The following tables present the amortized cost, fair value, and related allowance for credit losses on available-for-sale ("AFS") and held-to-maturity ("HTM") investment securities as of December 31, 2025 and 2024 and the corresponding amounts of gross


(Dollars in thousands)	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value		ACL
December 31, 2025
Available-for-Sale:
Debt securities:
States and political subdivisions	$	141,163	$	55	$	(24,177)	$	117,041	$	—

U.S. Treasury obligations and direct obligations of U.S Government agencies	100,215		1,103		(1,293)		100,025		—
Collateralized loan obligations	40,960		32		(165)		40,827		—
Mortgage-backed securities:
Residential - U.S. government-sponsored entities and agencies	442,221		3,032		(38,200)		407,053		—
Residential - Non-government agencies	15,935		150		(722)		15,363		—
Commercial - U.S. government-sponsored entities and agencies	79,040		415		(11,552)		67,903		—

Total available-for-sale investment securities	$	819,534	$	4,787	$	(76,109)	$	748,212	$	—


(Dollars in thousands)	Amortized Cost		Gross Unrecognized Gains		Gross Unrecognized Losses		Fair Value		ACL
December 31, 2025
Held-to-Maturity:
Debt securities:
States and political subdivisions	$	41,925	$	—	$	(7,226)	$	34,699	$	—



Mortgage-backed securities:
Residential - U.S. government-sponsored entities and agencies	520,466		131		(59,451)		461,146		—




Total held-to-maturity investment securities	$	562,391	$	131	$	(66,677)	$	495,845	$	—


(Dollars in thousands)	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value		ACL
December 31, 2024
Available-for-Sale:
Debt securities:
States and political subdivisions	$	147,014	$	2	$	(30,183)	$	116,833	$	—

U.S. Treasury obligations and direct obligations of U.S Government agencies	83,861		81		(2,742)		81,200		—
Collateralized loan obligations	31,254		—		(114)		31,140		—
Mortgage-backed securities:
Residential - U.S. government-sponsored entities and agencies	472,476		42		(58,047)		414,471		—
Residential - Non-government agencies	17,836		151		(1,061)		16,926		—
Commercial - U.S. government-sponsored entities and agencies	81,400		76		(14,315)		67,161		—
Commercial - Non-government agencies	9,933		—		(6)		9,927		—

Total available-for-sale investment securities	$	843,774	$	352	$	(106,468)	$	737,658	$	—


(Dollars in thousands)	Amortized Cost		Gross Unrecognized Gains		Gross Unrecognized Losses		Fair Value		ACL
December 31, 2024
Held-to-Maturity:
Debt securities:
States and political subdivisions	$	42,016	$	—	$	(8,884)	$	33,132	$	—



Mortgage-backed securities:
Residential - U.S. government-sponsored entities and agencies	554,914		—		(81,365)		473,549		—




Total held-to-maturity investment securities	$	596,930	$	—	$	(90,249)	$	506,681	$	—

In 2022, the Company transferred 81 investment securities that were classified as AFS to HTM. The investment securities had an amortized cost basis of $762.7 million and a fair market value of $673.2 million. On the date of transfers, these securities had a total net unrealized loss of $89.5 million. There was no impact to net income as a result of the reclassifications.

During the years ended December 31, 2025 and 2024, the Company recorded a total of $6.8 million and $7.2 million, respectively, in amortization of unrecognized losses on the aforementioned investment securities transferred from AFS to HTM.

These transfers were executed to mitigate the potential future impact to capital through accumulated other comprehensive loss in consideration of a rising interest rate environment and the impact of rising rates on the market value of the investment securities. The Company believes that it maintains sufficient liquidity for future business needs and it has the positive intent and ability to hold these securities to maturity.

The amortized cost, estimated fair value, and weighted average yield of the Company's AFS and HTM investment securities at December 31, 2025, are presented below, grouped by contractual maturity. Actual maturities may differ from contractual maturities due to the issuer's option to call or prepay obligations, with or without penalties. Securities that are not due at a single maturity date, such as mortgage-backed securities and other asset-backed investments, are presented separately:


	December 31, 2025
(Dollars in thousands)	Amortized Cost		Fair Value		Weighted Average Yield (1)
Available-for-Sale:
Debt securities:
Due in one year or less	$	825	$	817	2.63	%
Due after one year through five years	38,386		38,535		4.12
Due after five years through ten years	64,830		63,958		3.81
Due after ten years	137,337		113,756		2.77
Collateralized loan obligations	40,960		40,827		5.54
Mortgage-backed securities
Residential - U.S. government-sponsored entities and agencies	442,221		407,053		2.96
Residential - Non-government agencies	15,935		15,363		4.73
Commercial - U.S. government-sponsored entities and agencies	79,040		67,903		2.73


Total available-for-sale investment securities	$	819,534	$	748,212	3.22	%

Held-to-Maturity:
Debt securities:



Due after ten years	$	41,925	$	34,699	2.26	%


Mortgage-backed securities:
Residential - U.S. government-sponsored entities and agencies	520,466		461,146		1.88




Total held-to-maturity investment securities	$	562,391	$	495,845	1.91	%



Total investment securities	$	1,381,925	$	1,244,057	2.66	%

In September 2025, the Company sold five AFS debt securities issued by state and political subdivisions. The investment securities had a cost basis of $1.5 million and were sold at a gross loss of $30 thousand.

