Quarterly report pursuant to Section 13 or 15(d)

Securities

v2.4.0.8
Securities
6 Months Ended
Jun. 30, 2014
Investments, Debt and Equity Securities [Abstract]  
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block]
Note 4 - 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:
 
 
 
 
 
Gross
 
Gross
 
Estimated
 
(Dollars in thousands)
 
Cost
 
Unrealized
 
Unrealized
 
Fair
 
 
 
Basis
 
Gains
 
Losses
 
Value
 
June 30, 2014
 
 
 
 
 
 
 
 
 
 
 
 
 
U.S. government sponsored entities
 
$
12,500
 
$
-
 
$
(187)
 
$
12,313
 
Collateralized mortgage obligations and residential mortgage-backed securities
 
 
112,191
 
 
1,455
 
 
(812)
 
 
112,834
 
Municipal securities
 
 
78,951
 
 
3,136
 
 
(299)
 
 
81,788
 
Collateralized debt obligations
 
 
5,208
 
 
-
 
 
(2,764)
 
 
2,444
 
Total securities available-for-sale
 
$
208,850
 
$
4,591
 
$
(4,062)
 
$
209,379
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
December 31, 2013
 
 
 
 
 
 
 
 
 
 
 
 
 
U.S. government sponsored entities
 
$
18,997
 
$
-
 
$
(637)
 
$
18,360
 
Collateralized mortgage obligations and residential mortgage-backed securities
 
 
101,056
 
 
1,181
 
 
(1,922)
 
 
100,315
 
Municipal securities
 
 
73,864
 
 
1,499
 
 
(1,710)
 
 
73,653
 
Collateralized debt obligations
 
 
5,208
 
 
-
 
 
(3,240)
 
 
1,968
 
Total securities available-for-sale
 
$
199,125
 
$
2,680
 
$
(7,509)
 
$
194,296
 
  
The estimated fair value of available-for-sale debt securities at June 30, 2014, by contractual maturity, were as follows. Securities not due at a single maturity date, primarily mortgage-backed securities, are shown separately.
 
 
 
Available-for-sale
 
(Dollars in thousands)
 
Estimated
 
 
 
 
 
 
Fair
 
Tax-Equivalent
 
June 30, 2014
 
Value
 
Yield (%)
 
Due in one year or less
 
$
1,256
 
 
6.55
 
Due from one to five years
 
 
18,602
 
 
3.28
 
Due from five to ten years
 
 
23,843
 
 
5.40
 
Due over ten years
 
 
52,844
 
 
4.71
 
Collateralized mortgage obligations and residential mortgage-backed securities
 
 
112,834
 
 
2.66
 
Total
 
$
209,379
 
 
3.57
 
 
Sales of available-for-sale securities were as follows for the six months ended:
 
 
 
June 30,
 
June 30,
 
(Dollars in thousands)
 
2014
 
2013
 
 
 
 
 
 
 
 
 
Proceeds
 
$
28,737
 
$
12,475
 
Gross gains
 
 
728
 
 
444
 
Gross losses
 
 
(271)
 
 
-
 
 
Accumulated other comprehensive income/(loss) balances, net of tax, related to available-for-sale securities, were as follows:
 
(Dollars in thousands)
 
Unrealized
gain/(loss)
 
Beginning balance, December 31, 2013
 
$
(3,209)
 
Current period change
 
 
3,537
 
Ending balance, June 30, 2014
 
$
328
 
 
 
Securities with carrying values of approximately $32,244,000 and $31,231,000 were pledged as of June 30, 2014 and December 31, 2013, respectively, as collateral for repurchase agreements, public funds, and for other purposes as permitted or required by law.
 
Securities with unrealized losses at June 30, 2014 and December 31, 2013 not recognized in income are as follows:
 
 
 
Less than 12 months
 
12 months or longer
 
Total
 
 
 
Estimated
 
 
 
 
Estimated
 
 
 
 
Estimated
 
 
 
 
(Dollars in thousands)
 
Fair
 
Unrealized
 
Fair
 
Unrealized
 
Fair
 
Unrealized
 
 
 
Value
 
Losses
 
Value
 
Losses
 
Value
 
Losses
 
June 30, 2014
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
U.S. government sponsored entities
 
$
995
 
$
(5)
 
$
11,318
 
$
(182)
 
$
12,313
 
$
(187)
 
Collateralized mortgage obligations and residential mortgage-backed securities
 
 
14,036
 
 
(48)
 
 
32,747
 
 
(764)
 
 
46,783
 
 
(812)
 
Municipal securities
 
 
2,633
 
 
(13)
 
 
8,901
 
 
(286)
 
 
11,534
 
 
(299)
 
Collateralized debt obligations
 
 
-
 
 
-
 
 
2,444
 
 
(2,764)
 
 
2,444
 
 
(2,764)
 
Total temporarily impaired
 
$
17,664
 
$
(66)
 
$
55,410
 
$
(3,996)
 
$
73,074
 
$
(4,062)
 
Number of securities
 
 
 
 
 
16
 
 
 
 
 
55
 
 
 
 
 
71
 
 
 
 
Less than 12 months
 
12 months or longer
 
Total
 
 
 
Estimated
 
 
 
 
Estimated
 
 
 
 
Estimated
 
 
 
 
(Dollars in thousands)
 
Fair
 
Unrealized
 
Fair
 
Unrealized
 
Fair
 
Unrealized
 
 
 
Value
 
Losses
 
Value
 
Losses
 
Value
 
Losses
 
December 31, 2013
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
U.S. government sponsored entities
 
$
18,360
 
$
(637)
 
$
-
 
$
-
 
$
18,360
 
$
(637)
 
Collateralized mortgage obligations and residential mortgage-backed securities
 
 
62,748
 
 
(1,922)
 
 
-
 
 
-
 
 
62,748
 
 
(1,922)
 
Municipal securities
 
 
27,890
 
 
(1,571)
 
 
1,478
 
 
(139)
 
 
29,368
 
 
(1,710)
 
Collateralized debt obligations
 
 
-
 
 
-
 
 
1,968
 
 
(3,240)
 
 
1,968
 
 
(3,240)
 
Total temporarily impaired
 
$
108,998
 
$
(4,130)
 
$
3,446
 
$
(3,379)
 
$
112,444
 
$
(7,509)
 
Number of securities
 
 
 
 
 
117
 
 
 
 
 
8
 
 
 
 
 
125
 
 
Unrealized losses on securities have not been recognized into income because the securities are of high credit quality or have undisrupted cash flows. Management has the intent and ability to hold those securities for the foreseeable future, and the decline in fair value is largely due to changes in interest rates and volatility in securities markets. The fair values are expected to recover as the securities approach maturity.