Investment Securities (Tables)
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12 Months Ended |
Dec. 31, 2022 |
Investments, Debt and Equity Securities [Abstract] |
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Amortized Cost And Estimated Fair Value |
The amortized cost and fair value of the securities available-for-sale and held-to-maturity are as follows (dollars in thousands): | | | | | | | | | | | | | | | | | | December 31, 2022 | | | Amortized Cost | | Gross Unrealized Gains | | Gross Unrealized Losses | | Allowance for Credit Losses | | Estimated Fair Value | Available-for-sale | | | | | | | | | | | | | | | | U.S. government agencies | | $ | 50,625 | | $ | 49 | | $ | (75) | | $ | — | | $ | 50,599 | Mortgage-backed securities | | | 129,948 | | | — | | | (7,416) | | | — | | | 122,532 | State and political subdivisions | | | 223,810 | | | 607 | | | (18,437) | | | — | | | 205,980 | Corporate bonds | | | 65,164 | | | 10 | | | (7,739) | | | — | | | 57,435 | Collateralized loan obligations | | | 515,032 | | | 60 | | | (16,715) | | | — | | | 498,377 | Total available-for-sale securities | | $ | 984,579 | | $ | 726 | | $ | (50,382) | | $ | — | | $ | 934,923 | | | | | | | | | | | | | | | | | | | Amortized Cost | | Gross Unrecognized Gains | | Gross Unrecognized Losses | | Estimated Fair Value | | Allowance for Credit Losses | Held-to-maturity | | | | | | | | | | | | | | | | U.S. government agencies | | $ | 6,047 | | $ | — | | $ | (621) | | $ | 5,426 | | $ | — | Mortgage-backed securities | | | 157,473 | | | — | | | (9,915) | | | 147,558 | | | — | State and political subdivisions | | | 173,424 | | | 585 | | | 1,018 | | | 175,027 | | | (63) | Total held-to-maturity securities | | $ | 336,944 | | $ | 585 | | $ | (9,518) | | $ | 328,011 | | $ | (63) |
| | | | | | | | | | | | | | | | | | December 31, 2021 | | | Amortized Cost | | Gross Unrealized Gains | | Gross Unrealized Losses | | Allowance for Credit Losses | | Fair Value | Available-for-sale | | | | | | | | | | | | | | | | U.S. government agencies | | $ | 1,546 | | $ | 28 | | $ | — | | $ | — | | $ | 1,574 | Mortgage-backed securities | | | 303,912 | | | 4,772 | | | (1,957) | | | — | | | 306,727 | State and political subdivisions | | | 290,729 | | | 13,807 | | | (268) | | | — | | | 304,268 | Corporate bonds | | | 28,436 | | | 94 | | | (1) | | | — | | | 28,529 | Collateralized loan obligations | | | 332,836 | | | 68 | | | (688) | | | — | | | 332,216 | Total available-for-sale securities | | $ | 957,459 | | $ | 18,769 | | $ | (2,914) | | $ | | | $ | 973,314 |
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Information Pertaining to Investment Securities Aggregated by Investment Category and Length of Time that Individual Securities in a Continuous Loss Position |
The following table summarizes available-for-sale debt securities that were in an unrealized loss position for which an ACL has not been recorded, based on the length of time the individual securities have been in an unrealized loss position, including the number of available-for-sale debt securities in an unrealized loss position, as of the dates indicated below (dollars in thousands): | | | | | | | | | | | | | | | | | | | | | December 31, 2022 | | | | Less than twelve months | | Twelve months or longer | | Total | | Number of Securities | | Gross Unrealized Losses | | Fair Value | | Gross Unrealized Losses | | Fair Value | | Gross Unrealized Losses | | Fair Value | Available-for-sale | | | | | | | | | | | | | | | | | | | | U.S. government agencies | 8 | | $ | (75) | | $ | 27,550 | | $ | — | | $ | — | | $ | (75) | | $ | 27,550 | Mortgage-backed securities | 340 | | | (7,108) | | | 119,260 | | | (308) | | | 3,227 | | | (7,416) | | | 122,487 | State and political subdivisions | 252 | | | (15,732) | | | 147,635 | | | (2,705) | | | 9,807 | | | (18,437) | | | 157,442 | Corporate bonds | 52 | | | (7,644) | | | 54,636 | | | (95) | | | 405 | | | (7,739) | | | 55,041 | Collateralized loan obligations | 60 | | | (10,152) | | | 309,102 | | | (6,563) | | | 169,743 | | | (16,715) | | | 478,845 | Total available-for-sale | 712 | | $ | (40,711) | | $ | 658,183 | | $ | (9,671) | | $ | 183,182 | | $ | (50,382) | | $ | 841,365 |
| | | | | | | | | | | | | | | | | | | | | December 31, 2021 | | | | Less than twelve months | | Twelve months or longer | | Total | | Number of Securities | | Gross Unrealized Losses | | Fair Value | | Gross Unrealized Losses | | Fair Value | | Gross Unrealized Losses | | Fair Value | Available-for-sale | | | | | | | | | | | | | | | | | | | | U.S. government agencies | — | | $ | — | | $ | — | | $ | — | | $ | — | | $ | — | | $ | — | Mortgage-backed securities | 47 | | | (1,797) | | | 107,026 | | | (160) | | | 2,808 | | | (1,957) | | | 109,834 | State and political subdivisions | 28 | | | (268) | | | 30,170 | | | — | | | — | | | (268) | | | 30,170 | Corporate bonds | 1 | | | (1) | | | 499 | | | — | | | — | | | (1) | | | 499 | Collateralized loan obligations | 22 | | | (688) | | | 175,581 | | | — | | | — | | | (688) | | | 175,581 | Total available-for-sale | 98 | | $ | (2,754) | | $ | 313,276 | | $ | (160) | | $ | 2,808 | | $ | (2,914) | | $ | 316,084 |
