Securities

The amortized cost, unrealized gross gains and losses recognized in accumulated other comprehensive income (loss), and fair value of Securities Available-for-Sale at September 30, 2018 and December 31, 2017, were as follows:



Securities Available-for-Sale:	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value

September 30, 2018
Obligations of State and Political Subdivisions	$	284,991	$	2,473	$	(3,425	)	$	284,039
MBS/CMO - Residential	476,252		38		(20,702		)	455,588
Total	$	761,243	$	2,511	$	(24,127	)	$	739,627

December 31, 2017
Obligations of State and Political Subdivisions	$	267,437	$	6,733	$	(861	)	$	273,309
MBS/CMO - Residential	476,205		416		(9,289		)	467,332
Total	$	743,642	$	7,149	$	(10,150	)	$	740,641

All mortgage-backed securities in the above table (identified above and throughout this Note 4 as "MBS/CMO - Residential") are residential mortgage-backed securities and guaranteed by government sponsored entities.

The Company's equity securities are listed as Investment Securities on the Consolidated Balance Sheets and consist of one non-controlling investment in a single banking organization at September 30, 2018 and December 31, 2017. The original investment totaled $1,350 and other-than-temporary impairment was previously recorded totaling $997. Under ASU 2016-01 (Financial Instruments - Overall), equity securities are required to be measured at fair value with changes in fair value recognized in net income. No fair value adjustments were recognized during 2018.

The amortized cost and fair value of securities at September 30, 2018 by contractual maturity are shown below. Expected maturities may differ from contractual maturities because some issuers have the right to call or prepay certain obligations with or without call or prepayment penalties. Mortgage-backed Securities are not due at a single maturity date and are shown separately in the table below.



Securities Available-for-Sale:	Amortized Cost		Fair Value

Due in one year or less	$	1,765	$	1,772
Due after one year through five years	21,474		21,838
Due after five years through ten years	80,362		81,129
Due after ten years	181,390		179,300
MBS/CMO - Residential	476,252		455,588
Total	$	761,243	$	739,627

Proceeds from the Sales of Securities are summarized below:



	Three Months Ended		Three Months Ended
	September 30, 2018		September 30, 2017

Proceeds from Sales	$	5,404	$	48,343
Gross Gains on Sales	90		575
Income Taxes on Gross Gains	19		201



	Nine Months Ended		Nine Months Ended
	September 30, 2018		September 30, 2017

Proceeds from Sales	$	22,919	$	48,343
Gross Gains on Sales	434		575
Income Taxes on Gross Gains	92		201

The carrying value of securities pledged to secure repurchase agreements, public and trust deposits, and for other purposes as required by law was $208,959 and $165,404 as of September 30, 2018 and December 31, 2017, respectively.

Below is a summary of securities with unrealized losses as of September 30, 2018 and December 31, 2017, presented by length of time the securities have been in a continuous unrealized loss position:



	Less than 12 Months					12 Months or More					Total
September 30, 2018	Fair Value		Unrealized Loss			Fair Value		Unrealized Loss			Fair Value		Unrealized Loss

Obligations of State and Political Subdivisions	$	109,010	$	(2,085	)	$	27,524	$	(1,340	)	$	136,534	$	(3,425	)
MBS/CMO - Residential	174,305		(4,989		)	278,806		(15,713		)	453,111		(20,702		)
Total	$	283,315	$	(7,074	)	$	306,330	$	(17,053	)	$	589,645	$	(24,127	)



	Less than 12 Months					12 Months or More					Total
December 31, 2017	Fair Value		Unrealized Loss			Fair Value		Unrealized Loss			Fair Value		Unrealized Loss

Obligations of State and Political Subdivisions	$	33,230	$	(237	)	$	24,161	$	(624	)	$	57,391	$	(861	)
MBS/CMO - Residential	172,354		(2,048		)	250,520		(7,241		)	422,874		(9,289		)
Total	$	205,584	$	(2,285	)	$	274,681	$	(7,865	)	$	480,265	$	(10,150	)

Securities are written down to fair value when a decline in fair value is not considered temporary. In estimating other-than-temporary losses, management considers many factors, including: (1) the length of time and the extent to which the fair value has been less than cost, (2) the financial condition and near-term prospects of the issuer, (3) whether the market decline was affected by macroeconomic conditions, and (4) whether the Company has the intent to sell the debt security or more likely than not will be required to sell the debt security before its anticipated recovery. The Company does not intend to sell or expect to be required to sell these securities, and the decline in fair value is largely due to changes in market interest rates. Therefore, the Company does not consider these securities to be other-than-temporarily impaired. All mortgage-backed securities and collateralized mortgage obligations (MBS/CMO - Residential) in the Company’s portfolio are guaranteed by government sponsored entities, are investment grade, and are performing as expected.