
	September 30, 2024
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized (Losses)		Fair Value
	(In thousands)

U.S. government and agency obligations	$	272,913	$	3,690	$	(1,133)	$	275,470
Mortgage-backed securities and collateralized mortgage obligations	1,022,232		809		(113,471)		909,570
Municipal obligations	2,845		—		(27)		2,818
Corporate debt securities	97,512		27		(12,933)		84,606
	$	1,395,502	$	4,526	$	(127,564)	$	1,272,464


	December 31, 2023
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized (Losses)		Fair Value
			(In thousands)

U.S. government and agency obligations	$	146,387	$	924	$	(1,810)	$	145,501
Mortgage-backed securities and collateralized mortgage obligations	1,009,508		20		(141,943)		867,585
Municipal obligations	2,770		—		(68)		2,702
Corporate debt securities	92,565		2		(14,798)		77,769

	$	1,251,230	$	946	$	(158,619)	$	1,093,557

The amortized cost and fair value of debt securities available for sale at September 30, 2024, by contractual final maturity, is shown below. Expected maturities may differ from contractual maturities due to prepayment or early call options exercised by the issuer.


	September 30, 2024
	Amortized Cost		Fair Value
	(In thousands)

One year or less	$	99,641	$	99,662
More than one year to five years	195,370		196,775
More than five years to ten years	78,259		66,457

	$	373,270	$	362,894
Mortgage-backed securities and collateralized mortgage obligations	1,022,232		909,570
	$	1,395,502	$	1,272,464

Mortgage-backed securities and collateralized mortgage obligations totaling $1.0 billion at amortized cost, and $909.6 million at fair value, are not classified by maturity in the table above as their expected lives are likely to be shorter than the contractual maturity date due to principal prepayments.

During the three months ended September 30, 2024, there were no sales, calls or maturities of debt securities available for sale. During the nine months ended September 30, 2024, proceeds from the sale of a debt security available for sale totaled $3.5 million, resulting in no gross gains and $1.3 million of gross losses. There was one matured debt security available for sale totaling $10.0 million during the nine months ended September 30, 2024. There were no calls of debt securities available for sale during the nine months ended September 30, 2024.

During the three months ended September 30, 2023, there were no proceeds from the sale of debt securities available for sale. During the nine months ended September 30, 2023, proceeds from the sale of debt securities available for sale totaled $277.0 million, resulting in no gross gains and $10.8 million of gross losses. There were no calls or matured debt securities available for sale during the three and nine months ended September 30, 2023.

Debt securities available for sale having a carrying value of $225.9 million and $211.5 million, at September 30, 2024 and December 31, 2023, respectively, were pledged as security for public funds on deposit at Columbia Bank as required and permitted by law, pledged for outstanding borrowings at the Federal Home Loan Bank, and pledged for potential borrowings at the Federal Reserve Bank of New York. Debt securities available for sale having a carrying value of $74.9 million and $75.1 million, at September 30, 2024 and December 31, 2023, respectively, were pledged by Freehold Bank for outstanding borrowings at the Federal Home Loan Bank, and for potential borrowings at the Federal Reserve Bank of New York.

The following tables summarize the fair value and gross unrealized losses of those securities that reported an unrealized loss at September 30, 2024 and December 31, 2023 and if the unrealized loss position was continuous for the twelve months prior to those respective dates:


	September 30, 2024
	Less Than 12 Months				12 Months or Longer				Total
	Fair Value		Gross Unrealized (Losses)		Fair Value		Gross Unrealized (Losses)		Fair Value		Gross Unrealized (Losses)
	(In thousands)

U.S. government and agency obligations	$	—	$	—	$	21,080	$	(1,133)	$	21,080	$	(1,133)
Mortgage-backed securities and collateralized mortgage obligations	9,993		(4)		813,803		(113,467)		823,796		(113,471)
Municipal obligations	1,010		(1)		1,809		(26)		2,819		(27)
Corporate debt securities	—		—		79,578		(12,933)		79,578		(12,933)

	$	11,003	$	(5)	$	916,270	$	(127,559)	$	927,273	$	(127,564)


	December 31, 2023
	Less Than 12 Months				12 Months or Longer				Total
	Fair Value		Gross Unrealized (Losses)		Fair Value		Gross Unrealized (Losses)		Fair Value		Gross Unrealized (Losses)
	(In thousands)

U.S. government and agency obligations	$	—	$	—	$	21,344	$	(1,810)	$	21,344	$	(1,810)
Mortgage-backed securities and collateralized mortgage obligations	54		(4)		863,026		(141,939)		863,080		(141,943)
Municipal obligations	—		—		2,702		(68)		2,702		(68)
Corporate debt securities	—		—		75,765		(14,798)		75,765		(14,798)

	$	54	$	(4)	$	962,837	$	(158,615)	$	962,891	$	(158,619)

The number of securities in an unrealized loss position at September 30, 2024 totaled 303, compared with 329 at December 31, 2023. All temporarily impaired securities were investment grade as of September 30, 2024 and December 31, 2023, except two corporate debt securities which were rated BB+, totaling approximately $8.4 million and $8.1 million at September 30, 2024 and December 31, 2023, respectively.

For available for sale securities, the Company assesses whether a loss is from credit or other factors and considers the extent to which fair value is less than amortized cost, any changes to the rating of the security by a rating agency and adverse conditions related to the security, among other factors. If this assessment indicates that a credit loss exists, the present value of cash flows expected to be collected from the security are compared to the amortized cost basis of the security. If the present value of cash flows is less than the amortized cost, a credit loss would be recorded through an allowance for credit losses, limited by the amount that the fair value is less than the amortized cost basis.

