NOTE 18: RELATED-PARTY TRANSACTIONS

Loans to related parties, including directors and executive officers of the Company and their affiliates, were as follows for the periods presented:


(dollars in thousands)	2017		2016

Balance, January 1	$	5,910	$	5,910
New loans and advances		—		—
Principal payments received		—		—
Balance, December 31	$	5,910	$	5,910

Interest earned from loans to related parties was $0.3 million in 2017, $0.3 million in 2016 and $0.2 million in 2015.

The Bank held $5.1 million and $2.9 million of deposits from related parties, including directors and executive officers of the Company and their affiliates, as of December 31, 2017 and December 31, 2016, respectively. Interest paid on deposit accounts held by related parties was $9,000 in 2017, $3,000 in 2016 and $7,000 in 2015.

As of December 31, 2017, related parties, including directors and executive officers of the Company and their affiliates, held $10.3 million in assets under management with FFA and FFB. In both 2017 and 2016, the Company received $0.1 million in fees related to these assets under management.

The CEO of the Company was, from 2013 to 2015, a member of the board of directors of a bank that provided a term loan to the Company. Under this loan, which was originated in the first quarter of 2013, subsequently amended in 2014 and 2015, and paid off in August 2015, the Company had average borrowings of $16.6 million in 2015, and the Company incurred interest of $0.7 million in 2015.

Two executive officers of FFB have minority interests in an entity which FFB uses for software services, for which FFB paid $0.2 million in 2017 and 2016.

The CEO of the Company is a director of another financial institution that has deposits with the Bank and, in 2017 and 2016, purchased $121.9 million and $41.4 million of loans, respectively, from the Bank for which the Bank will continue to provide servicing. The balance of deposits held at the Bank at December 31, 2017 was $70.4 million and the interest paid by the Bank was $0.3 million. The gain on sale of loans in 2017 and 2016 was $1.1 million and $0.6 million, respectively. The amount of loans serviced for this financial institution was $155.3 million at December 31, 2017. In 2013, the Bank participated in a loan to the parent company of this financial institution. This loan was paid off in November 2017. The amount of interest earned on this loan was $0.2 million in each of 2017, 2016 and 2015. In 2017, the Bank participated in a sub debt offering with the financial institution for $15 million. The Bank earned $0.1 million from this investment in 2017.

The CEO of the Company serves a director of a real estate investment trust that is an affiliate of an investment fund company for which FFA provides subadvisory services. The amount of AUM managed by FFA under this subadvisory agreement was $260 million and $236 million at December 31, 2017 and December 31, 2016, respectively, and the amount of fees earned by FFA were $0.4 million in 2017, 2016 and 2015.