Note 11 - Borrowings

12 Months Ended

Dec. 31, 2018

Notes to Financial Statements

Debt Disclosure [Text Block]

Note

1

1

.

Borrowings

The following table presents the components of borrowings as of the dates indicated:

	December 31,
	2018					2017
(Amounts in thousands)	Balance		Weighted Average Rate			Balance		Weighted Average Rate
Short-term borrowings
Retail repurchase agreements	$	4,370		0.12	%	$	5,086		0.07	%
Long-term borrowings
Wholesale repurchase agreements		25,000		3.18	%		25,000		3.18	%
FHLB advances		-					50,000		4.00	%
Total borrowings	$	29,370				$	80,086

Repurchase agreements are secured by certain securities that remain under the Company’s control during the terms of the agreements. The counterparties

may

redeem callable repurchase agreements, which could substantially shorten the borrowings’ lives. The prepayment or early termination of a repurchase agreement

may

result in substantial penalties based on market conditions. The following schedule presents the contractual maturities of repurchase agreements, by type of collateral pledged, as of

December 31, 2018:

	Overnight and Continuous		Up to 30 Days		30 - 90 Days		Greater than 90 Days		Total
(Amounts in thousands)
U.S. Agency securities	$	-	$	-	$	-	$	14,322	$	14,322
Municipal securities		3,047		-		-		833		3,880
Mortgage-backed Agency securities		1,323		-		-		9,845		11,168
Total	$	4,370	$	-	$	-	$	25,000	$	29,370

As of

December 31, 2018,

long-term borrowings consisted of a wholesale repurchase agreement that matures in

2019

with a weighted average maturity of

0.15

years. During the

third

quarter of

2018,

the Company prepaid its remaining

$50

million FHLB convertible advance and incurred a loss on the extinguishment of the debt of

$1.10

million. The prepayment was funded with cash and cash equivalents on hand, as well as the sale of the Company’s remaining single issue trust preferred investment securities.

As of

December 31, 2018,

unused borrowing capacity with the FHLB totaled

$402.74

million, net of FHLB letters of credit of

$144.38

million, The Company pledged

$874.17

million in qualifying loans to secure the FHLB letters of credit, which provide an attractive alternative to pledging securities for public unit deposits.

The Company maintains a

$15.00

million unsecured, committed line of credit with an unrelated financial institution with an interest rate of

one

-month LIBOR plus

2.00%

that matures in

April 2019.

There was

no

outstanding balance on the line as of

December 31, 2018

or

2017.