There was no activity in the allowance for credit losses on debt securities available for sale for the three and nine months ended September 30, 2024 and 2023.

The Company made an accounting policy election to exclude accrued interest receivable from the amortized cost basis of debt securities available for sale. Accrued interest receivable on debt securities available for sale is reported as a component of accrued interest receivable on the Consolidated Statement of Financial Condition, which totaled $5.0 million and $3.7 million at September 30, 2024 and December 31, 2023, respectively, and is excluded from the estimate of credit losses.


	September 30, 2024
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized (Losses)		Allowance for Credit Losses		Fair Value


U.S. government and agency obligations	$	44,872	$	—	$	(4,379)	$	—	$	40,493
Mortgage-backed securities and collateralized mortgage obligations	356,459		—		(29,393)		—		327,066
	$	401,331	$	—	$	(33,772)	$	—	$	367,559


	December 31, 2023
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized (Losses)		Allowance for Credit Losses		Fair Value
	(In thousands)

U.S. government and agency obligations	$	49,871	$	—	$	(5,902)	$	—	$	43,969
Mortgage-backed securities and collateralized mortgage obligations	351,283		—		(38,075)		—		313,208
	$	401,154	$	—	$	(43,977)	$	—	$	357,177

The amortized cost and fair value of debt securities held to maturity at September 30, 2024, by contractual final maturity, is shown below. Expected maturities may differ from contractual maturities due to prepayment or early call options exercised by the issuer.


	September 30, 2024
	Amortized Cost		Fair Value
	(In thousands)


More than one year to five years	$	24,875	$	23,438
More than five years to ten years	9,997		8,975
More than ten years	10,000		8,080
	44,872		40,493
Mortgage-backed securities and collateralized mortgage obligations	356,459		327,066
	$	401,331	$	367,559

Mortgage-backed securities and collateralized mortgage obligations totaling $356.5 million at amortized cost, and $327.1 million at fair value at September 30, 2024, are not classified by maturity as their expected lives are likely to be shorter than the contractual maturity date due to principal prepayments.

During the three and nine months ended September 30, 2024 there were no sales or maturities of debt securities held to maturity. There was one called debt security held to maturity totaling $5.0 million during the three and nine months ended September 30, 2024. During the three and nine months ended September 30, 2023 there were no sales, calls, or maturities of debt securities held to maturity.

Debt securities held to maturity having a carrying value of $280.4 million and $202.9 million, at September 30, 2024 and December 31, 2023, respectively, were pledged as security for public funds on deposit at Columbia Bank as required and permitted by law, pledged for outstanding borrowings at the Federal Home Loan Bank, and pledged for potential borrowings at the Federal Reserve Bank of New York.


	September 30, 2024
	Less Than 12 Months				12 Months or Longer				Total
	Fair Value		Gross Unrealized (Losses)		Fair Value		Gross Unrealized (Losses)		Fair Value		Gross Unrealized (Losses)
	(In thousands)

U.S. government and agency obligations	$	—	$	—	$	40,492	$	(4,379)	$	40,492	$	(4,379)
Mortgage-backed securities and collateralized mortgage obligations	16,685		(85)		310,308		(29,308)		326,993		(29,393)
	$	16,685	$	(85)	$	350,800	$	(33,687)	$	367,485	$	(33,772)


	December 31, 2023
	Less Than 12 Months				12 Months or Longer				Total
	Fair Value		Gross Unrealized (Losses)		Fair Value		Gross Unrealized (Losses)		Fair Value		Gross Unrealized (Losses)
	(In thousands)

U.S. government and agency obligations	$	—	$	—	$	43,969	$	(5,902)	$	43,969	$	(5,902)
Mortgage-backed securities and collateralized mortgage obligations	—		—		313,208		(38,075)		313,208		(38,075)
	$	—	$	—	$	357,177	$	(43,977)	$	357,177	$	(43,977)

The number of securities in an unrealized loss position at September 30, 2024 totaled 103, compared with 108 at December 31, 2023. All temporarily impaired securities were investment grade as of September 30, 2024 and December 31, 2023.

For held to maturity securities, management measures expected credit losses on a collective basis by major security type. All of the mortgage-backed securities are issued by U.S. government agencies and are either explicitly or implicitly guaranteed by the U.S. government, are highly rated by major rating agencies and have a long history of no credit losses and, therefore, the expectation of non-payment is zero and the Company is not required to estimate an allowance for credit losses on these securities under the CECL standard. All these securities reflect a credit quality rating of AAA by Moody's Investors Service.

The Company made an accounting policy election to exclude accrued interest receivable from the amortized cost basis of debt securities held to maturity. Accrued interest receivable on debt securities held to maturity is reported as a component of accrued interest receivable on the Consolidated Statement of Financial Condition, which totaled $778,000 and $997,000 at September 30, 2024 and December 31, 2023, respectively, and is excluded from the estimate of credit losses.

The Company has an equity securities portfolio which consists of stock in other financial institutions, a payment technology company, a community bank correspondent services company, preferred stock in U.S. Government agencies, and a Community Reinvestment Act qualifying bond fund which are reported at fair value on the Company's Consolidated Statements of Financial Condition. The fair value of the equities portfolio at September 30, 2024 and December 31, 2023 was $4.5 million and $4.1 million, respectively.

The Company recorded a net (decrease) increase in the fair value of equity securities of $(27,000) and $(81,000), and $425,000 and $249,000 during the three and nine months ended September 30, 2024 and 2023, respectively, as a component of non-interest income.