
(dollars in thousands)	Amortized Cost		Unrealized Gains		Unrealized Losses		Basis Adjustments (1)		Fair Value
December 31, 2024
Available-for-Sale
U.S. Treasury	$	261,421	$	67	$	(12,659)	$	(49,816)	$	199,013
U.S. government-sponsored entities and agencies	1,521,610		7		(181,360)		(82,351)		1,257,906
Mortgage-backed securities - Agency	5,861,067		6,005		(662,181)		—		5,204,891
States and political subdivisions	510,630		148		(25,881)		647		485,544
Pooled trust preferred securities	13,807		—		(2,485)		—		11,322
Other securities	311,973		760		(12,950)		—		299,783
Total available-for-sale securities	$	8,480,508	$	6,987	$	(897,516)	$	(131,520)	$	7,458,459

December 31, 2023
Available-for-Sale
U.S. Treasury	$	449,817	$	154	$	(11,941)	$	(41,297)	$	396,733
U.S. government-sponsored entities and agencies	1,487,879		33		(192,717)		(63,931)		1,231,264
Mortgage-backed securities - Agency	4,835,319		3,093		(621,852)		—		4,216,560
States and political subdivisions	554,509		878		(23,057)		2,930		535,260
Pooled trust preferred securities	13,797		—		(2,460)		—		11,337
Other securities	343,568		449		(22,116)		—		321,901
Total available-for-sale securities	$	7,684,889	$	4,607	$	(874,143)	$	(102,298)	$	6,713,055

(1) Basis adjustments represent the amount of fair value hedging adjustments included in the carrying amounts of fixed-rate investment securities assets designated in fair value hedging arrangements. See Note 19 to the consolidated financial statements for additional information regarding these derivative financial instruments.


(dollars in thousands)	Amortized Cost		Unrecognized Gains		Unrecognized Losses		Fair Value
December 31, 2024
Held-to-Maturity
U.S. government-sponsored entities and agencies	$	832,984	$	—	$	(168,653)	$	664,331
Mortgage-backed securities - Agency	970,212		—		(169,546)		800,666
States and political subdivisions	1,151,835		317		(145,861)		1,006,291

Allowance for securities held-to-maturity	(150)		—		—		(150)
Total held-to-maturity securities	$	2,954,881	$	317	$	(484,060)	$	2,471,138

December 31, 2023
Held-to-Maturity
U.S. government-sponsored entities and agencies	$	825,953	$	—	$	(154,827)	$	671,126
Mortgage-backed securities - Agency	1,029,131		—		(147,137)		881,994
States and political subdivisions	1,158,559		1,800		(112,141)		1,048,218

Allowance for securities held-to-maturity	(150)		—		—		(150)
Total held-to-maturity securities	$	3,013,493	$	1,800	$	(414,105)	$	2,601,188

Excluding securities issued or backed by the U.S. government and its agencies and U.S. government-sponsored enterprises, there were no investments in securities from one issuer that exceeded 10% of stockholder’s equity as of December 31, 2024. At December 31, 2023, the only aggregate market value of the Company’s investment securities greater than 10% of shareholders’ equity were issued by Indiana and its political subdivisions totaling $600.9 million, which represented 10.8% of shareholders’ equity. Of the bonds issued by Indiana, 99.6% were rated “BBB+” or better, and the remaining 0.4% generally represented pre-refunded positions.

The table below shows the amortized cost and fair value of the investment securities portfolio by contractual maturity. Expected maturities may differ from contractual maturities if borrowers have the right to call or prepay obligations with or without call or prepayment penalties. Weighted average yield is based on amortized cost.


	At December 31, 2024
(dollars in thousands)	Amortized Cost		Fair Value		Weighted Average Yield
Maturity
Available-for-Sale
Within one year	$	193,329	$	192,182	3.49	%
One to five years	2,585,791		2,510,032		4.28	%
Five to ten years	4,432,629		3,775,699		2.60	%
Beyond ten years	1,268,759		980,546		2.66	%
Total	$	8,480,508	$	7,458,459	3.14	%
Held-to-Maturity

One to five years	$	24,574	$	23,810	2.94	%
Five to ten years	1,356,722		1,149,507		2.57	%
Beyond ten years	1,573,585		1,297,821		2.74	%
Total	$	2,954,881	$	2,471,138	2.67	%


	Less than 12 months				12 months or longer				Total
(dollars in thousands)	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
December 31, 2024
Available-for-Sale
U.S. Treasury	$	3,977	$	(26)	$	177,691	$	(12,633)	$	181,668	$	(12,659)
U.S. government-sponsored entities and agencies	98,280		(1,713)		1,144,618		(179,647)		1,242,898		(181,360)
Mortgage-backed securities - Agency	857,440		(9,172)		3,406,350		(653,009)		4,263,790		(662,181)
States and political subdivisions	133,906		(1,462)		279,121		(24,419)		413,027		(25,881)
Pooled trust preferred securities	—		—		11,322		(2,485)		11,322		(2,485)
Other securities	33,292		(295)		199,631		(12,655)		232,923		(12,950)
Total available-for-sale	$	1,126,895	$	(12,668)	$	5,218,733	$	(884,848)	$	6,345,628	$	(897,516)

