NOTE 4 — INVESTMENT SECURITIES, AVAILABLE FOR SALE

The following table presents the components of investment securities, available for sale:


	December 31,
(Dollars in thousands)	2012		2011
Corporate bonds	$	3,060	$	4,991

Investment securities, available for sale	$	3,060	$	4,991

The change in investment securities, available for sale consisted of the following for the periods indicated:


	December 31,
(Dollars in thousands)	2012			2011
Beginning balance	$	4,991		$	2,184
Purchases		2,560			4,715
Sales, calls, conversions, and maturities		(4,172	)		(2,175	)
Accretion of discount		273			171
Impairment		(620	)		(59	)
Changes in fair value		28			155

Ending balance	$	3,060		$	4,991

An issuer of securities held in the corporate bond portfolio filed for bankruptcy protection in April 2012 and emerged from bankruptcy in June 2012. Under the confirmed plan of reorganization, the $2.6 million of junior bonds purchased and held in the Company’s corporate bond portfolio were converted to a new class of common stock of the reorganized debtor, which had an estimated fair value of $1.9 million. The estimated fair value of the common stock the Company received, in full satisfaction of the junior bonds, upon the reorganized debtor’s emergence from bankruptcy is the new cost basis of the common stock. As of December 31, 2012, the Company’s common stock investment represented less than 5% of the voting stock of the reorganized debtor, there was no readily determinable fair value and is recorded at its new cost basis and classified in other noncurrent assets in the accompanying consolidated balance sheets. As a result, the Company recognized $0.6 million of impairment during the year ended December 31, 2012. In addition, as a result of the bankruptcy and reorganization, the Company recognized no interest income during the period the bonds were held in portfolio.

In December 2012, the Company sold $2.2 million of corporate bonds from a different issuer for $2.5 million and recognized a $0.3 million gain on investment securities, available for sale.

During the years ended December 31, 2012 and 2011, the Company held corporate bonds with a weighted average coupon of 12.4% and 11.7%, respectively, and an effective yield of 13.1% and 16.6%, respectively. During the years ended December 31, 2012 and 2011, accretion of the discount on investment securities, available for sale totaled $0.3 million and $0.2 million, respectively.

The amortized cost and gross unrealized holding gains for investment securities, available for sale, consisted of the following:


	December 31,
(Dollars in thousands)	2012		2011
Amortized cost	$	2,836	$	4,795
Gross unrealized holding gains		224		196

Estimated fair value	$	3,060	$	4,991

There were no individual investment securities with unrealized holding losses at December 31, 2012 or 2011. During the years ended December 31, 2012 and 2011, the Company recognized credit-related other-than-temporary impairment of $0.6 million and $0.1 million, respectively.

The following table presents the contractual maturities of investment securities, available for sale:


	December 31, 2012
(Dollars in thousands)	Amortized Cost		Fair Value
Due in one year or less	$	—	$	—
Due after one year through three years		2,836		3,060
Due after three years through five years		—		—

Total	$	2,836	$	3,060