Investment Securities

6 Months Ended

Jun. 30, 2020

Investments Debt And Equity Securities [Abstract]

Investment Securities

Note 3 - Investment Securities

The amortized cost and fair values of investment securities at the date indicated are as follows:

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
	(dollars in thousands)
June 30, 2020
Available-for-sale
U.S. Treasury securities	$	19,990	$	53	$	(1	)	$	20,042
U.S. Agency collateralized mortgage obligations		118		5		-			123
U.S. Agency residential mortgage-backed securities		21		-		-			21
Municipal bonds		255		7		-			262
Total available-for-sale securities		20,384		65		(1	)		20,448
Held-to-maturity
U.S. Agency residential mortgage-backed securities		3,870		121		-			3,991
Total investment securities	$	24,254	$	186	$	(1	)	$	24,439

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
	(dollars in thousands)
December 31, 2019
Available-for-sale
U.S. Treasury securities	$	24,988	$	1	$	(44	)	$	24,945
U.S. Government agencies		3,000		-		(1	)		2,999
U.S. Agency collateralized mortgage obligations		129		-		-			129
U.S. Agency residential mortgage-backed securities		27		-		-			27
Municipal bonds		257		3		-			260
Total available-for-sale securities		28,401		4		(45	)		28,360
Held-to-maturity
U.S. Agency residential mortgage-backed securities		4,350		-		(21	)		4,329
Total investment securities	$	32,751	$	4	$	(66	)	$	32,689

The amortized cost and fair value of debt securities at June 30, 2020, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because issuers or the underlying borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Mortgage-backed securities and collateralized mortgage obligations are shown separately, since they are not due at a single maturity date.

	Available-for-Sale				Held-to-Maturity
	Amortized Cost		Fair Value		Amortized Cost		Fair Value
	(dollars in thousands)
June 30, 2020
Amounts maturing in
One year or less	$	14,991	$	14,991	$	-	$	-
After one year through five years		5,254		5,313		-		-
		20,245		20,304		-		-
U.S. Agency residential mortgage-backed securities and    collateralized mortgage obligations		139		144		3,870		3,991
	$	20,384	$	20,448	$	3,870	$	3,991

Investment securities with carrying values of $19,480,000 and $16,843,000 at June 30, 2020 and December 31, 2019 respectively, were pledged to secure public deposits and for other purposes as required or permitted by law.

There were no sales of securities available for sale during the three or six months ended June 30, 2020 and 2019.

Information pertaining to securities with gross unrealized losses at the dates indicated, aggregated by investment category and length of time that individual securities have been in a continuous loss position, follows:

	Less Than 12 Months					12 Months or Greater					Total
	Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses
	(dollars in thousands)
June 30, 2020
Available-for-sale
U.S. Treasury securities	$	14,991	$	(1	)	$	-	$	-		$	-	$	-
Total investment securities	$	14,991	$	(1	)	$	-	$	-		$	-	$	-
December 31, 2019
Available-for-sale
U.S. Treasury securities	$	9,994	$	(3	)	$	4,956	$	(41	)	$	14,950	$	(44	)
U.S. Government agencies		-		-			2,999		(1	)		2,999		(1	)
Total available-for-sale securities		9,994		(3	)		7,955		(42	)		17,949		(45	)
Held-to-maturity
U.S. Agency residential mortgage-backed    securities		3,140		(14	)		1,189		(7	)		4,329		(21	)
Total investment securities	$	13,134	$	(17	)	$	9,144	$	(49	)	$	22,278	$	(66	)

At June 30, 2020 and December 31, 2019, there were two and six securities in an unrealized loss position, respectively. Unrealized losses have not been recognized into income because management does not intend to sell and does not expect that it will be required to sell the investments. The decline is largely due to changes in market conditions and interest rates, rather than credit quality. The fair value is expected to recover as the underlying securities in the portfolio approach maturity date and market conditions improve. The Company does not consider these securities to be other than temporarily impaired at June 30, 2020 and December 31, 2019.