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INVESTMENT SECURITIES
 3 Months Ended
Mar. 31, 2022
Investments, Debt and Equity Securities [Abstract]  
INVESTMENT SECURITIES
NOTE 2 – INVESTMENT SECURITIES

The amortized cost and estimated fair value of securities available-for-sale along with gross unrealized gains and losses are summarized as follows:

(dollars in thousands)
Securities available-for-sale
Amortized
Cost		Gross
Unrealized
Gains		Gross
Unrealized
Losses		Estimated
Fair
Value
March 31, 2022
U.S. government sponsored agencies$7,067 $17 $(12)$7,072 
State, county and municipal securities43,416 727 (299)43,844 
Corporate debt securities27,897 431 (150)28,178 
SBA pool securities37,863 15 (929)36,949 
Mortgage-backed securities465,291 1,733 (3,863)463,161 
Total debt securities available-for-sale$581,534 $2,923 $(5,253)$579,204 
December 31, 2021
U.S. government sponsored agencies$7,084 $88 $— $7,172 
State, county and municipal securities45,470 2,342 — 47,812 
Corporate debt securities27,897 719 (120)28,496 
SBA pool securities44,312 958 (69)45,201 
Mortgage-backed securities448,124 15,822 (6)463,940 
Total debt securities available-for-sale$572,887 $19,929 $(195)$592,621 
The amortized cost and estimated fair value of securities held-to-maturity along with gross unrealized gains and losses are summarized as follows:

(dollars in thousands)
Securities held-to-maturity
Amortized
Cost		Gross
Unrealized
Gains		Gross
Unrealized
Losses		Estimated
Fair
Value
March 31, 2022
State, county and municipal securities$13,905 $— $(2,227)$11,678 
Mortgage-backed securities77,549 — (6,738)70,811 
Total debt securities held-to-maturity$91,454 $— $(8,965)$82,489 
December 31, 2021
State, county and municipal securities$8,905 $4 $(198)$8,711 
Mortgage-backed securities70,945 — (1,450)69,495 
Total debt securities held-to-maturity$79,850 $4 $(1,648)$78,206 

The amortized cost and estimated fair value of debt securities available-for-sale and held-to-maturity as of March 31, 2022, by contractual maturity are shown below. Maturities may differ from contractual maturities in mortgage-backed securities because the mortgages underlying these securities may be called or repaid without penalty. Therefore, these securities are not included in the maturity categories in the following maturity summary:

Available-for-SaleHeld-to-Maturity
(dollars in thousands)
Amortized
Cost		Estimated Fair ValueAmortized
Cost		Estimated Fair Value
Due in one year or less$11,390 $11,446 $— $— 
Due from one year to five years26,183 26,201 — — 
Due from five to ten years43,452 44,052 — — 
Due after ten years35,218 34,344 13,905 11,678 
Mortgage-backed securities465,291 463,161 77,549 70,811 
 $581,534 $579,204 $91,454 $82,489 

Securities with a carrying value of approximately $314.2 million and $366.7 million at March 31, 2022 and December 31, 2021, respectively, serve as collateral to secure public deposits, securities sold under agreements to repurchase and for other purposes required or permitted by law.

The following table shows the gross unrealized losses and estimated fair value of available-for-sale securities aggregated by category and length of time that securities have been in a continuous unrealized loss position at March 31, 2022 and December 31, 2021:

 Less Than 12 Months12 Months or MoreTotal
(dollars in thousands)
Securities available-for-sale
Estimated
Fair
Value		Unrealized
Losses		Estimated
Fair
Value		Unrealized
Losses		Estimated
Fair
Value		Unrealized
Losses
March 31, 2022      
U.S. government sponsored agencies$1,033 $(12)$— $— $1,033 $(12)
State, county and municipal securities10,209 (299)— — 10,209 (299)
Corporate debt securities— — 1,350 (150)1,350 (150)
SBA pool securities32,988 (871)2,372 (58)35,360 (929)
Mortgage-backed securities242,704 (3,863)1 — 242,705 (3,863)
Total debt securities available-for-sale$286,934 $(5,045)$3,723 $(208)$290,657 $(5,253)
December 31, 2021      
Corporate debt securities$— $— $1,380 $(120)$1,380 $(120)
SBA pool securities1,312 (6)2,572 (63)3,884 (69)
Mortgage-backed securities5,514 (6)1 — 5,515 (6)
Total debt securities available-for-sale$6,826 $(12)$3,953 $(183)$10,779 $(195)

