Borrowings and Borrowings Availability

12 Months Ended

Dec. 31, 2023

Debt Disclosure [Abstract]

Borrowings and Borrowings Availability

Borrowings and Borrowings Availability

The following tables presents information regarding the Company’s outstanding borrowings at December 31, 2023 (dollars are in thousands):

Description	Due Date	Call Feature	Balance at December 31, 2023		Interest Rate
FHLB Principal Reducing Credit	6/26/2028	None	$	203	0.25% fixed
FHLB Principal Reducing Credit	7/17/2028	None	31		0.00% fixed
FHLB Principal Reducing Credit	8/18/2028	None	151		1.00% fixed
FHLB Principal Reducing Credit	8/22/2028	None	151		1.00% fixed
FHLB Principal Reducing Credit	12/20/2028	None	315		0.50% fixed
FHLB Fixed Rate Credit	1/16/2024	None	80,000		5.59% fixed
FHLB Fixed Rate Credit	2/27/2024	None	100,000		5.61% fixed
FHLB Fixed Rate Credit	3/20/2024	None	100,000		5.61% fixed
FRB Bank Term Funding Program	12/20/2024	None	224,000		4.85% fixed
FRB Bank Term Funding Program	12/27/2024	None	25,000		4.83% fixed
Trust Preferred Securities	1/23/2034	Quarterly by Company beginning 1/23/2009	10,310		8.30% at 12/31/23 adjustable rate 3 month CME Term SOFR + 2.91%
Trust Preferred Securities	1/23/2034	Quarterly by Company beginning 1/23/2009	10,310		8.40% at 12/31/23 adjustable rate 3 month CME Term SOFR + 3.01%
Trust Preferred Securities	9/20/2034	Quarterly by Company beginning 9/20/2009	12,372		7.78% at 12/31/23 adjustable rate 3 month CME Term SOFR + 2.41%
Trust Preferred Securities	1/7/2035	Quarterly by Company beginning 1/7/2010	10,310		7.66% at 12/31/23 adjustable rate 3 month CME Term SOFR +2.00%
Trust Preferred Securities	6/15/2036	Quarterly by Company beginning 6/15/2011	25,774		7.04% at 12/31/23 adjustable rate 3 month CME Term SOFR + 1.65%
Trust Preferred Securities	6/23/2036	Quarterly by Company beginning 6/23/2011	8,248		7.47% at 12/31/23 adjustable rate 3 month CME Term SOFR + 2.11%
Subordinated Debentures	11/30/2028	Continuous by Company beginning 11/30/2023	10,000		9.09% at 12/31/23 adjustable rate 3 month CME Term SOFR + 3.69%
Subordinated Debentures	11/15/2030	Continuous by Company beginning 11/15/2025	18,000		4.38% fixed
Total borrowings / weighted average rate as of December 31, 2023			635,175		5.57%
Unamortized discount on acquired borrowings			(5,017)
Total borrowings			$	630,158

The following table presents information regarding the Company’s outstanding borrowings at December 31, 2022 (dollars are in thousands):

