| ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) |
15. ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) The following tables present the components of other comprehensive income for the three and six months ended June 30, 2017 and 2016, by component: | | | | | | | | | | | | | (dollars in thousands) | Before Tax | | Tax Effect | | Net of Tax | Three Months Ended June 30, 2017 | |
| | |
| | |
| Net unrealized gains on investment securities: | |
| | |
| | |
| Net unrealized gains arising during the period | $ | 3,001 |
| | $ | 1,193 |
| | $ | 1,808 |
| Less: Reclassification adjustment for losses realized in net income | 1,640 |
| | 653 |
| | 987 |
| Net unrealized gains on investment securities | 4,641 |
| | 1,846 |
| | 2,795 |
| | | | | | | Defined benefit plans: | |
| | |
| | |
| Amortization of net actuarial loss | 325 |
| | 222 |
| | 103 |
| Amortization of net transition obligation | 5 |
| | 2 |
| | 3 |
| Amortization of prior service cost | 4 |
| | 2 |
| | 2 |
| Settlement | 138 |
| | 56 |
| | 82 |
| Defined benefit plans, net | 472 |
| | 282 |
| | 190 |
| Other comprehensive income | $ | 5,113 |
| | $ | 2,128 |
| | $ | 2,985 |
|
| | | | | | | | | | | | | (dollars in thousands) | Before Tax | | Tax Effect | | Net of Tax | Three Months Ended June 30, 2016 | |
| | |
| | |
| Net unrealized gains on investment securities: | |
| | |
| | |
| Net unrealized gains arising during the period | $ | 9,737 |
| | $ | 3,871 |
| | $ | 5,866 |
| Less: Reclassification adjustment for losses realized in net income | — |
| | — |
| | — |
| Net unrealized gains on investment securities | 9,737 |
| | 3,871 |
| | 5,866 |
| | | | | | | Defined benefit plans: | |
| | |
| | |
| Amortization of net actuarial loss | 366 |
| | 124 |
| | 242 |
| Amortization of net transition obligation | 4 |
| | 1 |
| | 3 |
| Amortization of prior service cost | 5 |
| | 1 |
| | 4 |
| Defined benefit plans, net | 375 |
| | 126 |
| | 249 |
| Other comprehensive income | $ | 10,112 |
| | $ | 3,997 |
| | $ | 6,115 |
|
| | | | | | | | | | | | | (dollars in thousands) | Before Tax | | Tax Effect | | Net of Tax | Six Months Ended June 30, 2017 | |
| | |
| | |
| Net unrealized gains on investment securities: | |
| | |
| | |
| Net unrealized gains arising during the period | $ | 6,528 |
| | $ | 2,596 |
| | $ | 3,932 |
| Less: Reclassification adjustment for losses realized in net income | 1,640 |
| | 653 |
| | 987 |
| Net unrealized gains on investment securities | 8,168 |
| | 3,249 |
| | 4,919 |
|
| | | | | | Defined benefit plans: | | | |
| | |
| Net actuarial losses arising during the period | (1,042 | ) | | (415 | ) | | (627 | ) | Amortization of net actuarial loss | 647 |
| | 287 |
| | 360 |
| Amortization of net transition obligation | 9 |
| | 3 |
| | 6 |
| Amortization of prior service cost | 8 |
| | 3 |
| | 5 |
| Settlement | 138 |
| | 56 |
| | 82 |
| Defined benefit plans, net | (240 | ) | | (66 | ) | | (174 | ) | Other comprehensive income | $ | 7,928 |
| | $ | 3,183 |
| | $ | 4,745 |
| | | | | | |
| | | | | | | | | | | | | (dollars in thousands) | Before Tax | | Tax Effect | | Net of Tax | Six Months Ended June 30, 2016 | |
| | |
| | |
| Net unrealized gains on investment securities: | |
| | |
| | |
| Net unrealized gains arising during the period | $ | 29,420 |
| | $ | 11,701 |
| | $ | 17,719 |
| Less: Reclassification adjustment for losses realized in net income | — |
| | — |
| | — |
| Net unrealized gains on investment securities | 29,420 |
| | 11,701 |
| | 17,719 |
| | | | | | | Defined benefit plans: | |
| | |
| | |
| Net actuarial losses arising during the period | — |
| | — |
| | — |
| Amortization of net actuarial loss | 733 |
| | 248 |
| | 485 |
| Amortization of net transition obligation | 8 |
| | 2 |
| | 6 |
| Amortization of prior service cost | 10 |
| | 2 |
| | 8 |
| Defined benefit plans, net | 751 |
| | 252 |
| | 499 |
| Other comprehensive income | $ | 30,171 |
| | $ | 11,953 |
| | $ | 18,218 |
| | | | | | |
The following tables present the changes in each component of accumulated other comprehensive income (loss) ("AOCI"), net of tax, for the three and six months ended June 30, 2017 and 2016: | | | | | | | | | | | | | (dollars in thousands) | Investment
Securities | | Defined
Benefit
Plans | | Accumulated
Other
Comprehensive
Income | Three Months Ended June 30, 2017 | |
| | |
| | |
| Balance at beginning of period | $ | 6,853 |
| | $ | (6,614 | ) | | $ | 239 |
