INVESTMENT SECURITIES

12 Months Ended

Dec. 31, 2015

Investments, Debt and Equity Securities [Abstract]

INVESTMENT SECURITIES

INVESTMENT SECURITIES

The amortized cost and fair value of available-for-sale investment securities at December 31 are summarized as follows (in thousands):

	Amortized Cost		Unrealized Gains	Unrealized Losses	Fair Value
2015
Investment Securities Available-for-Sale:
U.S. Treasury notes	$	72,672	309	135	72,846
U.S. Agency notes	140,876		164	1,151	139,889
U.S. Agency mortgage-backed securities	29,608		174	404	29,378
Certificates of deposit	248		1	—	249
Municipal securities:
Non-taxable	103,900		1,713	134	105,479
Taxable	26,738		337	134	26,941
Mutual funds	2,517		—	51	2,466
Trust preferred securities	49		1	—	50
Equity securities	659		40	19	680
	$	377,267	2,739	2,028	377,978
Investment Securities Held-to-Maturity:
Municipal securities:
Non-taxable	$	22,233	95	97	22,231
Taxable	400		—	1	399
	$	22,633	95	98	22,630
2014
Investment Securities Available-for-Sale:
U.S. Treasury notes	$	62,406	290	136	62,560
U.S. Agency notes	84,661		188	1,212	83,637
U.S. Agency mortgage-backed securities	37,838		413	219	38,032
Certificates of deposit	3,076		10	—	3,086
Municipal securities:
Non-taxable	75,727		1,972	304	77,395
Taxable	16,005		465	75	16,395
Mutual funds	2,483		—	22	2,461
Trust preferred securities	50		—	—	50
Equity securities	1,415		372	38	1,749
	$	283,661	3,710	2,006	285,365
Investment Securities Held-to-Maturity:
Municipal securities:
Non-taxable	$	22,525	108	695	21,938
Taxable	200		—	—	200
	$	22,725	108	695	22,138

Information concerning securities with gross unrealized losses at December 31, 2015 and 2014, aggregated by length of time that individual securities have been in a continuous loss position, is as follows (in thousands):

	Less Than Twelve Months			Twelve Months or More
	Fair Value		Unrealized Losses	Fair Value	Unrealized Losses
2015
Investment Securities Available-for-Sale:
U.S. Treasury notes	$	32,854	75	4,846	60
U.S. Agency notes	104,053		1,000	9,869	151
U.S. Agency mortgage-backed securities	19,190		256	4,068	148
Municipal securities:
Non-taxable	13,124		74	7,037	60
Taxable	15,601		114	880	20
Mutual funds	1,215		17	268	34
Equity securities	248		12	73	7
	$	186,285	1,548	27,041	480
Investment Securities Held-to-Maturity:
Municipal securities:
Non-taxable	$	832	3	3,426	94
Taxable	399		1	—	—
	$	1,231	4	3,426	94
2014
Investment Securities Available-for-Sale:
U.S. Treasury notes	$	9,141	7	8,774	129
U.S. Agency notes	—		—	65,971	1,212
U.S. Agency mortgage-backed securities	3,795		2	11,456	217
Municipal securities:
Non-taxable	7,211		58	11,419	246
Taxable	3,117		15	3,668	60
Mutual funds	281		12	1,190	10
Trust preferred securities	50		—	—	—
Equity securities	197		29	123	9
	$	23,792	123	102,601	1,883
Investment Securities Held-to-Maturity:
Municipal securities:
Non-taxable	$	8,152	540	4,200	155
	$	8,152	540	4,200	155

Management has determined that the unrealized losses at December 31, 2015 are primarily due to fluctuations in market interest rates and do not reflect credit quality deterioration of the securities.   Because the Company does not have the intent to sell the investments and it is more likely than not that the Company will not be required to sell the investments before recovery of their amortized cost, the Company does not consider these investments to be other-than-temporarily impaired.

Contractual maturities of investment securities at December 31, 2015 were as follows (in thousands).  Actual maturities may differ from contractual maturities when issuers have the right to call or prepay obligations.

	Available-for-Sale			Held-to-Maturity
	Amortized Cost		Fair Value	Amortized Cost	Fair Value
Due within one year	$	23,011	23,159	3,819	3,831
Due from one to five years	182,774		183,597	3,904	3,882
Due from five to ten years	138,649		138,648	3,168	3,107
Due after ten years	—		—	11,742	11,810
	344,434		345,404	22,633	22,630
U.S. Agency mortgage-backed securities	29,608		29,378	—	—
Mutual funds	2,517		2,466	—	—
Trust preferred securities	49		50	—	—
Equity securities	659		680	—	—
	$	377,267	377,978	22,633	22,630

Investment securities with a market value of $215,952,000 and $175,094,000 at December 31, 2015 and 2014, respectively, were pledged to secure public deposits and for other purposes required or permitted by law.

Certain information concerning the sale of investment securities available-for-sale for the years ended December 31 was as follows (in thousands):

	2015		2014	2013
Proceeds from sales	$	97,981	67,296	59,284
Gross realized gains	627		252	1,234
Gross realized losses	132		103	174