Borrowings

3 Months Ended

Mar. 31, 2017

Note 16 – Borrowings

The following table presents the composition of assets sold under agreements to repurchase at March 31, 2017 and December 31, 2016.


(In thousands)	March 31, 2017		December 31, 2016
Assets sold under agreements to repurchase	$	434,714	$	479,425
Total assets sold under agreements to repurchase	$	434,714	$	479,425

The following table presents information related to the Corporation’s repurchase transactions accounted for as secured borrowings that are collateralized with investment securities available-for-sale, other assets held-for-trading purposes or which have been obtained under agreements to resell. It is the Corporation’s policy to maintain effective control over assets sold under agreements to repurchase; accordingly, such securities continue to be carried on the consolidated statements of financial condition.

Repurchase agreements accounted for as secured borrowings

		March 31, 2017		December 31, 2016
			Repurchase		Repurchase
(In thousands)			liability		liability
U.S. Treasury Securities
	Within 30 days	$	103,338	$	32,700
	After 30 to 90 days		12,415		-
	After 90 days		107,354		19,819
Total U.S. Treasury Securities			223,107		52,519
Obligations of U.S. government sponsored entities
	Within 30 days		15,963		95,720
	After 30 to 90 days		75,368		142,299
	After 90 days		32,629		25,380
Total obligations of U.S. government sponsored entities			123,960		263,399
Mortgage-backed securities
	Within 30 days		55,817		39,108
	After 30 to 90 days		24,734		58,552
	After 90 days		-		54,560
Total mortgage-backed securities			80,551		152,220
Collateralized mortgage obligations
	Within 30 days		7,096		11,287
Total collateralized mortgage obligations			7,096		11,287
Total		$	434,714	$	479,425

Repurchase agreements in portfolio are generally short-term, often overnight. As such our risk is very limited. We manage the liquidity risks arising from secured funding by sourcing funding globally from a diverse group of counterparties, providing a range of securities collateral and pursuing longer durations, when appropriate.

The following table presents information related to the Corporation’s other short-term borrowings for the periods ended March 31, 2017 and December 31, 2016.

(In thousands)	March 31, 2017		December 31, 2016
Others	$	1,200	$	1,200
Total other short-term borrowings	$	1,200	$	1,200
Note: Refer to the Corporation's 2016 Form 10-K for rates information at December 31, 2016.

The following table presents the composition of notes payable at March 31, 2017 and December 31, 2016.

(In thousands)		March 31, 2017		December 31, 2016

Advances with the FHLB with maturities ranging from 2017 through 2029 paying interest at
	monthly fixed rates ranging from 0.81% to 4.19 %	$	596,338	$	608,193
Advances with the FHLB with maturities ranging from 2018 through 2019 paying interest monthly
	at a floating rate ranging from 0.22% to 0.34% over the 1 month LIBOR		34,164		34,164
Advances with the FHLB with maturities ranging from 2018 through 2019 paying interest quarterly
	at a floating rate from 0.09% to 0.24% over the 3 month LIBOR		25,019		30,313
Unsecured senior debt securities maturing on 2019 paying interest semiannually at a
	fixed rate of 7.00%, net of debt issuance costs of $4,691 (2016 - $5,212)		445,309		444,788
Junior subordinated deferrable interest debentures (related to trust preferred securities)
	with maturities ranging from 2027 to 2034 with fixed interest rates ranging from
	6.125% to 8.327%, net of debt issuance costs of $470 (2016 - $476)		439,330		439,323
Others			17,812		18,071
Total notes payable		$	1,557,972	$	1,574,852

Note: Refer to the Corporation’s 2016 Form 10-K for rates information at December 31, 2016.

A breakdown of borrowings by contractual maturities at March 31, 2017 is included in the table below.

	Assets sold under			Short-term
(In thousands)	agreements to repurchase			borrowings	Notes payable		Total
Year
2017	$	434,714	$	1,200	$	78,854	$	514,768
2018		-		-		210,281		210,281
2019		-		-		597,793		597,793
2020		-		-		112,237		112,237
2021		-		-		21,694		21,694
Later years		-		-		537,113		537,113
Total borrowings	$	434,714	$	1,200	$	1,557,972	$	1,993,886

At March 31, 2017 and December 31, 2016, the Corporation had FHLB borrowing facilities whereby the Corporation could borrow up to $3.7 billion and $3.8 billion, respectively, of which $656 million and $673 million, respectively, were used. In addition, at March 31, 2017 and December 31, 2016, the Corporation had placed $200 million of the available FHLB credit facility as collateral for a municipal letter of credit to secure deposits. The FHLB borrowing facilities are collateralized with loans held-in-portfolio, and do not have restrictive covenants or callable features.

Also, at March 31, 2017, the Corporation has a borrowing facility at the discount window of the Federal Reserve Bank of New York amounting to $1.3 billion (2016 - $1.2 billion), which remained unused at March 31, 2017 and December 31, 2016. The facility is a collateralized source of credit that is highly reliable even under difficult market conditions.