XML 23 R13.htm IDEA: XBRL DOCUMENT
v3.19.3

BORROWED FUNDS | 9 Months Ended
--- | ---
Sep. 30, 2019
Debt Disclosure [Abstract] |
BORROWED FUNDS | BORROWED FUNDS Borrowed funds at September 30, 2019 and December 31, 2018 are summarized, as follows:
|  | September 30, 2019 |  | December 31, 2018
(dollars in thousands) |  | Carrying Value |  | Weighted Average Rate |  | Carrying Value |  | Weighted Average Rate
Short-term borrowings |  |  |  |  |  |  |  |  |  |  |  |
Advances from the FHLB |  | $ | 422,583 |  |  | 2.24 | % |  | $ | 611,683 |  |  | 2.47 | %
Other borrowings |  | 41,259 |  |  | 1.24 |  |  | 36,211 |  |  | 1.09 |
Total short-term borrowings |  | 463,842 |  |  | 2.15 |  |  | 647,894 |  |  | 2.39 |
Long-term borrowings |  |  |  |  |  |  |  |
Advances from the FHLB |  | 177,977 |  |  | 2.25 |  |  | 32,929 |  |  | 1.86 |
Subordinated borrowings |  | 37,928 |  |  | 5.69 |  |  | 37,973 |  |  | 5.58 |
Junior subordinated borrowings |  | 5,000 |  |  | 6.15 |  |  | 5,000 |  |  | 5.96 |
Total long-term borrowings |  | 220,905 |  |  | 2.93 |  |  | 75,902 |  |  | 3.99 |
Total |  | $ | 684,747 |  |  | 2.40 | % |  | $ | 723,796 |  |  | 2.56 | %
Short-term debt includes Federal Home Loan Bank of Boston (“FHLB”) advances with a maturity of less than one year. The Company also maintains a $1.0 million secured line of credit with the FHLB that bears a daily adjustable rate calculated by the FHLB. There was no outstanding balance on the FHLB line of credit for the periods ended September 30, 2019 and December 31, 2018. The Company has the capacity to borrow funds on a secured basis utilizing the Borrower in Custody program and the Discount Window at the Federal Reserve Bank of Boston (the “FRB”). At September 30, 2019, the Company’s available secured line of credit at the FRB was $107.7 million. The Company has pledged certain loans and securities to the FRB to support this arrangement. There were no borrowings with the FRB for the periods ended September 30, 2019 and December 31, 2018. The Company maintains, with a correspondent bank, an unused unsecured federal funds line of credit that has an aggregate overnight borrowing capacity of $50 million as of September 30, 2019 and December 31, 2018. There was no outstanding balance on the line of credit as of September 30, 2019 and December 31, 2018. Long-term FHLB advances consist of advances with a maturity of more than one year. The advances outstanding at September 30, 2019 and December 31, 2018 include no callable advances and $319 thousand of amortizing advances. All FHLB borrowings, including the line of credit, are secured by a blanket security agreement on certain qualified collateral, principally all residential first mortgage loans and certain securities. A summary of maturities of FHLB advances as of September 30, 2019 is, as follows:
|  | September 30, 2019
(in thousands, except rates) |  | Carrying Value |  | Weighted Average Rate
Fixed rate advances maturing: |  |  |  |  |  |
2019 |  | $ | 393,601 |  |  | 2.27 | %
2020 |  | 54,982 |  |  | 2.14 |
2021 |  | 11,658 |  |  | 2.19 |
2022 |  | 134,000 |  |  | 2.25 |
2023 |  | 1,000 |  |  | — |
2024 and thereafter |  | 5,319 |  |  | 1.79 |
Total FHLB advances |  | $ | 600,560 |  |  | 2.24 | %
In April 2008, the Company issued fifteen year junior subordinated notes in the amount of $5.0 million. These debt securities qualify as Tier 2 capital for the Company and the Bank. The subordinated debt securities are callable by the Bank after five years without penalty, the next date on which the securities can be redeemed is December 15, 2019. The interest rate is three-month LIBOR plus 3.45%. At September 30, 2019 and December 31, 2018 the interest rate was 5.57% and 6.24%, respectively. The Company has $17.0 million of subordinated debt issued on October 29, 2014, in connection with the execution of a Subordinated Note Purchase Agreement with an aggregate of $17.0 million of subordinated notes (the “Notes”) to the accredited investors. The Notes have a maturity date of November 1, 2024, and will bear interest at a fixed rate of 6.75% per annum. The Company may, at its option, beginning with the interest payment date of November 1, 2019, and on any interest payment date thereafter, redeem the Notes, in whole or in part, at par plus accrued and unpaid interest to the date of redemption. Any partial redemption will be made pro rata among all of the noteholders. The Notes are not subject to repayment at the option of the noteholders. The Notes are unsecured, subordinated obligations of the Company and rank junior in right of payment to the Company’s senior indebtedness and to the Company’s obligations to its general creditors. The Company also has $20.6 million in floating Junior Subordinated Deferrable Interest Debentures ("Debentures") issued by NHTB Capital Trust II ("Trust II") and NHTB Capital Trust III ("Trust III"), which are both Connecticut statutory trusts. The Debentures were issued on March 30, 2014, carry a variable interest rate of 3-month LIBOR plus 2.79%, and mature in 2034. The debt is callable by the Company at the time when any interest payment is made. Trust II and Trust III are considered variable interest entities for which the Company is not the primary beneficiary. Accordingly, Trust II and Trust III are not consolidated into the Company’s financial statements.

X
- References No definition available. + Details
Name: | us-gaap_DebtDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- 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 http://asc.fasb.org/topic&trid=2208564 + Details
Name: | us-gaap_DebtDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration