NOTE 3 — SECURITIES AVAILABLE FOR SALE

The carrying value and estimated fair value of securities available for sale are as follows (dollars in thousands):


	Amortized		Unrealized		Unrealized		Estimated
	Cost		Gains		Losses		Fair Value
December 31, 2019

Corporate	$	20,779	$	160	$	(1)	$	20,938
US Agencies		14,450		47		(1)		14,496
US Agencies - MBS		34,063		492		(29)		34,526
Obligations of states and political subdivisions		37,382		630		—		38,012

Total securities available for sale	$	106,674	$	1,329	$	(31)	$	107,972

December 31, 2018

Corporate	$	20,198	$	24	$	(158)	$	20,064
US Agencies		16,198		5		(233)		15,970
US Agencies - MBS		32,974		124		(258)		32,840
Obligations of states and political subdivisions		47,828		341		(295)		47,874

Total securities available for sale	$	117,198	$	494	$	(944)	$	116,748

Following is information pertaining to securities with gross unrealized losses at December 31, 2019 and 2018 aggregated by investment category and length of time these individual securities have been in a loss position (dollars in thousands):


	Less Than Twelve Months				Over Twelve Months
	Gross				Gross
	Unrealized		Fair		Unrealized		Fair
	Losses		Value		Losses		Value
December 31, 2019

Corporate	$	(1)	$	2,502	$	—	$	—
US Agencies		—		—		(1)		500
US Agencies - MBS		(9)		6,966		(19)		1,233
Obligations of states and political subdivisions		—		—		(1)		115

Total securities available for sale	$	(10)	$	9,468	$	(21)	$	1,848

December 31, 2018
Corporate		(50)	$	4,969	$	(108)	$	11,876
US Agencies		—		504		(233)		14,439
US Agencies - MBS		(73)		3,903		(185)		6,908
Obligations of states and political subdivisions		(29)		5,812		(266)		9,533

Total securities available for sale	$	(152)	$	15,188	$	(792)	$	42,756

There were 26 securities in an unrealized loss position in 2019 and 132 in 2018. The gross unrealized losses in the current portfolio are considered temporary in nature and related to interest rate fluctuations. The Corporation has both the ability and intent to hold the investment securities until their respective maturities and therefore does not anticipate the realization of the temporary losses.

Following is a summary of the proceeds from sales and calls of securities available for sale, as well as gross gains and losses for the years ended December 31 (dollars in thousands):


	2019		2018

Proceeds from sales and calls	$	5,805	$	48,649
Gross gains on sales and calls		208		—
Gross (losses) on sales and calls		—		—

The carrying value and estimated fair value of securities available for sale at December 31, 2019, by contractual maturity, are shown below (dollars in thousands):


	Amortized		Estimated
	Cost		Fair Value

Due in one year or less	$	21,532	$	21,575
Due after one year through five years		40,063		40,664
Due after five years through ten years		10,019		10,189
Due after ten years		997		1,018
Subtotal		72,611		73,446
US Agencies - MBS		34,063		34,526

Total	$	106,674	$	107,972

Contractual maturities may differ from expected maturities because issuers may have the right to call or prepay obligations with or without call or prepayment penalties. Securities with a market value of $26.407 million are pledged as collateral to the Federal Home Loan Bank and $4.487 million are pledged to certain customer relationships. See Note 10 for information on securities pledged to secure borrowings from the Federal Home Loan Bank.

The following is information pertaining to securities with gross unrealized losses at December 31, 2019 and 2018 (dollars in thousands):


	Less Than Twelve Months						Over Twelve Months						Total
	Number				Gross		Number				Gross		Number				Gross
	of		Fair		Unrealized		of		Fair		Unrealized		of		Fair		Unrealized
December 31, 2019	Securities		Value		Loss		Securities		Value		Loss		Securities		Value		Loss
Corporate		1	$	2,502	$	(1)		—	$	—	$	—		1	$	2,502	$	(1)
US Agencies		—		—		—		1		500		(1)		1		500		(1)
US Agencies - MBS		10		6,966		(9)		13		1,233		(19)		23		8,199		(28)
Obligations of states and political subdivisions		—		—		—		1		115		(1)		1		115		(1)
Total		11	$	9,468	$	(10)		15	$	1,848	$	(21)		26	$	11,316	$	(31)


	Less Than Twelve Months						Over Twelve Months						Total
	Number				Gross		Number				Gross		Number				Gross
	of		Fair		Unrealized		of		Fair		Unrealized		of		Fair		Unrealized
December 31, 2018	Securities		Value		Loss		Securities		Value		Loss		Securities		Value		Loss
Corporate		3	$	4,969	$	(50)		5	$	11,876	$	(108)		8	$	16,845	$	(158)
US Agencies		1		504		—		6		14,439		(233)		7		14,943		(233)
US Agencies - MBS		20		3,903		(73)		33		6,908		(185)		53		10,811		(258)
Obligations of states and political subdivisions		19		5,812		(29)		45		9,533		(266)		64		15,345		(295)
Total		43	$	15,188	$	(152)		89	$	42,756	$	(792)		132	$	57,944	$	(944)