INVESTMENT SECURITIES

9 Months Ended

Mar. 31, 2016

Investments, Debt and Equity Securities [Abstract]

Investment Securities Disclosure [Text Block]

9.          INVESTMENT SECURITIES

Investment securities available for sale at March 31, 2016 consisted of the following:

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Market Value
Mortgage-backed securities	$	87,094	$	241	$	281	$	87,054
Municipal bonds		30,744		726		60		31,410
Small Business Administration		7,845		70		—		7,915
Collateralized Mortgage Obligations		18,554		35		43		18,546
Certificates of Deposit		2,971		43		—		3,014
Other equity securities		210		—		38		172
	$	147,418	$	1,115	$	422	$	148,111

Investment securities held to maturity at March 31, 2016 consisted of the following:

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Market Value
Municipal Bonds	$	40,818	$	1,095	$	19	$	41,894

Investment securities available for sale at June 30, 2015 consisted of the following:

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Market Value
Mortgage-backed securities	$	109,793	$	170	$	825	$	109,138
Municipal bonds		37,631		438		450		37,619
U.S. Government agency bonds		2,000		15		—		2,015
Small Business Administration		8,224		18		29		8,213
Collateralized Mortgage Obligations		13,032		9		199		12,842
Other equity securities		210		—		26		184
	$	170,890	$	650	$	1,529	$	170,011

Investment securities held to maturity at June 30, 2015 consisted of the following:

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Market Value
Municipal Bonds	$	40,653	$	52	$	660	$	40,045

The mortgage-backed securities, callable bonds, small business administration, collateralized mortgage obligations, and municipal bonds have the following maturities at March 31, 2016:

	Available for Sale				Held to Maturity
	Amortized cost		Estimated market value		Amortized cost		Estimated market value
Due or callable in one year or less	$	236	$	236	$	60	$	61
Due or callable in 1 - 5 years		107,341		107,336		434		443
Due or callable in 5 - 10 years		27,760		28,365		4,753		4,873
Due or callable in greater than 10 years		11,871		12,002		35,571		36,517
Total debt securities	$	147,208	$	147,939	$	40,818	$	41,894

All other securities available for sale at March 31, 2016 are saleable within one year.

Gross proceeds on the sale of investments and mortgage-backed securities were $5.0 million and $14.1 million for the three months ended March 31, 2016 and 2015, respectively. Gross proceeds on the sale of investments and mortgage-backed securities were $40.0 million and $45.3 million for the nine months ended March 31, 2016 and 2015, respectively. Gross realized gains for the three month periods ended March 31, 2016 and 2015 were $70,000 and $136,000, respectively. Gross realized gains for the nine month periods ended March 31, 2016 and 2015 were $435,000 and $396,000, respectively. Gross realized losses for the three month periods ended March 31, 2016 and 2015 were $6,000 and $393,000, respectively. Gross realized losses for the nine-month periods ended March 31, 2016 and 2015 were $311,000 and $706,000, respectively.

The table below indicates the length of time individual investment securities and mortgage-backed securities have been in a continuous loss position at March 31, 2016:

	Less than 12 months				12 months or longer				Total
	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
	(In thousands)
Municipal bonds	$	8,215	$	70	$	502	$	9	$	8,717	$	79
Mortgage-backed securities		18,468		66		26,182		215		44,650		281
Collateralized Mortgage Obligations		11,346		43		—		—		11,346		43
Other equity securities		—		—		172		38		172		38
	$	38,029	$	179	$	26,856	$	262	$	64,885	$	441
Number of investments				30				12				42

Securities available for sale are reviewed for possible other-than-temporary impairment on a quarterly basis. During this review, management considers the severity and duration of the unrealized losses as well as its intent and ability to hold the securities until recovery, taking into account balance sheet management strategies and its market view and outlook. Management also assesses the nature of the unrealized losses taking into consideration factors such as changes in risk-free interest rates, general credit spread widening, market supply and demand, creditworthiness of the issuer or any credit enhancement providers, and the quality of the underlying collateral. Management does not intend to sell these securities in the foreseeable future, and does not believe that it is more likely than not that the Bank will be required to sell a security in an unrealized loss position prior to a recovery in its value. The decline in market value is due to changes in market interest rates. The fair values are expected to recover as the securities approach maturity dates.