| INTEREST-BEARING DEPOSITS AND SECURITIES |
SECURITIES Securities—Trading: The amortized cost and estimated fair value of securities—trading at September 30, 2015 and December 31, 2014 are summarized as follows (in thousands): | | | | | | | | | | | | | | | | | | September 30, 2015 | | December 31, 2014 | | Amortized Cost | | Fair Value | | Amortized Cost | | Fair Value | U.S. Government and agency obligations | $ | 1,230 |
| | $ | 1,389 |
| | $ | 1,340 |
| | $ | 1,505 |
| Municipal bonds | 1,403 |
| | 1,418 |
| | 1,405 |
| | 1,440 |
| Corporate bonds | 25,026 |
| | 18,340 |
| | 27,995 |
| | 19,118 |
| Mortgage-backed or related securities | 15,043 |
| | 16,313 |
| | 16,726 |
| | 18,136 |
| Equity securities | 14 |
| | 55 |
| | 14 |
| | 59 |
| | $ | 42,716 |
| | $ | 37,515 |
| | $ | 47,480 |
| | $ | 40,258 |
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There were two sales of securities—trading totaling $2.5 million with a resulting realized loss of $690,000 during the nine months ended September 30, 2015; however, the realized loss was offset by the reversal of fair value allowances totaling $1.2 million resulting in net gains on these securities sales of $550,000. There were three sales of securities—trading totaling $2.4 million with a resulting net gain of $1,000 during the nine months ended September 30, 2014. The Company did not recognize any OTTI charges or recoveries on securities—trading during the nine months ended September 30, 2015 or 2014. There were no securities—trading on nonaccrual status at September 30, 2015 or 2014.
The amortized cost and estimated fair value of securities—trading at September 30, 2015, by contractual maturity, are shown below (in thousands). Expected maturities will differ from contractual maturities because some securities may be called or prepaid with or without call or prepayment penalties. | | | | | | | | | | September 30, 2015 | | Amortized Cost | | Fair Value | | | | | Maturing in one year or less | $ | 1,070 |
| | $ | 1,075 |
| Maturing after one year through five years | 9,021 |
| | 9,735 |
| Maturing after five years through ten years | 3,567 |
| | 3,961 |
| Maturing after ten years through twenty years | 4,018 |
| | 4,349 |
| Maturing after twenty years | 25,026 |
| | 18,340 |
| | 42,702 |
| | 37,460 |
| Equity securities | 14 |
| | 55 |
| | $ | 42,716 |
| | $ | 37,515 |
|
Securities—Available-for-Sale: The amortized cost and estimated fair value of securities—available-for-sale at September 30, 2015 and December 31, 2014 are summarized as follows (in thousands): | | | | | | | | | | | | | | | | | | September 30, 2015 | | Amortized Cost | | Gross Unrealized Gains | | Gross Unrealized Losses | | Fair Value | U.S. Government and agency obligations | $ | 12,043 |
| | $ | — |
| | $ | (51 | ) | | $ | 11,992 |
| Municipal bonds | 67,459 |
| | 300 |
| | (102 | ) | | 67,657 |
| Corporate bonds | 5,000 |
| | 22 |
| | — |
| | 5,022 |
| Mortgage-backed or related securities | 300,929 |
| | 2,391 |
| | (520 | ) | | 302,800 |
| Asset-backed securities | 31,300 |
| | — |
| | (517 | ) | | 30,783 |
| | $ | 416,731 |
| | $ | 2,713 |
| | $ | (1,190 | ) | | $ | 418,254 |
| | | | | | | | | | December 31, 2014 | | Amortized Cost | | Gross Unrealized Gains | | Gross Unrealized Losses | | Fair Value | U.S. Government and agency obligations | $ | 29,973 |
| | $ | 8 |
| | $ | (211 | ) | | $ | 29,770 |
| Municipal bonds | 49,959 |
| | 190 |
| | (121 | ) | | 50,028 |
| Corporate bonds | 5,000 |
| | 18 |
| | — |
| | 5,018 |
| Mortgage-backed or related securities | 300,979 |
| | 1,429 |
| | (1,598 | ) | | 300,810 |
| Asset-backed securities | 25,513 |
| | 167 |
| | (285 | ) | | 25,395 |
| | $ | 411,424 |
| | $ | 1,812 |
| | $ | (2,215 | ) | | $ | 411,021 |
|
