REPURCHASE AGREEMENTS AND OTHER BORROWINGS

12 Months Ended

Dec. 31, 2016

REPURCHASE AGREEMENTS.

REPURCHASE AGREEMENTS AND OTHER BORROWINGS

NOTE 9 - REPURCHASE AGREEMENTS AND OTHER BORROWINGS

Securities sold under agreements to repurchase are secured by U.S. Government securities and mortgage-backed securities with a total carrying amount of $29.4 million and $18.5 million at year-end 2016 and 2015.

Repurchase agreements range in maturities from 1 day to 41 months.  The securities underlying the agreements are maintained in a third-party custodian’s account under a written custodial agreement.  Information concerning repurchase agreements for 2016, 2015 and 2014 is summarized as follows (in thousands):

	2016			2015			2014
Average daily balance during the year	$	23,755		$	16,596		$	12,270
Average interest rate during the year		0.45	%		0.59	%		0.76	%
Maximum month-end balance during the year	$	27,214		$	19,874		$	13,788
Weighted average interest rate at year end		0.50	%		0.54	%		0.75	%

On July 20, 2015, the Company borrowed $5 million which had an outstanding balance of $4.1 million at December 31, 2016 and $4.8 million at December 31, 2015. The term loan has a fixed interest rate of 5.02%, requires quarterly principal and interest payments, matures July 20, 2025 and is collateralized by the Company’s stock. The maturity schedule for the term loan as of December 31, 2016 is as follows:

2017	$	383
2018		403
2019		423
2020		445
2021		467
Thereafter		1,969
	$	4,090

At December 31, 2015 the Company had a $5 million revolving promissory note with a maturity date of July 19, 2016.  Upon maturity, the Company renewed the revolving promissory note. The new note has similar terms as the original note and matures July 18, 2017. The Company had no outstanding balances related to this promissory note at December 31, 2016 or 2015.