3. INVESTMENT SECURITIES

The amortized cost, unrealized gains and losses and estimated fair values of investments in debt and other securities at September 30, 2019 are summarized as follows:

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

Investment securities available-for-sale:
U.S. Treasury Securities	$	31,519	$	671	$	(17	)	$	32,173
Securities of U.S. government agencies and corporations		58,967		537		(55	)		59,449
Obligations of states and political subdivisions		25,439		860		(14	)		26,285
Collateralized mortgage obligations		71,755		431		(299	)		71,887
Mortgage-backed securities		135,248		903		(635	)		135,516

Total debt securities	$	322,928	$	3,402	$	(1,020	)	$	325,310

The amortized cost, unrealized gains and losses and estimated fair values of investments in debt and other securities at December 31, 2018 are summarized as follows:

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

Investment securities available-for-sale:
U.S. Treasury Securities	$	50,825	$	14	$	(157	)	$	50,682
Securities of U.S. government agencies and corporations		42,215		89		(228	)		42,076
Obligations of states and political subdivisions		19,110		181		(123	)		19,168
Collateralized mortgage obligations		65,615		34		(1,850	)		63,799
Mortgage-backed securities		142,297		147		(3,532	)		138,912

Total debt securities	$	320,062	$	465	$	(5,890	)	$	314,637

The Company had $10,974,000 and $43,657,000 in proceeds from sales, calls and maturities of available-for-sale securities for the three and nine months ended September 30, 2019, respectively. The Company had $1,810,000 and $16,390,000 in proceeds from sales, calls and maturities of available-for-sale securities for the three and nine months ended September 30, 2018, respectively. Gross realized gains on sales of available-for-sale securities were $0 and $47,000 for the three and nine months ended September 30, 2019, respectively. There were no gross realized gains from sales of available-for-sale securities for the three and nine months ended September 30, 2018. Gross realized losses from sales of available-for-sale securities were $0 and $53,000 for the three and nine months ended September 30, 2019, respectively. There were no gross realized losses on sales of available-for-sale securities for the three and nine months ended September 30, 2018.

The amortized cost and estimated market value of debt and other securities at September 30, 2019, by contractual and expected maturity, are shown in the following table:

(in thousands)	Amortized cost		Estimated fair value

Maturity in years:
Due in one year or less	$	40,108	$	40,216
Due after one year through five years		54,956		55,999
Due after five years through ten years		12,379		12,907
Due after ten years		8,482		8,785
Subtotal		115,925		117,907
MBS & CMO		207,003		207,403
Total	$	322,928	$	325,310

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. In addition, factors such as prepayments and interest rates may affect the yield on the carrying value of mortgage-related securities.

An analysis of gross unrealized losses of the available-for-sale investment securities portfolio as of September 30, 2019, follows:

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

U.S. Treasury securities	$	—	$	—		$	4,009	$	(17	)	$	4,009	$	(17	)
Securities of U.S. government agencies and corporations		9,228		(31	)		10,081		(24	)		19,309		(55	)
Obligations of states and political subdivisions		1,611		(9	)		860		(5	)		2,471		(14	)
Collateralized Mortgage obligations		10,125		(15	)		22,571		(284	)		32,696		(299	)
Mortgage-backed securities		12,533		(37	)		59,056		(598	)		71,589		(635	)

Total	$	33,497	$	(92	)	$	96,577	$	(928	)	$	130,074	$	(1,020	)

No decline in value was considered “other-than-temporary” as of September 30, 2019. Thirty-one securities, all considered investment grade, which had an aggregate fair value of $33,497,000 and a total unrealized loss of $92,000, have been in an unrealized loss position for less than twelve months as of September 30, 2019. One hundred seven securities, all considered investment grade, which had an aggregate fair value of $96,577,000 and a total unrealized loss of $928,000, have been in an unrealized loss position for more than twelve months as of September 30, 2019. The unrealized losses on the Company's investment securities were caused by market conditions for these types of investments, particularly changes in risk-free interest rates. The Company does not intend to sell the securities and has concluded it is not more likely than not that we will be required to sell these securities prior to recovery of their anticipated cost basis. Therefore, the Company does not consider these investments to be other than temporarily impaired as of September 30, 2019.

The fair value of investment securities could decline in the future if the general economy deteriorates, inflation increases, credit ratings decline, the issuer's financial condition deteriorates, or the liquidity for securities declines. As a result, other than temporary impairments may occur in the future.

An analysis of gross unrealized losses of the available-for-sale investment securities portfolio as of December 31, 2018, 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		$	37,805		$	(67	)		$	5,951		$	(90	)		$	43,756		$	(157	)
Securities of U.S. government agencies and corporations			16,959			(39	)			13,540			(189	)			30,499			(228	)
Obligations of states and political subdivisions			847			(2	)			9,134			(121	)			9,981			(123	)
Collateralized Mortgage obligations			2,217			(6	)			53,217			(1,844	)			55,434			(1,850	)
Mortgage-backed securities			16,358			(123	)			105,361			(3,409	)			121,719			(3,532	)

Total		$	74,186		$	(237	)		$	187,203		$	(5,653	)		$	261,389		$	(5,890	)

Investment securities carried at $38,846,000 and $36,781,000 at September 30, 2019 and December 31, 2018, respectively, were pledged to secure public deposits or for other purposes as required or permitted by law.