Other Borrowings

12 Months Ended

Dec. 31, 2012

Other Borrowings

Other Borrowings

NOTE 11 Other Borrowings

Other borrowings consist of the following obligations at December 31 as follows:

	2012		2011
Short-term repurchase agreements	$	7,228	$	6,191
Wholesale structured repurchase agreements		13,500		13,500
Total other borrowings	$	20,728	$	19,691

PSB pledges various securities available for sale as collateral for repurchase agreements. The fair value of securities pledged for repurchase agreements totaled $21,931 and $22,977 at December 31, 2012 and 2011, respectively.

The following information relates to securities sold under repurchase agreements for the years ended December 31:

	2012			2011
As of end of year:
Weighted average rate		2.81	%		2.98	%
For the year:
Highest month-end balance	$	20,728		$	32,644
Daily average balance	$	19,190		$	24,499
Weighted average rate		3.11	%		2.63	%

The wholesale structured repurchase agreements are with JP Morgan Chase Bank N.A. and carry fixed rates. The repurchase agreements may be put back by the issuer to PSB for repayment on a quarterly basis. The following information relates to the terms of wholesale structured repurchase agreements issued at December 31, 2012:

Maturity Date	Current Rate		Amount
November 1, 2014		4.335%	$	8,000
November 1, 2017		4.090%		5,500
Totals		4.235%	$	13,500

PSB has an agreement with the Federal Reserve to participate in their “Borrower in Custody” program in which performing commercial and commercial real estate loans may be pledged against short-term Discount Window advances. At December 31, 2012, the maximum amount of available advances from the Discount Window totaled $100,000, subject to available collateral pledged under the Borrower in Custody program or pledge of qualifying investment securities. At December 31, 2012, PSB had pledged $91,549 of commercial purpose loans in the program, which permitted Discount Window advances up to $70,141 against this collateral. No investment securities were pledged against the line at December 31, 2012. There were no Discount Window advances outstanding at December 31, 2012 or 2011.

PSB maintains a line of credit at the parent holding company level with Bankers’ Bank, Madison, Wisconsin, for advances up to $3,000 which expires on December 30, 2013, and is secured by a pledge of PSB Holdings, Inc.’s investment in the common stock of Peoples State Bank. The line carries a variable rate of interest based on changes in the three-month London InterBank Offered Rate (LIBOR). As of December 31, 2012 and 2011, no advances were outstanding on the line of credit. Draws on the line of credit are subject to several restrictive covenants including minimum regulatory capital ratios, minimum capital and loan loss allowances to nonperforming assets, and minimum loan loss allowances to nonperforming assets. PSB did not violate any of the covenants at December 31, 2012 or 2011.