Borrowings

3 Months Ended

Mar. 31, 2018

Note 16 – Borrowings

The following table presents the balances of assets sold under agreements to repurchase at March 31, 2018 and December 31, 2017.


(In thousands)	March 31, 2018		December 31, 2017
Assets sold under agreements to repurchase	$	380,061	$	390,921
Total assets sold under agreements to repurchase	$	380,061	$	390,921

The following table presents information related to the Corporation’s repurchase transactions accounted for as secured borrowings that are collateralized with debt securities available-for-sale, other assets held-for-trading purposes or which have been obtained under agreements to resell. It is the Corporation’s policy to maintain effective control over assets sold under agreements to repurchase; accordingly, such securities continue to be carried on the consolidated statements of financial condition.

Repurchase agreements accounted for as secured borrowings

		March 31, 2018		December 31, 2017
			Repurchase		Repurchase
(In thousands)			liability		liability
U.S. Treasury Securities
	Within 30 days	$	54,013	$	148,516
	After 30 to 90 days		53,921		87,357
	After 90 days		181,698		43,500
Total U.S. Treasury Securities			289,632		279,373
Obligations of U.S. government sponsored entities
	Within 30 days		62,098		30,656
	After 30 to 90 days		-		19,463
	After 90 days		-		15,937
Total obligations of U.S. government sponsored entities			62,098		66,056
Mortgage-backed securities
	Within 30 days		4,645		31,383
	After 90 days		13,085		-
Total mortgage-backed securities			17,730		31,383
Collateralized mortgage obligations
	Within 30 days		10,601		14,109
Total collateralized mortgage obligations			10,601		14,109
Total		$	380,061	$	390,921

Repurchase agreements in this portfolio are generally short-term, often overnight. As such our risk is very limited. We manage the liquidity risks arising from secured funding by sourcing funding globally from a diverse group of counterparties, providing a range of securities collateral and pursuing longer durations, when appropriate.

The following table presents information related to the Corporation’s other short-term borrowings for the periods ended March 31, 2018 and December 31, 2017.

(In thousands)	March 31, 2018		December 31, 2017
Advances with the FHLB paying interest at maturity with fixed rates ranging from 1.63% to 2.02%	$	185,000	$	95,000
Others		1,200		1,208
Total other short-term borrowings	$	186,200	$	96,208
Note: Refer to the Corporation's 2017 Form 10-K for rates information at December 31, 2017.

The following table presents the composition of notes payable at March 31, 2018 and December 31, 2017.

(In thousands)		March 31, 2018		December 31, 2017

Advances with the FHLB with maturities ranging from 2018 through 2029 paying interest at
	monthly fixed rates ranging from 0.84% to 4.19 %	$	599,954	$	572,307
Advances with the FHLB with maturities ranging from 2018 through 2019 paying interest monthly
	at a floating rate ranging from 0.22% to 0.34% over the 1 month LIBOR		34,164		34,164
Advances with the FHLB with maturities ranging from 2018 through 2019 paying interest quarterly
	at a floating rate from 0.09% to 0.24% over the 3 month LIBOR		25,019		25,019
Unsecured senior debt securities maturing on 2019 paying interest semiannually at a
	fixed rate of 7.00%, net of debt issuance costs of $2,606		447,394		446,873
Junior subordinated deferrable interest debentures (related to trust preferred securities)
	with maturities ranging from 2027 to 2034 with fixed interest rates ranging from
	6.125% to 8.327%, net of debt issuance costs of $443		439,357		439,351
Others			18,316		18,642
Total notes payable		$	1,564,204	$	1,536,356

Note: Refer to the Corporation’s 2017 Form 10-K for rates information at December 31, 2017.

A breakdown of borrowings by contractual maturities at March 31, 2018 is included in the table below.

	Assets sold under			Short-term
(In thousands)	agreements to repurchase			borrowings	Notes payable		Total
2018	$	380,061	$	186,200	$	242,635	$	808,896
2019		-		-		649,382		649,382
2020		-		-		112,069		112,069
2021		-		-		21,840		21,840
2022		-		-		5,143		5,143
Later years		-		-		533,135		533,135
Total borrowings	$	380,061	$	186,200	$	1,564,204	$	2,130,465

At March 31, 2018 and December 31, 2017, the Corporation had FHLB borrowing facilities whereby the Corporation could borrow up to $3.8 billion and $3.9 billion, respectively, of which $844 million and $726 million, respectively, were used. In addition, at March 31, 2018 and December 31, 2017, the Corporation had placed $435 million and $260 million, respectively, of the available FHLB credit facility as collateral for a municipal letter of credit to secure deposits. The FHLB borrowing facilities are collateralized with loans held-in-portfolio, and do not have restrictive covenants or callable features.

Also, at March 31, 2018, the Corporation has a borrowing facility at the discount window of the Federal Reserve Bank of New York amounting to $1.1 billion (2017 - $1.1 billion), which remained unused at March 31, 2018 and December 31, 2017. The facility is a collateralized source of credit that is highly reliable even under difficult market conditions.