Exhibit 99.1

         Four Oaks Fincorp, Inc. Announces 10% Stock Dividend

    FOUR OAKS, N.C.--(BUSINESS WIRE)--Oct. 4, 2007--On October 3,
2007, the Board of Directors of Four Oaks Fincorp, Inc. (OTCBB: FOFN)
approved a 10% stock dividend of the Corporation's common stock.

    Currently, there are approximately 5.6 million shares of common
stock outstanding. Following the stock dividend, Four Oaks Fincorp,
Inc. will have approximately 6.2 million shares of common stock
outstanding. The dividend is payable November 9, 2007 to shareholders
of record on October 30, 2007.

    Four Oaks Fincorp, Inc. is a bank holding company for Four Oaks
Bank which operates thirteen banking offices in Four Oaks, Clayton,
Smithfield, Garner, Benson, Fuquay-Varina, Wallace, Holly Springs,
Harrells, Sanford, and Zebulon North Carolina and one loan production
office located in Dunn, North Carolina.

    Four Oaks Fincorp, Inc. trades through our market makers under the
symbol of FOFN.

    Information in this press release contains "forward-looking
statements." These statements involve risks and uncertainties that
could cause actual results to differ materially including without
limitation, the effects of future economic conditions, governmental
fiscal and monetary policies, legislative and regulatory changes, the
risks and changes in interest rates on the level and composition of
deposits, the effects of competition from other financial
institutions, the failure of assumptions underlying the establishment
of the allowance for possible loan losses and the low trading volume
of our common stock.

    CONTACT: Four Oaks Fincorp, Inc.
             Ayden R. Lee, Jr., Chairman, President and Chief
             Executive Officer
             or
             Nancy S. Wise, Executive Vice President and Chief
             Financial Officer
             919-963-2177