| Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block] |
NOTE 3 – Securities
The estimated fair value of available-for-sale securities and the related gross unrealized gains and losses recognized in accumulated other comprehensive income (loss) were as follows:
| |
|
(Dollars in thousands) |
|
| |
|
|
|
|
|
Gross |
|
|
Gross |
|
|
Estimated |
|
| |
|
Cost |
|
|
Unrealized |
|
|
Unrealized |
|
|
Fair |
|
| |
|
Basis |
|
|
Gains |
|
|
Losses |
|
|
Value |
|
| December 31, 2020 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Money market fund |
|
$ |
52,941 |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
52,941 |
|
| U.S. government sponsored entities |
|
|
7,881 |
|
|
|
3 |
|
|
|
(24 |
) |
|
|
7,860 |
|
| Collateralized mortgage obligations and residential mortgage-backed securities |
|
|
151,355 |
|
|
|
3,417 |
|
|
|
(36 |
) |
|
|
154,736 |
|
| Municipal securities |
|
|
183,103 |
|
|
|
11,102 |
|
|
|
(2 |
) |
|
|
194,203 |
|
| Collateralized debt obligations |
|
|
2,182 |
|
|
|
- |
|
|
|
(1,253 |
) |
|
|
929 |
|
| Total securities available-for-sale |
|
$ |
397,462 |
|
|
$ |
14,522 |
|
|
$ |
(1,315 |
) |
|
$ |
410,669 |
|
| |
|
(Dollars in thousands) |
|
| |
|
|
|
|
|
Gross |
|
|
Gross |
|
|
Estimated |
|
| |
|
Cost |
|
|
Unrealized |
|
|
Unrealized |
|
|
Fair |
|
| |
|
Basis |
|
|
Gains |
|
|
Losses |
|
|
Value |
|
| December 31, 2019 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Money market fund |
|
$ |
9,670 |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
9,670 |
|
| U.S. government sponsored entities |
|
|
12,994 |
|
|
|
64 |
|
|
|
- |
|
|
|
13,058 |
|
| Collateralized mortgage obligations and residential mortgage-backed securities |
|
|
149,339 |
|
|
|
1,745 |
|
|
|
(96 |
) |
|
|
150,988 |
|
| Municipal securities |
|
|
97,628 |
|
|
|
4,844 |
|
|
|
(45 |
) |
|
|
102,427 |
|
| Collateralized debt obligations |
|
|
2,202 |
|
|
|
- |
|
|
|
(1,126 |
) |
|
|
1,076 |
|
| Total securities available-for-sale |
|
$ |
271,833 |
|
|
$ |
6,653 |
|
|
$ |
(1,267 |
) |
|
$ |
277,219 |
|
The estimated fair value of available-for-sale securities and carrying amount, if different, at December 31, 2020, by contractual maturity were as follows. Securities not due at a single maturity date, primarily mortgage-backed securities, are shown separately. Tax-equivalent yields were calculated using the 2020 tax rate.
| |
|
(Dollars in thousands) |
|
| |
|
Available-for-sale |
|
| |
|
Estimated |
|
|
|
|
|
| |
|
Fair |
|
|
Tax-Equivalent |
|
| December 31, 2020 |
|
Value |
|
|
Yield (%) |
|
| Due in one year or less |
|
$ |
52,941 |
|
|
|
0.03 |
|
| Due from one to five years |
|
|
3,779 |
|
|
|
4.20 |
|
| Due from five to ten years |
|
|
23,344 |
|
|
|
2.67 |
|
| Due over ten years |
|
|
175,869 |
|
|
|
3.37 |
|
| |
|
|
|
|
|
|
|
|
| Collateralized mortgage obligations and residential mortgage-backed securities |
|
|
154,736 |
|
|
|
1.87 |
|
| Total |
|
$ |
410,669 |
|
|
|
2.34 |
|
Sales of available-for-sale securities were as follows:
| |
|
(Dollars in thousands) |
|
| |
|
December 31, |
|
|
December 31, |
|
| |
|
2020 |
|
|
2019 |
|
| |
|
|
|
|
|
|
|
|
| Proceeds |
|
$ |
51,350 |
|
|
$ |
37,939 |
|
| Gross gains |
|
|
2,407 |
|
|
|
888 |
|
| Gross losses |
|
|
(59 |
) |
|
|
(267 |
) |
The tax provisions related to these net realized gains were approximately $493 thousand for 2020 and $130 thousand for 2019.
