal Reserve Act (12 U.S.C. § 371c(b)); (6) paying excessive compensation or bonuses; and (7) paying interest on new or renewed liabilities at a rate that would increase the Bank~~Company’s ~~weighted~~common ~~average~~stock ~~cost~~is oflikely ~~funds~~ to abe ~~level significantly exceeding the prevailing rates~~ of ~~interest~~no ~~on insured deposits in the Bank’s normal market areas~~value. ~~The Bank also remains subject to regulatory restrictions prohibiting the acceptance, renewal or rolling over of brokered deposits.~~

The PCA framework generally requires that depository institutions that are “critically undercapitalized” be placed into conservatorship or receivership within 90 days of the date on which it was determined that the institution was “critically undercapitalized,” unless the depository institution can raise sufficient capital, merge with another financial institution or the OCC and the FDIC determine and document that “other action” would better achieve the purposes of the PCA capital requirements. The Company and the Bank are diligently working to evaluate and pursue strategic alternatives. There can be no assurance that the Company or the Bank will be successful in obtaining outside additional capital or merging with or being acquired by another company within any regulatory imposed time frame.

As a member of the FDIC, the deposits at the Bank continue to be insured by the FDIC up to the legal maximum insurance limit – currently $250,000 per depositor, per deposit category. The Bank’s staff can help depositors with any questions abut the mechanics of FDIC deposit insurance.

SIGNATURES

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.


PRINCETON NATIONAL BANCORP, INC.
(Registrant)

By:		/s/ Thomas D. Ogaard
		Thomas D. Ogaard, President and
		Chief Executive Officer

Dated: ~~August~~November 242, 2012

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