NOTE (3) – Securities

The following table summarizes the amortized cost and fair value of the available-for-sale investment securities portfolios as of the periods indicated and the corresponding amounts of unrealized gains and losses which were recognized in accumulated other comprehensive income (loss):

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
	(In thousands)
June 30, 2018:
Federal agency mortgage-backed securities	$	10,791	$	109	$	(208)	$	10,692
Federal agency debt	5,424		-		(139)		5,285

Total available-for-sale securities	$	16,215	$	109	$	(347)	$	15,977

December 31, 2017:
Federal agency mortgage-backed securities	$	11,877	$	168	$	(37)	$	12,008
Federal agency debt	5,495		2		(11)		5,486

Total available-for-sale securities	$	17,372	$	170	$	(48)	$	17,494

At June 30, 2018, the Bank had 3 federal agency debt securities with total amortized cost of $5.4 million, estimated total fair value of $5.3 million and an estimated average remaining life of 4.1 years. The Bank also had 25 federal agency mortgage-backed securities with total amortized cost of $10.8 million, estimated total fair value of $10.7 million and an estimated average remaining life of 4.7 years. Expected maturities may differ from contractual maturities if borrowers have the right to call or prepay obligations with or without call or prepayment penalties.

Securities with unrealized losses at June 30, 2018 and December 31, 2017, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, were as follows:

	Less than 12 months				12 months or more				Total
	Estimated Fair Value		Gross Unrealized Losses		Estimated Fair Value		Gross Unrealized Losses		Estimated Fair Value		Gross Unrealized Losses
	(In thousands)
June 30, 2018:
Federal agency mortgage-backed securities	$	7,403	$	(174)	$	736	$	(34)	$	8,139	$	(208)
Federal agency debt	5,285		(139)		-		-		5,285		(139)

Total temporarily impaired	$	12,688	$	(313)	$	736	$	(34)	$	13,424	$	(347)

December 31, 2017:
Federal agency mortgage-backed securities	$	4,130	$	(20)	$	812	$	(17)	$	4,942	$	(37)
Federal agency debt	3,510		(11)		-		-		3,510		(11)

Total temporarily impaired	$	7,640	$	(31)	$	812	$	(17)	$	8,452	$	(48)

Securities in unrealized loss positions are analyzed as part of our ongoing assessment of other-than-temporary impairment. Consideration is given to the financial condition and near-term prospects of the issuer, the length of time and the extent to which the fair value has been less than the cost, and our intent and ability to retain our investment in the issuer for a period of time sufficient to allow for any anticipated recovery in fair value. All of the Bank’s securities were issued by the federal government or its agencies. The unrealized losses on our available-for-sale securities at June 30, 2018 were primarily caused by movements in market interest rates subsequent to the purchase of such securities. We do not consider these unrealized losses to be other than temporary impairment.

There were no securities pledged to secure public deposits at June 30, 2018. Securities pledged to secure public deposits had a carrying amount of $526 thousand at December 31, 2017. At June 30, 2018 and December 31, 2017, there were no holdings of securities by any one issuer, other than the U.S. Government and its agencies, in an amount greater than 10% of stockholders’ equity.

There were no sales of securities during the three and six months ended June 30, 2018 and 2017.