XML 34 R19.htm IDEA: XBRL DOCUMENT v3.22.4
BORROWINGS
 12 Months Ended
Dec. 31, 2022
Debt Disclosure [Abstract]  
BORROWINGS BORROWINGS
The following table presents information regarding the Company’s outstanding borrowings at December 31, 2022:
DescriptionMaturity DateAmountInterest Rate
(dollars in thousands)
FHLB AdvancesMarch 21, 2028$5,000 2.67%
FHLB AdvancesJanuary 5, 202320,000 4.18%
FHLB AdvancesJanuary 9, 202320,000 4.15%
FHLB AdvancesMarch 8, 202310,000 4.65%
FHLB AdvancesJanuary 17, 202320,000 4.15%
FHLB AdvancesJanuary 20, 202315,000 4.23%
FHLB AdvancesDecember 22, 202715,000 4.00%
FHLB AdvancesJanuary 30, 202320,000 4.23%
FRB Discount WindowJanuary 5, 202315,000 4.10%
Subordinated notesMay 20, 203239,123 5.25%
Subordinated debentures(1)24,229 (1)
Total borrowings$203,352 
(1) See individual maturity dates and interest rates in table below.


The following table presents information regarding the Company’s outstanding borrowings at December 31, 2021:

DescriptionMaturity DateAmountInterest Rate
(dollars in thousands)
FHLB AdvancesFebruary 3, 2023$3,000 3.51%
FHLB AdvancesMarch 21, 20285,000 2.67%
FHLB AdvancesAugust 15, 20254,500 2.62%
FHLB AdvancesJuly 30, 202910,000 1.01%
FHLB AdvancesJuly 11, 202910,000 1.03%
FHLB AdvancesNovember 9, 202920,000 1.07%
Term NoteMay 24, 20257,250 4.70%
Revolving CreditJuly 30, 20225,313 2.85%
Subordinated debentures(1)24,229 (1)
Fair value adjustment for FHLB Borrowings acquired from SouthCrest(844)N/A
Total borrowings$88,448 
(1) See individual maturity dates and interest rates in table below.
As collateral on the outstanding FHLB advances, the Company has provided a blanket lien on its portfolio of qualifying residential first mortgage loans, commercial loans, multifamily loans and HELOC loans, as well as U.S. Treasury and Agency securities. At December 31, 2022 and 2021, the lendable collateral value of those loans and securities pledged was $150.0 million and $130.3 million, respectively. At December 31, 2022, the Company had remaining credit availability from the FHLB of $574.9 million. At December 31, 2021, the Company had remaining credit availability from the FHLB of $574.7 million. The Company may be required to pledge additional qualifying collateral in order to utilize the full amount of the remaining credit line.

At December 31, 2022 and 2021, the Company also has available federal funds lines of credit with various financial institutions totaling $64.5 million, of which there were none outstanding at December 31, 2022 and 2021.

The Company has the ability to borrow funds from the Federal Reserve Bank (FRB) of Atlanta utilizing the discount window. The discount window is an instrument of monetary policy that allows eligible institutions to borrow money from the FRB on a short-term basis to meet temporary liquidity shortages caused by internal or external disruptions. At December 31, 2022, the Company had borrowing capacity available under this arrangement, with $15.0 million outstanding. The Company could be required to pledge certain available-for-sale investment securities as collateral under this agreement.

On May 1, 2019, the Company entered into two borrowing arrangements with a correspondent bank for $10.0 million each. The term note is secured by the Bank’s stock, expiring on May 1, 2024, and bears a fixed interest rate of 4.70%. The line of credit is also secured by the Bank's stock, expiring on July 30, 2022, and bears a variable interest rate of Wall Street Journal Prime minus 0.40%. The proceeds were used for the acquisition of LBC Bancshares, Inc. and its subsidiary, Calumet Bank. As of December 31, 2022, the term note and the line of credit were closed and had zero balances, as both were paid off with the proceeds from the Company's public offering of its common stock completed on February 10, 2022. As of December 31, 2021, the outstanding balance of the term note and the line of credit were $7.3 million and $5.3 million, respectively.

On May 20, 2022, the Company completed a private placement of $40.0 million in fixed-to-floating rate subordinated notes due 2032 (the “Notes”). The Notes will bear a fixed rate of 5.25% for the first five years and will reset quarterly thereafter to then current three-month Secured Overnight Financing Rate, as published by the Federal Reserve Bank of New York, plus 265 basis points for the five year floating term. The Company is entitled to redeem the Notes, in whole or in part, on any interest payment date on or after May 20, 2027, or at any time, in whole but not in part, upon certain other specified events. At December 31, 2022, $39.1 million of the Notes, net of debt issuance costs were outstanding.

The following table presents the information regarding the Company's subordinated debentures at December 31, 2022 and 2021. All subordinated debentures are at three month LIBOR rate plus added points noted below at December 31, 2022 and 2021.
 
DescriptionDateAmountAdded
Points 		Maturity5-Year
Call Option
(dollars in thousands)
Colony Bankcorp Statutory Trust IIIJune 16, 2004$4,640 2.68%June 14, 2034June 17, 2009
Colony Bankcorp Capital Trust IApril 13, 20065,155 1.50%April 13, 2036April 13, 2011
Colony Bankcorp Capital Trust IIMarch 12, 20079,279 1.65%March 12, 2037March 12, 2012
Colony Bankcorp Capital Trust IIISeptember 14, 20075,155 1.40%September 14, 2037September 14, 2012

The Trust Preferred Securities are recorded as subordinated debentures on the consolidated balance sheets, and subject to certain limitations, qualify as Tier 1 Capital for regulatory capital purposes. The proceeds from these offerings were used to fund certain acquisitions, pay off holding company debt and inject capital into the Bank subsidiary. The Trust Preferred Securities pay interest quarterly.