Investment Securities

9 Months Ended

Sep. 30, 2012

Investments, Debt and Equity Securities [Abstract]

Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block]

Note 3 – Investment Securities

The following table provides information on the amortized cost and estimated fair values of investment securities.

			Gross		Gross		Estimated
	Amortized		Unrealized		Unrealized		Fair
(Dollars in thousands)	Cost		Gains		Losses		Value
Available-for-sale securities:
September 30, 2012:
Obligations of U.S. Government agencies and corporations	$	34,812	$	925	$	2	$	35,735
Mortgage-backed securities		87,427		2,588		2		90,013
Equity securities		589		35		-		624
Total	$	122,828	$	3,548	$	4	$	126,372
December 31, 2011:
Obligations of U.S. Government agencies and corporations	$	41,360	$	803	$	15	$	42,148
Mortgage-backed securities		85,545		1,587		99		87,033
Equity securities		577		22		-		599
Total	$	127,482	$	2,412	$	114	$	129,780
Held-to-maturity securities:
September 30, 2012:
Obligations of states and political subdivisions	$	4,075	$	251	$	-	$	4,326
December 31, 2011:
Obligations of states and political subdivisions	$	6,480	$	252	$	-	$	6,732

The following table provides information about gross unrealized losses and fair value by length of time that the individual available-for-sale securities have been in a continuous unrealized loss position at September 30, 2012.

	Less than 12 Months				More than 12 Months				Total
(Dollars in thousands)	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
Available-for-sale securities:
U.S. Gov’t. agencies and corporations	$	2,998	$	2	$	-	$	-	$	2,998	$	2
Mortgage-backed securities		1,571		2		-		-		1,571		2
Total	$	4,569	$	4	$	-	$	-	$	4,569	$	4

Total available-for-sale securities have a fair value of approximately $126.4 million. Of these securities, approximately $4.6 million have unrealized losses when compared to their amortized cost. All of the securities with the unrealized losses in the available-for-sale portfolio have modest duration risk, low credit risk, and minimal losses when compared to total amortized cost. The unrealized losses on debt securities that exist are the result of market changes in interest rates since original purchase. Because the Company does not intend to sell these debt securities and it is not more likely than not that the Company will be required to sell these securities before recovery of their amortized cost bases, which may be at maturity, the Company considers the unrealized losses in the available-for-sale portfolio to be temporary. There were no unrealized losses in the held-to-maturity securities portfolio at September 30, 2012.

The following table provides information on the amortized cost and estimated fair values of investment securities by maturity date at September 30, 2012.

	Available for sale				Held to maturity
	Amortized		Estimated		Amortized		Estimated
(Dollars in thousands)	Cost		Fair Value		Cost		Fair Value
Due in one year or less	$	5,015	$	5,031	$	1,415	$	1,422
Due after one year through five years		18,240		18,305		1,148		1,206
Due after five years through ten years		4,409		4,579		1,008		1,141
Due after ten years		94,575		97,833		504		557
		122,239		125,748		4,075		4,326
Equity securities		589		624		-		-
Total	$	122,828	$	126,372	$	4,075	$	4,326

The maturity dates for debt securities are determined using contractual maturity dates.