Note 5 - Cash, Cash Equivalents and Restricted Cash

6 Months Ended

Jun. 30, 2023

Notes to Financial Statements

Cash and Cash Equivalents Disclosure [Text Block]

5. Cash, Cash Equivalents and Restricted Cash

The Company manages its cash and cash equivalents based upon the Company’s operating, investment, and financing activities. Cash and cash equivalents, for the purposes of reporting cash flows, consist of cash and due from banks, short-term investments, and interest-bearing deposits. Cash and due from banks include cash on hand, cash items in transit, cash due from the Federal Reserve Bank of San Francisco (“FRBSF”) and other financial institutions. Short-term investments and interest-bearing deposits include cash placed with other banks with original maturity of three months or less.

The Company had average excess balance with FRBSF of $1.04 billion as of June 30, 2023 and $1.24 billion for the year ended December 31, 2022. As of June 30, 2023 and December 31, 2022, the Company had $80.6 million and $88.9 million, respectively, as cash margin that serves as collateral on deposit in a cash margin account for interest rate swaps of which $3.5 million and $8.2 million is restricted. As of June 30, 2023 and December 31, 2022, the Company held $41.6 million and $25.4 million, respectively, in a restricted escrow account with a major bank for its alternative energy investments.