Investment Securities (Tables)
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9 Months Ended |
Sep. 30, 2022 |
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| Investment Securities |
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| Summary of amortized cost and fair value of securities held-to-maturity and available-for-sale |
The following table summarizes the amortized cost and fair value of securities held-to-maturity and available-for-sale and the corresponding amounts of gross unrealized gains and losses at September 30, 2022 and December 31, 2021. | | | | | | | | | | | | | | | September 30, 2022 | | | | | | Gross | | Gross | | | | | | Amortized | | Unrealized | | Unrealized | | Fair | (Dollars in thousands) | | Cost | | Gains | | (Losses) | | Value | Held-to-maturity | | | | | | | | | | | | | U.S Treasuries | | $ | 6,000 | | $ | — | | $ | (895) | | $ | 5,105 | U.S. government and federal agencies | | | 35,588 | | | — | | | (6,318) | | | 29,270 | Collateralized mortgage obligations | | | 21,924 | | | — | | | (4,155) | | | 17,769 | Taxable municipal | | | 6,076 | | | — | | | (1,340) | | | 4,736 | Mortgage-backed | | | 31,010 | | | — | | | (6,125) | | | 24,885 | Total Held-to-maturity Securities | | $ | 100,598 | | $ | — | | $ | (18,833) | | $ | 81,765 | Available-for-sale | | | | | | | | | | | | | U.S Treasuries | | $ | 63,404 | | $ | — | | $ | (4,585) | | $ | 58,819 | U.S. government and federal agencies | | | 38,717 | | | — | | | (4,261) | | | 34,456 | Corporate bonds | | | 3,000 | | | — | | | (308) | | | 2,692 | Collateralized mortgage obligations | | | 46,188 | | | — | | | (5,977) | | | 40,211 | Tax-exempt municipal | | | 4,996 | | | — | | | (623) | | | 4,373 | Taxable municipal | | | 608 | | | — | | | (30) | | | 578 | Mortgage-backed | | | 249,113 | | | — | | | (23,696) | | | 225,417 | Total Available-for-sale Securities | | $ | 406,026 | | $ | — | | $ | (39,480) | | $ | 366,546 |
| | | | | | | | | | | | | | | December 31, 2021 | | | | | | Gross | | Gross | | | | | | Amortized | | Unrealized | | Unrealized | | Fair | (Dollars in thousands) | | Cost | | Gains | | (Losses) | | Value | Held-to-maturity | | | | | | | | | | | | | U.S Treasuries | | $ | 6,000 | | $ | — | | $ | (150) | | $ | 5,850 | U.S. government and federal agencies | | | 35,720 | | | — | | | (726) | | | 34,994 | Collateralized mortgage obligations | | | 25,606 | | | — | | | (534) | | | 25,072 | Taxable municipal | | | 6,089 | | | — | | | (194) | | | 5,895 | Mortgage-backed | | | 32,094 | | | — | | | (647) | | | 31,447 | Total Held-to-maturity Securities | | $ | 105,509 | | $ | — | | $ | (2,251) | | $ | 103,258 | Available-for-sale | | | | | | | | | | | | | U.S Treasuries | | $ | 30,954 | | $ | — | | $ | (411) | | $ | 30,543 | U.S. government and federal agencies | | | 34,803 | | | 258 | | | (524) | | | 34,537 | Corporate bonds | | | 1,000 | | | 31 | | | — | | | 1,031 | Collateralized mortgage obligations | | | 39,596 | | | 179 | | | (726) | | | 39,049 | Tax-exempt municipal | | | 5,007 | | | 255 | | | — | | | 5,262 | Taxable municipal | | | 1,653 | | | 37 | | | (5) | | | 1,685 | Mortgage-backed | | | 127,287 | | | 1,232 | | | (1,326) | | | 127,193 | Total Available-for-sale Securities | | $ | 240,300 | | $ | 1,992 | | $ | (2,992) | | $ | 239,300 |
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| Schedule of gross unrealized loss position of investments |
The following tables summarize the fair value of securities held-to-maturity and securities available-for-sale at September 30, 2022 and December 31, 2021 and the corresponding amounts of gross unrealized losses. Management uses the valuations as of month-end in determining when securities are in an unrealized loss position. Therefore, a security’s market value could have exceeded its amortized cost on other days during the prior twelve-month period. | | | | | | | | | | | | | | | | | | | | | September 30, 2022 | | | Less than 12 Months | | 12 Months or Longer | | Total | | | | | Gross | | | | Gross | | | | Gross | | | Fair | | Unrealized | | Fair | | Unrealized | | Fair | | Unrealized | (Dollars in thousands) | | Value | | Losses | | Value | | Losses | | Value | | Losses | Held-to-maturity | | | | | | | | | | | | | | | | | | | U.S Treasuries | | $ | — | | $ | — | | $ | 5,105 | | $ | (895) | | $ | 5,105 | | $ | (895) | U.S. government and federal agencies | | | 834 | | | (166) | | | 28,436 | | | (6,152) | | | 29,270 | | | (6,318) | Collateralized mortgage obligations | | | 5,679 | | | (1,126) | | | 12,090 | | | (3,029) | | | 17,769 | | | (4,155) | Taxable municipal | | | — | | | — | | | 