Note 9 - FHLB Advances

3 Months Ended

Mar. 31, 2020

Notes to Financial Statements

Federal Home Loan Bank Advances, Disclosure [Text Block]

(9) FHLB Advances

Bancorp had 52 separate advances totaling $69 millionoutstanding as of March 31, 2020 as compared with 57 separate advances totaling $80 million as of December 31, 2019. As a result of the 2019 acquisition, Bancorp assumed 46 advances totaling $43 million, with maturities ranging from 2019 to 2028. These advances were discounted to fair value as of the acquisition date. See the footnote titled “Acquisition” for further details. As of March 31, 2020, for 12 advances totaling $45 million, all of which are non-callable, interest payments are due monthly, with principal due at maturity. For the remaining advances, principal and interest payments are due monthly based on an amortization schedule.

The following is a summary of the contractual maturities and average effective rates of outstanding advances:

(dollars in thousands)	March 31, 2020					December 31, 2019
Maturity			Weighted average					Weighted average
Year	Advance		Fixed Rate			Advance		Fixed Rate
2020	$	44,584		1.37	%	$	50,004		1.99	%
2021		2,369		2.52			2,400		2.52
2022		—		—			—		—
2023		391		1.01			456		1.00
2024		1,529		2.36			2,023		2.36
2025		3,173		2.43			3,774		2.41
2026		5,719		1.95			8,156		1.96
2027		6,535		1.75			7,445		1.73
2028		4,891		2.33			5,695		2.32
Total	$	69,191		1.63	%	$	79,953		2.02	%

FHLB advances are collateralized by certain CRE and residential real estate mortgage loans under a blanket mortgage collateral pledge agreement and FHLB stock. Bancorp views these advances as an effective alternative to brokered deposits to fund loan growth. At March 31, 2020 and December 31, 2019, the amount of available credit from the FHLB totaled $616 million and $599 million. Bancorp also had $105 million in FFP lines available from correspondent banks at both March 31, 2020 and December 31, 2019.