Investments (Tables)

6 Months Ended

Jun. 30, 2012

Investments, Debt and Equity Securities [Abstract]

Available-for-sale securities reconciliation

The following table sets forth the carrying values and estimated fair values of our investment securities portfolio at the dates indicated (in thousands):

	June 30, 2012
Available-for-Sale Securities	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
Debt securities:
Obligations of states and political subdivisions	$	106,675	$	9,411	$	(272	)	$	115,814
U.S. Government agencies collateralized by residential mortgage obligations	190,654		2,410		(592		)	192,472
Private label residential mortgage backed securities	7,250		209		(790		)	6,669
Other equity securities	7,596		380		—			7,976
	$	312,175	$	12,410	$	(1,654	)	$	322,931

	December 31, 2011
Available-for-Sale Securities	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
Debt securities:
U.S. Government agencies	$	149	$	—	$	—		$	149
Obligations of states and political subdivisions	101,030		7,732		(331		)	108,431
U.S. Government agencies collateralized by residential mortgage obligations	204,222		1,402		(1,080		)	204,544
Private label residential mortgage backed securities	8,408		245		(1,255		)	7,398
Other equity securities	7,596		295		—			7,891
	$	321,405	$	9,674	$	(2,666	)	$	328,413

Realized gains and losses

Proceeds and gross realized gains (losses) from the sales or calls of investment securities for the periods ended June 30, 2012 and 2011 are shown below (in thousands):

	For the Three Months Ended June 30,						For the Six Months Ended June 30,
Available-for-Sale Securities	2012			2011			2012			2011
Proceeds from sales or calls	$	3,107		$	30,815		$	7,499		$	31,409
Gross realized gains from sales or calls	157			731			566			739
Gross realized losses from sales or calls	(60		)	(689		)	(122		)	(713		)

Securities in a continuous unrealized loss position

Investment securities with unrealized losses as of the dates indicated are summarized and classified according to the duration of the loss period as follows (in thousands):

	June 30, 2012
	Less than 12 Months					12 Months or More					Total
	Fair		Unrealized			Fair		Unrealized			Fair		Unrealized
Available-for-Sale Securities	Value		Losses			Value		Losses			Value		Losses
Debt securities:
Obligations of states and political subdivisions	$	7,096	$	(68	)	$	1,455	$	(204	)	$	8,551	$	(272	)
U.S. Government agencies collateralized by residential mortgage obligations	73,948		(562		)	2,030		(30		)	75,978		(592		)
Private label residential mortgage backed securities	—		—			4,779		(790		)	4,779		(790		)
	$	81,044	$	(630	)	$	8,264	$	(1,024	)	$	89,308	$	(1,654	)

	December 31, 2011
	Less than 12 Months					12 Months or More					Total
	Fair		Unrealized			Fair		Unrealized			Fair		Unrealized
Available-for-Sale Securities	Value		Losses			Value		Losses			Value		Losses
Debt securities:
Obligations of states and political subdivisions	$	1,194	$	(20	)	$	2,598	$	(311	)	$	3,792	$	(331	)
U.S. Government agencies collateralized by residential mortgage obligations	105,902		(1,080		)	—		—			105,902		(1,080		)
Private label residential mortgage backed securities	32		(1		)	4,917		(1,254		)	4,949		(1,255		)
	$	107,128	$	(1,101	)	$	7,515	$	(1,565	)	$	114,643	$	(2,666	)

Summary of credit ratings for below investment grade investments

PLRMBS as of June 30, 2012 with credit ratings below investment grade are summarized in the table below (dollars in thousands):

Description	Book Value		Market Value		Unrealized Gain (Loss)			Rating	Agency	12 Month Historical Prepayment Rates %	Projected Default Rates %	Projected Severity Rates %	Original Purchase Price %	Current Credit Enhancement %
PHHAM	$	2,180	1,794		$	(386	)	D	Fitch	10.82	22.80	51.00	97.25	—
CWALT 1	716		613		(103		)	C	Fitch	12.01	27.50	59.20	100.73	4.86
CWALT 2	331		249		(82		)	D	Fitch	11.10	30.40	56.30	101.38	(0.45	)
FHAMS	1,919		1,799		(120		)	D	Fitch	11.71	19.10	63.90	95.00	(0.24	)
BAALT	111		64		(47		)	CC	Fitch	9.68	11.90	44.50	97.24	3.70
ABFS	281		231		(50		)	D	S&P	10.70	11.47	65.25	97.46	—
CONHE	48		71		23			B3	Moodys	9.89	6.35	100.00	86.39	—
TOTALS	$	5,586	$	4,821	$	(765	)

Credit losses recorded in earnings

The following tables provide a roll forward for the three and six month periods ended June 30, 2012 and 2011 of investment securities credit losses recorded in earnings. The beginning balance represents the credit loss component for which OTTI occurred on debt securities in prior periods.  Additions represent the first time a debt security was credit impaired or when subsequent credit impairments have occurred on securities for which OTTI credit losses have been previously recognized.

	For the Three Months Ended June 30,					For the Six Months Ended June 30,
(Dollars in thousands)	2012		2011			2012		2011
Beginning balance	$	783	$	1,418		$	783	$	1,387
Amounts related to credit loss for which an OTTI charge was not previously recognized	—		—			—		31
Increases to the amount related to credit loss for which OTTI was previously recognized	—		—			—		—
Realized losses for securities sold	—		(651		)	—		(651		)
Ending balance	$	783	$	767		$	783	$	767

Investments by contractual maturity

June 30, 2012	Amortized Cost		Estimated Fair Value
Within one year	$	420	$	421
After one year through five years	11,062		12,077
After five years through ten years	17,552		19,072
After ten years	77,641		84,244
	106,675		115,814
Investment securities not due at a single maturity date:
U.S. Government agencies collateralized by residential mortgage obligations	190,654		192,472
Private label residential mortgage backed securities	7,250		6,669
Other equity securities	7,596		7,976
	$	312,175	$	322,931