LONG-TERM BORROWINGS

The following represents outstanding long-term borrowings with the FHLB by contractual maturities at December 31, 2015 and 2014:



(In Thousands)		Weighted Average Interest Rate				Stated Interest Rate Range
Description	Maturity	2015		2014		From		To		2015		2014
Variable	2015	—	%	3.97	%	3.97	%	3.97	%	$	—	$	10,000
Variable	2017	4.22	%	4.22	%	4.15	%	4.28	%	20,000		20,000
Variable	2018	3.18	%	3.18	%	3.18	%	3.18	%	10,000		10,000
Total Variable		3.87	%	3.90	%					30,000		40,000
Fixed	2015	—	%	6.92	%	6.92	%	6.92	%	—		750
Fixed	2016	0.75	%	0.75	%	0.75	%	0.75	%	5,000		5,000
Fixed	2017	0.91	%	0.91	%	0.90	%	0.97	%	25,000		25,000
Fixed	2018	1.13	%	—	%	1.13	%	1.13	%	2,000		—
Fixed	2019	1.55	%	—	%	1.54	%	1.55	%	7,292		—
Fixed	2020	1.70	%	—	%	1.62	%	1.79	%	18,333		—
Fixed	2022	2.04	%	—	%	2.04	%	2.04	%	3,000		—
Total Fixed		1.28	%	1.03	%					60,625		30,750
Total		2.14	%	2.65	%					$	90,625	$	70,750



(In Thousands) Year Ending December 31,	Amount		Weighted Average Rate
2016	5,000		0.75	%
2017	45,000		2.38	%
2018	12,000		2.84	%
2019	7,292		1.55	%
Thereafter	21,333		1.75	%
	$	90,625	2.14	%

The terms of the convertible borrowings allow the FHLB to convert the interest rate to an adjustable rate based on the three month London Interbank Offered Rate (“LIBOR”) at a predetermined anniversary date of the borrowing’s origination, ranging from three months to five years. If the FHLB converts the interest rate on one of the predetermined dates, the Bank has the ability to pay off the debt on the conversion date and quarterly thereafter without incurring the customary pre-payment penalty.

The Banks maintain a credit arrangement which includes a revolving line of credit with the FHLB. Under this credit arrangement, at December 31, 2015 JSSB has a remaining borrowing capacity of $236,434,000 and Luzerne has a remaining capacity of $145,476,000, which are subject to annual renewal and typically incur no service charges. Under terms of a blanket agreement, collateral for the FHLB borrowings must be secured by certain qualifying assets of each Bank which consist principally of first mortgage loans and mortgage-backed securities.

In December 2012, JSSB entered in to a capital lease on a piece of land in Lewisburg, Pennsylvania. The carrying amount of the land as of December 31, 2015 and 2014 was $827,000. The present value of minimum lease payments at December 31, 2015 and 2014 was $400,000 and $426,000. The following is a schedule showing the future minimum lease payments under the capital lease by years and the present value of the minimum lease payments as of December 31, 2015. The interest rate related to the lease obligation is 2.75% and the maturity date is October 2023.



(In Thousands)	Lease Payment		Interest		Present Value of Minimum Lease Payment
2016	$	38	$	11	$	27
2017	38		10		28
2018	38		9		29
2019	38		9		29
2020	38		8		30
Thereafter	276		19		257
	$	466	$	66	$	400