Note 6.

Other Borrowings

The Bank had unused lines of credit totaling $110.5 million and $108.4 million available with non-affiliated banks at March 31, 2014 and December 31, 2013, respectively. This amount primarily consists of a blanket floating lien agreement with the Federal Home Loan Bank of Atlanta (FHLB) under which the Bank can borrow up to 19% of its total assets. The unused line of credit with FHLB totaled $70.5 million at March 31, 2014.

At March 31, 2014 and December 31, 2013, the Bank had borrowings from the FHLB system totaling $6.0 million which mature through December 28, 2018. The interest rate on these notes payable ranged from 1.78% to 2.04% and the weighted average rate was 1.91%. The Bank also had a letter of credit from the FHLB totaling $25.0 million at March 31, 2014 and December 31, 2013. The Bank had collateral pledged on these borrowings and letter of credit at March 31, 2014 and December 31, 2013 including real estate loans totaling $71.3 million and $78.6 million, respectively, and Federal Home Loan Bank stock with a book value of $740 thousand and $908 thousand, respectively.

At March 31, 2014 and December 31, 2013, the Bank had a note payable totaling $46 and $52 thousand, respectively, secured by a deed of trust, which requires monthly payments of $2 thousand and matures January 3, 2016. The fixed interest rate on this loan is 4.00%.