MARKETABLE SECURITIES

ASC 320, “Investments – Debt and Equity Securities” requires that an enterprise classify all debt securities as either held-to-maturity, trading or available-for-sale. The Company has elected to classify its securities as available-for-sale and therefore is required to adjust securities to fair value at each reporting date. All costs and both realized and unrealized gains and losses on securities are determined on a specific identification basis. The following is a summary of available-for-sale securities at:



($ in thousands)		September 30, 2017				December 31, 2016
Marketable Securities:	Fair Value Hierarchy	Cost		Fair Value		Cost		Fair Value
Certificates of deposit
with unrecognized losses for less than 12 months		$	1,295	$	1,292	$	1,868	$	1,863
with unrecognized losses for more than 12 months		—		—		—		—
with unrecognized gains		3,494		3,500		3,320		3,329
Total Certificates of deposit	Level 1	4,789		4,792		5,188		5,192
US Treasury and agency notes
with unrecognized losses for less than 12 months		1,051		1,050		947		946
with unrecognized losses for more than 12 months		—		—		—		—
with unrecognized gains		120		120		857		859
Total US Treasury and agency notes	Level 2	1,171		1,170		1,804		1,805
Corporate notes
with unrecognized losses for less than 12 months		7,863		7,849		11,658		11,592
with unrecognized losses for more than 12 months		1,681		1,677		1,053		1,042
with unrecognized gains		2,955		2,957		3,431		3,435
Total Corporate notes	Level 2	12,499		12,483		16,142		16,069
Municipal notes
with unrecognized losses for less than 12 months		1,428		1,419		2,556		2,526
with unrecognized losses for more than 12 months		600		596		271		269
with unrecognized gains		1,032		1,034		812		814
Total Municipal notes	Level 2	3,060		3,049		3,639		3,609
		$	21,519	$	21,494	$	26,773	$	26,675

We evaluate our securities for other-than-temporary impairment based on the specific facts and circumstances surrounding each security valued below its cost. Factors considered include the length of time the securities have been valued below cost, the financial condition of the issuer, industry reports related to the issuer, the severity of any decline, our intention not to sell the security, and our assessment as to whether it is not more likely than not that we will be required to sell the security before a recovery of its amortized cost basis. We then segregate the loss between the amounts representing a decrease in cash flows expected to be collected, or the credit loss, which is recognized through earnings, and the balance of the loss which is recognized through other comprehensive income. At September 30, 2017, the fair market value of investment securities was $25,000 less than their cost basis.

As of September 30, 2017, the adjustment to accumulated other comprehensive loss in consolidated equity for the temporary change in the value of securities reflected an increase in the market value of available-for-sale securities of $73,000, which includes estimated taxes of $26,000. As of September 30, 2017, the Company’s gross unrealized holding gains equaled $9,000 and gross unrealized holding losses equaled $35,000.

The following tables summarize the maturities, at par, of marketable securities as of:



	September 30, 2017
($ in thousands)	2017		2018		2019		2020		Total
Certificates of deposit	$	145	$	4,306	$	324	$	—	$	4,775
U.S. Treasury and agency notes	592		444		142		—		1,178
Corporate notes	1,124		7,073		4,065		—		12,262
Municipal notes	245		1,688		1,107		—		3,040
	$	2,106	$	13,511	$	5,638	$	—	$	21,255



	December 31, 2016
($ in thousands)	2017		2018		2019		2020		Total
Certificates of deposit	$	531	$	4,306	$	324	—		$	5,161
U.S. Treasury and agency notes	1,234		444		142		—		1,820
Corporate notes	4,316		7,133		4,232		—		15,681
Municipal notes	840		1,688		1,075		—		3,603
	$	6,921	$	13,571	$	5,773	$	—	$	26,265

The Company’s investments in corporate notes are with companies that have an investment grade rating from Standard & Poor’s.