LONG-TERM DEBT AND OTHER BORROWED FUNDS

A summary of long-term debt follows:



December 31,	2014		2013
Parent Company:
6.81% subordinated term loan maturing January 9, 2018, principal due at maturity, interest payable quarterly	$	20,000	$	20,000
Subsidiaries:
Variable rate subordinated term loan maturing February 28, 2018, principal due at maturity, interest payable quarterly (rate of 2.24% at December 31, 2014)	15,000		15,000
4.86% note payable to FHLB, maturing October 31, 2015	225		225
8.00% capital lease obligation with term ending October 25, 2029	1,643		1,692
6.24% note payable maturing September 2032, principal due at maturity, interest payable monthly	1,199		—
Total long-term debt	$	38,067	$	36,917



Maturities of long-term debt at December 31, 2014 are as follows:
2015	$	285
2016	65
2017	71
2018	35,077
2019	83
Thereafter	2,486
Total	$	38,067

On January 10, 2008, the Company borrowed $20,000 on a 6.81% unsecured subordinated term loan maturing January 9, 2018, with interest payable quarterly and principal due at maturity. The unsecured subordinated term loan qualifies as tier 2 capital under regulatory capital adequacy guidelines.

During February 2008, the Company borrowed $15,000 on a variable rate unsecured subordinated term loan maturing February 28, 2018, with interest payable quarterly and principal due at maturity. The Company may elect at various dates either prime or LIBOR plus 2.00%. The interest rate on the subordinated term loan was 2.24% as of December 31, 2014. The unsecured subordinated term loan qualifies as tier 2 capital under regulatory capital adequacy guidelines.

The note payable to FHLB is secured by a blanket assignment of the Company’s qualifying residential and commercial real estate loans. The Company has available lines of credit with the FHLB of approximately $701,768, subject to collateral availability. As of December 31, 2014 and 2013, FHLB advances of $225 were included in long-term debt. As of December 31, 2014 and 2013 there were no short-term advances outstanding with the FHLB.

The Company has a capital lease obligation on a banking office. The balance of the obligation was $1,643 and $1,692 as of December 31, 2014 and 2013, respectively. Assets acquired under capital lease, consisting solely of a building and leasehold improvements, are included in premises and equipment and are subject to depreciation.

In conjunction with the MWFC acquisition, the Company assumed a 6.24% fixed rate note payable maturing in September, 2032, with interest payable monthly and principal due at maturity. The balance of the obligation was $1,199 as of December 31, 2014.

The Company had other borrowed funds of $9 and $3 as of December 31, 2014 and 2013, respectively, consisting of demand notes issued to the United States Treasury, secured by investment securities and bearing no interest.

The Company has federal funds lines of credit with third parties amounting to $115,000, subject to funds availability. These lines are subject to cancellation without notice. The Company also has a line of credit with the Federal Reserve Bank for borrowings up to $364,205 secured by a blanket pledge of indirect consumer loans.