Quarterly report pursuant to Section 13 or 15(d)

SECURITIES

v3.5.0.2
SECURITIES
9 Months Ended
Sep. 30, 2016
Investments, Debt and Equity Securities [Abstract]  
SECURITIES
NOTE 4 - SECURITIES
 
The amortized cost and fair value of available-for-sale and held-to-maturity securities at September 30, 2016 and December 31, 2015 are summarized as follows:
 
 
 
 
 
 
Gross
 
Gross
 
 
 
 
 
Amortized
 
Unrealized
 
Unrealized
 
Market
 
 
 
Cost
 
Gain
 
Loss
 
Value
 
 
 
(In Thousands)
 
September 30, 2016
 
 
 
 
 
 
 
 
 
 
 
 
 
Securities Available for Sale
 
 
 
 
 
 
 
 
 
 
 
 
 
U.S. Treasury and government sponsored agencies
 
$
35,999
 
$
859
 
$
-
 
$
36,858
 
Mortgage-backed securities
 
 
161,686
 
 
3,776
 
 
(31)
 
 
165,431
 
State and municipal securities
 
 
137,649
 
 
2,512
 
 
(36)
 
 
140,125
 
Corporate debt
 
 
8,967
 
 
36
 
 
-
 
 
9,003
 
Total
 
 
344,301
 
 
7,183
 
 
(67)
 
 
351,417
 
Securities Held to Maturity
 
 
 
 
 
 
 
 
 
 
 
 
 
Mortgage-backed securities
 
 
20,214
 
 
604
 
 
-
 
 
20,818
 
State and municipal securities
 
 
5,639
 
 
455
 
 
-
 
 
6,094
 
Total
 
$
25,853
 
$
1,059
 
$
-
 
$
26,912
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
December 31, 2015
 
 
 
 
 
 
 
 
 
 
 
 
 
Securities Available for Sale
 
 
 
 
 
 
 
 
 
 
 
 
 
U.S. Treasury and government sponsored agencies
 
$
44,581
 
$
569
 
$
(141)
 
$
45,009
 
Mortgage-backed securities
 
 
135,363
 
 
1,945
 
 
(354)
 
 
136,954
 
State and municipal securities
 
 
143,403
 
 
2,731
 
 
(101)
 
 
146,033
 
Corporate debt
 
 
14,902
 
 
67
 
 
(27)
 
 
14,942
 
Total
 
 
338,249
 
 
5,312
 
 
(623)
 
 
342,938
 
Securities Held to Maturity
 
 
 
 
 
 
 
 
 
 
 
 
 
Mortgage-backed securities
 
 
21,666
 
 
368
 
 
(332)
 
 
21,702
 
State and municipal securities
 
 
5,760
 
 
449
 
 
(1)
 
 
6,208
 
Total
 
$
27,426
 
$
817
 
$
(333)
 
$
27,910
 
 
The amortized cost and fair value of debt securities as of September 30, 2016 by contractual maturity are shown below. Actual maturities may differ from contractual maturities of mortgage-backed securities since the mortgages underlying the securities may be called or prepaid with or without penalty. Therefore, these securities are not included in the maturity categories along with the other categories of debt securities.
 
 
 
September 30, 2016
 
December 31, 2015
 
 
 
Amortized
 Cost
 
Fair Value
 
Amortized
Cost
 
Fair Value
 
 
 
(In thousands)
 
Debt securities available for sale
 
 
 
 
 
 
 
 
 
 
 
 
 
Due within one year
 
$
24,263
 
$
24,405
 
$
16,770
 
$
16,868
 
Due from one to five years
 
 
141,696
 
 
144,492
 
 
153,880
 
 
156,311
 
Due from five to ten years
 
 
16,656
 
 
17,089
 
 
32,236
 
 
32,805
 
Mortgage-backed securities
 
 
161,686
 
 
165,431
 
 
135,363
 
 
136,954
 
 
 
$
344,301
 
$
351,417
 
$
338,249
 
$
342,938
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Debt securities held to maturity
 
 
 
 
 
 
 
 
 
 
 
 
 
Due from five to ten years
 
$
741
 
$
781
 
$
627
 
$
659
 
Due after ten years
 
 
4,898
 
 
5,313
 
 
5,133
 
 
5,549
 
Mortgage-backed securities
 
 
20,214
 
 
20,818
 
 
21,666
 
 
21,702
 
 
 
$
25,853
 
$
26,912
 
$
27,426
 
$
27,910
 
 
All mortgage-backed securities are with government-sponsored enterprises (GSEs) such as Federal National Mortgage Association, Government National Mortgage Association, Federal Home Loan Bank, and Federal Home Loan Mortgage Corporation.
 
The following table identifies, as of September 30, 2016 and December 31, 2015, the Company’s investment securities that have been in a continuous unrealized loss position for less than 12 months and those that have been in a continuous unrealized loss position for 12 or more months. At September 30, 2016, six of the Company’s 754 debt securities had been in an unrealized loss position for 12 or more months. 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 the securities before recovery of their amortized cost, which may be maturity; accordingly, the Company does not consider these securities to be other-than-temporarily impaired at September 30, 2016. Further, the Company believes any deterioration in value of its current investment securities is attributable to changes in market interest rates and not credit quality of the issuer.
 
 
 
Less Than Twelve Months
 
Twelve Months or More
 
Total
 
 
 
Gross
 
 
 
 
Gross
 
 
 
 
Gross
 
 
 
 
 
 
Unrealized
 
 
 
 
Unrealized
 
 
 
 
Unrealized
 
 
 
 
 
 
Losses
 
Fair Value
 
Losses
 
Fair Value
 
Losses
 
Fair Value
 
 
 
(In Thousands)
 
September 30, 2016
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
U.S. Treasury and government sponsored agencies
 
$
-
 
$
-
 
$
-
 
$
-
 
$
-
 
$
-
 
Mortgage-backed securities
 
 
(31)
 
 
15,624
 
 
-
 
 
-
 
 
(31)
 
 
15,624
 
State and municipal securities
 
 
(29)
 
 
9,161
 
 
(7)
 
 
1,125
 
 
(36)
 
 
10,286
 
Corporate debt
 
 
-
 
 
-
 
 
-
 
 
-
 
 
-
 
 
-
 
Total
 
$
(60)
 
$
24,785
 
$
(7)
 
$
1,125
 
$
(67)
 
$
25,910
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
December 31, 2015
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
U.S. Treasury and government sponsored agencies
 
$
(141)
 
$
3,886
 
$
-
 
$
-
 
$
(141)
 
$
3,886
 
Mortgage-backed securities
 
 
(354)
 
 
56,609
 
 
(332)
 
 
11,712
 
 
(686)
 
 
68,321
 
State and municipal securities
 
 
(55)
 
 
15,464
 
 
(47)
 
 
4,531
 
 
(102)
 
 
19,995
 
Corporate debt
 
 
(27)
 
 
2,961
 
 
-
 
 
-
 
 
(27)
 
 
2,961
 
Total
 
$
(577)
 
$
78,920
 
$
(379)
 
$
16,243
 
$
(956)
 
$
95,163