Investment Securities (Tables)

9 Months Ended

Sep. 30, 2022

Investment Securities

Summary of amortized cost and fair value of securities held-to-maturity and available-for-sale

The following table summarizes the amortized cost and fair value of securities held-to-maturity and available-for-sale and the corresponding amounts of gross unrealized gains and losses at September 30, 2022 and December 31, 2021.

	September 30, 2022
			Gross		Gross
	Amortized		Unrealized		Unrealized		Fair
(Dollars in thousands)	Cost		Gains		(Losses)		Value
Held-to-maturity
U.S Treasuries	$	6,000	$	—	$	(895)	$	5,105
U.S. government and federal agencies		35,588		—		(6,318)		29,270
Collateralized mortgage obligations		21,924		—		(4,155)		17,769
Taxable municipal		6,076		—		(1,340)		4,736
Mortgage-backed		31,010		—		(6,125)		24,885
Total Held-to-maturity Securities	$	100,598	$	—	$	(18,833)	$	81,765
Available-for-sale
U.S Treasuries	$	63,404	$	—	$	(4,585)	$	58,819
U.S. government and federal agencies		38,717		—		(4,261)		34,456
Corporate bonds		3,000		—		(308)		2,692
Collateralized mortgage obligations		46,188		—		(5,977)		40,211
Tax-exempt municipal		4,996		—		(623)		4,373
Taxable municipal		608		—		(30)		578
Mortgage-backed		249,113		—		(23,696)		225,417
Total Available-for-sale Securities	$	406,026	$	—	$	(39,480)	$	366,546

	December 31, 2021
			Gross		Gross
	Amortized		Unrealized		Unrealized		Fair
(Dollars in thousands)	Cost		Gains		(Losses)		Value
Held-to-maturity
U.S Treasuries	$	6,000	$	—	$	(150)	$	5,850
U.S. government and federal agencies		35,720		—		(726)		34,994
Collateralized mortgage obligations		25,606		—		(534)		25,072
Taxable municipal		6,089		—		(194)		5,895
Mortgage-backed		32,094		—		(647)		31,447
Total Held-to-maturity Securities	$	105,509	$	—	$	(2,251)	$	103,258
Available-for-sale
U.S Treasuries	$	30,954	$	—	$	(411)	$	30,543
U.S. government and federal agencies		34,803		258		(524)		34,537
Corporate bonds		1,000		31		—		1,031
Collateralized mortgage obligations		39,596		179		(726)		39,049
Tax-exempt municipal		5,007		255		—		5,262
Taxable municipal		1,653		37		(5)		1,685
Mortgage-backed		127,287		1,232		(1,326)		127,193
Total Available-for-sale Securities	$	240,300	$	1,992	$	(2,992)	$	239,300

Schedule of gross unrealized loss position of investments

The following tables summarize the fair value of securities held-to-maturity and securities available-for-sale at September 30, 2022 and December 31, 2021 and the corresponding amounts of gross unrealized losses. Management uses the valuations as of month-end in determining when securities are in an unrealized loss position. Therefore, a security’s market value could have exceeded its amortized cost on other days during the prior twelve-month period.

	September 30, 2022
	Less than 12 Months				12 Months or Longer				Total
			Gross				Gross				Gross
	Fair		Unrealized		Fair		Unrealized		Fair		Unrealized
(Dollars in thousands)	Value		Losses		Value		Losses		Value		Losses
Held-to-maturity
U.S Treasuries	$	—	$	—	$	5,105	$	(895)	$	5,105	$	(895)
U.S. government and federal agencies		834		(166)		28,436		(6,152)		29,270		(6,318)
Collateralized mortgage obligations		5,679		(1,126)		12,090		(3,029)		17,769		(4,155)
Taxable municipal		—		—		4,736		(1,340)		4,736		(1,340)
Mortgage-backed		1,643		(328)		23,242		(5,797)		24,885		(6,125)
Total Held-to-maturity Securities	$	8,156	$	(1,620)	$	73,609	$	(17,213)	$	81,765	$	(18,833)
Available-for-sale
U.S Treasuries	$	39,019	$	(2,025)	$	19,800	$	(2,560)	$	58,819	$	(4,585)
U.S. government and federal agencies		20,293		(1,831)		14,163		(2,430)		34,456		(4,261)
Corporate bonds		2,692		(308)		—		—		2,692		(308)
Collateralized mortgage obligations		20,001		(1,507)		20,210		(4,470)		40,211		(5,977)
Tax-exempt municipal		4,373		(623)		—		—		4,373		(623)
Taxable municipal		336		(2)		242		(28)		578		(30)
Mortgage-backed		165,485		(13,529)		59,932		(10,167)		225,417		(23,696)
Total Available-for-sale Securities	$	252,199	$	(19,825)	$	114,347	$	(19,655)	$	366,546	$	(39,480)

	December 31, 2021
	Less than 12 Months				12 Months or Longer				Total
			Gross				Gross				Gross
	Fair		Unrealized		Fair		Unrealized		Fair		Unrealized
(Dollars in thousands)	Value		Losses		Value		Losses		Value		Losses
Held-to-maturity
U.S Treasuries	$	5,851	$	(150)	$	—	$	—	$	5,851	$	(150)
U.S. government and federal agencies		31,617		(645)		3,376		(81)		34,993		(726)
Collateralized mortgage obligations		25,072		(534)		—		—		25,072		(534)
Taxable municipal		3,971		(133)		1,923		(61)		5,894		(194)
Mortgage-backed		27,995		(573)		3,452		(74)		31,447		(647)
Total Held-to-maturity Securities	$	94,506	$	(2,035)	$	8,751	$	(216)	$	103,257	$	(2,251)
Available-for-sale
U.S Treasuries	$	30,543	$	(411)	$	—	$	—	$	30,543	$	(411)
U.S. government and federal agencies		14,154		(301)		6,877		(223)		21,031		(524)
Collateralized mortgage obligations		30,352		(726)		—		—		30,352		(726)
Taxable municipal		265		(5)		—		—		265		(5)
Mortgage-backed		93,129		(1,280)		918		(46)		94,047		(1,326)
Total Available-for-sale Securities	$	168,443	$	(2,723)	$	7,795	$	(269)	$	176,238	$	(2,992)

Contractual maturities of investment securities

The table below summarizes, by major security type, the contractual maturities of our investment securities as of September 30, 2022. Borrowers may have the right to call or prepay certain obligations and as such, the expected maturities of our securities are likely to differ from the scheduled contractual maturities presented below.

	September 30, 2022
	Amortized		Fair
(Dollars in thousands)	Cost		Value
Held-to-maturity
Due in one year or less	$	—	$	—
Due after one year through five years		993		840
Due after five years through ten years		42,260		35,082
Due after ten years		57,345		45,843
Total Held-to-maturity Securities	$	100,598	$	81,765
Available-for-sale
Due in one year or less	$	38	$	38
Due after one year through five years		99,559		92,262
Due after five years through ten years		167,122		153,112
Due after ten years		139,307		121,134
Total Available-for-sale Securities	$	406,026	$	366,546

Summary of restricted securities

The table below summarizes the carrying amount of restricted securities as of September 30, 2022 and December 31, 2021.

(Dollars in thousands)	September 30, 2022		December 31, 2021
Federal Reserve Bank Stock	$	3,288	$	3,275
Federal Home Loan Bank Stock		1,073		1,616
Community Bankers’ Bank Stock		60		60
Total Restricted Securities	$	4,421	$	4,951