Date of report (Date of earliest event reported) July 27, 2006

P.O. Box 400
Main Street, Bar Harbor, ME       04609-0400
(Address of Principal Executive Offices) (Zip Code)

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):

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

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

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

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

ITEM 1.01 ENTRY INTO A MATERIAL DEFINITIVE AGREEMENT

On July 27, 2006, Bar Harbor Bankshares (the "Company") entered into Change in Control, Confidentiality and Noncompetition Agreements with Chryl D. Curtis (aka Cheryl D. Curtis), Senior Vice President of Marketing.and Community Relations.

The identical Agreement to that provided to other similarly situated executives provide that (a) in the event that the employer terminates the executive's employment other than as a result of normal retirement, disability, death and other than for cause, or the executive terminates his or her employment for good reason; and (b) the executive's termination of employment occurs in anticipation of or within one year after a change in control of the Company, then the employer shall pay the executive a severance benefit equal to 12 months base salary in effect at the date of termination, payable in 12 monthly installment payments. The executive's termination of employment shall be deemed to be in anticipation of a change in control if it occurs within the twelve (12) month period prior to the occurrence of the change in control. The employer shall continue for a period of twelve consecutive months following the date of termination pay to the executive an amount equal to the employer’s contribution share of any medical, health, dental and life insurance benefits which the executive is eligible to receive on the date of termination. In the event of a change of control, all stock options granted but unexercised under the Company’s incentive stock option plan shall become 100% vested immediately prior to any such change in control. These grants will remain subject to all other terms and conditions in the stock option plan. The agreements also contain confidentiality and noncompetition covenants by the executive. This agreement is effective as of July 24, 2006.

                    Exhibits.

        99.1 Form of Change in Control, Confidentiality and Noncompetition Agreement.
        99.2 SIGNATURES