At September 30, 2015 and December 31, 2014, an aging of unrealized losses and fair value of related securities—available-for-sale was as follows (in thousands): | | | | | | | | | | | | | | | | | | | | | | | | | | September 30, 2015 | | Less Than 12 Months | | 12 Months or More | | Total | | Fair Value | | Unrealized Losses | | Fair Value | | Unrealized Losses | | Fair Value | | Unrealized Losses | U.S. Government and agency obligations | $ | 1,334 |
| | $ | (9 | ) | | $ | 10,658 |
| | $ | (42 | ) | | $ | 11,992 |
| | $ | (51 | ) | Municipal bonds | 15,727 |
| | (95 | ) | | 3,199 |
| | (7 | ) | | 18,926 |
| | (102 | ) | Mortgage-backed or related securities | 41,550 |
| | (248 | ) | | 72,167 |
| | (272 | ) | | 113,717 |
| | (520 | ) | Asset-backed securities | 20,835 |
| | (422 | ) | | 9,948 |
| | (95 | ) | | 30,783 |
| | (517 | ) | | $ | 79,446 |
| | $ | (774 | ) | | $ | 95,972 |
| | $ | (416 | ) | | $ | 175,418 |
| | $ | (1,190 | ) | | | | | | | | | | | | | | December 31, 2014 | | Less Than 12 Months | | 12 Months or More | | Total | | Fair Value | | Unrealized Losses | | Fair Value | | Unrealized Losses | | Fair Value | | Unrealized Losses | U.S. Government and agency obligations | $ | 15,983 |
| | $ | (58 | ) | | $ | 9,847 |
| | $ | (153 | ) | | $ | 25,830 |
| | $ | (211 | ) | Municipal bonds | 16,322 |
| | (61 | ) | | 7,129 |
| | (60 | ) | | 23,451 |
| | (121 | ) | Corporate bonds | — |
| | — |
| | — |
| | — |
| | — |
| | — |
| Mortgage-backed or related securities | 91,046 |
| | (236 | ) | | 107,266 |
| | (1,362 | ) | | 198,312 |
| | (1,598 | ) | Asset-backed securities | — |
| | — |
| | 9,765 |
| | (285 | ) | | 9,765 |
| | (285 | ) | | $ | 123,351 |
| | $ | (355 | ) | | $ | 134,007 |
| | $ | (1,860 | ) | | $ | 257,358 |
| | $ | (2,215 | ) |
There were 44 sales of securities—available-for-sale totaling $40.3 million with a resulting net gain of $126,000 during the nine months ended September 30, 2015. There were twelve sales of securities—available-for-sale totaling $56.0 million with a resulting net gain of $40,000 during the nine months ended September 30, 2014. At September 30, 2015, there were 83 securities—available for sale with unrealized losses, compared to 94 securities at December 31, 2014. Management does not believe that any individual unrealized loss as of September 30, 2015 represents OTTI. The decline in fair market values of these securities was generally due to changes in interest rates and changes in market-desired spreads subsequent to their purchase. There were no securities—available-for-sale on nonaccrual status at September 30, 2015 or 2014.
The amortized cost and estimated fair value of securities—available-for-sale at September 30, 2015 and December 31, 2014, by contractual maturity, are shown below (in thousands). Expected maturities will differ from contractual maturities because some securities may be called or prepaid with or without call or prepayment penalties. | | | | | | | | | | September 30, 2015 | | Amortized Cost | | Fair Value | | | | | Maturing in one year or less | $ | 17,491 |
| | $ | 17,462 |
| Maturing after one year through five years | 250,837 |
| | 251,489 |
| Maturing after five years through ten years | 37,545 |
| | 37,541 |
| Maturing after ten years through twenty years | 30,856 |
| | 31,376 |
| Maturing after twenty years | 80,002 |
| | 80,386 |
| | $ | 416,731 |
| | $ | 418,254 |
|
Securities—Held-to-Maturity: The amortized cost and estimated fair value of securities—held-to-maturity at September 30, 2015 and December 31, 2014 are summarized as follows (in thousands): | | | | | | | | | | | | | | | | | | September 30, 2015 | | Amortized Cost | | Gross Unrealized Gains | | Gross Unrealized Losses | | Fair Value | U.S. Government and agency obligations | $ | 1,116 |
| | $ | 10 |
| | $ | — |
| | $ | 1,126 |
| Municipal bonds | 121,937 |
| | 6,073 |
| | (197 | ) | | 127,813 |
| Corporate bonds | 1,800 |
| | — |
| | — |
| | 1,800 |
| Mortgage-backed or related securities | 7,297 |
| | 220 |
| | (1 | ) | | 7,516 |
| | $ | 132,150 |
| | $ | 6,303 |
| | $ | (198 | ) | | $ | 138,255 |
