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v3.23.1

Borrowings | 3 Months Ended
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Mar. 31, 2023
Debt Disclosure [Abstract] |
Borrowings | BORROWINGS Short-term debt Short-term debt at March 31, 2023 and December 31, 2022 was as follows:
| March 31, 2023 |  | December 31, 2022
(dollars in thousands) | Amount |  | Rate |  | Amount |  | Rate
FHLB advances | — |  |  | — | % |  | 300,000 |  |  | 4.54 | %
Total short-term debt | $ | — |  |  |  |  | $ | 300,000 |  |  |
The following is a summary of additional information relating to Customers' short-term debt:
(dollars in thousands) | March 31, 2023 (1) |  | December 31, 2022 (2) |  |
FRB advances (3) |  |  |  |  |
Maximum outstanding at any month end | $ | — |  |  | $ | — |  |  |
Average balance during the period | 487,067 |  |  | — |  |  |
Weighted-average interest rate during the period | 5.23 | % |  | — | % |  |
FHLB advances |  |  |  |  |
Maximum outstanding at any month end | — |  |  | 775,000 |  |  |
Average balance during the period | 354,482 |  |  | 144,918 |  |  |
Weighted-average interest rate during the period | 5.16 | % |  | 1.07 | % |  |
Federal funds purchased |  |  |  |  |
Maximum outstanding at any month end | — |  |  | 895,000 |  |  |
Average balance during the period | 15,333 |  |  | 349,581 |  |  |
Weighted-average interest rate during the period | 4.97 | % |  | 1.66 | % |  |
(1) For the three months ended March 31, 2023. (2) For the year ended December 31, 2022. (3) Includes advances under the BTFP. The BTFP offers loans of up to one year to eligible depository institutions pledging any collateral valued at par, that are eligible for purchase by the Federal Reserve Banks in open market operations, such as U.S. Treasuries, U.S. agency securities, and U.S. agency mortgage-backed securities. At March 31, 2023 and December 31, 2022, Customers Bank had aggregate availability under federal funds lines totaling $1.7 billion. Long-term debt FHLB and FRB advances Long-term FHLB and FRB advances at March 31, 2023 and December 31, 2022 were as follows:
| March 31, 2023 |  | December 31, 2022
(dollars in thousands) | Amount |  | Rate |  | Amount |  | Rate
FHLB advances (1)(2) | $ | 2,052,143 |  |  | 4.64 | % |  | $ | 500,000 |  |  | 3.37 | %
Total long-term FHLB and FRB advances | $ | 2,052,143 |  |  |  |  | $ | 500,000 |  |  |
(1) Amounts reported in the above table include variable and fixed rate long-term advances from FHLB of $1.1 billion with maturities ranging from June 2024 to September 2026 with a returnable option that can be repaid without penalty on certain predetermined dates at Customers Bank's option, and fixed rate long-term advances of $950.0 million with maturities ranging from March 2025 to March 2028, at March 31, 2023. (2) Includes $2.1 million of unamortized basis adjustments from a terminated interest rate swap designated as a fair value hedge of a long-term advance from FHLB of $250 million with a fixed rate of 3.30% and maturity of June 2027, at March 31, 2023. Maturities of long-term FHLB advances were as follows at March 31, 2023:
| March 31, 2023
(dollars in thousands) | Amount (1) |  | Rate
2024 | $ | 420,000 |  |  | 4.26 | %
2025 | 540,000 |  |  | 5.21 | %
2026 | 540,000 |  |  | 5.23 | %
2027 | 450,000 |  |  | 3.70 | %
Thereafter | 100,000 |  |  | 4.19 | %
Total long-term FHLB advances | $ | 2,050,000 |  |  |
(1) Amounts reported in the above table include variable and fixed rate long-term advances from FHLB of $1.1 billion with maturities ranging from June 2024 to September 2026 with a returnable option that can be repaid without penalty on certain predetermined dates at Customers Bank's option. The maximum borrowing capacity with the FHLB and FRB at March 31, 2023 and December 31, 2022 was as follows:
(amounts in thousands) | March 31, 2023 |  | December 31, 2022
Total maximum borrowing capacity with the FHLB | $ | 3,307,772 |  |  | $ | 3,241,120 |
Total maximum borrowing capacity with the FRB (1) | 6,516,922 |  |  | 2,510,189 |
Qualifying loans and securities (1) serving as collateral against FHLB and FRB advances | 12,079,694 |  |  | 7,142,865 |
(1) Includes $508.2 million of borrowing capacity available under the BTFP, which offers loans of up to one year to eligible depository institutions pledging any collateral valued at par, that are eligible for purchase by the Federal Reserve Banks in open market operations, such as U.S. Treasuries, U.S. agency securities, and U.S. agency mortgage-backed securities. Senior and Subordinated Debt Long-term senior notes and subordinated debt at March 31, 2023 and December 31, 2022 were as follows:
