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BORROWED FUNDS AND SUBORDINATED DEBT
12 Months Ended
Dec. 31, 2020
BORROWED FUNDS AND SUBORDINATED DEBT  
BORROWED FUNDS AND SUBORDINATED DEBT

12. BORROWED FUNDS AND SUBORDINATED DEBT

Short-term borrowings (initial maturity within one year) include the following:

(In Thousands)

    

December 31, 

    

December 31, 

2020

2019

FHLB-Pittsburgh borrowings

$

18,066

$

84,292

Customer repurchase agreements

 

1,956

 

1,928

Total short-term borrowings

$

20,022

$

86,220

Short-term borrowings from FHLB-Pittsburgh are as follows:

(In Thousands)

    

December 31, 

    

December 31, 

2020

2019

Overnight borrowing

$

0

$

64,000

Other short-term advances

 

18,066

 

20,292

Total short-term FHLB-Pittsburgh borrowings

$

18,066

$

84,292

The overnight borrowing from FHLB-Pittsburgh had an interest rate of 1.81% at December 31, 2019. At December 31, 2020, other short-term advances included five advances totaling $18,000,000 which are presented in the table inclusive of the unaccreted purchase accounting adjustment, with a weighted-average effective rate of 0.43%.  At December 31, 2019, other short-term advances included seven advances totaling $20,297,000 which are presented in the table net of the unamortized purchase accounting adjustment, with a weighted-average effective rate of 2.28%.

The weighted average interest rate on total short-term borrowings outstanding was 0.40% at December 31, 2020 and 1.88% at December 31, 2019. The maximum amount of total short-term borrowings outstanding at any month-end was $56,647,000 in 2020 and $86,220,000 in 2019.

The Corporation had available credit with other correspondent banks totaling $45,000,000 at December 31, 2020 and 2019. These lines of credit are primarily unsecured. No amounts were outstanding at December 31, 2020 or 2019.

The Corporation has a line of credit with the Federal Reserve Bank of Philadelphia’s Discount Window. At December 31, 2020, the Corporation had available credit in the amount of $14,654,000 on this line with no outstanding advances. At December 31, 2019, the Corporation had available credit in the amount of $14,244,000 on this line with no outstanding advances. As collateral for this line, the Corporation has pledged available-for-sale securities with a carrying value of $15,126,000 at December 31, 2020 and $14,728,000 at December 31, 2019.

The FHLB-Pittsburgh loan facility is collateralized by qualifying loans secured by real estate with a book value totaling $1,049,690,000 at December 31, 2020 and $778,877,000 at December 31, 2019. Also, the FHLB-Pittsburgh loan facility requires the Corporation to invest in established amounts of FHLB-Pittsburgh stock. The carrying values of the Corporation’s holdings of FHLB-Pittsburgh stock (included in Other Assets) were $9,720,000 at December 31, 2020 and $10,131,000 at December 31, 2019. The Corporation’s total credit facility with FHLB-Pittsburgh was $771,199,000 at December 31, 2020, including an unused (available) amount of $698,977,000. At December 31, 2019, the Corporation’s total credit facility with FHLB-Pittsburgh was $552,546,000, including an unused (available) amount of $416,127,000.

The Corporation engages in repurchase agreements with certain commercial customers. These agreements provide that the Corporation sells specified investment securities to the customers on an overnight basis and repurchases them on the following business day. The weighted average rate paid by the Corporation on customer repurchase agreements was 0.10%at December 31, 2020 and December 31, 2019. The carrying value of the underlying securities was $1,980,000 at December 31, 2020 and $1,951,000 at December 31, 2019.

LONG-TERM BORROWINGS

Long-term borrowings from FHLB-Pittsburgh are as follows:

(In Thousands)

    

December 31, 

    

December 31, 

2020

2019

Loans matured in 2020 with a weighted-average rate of 2.71%

$

0

$

5,069

Loans maturing in 2021 with a weighted-average rate of 1.36%

26,098

6,000

Loans maturing in 2022 with a weighted-average rate of 0.60%

15,682

20,000

Loans maturing in 2023 with a weighted-average rate of 0.73%

7,224

20,500

Loans maturing in 2024 with a weighted-average rate of 0.75%

5,137

0

Loan maturing in 2025 with a rate of 4.91%

467

558

Total long-term FHLB-Pittsburgh borrowings

$

54,608

$

52,127

Note: Weighted-average rates are presented as of December 31, 2020.

SUBORDINATED DEBT

At December 31, 2020 and 2019, outstanding subordinated debt agreements are as follows:

(In Thousands)

    

December 31, 

    

December 31, 

2020

2019

Agreements with an aggregate par value of $8,000,000; bearing interest at 6.25%; maturing in June 2026 and redeemable at par in June 2021

$

8,027

$

0

Agreements with an aggregate par value of $6,500,000; bearing interest at 6.50%; maturing in April 2027 and redeemable at par in April 2022

6,500

6,500

Agreement with a par value of $2,000,000; bearing interest at 6.50%; maturing in July 2027 and redeemable at par in July 2022

2,026

0

Total carrying value

$

16,553

$

6,500