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Qualifying Debt
3 Months Ended
Mar. 31, 2016
Qualifying Debt Disclosure [Abstract]  
Qualifying Debt
6. QUALIFYING DEBT
Subordinated Debt
The Company has $150.0 million of subordinated debt outstanding, which was recorded net of debt issuance costs of $1.8 million, and matures July 15, 2025. The subordinated debt has a fixed interest rate of 5.00% through June 30, 2020 and then converts to a variable rate of 3.20% plus three-month LIBOR through maturity. The carrying value of subordinated debt also includes the effective portion of related hedges and totals $153.2 million at March 31, 2016.
Junior Subordinated Debt
The Company has formed or acquired through acquisitions eight statutory business trusts, which exist for the exclusive purpose of issuing Cumulative Trust Preferred Securities.
With the exception of debt issued by Bridge Capital Trust I and Bridge Capital Trust II, junior subordinated debt is recorded at fair value at each reporting date due to the FVO election made by the Company under ASC 825. The Company did not make the FVO election for the Bridge junior subordinated debt. Accordingly, the carrying value of these trusts at each future reporting date will not reflect the current fair value of the debt. The carrying value of junior subordinated debt was $57.2 million and $58.4 million at March 31, 2016 and December 31, 2015, respectively.
The weighted average interest rate of all junior subordinated debt as of March 31, 2016 was 2.97%, which is three-month LIBOR plus the contractual spread of 2.34%, compared to a weighted average interest rate of 2.95% at December 31, 2015.