Investment Securities (Tables)

6 Months Ended

Jun. 30, 2018

Amortized Cost, Fair Values, and Unrealized Gains and Losses of Securities Available-for-Sale

The amortized cost, fair values, and unrealized gains and losses of the securities available-for-sale are as follows

(in thousands):

June 30, 2018	Amortized Cost		Gross Unrealized				Fair/Book Value
June 30, 2018	Amortized Cost		Gains		Losses		Fair/Book Value
Government Agency & Government-Sponsored Entities	$	3,056	$	15	$	-	$	3,071
US Treasury Notes		139,689		2		416		139,275
US Govt SBA		18,583		8		188		18,403
Mortgage Backed Securities⁽¹⁾		293,473		337		7,396		286,414
Other		3,011		-		-		3,011
Total	$	457,812	$	362	$	8,000	$	450,174

December 31, 2017	Amortized Cost		Gross Unrealized				Fair/Book Value
December 31, 2017	Amortized Cost		Gains		Losses		Fair/Book Value
Government Agency & Government-Sponsored Entities	$	3,080	$	48	$	-	$	3,128
US Treasury Notes		144,606		-		442		144,164
US Govt SBA		29,559		29		208		29,380
Mortgage Backed Securities⁽¹⁾		302,502		939		1,527		301,914
Other		3,010		-		-		3,010
Total	$	482,757	$	1,016	$	2,177	$	481,596

June 30, 2017	Amortized Cost		Gross Unrealized				Fair/Book Value
June 30, 2017	Amortized Cost		Gains		Losses		Fair/Book Value
Government Agency & Government-Sponsored Entities	$	3,103	$	92	$	-	$	3,195
US Treasury Notes		134,689		3		272		134,420
US Govt SBA		32,889		30		119		32,800
Mortgage Backed Securities (1)		288,121		1,821		919		289,023
Other		2,429		-		-		2,429
Total	$	461,231	$	1,946	$	1,310	$	461,867

⁽¹⁾All Mortgage Backed Securities consist of securities collateralized by residential real estate and were issued by an agency or government sponsored entity of the U.S. government.

Book Values, Estimated Fair Values and Unrealized Gains and Losses of Investments Classified as Held-to-Maturity

The book values, estimated fair values and unrealized gains and losses of investments classified as held-to-maturity are as follows (in thousands):

	Book		Gross Unrealized				Fair
June 30, 2018	Value		Gains		Losses		Value
Obligations of States and Political Subdivisions	$	52,210	$	227	$	79	$	52,358
Total	$	52,210	$	227	$	79	$	52,358

	Book		Gross Unrealized				Fair
December 31, 2017	Value		Gains		Losses		Value
Obligations of States and Political Subdivisions	$	54,460	$	776	$	-	$	55,236
Total	$	54,460	$	776	$	-	$	55,236

	Book		Gross Unrealized				Fair
June 30, 2017	Value		Gains		Losses		Value
Obligations of States and Political Subdivisions	$	56,381	$	746	$	-	$	57,127
Total	$	56,381	$	746	$	-	$	57,127

Amortized Cost and Estimated Fair Values of Investment Securities by Contractual Maturity

The amortized cost and estimated fair values of investment securities at June 30, 2018 by contractual maturity are shown in the following table (in thousands):

	Available-for-Sale				Held-to-Maturity
June 30, 2018	Amortized Cost		Fair/Book Value		Book Value		Fair Value
Within one year	$	128,110	$	127,874	$	3,613	$	3,618
After one year through five years		18,748		18,582		5,750		5,753
After five years through ten years		1,583		1,580		19,192		19,258
After ten years		15,898		15,724		23,655		23,729
		164,339		163,760		52,210		52,358

Investment securities not due at a single maturity date:
Mortgage-backed securities		293,473		286,414		-		-

Total	$	457,812	$	450,174	$	52,210	$	52,358

Investments with Gross Unrealized Losses and Their Market Value Aggregated by Investment Category and Length of Time that Individual Securities Have Been in a Continuous Unrealized Loss Position

The following tables show those investments with gross unrealized losses and their market value aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at the dates indicated (in thousands):

	Less Than 12 Months				12 Months or More				Total
June 30, 2018	Fair Value		Unrealized Loss		Fair Value		Unrealized Loss		Fair Value		Unrealized Loss

Securities Available-for-Sale
US Treasury Notes	$	14,412	$	178	$	29,876	$	238	$	44,288	$	416
US Govt SBA		5,589		68		9,023		120		14,612		188
Mortgage Backed Securities		214,949		5,464		58,148		1,932		273,097		7,396
Total	$	234,950	$	5,710	$	97,047	$	2,290	$	331,997	$	8,000

Securities Held-to-Maturity
Obligations of States and Political Subdivisions	$	8,543	$	79	$	-	$	-	$	8,543	$	79
Total	$	8,543	$	79	$	-	$	-	$	8,543	$	79

	Less Than 12 Months				12 Months or More				Total
December 31, 2017	Fair Value		Unrealized Loss		Fair Value		Unrealized Loss		Fair Value		Unrealized Loss

Securities Available-for-Sale
US Treasury Notes	$	94,281	$	144	$	49,883	$	298	$	144,164	$	442
US Govt SBA		8,379		51		12,900		157		21,279		208
Mortgage Backed Securities		126,863		932		43,208		595		170,071		1,527
Total	$	229,523	$	1,127	$	105,991	$	1,050	$	335,514	$	2,177

There were no HTM investments with gross unrealized losses at December 31, 2017

	Less Than 12 Months				12 Months or More				Total
June 30, 2017	Fair Value		Unrealized Loss		Fair Value		Unrealized Loss		Fair Value		Unrealized Loss

Securities Available-for-Sale
US Treasury Notes	$	74,423	$	272	$	-	$	-	$	74,423	$	272
US Govt SBA	$	22,775	$	119	$	-	$	-		22,775	$	119
Mortgage Backed Securities		141,268		919		-		-		141,268		919
Total	$	238,466	$	1,310	$	-	$	-	$	238,466	$	1,310

Proceeds from Sales and Calls of Securities

Proceeds from sales and calls of securities were as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
(in thousands)	2018		2017		2018		2017
Proceeds	$	31,370	$	7,831	$	31,370	$	7,831
Gains		8		143		8		143
Losses		1,338		12		1,338		12