11. BORROWED FUNDS

The following is a summary of borrowed funds by type:


At or for the twelve months ended:	Balance at End of Period		Weighted Average Interest Rate			Maximum Outstanding at Month End During the Period		Average Amount Outstanding During the Year		Weighted Average Interest Rate During the Year
December 31, 2015		(Dollars in Thousands)
FHLB advances	$	669,514		0.50	%	$	740,681	$	621,024		0.48	%
Federal funds purchased and securities sold under agreements to repurchase		128,200		0.45			135,550		119,290		0.30
Trust preferred borrowings		67,011		2.15			67,011		67,011		2.03
Senior Debt		55,000		6.25			55,000		55,000		6.85
Other borrowed funds		14,486		0.09			16,808		15,227		0.09

December 31, 2014
FHLB advances	$	405,894		0.52	%	$	758,400	$	600,172		0.40	%
Federal funds purchased and securities sold under agreements to repurchase		128,225		0.29			134,875		128,319		0.29
Trust preferred borrowings		67,011		1.97			67,011		67,011		1.97
Senior Debt		55,000		6.25			55,000		55,000		6.85
Reverse mortgage trust bonds payable		—		—			—		1,627		0.97
Other borrowed funds		11,645		0.08			27,088		20,228		0.09

Federal Home Loan Bank Advances

Advances from the FHLB with rates ranging from 0.42% to 1.23% at December 31, 2015 are due as follows:


(In Thousands)	Amount		Weighted Average Rate
2016	$	597,400		0.47	%
2017		33,315		0.96
2018		38,799		1.10

	$	669,514		0.50

Pursuant to collateral agreements with the FHLB, advances are secured by qualifying loan collateral, qualifying fixed-income securities, FHLB stock and an interest-bearing demand deposit account with the FHLB.

As a member of the FHLB, we are required to purchase and hold shares of capital stock in the FHLB in an amount at least equal to 0.10% of our member asset value plus 4.00% of advances outstanding. We were in compliance with this requirement with a stock investment in FHLB of $30.5 million at December 31, 2015 and $23.3 million as of December 31, 2014. This stock is carried on the accompanying Consolidated Statements of Condition at cost, which approximates liquidation value.

The increase in FHLB stock was due to the increase in FHLB Advances outstanding. We received dividends on our stock investment in FHLB of $2.2 million and $1.4 million for the years ended December 31, 2015 and 2014, respectively. For additional information regarding FHLB Stock, see Note 18 to the Consolidated Financial Statements.

Federal Funds Purchased and Securities Sold Under Agreements to Repurchase

During 2015 and 2014, we purchased federal funds as a short-term funding source. At December 31, 2015, we had purchased $128.2 million in federal funds at an average rate of 0.45%. At December 31, 2014, we had purchased $103.2 million in federal funds at an average rate of 0.29%.

We had no securities sold under agreements to repurchase at December 31, 2015. Securities sold under agreements to repurchase with the corresponding carrying and fair values of the underlying securities at December 31, 2014 were due as follows:

Borrowing
Amount

Rate

Collateral

(In Thousands)

Carrying
Value

Fair
Value

Accrued
Interest

2014

Over 90 days

25,000

2.98

35,886

35,549

Trust Preferred Borrowings

In 2005, we issued $67.0 million of aggregate principal amount of Pooled Floating Rate Securities at a variable interest rate of 177 basis points over the three-month LIBOR rate. These securities are callable and have a maturity date of June 1, 2035.

Senior Debt

In 2012, we issued and sold $55.0 million in aggregate principal amount of 6.25% Senior Notes due 2019 (the Senior Debt). The Senior Debt is unsecured and ranks equally with all of our other present and future unsecured unsubordinated obligations. The senior debt is effectively subordinated to our secured indebtedness and structurally subordinated to the indebtedness of our subsidiaries. At our option, the Senior Debt is callable, in whole or in part, after five years. The Senior Debt matures on September 1, 2019.

Other Borrowed Funds

Included in other borrowed funds are collateralized borrowings of $14.5 million and $11.6 million at December 31, 2015 and 2014, respectively, consisting of outstanding retail repurchase agreements, contractual arrangements under which portions of certain securities are sold overnight to retail customers under agreements to repurchase. Such borrowings were collateralized by mortgage-backed securities. The average rates on these borrowings were 0.09% and 0.08% at December 31, 2015 and 2014, respectively.

Borrower in custody

As of December 31, 2015, the Bank had $204.1 million of loans pledged to the Federal Reserve of Philadelphia (FRB). The Bank did not borrow funds from the FRB during 2015.