4,736 | | | (1,340) | | | 4,736 | | | (1,340) | Mortgage-backed | | | 1,643 | | | (328) | | | 23,242 | | | (5,797) | | | 24,885 | | | (6,125) | Total Held-to-maturity Securities | | $ | 8,156 | | $ | (1,620) | | $ | 73,609 | | $ | (17,213) | | $ | 81,765 | | $ | (18,833) | Available-for-sale | | | | | | | | | | | | | | | | | | | U.S Treasuries | | $ | 39,019 | | $ | (2,025) | | $ | 19,800 | | $ | (2,560) | | $ | 58,819 | | $ | (4,585) | U.S. government and federal agencies | | | 20,293 | | | (1,831) | | | 14,163 | | | (2,430) | | | 34,456 | | | (4,261) | Corporate bonds | | | 2,692 | | | (308) | | | — | | | — | | | 2,692 | | | (308) | Collateralized mortgage obligations | | | 20,001 | | | (1,507) | | | 20,210 | | | (4,470) | | | 40,211 | | | (5,977) | Tax-exempt municipal | | | 4,373 | | | (623) | | | — | | | — | | | 4,373 | | | (623) | Taxable municipal | | | 336 | | | (2) | | | 242 | | | (28) | | | 578 | | | (30) | Mortgage-backed | | | 165,485 | | | (13,529) | | | 59,932 | | | (10,167) | | | 225,417 | | | (23,696) | Total Available-for-sale Securities | | $ | 252,199 | | $ | (19,825) | | $ | 114,347 | | $ | (19,655) | | $ | 366,546 | | $ | (39,480) |
| | | | | | | | | | | | | | | | | | | | | December 31, 2021 | | | Less than 12 Months | | 12 Months or Longer | | Total | | | | | Gross | | | | Gross | | | | | Gross | | | Fair | | Unrealized | | Fair | | Unrealized | | Fair | | Unrealized | (Dollars in thousands) | | Value | | Losses | | Value | | Losses | | Value | | Losses | Held-to-maturity | | | | | | | | | | | | | | | | | | | U.S Treasuries | | $ | 5,851 | | $ | (150) | | $ | — | | $ | — | | $ | 5,851 | | $ | (150) | U.S. government and federal agencies | | | 31,617 | | | (645) | | | 3,376 | | | (81) | | | 34,993 | | | (726) | Collateralized mortgage obligations | | | 25,072 | | | (534) | | | — | | | — | | | 25,072 | | | (534) | Taxable municipal | | | 3,971 | | | (133) | | | 1,923 | | | (61) | | | 5,894 | | | (194) | Mortgage-backed | | | 27,995 | | | (573) | | | 3,452 | | | (74) | | | 31,447 | | | (647) | Total Held-to-maturity Securities | | $ | 94,506 | | $ | (2,035) | | $ | 8,751 | | $ | (216) | | $ | 103,257 | | $ | (2,251) | Available-for-sale | | | | | | | | | | | | | | | | | | | U.S Treasuries | | $ | 30,543 | | $ | (411) | | $ | — | | $ | — | | $ | 30,543 | | $ | (411) | U.S. government and federal agencies | | | 14,154 | | | (301) | | | 6,877 | | | (223) | | | 21,031 | | | (524) | Collateralized mortgage obligations | | | 30,352 | | | (726) | | | — | | | — | | | 30,352 | | | (726) | Taxable municipal | | | 265 | | | (5) | | | — | | | — | | | 265 | | | (5) | Mortgage-backed | | | 93,129 | | | (1,280) | | | 918 | | | (46) | | | 94,047 | | | (1,326) | Total Available-for-sale Securities | | $ | 168,443 | | $ | (2,723) | | $ | 7,795 | | $ | (269) | | $ | 176,238 | | $ | (2,992) |
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| Contractual maturities of investment securities |
The table below summarizes, by major security type, the contractual maturities of our investment securities as of September 30, 2022. Borrowers may have the right to call or prepay certain obligations and as such, the expected maturities of our securities are likely to differ from the scheduled contractual maturities presented below. | | | | | | | | | September 30, 2022 | | | Amortized | | Fair | (Dollars in thousands) | | Cost | | Value | Held-to-maturity | | | | | | | Due in one year or less | | $ | — | | $ | — | Due after one year through five years | | | 993 | | | 840 | Due after five years through ten years | | | 42,260 | | | 35,082 | Due after ten years | | | 57,345 | | | 45,843 | Total Held-to-maturity Securities | | $ | 100,598 | | $ | 81,765 | Available-for-sale | | | | | | | Due in one year or less | | $ | 38 | | $ | 38 | Due after one year through five years | | | 99,559 | | | 92,262 | Due after five years through ten years | | | 167,122 | | | 153,112 | Due after ten years | | | 139,307 | | | 121,134 | Total Available-for-sale Securities | | $ | 406,026 | | $ | 366,546 |
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| Summary of restricted securities |
The table below summarizes the carrying amount of restricted securities as of September 30, 2022 and December 31, 2021. | | | | | | | (Dollars in thousands) | | September 30, 2022 | | December 31, 2021 | Federal Reserve Bank Stock | | $ | 3,288 | | $ | 3,275 | Federal Home Loan Bank Stock | | | 1,073 | | | 1,616 | Community Bankers’ Bank Stock | | | 60 | | | 60 | Total Restricted Securities | | $ | 4,421 | | $ | 4,951 |
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