Borrowings

A significant portion of the Company's short-term borrowings were comprised of securities sold under agreements to repurchase with overnight maturities:



	For the Year Ended December 31,
(In thousands)	2018			2017			2016
Maximum amount outstanding at any month end	$	341,213		$	216,094		$	236,099
Weighted average interest rate at end of year	1.14		%	0.71		%	0.31		%
Average amount outstanding	$	200,839		$	171,686		$	187,560
Weighted average interest rate during the year	0.90		%	0.46		%	0.26		%

Securities sold under agreements to repurchase are accounted for as secured borrowings. For securities sold under agreements to repurchase, the Company would be obligated to provide additional collateral in the event of a significant decline in fair value of collateral pledged. Company securities pledged were as follows by collateral type and maturity as of:



	December 31,
(In thousands)	2018		2017		2016
Fair value of pledged securities – overnight and continuous
Mortgage-backed securities and collateralized mortgage obligations of U.S. Government Sponsored Entities	$	246,829	$	216,094	$	204,202

Seacoast Bank had secured lines of credit of $1.8 billion at December 31, 2018, of which $380 million was outstanding from the Federal Home Loan Bank ("FHLB") at the end of 2018, with $317 million maturing within 30 days or less, and the remainder maturing by June 2019. The weighted average interest rate on the balance at end of year 2018 was 2.45% and during the year averaged 1.99% for all of 2018. The Company acquired FHLB advances of $77.0 million from First Green on October 19, 2018 which were repaid in November.

On April 7, 2016, Seacoast Bank incurred an early redemption cost of $1.8 million related to prepayment of $50.0 million of FHLB advances. The $50.0 million of FHLB borrowings was comprised of two advances of $25 million each borrowed on September 15, 2007 and November 27, 2007, respectively, and had fixed rates of 3.64% and 2.70%, respectively, payable quarterly.

The Company issued $20.6 million in junior subordinated debentures on March 31, 2005 and December 16, 2005, for an aggregate of $41.2 million. These debentures were issued in conjunction with the formation of a Delaware and Connecticut trust subsidiary, SBCF Capital Trust I, and SBCF Statutory Trust II ("Trusts I and II"), respectively, which each completed a private sale of $20.0 million of floating rate preferred securities. On June 29, 2007, the Company issued an additional $12.4 million in junior subordinated debentures which were issued in conjunction with the formation of a Delaware trust subsidiary, SBCF Statutory Trust III ("Trust III"), which completed a private sale of $12.0 million of floating rate trust preferred securities. The rates on the trust preferred securities are the 3-month LIBOR rate plus 175 basis points, the 3-month LIBOR rate plus 133 basis points, and the 3-month LIBOR rate plus 135 basis points, respectively. The rates as of December 31, 2018 are 4.55%, 4.12%, and 4.14%, respectively. The trust preferred securities have original maturities of thirty years, and may be redeemed without penalty, upon approval of the Federal Reserve or upon occurrence of certain events affecting their tax or regulatory capital treatment. Distributions on the trust preferred securities are payable quarterly in March, June, September, and December of each year. The Trusts also issued $619 million, $619 million and $372 million, respectively, of common equity securities to the Company. The proceeds of the offering of trust preferred securities and common equity securities were used by Trusts I and II to purchase the $41.2 million junior subordinated deferrable interest notes issued by the Company, and by Trust III to purchase the $12.4 million junior subordinated deferrable interest notes issued by the Company, all of which have terms substantially similar to the trust preferred securities.

As part of the October 1, 2014 The BANKshares Inc. (“BANKshares”) acquisition the Company acquired three junior subordinated debentures. Correspondingly, at December 31, 2018, the Company had $5.2 million and $4.1 million of floating rate junior subordinated deferrable interest debentures outstanding which are due December 26, 2032 and March 17, 2034, and callable by the Company, at its option, any time after December 26, 2007 and March 17, 2009. The rates on these trust preferred securities are the 3-month LIBOR rate plus 325 basis points and the 3-month LIBOR rate plus 279 basis points, respectively. The rates as of December 31, 2018 are 6.07% and 5.58%, respectively, per annum. At December 31, 2018, the Company also had $5.2 million outstanding of Junior Subordinated Debentures due February 23, 2036. The coupon rate floats quarterly at the 3-month LIBOR rate plus 139 basis points. The junior subordinated debenture is redeemable in certain circumstances. The interest rate was 4.04% at December 31, 2018. The above three junior subordinated debentures in accordance with ASC Topic 805 Business Combinations were recorded at their acquisition date fair values which collectively was $3.5 million lower than face value and will be amortized into interest expense over the remaining term to maturity.

As part of the July 17, 2015 Grand Bankshares, Inc. (“Grand”) acquisition the Company acquired one junior subordinated debenture. Correspondingly, at December 31, 2018 the Company has $7.2 million of floating rate junior subordinated deferrable interest debenture outstanding which is due December 30, 2034. The interest rate is the 3-month LIBOR rate plus 198 basis points. The rate, which adjusts every three months, is currently 4.38%, per annum. The junior subordinated debentures in accordance with ASC Topic 805 Business Combinations were recorded at the acquisition date fair values which was $2.1 million lower than face value and will be amortized into interest expense over the remaining term to maturity.

The Company has the right to defer payments of interest on the notes at any time or from time to time at the Company's election. Interest can be deferred for a period not longer than five years. If the Company elects to defer interest, it may not, with certain exceptions, declare or pay any dividends or distributions on its capital stock or purchase or acquire any of its capital stock. As of December 31, 2018, 2017 and 2016, all interest payments on trust preferred securities were current.

The Company has entered into agreements to guarantee the payments of distributions on the trust preferred securities and payments of redemption of the trust preferred securities. Under these agreements, the Company also agrees, on a subordinated basis, to pay expenses and liabilities of the Trusts other than those arising under the trust preferred securities. The obligations of the Company under the junior subordinated notes, the trust agreement establishing the Trusts, the guarantees and agreements as to expenses and liabilities, in aggregate, constitute a full and conditional guarantee by the Company of the Trusts' obligations under the trust preferred securities.