Comprehensive Income and Accumulated Other Comprehensive Income

3 Months Ended

Mar. 31, 2013

Comprehensive Income and Accumulated Other Comprehensive Income [Abstract]

Comprehensive Income and Accumulated Other Comprehensive Income

Note 6. Comprehensive Income and Accumulated Other Comprehensive Income

Comprehensive income was $8.3 million for the three months ended March 31, 2013, compared to $9.5 million for the three months ended March 31, 2012. The difference between net income as reported and comprehensive income was due to changes in unrealized gains and losses, net of tax.

The following table presents the changes in the Company’s accumulated other comprehensive income (AOCI) for the three months ended March 31, 2013.

	Changes in Net Unrealized Gains on Investment Securities Having No Credit Losses Recognized in the Consolidated Statement of Income			Changes in Net Unrealized Gains on Investment Securities Having Credit Losses Recognized in the Consolidated Statement of Income		Total Accumulated Other Comprehensive Income
	(in thousands)
Balance at December 31, 2012	$	2,966		$	13	$	2,979
Other comprehensive income (loss) before reclassifications		(531	)		—		(531	)
Amounts reclassified from accumulated other comprehensive income		(14	)		—		(14	)
Net current-period other comprehensive income (loss)		(545	)		—		(545	)
Balance at March 31, 2013	$	2,421		$	13	$	2,434

The following table presents the pretax and related income tax expense (benefit) components of the amounts reclassified from the Company’s accumulated other comprehensive income to the Company’s consolidated statement of income for the three months ended March 31, 2013 and 2012.

	Three Months Ended March 31,
	2013			2012
	(in thousands)
Reclassification adjustments related to unrealized gains on investment securities:
Having no credit losses recognized in the consolidated statement of income (1)	$	(22	)	$	(343	)
Income tax expense (2)		(8	)		(120	)
Total reclassifications, net of taxes	$	(14	)	$	(223	)

(1) (Increases) decreases net realized gains on investments on the consolidated statement of income.

(2) (Increases) decreases income tax expense on the consolidated statement of income.

The following table presents the pretax components of other comprehensive income (loss) and related income tax expense for the three months ended March 31, 2013 and 2012.

	Three Months Ended March 31,
	2013			2012
	(in thousands)
Changes in net unrealized gains on investment securities:
Having no credit losses recognized in the consolidated statement of income	$	(838	)	$	(82	)
Income tax expense		(293	)		(29	)
Total other comprehensive income (loss), net of taxes	$	(545	)	$	(53	)