XML 21 R11.htm IDEA: XBRL DOCUMENT

Investment Securities

12 Months Ended

Dec. 31, 2021

Investment Securities [Abstract]

Investment Securities

Note 3—Investment Securities

The amortized cost, fair values, and unrealized gains and losses of the securities available-for-sale are as follows:

Available-for-Sale Securities						Gross Unrealized
(Dollars in thousands)		Amortized Cost				Gains				Losses				Fair Value
As of December 31, 2021
U.S. Treasury notes		$	9,938			$	151			$	-			$	10,089
U.S. Government-sponsored securities			6,351				62				39				6,374
Mortgage-backed securities⁽¹⁾			253,300				3,200				5,380				251,120
Collateralized Mortgage Obligations			2,412				24				-				2,436
Other			435				-				-				435
Total available-for-sale securities		$	272,436			$	3,437			$	5,419			$	270,454

⁽¹⁾ All mortgage-backed securities were issued by an agency or government sponsored entity of the U.S. Government.

Available-for-Sale Securities						Gross Unrealized
(Dollars in thousands)		Amortized Cost				Gains				Losses				Fair Value
As of December 31, 2020
U.S. Treasury notes		$	14,859			$	429			$	-			$	15,288
U.S. Government-sponsored securities			8,252				1				93				8,160
Mortgage-backed securities⁽¹⁾			715,523				17,245				48				732,720
Collateralized Mortgage Obligations			5,039				114				-				5,153
Corporate securities			45,010				927				18				45,919
Other			492				-				-				492
Total available-for-sale securities		$	789,175			$	18,716			$	159			$	807,732

⁽¹⁾All mortgage-backed securities were issued by an agency or government sponsored entity of the U.S. Government.

The book values, estimated fair values and unrealized gains and losses of investments classified as held-to-maturity are as follows:

Held-to-Maturity Securities						Gross Unrealized
(Dollars in thousands)		Amortized Cost				Gains				Losses				Fair Value
As of December 31, 2021
Municipal securities		$	66,496			$	701			$	-			$	67,197
Mortgage-backed securities⁽¹⁾			596,775				45				11,764				585,056
Collateralized Mortgage Obligations			73,781				36				229				73,588
Total held-to-maturity securities		$	737,052			$	782			$	11,993			$	725,841

⁽¹⁾ All mortgage-backed securities were issued by an agency or government sponsored entity of the U.S. Government.

Held-to-Maturity Securities						Gross Unrealized
(Dollars in thousands)		Amortized Cost				Gains				Losses				Fair Value
As of December 31, 2020
Municipal securities		$	68,933			$	1,116			$	-			$	70,049
Total held-to-maturity securities		$	68,933			$	1,116			$	-			$	70,049

Fair values are based on quoted market prices or dealer quotes. If a quoted market price or dealer quote is not available, fair value is estimated using quoted market prices for similar securities.

The following tables show the gross unrealized losses for available-for-sale securities that are less than 12 months and 12 months or more:

Available-for-Sale Securities		December 31, 2021
		Less Than 12 Months								12 Months or More								Total
(Dollars in thousands)		Fair Value				Unrealized Losses				Fair Value				Unrealized Losses				Fair Value				Unrealized Losses
As of December 31, 2021
U.S. Government-sponsored securities		$	183			$	-			$	2,007			$	39			$	2,190			$	39
Mortgage-backed securities⁽¹⁾			61,469				1,192				104,489				4,188				165,958				5,380
Total available-for-sale securities		$	61,652			$	1,192			$	106,496			$	4,227			$	168,148			$	5,419

⁽¹⁾ All mortgage-backed securities were issued by an agency or government sponsored entity of the U.S. Government.

Available-for-Sale Securities		December 31, 2020
		Less Than 12 Months								12 Months or More								Total
(Dollars in thousands)		Fair Value				Unrealized Losses				Fair Value				Unrealized Losses				Fair Value				Unrealized Losses
As of December 31, 2020
U.S. Government-sponsored securities		$	1,741			$	3			$	6,126			$	90			$	7,867			$	93
Mortgage-backed securities⁽¹⁾			20,142				45				177				3				20,319				48
Corporate securities			4,041				18				-				-				4,041				18
Total available-for-sale securities		$	25,924			$	66			$	6,303			$	93			$	32,227			$	159

⁽¹⁾ All mortgage-backed securities were issued by an agency or government sponsored entity of the U.S. Government.

The following tables show the gross unrealized losses for held-to-maturity securities that are less than 12 months and 12 months or more:

Held-to-Maturity Securities		December 31, 2021
(Dollars in thousands)		Less Than 12 Months								12 Months or More								Total
		Fair Value				Unrealized Losses				Fair Value				Unrealized Losses				Fair Value				Unrealized Losses
As of December 31, 2021
Mortgage-backed securities⁽¹⁾		$	570,119			$	11,764			$	-			$	-			$	570,119			$	11,764
Collateralized Mortgage Obligations			58,977				229				-				-				58,977				229
Total held-to-maturity securities		$	629,096			$	11,993			$	-			$	-			$	629,096			$	11,993

⁽¹⁾ All mortgage-backed securities were issued by an agency or government sponsored entity of the U.S. Government.

There were no HTM investments with gross unrealized losses at December 31, 2020.

As of December 31, 2021, the Company held 654 investment securities of which 82 were in an unrealized loss position for less than twelve months and 71 securities were in an unrealized loss position for twelve months or more. Management periodically evaluates each investment security for other-than-temporary impairment relying primarily on industry analyst reports and observations of market conditions and interest rate fluctuations. The Company does not intend to sell the securities and believes it is able to more likely than not collect all amounts due according to the contractual terms of the underlying investment securities. Management believes its debt securities are not OTTI.

Proceeds from sales and calls of these securities were as follows:

(Dollars in thousands)		Gross Proceeds				Gross Gains				Gross Losses
2021		$	301,320			$	5,570			$	3,016
2020		$	5,080			$	40			$	-
2019		$	5,300			$	1			$	-

The amortized cost and estimated fair values of investment securities at December 31, 2021 by contractual maturity are shown in the following tables:

		Available-for-Sale								Held-to-Maturity
(Dollars in thousands)		Amortized Cost				Fair Value				Amortized Cost				Fair Value
Securities maturing in:
One year or less		$	5,430			$	5,465			$	308			$	308
After one year through five years			5,094				5,209				8,487				8,528
After five years through ten years			510				512				18,433				19,072
After ten years			5,690				5,711				39,268				39,288
		$	16,724			$	16,897			$	66,496			$	67,196

Securities not due at a single maturity date:
Mortgage-backed securities			253,300				251,120				596,775				585,056
Collateralized mortgage obligations			2,412				2,437				73,781				73,589
Total		$	272,436			$	270,454			$	737,052			$	725,841

Expected maturities of mortgage-backed and CMO securities may differ from contractual maturities because borrowers have the right to call or prepay obligations with or without call or prepayment penalties.

Pledged Securities

As of December 31, 2021, securities carried at $426 million were pledged to secure public deposits, Federal Home Loan Bank (“FHLB”) borrowings, and other government agency deposits as required by law. This amount was $439.7 million at December 31, 2020.