Securities Available for Sale

3 Months Ended

Mar. 31, 2015

Investments, Debt and Equity Securities [Abstract]

Securities Available for Sale

Note 4. Securities Available for Sale

	March 31, 2015
			Gross		Gross
	Amortized		Unrealized		Unrealized
	Cost		Gains		Losses			Fair Value
Residential mortgage-backed agencies	$	21,686	$	113	$	(68	)	$	21,731
SBA pools		1,739		6		(3	)		1,742
Obligations of states and political subdivisions		8,810		245		(15	)		9,040
Government-sponsored enterprise equity		40		83		-			123
	$	32,275	$	447	$	(86	)	$	32,636

	December 31, 2014
			Gross		Gross
	Amortized		Unrealized		Unrealized
	Cost		Gains		Losses			Fair Value
Residential mortgage-backed agencies	$	22,677	$	60	$	(191	)	$	22,545
SBA pools		1,835		6		(9	)		1,832
Obligations of states and political subdivisions		9,474		250		(26	)		9,698
Government-sponsored enterprise equity		40		62		-			102
	$	34,026	$	378	$	(226	)	$	34,177

Contractual maturities: The amortized cost and fair value of securities available for sale as of March 31, 2015, by contractual maturity are shown below. Maturities may differ from contractual maturities in residential mortgage-backed securities and Small Business Administration (SBA) pools because the mortgages underlying the securities may be called or repaid without any penalties. In addition, government-sponsored enterprise equity securities have no maturity. Therefore, these securities are not included in the maturity categories in the following maturity summary.

	March 31, 2015
	Amortized Cost		Fair Value
Due in one year or less	$	842	$	846
Due in one to five years		3,643		3,705
Due after five through 10 years		2,703		2,787
Due after 10 years		1,622		1,702
		8,810		9,040
Residential mortgage-backed agencies		21,686		21,731
SBA pools		1,739		1,742
Government-sponsored enterprise equity		40		123
	$	32,275	$	32,636

Pledged securities: Securities with a carrying value of $21,538 and $20,961 at March 31, 2015 and December 31, 2014, respectively, were pledged to secure borrowed funds and for other purposes as required or permitted by law.

Changes in other comprehensive income—unrealized gains on securities available for sale:

	Three Months Ended March 31,
	2015			2014
Balance, beginning	$	93		$	(264	)
Unrealized gains (losses) during the year		208			431
Deferred tax effect relating to unrealized gain		(85	)		(177	)
Balance, ending	$	216		$	(10	)

Temporarily impaired securities:

	March 31, 2015
					Continuous Unrealized
	Continuous Unrealized				Losses Existing
	Losses Existing				Greater Than 12
	12 Months or Less				Months				Total
	Fair		Unrealized		Fair		Unrealized		Fair		Unrealized
	Value		Loss		Value		Loss		Value		Loss
Residential mortgage-backed agencies	$	2,190	$	8	$	8,501	$	60	$	10,691	$	68
SBA pools		-		-		1,073		3		1,073		3
Obligations of states and political subdivisions		1,224		3		927		12		2,151		15
	$	3,414	$	11	$	10,501	$	75	$	13,915	$	86

	December 31, 2014
	Continuous Unrealized				Continuous Unrealized
	Losses Existing				Losses Existing
	12 Months or Less				Greater Than 12 Months				Total
	Fair		Unrealized		Fair		Unrealized		Fair		Unrealized
	Value		Loss		Value		Loss		Value		Loss
Residential mortgage-backed agencies	$	5,679	$	20	$	10,566	$	171	$	16,245	$	191
SBA pools		-		-		1,250		9		1,250		9
Obligations of states and political subdivisions		1,495		6		1,180		20		2,675		26
	$	7,174	$	26	$	12,996	$	200	$	20,170	$	226

There were 25 and 37 securities in unrealized loss positions as of March 31, 2015 and December 31, 2014, respectively.

Unrealized losses are deemed to be temporary. Most of these underlying securities consist of mortgage-backed securities. Market fluctuations are caused primarily by changes in interest rates and prepayments of underlying mortgages. Volatility in economic conditions influences the prices of these securities. There were no sales of available-for-sale securities during the three months ended March 31, 2015 and 2014.