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Borrowings
 12 Months Ended
Dec. 31, 2023
Debt Disclosure [Abstract]  
Borrowings Borrowings
The following table summarizes the Company’s borrowings, which include repurchase agreements with the Company’s customers and borrowings at December 31, 2023 and 2022:
(dollars in thousands)Borrowings - PrincipalUnamortized Deferred Issuance CostsNet Borrowings Outstanding
Available Capacity (1)(2)
Maturity Dates
Interest Rates (3)
December 31, 2023:
Customer repurchase agreements$30,587 $— $30,587 $— N/A3.42 %
FHLB secured borrowings— — — 1,271,846 N/AN/A
FRB:
BTFP secured borrowings (4)
1,300,000 — 1,300,000 598,870 March 22, 20244.53 %
Discount window secured borrowings— — — 601,504 N/AN/A
Raymond James repurchase agreement— — — 17,993 N/AN/A
Subordinated notes, 5.75%
70,000 (82)69,918 — September 1, 20245.75 %
Total borrowings$1,400,587 $(82)$1,400,505 $2,490,213 
December 31, 2022:
Customer repurchase agreements$35,100 $— $35,100 $— N/A2.94 %
FHLB secured borrowings975,001 — 975,001 145,104 December 1, 20234.57 %
FRB discount window secured borrowings— — — 607,405 N/AN/A
Subordinated notes, 5.75%
70,000 (206)69,794 — September 1, 20245.75 %
Total borrowings$1,080,101 $(206)$1,079,895 $752,509 
(1)Available capacity on the Company's borrowings arrangements with the FHLB, the FRB's BTFP program and the Raymond James repurchase line comprise pledged collateral that has not been borrowed against. At December 31, 2023, the Company had total additional undrawn borrowing capacity of approximately $2.2 billion, comprising unencumbered securities available to be pledged of approximately $292.3 million and undrawn financing on pledged assets of $1.9 billion, including $1.3 billion with the FHLB, $598.9 million with the BTFP and $18.0 million with Raymond James.
(2)As part of the Company's agreement governing its participation in the BTFP program and the Raymond James repurchase agreement, the borrowing capacity is determined based on the principal balance of the pledged assets.
(3)Represent the weighted average interest rate on customer repurchase agreements, borrowings outstanding and the coupon interest rate on the subordinated notes, which approximates the effective interest rate.
(4)In January 2024, the Company borrowed an additional $500.0 million through the BTFP and refinanced $500.0 million under the program at an interest rate of 4.76% and a maturity date in January 2025. The remaining $800.0 million matures in March 2024.
The Company offers its business customers a repurchase agreement sweep account in which it collateralizes these funds with U.S. agency and MBS segregated in its investment portfolio for this purpose. The Company’s repurchase agreements operate on a rolling basis and do not contain contractual maturity dates. By entering into the agreement, the customer agrees to have the Bank repurchase the designated securities on the business day following the initial transaction in consideration of the payment of interest at the rate prevailing on the day of the transaction.

The Bank can purchase up to $155 million in federal funds on an unsecured basis from its correspondents, against which there were no amounts outstanding at December 31, 2023 and can place brokered funds under one-way CDARS and ICS deposits in the amount of $1.7 billion, against which there was $94.0 million outstanding at December 31, 2023. The Bank also has a commitment at December 31, 2023 from IntraFi Network, LLC ("IntraFi") to place up to $786.5 million of brokered deposits from its Insured Network Deposits (“IND”) program in amounts requested by the Bank, as compared to an actual balance of $786.5 million at December 31, 2023.

At December 31, 2023, the Bank was also eligible to take advances from the FHLB up to $1.3 billion based on collateral at the FHLB, of which there was none outstanding at December 31, 2023. The Bank may enter into repurchase agreements as well as obtain additional borrowing capabilities from the FHLB provided adequate collateral exists to secure these lending relationships. The Bank also has a back-up borrowing facility through the Discount Window at the Federal Reserve Bank. This facility, which amounts to approximately $601.5 million, is collateralized with specific loan assets pledged to the Federal Reserve Bank. It is anticipated that, except for periodic testing, this facility would be utilized for contingency funding only. The contractual maturity dates on FHLB secured borrowings represent the maturity dates of current advances and are not evidence of a termination date on the line.

There are no prepayment penalties nor unused commitment fees on any of the Company’s borrowing arrangements.

Bank Term Funding Program (“BTFP”)

On March 12, 2023, the FRB, Department of Treasury and the Federal Deposit Insurance Corporation ("FDIC") issued a joint statement outlining actions they had taken to protect the U.S. economy by strengthening public confidence in the banking system as a result of and in response to recently announced bank closures. Among other actions, the Federal Reserve announced that it would make available additional funding to eligible depository institutions through the creation of a new BTFP. The BTFP provides eligible depository institutions, including the Company's subsidiary bank, EagleBank, an additional source of liquidity.

Borrowings are funded based on a percentage of the principal of eligible collateral posted, as defined within the terms of the program. Interest is payable at a fixed rate over the term of the borrowing and there are no prepayment penalties. The Federal Reserve announced in January 2024 that the BTFP will stop originating new loans on March 11, 2024, as scheduled. The Federal Reserve also modified the terms of the program so that the interest rate for new loans will be no lower than the interest rate on reserve balances in effect on the day the loan is made.

Subordinated Notes

Subordinated notes outstanding were $69.9 million at December 31, 2023 and $69.8 million at December 31, 2022.
On August 5, 2014, the Company completed the sale of $70 million of its 5.75% subordinated notes, due September 1, 2024 (the “2024 Notes”). The Notes were offered to the public at par. The 2024 Notes qualified as Tier 2 capital for regulatory purposes to the fullest extent permitted under the Basel III Rule capital requirements, and were fully phased out of regulatory capital as of December 31, 2023 as they approached maturity. The net proceeds were approximately $68.8 million, which included $1.2 million in deferred financing costs which are being amortized over the life of the 2024 Notes.