INVESTMENT SECURITIES (Tables)

6 Months Ended

Jun. 30, 2015

Amortized cost, estimated fair values, and gross unrealized gains and losses of securities available for sale and held to maturity

The amortized cost, fair value and gross unrealized gains and losses of the Company’s investment securities available for sale and held to maturity at June 30, 2015 and December 31, 2014 were as follows (in thousands):

	June 30, 2015									December 31, 2014
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value		Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
Available for sale:
U.S. Government agency securities	$	38,975	$	-	$	(737	)	$	38,238	$	42,474	$	-	$	(897	)	$	41,577
Obligations of states and political subdivisions		114,278		5,664		-			119,942		131,300		6,469		-			137,769
Collateralized mortgage obligations		20,824		175		(430	)		20,569		22,105		423		(531	)		21,997
Mortgage-backed securities		90,276		28		(1,216	)		89,088		92,095		88		(1,264	)		90,919
Corporate bonds		6,000		-		-			6,000		6,336		90		(18	)		6,408
Total available for sale securities		270,353		5,867		(2,383	)		273,837		294,310		7,070		(2,710	)		298,670
Held to maturity:
U.S. Government agency securities		48,499		1,478		(10	)		49,967		48,365		1,717		-			50,082
Obligations of states and political subdivisions		12,119		642		-			12,761		13,905		809		-			14,714
Corporate bonds		3,000		123		-			3,123		-		-		-			-
Total held to maturity securities		63,618		2,243		(10	)		65,851		62,270		2,526		-			64,796
Total investment securities	$	333,971	$	8,110	$	(2,393	)	$	339,688	$	356,580	$	9,596	$	(2,710	)	$	363,466

Investment securities amortized cost, maturities, and approximate fair value

The amortized cost, contractual maturities and fair value of the Company’s investment securities at June 30, 2015 (in thousands) are presented in the table below. Collateralized mortgage obligations (“CMOs”) and mortgage-backed securities (“MBS”) assume maturity dates pursuant to average lives.

	June 30, 2015
	Amortized Cost		Fair Value
Securities available for sale:
Due in one year or less	$	30,745	$	31,271
Due from one to five years		142,658		146,416
Due from five to ten years		96,950		96,150
Total securities available for sale		270,353		273,837
Securities held to maturity:
Due in one year or less		837		866
Due from one to five years		4,593		4,910
Due from five to ten years		32,097		32,711
Due after ten years		26,091		27,364
Total securities held to maturity		63,618		65,851
Total investment securities	$	333,971	$	339,688

Proceeds from sales of securities available for sale and the associated realized securities gains and losses

The proceeds from sales of securities available for sale and the associated realized gains and losses are shown below for the periods indicated (in thousands). Realized gains are also inclusive of gains on called securities.

	Three Months Ended June 30,					Six Months Ended June 30,
	2015		2014			2015		2014

Proceeds	$	6,472	$	20,604		$	7,003	$	20,604

Gross realized gains	$	175	$	229		$	201	$	229
Gross realized losses		15		252			15		252
Net realized gains (losses)	$	160	$	(23	)	$	186	$	(23	)

Length of time individual securities for held-to-maturity and available-for-sale held in a continuous unrealized loss position

Information pertaining to securities with unrealized losses at June 30, 2015 and December 31, 2014, aggregated by investment category and length of time that individual securities have been in a continuous loss position, follows (in thousands):

	Less than 12 months					12 months or longer					Total
June 30, 2015	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
U.S. Government agency securities	$	23,487	$	(341	)	$	19,593	$	(406	)	$	43,080	$	(747	)
Collateralized mortgage obligations		-		-			8,274		(430	)		8,274		(430	)
Mortgage-backed securities		50,848		(621	)		26,604		(595	)		77,452		(1,216	)
Total	$	74,335	$	(962	)	$	54,471	$	(1,431	)	$	128,806	$	(2,393	)

	Less than 12 months				12 months or longer					Total
December 31, 2014	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
U.S. Government agency securities	$	-	$	-	$	41,577	$	(897	)	$	41,577	$	(897	)
Collateralized mortgage obligations		-		-		8,417		(531	)		8,417		(531	)
Mortgage-backed securities		-		-		81,510		(1,264	)		81,510		(1,264	)
Corporate bonds		-		-		2,982		(18	)		2,982		(18	)
Total	$	-	$	-	$	134,486	$	(2,710	)	$	134,486	$	(2,710	)