Note 5. Securities

The following tables present the book value and fair value of available-for-sale securities as of the dates stated:



	September 30, 2012
		Gross Unrealized
	Book Value	Gains	(Losses)	Fair Value
Mortgage-backed securities
- Fixed rate	$ 47,354	$ 1,760	$ -	$ 49,114
- Variable rate	2,246	160	-	2,406
Collateralized mortgage obligations	10,930	138	(14)	11,054
Total securities available for sale	$ 60,530	$ 2,058	$ (14)	$ 62,574


	December 31, 2011
		Gross Unrealized
	Book Value	Gains	(Losses)	Fair Value
Mortgage-backed securities
- Fixed rate	$ 53,518	$ 1,254	$ (1)	$ 54,771
- Variable rate	2,489	131	-	2,620
Collateralized mortgage obligations	9,866	199	-	10,065
Trust preferred securities	1,123	-	(113)	1,010
Total securities available for sale	$ 66,996	$ 1,584	$ (114)	$ 68,466

As of September 30, 2012 and December 31, 2011, the company had securities with a fair value of $6.5 million and $20.2 million, respectively, pledged as collateral for public deposits.

The following tables present fair values and the related unrealized losses in the company’s securities portfolio, with the information aggregated by investment category and by the length of time that individual securities have been in continuous unrealized loss positions, as of the dates stated. The number of loss securities in each category is also noted.



	September 30, 2012
		Less than 12 months		More than 12 months		Total
	Number	Fair Value	Unrealized Losses	Fair Value	Unrealized Losses	Fair Value	Unrealized Losses
Collateralized mortgage obligations	1	3,612	(14)	-	-	3,612	(14)
Total securities	1	$ 3,612	$ (14)	$ -	$ -	$ 3,612	$ (14)


	December 31, 2011
		Less than 12 months		More than 12 months		Total
	Number	Fair Value	Unrealized Losses	Fair Value	Unrealized Losses	Fair Value	Unrealized Losses
Mortgage-backed securities
- Fixed rate	2	$ 5,998	$ (1)	$ -	$ -	$ 5,998	$ (1)
Trust preferred securities	1	1,010	(113)	-	-	1,010	(113)
Total securities	3	$ 7,008	$ (114)	$ -	$ -	$ 7,008	$ (114)

All investments held as of September 30, 2012 were investment grade. The unrealized loss position at September 30, 2012 was directly related to interest rate movements and management believes there is minimal credit risk exposure in these investments. There is no intent to sell investments that were in an unrealized loss position at September 30, 2012, and it is more likely than not that the company will not be required to sell these investments before a recovery of unrealized losses. These investments were not considered to be other-than-temporarily impaired at September 30, 2012; therefore, no impairment has been recognized.