Note 6 – Securities

The book values and approximate fair values of investment securities at March 31, 2015 and December 31, 2014 are summarized as follows:

	March 31, 2015									December 31, 2014
	Amortized		Fair		Unrealized					Amortized		Fair		Unrealized
($ in thousands)	Cost		Value		Gains		(Losses)			Cost		Value		Gains		(Losses)

Securities available for sale:
Government-sponsored enterprise securities	$	44,291		44,365		97		(23	)		27,546		27,521		33		(58	)
Mortgage-backed securities		127,382		126,930		761		(1,213	)		130,073		129,510		751		(1,314	)
Corporate bonds		1,000		900		—		(100	)		1,000		865		—		(135	)
Equity securities		5,960		5,995		48		(13	)		6,105		6,138		46		(13	)
Total available for sale	$	178,633		178,190		906		(1,349	)		164,724		164,034		830		(1,520	)

Securities held to maturity:
Mortgage-backed securities	$	118,399		118,385		115		(129	)		124,924		124,861		45		(108	)
State and local governments		52,405		56,371		3,966		—			53,763		57,550		3,787		—
Total held to maturity	$	170,804		174,756		4,081		(129	)		178,687		182,411		3,832		(108	)

Included in mortgage-backed securities at March 31, 2015 were collateralized mortgage obligations with an amortized cost of $95,000 and a fair value of $97,000. Included in mortgage-backed securities at December 31, 2014 were collateralized mortgage obligations with an amortized cost of $108,000 and a fair value of $111,000. All of the Company's mortgage-backed securities, including the collateralized mortgage obligations, were issued by government-sponsored corporations.

The Company owned Federal Home Loan Bank (“FHLB”) stock with a cost and fair value of $5,871,000 at March 31, 2015 and $6,016,000 at December 31, 2014, which is included in equity securities above and serves as part of the collateral for the Company's line of credit with the FHLB. The investment in this stock is a requirement for membership in the FHLB system. Periodically the FHLB recalculates the Company's required level of holdings, and the Company either buys more stock or the FHLB redeems a portion of the stock at cost.

The following table presents information regarding securities with unrealized losses at March 31, 2015:

($ in thousands)	Securities in an Unrealized Loss Position for Less than 12 Months				Securities in an Unrealized Loss Position for More than 12 Months				Total
	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
Government-sponsored enterprise securities	$	—		—		2,977		23		2,977		23
Mortgage-backed securities		86,232		404		29,291		938		115,523		1,342
Corporate bonds		—		—		900		100		900		100
Equity securities		—		—		19		13		19		13
State and local governments		—		—		—		—		—		—
Total temporarily impaired securities	$	86,232		404		33,187		1,074		119,419		1,478

The following table presents information regarding securities with unrealized losses at December 31, 2014:

($ in thousands)	Securities in an Unrealized Loss Position for Less than 12 Months				Securities in an Unrealized Loss Position for More than 12 Months				Total
	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
Government-sponsored enterprise securities	$	5,489		11		2,953		47		8,442		58
Mortgage-backed securities		69,985		318		33,557		1,104		103,542		1,422
Corporate bonds		—		—		865		135		865		135
Equity securities		—		—		17		13		17		13
State and local governments		—		—		—		—		—		—
Total temporarily impaired securities	$	75,474		329		37,392		1,299		112,866		1,628

In the above tables, all of the non-equity securities that were in an unrealized loss position at March 31, 2015 and December 31, 2014 are bonds that the Company has determined are in a loss position due primarily to interest rate factors and not credit quality concerns. The Company has evaluated the collectability of each of these bonds and has concluded that there is no other-than-temporary impairment. The Company does not intend to sell these securities, and it is more likely than not that the Company will not be required to sell these securities before recovery of the amortized cost. The Company has also concluded that each of the equity securities in an unrealized loss position at March 31, 2015 and December 31, 2014 was in such a position due to temporary fluctuations in the market prices of the securities. The Company's policy is to record an impairment charge for any of these equity securities that remains in an unrealized loss position for twelve consecutive months unless the amount is insignificant.

The aggregate carrying amount of cost-method investments was $5,871,000 and $6,016,000 at March 31, 2015 and December 31, 2014, respectively, which was the FHLB stock discussed above. The Company determined this stock was not impaired at either period end.

The book values and approximate fair values of investment securities at March 31, 2015, by contractual maturity, are summarized in the table below. Expected maturities may differ from contractual maturities because issuers may have the right to call or prepay obligations with or without call or prepayment penalties.

	Securities Available for Sale				Securities Held to Maturity
	Amortized		Fair		Amortized		Fair
($ in thousands)	Cost		Value		Cost		Value

Debt securities
Due within one year	$	—		—		774		793
Due after one year but within five years		44,291		44,365		10,966		11,683
Due after five years but within ten years		—		—		37,920		40,964
Due after ten years		1,000		900		2,745		2,931
Mortgage-backed securities		127,382		126,930		118,399		118,385
Total debt securities		172,673		172,195		170,804		174,756

Equity securities		5,960		5,995		—		—
Total securities	$	178,633		178,190		170,804		174,756

At March 31, 2015 and December 31, 2014 investment securities with carrying values of $91,904,000 and $100,113,000, respectively, were pledged as collateral for public deposits.

The Company recorded no gains or losses on securities during the three month periods ended March 31, 2015 or 2014.