BORROWED FUNDS

The following is a summary of borrowed funds by type, at or for the twelve months ended:



(Dollars in thousands)	Balance at End of Period		Weighted Average Interest Rate		Maximum Outstanding at Month End During the Period		Average Amount Outstanding During the Year		Weighted Average Interest Rate During the Year
December 31, 2017
FHLB advances	$	710,001	1.51	%	$	924,518	$	716,962	1.15	%
Federal funds purchased and securities sold under agreements to repurchase	28,000		1.54		135,000		87,438		1.11
Trust preferred borrowings	67,011		3.25		67,011		67,011		2.89
Senior debt	98,171		5.12		155,000		134,136		4.38
Other borrowed funds	34,623		0.09		97,984		43,514		0.09
December 31, 2016
FHLB advances	$	854,236	0.78	%	$	886,767	$	735,975	0.67	%
Federal funds purchased and securities sold under agreements to repurchase	130,000		0.79		130,000		112,150		0.54
Trust preferred borrowings	67,011		2.66		67,011		67,011		2.42
Senior debt	155,000		5.12		155,000		110,191		3.82
Other borrowed funds	64,150		0.09		64,150		21,335		0.09

Federal Home Loan Bank Advances

Advances from the FHLB with rates ranging from 0.94% to 1.73% at December 31, 2017 are due as follows:



(Dollars in thousands)	Amount		Weighted Average Rate
2018	$	681,536	1.51	%
2019	3,000		1.51
2020	25,465		1.62
	$	710,001	1.51	%

Pursuant to collateral agreements with the FHLB, advances are secured by qualifying loan collateral, qualifying fixed-income securities, FHLB stock and an interest-bearing demand deposit account with the FHLB.

As a member of the FHLB, we are required to purchase and hold shares of capital stock in the FHLB in an amount at least equal to 0.10% of our member asset value plus 4.00% of advances outstanding. We were in compliance with this requirement with a stock investment in FHLB of $31.3 million at December 31, 2017 and $38.2 million at December 31, 2016. This stock is carried on the accompanying Consolidated Statements of Financial Condition at cost, which approximates liquidation value.

The decrease in FHLB stock was due to the decrease in FHLB advances outstanding. We received dividends on our stock investment in FHLB of $1.6 million for the years ended December 31, 2017 and 2016, respectively. For additional information regarding FHLB Stock, see Note 17.

Federal Funds Purchased and Securities Sold Under Agreements to Repurchase

During 2017 and 2016, we purchased federal funds as a short-term funding source. At December 31, 2017, we had purchased $28.0 million in federal funds at an average rate of 1.54%. At December 31, 2016, we had purchased $130.0 million in federal funds at an average rate of 0.79%.

We had no securities sold under agreements to repurchase at December 31, 2017 and December 31, 2016.

Trust Preferred Borrowings

In 2005, we issued $67.0 million of aggregate principal amount of Pooled Floating Rate Securities at a variable interest rate of 177 basis points over the three-month LIBOR rate. These securities are callable and have a maturity date of June 1, 2035.

Senior Debt

On September 1, 2017, we redeemed $55.0 million in aggregate principal amount of 6.25% senior notes due 2019 which were issued in 2012 (the 2012 senior notes). The 2012 senior debt were repaid using a portion of the proceeds from our 2016 issuance of senior unsecured fixed-to-floating rate notes (the 2016 senior notes) described below. We recorded noninterest expense of $0.7 million due to the write-off of unamortized debt issuance costs in connection with this redemption.

On June 13, 2016, the Company issued $100 million of the 2016 senior notes. The 2016 senior notes mature on June 15, 2026 and have a fixed coupon rate of 4.50% from issuance to but excluding June 15, 2021 and a variable coupon rate of three month LIBOR plus 3.30% from June 15, 2021 until maturity. The 2016 senior notes may be redeemed beginning on June 15, 2021 at 100% of principal plus accrued and unpaid interest. The proceeds will be used for general corporate purposes.

Other Borrowed Funds

Included in other borrowed funds are collateralized borrowings of $34.6 million and $64.1 million at December 31, 2017 and 2016, respectively, consisting of outstanding retail repurchase agreements, contractual arrangements under which portions of certain securities are sold overnight to retail customers under agreements to repurchase. Such borrowings were collateralized by mortgage-backed securities. The average rates on these borrowings were 0.09% at both December 31, 2017 and 2016.

Borrower in Custody

The Bank had $222.8 million and $275.1 million of loans pledged to the Federal Reserve of Philadelphia (FRB) at December 31, 2017 and December 31, 2016, respectively. The Bank did not borrow funds from the FRB during 2017 or 2016.