XML 36 R22.htm IDEA: XBRL DOCUMENT v3.24.0.1
Note 14 - Junior Subordinated Debentures
12 Months Ended
Dec. 31, 2023
Junior Subordinated Debentures  
Junior Subordinated Debentures

Note 14. Junior Subordinated Debentures

Junior subordinated debentures are summarized as of December 31, 2023 and 2022 as follows:

    

2023

2022

(dollars in thousands)

Note Payable to QCR Holdings Capital Trust II

$

10,310

$

10,310

Note Payable to QCR Holdings Capital Trust III

 

8,248

 

8,248

Note Payable to QCR Holdings Capital Trust V

 

10,310

 

10,310

Note Payable to Community National Trust II*

 

3,093

 

3,093

Note Payable to Community National Trust III*

 

3,609

 

3,609

Note Payable to Guaranty Bankshares Statutory Trust I**

 

4,640

 

4,640

Note Payable to Guaranty Statutory Trust II***

10,310

10,310

Market Value Discount per ASC 805****

 

(1,789)

 

(1,918)

$

48,731

$

48,602

*      As part of the acquisition of Community National in 2013, the Company assumed two junior subordinated debentures with a total fair value of $4.2 million.

**    As part of the acquisition of Guaranty Bank in 2017, the Company assumed one junior subordinated debenture with a fair value of $3.9 million.

***  As part of the acquisition of GFED in 2022, the Company assumed one junior subordinated debenture with a fair value of $10.3 million.

****  Market value discount includes discount on junior subordinated debt acquired as described in *, ** and ***.

A schedule of the Company’s non-consolidated subsidiaries formed for the issuance of trust preferred securities, including the amounts outstanding as of December 31, 2023 and 2022, is as follows:

    

Amount

    

Amount

    

    

  

 

Outstanding

Outstanding

 

December 31, 

December 31, 

Interest Rate as of

Interest Rate as of

 

Name

Date Issued

2023

2022

Interest Rate

December 31, 2023

December 31, 2022

 

(dollars in thousands)

QCR Holdings Statutory Trust II

February 2004

$

10,310

$

10,310

 

2.85% over 3-month SOFR

 

8.44

%  

6.52

%

QCR Holdings Statutory Trust III

February 2004

 

8,248

 

8,248

 

2.85% over 3-month SOFR

 

8.44

%  

6.52

%

QCR Holdings Statutory Trust V

February 2006

 

10,310

 

10,310

 

1.55% over 3-month SOFR

 

7.21

%  

5.63

%

Community National Statutory Trust II

September 2004

 

3,093

 

3,093

 

2.17% over 3-month SOFR

 

7.80

%  

6.92

%

Community National Statutory Trust III

March 2007

 

3,609

 

3,609

 

1.75% over 3-month SOFR

 

7.40

%  

6.52

%

Guaranty Bankshares Statutory Trust I

May 2005

 

4,640

 

4,640

 

1.75% over 3-month SOFR

 

7.40

%  

6.52

%

Guaranty Statutory Trust II

December 2005

 

10,310

 

10,310

 

1.45% over 3-month SOFR

 

7.09

%  

6.14

%

$

50,520

$

50,520

 

Weighted Average Rate

 

7.70

%  

6.29

%

  

Securities issued by all of the trusts listed above mature 30 years from the date of issuance, but all are currently callable at par at any time. Interest rate reset dates vary by Trust.

The Company uses interest rate swaps for the purpose of hedging interest rate risk on all of the variable rate junior subordinated debt.  See Note 8 to the Consolidated Financial Statements for the details of these instruments.