v3.26.1
Short and Long-Term Borrowings
 6 Months Ended
Jun. 30, 2026
Debt Disclosure [Abstract]  
Short and Long-Term Borrowings Short and Long-Term Borrowings
Short-Term Borrowings:
Short-term borrowings include any borrowing with an original maturity of one year or less. The Company did not have any short-term borrowings outstanding at either June 30, 2026 or December 31, 2025.
Long-Term Borrowings:
Long-term borrowings include any borrowing with an original maturity greater than one year. The components of long-term borrowings were as follows.
(in thousands)June 30, 2026December 31, 2025
Junior subordinated debentures— 42,215 
Subordinated notes92,750 92,645 
Total long-term borrowings
$92,750 $134,860 
Junior Subordinated Debentures: Each of the junior subordinated debentures was issued to an underlying statutory trust (the “statutory trusts”), which issued trust preferred securities and common securities and used the proceeds from the issuance of the common and the trust preferred securities to purchase the junior subordinated debentures of the Company. The trust preferred securities ceased to qualify as Tier 1 capital during first quarter 2026 due to Nicolet exceeding $15 billion in total consolidated assets. Accordingly, the Company fully redeemed these debentures, including those acquired with MidWestOne, during second quarter 2026 and incurred a loss of $5 million upon extinguishment of this debt (included in other noninterest expense on the consolidated statements of income). At December 31, 2025, approximately $40 million of trust preferred securities qualified as Tier 1 capital.
Subordinated Notes (the “Notes”): In July 2021, the Company completed the private placement of $100 million in fixed-to-floating rate subordinated notes due in 2031, with a fixed annual rate of 3.125% for the first five years, and will reset quarterly thereafter to the then current three-month Secured Overnight Financing Rate (“SOFR”) plus 237.5 basis points. The Notes due in 2031 are redeemable beginning July 15, 2026 and quarterly thereafter on any interest payment date. All outstanding Notes qualify as Tier 2 capital for regulatory purposes, and are discounted in accordance with regulations when the debt has five years or less remaining to maturity.
The following table shows the breakdown of junior subordinated debentures and subordinated notes.
As of June 30, 2026
As of December 31, 2025
(in thousands)Maturity
Date		Interest
 Rate		ParUnamortized Premium /(Discount) / Debt Issue Costs
Carrying
Value		Interest
 Rate
Carrying
Value
Junior Subordinated Debentures:
Mid-Wisconsin Statutory Trust I (1)
12/15/2035— %$— $— $— 5.41 %$8,333 
Baylake Capital Trust II (2)
9/30/2036— %— — — 5.30 %14,133 
First Menasha Statutory Trust (3)
3/17/2034— %— — — 6.76 %4,799 
County Bancorp Statutory Trust II (4)
9/15/2035— %— — — 5.51 %5,741 
County Bancorp Statutory Trust III (5)
6/15/2036— %— — — 5.67 %5,683 
Fox River Valley Capital Trust (6)
5/30/2033— %— — — 7.89 %3,526 
ATBancorp Statutory Trust I (7)
6/15/2036— %— — — — %— 
ATBancorp Statutory Trust II (8)
9/15/2037— %— — — — %— 
Barron Investment Capital Trust I (9)
9/23/2036— %— — — — %— 
Central Bancshares Capital Trust II (10)
3/15/2038— %— — — — %— 
MidWestOne Statutory Trust II (11)
12/15/2037— %— — — — %— 
Total$— $— $— $42,215 
Subordinated Notes:
Subordinated Notes due 20317/15/20313.13 %$92,750 $— $92,750 3.13 %$92,645 
(1) The debentures, assumed in April 2013 as the result of an acquisition, had a floating rate of three-month SOFR plus 1.43%, adjusted quarterly.
(2) The debentures, assumed in April 2016 as a result of an acquisition, had a floating rate of three-month SOFR plus 1.35%, adjusted quarterly.
(3) The debentures, assumed in April 2017 as the result of an acquisition, had a floating rate of three-month SOFR plus 2.79%, adjusted quarterly.
(4) The debentures, assumed in December 2021 as the result of an acquisition, had a floating rate of three-month SOFR plus 1.53%, adjusted quarterly.
(5) The debentures, assumed in December 2021 as the result of an acquisition, had a floating rate of three-month SOFR plus 1.69%, adjusted quarterly.
(6) The debentures, assumed in December 2021 as the result of an acquisition, had a floating rate of 5-year swap rate plus 3.40%, which resets every five years.
(7) The debentures, assumed in February 2026 as the result of an acquisition, had a floating rate of three-month SOFR plus 1.68%, adjusted quarterly.
(8) The debentures, assumed in February 2026 as the result of an acquisition, had a floating rate of three-month SOFR plus 1.65%, adjusted quarterly.
(9) The debentures, assumed in February 2026 as the result of an acquisition, had a floating rate of three-month SOFR plus 2.15%, adjusted quarterly.
(10) The debentures, assumed in February 2026 as the result of an acquisition, had a floating rate of three-month SOFR plus 3.50%, adjusted quarterly.
(11) The debentures, assumed in February 2026 as the result of an acquisition, had a floating rate of three-month SOFR plus 1.59%, adjusted quarterly.