Note B - Securities

12 Months Ended

Dec. 31, 2019

Notes to Financial Statements

Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block]

NOTE B – SECURITIES:

The amortized cost and fair value of securities at

December 31, 2019

and

2018,

respectively, are as follows (in thousands):

			Gross		Gross
			Unrealized		Unrealized
December 31, 2019	Amortized Cost		Gains		Losses			Fair Value
Available for sale securities:
U.S. Treasuries	$	55,922	$	6	$	(275	)	$	55,653
U.S. Government agencies		12,493		93		(16	)		12,570
Mortgage-backed securities		104,414		1,832		(93	)		106,153
Collateralized mortgage obligations		15,440		251		(203	)		15,488
States and political subdivisions		6,412		35					6,447
Total available for sale securities	$	194,681	$	2,217	$	(587	)	$	196,311
Held to maturity securities:
U.S. Government agencies	$	5,000	$		$	(20	)	$	4,980
States and political subdivisions		47,231		985		(66	)		48,150
Total held to maturity securities	$	52,231	$	985	$	(86	)	$	53,130

			Gross		Gross
			Unrealized		Unrealized
December 31, 2018	Amortized Cost		Gains		Losses			Fair Value
Available for sale securities:
U.S. Treasuries	$	85,866	$		$	(2,443	)	$	83,423
U.S. Government agencies		17,492		14		(259	)		17,247
Mortgage-backed securities		112,391		231		(2,278	)		110,344
States and political subdivisions		10,994		102					11,096
Total available for sale securities	$	226,743	$	347	$	(4,980	)	$	222,110
Held to maturity securities:
U.S. Government agencies	$	8,185	$		$	(371	)	$	7,814
States and political subdivisions		46,413		89		(857	)		45,645
Total held to maturity securities	$	54,598	$	89	$	(1,228	)	$	53,459

The amortized cost and fair value of debt securities at

December 31, 2019, (

in thousands) by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because borrowers

may

have the right to call or prepay obligations with or without call or prepayment penalties.

	Amortized Cost		Fair Value
Available for sale securities:
Due in one year or less	$	28,468	$	28,485
Due after one year through five years		38,782		38,569
Due after five years through ten years		20,517		20,522
Due after ten years		2,500		2,582
Mortgage-backed securities		104,414		106,153
Total	$	194,681	$	196,311
Held to maturity securities:
Due in one year or less	$	2,718	$	2,722
Due after one year through five years		17,036		17,342
Due after five years through ten years		24,209		24,407
Due after ten years		8,268		8,659
Total	$	52,231	$	53,130

Available for sale and held to maturity securities with gross unrealized losses at

December 31, 2019

and

2018,

aggregated by investment category and length of time that individual securities have been in a continuous loss position, are as follows (in thousands):

	Less Than Twelve Months				Over Twelve Months				Total
			Gross				Gross				Gross
			Unrealized				Unrealized				Unrealized
	Fair Value		Losses		Fair Value		Losses		Fair Value		Losses
December 31, 2019:
U.S. Treasuries	$	4,894	$	44	$	49,753	$	231	$	54,647	$	275
U.S. Government agencies		4,978		16		4,979		20		9,957		36
Mortgage-backed securities		10,941		93						10,941		93
Collateralized mortgage obligations		10,398		203						10,398		203
States and political
subdivisions		4,602		61		608		5		5,210		66
Total	$	35,813	$	417	$	55,340	$	256	$	91,153	$	673
December 31, 2018:
U.S. Treasuries	$	999	$	1	$	82,424	$	2,442	$	83,423	$	2,443
U.S. Government agencies		4,939		61		17,608		569		22,547		630
Mortgage-backed securities		24,834		293		55,649		1,985		80,483		2,278
States and political subdivisions		8,470		122		19,678		735		28,148		857
Total	$	39,242	$	477	$	175,359	$	5,731	$	214,601	$	6,208

At

December 31, 2019,

11

of the

12

securities issued by the U.S. Treasury,

2

of the

4

securities issued by U.S. Government agencies,

6

of the

47

mortgage-backed securities,

2

of the

3

collateralized mortgage obligations and

16

of the

131

securities issued by states and political subdivisions contained unrealized losses.

Management evaluates securities for other-than-temporary impairment on a monthly basis. In performing this evaluation, the length of time and the extent to which the fair value has been less than cost, the fact that the Company’s securities are primarily issued by U.S. Treasury and U.S. Government agencies and the cause of the decline in value are considered. In addition, the Company does

not

intend to sell and it is

not

more likely than

not

that we will be required to sell these securities before maturity. While some available for sale securities have been sold for liquidity purposes or for gains, the Company has traditionally held its securities, including those classified as available for sale, until maturity. As a result of this evaluation, the Company has determined that the declines summarized in the tables above are

not

deemed to be other-than-temporary.

Proceeds from sales of available for sale debt securities were

$15,123,868

and

$30,748,797

during

2019

and

2017,

respectively. Available for sale debt securities were sold and called for realized gains of

$146,675

and

$133,986

during

2019

and

2017,

respectively. There were

no

sales or calls of available for sale securities in

2018.

Proceeds from sales of other investments were

$125,145

for a realized gain of

$16,995

during

2018.

Securities with a fair value of

$230,065,621

and

$208,781,426

at

December 31, 2019

and

2018,

respectively, were pledged to secure public deposits, federal funds purchased and other balances required by law.