Other Borrowings and Notes Payable

12 Months Ended

Dec. 31, 2019

Debt Disclosure [Abstract]

Other Borrowings and Notes Payable

OTHER BORROWINGS AND NOTES PAYABLE

Securities Sold Under Agreement to Repurchase

The Company enters into sales of securities under agreements to repurchase. The agreements are transacted with deposit customers and are utilized as an overnight investment product. The amounts received under these agreements represent short-term borrowings and are reflected as a liability in the consolidated balance sheets. The securities underlying these agreements are included in investment securities in the Consolidated Balance Sheets. The Company has no control over the market value of the securities, which fluctuates due to market conditions. However, the Company is obligated to promptly transfer additional securities if the market value of the securities falls below the repurchase agreement price. The Company manages this risk by maintaining an unpledged securities portfolio that it believes is sufficient to cover a decline in the market value of the securities sold under agreements to repurchase.

A summary of securities sold under agreements to repurchase is as follows:

	December 31,
($ in thousands)	2019			2018
Securities sold under agreement to repurchase	$	230,886		$	221,450
Average balance during the year	169,179			170,963
Maximum balance outstanding at any month-end	230,886			231,450
Average interest rate during the year	0.69		%	0.41		%
Average interest rate at December 31	0.91			0.49

Federal Reserve Line

The Bank also has a line with the Federal Reserve Bank of St. Louis which provides additional liquidity to the Company. As of December 31, 2019, $1.1 billion was available under this line. This line is secured by a pledge of certain eligible loans aggregating $1.3 billion. There were no amounts drawn on the Federal Reserve line of credit as of December 31, 2019.

Revolving Credit Line

In February 2016, the Company entered into a senior unsecured revolving credit agreement (the “Revolving Agreement”) with another bank. The Revolving Agreement was amended in February 2020, with a one-year maturity, allowing for borrowings up to $25 million. The interest rate is the one-month LIBOR plus 125 basis points. The proceeds can be used for general corporate purposes. The Revolving Agreement is subject to ongoing compliance with a number of customary affirmative and negative covenants as well as specified financial covenants. 

A summary of the amounts drawn on the Revolving Agreement is as follows:

	December 31,
($ in thousands)	2019			2018
Outstanding balance	$	—		$	2,000
Average balance during the year	323			22
Maximum balance outstanding at any month-end	2,000			2,000
Weighted average interest rate during the year	4.61		%	4.63		%
Average interest rate at December 31	—			4.63

Term Loan

In February 2019, the Company entered into a five year, $40.0 million unsecured term loan agreement (the “Term Loan”) with another bank with the proceeds primarily used to fund the company’s cash portion of the acquisition of Trinity. The interest rate is the one-month LIBOR plus 125 basis points.

A summary of the Term Loan is as follows:

	December 31,
($ in thousands)	2019
Term Loan	$	34,286
Average balance during the year	30,810
Maximum balance outstanding at any month-end	40,000
Weighted average interest rate during the year	3.55		%
Average interest rate at December 31	3.00