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Realized Gain (Loss) on Investments |
Gross gains and losses from the sales and calls of securities for the years ended were as follows (dollars in thousands): | | | | | | | | | | | | December 31, | | | 2022 | | 2021 | | 2020 | Gross gains on sales and calls of securities | | $ | 1,487 | | $ | 11 | | $ | 433 | Gross losses on sales and calls of securities | | | — | | | — | | | (43) | Net gains (losses) on sales and calls of securities | | $ | 1,487 | | $ | 11 | | $ | 390 |
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Investments Classified by Contractual Maturity Date |
The amortized cost and estimated fair value of investment securities available-for-sale and held-to-maturity at December 31, 2022 by contractual maturity are shown below. Expected maturities will differ from contractual maturities because the issuers of the securities may have the right to call or prepay obligations with or without penalties (dollars in thousands): | | | | | | | | | | | | | | | December 31, 2022 | | | Available-for-Sale | | Held-to-Maturity | | | Amortized Cost | | Fair Value | | Amortized Cost | | Fair Value | Maturing within one year | | $ | 12,141 | | $ | 12,184 | | $ | 672 | | $ | 666 | Maturing after one year through five years | | | 21,013 | | | 20,831 | | | 2,059 | | | 2,032 | Maturing after five years through ten years | | | 119,649 | | | 111,513 | | | 19,048 | | | 17,431 | Maturing after ten years | | | 186,796 | | | 169,486 | | | 157,692 | | | 160,324 | Securities not due at a single maturity date: | | | | | | | | | | | | | Mortgage-backed securities | | | 129,948 | | | 122,532 | | | 157,473 | | | 147,558 | Collateralized loan obligations | | | 515,032 | | | 498,377 | | | — | | | — | | | $ | 984,579 | | $ | 934,923 | | $ | 336,944 | | $ | 328,011 |
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Summary of Amortized Cost and Fair Values of General Obligation and Revenue Bonds |
The following table summarizes the amortized cost and fair values of general obligation and revenue bonds in the Company’s investment securities portfolio at the indicated dates, identifying the state in which the issuing municipality or agency operates for our largest geographic concentrations (dollars in thousands): | | | | | | | | | | | | | | | December 31, 2022 | | December 31, 2021 | General obligation bonds | | Amortized Cost | | Fair Value | | Amortized Cost | | Fair Value | State of Issuance: | | | | | | | | | | | | | Texas | | $ | 153,209 | | $ | 146,667 | | $ | 85,045 | | $ | 89,225 | California | | | 65,758 | | | 60,701 | | | 64,092 | | | 67,066 | Washington | | | 21,635 | | | 21,312 | | | 23,858 | | | 24,812 | Other (29 and 21 states, respectively) | | | 102,336 | | | 100,480 | | | 75,037 | | | 78,579 | Total general obligation bonds | | | 342,938 | | | 329,160 | | | 248,032 | | | 259,682 | | | | | | | | | | | | | | Revenue bonds | | | | | | | | | | | | | State of Issuance: | | | | | | | | | | | | | Texas | | | 9,216 | | | 8,840 | | | 7,038 | | | 7,377 | California | | | 3,788 | | | 3,673 | | | 1,349 | | | 1,392 | Washington | | | 4,083 | | | 3,490 | | | 4,334 | | | 4,602 | Other (20 and 14 states, respectively) | | | 37,209 | | | 35,844 | | | 29,976 | | | 31,215 | Total revenue bonds | | | 54,296 | | | 51,847 | | | 42,697 | | | 44,586 | Total obligations of states and political subdivisions | | $ | 397,234 | | $ | 381,007 | | $ | 290,729 | | $ | 304,268 |
The following table summarizes the amortized cost and fair value of revenue bonds in the Company’s investment securities portfolio at the indicated dates, identifying the revenue source of repayment for our largest source concentrations (dollars in thousands): | | | | | | | | | | | | | | | December 31, 2022 | | December 31, 2021 | Revenue bonds | | Amortized Cost | | Fair Value | | Amortized Cost | | Fair Value | Revenue Source: | | | | | | | | | | | | | Water | | $ | 21,246 | | $ | 19,977 | | $ | 15,534 | | $ | 16,220 | Lease | | | 7,035 | | | 7,250 | | | 6,556 | | | 6,718 | Sewer | | | 6,560 | | | 6,405 | | | 3,932 | | | 4,165 | Sales tax | | | 4,123 | | | 3,934 | | | 5,514 | | | 5,842 | Local or guaranteed housing | | | 3,040 | | | 2,951 | | | 1,020 | | | 1,121 | Other (10 and 10 sources, respectively) | | | 12,292 | | | 11,330 | | | 10,141 | | | 10,520 | Total revenue bonds | | $ | 54,296 | | $ | 51,847 | | $ | 42,697 | | $ | 44,586 |
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