Company: BCTF
Filing Date: 2025-03-06
Form Type: 10-K
Source: 0001552781-25-000058
Chunk: 526

Company: Bancorp 34, Inc.
Filing Date: 2025-03-06
Form: 10-K
Item: Item 1B
Chunk 526
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 under the BTFP and removed assets
that were previously pledged to secure borrowings. As of December 31, 2023, the Bank had $29 million in outstanding BTFP advances.

As of December 31, 2024, the Bank pledged
securities with a carrying value of $50.2 million and had borrowing availability of $49.3 million at the Federal Reserve Bank of San
Francisco’s Discount Window. No borrowings were outstanding through the Discount Window as of December 31, 2024.

    107

As of December 31, 2024, and 2023, the Bank
had available unsecured Federal Funds lines of credit at correspondent banks totaling $49.8 million and $39.8 million, respectively.
The terms of the borrowings are overnight at the applicable fed funds borrowing rate. As of December 31, 2024, the Bank had no borrowings
under these lines of credit.

On June 29, 2021, the Company completed
a private placement of $25.0 million of 10 year, fixed-to-floating rate subordinated notes. The subordinated notes initially bear interest
at 4.00% per annum for five years, floating at Three-Month SOFR plus 328 basis points quarterly thereafter. The ten-year notes mature
on July 15, 2031, and are callable at the Company’s option after five years. The subordinated notes have unamortized origination
fees of $351,000 at December 31, 2024. As part of the Merger with CBOA, $1.5 million of the subordinated debt was acquired in the transaction
and subsequently retired.

As part of the Merger with CBOA, the Company
acquired CBOA Financial Statutory Trust #1, a trust formed by CBOA in November 2005. The trust closed a pooled private offering of 5,000
trust preferred securities with a liquidation amount of $1,000 per security. CBOA made a required equity contribution of $155,000 to
form the trust and issued $5 million of subordinated debentures to the trust in exchange for ownership of all of the common securities
of the trust and the proceeds of the preferred securities sold by the trust. The Company is able to redeem the subordinated debentures,
in whole or in part, in a principal amount with integral multiples of $1,000,