Investment in Securities

6 Months Ended

Jun. 30, 2022

Investments, Debt and Equity Securities [Abstract]

Investment in Securities Investment securities available-for-sale are recorded at fair value on a recurring basis. The Company’s investment securities available-for-sale are measured at fair value using Level 2 valuations. The market evaluation utilizes several sources which include “observable inputs” rather than “significant unobservable inputs” and therefore fall into the Level 2

category. The amortized cost, gross unrealized gains, gross unrealized losses and fair value of investment securities are summarized as follows:


	June 30, 2022
(In thousands)	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
State and political subdivisions	$	338,618	$	1,125	$	18,358	$	321,385
Mortgage-backed securities issued or guaranteed by U.S. government agencies or sponsored enterprises	205,229		4		21,725		183,508
Corporate bonds	96,460		—		9,686		86,774
U.S. treasury bonds	99,516		—		954		98,562
Asset backed securities issued or guaranteed by U.S. government agencies or sponsored enterprises	52,104		—		2,259		49,845
Total	$	791,927	$	1,129	$	52,982	$	740,074


	December 31, 2021
(In thousands)	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
State and political subdivisions	$	359,187	$	12,931	$	990	$	371,128
Mortgage-backed securities issued or guaranteed by U.S. government agencies or sponsored enterprises	170,711		135		2,200		168,646
Corporate bonds	84,538		72		272		84,338
Asset backed securities issued or guaranteed by U.S. government agencies or sponsored enterprises	49,835		—		494		49,341
Total	$	664,271	$	13,138	$	3,956	$	673,453

The fair values of securities with unrealized losses are as follows:


	June 30, 2022
	Less than 12 months				12 months or more				Total
(In thousands)	Estimated Fair Value		Unrealized Losses		Estimated Fair Value		Unrealized Losses		Estimated Fair Value		Unrealized Losses
State and political subdivisions	$	177,339	$	18,358	$	—	$	—	$	177,339	$	18,358
Mortgage-backed securities issued or guaranteed by U.S. government agencies or sponsored enterprises	163,657		19,123		15,095		2,602		178,752		21,725
Corporate bonds	81,774		9,686		—		—		81,774		9,686
U.S. treasury bonds	98,562		954		—		—		98,562		954
Asset backed securities issued or guaranteed by U.S. government agencies or sponsored enterprises	49,845		2,259		—		—		49,845		2,259
Total	$	571,177	$	50,380	$	15,095	$	2,602	$	586,272	$	52,982


	December 31, 2021
	Less than 12 months				12 months or more				Total
(In thousands)	Estimated Fair Value		Unrealized Losses		Estimated Fair Value		Unrealized Losses		Estimated Fair Value		Unrealized Losses
State and political subdivisions	$	60,083	$	990	$	—	$	—	$	60,083	$	990
Mortgage-backed securities issued or guaranteed by U.S. government agencies or sponsored enterprises	163,652		2,200		—		—		163,652		2,200
Corporate bonds	55,120		272		—		—		55,120		272
Asset backed securities issued or guaranteed by U.S. government agencies or sponsored enterprises	49,341		494		—		—		49,341		494
Total	$	328,196	$	3,956	$	—	$	—	$	328,196	$	3,956

There were 226 securities, or 63% (4 greater than 12 months), in an unrealized loss position as of June 30, 2022. The unrealized losses at June 30, 2022 were primarily attributable to changes in market interest rates after the securities were purchased. There were 101 securities, or 28% (0 greater than 12 months), in an unrealized loss position as of December 31, 2021. At June 30, 2022 and December 31, 2021, the Company had not recorded an allowance for credit losses on securities.

The amortized cost and fair value of investment securities by contractual maturity are shown in the following table. Expected maturities may differ from contractual maturities because borrowers have the right to prepay obligations with or without prepayment penalties.


	June 30, 2022
(In thousands)	Amortized Cost		Fair Value
Due in 1 year or less	$	17,426	$	17,524
Due after 1 year through 5 years	242,236		240,649
Due after 5 years through 10 years	233,362		218,004
Due after 10 years	298,903		263,897
Total	$	791,927	$	740,074

Proceeds from sales of investment securities classified as available-for-sale were $1,521,000 for both the three and six months ended June 30, 2022 and $10,125,000 and $13,116,000 for the three and six months ended June 30, 2021, respectively. Gross realized gains were $2,000 for both the three and six months ended June 30, 2022. Gross realized losses were $3,000 for the three months ended June 30, 2021 while for the six months ended June 30, 2021, there were gross realized gains of $45,000. There were no securities pledged to secure public deposits and for other purposes at June 30, 2022