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Note 17 - Subsequent Events
 3 Months Ended
Mar. 31, 2020
Notes to Financial Statements  
Subsequent Events [Text Block]
Note
17.
Subsequent Events
 
On
April 21, 2020,
the Company entered into
two
interest rate swap agreements related to its outstanding junior subordinated debt. One swap agreement was related to the Company’s junior subordinated debt with a redemption date of
June 17, 2034,
which became effective on
March 17, 2020.
The notional amount of the interest rate swap was
$5.0
million and terminates on
June 17, 2034. 
Under the terms of the agreement, the Company pays interest quarterly at a fixed rate of
0.79%
and receives interest quarterly at a variable rate of
three
-month LIBOR. The variable rate resets on each interest payment date. The other swap agreement was related to the Company’s junior subordinated debt with a redemption date of
October 1, 2036,
which became effective on
April 1, 2020.
The notional amount of the interest rate swap was
$4.0
million and terminates on
October 1, 2036.
Under the terms of the agreement, the Company pays interest quarterly at a fixed rate of
0.82%
and receives interest quarterly at a variable rate of
three
-month LIBOR. The variable rate resets on each interest payment date.
 
The Company entered into interest rate swaps to reduce interest rate risk and to manage interest expense. By entering into these agreements, the Company converted floating rate debt into fixed rate debt. Alternatively, the Company
may
enter into interest rate swap agreements to convert fixed rate debt into floating rate debt. Interest differentials paid or received under interest rate swap agreements will be reflected as adjustments to interest expense in future periods. The Company designated the interest rate swaps as hedging instruments in qualifying cash flow hedges, as discussed in Note
1
to the Consolidated Financial Statements. Changes in fair value of these designated hedging instruments will be reported as a component of other comprehensive income in future periods. The notional amounts of the interest rate swaps were
not
exchanged and do
not
represent exposure to credit loss. In the event of default by a counterparty, the risk in these transactions is the cost of replacing the agreements at current market rates.