Old Line Bancshares Inc. completed the sale of $35,000,000 in aggregate principal amount of its 5.625% Fixed-to-Floating Rate Subordinated Notes due 2026 (the Notes). The Notes were issued pursuant to an indenture and a supplemental indenture, each dated as of August 15, 2016 (as supplemented, the Indenture), between the Company and U.S. Bank National Association as Trustee (the Trustee). The Notes are unsecured subordinated obligations of the Company and rank equally with all other unsecured subordinated indebtedness currently outstanding or issued in the future. The Notes are subordinated in right of payment of all senior indebtedness. Indebtedness and obligations that rank junior to the Notes under the terms of the Indenture include any indebtedness the terms of which provide that such indebtedness ranks junior in right of payment to the Notes, with respect to which the Notes will rank senior in right of payment and upon liquidation. The Notes are functionally subordinate to all existing and future indebtedness of its subsidiaries, including the deposit obligations of Old Line Bank. The Notes are the obligations of the Company only and are not obligations of, and are not guaranteed by, any of the company's subsidiaries including Old Line Bank. The Notes will bear interest at a fixed rate of 5.625% per annum from and including August 15, 2016 to, but excluding, August 15, 2021 (the Fixed Rate Period) and a floating interest rate from and including August 15, 2021 to the maturity date or redemption date (the Floating Rate Period). Interest on the notes during the Fixed Rate Period is payable semi-annually in arrears on February 15 and May 15 of each year, beginning February 15, 2017. The floating interest rate will be reset quarterly, and the interest rate for any Floating Rate Period will be equal to the three-month LIBOR plus 4.502%. During the Floating Rate Period, interest on the Notes is payable quarterly in arrears on February 15, May 15, August 15 and November 15 of each year commencing on August 15, 2021 through the maturity date or redemption date. The Notes will mature on August 15, 2026. The company may redeem the Notes, in whole or in part, on or after August 15, 2021.