XML 20 R9.htm IDEA: XBRL DOCUMENT v3.24.1.u1
SECURITIES
 3 Months Ended
Mar. 31, 2024
SECURITIES [Abstract]  
SECURITIES
2.  SECURITIES

The amortized cost, related gross unrealized gains and losses, allowance for credit losses, and estimated fair value of securities available for sale at the dates indicated follows (dollars in thousands):

 
Amortized
Cost
    
Gross
Unrealized
Gains
    
Gross
Unrealized
Losses
    
Allowance
for Credit
Losses
    
Fair
Value
  
March 31, 2024
                              
Available for sale:
                              
State and municipal
  
$
201,459
    
$
1
    
$
(23,812
)
   $ —    
$
177,648
  
Residential mortgage-backed securities
     344,258       —       (59,093 )     —       285,165  
Commercial mortgage-backed securities
     47,576       —       (6,722 )     —       40,854  
Commercial collateralized mortgage obligations
    
69,486
      
—
      
(414
)
     —      
69,072
  
Asset-backed and other amortizing securities
    
17,990
      
—
      
(1,661
)
     —      
16,329
  
Other securities
    
12,000
      
—
      
(1,199
)
     —      
10,801
  
   
$
692,769
    
$
1
    
$
(92,901
)
   $ —    
$
599,869
  

 
Amortized
Cost
    
Gross
Unrealized
Gains
    
Gross
Unrealized
Losses
    
Allowance
for Credit
Losses
    
Fair
Value
  
December 31, 2023
                              
Available for sale:
                              
State and municipal
  
$
202,814
    
$
2
    
$
(22,241
)
   $ —    
$
180,575
  
Residential mortgage-backed securities
    351,251       —       (50,547 )     —       300,704  
Commercial mortgage-backed securities
    47,898       —       (6,150 )     —       41,748  
Commercial collateralized mortgage obligations
    
72,391
      
—
      
(461
)
     —      
71,930
  
Asset-backed and other amortizing securities
    
18,476
      
—
      
(1,436
)
     —      
17,040
  
Other securities
    
12,000
      
—
      
(1,235
)
     —      
10,765
  
   
$
704,830
    
$
2
    
$
(82,070
)
   $ —    
$
622,762
  

The amortized cost and estimated fair value of securities at March 31, 2024 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. Declining-balance securities are shown separately since they are not due at a single maturity date.

 
Available for Sale
  
   
Amortized
Cost
    
Fair
Value
  
Within 1 year
  
$
409
    
$
403
  
After 1 year through 5 years
    
6,380
      
6,198
  
After 5 years through 10 years
    
16,170
      
14,940
  
After 10 years
    
190,500
      
166,908
  
Declining-balance securities
    
479,310
      
411,420
  
   
$
692,769
    
$
599,869
  

At both March 31, 2024 and December 31, 2023, 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 $425.6 million and $438.9 million at March 31, 2024 and December 31, 2023, 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 for which an allowance for credit losses has not been recorded (dollars in thousands):

 
Less than 12 Months
    
12 Months or More
    
Total
  
   
Fair
Value
    
Unrealized
Loss
    
Fair
Value
    
Unrealized
Loss
    
Fair
Value
    
Unrealized
Loss
  
March 31, 2024
                                    
State and municipal
  
$
787
    
$
1
    
$
175,575
    
$
23,811
    
$
176,362
    
$
23,812
  
Residential mortgage-backed securities
     9       —       285,156       59,093       285,165       59,093  
Commercial mortgage-backed securities
     —       —       40,854       6,722       40,854       6,722  
Commercial collateralized mortgage obligations
    
—
      
—
      
69,072
      
414
      
69,072
      
414
  
Asset-backed and other amortizing securities
    
—
      
—
      
16,328
      
1,661
      
16,328
      
1,661
  
Other securities
    
3,290
      
210
      
7,511
      
989
      
10,801
      
1,199
  
   
$
4,086
    
$
211
    
$
594,496
    
$
92,690
    
$
598,582
    
$
92,901
  
                                                 
December 31, 2023
                                                
State and municipal
  
$
207
    
$
—
    
$
177,908
    
$
22,241
    
$
178,115
    
$
22,241
  
Residential mortgage-backed securities
    9       —       300,695       50,547       300,704       50,547  
Commercial mortgage-backed securities
    —       —       41,748       6,150       41,748       6,150  
Commercial collateralized mortgage obligations
    
—
      
—
      
71,930
      
461
      
71,930
      
461
  
Asset-backed and other amortizing securities
    
—
      
—
      
17,040
      
1,436
      
17,040
      
1,436
  
Other securities
    
3,286
      
214
      
7,479
      
1,021
      
10,765
      
1,235
  
   
$
3,502
    
$
214
    
$
616,800
    
$
81,856
    
$
620,302
    
$
82,070
  

There were 144 securities with an unrealized loss at March 31, 2024, generally due to increases in market rates. Management evaluates AFS securities in unrealized loss positions to determine whether the impairment is due to credit-related factors or non-credit related factors. Consideration is given to the extent to which the fair value is less than cost, the financial condition and near-term prospects of the issuer, and the intent and ability of the Company to retain its investment in the security for a period of time sufficient to allow for the anticipated recovery in fair value. Management does not have the intent to sell any of the securities in an unrealized loss position as there are adequate liquidity sources to meet expected and unexpected funding needs. The fair value of these securities is expected to recover as the securities approach their maturity date or repricing date or if market yields for such investments decline. Accordingly, as of March 31, 2024, management believes the unrealized loss positions detailed in the previous table are due to non-credit related factors, including changes in interest rates and other market conditions, and therefore no ACL or losses have been recognized or realized in the consolidated financial statements.