|  |  |  | March 31, 2023 |  | December 31, 2022 |  |  |  |  |  |  |  |  |  |
(dollars in thousands) |  |  |  |  |  |  |  |  |  |  |  |
Issued by |  | Ranking |  | Carrying Amount |  | Carrying Amount |  | Rate |  | Issued Amount |  | Date Issued |  | Maturity |  | Price
Customers Bancorp |  | Senior (1) |  | $ | 98,823 |  |  | $ | 98,788 |  |  | 2.875 | % |  | $ | 100,000 |  |  | August 2021 |  | August 2031 |  | 100.000 | %
Customers Bancorp |  | Senior |  | 24,822 |  |  | 24,792 |  |  | 4.500 | % |  | 25,000 |  |  | September 2019 |  | September 2024 |  | 100.000 | %
Total other borrowings |  | $ | 123,645 |  |  | $ | 123,580 |  |  |  |  |  |  |  |  |  |  |
Customers Bancorp |  | Subordinated (2)(3) |  | $ | 72,630 |  |  | $ | 72,585 |  |  | 5.375 | % |  | $ | 74,750 |  |  | December 2019 |  | December 2034 |  | 100.000 | %
Customers Bank |  | Subordinated (2)(4) |  | 109,391 |  |  | 109,367 |  |  | 6.125 | % |  | 110,000 |  |  | June 2014 |  | June 2029 |  | 100.000 | %
Total subordinated debt |  | $ | 182,021 |  |  | $ | 181,952 |  |  |  |  |  |  |  |  |  |  |
(1)The senior notes will bear an annual fixed rate of 2.875% until August 15, 2026. From August 15, 2026 until maturity, the notes will bear an annual interest rate equal to a benchmark rate, which is expected to be the three-month term SOFR after June 30, 2023, plus 235 basis points. Customers Bancorp has the ability to call the senior notes, in whole, or in part, at a redemption price equal to 100% of the principal balance at certain times on or after August 15, 2026. (2)The subordinated notes qualify as Tier 2 capital for regulatory capital purposes. (3)Customers Bancorp has the ability to call the subordinated notes, in whole, or in part, at a redemption price equal to 100% of the principal balance at certain times on or after December 30, 2029. (4)The subordinated notes will bear an annual fixed rate of 6.125% until June 26, 2024. From June 26, 2024 until maturity, the notes will bear an annual interest rate equal to the three-month LIBOR plus 344.3 basis points. Customers Bank has the ability to call the subordinated notes, in whole, or in part, at a redemption price equal to 100% of the principal balance at certain times on or after June 26, 2024.

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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 https://asc.fasb.org/topic&trid=2208564 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -SubTopic 20 -Section 50 -Paragraph 1B -Subparagraph (h) -URI https://asc.fasb.org/extlink&oid=123466505&loc=SL123495323-112611 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -SubTopic 20 -Section 50 -Paragraph 1C -Subparagraph (c) -URI https://asc.fasb.org/extlink&oid=123466505&loc=SL123495334-112611 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -SubTopic 20 -Section 50 -Paragraph 1I -Subparagraph (a) -URI https://asc.fasb.org/extlink&oid=123466505&loc=SL123495371-112611 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -SubTopic 20 -Section 50 -Paragraph 1I -Subparagraph (d) -URI https://asc.fasb.org/extlink&oid=123466505&loc=SL123495371-112611 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08(c)) -URI https://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -SubTopic 20 -Section 50 -Paragraph 1B -Subparagraph (g) -URI https://asc.fasb.org/extlink&oid=123466505&loc=SL123495323-112611 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -SubTopic 20 -Section 50 -Paragraph 1C -Subparagraph (b) -URI https://asc.fasb.org/extlink&oid=123466505&loc=SL123495334-112611 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -SubTopic 20 -Section 50 -Paragraph 1C -Subparagraph (a) -URI https://asc.fasb.org/extlink&oid=123466505&loc=SL123495334-112611 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -SubTopic 20 -Section 50 -Paragraph 1E -Subparagraph (b) -URI https://asc.fasb.org/extlink&oid=123466505&loc=SL123495348-112611 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -SubTopic 20 -Section 50 -Paragraph 1B -URI https://asc.fasb.org/extlink&oid=123466505&loc=SL123495323-112611 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -SubTopic 20 -Section 50 -Paragraph 1I -Subparagraph (b) -URI https://asc.fasb.org/extlink&oid=123466505&loc=SL123495371-112611 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -SubTopic 20 -Section 50 -Paragraph 1B -Subparagraph (i) -URI https://asc.fasb.org/extlink&oid=123466505&loc=SL123495323-112611 + Details
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