Accumulated other comprehensive income/(loss) balances, net of tax, related to available-for-sale securities, were as follows:
| |
|
(Dollars in thousands) |
|
| |
|
Unrealized
gain/(loss) |
|
| Ending balance, December 31, 2019 |
|
$ |
4,261 |
|
| Current period change |
|
|
6,180 |
|
| Ending balance, December 31, 2020 |
|
$ |
10,441 |
|
Securities with carrying values of approximately $52.4 million and $65.5 million were pledged as of December 31, 2020 and 2019, respectively, as collateral for repurchase agreements, public funds, and for other purposes as permitted or required by law
Securities with unrealized losses at December 31, 2020, and 2019, not recognized in income are as follows:
| |
|
(Dollars in thousands) |
|
| |
|
Less than 12 months |
|
|
12 months or longer |
|
|
Total |
|
| |
|
Estimated |
|
|
|
|
|
|
Estimated |
|
|
|
|
|
|
Estimated |
|
|
|
|
|
| |
|
Fair |
|
|
Unrealized |
|
|
Fair |
|
|
Unrealized |
|
|
Fair |
|
|
Unrealized |
|
| |
|
Value |
|
|
Losses |
|
|
Value |
|
|
Losses |
|
|
Value |
|
|
Losses |
|
| December 31, 2020 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| U.S. government sponsored entities |
|
$ |
4,975 |
|
|
$ |
(24 |
) |
|
$ |
- |
|
|
$ |
- |
|
|
$ |
4,975 |
|
|
$ |
(24 |
) |
| Collateralized mortgage obligations and residential mortgage-backed securities |
|
|
11,953 |
|
|
|
(36 |
) |
|
|
- |
|
|
|
- |
|
|
|
11,953 |
|
|
|
(36 |
) |
| Municipal securities |
|
|
1,864 |
|
|
|
(2 |
) |
|
|
- |
|
|
|
- |
|
|
|
1,864 |
|
|
|
(2 |
) |
| Collateralized debt obligations |
|
|
- |
|
|
|
- |
|
|
|
929 |
|
|
|
(1,253 |
) |
|
|
929 |
|
|
|
(1,253 |
) |
| Total temporarily impaired |
|
$ |
18,792 |
|
|
$ |
(62 |
) |
|
$ |
929 |
|
|
$ |
(1,253 |
) |
|
$ |
19,721 |
|
|
$ |
(1,315 |
) |
| Number of securities |
|
|
|
|
|
|
8 |
|
|
|
|
|
|
|
2 |
|
|
|
|
|
|
|
10 |
|
| |
|
(Dollars in thousands) |
|
| |
|
Less than 12 months |
|
|
12 months or longer |
|
|
Total |
|
| |
|
Estimated |
|
|
|
|
|
|
Estimated |
|
|
|
|
|
|
Estimated |
|
|
|
|
|
| |
|
Fair |
|
|
Unrealized |
|
|
Fair |
|
|
Unrealized |
|
|
Fair |
|
|
Unrealized |
|
| |
|
Value |
|
|
Losses |
|
|
Value |
|
|
Losses |
|
|
Value |
|
|
Losses |
|
| December 31, 2018 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| U.S. government sponsored entities |
|
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
| Collateralized mortgage obligations and residential mortgage-backed securities |
|
|
8,859 |
|
|
|
(31 |
) |
|
|
15,065 |
|
|
|
(65 |
) |
|
|
23,924 |
|
|
|
(96 |
) |
| Municipal securities |
|
|
4,367 |
|
|
|
(45 |
) |
|
|
- |
|
|
|
- |
|
|
|
4,367 |
|
|
|
(45 |
) |
| Collateralized debt obligations |
|
|
- |
|
|
|
- |
|
|
|
1,076 |
|
|
|
(1,126 |
) |
|
|
1,076 |
|
|
|
(1,126 |
) |
| Total temporarily impaired |
|
$ |
13,226 |
|
|
$ |
(76 |
) |
|
$ |
16,141 |
|
|
$ |
(1,191 |
) |
|
$ |
29,367 |
|
|
$ |
(1,267 |
) |
| Number of securities |
|
|
|
|
|
|
11 |
|
|
|
|
|
|
|
17 |
|
|
|
|
|
|
|
28 |
|
Unrealized losses on securities have not been recognized into income because the securities are of high credit quality, have undisrupted cash flows, or have been independently evaluated for other-than-temporary impairment and appropriate write downs taken. Management has the intent and ability to hold the securities for the foreseeable future, and the decline in fair value is largely due to changes in interest rates and volatility in the securities markets. The fair values are expected to recover as the securities approach maturity.
|