Note 4 - Investment Securities (Tables)

12 Months Ended

Dec. 31, 2021

Investments Debt And Equity Securities [Abstract]

Debt Securities Available-for-sale

The amortized cost and fair values of investment debt securities available-for-sale at December 31, 2021 and 2020 were as follows:

			Gross		Gross
			unrealized		unrealized
	Fair		holding		holding			Amortized
December 31, 2021	value		gains		losses			cost
U.S. Government agency	$	97,499	$	2	$	(2,435	)	$	99,932
State and municipal		131,035		1,716		(1,053	)		130,372
U.S. Government agencies and sponsored    enterprises (GSEs):
Mortgage-backed		329,938		1,273		(3,158	)		331,823
Collateralized mortgage obligations (CMOs)		127,012		398		(1,648	)		128,262
Pooled trust preferred		75		—		(8	)		83
Corporate debt		6,801		179		—			6,622
Total investment securities available-for-sale	$	692,360	$	3,568	$	(8,302	)	$	697,094

			Gross		Gross
			unrealized		unrealized
	Fair		holding		holding			Amortized
December 31, 2020	value		gains		losses			cost
U.S. Government agency	$	69,776	$	26	$	(246	)	$	69,996
State and municipal		87,812		2,350		(45	)		85,507
U.S. Government agencies and sponsored    enterprises (GSEs):
Mortgage-backed		175,847		3,328		(24	)		172,543
Collateralized mortgage obligations (CMOs)		94,948		1,751		(5	)		93,202
Pooled trust preferred		70		—		(14	)		84
Corporate debt		7,193		59		(29	)		7,163
Total investment securities available-for-sale	$	435,646	$	7,514	$	(363	)	$	428,495

Investment Securities by Contractual Maturity

The amortized cost and fair value of debt securities available-for-sale by contractual maturity at December 31, 2021 are shown in the following table.

			Amortized
December 31, 2021	Fair value		cost
Due in one year or less	$	2,837	$	2,815
Due after one year through five years		326,734		327,828
Due after five years through ten years		255,561		259,246
Due after ten years		107,228		107,205
Total investment securities available-for-sale	$	692,360	$	697,094

Realized Gain (Loss) on Investments

The following table presents information related to the Company’s gains and losses on the sales of debt securities, and losses recognized for OTTI of these investments.

December 31,	2021		2020			2019
Gross realized gains	$	18	$	28		$	169
Gross realized losses		—		(4	)		(195	)
Other-than-temporary impairment		—		—			—
Total net gains (losses) on AFS debt securities	$	18	$	24		$	(26	)

Credit-related Other-than-temporary Impairment

The following table presents a summary of the cumulative credit-related other-than-temporary impairment charges recognized as components of earnings for debt securities still held by QNB:

Year ended December 31,	2021		2020		2019
Balance, beginning of year	$	1	$	1	$	1
Reductions:  sale, collateralized debt obligation		—		—		—
Additions:
Initial credit impairments		—		—		—
Subsequent credit impairments		—		—		—
Balance, end of year	$	1	$	1	$	1

Debt Securities in a Continuous Unrealized Loss Position

Debt securities that have been in a continuous unrealized loss position are as follows:

December 31, 2021
			Less than 12 months					12 months or longer					Total
	No. of		Fair		Unrealized			Fair		Unrealized			Fair		Unrealized
	securities		value		losses			value		losses			value		losses
U.S. Government agency		44	$	62,530	$	(1,407	)	$	32,968	$	(1,028	)	$	95,498	$	(2,435	)
State and municipal		103		55,982		(953	)		3,742		(100	)		59,724		(1,053	)
U.S. Government agencies    and sponsored enterprises    (GSEs):
Mortgage-backed		72		253,141		(2,915	)		7,370		(243	)		260,511		(3,158	)
Collateralized mortgage    obligations (CMOs)		46		92,217		(1,648	)		—		—			92,217		(1,648	)
Pooled trust preferred		1		—		—			75		(8	)		75		(8	)
Corporate debt		—		—		—			—		—			—		—
Total		266	$	463,870	$	(6,923	)	$	44,154	$	(1,379	)	$	508,024	$	(8,302	)

December 31, 2020
			Less than 12 months					12 months or longer					Total
	No. of		Fair		Unrealized			Fair		Unrealized			Fair		Unrealized
	securities		value		losses			value		losses			value		losses
U.S. Government agency		19	$	37,754	$	(246	)	$	—	$	—		$	37,754	$	(246	)
State and municipal		11		6,821		(45	)		—		—			6,821		(45	)
U.S. Government agencies    and sponsored enterprises    (GSEs):
Mortgage-backed		4		8,626		(24	)		—		—			8,626		(24	)
Collateralized mortgage    obligations (CMOs)		3		3,262		(5	)		—		—			3,262		(5	)
Pooled trust preferred		1		—		—			70		(14	)		70		(14	)
Corporate debt		1		2,971		(29	)		—		—			2,971		(29	)
Total		39	$	59,434	$	(349	)	$	70	$	(14	)	$	59,504	$	(363	)

Pooled Trust Preferred Securities

The following table provides additional information related to PreTSL IV as of December 31, 2021:

Deal	Class		Book value		Fair value		Unreal -ized gains    (losses)			Realized OTTI credit loss (YTD 2021)		Total recognized OTTI credit loss			Moody's ratings	Current number of performing banks		Current number of performing insurance companies		Actual deferrals and defaults as a % of total collateral			Total performing collateral as a % of outstanding bonds
PreTSL IV	Mezzanine	*	$	83	$	75	$	(8	)	$	—	$	(1	)	Ba1		3		-		0.0	%		238.2	%

Mezzanine* - class of bonds still outstanding, represents the senior-most obligation of the trust)

Summary of Unrealized and Realized Gains and Losses Recognized in Net Income on Equity Securities

The following is a summary of unrealized and realized gains and losses recognized in net income on equity securities during 2021, 2020 and 2019:

December 31,	2021		2020			2019
Net gains (losses) recognized during the period on equity securities	$	2,714	$	538		$	2,551
Less:  Net gains (losses) recognized during the period on equity securities sold during the period		1,788		585			1,781
Net unrealized gains (losses) recognized during the reporting period on equity securities still held at the reporting date	$	926	$	(47	)	$	770