[CentOS] help - batch account creation

Hello guys

I have a new Centos 5.3 running, and I have a text file with a bunch
of accounts (more than 100) that I should create
.
File format is like this

user1 pasword1
user2 passwrd2
....

How can I do this task easier than creating user one by one by hand?
Need some help for building an script to achieve this task

Thanks
David