Investment Securities (Tables)

9 Months Ended

Sep. 30, 2012

Investment Securities [Abstract]

Amortized cost and estimated fair values of investments in debt and equity securities

The amortized cost and estimated fair values of investments in debt and equity securities are summarized in the following tables:

	September 30, 2012
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
	(In thousands)
Securities Available-for-Sale
Obligations of U.S. government corporations and agencies	$	161,785	$	9,794		—	$	171,579
Obligations of states and political subdivisions		9,562		389		—		9,951
Corporate debt securities		1,859		43		—		1,902
Total securities available-for-sale	$	173,206	$	10,226		—	$	183,432

	December 31, 2011
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
	(In thousands)
Securities Available-for-Sale
Obligations of U.S. government corporations and agencies	$	207,284	$	10,100		—		$	217,384
Obligations of states and political subdivisions		9,561		467		—			10,028
Corporate debt securities		1,848		—	$	(37	)		1,811
Total securities available-for-sale	$	218,693	$	10,567	$	(37	)	$	229,223

Amortized cost and estimated fair value of debt securities by contractual maturity

The amortized cost and estimated fair value of debt securities at September 30, 2012 by contractual maturity are shown below. Actual maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. At September 30, 2012, obligations of U.S. government corporations and agencies with a cost basis totaling $161,785,000 consist almost entirely of mortgage-backed securities whose contractual maturity, or principal repayment, will follow the repayment of the underlying mortgages. For purposes of the following table, the entire outstanding balance of these mortgage-backed securities issued by U.S. government corporations and agencies is categorized based on final maturity date. At September 30, 2012, the Company estimates the average remaining life of these mortgage-backed securities issued by U.S. government corporations and agencies to be approximately 3.3 years. Average remaining life is defined as the time span after which the principal balance has been reduced by half.

	Amortized Cost		Estimated Fair Value
	(In thousands)
Investment Securities
Due in one year	$	2,340	$	2,425
Due after one year through five years		8,745		9,207
Due after five years through ten years		53,086		55,291
Due after ten years		109,035		116,509
Totals	$	173,206	$	183,432

Gross unrealized losses on investment

Gross unrealized losses on investment securities and the fair value of the related securities, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, were as follows:

Less than 12 months

12 months or more

Total

Fair Value

Unrealized Loss

Fair Value

Unrealized Loss

Fair Value

Unrealized Loss

(In thousands)

September 30, 2012:

Securities Available-for-Sale:

Obligations of U.S. government corporations and agencies

—

—

—

—

—

—

Obligations of states and political subdivisions

—

—

—

—

—

—

Corporate debt securities

—

—

—

—

—

—

Total securities available-for-sale

—

—

—

—

—

—

	Less than 12 months					12 months or more				Total
	Fair Value		Unrealized Loss			Fair Value		Unrealized Loss		Fair Value		Unrealized Loss
	(In thousands)
December 31, 2011
Securities Available-for-Sale:
Obligations of U.S. government corporations and agencies	$	10		—			—		—	$	10		—
Obligations of states and political subdivisions		—		—			—		—		—		—
Corporate debt securities		1,811	$	(37	)		—		—		1,811	$	(37	)
Total securities available-for-sale	$	1,821	$	(37	)		—		—	$	1,821	$	(37	)