OTHER ASSETS

Other assets consist of the following:



	September 30, 2016		December 31, 2015
	(in thousands)
SBA 7(a) loans	$	39,496	$	43,178
SBA 7(a) loans, subject to secured borrowings	29,897		36,646
Other assets	20,439		22,577
	$	89,832	$	102,401

SBA 7(a) Loans—Represents the non‑government guaranteed retained portion of loans originated under the SBA 7(a) Program and the government guaranteed portion of loans that have not yet been fully funded or sold.

SBA 7(a) Loans, Subject to Secured Borrowings—Represents the government guaranteed portion of loans which were sold with the proceeds received from the sale reflected as secured borrowings—government guaranteed loans. There is no credit risk associated with these loans since the SBA has guaranteed payment of the principal.

At September 30, 2016 and December 31, 2015, 99% and 98%, respectively, of our loans were current with the remainder ($800,000 and $1,812,000, respectively) greater than 29 days delinquent. We classify loans with negative characteristics in substandard categories ranging from special mention to doubtful. At September 30, 2016 and December 31, 2015, $800,000 and $3,773,000, respectively, were classified in substandard categories.

At both September 30, 2016 and December 31, 2015, our loans were 94% concentrated in the hospitality industry.