As of March 31, 2022, the Company’s available-for-sale security portfolio consisted of 426 securities, 219 of which were in an unrealized loss position. At March 31, 2022, the Company held 180 mortgage-backed securities that were in an unrealized loss
position, all of which were issued by U.S. government-sponsored entities and agencies. At March 31, 2022, the Company held 30 U.S. Small Business Administration (“SBA”) pool securities, six state, county and municipal securities, two corporate securities and one U.S. government sponsored agency security that were in an unrealized loss position.

The following table shows the gross unrealized losses and estimated fair value of held-to-maturity securities aggregated by category and length of time that securities have been in a continuous unrealized loss position at March 31, 2022:

 Less Than 12 Months12 Months or MoreTotal
(dollars in thousands)
Securities held-to-maturity
Estimated
Fair
Value		Unrealized
Losses		Estimated
Fair
Value		Unrealized
Losses		Estimated
Fair
Value		Unrealized
Losses
March 31, 2022
State, county and municipal securities$11,678 $(2,227)$— $— $11,678 $(2,227)
Mortgage-backed securities63,775 (6,738)— — 63,775 (6,738)
Total debt securities held-to-maturity$75,453 $(8,965)$— $— $75,453 $(8,965)
December 31, 2021
State, county and municipal securities$3,707 $(198)$— $— $3,707 $(198)
Mortgage-backed securities69,495 (1,450)— — 69,495 (1,450)
Total debt securities held-to-maturity$73,202 $(1,648)$— $— $73,202 $(1,648)

As of March 31, 2022, the Company’s held-to-maturity security portfolio consisted of 16 securities, 15 of which were in an unrealized loss position. At March 31, 2022, the Company held 11 mortgage-backed securities and four state, county and municipal securities that were in an unrealized loss position.

During 2022 and 2021, the Company received timely and current interest and principal payments on all of the securities classified as corporate debt securities. The Company’s investments in subordinated debt include investments in regional and super-regional banks on which the Company prepares regular analysis through review of financial information and credit ratings. Investments in preferred securities are also concentrated in the preferred obligations of regional and super-regional banks through non-pooled investment structures. The Company did not have investments in “pooled” trust preferred securities at March 31, 2022 or December 31, 2021.

At March 31, 2022 and December 31, 2021, all of the Company’s mortgage-backed securities were obligations of government-sponsored agencies.

Management and the Company’s Asset and Liability Committee (the “ALCO Committee”) evaluate available-for-sale securities in an unrealized loss position on at least a quarterly basis, and more frequently when economic or market concerns warrant such evaluation, to determine if credit-related impairment exists. Management first evaluates whether they intend to sell or more likely than not will be required to sell an impaired security before recovering its amortized cost basis. If either criteria is met, the entire amount of unrealized loss is recognized in earnings with a corresponding adjustment to the security's amortized cost basis. If either of the above criteria is not met, management evaluates whether the decline in fair value is attributable to credit or resulted from other factors. The Company does not intend to sell these available-for-sale investment securities at an unrealized loss position at March 31, 2022, and it is more likely than not that the Company will not be required to sell these securities prior to recovery or maturity. Based on the results of management's review, at March 31, 2022, management determined that none were attributable to credit impairment and no allowance for credit losses was recorded. The $5.3 million in unrealized loss was determined to be from factors other than credit.

(dollars in thousands)Three Months Ended March 31,
Allowance for credit losses
20222021
Beginning balance$— $112 
Provision for expected credit losses— (11)
Ending balance$— $101 

The Company's held-to-maturity securities have no expected credit losses, and no related allowance for credit losses has been established.
Total net loss on securities reported on the consolidated statements of income and comprehensive income is comprised of the following for the three months ended March 31, 2022 and 2021:

Three Months Ended March 31,
(dollars in thousands)20222021
Unrealized holding losses on equity securities$(27)$(12)
Net loss on securities$(27)$(12)