Borrowings

12 Months Ended

Dec. 31, 2022

Debt Disclosure [Abstract]

Borrowings

9. Borrowings

The amounts and interest rates of short-term borrowings were as follows:

	Federal Funds Purchased and Repurchase Agreements			Other Short-term Borrowings			Total
	(Dollars in thousands)
At December 31, 2022
Amount outstanding	$	354,670		$	3,200,281		$	3,554,951
Weighted-average interest rate		1.01	%		4.59	%		4.24	%
For the year ended December 31, 2022
Highest amount at a month-end	$	633,684		$	3,200,283
Daily-average amount outstanding		368,326			567,654		$	935,980
Weighted-average interest rate		0.20	%		3.29	%		2.08	%
At December 31, 2021
Amount outstanding	$	47,046		$	—		$	47,046
Weighted-average interest rate		0.01	%		—			0.01	%
For the year ended December 31, 2021
Highest amount at a month-end	$	103,548		$	—
Daily-average amount outstanding		68,073			—		$	68,073
Weighted-average interest rate		0.01	%		—			0.01	%
At December 31, 2020
Amount outstanding	$	59,482		$	—		$	59,482
Weighted-average interest rate		0.01	%		—			0.01	%
For the year ended December 31, 2020
Highest amount at a month-end	$	82,893		$	—
Daily-average amount outstanding		61,551			—		$	61,551
Weighted-average interest rate		0.05	%		—			0.05	%

Short-term borrowings have a stated maturity of one year or less at the date the Company enters into the obligation. In general, federal funds and repurchase agreements mature on the next business day and other short-term borrowings are set to mature in February 2023.

At December 31, 2022, M&T Bank had lines of credit under formal agreements as follows:

	(In thousands)
Outstanding borrowings	$	3,205,807
Unused		34,250,872

At December 31, 2022, M&T Bank had borrowing facilities available with the FHLBs whereby M&T Bank could borrow up to approximately $23.1 billion. Additionally, M&T Bank had an available line of credit with the Federal Reserve Bank of New York totaling approximately $14.3 billion at December 31, 2022. M&T Bank is required to pledge loans and investment securities as collateral for these borrowing facilities.

Long-term borrowings were as follows:

	December 31,
	2022		2021
	(In thousands)
Senior notes of M&T:
Variable rate due 2023	$	249,961	$	249,893
3.55% due 2023		493,960		516,173
4.55% fixed/variable due 2028		477,044		—
Senior notes of M&T Bank:
Variable rate due 2022		—		249,961
2.50% due 2022		—		653,903
5.40% due 2025		499,317		—
2.90% due 2025		749,824		749,740
Advances from FHLB:
Fixed rates		5,183		1,578
Subordinated notes of M&T:
5.75% due 2024		77,337		—
Subordinated notes of M&T Bank:
4.00% due 2024		403,569		—
3.40% due 2027		462,727		522,867
Junior subordinated debentures of M&T associated with    preferred capital securities:
Fixed rates:
BSB Capital Trust I — 8.125%, due 2028		15,798		15,775
Provident Trust I — 8.29%, due 2028		31,267		30,103
Southern Financial Statutory Trust I — 10.60%, due 2030		6,999		6,912
Variable rates:
First Maryland Capital I — due 2027		149,479		148,945
First Maryland Capital II — due 2027		151,932		151,270
Allfirst Asset Trust — due 2029		97,365		97,220
BSB Capital Trust III — due 2033		15,464		15,464
Provident Statutory Trust III — due 2033		59,132		57,547
Southern Financial Capital Trust III — due 2033		8,644		8,448
Other		9,535		9,570
	$	3,964,537	$	3,485,369

The variable rate senior notes of M&T pay interest quarterly at a rate that is indexed to the three-month LIBOR. The contractual interest rates for those notes were 5.00% at December 31, 2022 and .81% at December 31, 2021.

The variable rate senior notes of M&T Bank were repaid in 2022 and paid interest quarterly at a rate that was indexed to the three-month LIBOR. The contractual interest rate was .61% at December 31, 2021.

Long-term fixed rate advances from the FHLB had weighted-average contractual interest rates of 2.34% at December 31, 2022 and 5.82% at December 31, 2021. Advances from the FHLB outstanding at December 31, 2022 have maturity dates that range from 2023 to 2039 and are secured by residential real estate loans, commercial real estate loans and investment securities.

The fixed and variable rate junior subordinated deferrable interest debentures of M&T (“Junior Subordinated Debentures”) are held by various trusts and were issued in connection with the issuance by those trusts of preferred capital securities (“Capital Securities”) and common securities (“Common Securities”). The proceeds from the issuances of the Capital Securities and the Common Securities were used by the trusts to purchase the Junior Subordinated Debentures. The Common Securities of each of those trusts are wholly owned by M&T and are the only class of each trust’s securities possessing general voting powers. The Capital Securities represent preferred undivided interests in the assets of the corresponding trust. Under the Federal Reserve Board’s risk-based capital guidelines, the Capital Securities qualify for inclusion in Tier 2 regulatory capital. The variable rate Junior Subordinated Debentures pay interest quarterly at rates that are indexed to the three-month LIBOR or, upon the expected cessation of LIBOR after June 30, 2023, at rates that are indexed to the three-month Secured Overnight Financing Rate ("SOFR"). Those rates ranged from 5.08% to 7.69% at December 31, 2022 and from .98% to 3.47% at December 31, 2021. The weighted-average variable rates payable on those Junior Subordinated Debentures were 5.66% at December 31, 2022 and 1.53% at December 31, 2021.

Holders of the Capital Securities receive preferential cumulative cash distributions unless M&T exercises its right to extend the payment of interest on the Junior Subordinated Debentures as allowed by the terms of each such debenture, in which case payment of distributions on the respective Capital Securities will be deferred for comparable periods. During an extended interest period, M&T may not pay dividends or distributions on, or repurchase, redeem or acquire any shares of its capital stock. In general, the agreements governing the Capital Securities, in the aggregate, provide a full, irrevocable and unconditional guarantee by M&T of the payment of distributions on, the redemption of, and any liquidation distribution with respect to the Capital Securities. The obligations under such guarantee and the Capital Securities are subordinate and junior in right of payment to all senior indebtedness of M&T.

The Capital Securities will remain outstanding until the Junior Subordinated Debentures are repaid at maturity, are redeemed prior to maturity or are distributed in liquidation to the trusts. The Capital Securities are mandatorily redeemable in whole, but not in part, upon repayment at the stated maturity dates (ranging from 2027 to 2033) of the Junior Subordinated Debentures or the earlier redemption of the Junior Subordinated Debentures in whole upon the occurrence of one or more events set forth in the indentures relating to the Capital Securities, and in whole or in part at any time after an optional redemption prior to contractual maturity contemporaneously with the optional redemption of the related Junior Subordinated Debentures in whole or in part, subject to possible regulatory approval.

Long-term borrowings at December 31, 2022 mature as follows:

	(In thousands)
Year ending December 31:
2023	$	744,127
2024		490,411
2025		1,250,599
2026		628
2027		764,246
Later years		714,526
	$	3,964,537