Exhibit 99.1

FOR IMMEDIATE RELEASE

For More Information:

Ronald L. Thigpen

President and COO

Southeastern Bank Financial Corp.

706-481-1014

Southeastern Bank Financial Corp. Reports Record Earnings

for the Fourth Quarter and Year-end 2015

AUGUSTA, Ga., January 29, 2016 – Southeastern Bank Financial Corp. (OTCQB:SBFC), the holding company for Georgia Bank & Trust Company of Augusta (GB&T), today reported record quarterly net income of $4.6 million for the three months ended December 31, 2015, or $0.69 in diluted earnings per share, compared to $4.4 million, or $0.66 in diluted earnings per share, in the fourth quarter of 2014. Net income for the full year 2015 totaled $19.4 million or $2.89 per diluted share, compared to net income of $16.6 million, or $2.49 per diluted share for 2014, an increase in income of 16.6 percent.

“We are pleased to report a quarterly increase in earnings over the year ago period and another consecutive year of record earnings.” said Ronald L. Thigpen, President and Chief Operating Officer. “The Company surpassed $1.8 billion in total assets while continuing to improve net interest income in a historically low interest rate environment.”

Total assets at December 31, 2015, were $1.8 billion, an increase of $107.6 million from December 31, 2014. Total loans outstanding at the end of the fourth quarter were $1.0 billion, an increase of $42.8 million from December 31, 2014. Total deposits were $1.5 billion at December 31, 2015, an increase of $65.2 million from December 31, 2014. Cash and cash equivalents totaled $42.9 million at the end of the fourth quarter of 2015.

Net interest income for the fourth quarter of 2015 totaled $13.7 million, an increase of $302 thousand from the same period in 2014. Noninterest income for the fourth quarter totaled $4.6 million, a decrease from $5.2 million for the same period a year ago, due primarily to lower mortgage origination volume and a net loss on investment securities recorded in the fourth quarter of 2015. Noninterest expense was $11.2 million in the fourth quarter of 2015, a $486 thousand decrease from a year ago resulting primarily from lower salary and benefit expenses.

The net interest margin was 3.14 percent for the quarter-ended December 31, 2015, a decrease from 3.18 percent for the third quarter of 2015, and 3.20 percent for the same period a year ago. Annualized return on average assets (ROA) was 0.99 percent for the fourth quarter of 2015, a slight increase from 0.98 percent from the same period a year ago, and annualized return on average shareholder's equity (ROE) was 10.84 percent, compared to 11.46 percent from the fourth quarter of 2014, decreasing primarily as a result of increased capital levels.

Nonperforming assets at December 31, 2015, were 0.97 percent of total assets, compared to 0.77 percent at September 30, 2015, and 1.26 percent at December 31, 2014. Net charge-offs for the fourth quarter of 2015 totaled 0.48 percent of average loans on an annualized basis, compared to 0.56 percent annualized in the third quarter of 2015 and 0.74 percent annualized in the fourth quarter of 2014. The Company held $360 thousand in OREO at December 31, 2015, compared to $1.1 million at December 31, 2014.

The Company's loan-loss provision expense was $383 thousand in the fourth quarter of 2015, an increase from $132 thousand in the third quarter of 2015, and a 30.1 percent decrease from $548 thousand in the fourth quarter a year ago. The allowance for loan losses at December 31, 2015, was $21.4 million, or 2.12 percent of loans outstanding, compared to $25.5 million, or 2.64 percent of loans outstanding, at December 31, 2014.

Net interest income for the twelve months ended December 31, 2015, was $54.3 million, a 4.2 percent increase from $52.1 million in the full year 2014. Noninterest income was $18.7 million for the twelve months ended December 31, 2015, a 1.8 percent decrease from $19.0 million in the same period of 2014, due primarily to losses on investment securities. Noninterest expense was $46.0 million for the full year 2015, compared to $43.5 million in the same period in 2014.

“The Company continues to focus on core loan and deposit growth and on increasing noninterest income by expanding its trust and retail investment operations” said Thigpen. “We are keeping with our consistent, long term approach to our business and look forward to another year meeting the needs of our customers and the communities we serve.”

About Southeastern Bank Financial Corp.

Southeastern Bank Financial Corp. is the $1.8 billion-asset bank holding company of Georgia Bank & Trust Company of Augusta (GB&T). GB&T is the largest locally owned and operated community bank in the Augusta metro market, with nine full-service Augusta-area offices, three full-service offices in Aiken County, S.C., operating as Southern Bank & Trust and one limited service Loan Production Office in Athens, Ga. The Company also has mortgage operations in Augusta and Savannah. The banks focus primarily on real estate, commercial and consumer loans to individuals, small to medium-sized businesses and professionals, and also provide wealth management and trust services. The Company's common stock is publicly traded under the symbol SBFC on OTCQB. Investors can find real-time quotes and market information for the Company on www.otcmarkets.com or by visiting the Company's Web site, www.georgiabankandtrust.com.

Safe Harbor Statement - Forward-Looking Statements

Statements made in this release by Southeastern Bank Financial Corporation (the “Company”) other than those concerning historical information, should be considered forward-looking and subject to various risks and uncertainties. Such forward-looking statements are made based upon management's belief as well as assumptions made by, and information currently available to, management pursuant to “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. The Company's actual results may differ materially from the results anticipated in forward-looking statements due to a variety of factors, including: unanticipated changes in the Bank's local economy and in the national economy; governmental monetary and fiscal policies; deposit levels, loan demand, loan collateral values and securities portfolio values; difficulties in interest rate risk management; difficulties in operating in a variety of geographic areas; the effects of competition in the banking business; changes in governmental regulation relating to the banking industry, including regulations relating to branching and acquisitions; failure of assumptions underlying the establishment of reserves for loan losses, including the value of collateral underlying delinquent loans; and other factors. The Company cautions that such factors are not exclusive. The Company does not undertake to update any forward-looking statement that may be made from time to time by, or on behalf of, the Company.

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SOUTHEASTERN BANK FINANCIAL CORPORATION

Consolidated Balance Sheets

December 31, 2015 and 2014

SOUTHEASTERN BANK FINANCIAL CORPORATION

Consolidated Statements of Comprehensive Income