Note 9.

Borrowings

The following table presents the components of borrowings as of the dates indicated:


	June 30, 2016					December 31, 2015
(Amounts in thousands)	Balance		Weighted Average Rate⁽¹⁾			Balance		Weighted Average Rate⁽¹⁾
Federal funds purchased	$	42,000		0.64	%	$	—		0.34	%
Securities sold under agreements to repurchase
Retail		63,392		0.07	%		88,614		0.13	%
Wholesale		50,000		3.71	%		50,000		3.71	%

Total securities sold under agreements to repurchase		113,392					138,614
FHLB borrowings
Short-term advances		75,000		0.40	%		—		—
Long-term advances		65,000		4.04	%		65,000		4.04	%

Total FHLB borrowings		140,000		2.09	%		65,000		4.04	%
Subordinated debt		15,464					15,464
Other debt		292					292

Total borrowings	$	311,148				$	219,370

(1)	Weighted average contractual rate

The following schedule presents the remaining contractual maturities of repurchase agreements, by type of collateral pledged, as of June 30, 2016:


(Amounts in thousands)	U.S. Agency Securities		Municipal Securities		Mortgage-backed Agency Securities		Total
Overnight and continuous	$	51,263	$	—	$	9,553	$	60,816
Up to 30 days		—		—		34		34
30 - 90 days		—		—		9		9
Greater than 90 days		—		1,547		50,986		52,533

	$	51,263	$	1,547	$	60,582	$	113,392

Investment securities pledged to secure repurchase agreements remain under the Company’s control during the agreements’ terms. The counterparties may redeem callable repurchase agreements, which could substantially shorten the borrowings’ lives. The prepayment or unwind of a repurchase agreement may result in substantial penalties based on market conditions.

The following schedule presents the remaining contractual maturities of wholesale repurchase agreements and Federal Home Loan Bank (“FHLB”) borrowings, by year, as of June 30, 2016:


(Amounts in thousands)	Wholesale Repurchase Agreements		FHLB Borrowings		Total
2016	$	25,000	$	75,000	$	100,000
2017		—		15,000		15,000
2018		—		—		—
2019		25,000		—		25,000
2020		—		—		—
2021 and thereafter		—		50,000		50,000

	$	50,000	$	140,000	$	190,000

Weighted average maturity (in years)		1.58		1.74		1.70

The FHLB may redeem callable advances at quarterly intervals, which could substantially shorten the advances’ lives. If called, the advance may be paid in full or converted into another FHLB credit product. Prepayment of an advance may result in substantial penalties based on the differential between the contractual note and current advance rate for similar maturities. The Company pledged certain loans to secure FHLB advances and letters of credit of $932.06 million as of June 30, 2016. Unused borrowing capacity with the FHLB totaled $385.26 million, net of FHLB letters of credit used to collateralize public unit deposits of $68.53 million, as of June 30, 2016. The FHLB letters of credit provide an attractive alternative to pledging securities for public unit deposits.

Subordinated debt consists of $15.46 million of junior subordinated debentures (“Debentures”) the Company issued to the Trust in October 2003 with an interest rate of three-month London InterBank Offered Rate (“LIBOR”) plus 2.95%. The Trust purchased the Debentures through the issuance of trust preferred securities, which had substantially identical terms as the Debentures. The Debentures mature on October 8, 2033, and are callable quarterly. Net proceeds from the offering were contributed as capital to the Bank to support further growth. The Company’s obligations under the Debentures and other relevant Trust agreements, in aggregate, constitute a full and unconditional guarantee of the Trust’s obligations. The preferred securities issued by the Trust are not included in the Company’s consolidated balance sheets; however, these securities qualify as Tier 1 capital for regulatory purposes, subject to guidelines issued by the Board of Governors of the Federal Reserve System (“Federal Reserve”). The Federal Reserve’s quantitative limits did not prevent the Company from including all $15.46 million in trust preferred securities outstanding in Tier 1 capital as of June 30, 2016, and December 31, 2015.

In addition, the Company maintains a $15.00 million unsecured, committed line of credit with an unrelated financial institution with an interest rate of one-month LIBOR plus 2.00% and an April 2017 maturity. There was no outstanding balance on the line as of June 30, 2016, or December 31, 2015.