Securities

3 Months Ended

Mar. 31, 2019

Investments Debt And Equity Securities [Abstract]

NOTE 4: SECURITIES

The following table provides a summary of the Company’s securities AFS portfolio as of:

		Amortized	Gross Unrealized					Estimated
(dollars in thousands)		Cost	Gains		Losses			Fair Value
March 31, 2019:
Agency mortgage-backed securities	$	704,262	$	4,338	$	(6,988	)	$	701,612
Beneficial interests in FHLMC securitization		31,136		1,308		(1,828	)		30,616
Corporate bonds		54,000		497		(70	)		54,427
Other		1,465		41		(1	)		1,505
Total	$	790,863	$	6,184	$	(8,887	)	$	788,160

December 31, 2018:
Agency mortgage-backed securities	$	723,597	$	11,883	$	(13,811	)	$	721,669
Beneficial interests in FHLMC securitization		32,143		1,756		(1,813	)		32,086
Corporate bonds		54,000		638		(294	)		54,344
Other		1,458		15		(3	)		1,470
Total	$	811,198	$	14,292	$	(15,921	)	$	809,569

US Treasury securities of $0.5 million as of March 31, 2019 that are included in the table above as Other are pledged as collateral to the State of California to meet regulatory requirements related to the Bank’s trust operations. As of March 31, 2019, $78 million of agency mortgage-backed securities are pledged as collateral as support for the Banks’s obligations under a loan sales and securitization agreement entered into in 2018.

The tables below indicate, as of March 31, 2019 and December 31, 2018, the gross unrealized losses and fair values of our investments, aggregated by investment category and length of time that the individual securities have been in a continuous unrealized loss position.

	Securities with Unrealized Loss at March 31, 2019
	Less than 12 months					12 months or more					Total
(dollars in thousands)	Fair Value			Unrealized Loss		Fair Value			Unrealized Loss		Fair Value		Unrealized Loss
Agency mortgage-backed securities	$	—	$	—		$	356,193	$	(6,988	)	$	356,193	$	(6,988	)
Beneficial interests in FHLMC securitization		—		—			6,605		(1,828	)		6,605		(1,828	)
Corporate bonds		3,930		(70	)		—		—			3,930		(70	)
Other		—		—			299		(1	)		299		(1	)
Total temporarily impaired securities	$	3,930		(70	)	$	363,097	$	(8,817	)	$	367,027	$	(8,887	)

	Securities with Unrealized Loss at December 31, 2018
(dollars in thousands)	Less than 12 months					12 months or more					Total
(dollars in thousands)	Fair Value		Unrealized Loss			Fair Value		Unrealized Loss			Fair Value		Unrealized Loss
Agency mortgage-backed securities	$	—	$	—		$	387,151	$	(13,811	)	$	387,151	$	(13,811	)
Beneficial interests in FHLMC securitization		429		(11	)		7,038		(1,802	)		7,467		(1,813	)
Corporate bonds		38,706		(294	)		—		—			38,706		(294	)
Other		—		—			497		(3	)		497		(3	)
Total temporarily impaired securities	$	39,135	$	(305	)	$	394,686	$	(15,616	)	$	433,821	$	(15,921	)

Unrealized losses in agency mortgage-backed securities, beneficial interests in FHLMC securitizations, and other securities have not been recognized into income because the issuer bonds are of high credit quality, management does not intend to sell, it is not more likely than not that management would be required to sell the securities prior to their anticipated recovery, and the decline in fair value is largely due to changes in discount rates and assumptions regarding future interest rates. The fair value is expected to recover as the bonds approach maturity.

The scheduled maturities of securities AFS and the related weighted average yields were as follows for the periods indicated:

(dollars in thousands)	Less than 1 Year			1 Through 5 years			5 Through 10 Years			After 10 Years			Total
March 31, 2019
Amortized Cost:
Corporate bonds	$	—		$	—		$	54,000		$	—		$	54,000
Other		500			—			965			—			1,465
Total		500			—			54,965			—			55,465
Weighted average yield	$	1.03	%		—	%		5.29	%		—	%		5.25	%
Estimated Fair Value:
Corporate bonds	$	—		$	—		$	54,427		$	—		$	54,427
Other		499			—			1,006			—			1,505
Total	$	499		$	—		$	55,433		$	—		$	55,932

(dollars in thousands)	Less than 1 Year			1 Through 5 years			5 Through 10 Years			After 10 Years			Total
December 31, 2018
Amortized Cost:
Corporate bonds	$	—		$	—		$	54,000		$	—		$	54,000
Other		500			—			958			—			1,458
Total		500			—			54,958			—			55,458
Weighted average yield		1.03	%		—	%		5.29	%		—	%		5.25	%
Estimated Fair Value:
Corporate bonds	$	—		$	—		$	54,344		$	—		$	54,344
Other		497			—			973			—			1,470
Total	$	497		$	—		$	55,317		$	—		$	55,814

Agency mortgage-backed securities and beneficial interests in FHLMC securitizations are excluded from the above table because such securities are not due at a single maturity date. The weighted average yield of the agency mortgage-backed securities and beneficial interests as of March 31, 2019 was 2.92%.