SECURITIES

6 Months Ended

Jun. 30, 2022

2. SECURITIES

The amortized cost and fair value of securities, with gross unrealized gains and losses, at the dates indicated follows (dollars in thousands):

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
June 30, 2022
Available for sale:
State and municipal	$	262,470	$	116	$	(28,648	)	$	233,938
Mortgage-backed securities		455,300		1		(46,039	)		409,262
Collateralized mortgage obligations		86,294		821		—			87,115
Asset-backed and other amortizing securities		23,243		—		(1,173	)		22,070
Other securities		12,000		—		(442	)		11,558
	$	839,307	$	938	$	(76,302	)	$	763,943

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
December 31, 2021
Available for sale:
State and municipal	$	265,143	$	10,615	$	(86	)	$	275,672
Mortgage-backed securities		302,973		4,230		(4,114	)		303,089
Collateralized mortgage obligations		106,733		—		(413	)		106,320
Asset-backed and other amortizing securities		26,046		1,108		(218	)		26,936
Other securities		12,000		487		—			12,487
	$	712,895	$	16,440	$	(4,831	)	$	724,504

The amortized cost and fair value of securities at June 30, 2022 are presented below by contractual maturity (dollars in thousands). Expected maturities may differ from contractual maturities because issuers may have the right to call or prepay obligations. Other securities are shown separately since they are not due at a single maturity date.

	Available for Sale
	Amortized Cost		Fair Value
Within 1 year	$	951	$	953
After 1 year through 5 years		8,449		8,470
After 5 years through 10 years		22,147		21,527
After 10 years		242,923		214,547
Other		564,837		518,446
	$	839,307	$	763,943

At both June 30, 2022 and December 31, 2021, there were no holdings of securities of any one issuer, other than the U.S. government, its agencies, or its sponsored enterprises, in an amount greater than 10% of stockholders’ equity.

Securities with a carrying value of approximately $463.7 million and $474.5 million at June 30, 2022 and December 31, 2021, respectively, were pledged to collateralize public deposits and for other purposes as required or permitted by law.

The following table segregates securities with unrealized losses at the periods indicated, by the duration they have been in a loss position (dollars in thousands):

	Less than 12 Months				12 Months or More				Total
	Fair Value		Unrealized Loss		Fair Value		Unrealized Loss		Fair Value		Unrealized Loss
June 30, 2022
State and municipal	$	216,679	$	27,194	$	7,373	$	1,454	$	224,052	$	28,648
Mortgage-backed securities		341,527		31,360		67,724		14,679		409,251		46,039
Collateralized mortgage obligations		—		—		—		—		—		—
Asset-backed and other amortizing securities		22,070		1,173		—		—		22,070		1,173
Other securities		11,558		442		—		—		11,558		442
	$	591,834	$	60,169	$	75,097	$	16,133	$	666,931	$	76,302

December 31, 2021
State and municipal	$	21,255	$	86	$	—	$	—	$	21,255	$	86
Mortgage-backed securities		56,398		1,197		64,764		2,917		121,162		4,114
Collateralized mortgage obligations		106,320		413		—		—		106,320		413
Asset-backed and other amortizing securities		1,624		218		—		—		1,624		218
Other securities		—		—		—		—		—		—
	$	185,597	$	1,914	$	64,764	$	2,917	$	250,361	$	4,831

There were 160 securities with an unrealized loss at June 30, 2022, generally due to increases in market rates. Management does not believe that these losses are other than temporary as there is no intent to sell any of these securities before recovery and it is not probable the Company will be required to sell any of these securities before recovery, and credit loss, if any, is not material. These unrealized losses are largely due to significant increases in market interest rates experienced during the first six months of 2022 over the yields available at the time the underlying securities were purchased. The fair value is expected to recover as the securities approach their maturity date or if market yields for such investments decline in future periods. Management does not believe any of the securities are impaired due to reasons of credit quality. Accordingly, as of June 30, 2022, management believes the impairments detailed in the table above are temporary and no impairment loss has been realized in the Company’s combined financial statements.