SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE

3 Months Ended

Mar. 31, 2016

SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE

SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE

NOTE 5 – SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE

Securities sold under agreements to repurchase are shown below.

	March 31, 2016
	Remaining Contractual Maturity of the Agreements
	Overnight and Continuous		Up to  30 days		30 - 90  days		Greater than 90  days		Total
Repurchase agreements and repurchase-to-maturity transactions	$	19,181,030	$	-	$	-	$	-	$	19,181,030
Gross amount of recognized liabilities for repurchase agreements in Consolidated Balance Sheet									$	19,181,030

	December 31, 2015
	Remaining Contractual Maturity of the Agreements
	Overnight and Continuous		Up to  30 days		30 - 90  days		Greater than 90 days		Total
Repurchase agreements and repurchase-to-maturity transactions	$	19,732,766	$	-	$	-	$	-	$	19,732,766
Gross amount of recognized liabilities for repurchase agreements in Consolidated Balance Sheet									$	19,732,766

Securities sold under agreements to repurchase were secured by securities with an approximate carrying amount of $40,588,000 and $26,458,000 at March 31, 2016 and December 31, 2015, respectively. The carrying amount at March 31, 2016 was comprised of $14,793,000 in securities issued by U.S. government agencies, $11,684,000 in state and municipal securities, and $14,111,000 in mortgage-backed securities. The carrying amount at December 31, 2015 was comprised of $13,962,000 in securities issued by U.S. government agencies, $8,419,000 in state and municipal securities, and $4,077,000 in mortgage-backed securities. Also included in total borrowings at March 31, 2016 and December 31, 2015 were FHLB advances of $15,997,000 and $15,996,000, respectively.

Given that the value of the securities that are pledged fluctuate due to market conditions, the Company has no control over the market value. If the market value of the securities pledged falls below the repurchase price, the Company is obligated to promptly transfer additional securities, per the terms of the agreements to repurchase.