Note 12 - Borrowings

12 Months Ended

Dec. 31, 2024

Notes to Financial Statements

Debt Disclosure [Text Block]

NOTE 12 - BORROWINGS

Long-term debt at December 31 was as follows (in thousands):

	2024					2023
			Weighted Average					Weighted Average
	Amount		Interest Rate			Amount		Interest Rate
FHLB advances	$	145,000		4.62	%		100,969		4.87	%
Term loan		10,153		4.25	%		12,154		4.25	%
Total long-term debt	$	155,153		4.60	%		113,123		4.80	%

The term loan is with a correspondent financial institution and bears a fixed interest rate of 4.25%, amortizes quarterly, and has a final balloon payment due on June 15, 2025.

Contractual maturities of long-term debt at December 31 by year of maturity were as follows (dollars in thousands):

	2024		2023
Maturing within one year	$	10,153		4,988
Maturing one year through two years		25,000		13,135
Maturing two years through three years		35,000		25,000
Maturing three years through four years		45,000		25,000
Maturing four years through five years		30,000		25,000
Thereafter		10,000		20,000
Total	$	155,153		113,123

Short-term borrowings at December 31 were as follows (dollars in thousands):

	2024					2023
	Outstanding		Average			Outstanding		Average
	Balance		Rate			Balance		Rate
Revolving line of credit	$	—		—	%		—		—	%
Lines of credit		—		—	%		21,395		6.00	%
FHLB short-term advances		—		—	%		76,000		5.53	%
	$	—		—	%	$	97,395		5.63	%

At December 31, 2024 and 2023, LCNB Corp. had a short-term revolving line of credit arrangement with a financial institution for a maximum amount of $10 million at an interest rate equal to the Wall Street Journal Prime Rate minus 25 basis points. This agreement expires on June 15, 2025.

At December 31, 2024, the Company had short-term line of credit borrowing arrangements with three correspondent financial institutions.  Under the terms of the first arrangement, the Company can borrow up to $30 million at an interest rate equal to the lending institution’s federal funds rate plus a spread of 50 basis points. At December 31, 2024 and 2023, the outstanding balance of this arrangement totaled $0 and $21.4 million, respectively. Under the terms of the second arrangement, the Company can borrow up to $50 million at an interest rate equal to the FOMC rate plus a spread of 25 basis points. Under the terms of the third arrangement, the Company can borrow up to $25 million at the interest rate in effect at the time of the borrowing.

All long- and short-term advances from the FHLB of Cincinnati are secured by a blanket pledge of the Company’s 1-4 family first lien mortgage loans in the amount of approximately $410 million and $417 million at  December 31, 2024 and 2023, respectively.  Remaining borrowing capacity with the FHLB, including both long- and short-term borrowings, at  December 31, 2024 was approximately $115.4 million. LCNB could increase its remaining borrowing capacity by purchasing more stock in the FHLB.