5.	SECURITIES

Components of the available for sale portfolio are as follows:


	September 30, 2013
	(Dollars in thousands)
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
Available for Sale
U.S. Treasury and government sponsored entities’ securities	$	250,268	$	1	$	(20,506	)	$	229,763
Equity securities		101		295		—			396
Mortgage-backed GSE securities: residential		322,395		651		(10,394	)		312,652

Total	$	572,764	$	947	$	(30,900	)	$	542,811


	December 31, 2012
	(Dollars in thousands)
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
Available for Sale
U.S. Treasury and government sponsored entities’ securities	$	161,845	$	2,409	$	(562	)	$	163,692
Equity securities		101		212		—			313
Mortgage-backed GSE securities: residential		404,563		6,142		(148	)		410,557

Total	$	566,509	$	8,763	$	(710	)	$	574,562

Debt securities available for sale by contractual maturity, repricing or expected call date are shown below:


	September 30, 2013
	(Dollars in thousands)
	Amortized		Fair
	Cost		Value
Due in one year or less	$	—	$	—
Due after one year through five years		500		501
Due after five years through ten years		161,153		149,827
Due after ten years through fifteen years		88,615		79,435
Mortgage-related securities		322,394		312,652

Total	$	572,662	$	542,415

Home Savings had no securities pledged for the Company’s participation in the VISA payment processing program as of September 30, 2013 and had pledged approximately $5.8 million as of December 31, 2012. The requirement for Home Savings to pledge securities for participation in the VISA payment processing program was rescinded due to the termination of the Consent Order, as previously disclosed. Securities pledged for participation in the Ohio Linked Deposit Program were approximately $389,000 and $417,000 as of September 30, 2013 and December 31, 2012, respectively.

Securities available for sale in an unrealized loss position are as follows:


	September 30, 2013
	(Dollars in thousands)
	Less Than 12 Months					12 Months or More					Total
	Fair Value		Unrealized Loss			Fair Value		Unrealized Loss			Fair Value		Unrealized Loss
U.S. Treasury and government sponsored entities’ securities	$	229,262	$	(20,506	)	$	—	$	—		$	229,262	$	(20,506	)
Mortgage-related securities		264,019		(10,136	)		8,704		(257	)		272,723		(10,393	)

Total	$	493,281	$	(30,642	)	$	8,704	$	(257	)	$	501,985	$	(30,899	)


	December 31, 2012
	(Dollars in thousands)
	Less Than 12 Months					12 Months or More				Total
	Fair Value		Unrealized Loss			Fair Value		Unrealized Loss		Fair Value		Unrealized Loss
U.S. Treasury and government sponsored entities’ securities	$	42,480	$	(562	)	$	—	$	—	$	42,480	$	(562	)
Mortgage-related securities		72,020		(148	)		—		—		72,020		(148	)

Total	$	114,500	$	(710	)	$	—	$	—	$	114,500	$	(710	)

Unrealized losses on U.S. Treasury and government sponsored entities and mortgage-backed securities have not been recognized into income as of September 30, 2013 and December 31, 2012 because the issuer’s securities are of high credit quality (rated AA or higher), management does not intend to sell, and it is likely that management will not be required to sell, the securities prior to their anticipated recovery, and the decline in fair value is largely due to changes in interest rates and other market conditions. The primarily reason for the decline in fair value was the rise in longer term interest rates experienced during the second and third quarters of 2013. The fair value is expected to recover as the investments approach maturity.

Proceeds from sales of securities available for sale were $97.1 million and $286.9 million for the nine months ended September 30, 2013 and 2012, respectively. Gross gains of $0 and $1.2 million were realized on these sales during the third quarter of 2013 and 2012, respectively. Gross gains of $2.6 million and $5.2 million were realized on these sales during the first nine months of 2013 and 2012, respectively.