INVESTMENT SECURITIES (Tables)

9 Months Ended

Sep. 30, 2012

INVESTMENT SECURITIES [Abstract]

Amortized Cost, Gross Unrealized Gains and Losses and Fair Value of Investment Securities

The amortized cost, gross unrealized gains and losses, and fair value of the Company's investment securities are summarized as follows:

	At September 30, 2012
			Gross		Gross
	Amortized		unrealized		unrealized			Fair
	cost		gains		losses			value
	(in thousands)
Available for sale
State and political subdivisions	$	53,060	$	4,513	$	—		$	57,573
Residential mortgage-backed securities issued by quasi-governmental agencies		43,349		1,696		(1	)		45,044
Residential mortgage-backed securities privately issued		4,149		191		—			4,340
Total investment securities available for sale		100,558		6,400		(1	)		106,957
Held to maturity
Residential mortgage-backed securities issued by quasi-governmental agencies		2,079		339		—			2,418
Total investment securities	$	102,637	$	6,739	$	(1	)	$	109,375

	At December 31, 2011
			Gross		Gross
	Amortized		unrealized		unrealized			Fair
	cost		gains		losses			value
	(in thousands)
Available for sale
U.S. Government and federal agencies	$	2,995	$	35	$	—		$	3,030
State and political subdivisions		51,287		3,804		—			55,091
Residential mortgage-backed securities issued by quasi-governmental agencies		45,969		1,525		—			47,494
Residential mortgage-backed securities privately issued		8,723		195		(30	)		8,888
Total investment securities available for sale		108,974		5,559		(30	)		114,503
Held to maturity
Residential mortgage-backed securities issued by quasi-governmental agencies		2,588		340		—			2,928
Total investment securities	$	111,562	$	5,899	$	(30	)	$	117,431

Investment Securities Maturities

The amortized cost and fair value of investment and mortgage-backed securities, by contractual maturity, are shown below.

	At September 30, 2012
	Available for sale				Held to maturity
	Amortized		Fair		Amortized		Fair
	cost		value		cost		value
	(in thousands)
Investment securities
Due in one year or less	$	1,070	$	1,084	$	—	$	—
Due after one year through five years		7,732		8,139		—		—
Due after five years through ten years		24,136		25,880		—		—
Due after ten years		20,122		22,470		—		—
		53,060		57,573		—		—
Mortgage-backed securities		47,498		49,384		2,079		2,418
Total investment and mortgage-backed securities	$	100,558	$	106,957	$	2,079	$	2,418

Length of Time Securities Have Been in Continuous Unrealized Loss Position

The table below indicates the length of time individual securities have been in a continuous unrealized loss position at September 30, 2012:

			Less than					12 months
	Number		12 months					or longer				Total
	of		Fair		Unrealized			Fair		Unrealized		Fair		Unrealized
Description of Securities	Securities		Value		Loss			Value		Loss		Value		Loss
	(dollars in thousands)
Residential mortgage- backed securities issued by quasi- governmental agencies		1	$	263	$	(1	)	$	—	$	—	$	263	$	(1	)
Total temporarily impaired securities		1	$	263	$	(1	)	$	—	$	—	$	263	$	(1	)

The table below indicates the length of time individual securities have been in a continuous unrealized loss position at December 31, 2011:

			Less than					12 months
	Number		12 months					or longer				Total
	of		Fair		Unrealized			Fair		Unrealized		Fair		Unrealized
Description of Securities	Securities		Value		Loss			Value		Loss		Value		Loss
	(dollars in thousands)
Residential mortgage- backed securities privately issued		2	$	3,442	$	(30	)	$	—	$	—	$	3,442	$	(30	)
Total temporarily impaired securities		2	$	3,442	$	(30	)	$	—	$	—	$	3,442	$	(30	)