December 31, 2023
Available-for-Sale
U.S. Treasury	$	8,937	$	(42)	$	191,027	$	(11,899)	$	199,964	$	(11,941)
U.S. government-sponsored entities and agencies	—		—		1,189,314		(192,717)		1,189,314		(192,717)
Mortgage-backed securities - Agency	90,145		(710)		3,835,552		(621,142)		3,925,697		(621,852)
States and political subdivisions	86,865		(495)		259,767		(22,562)		346,632		(23,057)
Pooled trust preferred securities	—		—		11,337		(2,460)		11,337		(2,460)
Other securities	39,032		(229)		255,888		(21,887)		294,920		(22,116)
Total available-for-sale	$	224,979	$	(1,476)	$	5,742,885	$	(872,667)	$	5,967,864	$	(874,143)


	Less than 12 months				12 months or longer				Total
(dollars in thousands)	Fair Value		Unrecognized Losses		Fair Value		Unrecognized Losses		Fair Value		Unrecognized Losses
December 31, 2024
Held-to-Maturity
U.S. government-sponsored entities and agencies	$	—	$	—	$	664,331	$	(168,653)	$	664,331	$	(168,653)
Mortgage-backed securities - Agency	—		—		800,666		(169,546)		800,666		(169,546)
States and political subdivisions	37,007		(430)		937,364		(145,431)		974,371		(145,861)
Total held-to-maturity	$	37,007	$	(430)	$	2,402,361	$	(483,630)	$	2,439,368	$	(484,060)

December 31, 2023
Held-to-Maturity
U.S. government-sponsored entities and agencies	$	—	$	—	$	671,126	$	(154,827)	$	671,126	$	(154,827)
Mortgage-backed securities - Agency	—		—		881,994		(147,137)		881,994		(147,137)
States and political subdivisions	—		—		977,154		(112,141)		977,154		(112,141)
Total held-to-maturity	$	—	$	—	$	2,530,274	$	(414,105)	$	2,530,274	$	(414,105)

The unrecognized losses on held-to-maturity investment securities presented in the table above do not include unrecognized losses on securities that were transferred from available-for-sale to held-for-maturity totaling $110.0 million at December 31, 2024 and $127.6 million at December 31, 2023. These unrecognized losses are included as a separate component of shareholders’ equity and are being amortized over the remaining term of the securities.

An allowance on held-to-maturity debt securities is maintained for certain municipal bonds to account for expected lifetime credit losses. Substantially all of the U.S. government-sponsored entities and agencies and agency mortgage-backed securities are either explicitly or implicitly guaranteed by the U.S. government, are highly rated by major credit rating agencies, and have a long history of no credit losses. Therefore, for those securities, we do not record expected credit losses. The allowance for credit losses on held-to-maturity debt securities was $0.2 million at December 31, 2024 and December 31, 2023. Accrued interest receivable on securities portfolio is excluded from the estimate of credit losses and totaled $55.3 million at December 31, 2024 and $50.3 million at December 31, 2023.

At December 31, 2024, Old National’s securities portfolio consisted of 3,006 securities, 2,639 of which were in an unrealized loss position. The unrealized losses attributable to our U.S. Treasury, U.S. government-sponsored entities and agencies, agency mortgage-backed securities, states and political subdivisions, and other securities are the result of fluctuations in interest rates and market movements. Old National’s pooled trust preferred securities are evaluated using collateral-specific assumptions to estimate the expected future interest and principal cash flows. At December 31, 2024, we had no intent to sell any securities that were in an unrealized loss position nor is it expected that we would be required to sell the securities prior to their anticipated recovery.

Old National’s pooled trust preferred securities have experienced credit defaults. However, we believe that the value of the instruments lies in the full and timely interest payments that will be received through maturity, the steady amortization that will be experienced until maturity, and the full return of principal by the final maturity of the collateralized debt obligations. Old National did not recognize any losses on these securities for the years ended December 31, 2024 or December 31, 2023.

Equity securities consist of mutual funds for Community Reinvestment Act qualified investments and diversified investment securities held in a grantor trust for participants in the Company’s nonqualified deferred compensation plan. Old National’s equity securities with readily determinable fair values totaled $92.0 million at December 31, 2024 and $80.4 million at December 31, 2023. There were gains on equity securities of $0.9 million during 2024, gains on equity securities of $21.5 million during 2023, and losses on equity securities of $4.9 million during 2022 recorded in noninterest income.

Old National has alternative investments without readily determinable fair values that are included in other assets totaling $609.2 million at December 31, 2024 and $449.3 million at December 31, 2023. These investments consisted of $318.5 million of illiquid investments of partnerships, limited liability companies, and other ownership interests that support affordable housing and $290.7 million of economic development and community revitalization initiatives in low-to-moderate income neighborhoods, compared to $252.2 million and $197.1 million for the same investment types, respectively, at December 31, 2023. There were no impairments or adjustments on equity securities without readily determinable fair values, except for amortization of tax credit investments during 2024, 2023, and 2022. See Note 9 to the consolidated financial statements for detail regarding these investments.