LOAN COMMITMENTS AND OTHER RELATED ACTIVITIES

Some financial instruments such as loan commitments, credit lines, letters of credit, and overdraft protection are issued to meet customer financing needs. These are agreements to provide credit or to support the credit of others, as long as conditions established in the contract are met, and usually have expiration dates. Commitments may expire without being used. Risk of credit loss exists up to the face amount of these instruments. The same credit policies are used to make such commitments as are used for loans, including obtaining collateral at exercise of the commitment.

The contractual amount of financial instruments with off-balance sheet risk was as follows for the dates indicated:



	December 31,
	2017				2016
($ in thousands)	Fixed Rate		Variable Rate		Fixed Rate		Variable Rate
Commitments to extend credit ⁽¹⁾	$	1,851	$	335,654	$	74,777	$	201,321
Unused lines of credit	19,085		1,309,170		27,151		888,236
Letters of credit	1,050		12,976		1,784		8,655


(1)	Includes $0 and $65.1 million, respectively, of commitments to extend credit related to discontinued operations at December 31, 2017 and 2016.

Commitments to extend credit are generally made for periods of 30 days or less.

Other Commitments

During the three months ended March 31, 2017, the Bank entered into certain definitive agreements which grant the Bank the exclusive naming rights to the Banc of California Stadium, a soccer stadium of LAFC, as well as the right to be the official bank of LAFC. In exchange for the Bank’s rights as set forth in the agreements, the Bank agreed to pay LAFC $100.0 million over a period of 15 years, beginning in 2017 and ending in 2032. During the year ended December 31, 2017, the Company paid $10.0 million of the commitment, which was recognized as a prepaid asset and included in the Other Assets in Consolidated Statements of Financial Condition at December 31, 2017. See Note 25 for additional information.

The Company had unfunded commitments of $15.6 million, $11.0 million, and $50.6 million for Affordable Housing Fund Investment, SBIC, and Other Investments including investments in alternative energy partnerships, at December 31, 2017, respectively.