In November 2024, the Company executed an investment portfolio repositioning of its AFS investment securities portfolio. The Company sold 24 lower-yielding AFS investment securities with a book value of $106.5 million and received proceeds of $96.6 million, which resulted in gross realized losses of $9.9 million. No gross gains were realized on the sale. With the proceeds, the Company purchased higher-yielding AFS investment securities totaling $101.6 million.

In December 2023, the Company executed an investment portfolio repositioning of its AFS investment securities portfolio. The Company sold 17 AFS investment securities with a book value of $30.0 million and received proceeds of $28.1 million, which resulted in gross realized losses of $1.9 million. No gross gains were realized on the sale. With the proceeds, the Company purchased higher yielding and shorter duration AFS investment securities totaling $28.3 million.

In September 2023, the Company sold two AFS commercial mortgage-backed securities issued by non-government agencies and received proceeds of $1.4 million. The investment securities had a cost basis of $1.5 million and were sold at a gross loss of $0.1 million.

There were a total of 179 and 218 AFS securities in an unrealized loss position at December 31, 2025 and 2024, respectively. There were a total of 81 and 83 HTM securities in an unrecognized loss position at December 31, 2025 and 2024, respectively.

The following table summarizes AFS and HTM securities which were in an unrealized or unrecognized loss position at December 31, 2025 and 2024, aggregated by major security type and length of time in a continuous unrealized or unrecognized loss position:


	Less Than 12 Months				12 Months or Longer				Total
Description of Securities	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
	(Dollars in thousands)
December 31, 2025
Available-for-Sale:
Debt securities:
States and political subdivisions	$	2,196	$	(12)	$	105,922	$	(24,165)	$	108,118	$	(24,177)

U.S. Treasury obligations and direct obligations of U.S Government agencies	20,687		(48)		11,976		(1,245)		32,663		(1,293)
Collateralized loan obligations	21,002		(99)		10,020		(66)		31,022		(165)
Mortgage-backed securities:
Residential - U.S. government-sponsored entities and agencies	—		—		261,335		(38,200)		261,335		(38,200)
Residential - Non-government agencies	—		—		6,954		(722)		6,954		(722)
Commercial - U.S. government-sponsored entities and agencies	—		—		49,246		(11,552)		49,246		(11,552)

Total	$	43,885	$	(159)	$	445,453	$	(75,950)	$	489,338	$	(76,109)


	Less Than 12 Months				12 Months or Longer				Total
Description of Securities	Fair Value		Unrecognized Losses		Fair Value		Unrecognized Losses		Fair Value		Unrecognized Losses
	(Dollars in thousands)
December 31, 2025
Held-to-Maturity:
Debt securities:
States and political subdivisions	$	—	$	—	$	34,699	$	(7,226)	$	34,699	$	(7,226)



Mortgage-backed securities:
Residential - U.S. Government-sponsored enterprises	—		—		450,997		(59,451)		450,997		(59,451)



Total	$	—	$	—	$	485,696	$	(66,677)	$	485,696	$	(66,677)


	Less Than 12 Months				12 Months or Longer				Total
Description of Securities	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
	(Dollars in thousands)
December 31, 2024
Available-for-Sale:
Debt securities:
States and political subdivisions	$	4,967	$	(85)	$	107,267	$	(30,098)	$	112,234	$	(30,183)

U.S. Treasury obligations and direct obligations of U.S Government agencies	56,139		(803)		12,971		(1,939)		69,110		(2,742)
Collateralized loan obligations	31,140		(114)		—		—		31,140		(114)
Mortgage-backed securities:
Residential - U.S. government-sponsored entities and agencies	135,224		(2,254)		260,575		(55,793)		395,799		(58,047)
Residential - Non-government agencies	5,270		(100)		7,606		(961)		12,876		(1,061)
Commercial - U.S. government-sponsored entities and agencies	12,469		(90)		48,304		(14,225)		60,773		(14,315)
Commercial - Non-government agencies	9,927		(6)		—		—		9,927		(6)
Total	$	255,136	$	(3,452)	$	436,723	$	(103,016)	$	691,859	$	(106,468)


	Less Than 12 Months				12 Months or Longer				Total
Description of Securities	Fair Value		Unrecognized Losses		Fair Value		Unrecognized Losses		Fair Value		Unrecognized Losses
	(Dollars in thousands)
December 31, 2024
Held-to-Maturity:
Debt securities:
States and political subdivisions	$	—	$	—	$	33,132	$	(8,884)	$	33,132	$	(8,884)



Mortgage-backed securities:
Residential - U.S. government-sponsored entities and agencies	7,470		(19)		466,079		(81,346)		473,549		(81,365)



Total	$	7,470	$	(19)	$	499,211	$	(90,230)	$	506,681	$	(90,249)

Investment securities in an unrealized or unrecognized loss position are evaluated at least quarterly, to determine whether a credit loss exists. This evaluation includes a review of changes in the investment securities' credit ratings issued by major rating agencies and assessments of the issuers' financial condition. For mortgage-related securities, the Company also considers delinquency and loss data related to the underlying collateral, changes in subordination levels for the Company's position within the repayment structure, and remaining credit enhancement relative to projected credit losses.

The Company has reviewed its AFS and HTM investment securities that are in an unrealized or unrecognized loss position and determined that the losses are not related to credit quality, but are primarily attributable to changes in interest rates and volatility in the financial markets since the time of purchase. All of the investment securities in a loss position continue to be rated investment grade by one or more major rating agencies.

As of December 31, 2025 and 2024, the Company did not intend to sell the AFS and HTM securities in a loss position and it is unlikely to be required to sell these securities before recovery of its amortized cost basis, which may occur at maturity. Accordingly, the Company has not recorded an ACL on these securities.