Accordingly, we express no such opinion. Generally, interest payments received on nonaccrual loans are applied to principal. Improvements to premises and equipment that extend their useful lives are capitalized. Certificates of deposit are estimated utilizing discounted cash flow techniques. Junior Subordinated Debentures. We classify our junior subordinated debentures in Level 2 of the fair value hierarchy. As of December 31, 2020, we had unused borrowing capacity of $242 million with the FHLB. The recipients of stock units have no rights of a stockholder. 41Table of ContentsPayment of Dividends by the Bank to the Company. David J. Munio has served as a member of our Board of Directors since December 2015. Mr. Yost was the Chief Credit Officer of Imperial Bank prior to its merger with Comerica. All of our then-current directors attended our 2020 Annual Meeting of Shareholders. The HR and Compensation Committee held three meetings in 2020. Risk and Finance Committee Oversight Responsibilities. Anti-Hedging and Pledging Policies. We have included some highlights below to share our ongoing commitments in these areas. All of the benefits described below would be provided by us. The key features of our Executive Compensation Philosophy are summarized below. 2) As of December 31, 2020, no non-employee director held any stock options. In 2020, the Chairman of the Board of Directors received a monthly retainer of $7,916.