| | | | | | | Other comprehensive income before reclassifications | 1,808 |
| | — |
| | 1,808 |
| Amounts reclassified from AOCI | 987 |
| | 190 |
| | 1,177 |
| Total other comprehensive income | 2,795 |
| | 190 |
| | 2,985 |
| Balance at end of period | $ | 9,648 |
| | $ | (6,424 | ) | | $ | 3,224 |
|
| | | | | | | | | | | | | (dollars in thousands) | Investment
Securities | | Defined
Benefit
Plans | | Accumulated
Other
Comprehensive
Income | Three Months Ended June 30, 2016 | |
| | |
| | |
| Balance at beginning of period | $ | 21,034 |
| | $ | (8,728 | ) | | $ | 12,306 |
| | | | | | | Other comprehensive income before reclassifications | 5,866 |
| | — |
| | 5,866 |
| Amounts reclassified from AOCI | — |
| | 249 |
| | 249 |
| Total other comprehensive income | 5,866 |
| | 249 |
| | 6,115 |
| Balance at end of period | $ | 26,900 |
| | $ | (8,479 | ) | | $ | 18,421 |
|
| | | | | | | | | | | | | (dollars in thousands) | Investment
Securities | | Defined
Benefit
Plans | | Accumulated
Other
Comprehensive
Income | Six Months Ended June 30, 2017 | |
| | |
| | |
| Balance at beginning of period | $ | 4,729 |
| | $ | (6,250 | ) | | $ | (1,521 | ) | | | | | | | Other comprehensive loss before reclassifications | 3,932 |
| | (627 | ) | | 3,305 |
| Amounts reclassified from AOCI | 987 |
| | 453 |
| | 1,440 |
| Total other comprehensive income (loss) | 4,919 |
| | (174 | ) | | 4,745 |
| Balance at end of period | $ | 9,648 |
| | $ | (6,424 | ) | | $ | 3,224 |
| | | | | | |
| | | | | | | | | | | | | (dollars in thousands) | Investment
Securities | | Defined
Benefit
Plans | | Accumulated
Other
Comprehensive
Income | Six Months Ended June 30, 2016 | |
| | |
| | |
| Balance at beginning of period | $ | 9,181 |
| | $ | (8,978 | ) | | $ | 203 |
| | | | | | | Other comprehensive income before reclassifications | 17,719 |
| | — |
| | 17,719 |
| Amounts reclassified from AOCI | — |
| | 499 |
| | 499 |
| Total other comprehensive income | 17,719 |
| | 499 |
| | 18,218 |
| Balance at end of period | $ | 26,900 |
| | $ | (8,479 | ) | | $ | 18,421 |
| | | | | | |
The following table presents the amounts reclassified out of each component of AOCI for the three and six months ended June 30, 2017 and 2016: | | | | | | | | | | | | Amount Reclassified from AOCI | | Affected Line Item in the Statement Where Net Income is Presented | Details about AOCI Components | Three months ended June 30, | | (dollars in thousands) | 2017 | | 2016 | | Sale of investment securities available for sale | $ | (1,640 | ) | | $ | — |
| | Investment securities losses | | 653 |
| | — |
| | Tax benefit | | $ | (987 | ) | | $ | — |
| | Net of tax | | | | | | | Amortization of defined benefit retirement and supplemental executive retirement plan items | |
| | |
| | | Net actuarial loss | $ | (325 | ) | | $ | (366 | ) | | (1) | Net transition obligation | (5 | ) | | (4 | ) | | (1) | Prior service cost | (4 | ) | | (5 | ) | | (1) | Settlement | (138 | ) | | — |
| | (1) | | (472 | ) | | (375 | ) | | Total before tax | | 282 |
| | 126 |
| | Tax benefit | | $ | (190 | ) | | $ | (249 | ) | | Net of tax | | | | | | | Total reclassifications for the period | $ | (1,177 | ) | | $ | (249 | ) | | Net of tax |
| | | | | | | | | | | | Amount Reclassified from AOCI | | Affected Line Item in the Statement Where Net Income is Presented | Details about AOCI Components | Six months ended June 30, | | (dollars in thousands) | 2017 | | 2016 | | Sale of investment securities available for sale | $ | (1,640 | ) | | $ | — |
| | Investment securities losses | | 653 |
| | — |
| | Tax benefit | | $ | (987 | ) | | $ | — |
| | Net of tax | | | | | | | Amortization of defined benefit retirement and supplemental executive retirement plan items | |
| | |
| | | Net actuarial loss | $ | (647 | ) | | $ | (733 | ) | | (1) | Net transition obligation | (9 | ) | | (8 | ) | | (1) | Prior service cost | (8 | ) | | (10 | ) | | (1) | Settlement | (138 | ) | | — |
| | (1) | | (802 | ) | | (751 | ) | | Total before tax | | 349 |
| | 252 |
| | Tax benefit | | $ | (453 | ) | | $ | (499 | ) | | Net of tax | | | | | | | Total reclassifications for the period | $ | (1,440 | ) | | $ | (499 | ) | | Net of tax | | | | | | |
| | (1) | These AOCI components are included in the computation of net periodic pension cost (see Note 14 - Pension and Supplemental Executive Retirement Plans for additional details). |
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