2020 Annual Report

The following table presents the average balance and average rate paid on each of the following deposit categories for the years ended December 31, 2020, 2019, and 2018:

As of and for the Year Ended December 31, 2020 Average Average

As of and for the Year Ended December 31, 2019 Average Average

As of and for the Year Ended December 31, 2018 Average Average

(dollars in thousands)

Balance

Rate

Balance

Rate

Balance

Rate

Noninterest Bearing Transaction Deposits . $ 579,595 — % Interest Bearing Transaction Deposits . . . . . 295,036 0.55 223,376 0.73 177,335 0.36 Savings and Money Market Deposits . . . . . 523,520 1.02 447,040 1.73 381,318 1.23 Time Deposits < $250,000 . . . . . . . . . . . . . . 244,779 2.13 232,310 2.30 196,235 1.93 Time Deposits > $250,000 . . . . . . . . . . . . . . 129,416 2.01 116,838 2.61 103,786 1.87 Brokered Deposits . . . . . . . . . . . . . . . . . . . . . 348,126 1.45 261,023 2.39 232,022 2.12 Total Deposits . . . . . . . . . . . . . . . . . . . . . . . $ 2,120,472 0.93 % $ 1,694,964 1.42 % $ 1,421,594 1.12 % — % $ 414,377 — % $ 330,898

The following table presents time deposits, including brokered time deposits, of $100,000 or more, by time remaining until maturity.

December 31,

(dollars in thousands)

2020

$ 158,407

Three Months or Less . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Over Three Months through Six Months. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Over Six Months through 12 Months . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Over 12 Months. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Totals. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

61,650 74,260 283,466

$ 577,783

Borrowed Funds Federal Funds Purchased

In addition to deposits, the Company utilizes overnight borrowings to meet the daily liquidity needs of clients and fund loan growth. The following table presents a summary of overnight borrowings, which consist of federal funds purchased from correspondent banks on an overnight basis at the prevailing overnight market rates and the weighted average interest rates paid for the periods presented:

As of and for the year ended December 31,

(dollars in thousands)

2020

2019

2018

Outstanding at Period-End . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ — $ 18,000 Average Amount Outstanding . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,239 7,433 29,671 Maximum Amount Outstanding at any Month-End . . . . . . . . . . . . . . . . . . . . . . 37,000 87,000 90,000 Weighted Average Interest Rate: During Period . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.53 % 2.50 % 2.15 % End of Period . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.29 % 1.73 % 2.63 % Other Borrowings At December 31, 2020, other borrowings outstanding consisted of FHLB advances of $57.5 million and a note payable of $11.0 million. During the year ended December 31, 2020, the Company prepaid $94.0 million of fixed rate FHLB term advances with an average cost of 2.83% and incurred a loss on extinguishment of debt of $7.0 million. The $11.0 million note payable matured in February 2021 and was paid off in full at maturity. — $

78