Short-Term Borrowings and Long-Term Debt

3 Months Ended

Mar. 31, 2017

Short-Term Borrowings and Long-Term Debt

The following table represents outstanding short-term borrowings and long-term debt at March 31, 2017 and December 31, 2016:



				Carrying Value
(Dollars in thousands)	Maturity	Principal value at March 31, 2017		March 31, 2017		December 31, 2016
Short-term borrowings:
Short-term FHLB advances		$	—	$	—	$	500,000
Other short-term borrowings	(1)	5,163		5,163		12,668
Total short-term borrowings				$	5,163	$	512,668
Long-term debt:
3.50% Senior Notes	January 29, 2025	$	350,000	$	347,059	$	346,979
5.375% Senior Notes	September 15, 2020	350,000		347,733		347,586
6.05% Subordinated Notes (2)	June 1, 2017	45,964		46,223		46,646
7.0% Junior Subordinated Debentures	October 15, 2033	50,000		54,450		54,493
Total long-term debt				$	795,465	$	795,704


(1)	Represents cash collateral received from certain counterparties in relation to market value exposures of derivative contracts in our favor, which includes an interest rate swap agreement related to our 6.05% Subordinated Notes.


(2)	At March 31, 2017 and December 31, 2016, included in the carrying value of our 6.05% Subordinated Notes were $0.3 million and $0.8 million, respectively, related to hedge accounting associated with the notes.

Interest expense related to short-term borrowings and long-term debt was $9.2 million for the three months ended March 31, 2017 and $9.0 million for the three months ended March 31, 2016. Interest expense is net of the hedge accounting impact from our interest rate swap agreement related to our 6.05% Subordinated Notes. The weighted average interest rate associated with our short-term borrowings was 0.84 percent as of March 31, 2017 and 0.59 percent as of December 31, 2016.

Available Lines of Credit

We have certain facilities in place to enable us to access short-term borrowings on a secured (using high-quality fixed income securities as collateral) and an unsecured basis. These include repurchase agreements and uncommitted federal funds lines with various financial institutions. As of March 31, 2017, we did not have any borrowings outstanding against our uncommitted federal funds lines. We also pledge securities to the FHLB of San Francisco and the discount window at the Federal Reserve Bank. The fair value of collateral pledged to the FHLB of San Francisco (comprised primarily of U.S. Treasury securities) at March 31, 2017 totaled $1.7 billion, all of which was unused and available to support additional borrowings. The fair value of collateral pledged at the discount window of the Federal Reserve Bank at March 31, 2017 totaled $0.8 billion, all of which was unused and available to support additional borrowings.