| | | | | | | | | | December 31, 2014 | | Amortized Cost | | Gross Unrealized Gains | | Gross Unrealized Losses | | Fair Value | U.S. Government and agency obligations | $ | 2,146 |
| | $ | — |
| | $ | (19 | ) | | $ | 2,127 |
| Municipal bonds | 119,951 |
| | 6,319 |
| | (48 | ) | | 126,222 |
| Corporate bonds | 1,800 |
| | — |
| | — |
| | 1,800 |
| Mortgage-backed or related securities | 7,361 |
| | 105 |
| | (7 | ) | | 7,459 |
| | $ | 131,258 |
| | $ | 6,424 |
| | $ | (74 | ) | | $ | 137,608 |
|
At September 30, 2015 and December 31, 2014, an aging analysis of unrealized losses and fair value of related securities—held-to-maturity was as follows (in thousands): | | | | | | | | | | | | | | | | | | | | | | | | | | September 30, 2015 | | Less Than 12 Months | | 12 Months or More | | Total | | Fair Value | | Unrealized Losses | | Fair Value | | Unrealized Losses | | Fair Value | | Unrealized Losses | U.S. Government and agency obligations | $ | — |
| | $ | — |
| | $ | — |
| | $ | — |
| | $ | — |
| | $ | — |
| Municipal bonds | 8,542 |
| | (193 | ) | | 255 |
| | (4 | ) | | 8,797 |
| | (197 | ) | Mortgage-backed or related securities | — |
| | — |
| | 287 |
| | (1 | ) | | 287 |
| | (1 | ) | | $ | 8,542 |
| | $ | (193 | ) | | $ | 542 |
| | $ | (5 | ) | | $ | 9,084 |
| | $ | (198 | ) | | | | | | | | | | | | | | December 31, 2014 | | Less Than 12 Months | | 12 Months or More | | Total | | Fair Value | | Unrealized Losses | | Fair Value | | Unrealized Losses | | Fair Value | | Unrealized Losses | U.S. Government and agency obligations | $ | — |
| | $ | — |
| | $ | 1,127 |
| | $ | (19 | ) | | $ | 1,127 |
| | $ | (19 | ) | Municipal bonds | 9,821 |
| | (44 | ) | | 592 |
| | (4 | ) | | 10,413 |
| | (48 | ) | Mortgage-backed or related securities | 1,018 |
| | (7 | ) | | — |
| | — |
| | 1,018 |
| | (7 | ) | | $ | 10,839 |
| | $ | (51 | ) | | $ | 1,719 |
| | $ | (23 | ) | | $ | 12,558 |
| | $ | (74 | ) |
There were no sales of securities—held-to-maturity during the nine months ended September 30, 2015 and 2014. At September 30, 2015, there were 14 securities—held-to-maturity with unrealized losses, compared to 25 securities at December 31, 2014. Management does not believe that any individual unrealized loss as of September 30, 2015 represents OTTI. The decline in fair market value of these securities was generally due to changes in interest rates and changes in market-desired spreads subsequent to their purchase. There were no securities—held-to-maturity on nonaccrual status at September 30, 2015 or 2014.
The amortized cost and estimated fair value of securities—held-to-maturity at September 30, 2015 and December 31, 2014, by contractual maturity, are shown below (in thousands). Expected maturities will differ from contractual maturities because some securities may be called or prepaid with or without call or prepayment penalties. | | | | | | | | | | September 30, 2015 | | Amortized Cost | | Fair Value | | | | | Maturing in one year or less | $ | 3,747 |
| | $ | 3,799 |
| Maturing after one year through five years | 13,852 |
| | 14,041 |
| Maturing after five years through ten years | 24,951 |
| | 25,608 |
| Maturing after ten years through twenty years | 76,642 |
| | 81,606 |
| Maturing after twenty years | 12,958 |
| | 13,201 |
| | $ | 132,150 |
| | $ | 138,255 |
|
Pledged Securities: The following table presents, as of September 30, 2015, investment securities which were pledged to secure borrowings, public deposits or other obligations as permitted or required by law (in thousands): | | | | | | | | | | Amortized Cost | | Fair Value | Purpose or beneficiary: | | | | State and local governments public deposits | $ | 132,234 |
| | $ | 137,818 |
| Interest rate swap counterparties | 13,419 |
| | 13,949 |
| Retail repurchase agreements | 110,258 |
| | 111,037 |
| Total pledged securities | $ | 255,911 |
| | $ | 262,804 |
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