9. INVESTMENT SECURITIES

The amortized cost, unrealized gains and losses and estimated fair values of investments in debt and other securities at September 30, 2016 are summarized as follows:

(in thousands)	Amortized cost		Unrealized gains		Unrealized losses			Estimated fair value

Investment securities available-for-sale:
U.S. Treasury Securities	$	26,239	$	105	$	—		$	26,344
Securities of U.S. government agencies and corporations		20,707		64		(1	)		20,770
Obligations of states and political subdivisions		30,474		591		(20	)		31,045
Collateralized mortgage obligations		28,530		85		(12	)		28,603
Mortgage-backed securities		150,732		747		(436	)		151,043

Total debt securities	$	256,682	$	1,592	$	(469	)	$	257,805

The amortized cost, unrealized gains and losses and estimated fair values of investments in debt and other securities at December 31, 2015 are summarized as follows:

(in thousands)	Amortized cost		Unrealized gains		Unrealized losses			Estimated fair value

Investment securities available-for-sale:
U.S. Treasury Securities	$	20,240	$	5	$	(59	)	$	20,186
Securities of U.S. government agencies and corporations		34,079		6		(88	)		33,997
Obligations of states and political subdivisions		25,323		436		(50	)		25,709
Collateralized mortgage obligations		10,994		7		(69	)		10,932
Mortgage-backed securities		92,465		546		(484	)		92,527

Total debt securities	$	183,101	$	1,000	$	(750	)	$	183,351

The Company had $10,760,000 and $31,464,000 in proceeds from sales/calls of available-for-sale securities for the three and nine months ended September 30, 2016, respectively. The Company had $17,798,000 in proceeds from sales of available-for-sale securities for each of the three and nine months ended September 30, 2015. Gross realized gains from sales/calls of available-for-sale securities were $1,000 and $15,000 for the three and nine months ended September 30, 2016, respectively. Gross realized gains from sales of available-for-sale securities were $68,000 for each of the three and nine months ended September 30, 2015. Gross realized losses from sales/calls of available-for-sale securities were $22,000 for each of the three and nine months ended September 30, 2016. Gross realized losses from sales of available-for-sale securities were $39,000 for each of the three and nine months ended September 30, 2015. There was a $12,000 recovery from other equity securities for each of the three months and nine months ended September 30, 2015.

The amortized cost and estimated market value of debt and other securities at September 30, 2016, by contractual and expected maturity, are shown in the following table:

(in thousands)	Amortized cost		Estimated fair value

Due in one year or less	$	22,269	$	22,307
Due after one year through five years		216,619		217,307
Due after five years through ten years		16,779		17,096
Due after ten years		1,015		1,095

	$	256,682	$	257,805

Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Securities due after one year through five years included mortgage-backed securities and collateralized mortgage obligations with expected maturities totaling $170,133,000 at September 30, 2016. The maturities on these securities were based on the average lives of the securities.

An analysis of gross unrealized losses of the available-for-sale investment securities portfolio as of September 30, 2016, follows:

	Less than 12 months					12 months or more					Total
(in thousands)	Fair Value		Unrealized losses			Fair Value		Unrealized losses			Fair Value		Unrealized losses

Securities of U.S. government agencies and corporations	$	2,000	$	(1	)	$	—	$	—		$	2,000	$	(1	)
Obligations of states and political subdivisions		6,174		(20	)		—		—			6,174		(20	)
Collateralized Mortgage obligations		6,706		(12	)		—		—			6,706		(12	)
Mortgage-backed securities		59,754		(394	)		5,331		(42	)		65,085		(436	)

Total	$	74,634	$	(427	)	$	5,331	$	(42	)	$	79,965	$	(469	)

No decline in value was considered "other-than-temporary" during the first nine months of 2016. Fifty-two securities, all considered investment grade, which had a fair value of $74,634,000 and a total unrealized loss of $427,000, have been in an unrealized loss position for less than twelve months as of September 30, 2016. Eight securities, all considered investment grade, which had a fair value of $5,331,000 and a total unrealized loss of $42,000, have been in an unrealized loss position for more than twelve months as of September 30, 2016. The declines in fair value were attributable to changes in interest rates. We have evaluated the credit ratings of our investment securities and their issuer and/or insurers, and based on this evaluation have determined that no investment security in our investment portfolio was other-than-temporarily impaired as of September 30, 2016. As the Company does not intend to sell these securities and it is not more likely than not that the Company will be required to sell these securities prior to their anticipated recovery, these investments are not considered other-than-temporarily impaired.

An analysis of gross unrealized losses of the available-for-sale investment securities portfolio as of December 31, 2015, follows:


	Less than 12 months							12 months or more							Total
	Fair Value			Unrealized losses				Fair Value			Unrealized losses				Fair Value			Unrealized losses

U.S. Treasury Securities		$	15,014		$	(59	)		$	—		$	—			$	15,014		$	(59	)
Securities of U.S. government agencies and corporations			7,005			(32	)			4,047			(56	)			11,052			(88	)
Obligations of states and political subdivisions			7,107			(50	)			—			—				7,107			(50	)
Collateralized Mortgage obligations			9,982			(69	)			—			—				9,982			(69	)
Mortgage-backed securities			44,933			(372	)			5,838			(112	)			50,771			(484	)

Total		$	84,041		$	(582	)		$	9,885		$	(168	)		$	93,926		$	(750	)

Investment securities carried at $36,390,000 and $30,832,000 at September 30, 2016 and December 31, 2015, respectively, were pledged to secure public deposits or for other purposes as required or permitted by law.