Debt

3 Months Ended

Mar. 31, 2026

Maturities of Long-Term Debt [Abstract]

Debt

Debt

Short-term FHLB and Correspondent Bank Borrowings

Total short-term borrowings were $31.5 million and $20.8 million as of March 31, 2026 and December 31, 2025, respectively. Short-term borrowings generally consist of federal funds purchased and advances from the FHLB with an original maturity of less than one year. Federal funds purchased from correspondent banks mature in one business day and are repriced daily based on the federal funds rate. Advances from the FHLB are collateralized by the Bank’s investment in FHLB common stock and by a blanket lien on selected loan receivables comprised principally of real estate secured loans. As of March 31, 2026, the amount of loans pledged totaled $2.7 billion. As of March 31, 2026, the Bank's unused short-term borrowing capacity with the FHLB totaled $1.5 billion (equal to $1.9 billion of maximum borrowing capacity, less the aggregate amount of FHLB letters of credit securing public funds deposits, and other FHLB advances and obligations outstanding) upon satisfaction of any stock purchase requirements of the FHLB.

The Bank also maintained unused overnight lines of credit with other correspondent banks totaling $35.0 million as of March 31, 2026. No draws have been made on these lines of credit as of March 31, 2026 and December 31, 2025, respectively.

Long-term Debt

The following table presents a summary of long-term debt as of March 31, 2026 and December 31, 2025:

(Dollars in thousands)	March 31, 2026		December 31, 2025
FHLB fixed rate instruments:
Due February 2026, 4.51%	$	—	$	20,000
Due August 2026, 4.80%	133		212
Due February 2027, 6.71%	8		10
Total FHLB fixed rate instruments	141		20,222
Finance lease obligations included in long-term debt	2,880		2,917
Total long-term debt	$	3,021	$	23,139

As a member of the FHLB, the Bank can access a number of credit products which are utilized to provide liquidity. As of March 31, 2026 and December 31, 2025, the Bank had long-term debt outstanding in the amount of $3.0 million and $23.1 million, respectively, consisting of FHLB fixed rate instruments, and a finance lease liability.

The FHLB fixed rate instruments are secured under the terms of a blanket collateral agreement with the FHLB consisting of FHLB stock and qualifying Mid Penn loan receivables, principally real estate secured loans. Mid Penn also obtains letters of credit from the FHLB to secure certain public fund deposits of municipalities and school district customers, which are used as a legally allowable alternative to investment in securities. These FHLB letter of credit commitments totaled $406.5 million and $162.5 million as of March 31, 2026 and December 31, 2025, respectively.