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Note 11 - Other Borrowings and Subordinated Debentures | 12 Months Ended
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Dec. 31, 2017
Notes to Financial Statements |
Debt Disclosure [Text Block] | NOTE 11: OTHER BORROWINGS AND SUBORDINATED DEBENTURES Debt at December 31, 2017 and 2016 consisted of the following components.
(In thousands) |  | 2017 |  | 2016
Other Borrowings |  |  |  |  |  |  |  |
FHLB advances, net of discount, due 2018 to 2033, 1.20% to 7.37% secured by residential real estate loans |  | $ | 1,261,642 |  |  | $ | 225,230 |
Revolving credit agreement, due 10/5/2018, floating rate of 1.50% above the one month LIBOR rate, unsecured |  |  | 75,000 |  |  |  | -- |
Notes payable, due 10/15/2020, 3.85%, fixed rate, unsecured |  |  | 43,382 |  |  |  | 47,929 |
Total other borrowings |  |  | 1,380,024 |  |  |  | 273,159 |
Subordinated Debentures |  |  |  |  |  |  |  |
Trust preferred securities, due 12/30/2033, floating rate of 2.80% above the three month LIBOR rate, reset quarterly, callable without penalty |  |  | 20,620 |  |  |  | 20,620 |
Trust preferred securities, net of discount, due 6/30/2035, floating rate of 1.75% above the three month LIBOR rate, reset quarterly, callable without penalty |  |  | 9,327 |  |  |  | 9,225 |
Trust preferred securities, net of discount, due 9/15/2037, floating rate of 1.37% above the three month LIBOR rate, reset quarterly |  |  | 10,284 |  |  |  | 10,130 |
Trust preferred securities, net of discount, due 12/5/2033, floating rate of 2.88% above the three month LIBOR rate, reset quarterly, callable without penalty |  |  | 5,156 |  |  |  | 5,161 |
Trust preferred securities, net of discount, due 10/18/2034, floating rate of 2.00% above the three month LIBOR rate, reset quarterly, callable without penalty |  |  | 5,148 |  |  |  | 5,105 |
Trust preferred securities, net of discount, due 6/6/2037, floating rate of 1.57% above the three month LIBOR rate, reset quarterly, callable without penalty |  |  | 10,288 |  |  |  | 10,156 |
Trust preferred securities, due 12/15/2035, floating rate of 1.45% above the three month LIBOR rate, reset quarterly, callable without penalty |  |  | 6,702 |  |  |  | -- |
Trust preferred securities, due 6/26/2033, floating rate of 3.10% above the three month LIBOR rate, reset quarterly, callable without penalty |  |  | 20,619 |  |  |  | -- |
Trust preferred securities, due 10/7/2033, floating rate of 2.85% above the three month LIBOR rate, reset quarterly, callable without penalty |  |  | 25,774 |  |  |  | -- |
Trust preferred securities, due 9/15/2037, floating rate of 2.00% above the three month LIBOR rate, reset quarterly, callable without penalty |  |  | 8,248 |  |  |  | -- |
Other subordinated debentures, net of discount, due 9/30/2023, floating rate equal to daily average of prime rate, reset quarterly |  |  | 18,399 |  |  |  | -- |
Total subordinated debentures |  |  | 140,565 |  |  |  | 60,397 |
Total other borrowings and subordinated debentures |  | $ | 1,520,589 |  |  | $ | 333,556 |
In connection with the OKSB and First Texas acquisitions on October 19, 2017, the Company assumed subordinated debt in an aggregate principal amount, net of discounts, of $75.9 million. The Company assumed subordinated debt of $6.7 million in connection with the Hardeman acquisition in May 15, 2017. In October 2017, the Company entered into a Revolving Credit Agreement (the “Credit Agreement”) with U.S. Bank National Association and executed an unsecured Revolving Credit Note pursuant to which the Company may borrow, prepay and re-borrow up to $75.0 million, the proceeds of which were primarily used to pay off amounts outstanding under a term note assumed with the First Texas acquisition. The Credit Agreement contains customary representations, warranties, and covenants of the Company, including, among other things, covenants that impose various financial ratio requirements. The line of credit available to the Company under the Credit Agreement expires on October 5, 2018, at which time all amounts borrowed, together with applicable interest, fees, and other amounts owed by the Company shall be due and payable. During October 2015, the Company borrowed $52.3 million from correspondent banks at a rate of 3.85% with quarterly principal and interest payments. The debt has a 10 year amortization with a 5 year balloon payment due in October 2020. The Company used approximately $36.0 million of this borrowing to refinance the debt issued during 2013 that was used to partially fund the acquisition of Metropolitan. At December 31, 2017, the Company had $1.1 billion of Federal Home Loan Bank (“FHLB”) advances outstanding with original maturities of one year or less. The Company had total FHLB advances of $1.3 billion at December 31, 2017, with approximately $2.258 billion of additional advances available from the FHLB. The FHLB advances are secured by mortgage loans and investment securities totaling approximately $3.785 billion at December 31, 2017. The trust preferred securities are tax-advantaged issues that qualified for Tier 1 capital treatment until December 31, 2017, when the Company reached $15 billion in assets. They still qualify for inclusion as Tier 2 capital at December 31, 2017. Distributions on these securities are included in interest expense on long-term debt. Each of the trusts is a statutory business trust organized for the sole purpose of issuing trust securities and investing the proceeds thereof in junior subordinated debentures of the Company, the sole asset of each trust. The preferred securities of each trust represent preferred beneficial interests in the assets of the respective trusts and are subject to mandatory redemption upon payment of the junior subordinated debentures held by the trust. The common securities of each trust are wholly-owned by the Company. Each trust’s ability to pay amounts due on the trust preferred securities is solely dependent upon the Company making payment on the related junior subordinated debentures. The Company’s obligations under the junior subordinated securities and other relevant trust agreements, in aggregate, constitute a full and unconditional guarantee by the Company of each respective trust’s obligations under the trust securities issued by each respective trust. The Company’s long-term debt includes subordinated debt, notes payable and FHLB advances with an original maturity of greater than one year. Aggregate annual maturities of long-term debt at December 31, 2017 are as follows:
Year |  | (In thousands)
2018 |  | $ | 23,093 |
2019 |  |  | 7,486 |
2020 |  |  | 36,222 |
2021 |  |  | 2,165 |
2022 |  |  | 1,314 |
Thereafter |  |  | 148,307 |
Total |  | $ | 218,587 |

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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://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -URI http://asc.fasb.org/topic&trid=2208564 + Details
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