PEOPLES FINANCIAL SERVICES CORP. Debt Disclosure
12. Long-term debt:
Long-term debt consisting of advances from the FHLB at December 31, 2020 and 2019 are as follows:
Interest Rate |
|
|
| |||||||
Due | Fixed | December 31, 2020 | December 31, 2019 |
| ||||||
June 2020 |
| 1.74 | % | $ | 5,000 | |||||
June 2020 | 2.22 |
|
| 6,000 | ||||||
December 2020 | 1.84 | $ |
| 5,000 | ||||||
June 2021 | 1.99 | 10,000 | 10,000 | |||||||
March 2023 | 4.69 | 4,769 | 6,733 | |||||||
$ | 14,769 | $ | 32,733 | |||||||
Maturities of long-term debt, by contractual maturity, in years subsequent to December 31, 2020 are as follows:
2021 |
| $ | 12,058 | |
2022 |
| 2,156 | ||
2023 |
| 555 | ||
$ | 14,769 |
None of the advances from the FHLB are convertible. At December 31, 2020, long-term debt are all at fixed rates. There were no new long-term advances entered into with the FHLB during 2020. Two new long term advances were entered into with the FHLB during 2019 totaling $16,000 with terms of and two years.
During 2020, the company participated in the Federal Reserve Banks PPPLF by pledging PPP loans as collateral. Borrowings from this facility are categorized as long-term based on the or sixty month term of the loans pledged. At December 31, 2020, no advances were outstanding under this facility.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2020 | Mar 16, 2021 | Showing above |
| 2019 | Mar 16, 2020 | |
| 2018 | Mar 15, 2019 | |
| 2017 | Mar 14, 2018 | |
| 2016 | Mar 16, 2017 | |
| 2015 | Mar 11, 2016 | |
About Debt Disclosures
Debt disclosures detail a company's borrowing structure — the types of instruments, interest rates, maturity schedule, and covenant restrictions that define its financial obligations and flexibility. This section is essential for assessing refinancing risk, interest rate exposure, and the margin of safety against financial distress.
Key signals: the maturity schedule reveals concentration risk — large maturities within 1-2 years during tight credit markets can force dilutive refinancing or asset sales. Compare the fair value of debt against carrying amount to gauge whether the market views the company's credit risk differently than the balance sheet suggests. Watch covenant compliance disclosures for tightening cushions, especially leverage and interest coverage ratios. Variable-rate debt exposure quantifies sensitivity to interest rate changes. Secured versus unsecured mix affects recovery rates and future borrowing capacity. Compare net debt-to-EBITDA against industry peers and covenant limits to assess financial health.