ACCUMULATED OTHER COMPREHENSIVE INCOME/ (LOSS)

3 Months Ended

Mar. 31, 2022

ACCUMULATED OTHER COMPREHENSIVE INCOME/ (LOSS)

ACCUMULATED OTHER COMPREHENSIVE LOSS

Comprehensive income/ (loss) is defined as net income/ (loss) plus transactions and other occurrences that are the result of non-owner changes in equity. For Condensed Consolidated Financial Statements presented for the Company, non-owner changes in equity are comprised of unrealized gains or losses on investments available-for-sale and held-to-maturity, and any minimum pension liability adjustments.

During the quarter ended March 31, 2022, the Company transferred certain debt securities from available-for-sale to held-to-maturity. The total amortized cost of debt securities transferred was $305.6 million with the associated after tax unrealized loss $12.1 million at the date of transfer. This after tax unrealized loss continues to be reported in accumulated other comprehensive income and is amortized over the remaining lives of debt securities as a yield adjustment.

The following table presents the activity in net accumulated other comprehensive income/ (loss) and the components of the activity for the periods indicated:


(In thousands)	Unrealized Gains/(Losses) on Debt Securities Available-for-Sale		Defined Benefit Pension Plan		Unrealized Losses on Debt Securities Transferred from Available-for-Sale to Held-to-Maturity		Total
Balance at January 1, 2022	$	(336)	$	(8,203)	$	—	$	(8,539)
Other comprehensive loss before reclassification from accumulated other comprehensive income, net of tax	(49,026)		—		(12,083)		(61,109)
Reclassifications from accumulated other comprehensive income to earnings, net of tax	(6)		146		237		377
Current period change in other comprehensive income, net of tax	(49,032)		146		(11,846)		(60,732)
Balance at March 31, 2022	$	(49,368)	$	(8,057)	$	(11,846)	$	(69,271)


(In thousands)	Unrealized Gains/ (Losses) on Debt Securities Available-for-Sale		Defined Benefit Pension Plan		Total
Balance at January 1, 2021	$	28,175	$	(9,470)	$	18,705
Other comprehensive income before reclassification, net of tax	(21,478)		—		(21,478)
Reclassifications from accumulated other comprehensive income, net of tax	(43)		164		121
Current period change in other comprehensive income, net of tax	(21,521)		164		(21,357)
Balance at March 31, 2021	$	6,654	$	(9,306)	$	(2,652)

The following table provides the information on the reclassification adjustments out of accumulated other comprehensive income/ (loss) for the periods indicated:


	Three Months Ended March 31,
(In thousands)	2022		2021
Unrealized gains on available-for-sale debt securities:
Affected line item in the Statements of Income:
Investment securities gains	$	8	$	58
Income before taxes	8		58
Tax expense	(2)		(15)
Net income	$	6	$	43

Amortization of unrealized losses on debt securities transferred from available-for-sale to held-to-maturity:
Affected line item in the Statements of Income:
Interest and dividends on investment securities (1)	$	319	$	—
Income before taxes	319		—
Tax expense	(82)		—
Net income	$	237	$	—

Amortization of defined benefit pension plan items:
Affected line item in the Statements of Income:
Recognized actuarial loss (2)	$	(196)	$	(227)

Loss before taxes	(196)		(227)
Tax benefit	50		63
Net loss	$	(146)	$	(164)

(1)Amortization of unrealized losses on held-to-maturity debt securities is fully offset by accretion of a discount on held-to-maturity debt securities with no overall impact on net income and yield.

(2)This amount is included in the computation of net periodic benefit cost. See Note 10 for additional information on the pension plan.