Borrowings

Short-term Borrowings

The Corporation's short-term borrowings, which generally have an original term to maturity of 30 days or less, consisted of short-term FHLB advances outstanding of $300 million at June 30, 2016, $100 million at December 31, 2015 and $205 million at June 30, 2015, and federal funds purchased of $22 million at June 30, 2015. There were no federal funds purchased at June 30, 2016 and December 31, 2015.

Long-term Borrowings

A summary of the Corporation's long-term borrowings follows:



	June 30, 2016		December 31, 2015		June 30, 2015
	(In thousands)
Long-term borrowings:
Long-term FHLB advances	$	329,320	$	181,394	$	81,469
Securities sold under agreements to repurchase	17,277		17,453		23,649
Non-revolving line-of-credit	25,000		25,000		25,000
Subordinated debt obligations	—		18,544		18,372
Total long-term borrowings	$	371,597	$	242,391	$	148,490

During the second quarter of 2016, the Corporation borrowed $100 million of long-term FHLB advances which have a three-year term at a fixed-rate of 1.00%. During the first quarter of 2016, the Corporation borrowed $50 million of long-term FHLB advances which have a four-year term at a fixed-rate of 1.30%. The Corporation's long-term FHLB advances have a combined weighted-average interest rate of 1.27% as of June 30, 2016. The Corporation's FHLB advances, including both short-term and long-term, require monthly interest payments and are collateralized by eligible loans totaling $2.98 billion as of June 30, 2016. The scheduled reductions of long-term FHLB advances as of June 30, 2016 were as follows: 2016 - $5.1 million; 2017 - $47.1 million; 2018 - $67.1 million; 2019; - $100.0 million; and 2020 - $110.0 million.

Securities sold under agreements to repurchase are with an unaffiliated financial institution and are secured by available for-sale-securities. As of June 30, 2016, these agreements had scheduled maturities of $8.1 million in 2016 and $9.2 million in 2017.

The Corporation has a $25 million secured non-revolving line-of-credit with an unaffiliated third-party financial institution. The line-of-credit originally matured in May 2016 and was extended for a period of three months. The Corporation is fully drawn on the entire amount of the line-of-credit. This line-of-credit bears a variable rate of interest which is based on the one-, two- or three-month LIBOR, as periodically selected by the Corporation, plus a fixed stated rate (effective interest rate of 2.41% at June 30, 2016). The line-of-credit agreement contains certain restrictive covenants. The Corporation was in compliance with all of the covenants at June 30, 2016.

As a result of the Lake Michigan transaction on May 31, 2015, the Corporation acquired subordinated debt obligations in the amount of $18.6 million. The Corporation fully repaid these debt obligations during the first quarter of 2016.