Description	Due date	Call Feature	Balance at December 31, 2022		Interest Rate
FHLB Principal Reducing Credit	7/24/2023	None	$	32	1.00% fixed
FHLB Principal Reducing Credit	12/22/2023	None	912		1.25% fixed
FHLB Principal Reducing Credit	6/26/2028	None	214		0.25% fixed
FHLB Principal Reducing Credit	7/17/2028	None	38		0.00% fixed
FHLB Principal Reducing Credit	8/18/2028	None	158		1.00% fixed
FHLB Principal Reducing Credit	8/22/2028	None	159		1.00% fixed
FHLB Principal Reducing Credit	12/20/2028	None	329		0.50% fixed
FHLB Fixed Rate Credit	1/9/2023	None	50,000		4.15% fixed
FHLB Fixed Rate Credit	2/1/2023	None	80,000		4.25% fixed
FHLB Fixed Rate Credit	2/9/2023	None	50,000		4.35% fixed
FHLB Daily Rate Credit	8/23/2023	None	40,000		4.57% fixed
Trust Preferred Securities	1/23/2034	Quarterly by Company beginning 1/23/2009	10,310		7.06% at 12/31/22 adjustable rate 3 month LIBOR +2.65%
Trust Preferred Securities	1/23/2034	Quarterly by Company beginning 1/23/2009	10,310		7.16% at 12/31/22 adjustable rate 3 month LIBOR +2.75%
Trust Preferred Securities	9/20/2034	Quarterly by Company beginning 9/20/2009	12,372		6.90% at 12/31/22 adjustable rate 3 month LIBOR + 2.15%
Trust Preferred Securities	1/7/2035	Quarterly by Company beginning 1/7/2010	10,310		6.08% at 12/31/22 adjustable rate 3 month LIBOR + 2.00%
Trust Preferred Securities	6/15/2036	Quarterly by Company beginning 6/15/2011	25,774		6.16% at 12/31/22 adjustable rate 3 month LIBOR + 1.39%
Total borrowings / weighted average rate as of December 31, 2022			290,918		4.82%
Unamortized discount on acquired borrowings			(3,411)
Total borrowings			$	287,507

All outstanding FHLB and FRB borrowings may be accelerated immediately by the FHLB and FRB, respectively, in certain circumstances, including material adverse changes in the condition of the Company or if the Company’s qualifying collateral amounts to less than that required under the terms of the borrowing agreement.

In the above tables, at December 31, 2023, short-term borrowings (original maturity terms of less than twelve months) totaled $529.0 million and had a weighted average interest rate of 5.25%. At December 31, 2022, short-term borrowings totaled $220.9 million and had a weighted average interest rate of 4.30% .

Trust Preferred Securities in the above tables are borrowings structured as trust preferred capital securities which were issued by various unconsolidated subsidiaries of the Company as discussed in Note 1. These unsecured debt securities qualify as Tier I capital for capital adequacy requirements.

The Subordinated Debentures in the tables above are borrowings issued by GrandSouth and acquired by the Company on January 1, 2023. These unsecured debt securities qualify as Tier II capital for capital adequacy requirements.

At December 31, 2023, the Company had several sources of readily available borrowing capacity:

•A $1.3 billion line of credit with the FHLB that can be structured as either short-term or long-term borrowings, depending on the particular funding or liquidity needs. As of December 31, 2023, the line of credit is secured by a blanket lien on portions of the Company's real estate loan portfolio totaling approximately $2.3 billion and the Company's FHLB stock totaling $21.7 million. $280.9 million was outstanding on the line of credit at December 31, 2023 and $221.8 million was outstanding at December 31, 2022;

•A total of $265.0 million federal funds lines of credit with correspondent banks which allow the Company to purchase federal funds on an overnight, unsecured basis. None was outstanding at December 31, 2023 or 2022;

•A $294.1 million line of credit through the Federal Reserve's Bank Term Funding Program, secured by specific investment securities, with $249.0 million outstanding at December 31, 2023; and

•An approximately $561.6 million line of credit through the Federal Reserve's discount window borrowing program, which was secured at December 31, 2023 by a blanket lien on a portion of the Company’s commercial and consumer loan portfolios (excluding real estate collateral) totaling approximately$330.9 million and specific investment securities with a carrying value of $710.2 million. None was outstanding at December 31, 2023 or 2022, respectively.

At December 31, 2023, the contractual maturities of borrowings were as follows for the years ending:

($ in thousands)	FHLB Principal Reducing Credit		FHLB Fixed Rate Credit	FRB Bank Term Funding Program	Trust Preferred Securities	Subordinated Debentures	Total
2024	$	—	280,000	249,000	—	—	529,000
2025	—		—	—	—	—	—
2026	—		—	—	—	—	—
2027	—		—	—	—	—	—
2028	851		—	—	—	10,000	10,851
Thereafter	—		—	—	77,324	18,000	95,324
Total	$	851	280,000	249,000	77,324	28,000	635,175
Unamortized discount on acquired borrowings							(5,017)
Total borrowings							630,158