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Short and Long-Term Funding | 6 Months Ended
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Jun. 30, 2018
Debt Disclosure [Abstract] |
Short and Long-Term Funding | Short and Long-Term Funding The following table presents the components of short-term funding (funding with original contractual maturities of one year or less), long-term funding (funding with original contractual maturities greater than one year), and FHLB advances (funding based on original contractual maturities).
| June 30, 2018 |  | December 31, 2017
| ($ in Thousands)
Short-Term Funding |  |  |
Federal funds purchased | $ | 20,720 |  |  | $ | 141,950 |
Securities sold under agreements to repurchase | 183,013 |  |  | 182,865 |
Federal funds purchased and securities sold under agreements to repurchase | 203,733 |  |  | 324,815 |
Commercial paper | 52,791 |  |  | 67,467 |
Total short-term funding | $ | 256,525 |  |  | $ | 392,282 |
Long-Term Funding |  |  |
Senior notes, at par | $ | 250,000 |  |  | $ | 250,000 |
Subordinated notes, at par | 250,000 |  |  | 250,000 |
Other long-term funding and capitalized costs | (2,381 | ) |  | (2,718 | )
Total long-term funding | 497,619 |  |  | 497,282 |
Total short and long-term funding, excluding FHLB advances | $ | 754,144 |  |  | $ | 889,564 |
FHLB Advances |  |  |
Short-term FHLB advances | $ | 370,000 |  |  | $ | 284,000 |
Long-term FHLB advances | 4,427,857 |  |  | 2,900,168 |
Total FHLB advances | $ | 4,797,857 |  |  | $ | 3,184,168 |
Total short and long-term funding | $ | 5,552,001 |  |  | $ | 4,073,732 |
Securities Sold Under Agreements to Repurchase ("Repurchase Agreements") The Corporation enters into agreements under which it sells securities subject to an obligation to repurchase the same or similar securities. Under these arrangements, the Corporation may transfer legal control over the assets but still retain effective control through an agreement that both entitles and obligates the Corporation to repurchase the assets. The obligation to repurchase the securities is reflected as a liability on the Corporation’s consolidated balance sheets, while the securities underlying the repurchase agreements remain in the respective investment securities asset accounts (i.e., there is no offsetting or netting of the investment securities assets with the repurchase agreement liabilities). See Note 11 for additional disclosures on balance sheet offsetting. The Corporation utilizes securities sold under agreements to repurchase to facilitate the needs of its customers. As of June 30, 2018, the Corporation pledged agency mortgage-related securities with a fair value of $279 million as collateral for the repurchase agreements. Securities pledged as collateral under repurchase agreements are maintained with the Corporation's safekeeping agents and are monitored on a daily basis due to the market risk of fair value changes in the underlying securities. The Corporation generally pledges excess securities to ensure there is sufficient collateral to satisfy short-term fluctuations in both the repurchase agreement balances and the fair value of the underlying securities. The remaining contractual maturity of the securities sold under agreements to repurchase in the consolidated balance sheets as of June 30, 2018 and December 31, 2017 are presented in the following table.
| Remaining Contractual Maturity of the Agreements
| Overnight and Continuous |  | Up to 30 days |  | 30-90 days |  | Greater than 90 days |  | Total
June 30, 2018 |  |  |  |  | ($ in Thousands) |  |  |  |
Repurchase agreements |  |  |  |  |  |  |  |  |
Agency mortgage-related securities | $ | 183,013 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 183,013 |
Total | $ | 183,013 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 183,013 |
December 31, 2017 |  |  |  |  |  |  |  |  |
Repurchase agreements |  |  |  |  |  |  |  |  |
Agency mortgage-related securities | $ | 182,865 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 182,865 |
Total | $ | 182,865 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 182,865 |
Long-Term Funding Senior notes: In November 2014, the Corporation issued $250 million of senior notes, due November 2019, and callable October 2019. The senior notes have a fixed coupon interest rate of 2.75% and were issued at a discount. Subordinated notes: In November 2014, the Corporation issued $250 million of 10-year subordinated notes, due January 2025, and callable October 2024. The subordinated notes have a fixed coupon interest rate of 4.25% and were issued at a discount. FHLB Advances At June 30, 2018, the Corporation had $4.8 billion of FHLB advances, up $1.6 billion from December 31, 2017. The increase in FHLB borrowing is primarily a result of reduced reliance on network transaction deposits over the year. At June 30, 2018, FHLB advances had maturity or put dates (callable by the FHLB) primarily ranging from 2018 through 2020, and had a weighted average interest rate of 1.97%, compared to 1.26% at December 31, 2017. A portion of the FHLB advances are indexed to the FHLB discount note and re-price at varying intervals. The advances offer flexible, market rate, long-term funding that improves the Corporation’s liquidity profile. As of June 30, 2018, the Corporation had $2.6 billion of putable FHLB advances with a one-time option where the FHLB can call the advance prior to the contractual maturity. The contractual weighted average life to the put date of these advances was 1.4 years with a weighted average life to contractual maturity of 6.6 years . As of June 30, 2018, it is anticipated that all of these advances will be called by the FHLB on their put date. The original contractual maturity or next put date of the Corporation's FHLB advances as of June 30, 2018 and December 31, 2017 are presented in the following table.
| June 30, 2018 |  | December 31, 2017
| Amount |  | Weighted Average Contractual Coupon Rate |  | Amount |  | Weighted Average Contractual Coupon Rate
| ($ in Thousands)
Maturity or put date within 1 year | $ | 2,632,613 |  |  | 1.70 | % |  | $ | 2,434,000 |  |  | 1.26 | %
After 1 but within 2 | 1,861,040 |  |  | 2.25 | % |  | 750,013 |  |  | 1.23 | %
After 2 but within 3 | 291,606 |  |  | 2.60 | % |  | 155 |  |  | 4.91 | %
After 3 years | 12,598 |  |  | 4.55 | % |  | — |  |  | — | %
FHLB advances and overall rate | $ | 4,797,857 |  |  | 1.97 | % |  | $ | 3,184,168 |  |  | 1.26 | %

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- Definition The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -URI http://asc.fasb.org/topic&trid=2208564 + Details
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