Securities (Tables)

9 Months Ended

Sep. 30, 2018

Investments Debt And Equity Securities [Abstract]

Amortized Cost and Fair Value of Securities Available for Sale

The amortized cost and fair value of securities available for sale, with unrealized gains and losses follows:

	September 30, 2018
(In thousands)	Amortized Cost		Gross Unrealized Gains		Gross Unrealized (Losses)			Fair Value
Obligations of U.S. Government corporations and agencies	$	59,228	$	17	$	(1,849	)	$	57,396
Obligations of states and political subdivisions		14,655		15		(287	)		14,383
Corporate bonds		674		176		-			850
	$	74,557	$	208	$	(2,136	)	$	72,629

	December 31, 2017
(In thousands)	Amortized Cost		Gross Unrealized Gains		Gross Unrealized (Losses)			Fair Value
Obligations of U.S. Government corporations and agencies	$	52,872	$	113	$	(608	)	$	52,377
Obligations of states and political subdivisions		15,124		191		(60	)		15,255
Corporate bonds		3,816		476		(153	)		4,139
Mutual funds		386		-		(4	)		382
	$	72,198	$	780	$	(825	)	$	72,153

Securities Available for Sale by Contractual Maturity

The amortized cost and fair value of securities available for sale, by contractual maturity, are shown below. Expected maturities may differ from contractual maturities because issuers may have the right to call or prepay obligations without penalties.

	September 30, 2018
(In thousands)	Amortized Cost		Fair Value
Due in one year or less	$	1,002	$	1,000
Due after one year through five years		7,017		6,843
Due after five years through ten years		23,675		22,932
Due after ten years		42,863		41,854
	$	74,557	$	72,629

Securities in Continuous Unrealized Loss Position

The following table shows the Company’s securities with gross unrealized losses, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, at September 30, 2018 and December 31, 2017, respectively.

(In thousands)	Less than 12 Months					12 Months or More					Total
September 30, 2018	Fair Value		Unrealized (Losses)			Fair Value		Unrealized (Losses)			Fair Value		Unrealized (Losses)
Obligations of U.S. Government corporations and agencies	$	40,066	$	(1,047	)	$	15,829	$	(802	)	$	55,895	$	(1,849	)
Obligations of states and political subdivisions		10,613		(237	)		1,161		(50	)		11,774		(287	)
Total temporary impaired securities	$	50,679	$	(1,284	)	$	16,990	$	(852	)	$	67,669	$	(2,136	)

(In thousands)	Less than 12 Months					12 Months or More					Total
December 31, 2017	Fair Value		Unrealized (Losses)			Fair Value		Unrealized (Losses)			Fair Value		Unrealized (Losses)
Obligations of U.S. Government corporations and agencies	$	32,512	$	(330	)	$	10,008	$	(278	)	$	42,520	$	(608	)
Obligations of states and political subdivisions		4,172		(60	)		-		-			4,172		(60	)
Corporate bonds		-		-			1,540		(153	)		1,540		(153	)
Mutual funds		382		(4	)		-		-			382		(4	)
Total temporary impaired securities	$	37,066	$	(394	)	$	11,548	$	(431	)	$	48,614	$	(825	)

Pooled Trust Preferred Security

Additional information regarding the pooled trust preferred security as of September 30, 2018 follows:

(Dollars in thousands)

Cost, net of OTTI

Fair Value ⁽¹⁾

Percent of Underlying Collateral Performing

Percent of Underlying Collateral in Deferral

Percent of Underlying Collateral in Default

Cumulative Amount of OTTI

Cumulative Other Comprehensive Income,

net of tax

674

850

88.3

4.6

7.1

326

(139

)

⁽¹⁾	Current Moody’s Ratings is B2.

Credit Losses Recognized in Earnings

The following roll forward reflects the amount related to credit losses recognized in earnings:

(In thousands)
Beginning balance as of December 31, 2017	$	1,201
Increases in cash flows expected to be collected that are recognized over the remaining life of the securities		(37	)
Reduction for securities called during the period		(838	)
Ending balance as of September 30, 2018	$	326