Investment securities

6 Months Ended

Jun. 30, 2021

Investments, Debt and Equity Securities [Abstract]

Investment securities

4. Investment securities:

The amortized cost and fair value of investment securities available-for-sale aggregated by investment category at June 30, 2021 and December 31, 2020 are summarized as follows:

June 30, 2021	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
U.S. Treasury securities	$	9,810	$		$	121	$	9,689
State and municipals:
Taxable		23,260		311		358		23,213
Tax-exempt		44,398		90		601		43,887
Mortgage-backed securities:
U.S. Government agencies		37,593		678		181		38,090
U.S. Government-sponsored enterprises		17,798		204		57		17,945
Corporate debt obligations		15,250		82		108		15,224
Total	$	148,109	$	1,365	$	1,426	$	148,048

December 31, 2020	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
State and municipals:
Taxable	$	22,317	$	400	$	143	$	22,574
Tax-exempt		17,988		423		16		18,395
Mortgage-backed securities:
U.S. Government agencies		26,051		940				26,991
U.S. Government-sponsored enterprises		24,627		442		17		25,052
Corporate debt obligations		10,750		56		123		10,683
Total	$	101,733	$	2,261	$	299	$	103,695

The maturity distribution of the fair value, which is the net carrying amount, of the debt securities classified as available-for-sale at June 30, 2021, is summarized as follows:

June 30, 2021	Fair Value
Within one year	$	55
After one but within five years		1,244
After five but within ten years		30,714
After ten years		60,000
		92,013
Mortgage-backed securities		56,035
Total	$	148,048

Securities with a fair value of $97,577 and $71,676 at June 30, 2021 and December 31, 2020, respectively, were pledged to secure public deposits as required or permitted by law.

Securities and short-term investment activities are conducted with a diverse group of government entities, corporations and state and local municipalities. The counterparty’s creditworthiness and type of collateral is evaluated on a case-by-case basis. At June 30, 2021 and December 31, 2020, there were no significant concentrations of credit risk from any one issuer, with the exception of U.S. Government agencies and sponsored enterprises that exceeded 10.0 percent of stockholders’ equity.

The fair value and gross unrealized losses of investment securities with unrealized losses for which an other-than-temporary impairment (“OTTI”) has not been recognized at June 30, 2021 and December 31, 2020, aggregated by investment category and length of time that the individual securities have been in a continuous unrealized loss position, are summarized as follows:

	Less Than 12 Months				12 Months or More		Total
June 30, 2021	Fair Value		Unrealized Losses		Fair Value	Unrealized Losses	Fair Value		Unrealized Losses
U.S. Treasury securities	$	9,689	$	121			$	9,689	$	121
State and municipals:
Taxable		14,258		358				14,258		358
Tax-exempt		34,972		601				34,972		601
Mortgage-backed securities:
U.S. Government agencies		14,127		181				14,127		181
U.S. Government-sponsored enterprises		5,373		57				5,373		57
Corporate debt obligations		10,142		108				10,142		108
Total	$	88,561	$	1,426			$	88,561	$	1,426

	Less Than 12 Months				12 Months or More				Total
December 31, 2020	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
State and municipals:
Taxable	$	11,586	$	143	$		$		$	11,586	$	143
Tax-exempt		1,737		16						1,737		16
Mortgage-backed securities:
U.S. Government agencies		5,960		17						5,960		17
U.S. Government-sponsored enterprises
Corporate debt obligations						3,378		123		3,378		123
Total	$	19,283	$	176	$	3,378	$	123	$	22,661	$	299

The Company had 62 investment securities, consisting of one U.S. Treasury securities, 12 taxable state and municipal obligations, 33 tax-exempt state and municipal obligations, four U.S. Government agencies, four U.S. Government-sponsored enterprises and eight corporate debt obligation that were in unrealized loss positions at June 30, 2021. Of these securities, none of the securities were in a continuous unrealized loss position for twelve months or more. Management does not consider the unrealized losses on the debt securities, resulting from changes in interest rates, to be OTTI based on historical evidence that indicates the cost of these securities is recoverable within a reasonable period of time in relation to normal cyclical changes in the market rates of interest. Moreover, because there has been no material change in the credit quality of the issuers or other events or circumstances that may cause a significant adverse impact on the fair value of these securities, and management does not intend to sell these securities and it is unlikely that the Company will be required to sell these securities before recovery of their amortized cost basis, which may be maturity, the Company does not consider the unrealized losses to be OTTI at June 30, 2021. There was no OTTI recognized for the three and six months ended June 30, 2021 and 2020.

The Company had 16 investment securities, consisting of nine taxable state municipal obligations, three tax-exempt state municipal obligations, three mortgage-backed securities and one corporate obligation that were in unrealized loss positions at December 31, 2020. Of these securities, one corporate obligation was in a continuous unrealized loss position for twelve months or more.