Borrowings

The following table summarizes our borrowings at the dates indicated.



	At December 31,
	2015					2014
(Dollars in Thousands)	Amount		Weighted Average Rate			Amount		Weighted Average Rate
Federal funds purchased	$	435,000		0.57	%	$	455,000		0.31	%
Reverse repurchase agreements	1,100,000			3.62		1,100,000			3.62
FHLB-NY advances	2,180,000			1.86		2,384,000			1.72
Other borrowings, net	249,222			5.00		248,691			5.00
Total borrowings, net	$	3,964,222		2.40	%	$	4,187,691		2.26	%

Through the Federal Reserve Bank of New York discount window we have the ability to borrow additional funds should the need arise on a short-term basis, primarily overnight. Our borrowing capacity through the discount window totaled approximately $506.2 million at December 31, 2015. In order to have the ability to borrow through the discount window, the Federal Reserve Bank of New York requires that collateral is pledged. In accordance with such requirements, at December 31, 2015, we had pledged as collateral with the Federal Reserve Bank of New York securities with an amortized cost of $150.8 million and commercial real estate mortgage loans with an unpaid principal balance of $899.9 million. We view the discount window as a secondary source of liquidity and, during 2015 and 2014, we did not utilize this source.

Federal Funds Purchased

The outstanding federal funds purchased at December 31, 2015 and 2014 were due overnight. During the year ended December 31, 2015, federal funds purchased averaged $481.9 million with a weighted average interest rate of 0.33% and the maximum amount outstanding at any month end was $660.0 million. During the year ended December 31, 2014, federal funds purchased averaged $377.1 million with a weighted average interest rate of 0.30% and the maximum outstanding at any month end was $455.0 million. During the year ended December 31, 2013, federal funds purchased averaged $209.4 million with a weighted average interest rate of 0.28% and the maximum outstanding at any month end was $335.0 million.

Reverse Repurchase Agreements

The outstanding reverse repurchase agreements at December 31, 2015 and 2014 were fixed rate, had original contractual maturities ranging from four to seven years and were collateralized by GSE securities, of which 83% were residential mortgage-backed securities and 17% were obligations of GSEs. Securities collateralizing these agreements had an amortized cost of $1.21 billion and an estimated fair value of $1.20 billion, including accrued interest, at December 31, 2015 and an amortized cost of $1.26 billion and an estimated fair value of $1.26 billion, including accrued interest, at December 31, 2014 and are classified as encumbered securities in the consolidated statements of financial condition. The amount of excess collateral required is governed by each individual contract. The primary risk associated with these secured borrowings is the requirement to pledge a market value based balance of collateral in excess of the borrowed amount. The excess collateral pledged represents an unsecured exposure to the lending counterparty. As the market value of the collateral changes, both through changes in discount rates and spreads as well as related cash flows, additional collateral may need to be pledged. In accordance with our policies, criteria for eligible counterparties has been established and excess collateral pledged is monitored to minimize our exposure.

The following table summarizes information relating to reverse repurchase agreements.



	At or For the Year Ended December 31,
(Dollars in Thousands)	2015			2014			2013
Average balance during the year	$	1,100,000		$	1,100,000		$	1,100,000
Maximum balance at any month end during the year	1,100,000			1,100,000			1,100,000
Balance outstanding at end of year	1,100,000			1,100,000			1,100,000
Weighted average interest rate during the year	3.62		%	3.82		%	4.06		%
Weighted average interest rate at end of year	3.62			3.62			3.87

The following table details the contractual maturities of our reverse repurchase agreements at December 31, 2015.



Year		Amount
	(In Thousands)
2018		$	200,000	(1	)
2019		600,000		(1	)
2020		300,000		(2	)
Total		$	1,100,000


(1)	Callable in 2016.


(2)	Includes $200.0 million of borrowings which are callable in 2016 and $100.0 million of borrowings which are callable in 2017.

FHLB-NY Advances

Pursuant to a blanket collateral agreement with the FHLB-NY, advances are secured by all of our stock in the FHLB-NY, certain qualifying mortgage loans and mortgage-backed and other securities not otherwise pledged.

The following table summarizes information relating to FHLB-NY advances.



	At or For the Year Ended December 31,
(Dollars in Thousands)	2015			2014			2013
Average balance during the year	$	2,250,592		$	2,332,718		$	2,512,425
Maximum balance at any month end during the year	2,515,000			2,617,000			2,881,000
Balance outstanding at end of year	2,180,000			2,384,000			2,454,000
Weighted average interest rate during the year	1.79		%	1.78		%	2.00		%
Weighted average interest rate at end of year	1.86			1.72			1.79

The following table details the contractual maturities of FHLB-NY advances at December 31, 2015.



Year	Amount
	(In Thousands)
2016		$	1,330,000	(1	)
2020		850,000		(2	)
Total		$	2,180,000


(1)	Includes $210.0 million of borrowings due overnight, $220.0 million of borrowings due in less than 30 days, $225.0 million of borrowings due after 30 to 90 days and $675.0 million of borrowings due after 90 days.


(2)	Callable in 2017.

Other Borrowings

On June 19, 2012, we completed the sale of $250.0 million aggregate principal amount of 5.00% senior unsecured notes due 2017, or 5.00% Senior Notes. The notes are registered with the Securities and Exchange Commission, or SEC, bear a fixed rate of interest of 5.00% and mature on June 19, 2017. We may redeem all or part of the 5.00% Senior Notes at any time, subject to a 30 day minimum notice requirement, at par together with accrued and unpaid interest to the redemption date. The carrying amount of the notes was $249.2 million at December 31, 2015 and $248.7 million at December 31, 2014. The terms of these notes subject us to certain debt covenants.We were in compliance with such covenants at December 31, 2015.

Our former finance subsidiary, Astoria Capital Trust I, was formed for the purpose of issuing $125.0 million aggregate liquidation amount of 9.75% Capital Securities due November 1, 2029, or Capital Securities, and $3.9 million of common securities (which were the only voting securities of Astoria Capital Trust I and were owned by Astoria Financial Corporation) and used the proceeds to acquire 9.75% Junior Subordinated Debentures, due November 1, 2029, issued by Astoria Financial Corporation totaling $128.9 million. The Junior Subordinated Debentures were the sole assets of Astoria Capital Trust I. The Junior Subordinated Debentures were prepayable, in whole or in part, at our option at declining premiums to November 1, 2019, after which the Junior Subordinated Debentures were prepayable at par value. The Capital Securities had the same prepayment provisions as the Junior Subordinated Debentures. On May 10, 2013, we prepaid in whole our Junior Subordinated Debentures, which were included in other borrowings, net, pursuant to the optional prepayment provisions of the indenture at a prepayment price of 103.413% of the $128.9 million aggregate principal amount, plus accrued and unpaid interest to, but not including, the date of repayment. As a result of the prepayment in whole of the Junior Subordinated Debentures, Astoria Capital Trust I simultaneously applied the proceeds of such prepayment to redeem its Capital Securities, as well as the common securities owned by Astoria Financial Corporation. The prepayment of the Junior Subordinated Debentures resulted in a $4.3 million prepayment charge in the 2013 second quarter for the early extinguishment of this debt.

The following table summarizes interest expense on borrowings for the years indicated.



	For the Year Ended December 31,
(In Thousands)	2015		2014		2013
Federal funds purchased	$	1,590	$	1,139	$	587
Reverse repurchase agreements	40,373		42,626		45,272
FHLB-NY advances	40,790		41,911		50,654
Other borrowings	13,031		13,031		17,398
Total interest expense on borrowings	$	95,784	$	98,707	$	113,911