Note 6. Securities

The amortized cost and estimated fair value of securities available-for-sale and the corresponding amounts of gross unrealized gains and losses recognized in accumulated other comprehensive income were as follows:


June 30, 2018	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
Securities available-for-sale
Obligations of U.S. Government agencies	$	99,566,635	$	—	$	4,269,911	$	95,296,724
Mortgage backed securities		278,584,218		6,438		12,561,575		266,029,081
State, County, Municipals		107,211,506		78,334		4,863,460		102,426,380

Total	$	485,362,359	$	84,772	$	21,694,946	$	463,752,185


December 31, 2017	Amortized Cost		Unrealized Gains		Unrealized Losses		Estimated Fair Value
Securities available-for-sale
Obligations of U.S. Government agencies	$	180,647,580	$	—	$	4,199,022	$	176,448,558
Mortgage backed securities		213,707,125		43,197		5,327,265		208,423,057
State, County, Municipals		118,786,297		849,364		2,535,126		117,100,535
Other investments		2,865,294		208,933		—		3,074,227

Total	$	516,006,296	$	1,101,494	$	12,061,413	$	505,046,377

During the 2^nd quarter of 2018, management reclassified Small Business Administration Pools (“SBAP”) that are backed by mortgages from the Obligation of U.S. Government agencies portfolio to the Mortgage backed securities portfolio. This resulted in a reclassification of $76,518,180 in securities and did not have an impact on shareholders’ equity or net income.

The amortized cost and estimated fair value of securities by contractual maturity at June 30, 2018 and December 31, 2017 are shown below. Actual maturities may differ from contractual maturities because issuers have the right to call or prepay certain obligations.


	June 30, 2018				December 31, 2017
	Amortized Cost		Estimated Fair Value		Amortized Cost		Estimated Fair Value
Available-for-sale
Due in one year or less	$	1,817,972	$	1,820,005	$	3,398,727	$	3,421,576
Due after one year through five years		97,858,493		94,124,451		75,887,288		74,589,829
Due after five years through ten years		31,088,580		29,855,611		55,691,854		54,740,055
Due after ten years		354,597,314		337,952,118		381,028,427		372,294,917

Total	$	485,362,359	$	463,752,185	$	516,006,296	$	505,046,377

The tables below show the Corporation’s gross unrealized losses and fair value of available-for-sale investments, aggregated by investment category and length of time that individual investments were in a continuous loss position at June 30, 2018 and December 31, 2017.

A summary of unrealized loss information for securities available-for-sale, categorized by security type follows (in thousands):


June 30, 2018	Less than 12 months				12 months or more				Total
Description of Securities	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
Obligations of U.S. government agencies	$	15,119,779	$	647,021	$	80,176,945	$	3,622,890	$	95,296,724	$	4,269,911
Mortgage backed securities		93,958,426		3,434,432		171,878,931		9,127,143		265,837,357		12,561,575
State, County, Municipal		25,411,940		806,404		64,746,595		4,057,056		90,158,535		4,863,460

Total	$	134,490,145	$	4,887,857	$	316,802,471	$	16,807,089	$	451,292,616	$	21,694,946


December 31, 2017	Less than 12 months				12 months or more				Total
Description of Securities	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
Obligations of U.S. government agencies	$	15,681,866	$	223,534	$	160,766,691	$	3,975,488	$	176,448,557	$	4,199,022
Mortgage backed securities		88,499,852		1,613,091		116,753,236		3,714,175		205,253,088		5,327,266
State, County, Municipal		7,117,600		59,041		66,973,174		2,476,084		74,090,774		2,535,125

Total	$	111,299,318	$	1,895,666	$	344,493,101	$	10,165,747	$	455,792,419	$	12,061,413

The Corporation’s unrealized losses on its obligations of United States government agencies, mortgage backed securities and state, county and municipal bonds are the result of an upward trend in interest rates, mainly in the mid-term sector. None of the unrealized losses disclosed in the previous table are related to credit deterioration. The Corporation does not intend to sell any securities in an unrealized loss position that it holds and it is not more likely than not that the Corporation will be required to sell any such security prior to the recovery of it amortized cost basis, which may be at maturity. Furthermore, even though a number of these securities have been in a continuous unrealized loss position for greater than twelve months, the Corporation is collecting principal and interest payments as scheduled. The Corporation has determined that none of the securities in this classification were other-than-temporarily impaired at June 30, 2018 nor at December 31, 2017.