Note 7 - Securities Available-for-Sale

3 Months Ended

Sep. 30, 2016

Notes to Financial Statements

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

NOTE 7 – SECURITIES AVAILABLE-FOR-SALE

:

The amortized cost, fair value, and carrying value of securities were as follows:

	at September 30, 2016
(in thousands)	Amortized		Gross Unrealized				Fair
	Cost		Gains		Losses		Value
U.S. Treasury Notes	$	47,373	$	1,113	$	-	$	48,486
Corporate debt securities		13,253		95		-		13,348
Agency MBS		29,961		442		-		30,403
Mutual fund investment		1,215		240		-		1,455
Total securities available-for-sale	$	91,802	$	1,890	$	-	$	93,692

	at June 30, 2016
(in thousands)	Amortized		Gross Unrealized					Fair
	Cost		Gains		Losses			Value
U.S. Treasury Notes	$	47,355	$	1,419	$	-		$	48,774
Corporate debt securities		13,291		97		(3	)		13,385
Agency MBS		31,782		441		-			32,223
Mutual fund investment		1,215		247		-			1,462
Total securities available-for-sale	$	93,643	$	2,204	$	(3	)	$	95,844

The amortized cost and estimated fair value of available-for-sale securities at September 30, 2016, by contractual maturity, are shown below. Expected maturities may 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
	(in thousands)
Due in three months or less	$	-	$	-
Due after three months to one year		-		-
Due after one year to five years		60,626		61,833
Due after five years		29,961		30,404
No stated maturity		1,215		1,455
Total securities available-for-sale	$	91,802	$	93,692

For the three months ended September 30, 2016, the Company had no realized gains or losses from the sale of available-for-sale securities. During the quarter ended September 30, 2015, the Company realized a gain of $23,000 from an early call of a corporate debt security for proceeds of $4.8 million. There were no available-for-sale securities in a gross unrealized loss position at September 30, 2016. The following table presents the fair value and associated gross unrealized loss on available-for-sale securities at June 30, 2016.

	Less than 12 Months					12 Months or More				Total
	Unrealized Loss			Estimated Fair Value		Unrealized Loss		Estimated Fair Value		Unrealized Loss			Estimated Fair Value
	(in thousands)
At June 30, 2016
Corporate debt securities	$	(3	)	$	3,266	$	-	$	-	$	(3	)	$	3,266
Total	$	(3	)	$	3,266	$	-	$	-	$	(3	)	$	3,266

The Company conducts a regular assessment of its investment portfolios to determine whether any securities are other-than-temporarily impaired. In estimating other-than-temporary impairment losses, management considers, among other factors, length of time and extent to which the fair value has been less than cost, the financial condition and near term prospects of the issuer, the intent of the Company to retain its investment in the issuer for a period of time sufficient to allow for any anticipated recovery and whether it is more likely than not the Company will be required to sell the security before recovery of the amortized cost basis.

At September 30, 2016 and at June 30, 2016, U.S. Treasury notes and Agency MBS with an amortized cost of $77.3 million and $79.1 million, respectively, were pledged to secure borrowings from the FHLB (see Note 11).