Other Borrowings

12 Months Ended

Dec. 31, 2014

Other Borrowings [Abstract]

Other Borrowings

NOTE 11           Other Borrowings

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

	2014		2013
Short-term repurchase agreements	$	4,324	$	5,441
Bank stock term loan		500		1,500
Wholesale structured repurchase agreements		5,500		13,500
Total other borrowings	$	10,324	$	20,441

PSB pledges various securities available for sale as collateral for repurchase agreements. The fair value of securities pledged for repurchase agreements totaled $12,722 and $22,699 at December 31, 2014 and 2013, respectively.

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

	2014			2013
As of end of year:
Weighted average rate		2.40	%		3.08	%
For the year:
Highest month-end balance	$	23,698		$	24,100
Daily average balance	$	18,649		$	21,862
Weighted average rate		3.00	%		2.97	%

The wholesale structured repurchase agreement at December 31, 2014 is with JP Morgan Chase Bank N.A. and carries a fixed interest rate of 4.09% which matures in November 2017. The repurchase agreement may be put back by the issuer to PSB for repayment on a quarterly basis.

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, 2014, 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, 2014, PSB had pledged $114,157 of commercial purpose loans in the program, which permitted Discount Window advances up to $81,207 against this collateral. No investment securities were pledged against the line at December 31, 2014 or 2013. There were no Discount Window advances outstanding at December 31, 2014 or 2013.

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, 2015, and is secured by a pledge of PSB Holdings, Inc.’s investment in the common stock of the 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, 2014 and 2013, 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, 2014 or 2013.

PSB has a term loan outstanding at the parent holding company level payable to Bankers’ Bank with semiannual installments of principal that was originated during 2013. Principal payments due total $500 in 2015. Total interest expense on the term note totaled $27 during 2014 and $54 during 2013.