NOTE 2 - INVESTMENT SECURITIES (Tables)

3 Months Ended

Mar. 31, 2026

INVESTMENT SECURITIES

Schedule of amortized cost and fair value of HTM and AFS investment securities

			Allowance		Gross		Gross
	Amortized		for Credit		Unrealized		Unrealized		Fair
	Cost		(Losses)		Gains		(Losses)		Value
	(dollars in thousands)
March 31, 2026:
Securities HTM:
Municipal securities	$	920,855	$	(272)	$	16,342	$	(129,073)	$	807,852
Corporate securities		30,293		(9)		1,556		—		31,840
Other securities		1,050		(1)		—		(1)		1,048
	$	952,198	$	(282)	$	17,898	$	(129,074)	$	840,740
Securities AFS:
U.S. treasuries and govt. sponsored agency securities	$	16,847	$	—	$	3	$	(1,791)	$	15,059
Residential mortgage-backed and related securities		90,911		—		110		(4,799)		86,222
Municipal securities		203,399		—		—		(43,152)		160,247
Asset-backed securities		3,985		—		91		—		4,076
Corporate securities		25,073		—		112		(683)		24,502
	$	340,215	$	—	$	316	$	(50,425)	$	290,106

			Allowance		Gross		Gross
	Amortized		for Credit		Unrealized		Unrealized		Fair
	Cost		(Losses)		Gains		(Losses)		Value
	(dollars in thousands)
December 31, 2025:
Securities HTM:
Municipal securities	$	918,189	$	(272)	$	23,402	$	(117,074)	$	824,245
Corporate securities		29,719		(9)		2,660		—		32,370
Other securities		1,050		(1)		—		(1)		1,048
	$	948,958	$	(282)	$	26,062	$	(117,075)	$	857,663
Securities AFS:
U.S. treasuries and govt. sponsored agency securities	$	17,775	$	—	$	4	$	(1,755)	$	16,024
Residential mortgage-backed and related securities		72,951		—		151		(4,247)		68,855
Municipal securities		203,613		—		27		(40,555)		163,085
Asset-backed securities		4,345		—		94		—		4,439
Corporate securities		28,068		—		148		(842)		27,374
	$	326,752	$	—	$	424	$	(47,399)	$	279,777

Schedule of securities have been in a continuous unrealized loss position

	Less than 12 Months				12 Months or More				Total
			Gross				Gross				Gross
	Fair		Unrealized		Fair		Unrealized		Fair		Unrealized
	Value		Losses		Value		Losses		Value		Losses
	(dollars in thousands)
March 31, 2026:
Securities HTM:
Municipal securities	$	142,185	$	(33,906)	$	371,871	$	(95,167)	$	514,056	$	(129,073)
Other securities		549		(1)		—		—		549		(1)
	$	142,734	$	(33,907)	$	371,871	$	(95,167)	$	514,605	$	(129,074)
Securities AFS:
U.S. treasuries and govt. sponsored agency securities	$	1,045	$	—	$	13,501	$	(1,791)	$	14,546	$	(1,791)
Residential mortgage-backed and related securities		36,410		(1,075)		31,264		(3,724)		67,674		(4,799)
Municipal securities		3,883		(32)		156,364		(43,120)		160,247		(43,152)
Corporate securities		1,656		(23)		16,282		(660)		17,938		(683)
	$	42,994	$	(1,130)	$	217,411	$	(49,295)	$	260,405	$	(50,425)

	Less than 12 Months				12 Months or More				Total
			Gross				Gross				Gross
	Fair		Unrealized		Fair		Unrealized		Fair		Unrealized
	Value		Losses		Value		Losses		Value		Losses
	(dollars in thousands)
December 31, 2025:
Securities HTM:
Municipal securities	$	88,718	$	(52,445)	$	316,672	$	(64,629)	$	405,390	$	(117,074)
Other securities		549		(1)		—		—		549		(1)
	$	89,267	$	(52,446)	$	316,672	$	(64,629)	$	405,939	$	(117,075)
Securities AFS:
U.S. govt. sponsored agency securities	$	48	$	(1)	$	13,663	$	(1,754)	$	13,711	$	(1,755)
Residential mortgage-backed and related securities		16,167		(592)		32,137		(3,655)		48,304		(4,247)
Municipal securities		636		(9)		159,146		(40,546)		159,782		(40,555)
Corporate securities		1,491		(25)		18,802		(817)		20,293		(842)
	$	18,342	$	(627)	$	223,748	$	(46,772)	$	242,090	$	(47,399)

Schedule of activity in allowance for credit losses for HTM and AFS securities by major security

	Three Months Ended
	March 31, 2026								March 31, 2025
	Securities HTM								Securities HTM
	Municipal		Corporate		Other				Municipal		Corporate		Other
	securities		securities		securities		Total		securities		securities		securities		Total
	(dollars in thousands)
Allowance for credit losses:
Beginning balance	$	272	$	9	$	1	$	282	$	254	$	8	$	1	$	263
Reduction due to sales		—		—		—		—		—		—		—		—
Provision		—		—		—		—		—		—		—		—
Balance, ending	$	272	$	9	$	1	$	282	$	254	$	8	$	1	$	263

Schedule of investments classified by maturity date

	Amortized Cost		Fair Value
	(dollars in thousands)
Securities HTM:
Due in one year or less	$	389	$	390
Due after one year through five years		42,078		41,754
Due after five years		909,731		798,596
	$	952,198	$	840,740
Securities AFS:
Due in one year or less	$	1,425	$	1,423
Due after one year through five years		14,926		14,515
Due after five years		228,968		183,870
		245,319		199,808
Residential mortgage-backed and related securities		90,911		86,222
Asset-backed securities		3,985		4,076
	$	340,215	$	290,106

Schedule of investment in callable securities

	Amortized Cost		Fair Value
	(dollars in thousands)
Securities HTM:
Municipal securities	$	199,530	$	193,023
Corporate securities		30,293		31,840
	$	229,823	$	224,863
Securities AFS:
Municipal securities	$	202,876	$	159,734
Corporate securities		24,103		23,517
	$	226,979	$	183,251

Schedule of fair value of investment securities pledged

	March 31, 2026		December 31, 2025
	(dollars in thousands)
Derivatives:
U.S. govt. sponsored agency securities	$	11,210	$	11,268
Residential mortgage-backed and related securities		36,316		36,565
Municipal securities		138,695		142,065
		186,221		189,898
Public deposits:
U.S. govt. sponsored agency securities		1,274		1,338
Residential mortgage-backed and related securities		1,905		1,985
		3,179		3,323
Other borrowings:
Municipal securities*		157,363		161,329
		157,363		161,329
Total investments pledged:
U.S. govt. sponsored agency securities		12,484		12,606
Residential mortgage-backed and related securities		38,221		38,550
Municipal securities		296,058		303,394
	$	346,763	$	354,550

* Municipal securities with an amortized cost of $175.8 million and $176.6 million were pledged on secured borrowings as of March 31, 2026 and December 31, 2025, respectively.