Securities

9 Months Ended

Sep. 30, 2011

Securities [Abstract]

Securities

(2) Securities

Available for sale securities at September 30, 2011 and December 31, 2010 were as follows:

			Gross		Gross
	Amortized		Unrealized		Unrealized
September 30, 2011	Cost		Gains		Losses			Fair Value
U.S. Treasury securities and obligations of U.S. government agencies	$	51,532	$	499	$	—		$	52,031
Obligations of states and political subdivisions		61,990		4,485		(15	)		66,460
Mortgage-backed securities in government sponsored entities		87,911		2,726		(96	)		90,541
Total debt securities		201,433		7,710		(111	)		209,032
Equity securities in financial institutions		481		195		—			676
Total	$	201,914	$	7,905	$	(111	)	$	209,708

			Gross		Gross
	Amortized		Unrealized		Unrealized
December 31, 2010	Cost		Gains		Losses			Fair Value
U.S. Treasury securities and obligations of U.S. government agencies	$	55,398	$	616	$	(307	)	$	55,707
Obligations of states and political subdivisions		61,401		483		(1,415	)		60,469
Mortgage-backed securities in government sponsored entities		65,917		2,236		(53	)		68,100
Total debt securities		182,716		3,335		(1,775	)		184,276
Equity securities in financial institutions		481		195		—			676
Total	$	183,197	$	3,530	$	(1,775	)	$	184,952

The fair value of securities at September 30, 2011, by contractual maturity, is shown below. Actual maturities may differ from contractual maturities because issuers may have the right to call or prepay obligations. Securities not due at a single maturity date, primarily mortgage-backed securities and equity securities are shown separately.

Available for sale	Fair Value
Due in one year or less	$	963
Due after one year through five years		20,583
Due after five years through ten years		11,666
Due after ten years		85,279
Mortgage-backed securities		90,541
Equity securities		676
Total securities available for sale	$	209,708

Proceeds from the sale of securities were zero for both the three and nine month periods ended September 30, 2011 and September 30, 2010. Gains from securities called or settled by the issuer during the quarter ended September 30, 2011 were zero, and $3 year-to-date. Gains from securities called or settled by the issuer during the quarter ended September 30, 2010 were $7, and $22 year-to-date.

Securities with a carrying value of approximately $159,149 and $158,940 were pledged as of September 30, 2011 and December 31, 2010, respectively, to secure public deposits, other deposits and liabilities as required by law.

Securities with unrealized losses at September 30, 2011 and December 31, 2010 not recognized in income are as follows:

September 30, 2011	12 Months or less					More than 12 months					Total
	Fair		Unrealized			Fair		Unrealized			Fair		Unrealized
Description of Securities	Value		Loss			Value		Loss			Value		Loss
Obligations of states and political subdivisions	$	1,536	$	(14	)	$	161	$	(1	)	$	1,697	$	(15	)
Mortgage-backed securities in gov’t sponsored entities		11,873		(96	)		—		—			11,873		(96	)
Total temporarily impaired	$	13,409	$	(110	)	$	161	$	(1	)	$	13,570	$	(111	)

December 31, 2010	12 Months or less					More than 12 months					Total
	Fair		Unrealized			Fair		Unrealized			Fair		Unrealized
Description of Securities	Value		Loss			Value		Loss			Value		Loss
U.S. Treasury securities and obligations of U.S. government agencies	$	10,257	$	(307	)	$	—	$	—		$	10,257	$	(307	)
Obligations of states and political subdivisions		34,938		(1,359	)		2,256		(56	)		37,194		(1,415	)
Mortgage-backed securities in gov’t sponsored entities		9,696		(53	)		—		—			9,696		(53	)
Total temporarily impaired	$	54,891	$	(1,719	)	$	2,256	$	(56	)	$	57,147	$	(1,775	)

There are sixteen securities in the portfolio with unrealized losses. Unrealized losses on securities have not been recognized into income because the issuers’ securities are of high credit quality, management has the intent and ability to hold these securities for the foreseeable future, and the decline in fair value is largely due to market yields increasing across the municipal sector partly due to higher risk premiums associated with municipal insurers. The fair value is expected to recover as the securities approach their maturity date or reset date. The Corporation does not intend to sell until recovery and does not believe selling will be required before recovery.