XML 22 R10.htm IDEA: XBRL DOCUMENT
v3.24.1.u1

INVESTMENT SECURITIES | 3 Months Ended
--- | ---
Mar. 31, 2024
Investments, Debt and Equity Securities [Abstract] |
INVESTMENT SECURITIES | NOTE 2 – INVESTMENT SECURITIES The amortized cost and estimated fair value of securities available-for-sale along with gross unrealized gains and losses are summarized as follows:
(dollars in thousands) Securities available-for-sale |  | Amortized Cost |  | Allowance for Credit Losses |  | Gross Unrealized Gains |  | Gross Unrealized Losses |  | Estimated Fair Value
March 31, 2024 |  |  |  |  |  |  |  |  |  |
U.S. Treasuries |  | $ | 712,985 |  |  | $ | — |  |  | $ | 8 |  |  | $ | (11,697) |  |  | $ | 701,296 |
U.S. government-sponsored agencies |  | 1,020 |  |  | — |  |  | — |  |  | (40) |  |  | 980 |
State, county and municipal securities |  | 28,136 |  |  | — |  |  | 5 |  |  | (1,137) |  |  | 27,004 |
Corporate debt securities |  | 10,946 |  |  | (73) |  |  | — |  |  | (859) |  |  | 10,014 |
SBA pool securities |  | 80,164 |  |  | — |  |  | 2 |  |  | (1,737) |  |  | 78,429 |
Mortgage-backed securities |  | 631,284 |  |  | — |  |  | 24 |  |  | (34,612) |  |  | 596,696 |
Total debt securities available-for-sale |  | $ | 1,464,535 |  |  | $ | (73) |  |  | $ | 39 |  |  | $ | (50,082) |  |  | $ | 1,414,419 |
December 31, 2023 |  |  |  |  |  |  |  |  |  |
U.S. Treasuries |  | $ | 732,636 |  |  | $ | — |  |  | $ | 34 |  |  | $ | (11,793) |  |  | $ | 720,877 |
U.S. government-sponsored agencies |  | 1,023 |  |  | — |  |  | — |  |  | (38) |  |  | 985 |
State, county and municipal securities |  | 28,986 |  |  | — |  |  | 9 |  |  | (944) |  |  | 28,051 |
Corporate debt securities |  | 10,946 |  |  | (69) |  |  | — |  |  | (850) |  |  | 10,027 |
SBA pool securities |  | 53,033 |  |  | — |  |  | 2 |  |  | (1,519) |  |  | 51,516 |
Mortgage-backed securities |  | 621,013 |  |  | — |  |  | 67 |  |  | (29,592) |  |  | 591,488 |
Total debt securities available-for-sale |  | $ | 1,447,637 |  |  | $ | (69) |  |  | $ | 112 |  |  | $ | (44,736) |  |  | $ | 1,402,944 |
The amortized cost and estimated fair value of securities held-to-maturity along with gross unrealized gains and losses are summarized as follows:
(dollars in thousands) Securities held-to-maturity |  | Amortized Cost |  | Gross Unrealized Gains |  | Gross Unrealized Losses |  | Estimated Fair Value
March 31, 2024 |  |  |  |  |  |  |  |
State, county and municipal securities |  | $ | 33,668 |  |  | $ | 2 |  |  | $ | (5,693) |  |  | $ | 27,977 |
Mortgage-backed securities |  | 113,354 |  |  | 29 |  |  | (14,779) |  |  | 98,604 |
Total debt securities held-to-maturity |  | $ | 147,022 |  |  | $ | 31 |  |  | $ | (20,472) |  |  | $ | 126,581 |
December 31, 2023 |  |  |  |  |  |  |  |
State, county and municipal securities |  | $ | 31,905 |  |  | $ | — |  |  | $ | (5,051) |  |  | $ | 26,854 |
Mortgage-backed securities |  | 109,607 |  |  | — |  |  | (13,730) |  |  | 95,877 |
Total debt securities held-to-maturity |  | $ | 141,512 |  |  | $ | — |  |  | $ | (18,781) |  |  | $ | 122,731 |
The amortized cost and estimated fair value of debt securities available-for-sale and held-to-maturity as of March 31, 2024, by contractual maturity are shown below. Maturities may differ from contractual maturities in mortgage-backed securities because the mortgages underlying these securities may be called or repaid without penalty. Therefore, these securities are not included in the maturity categories in the following maturity summary:
| Available-for-Sale |  | Held-to-Maturity
(dollars in thousands) | Amortized Cost |  | Estimated Fair Value |  | Amortized Cost |  | Estimated Fair Value
Due in one year or less | $ | 306,980 |  |  | $ | 305,330 |  |  | $ | — |  |  | $ | — |
Due from one year to five years | 440,409 |  |  | 429,292 |  |  | — |  |  | — |
Due from five to ten years | 73,709 |  |  | 72,350 |  |  | — |  |  | — |
Due after ten years | 12,153 |  |  | 10,751 |  |  | 33,668 |  |  | 27,977 |
Mortgage-backed securities | 631,284 |  |  | 596,696 |  |  | 113,354 |  |  | 98,604 |
| $ | 1,464,535 |  |  | $ | 1,414,419 |  |  | $ | 147,022 |  |  | $ | 126,581 |
Securities with a carrying value of approximately $459.4 million and $532.6 million at March 31, 2024 and December 31, 2023, respectively, serve as collateral to secure public deposits and for other purposes required or permitted by law. The following table shows the gross unrealized losses and estimated fair value of available-for-sale securities aggregated by category and length of time that securities have been in a continuous unrealized loss position at March 31, 2024 and December 31, 2023:
|  | Less Than 12 Months |  | 12 Months or More |  | Total
(dollars in thousands) Securities available-for-sale |  | Estimated Fair Value |  | Unrealized Losses |  | Estimated Fair Value |  | Unrealized Losses |  | Estimated Fair Value |  | Unrealized Losses
March 31, 2024 |  |  |  |  |  |  |  |  |  |  |  |
U.S. Treasuries |  | $ | 133,526 |  |  | $ | (1,129) |  |  | $ | 562,763 |  |  | $ | (10,568) |  |  | $ | 696,289 |  |  | $ | (11,697) |
U.S. government-sponsored agencies |  | — |  |  | — |  |  | 980 |  |  | (40) |  |  | 980 |  |  | (40) |
State, county and municipal securities |  | 5,362 |  |  | (10) |  |  | 19,502 |  |  | (1,127) |  |  | 24,864 |  |  | (1,137) |
Corporate debt securities |  | 499 |  |  | (1) |  |  | 8,515 |  |  | (858) |  |  | 9,014 |  |  | (859) |
SBA pool securities |  | 58,947 |  |  | (147) |  |  | 19,333 |  |  | (1,590) |  |  | 78,280 |  |  | (1,737) |
Mortgage-backed securities |  | 47,179 |  |  | (289) |  |  | 548,200 |  |  | (34,323) |  |  | 595,379 |  |  | (34,612) |
Total debt securities available-for-sale |  | $ | 245,513 |  |  | $ | (1,576) |  |  | $ | 1,159,293 |  |  | $ | (48,506) |  |  | $ | 1,404,806 |  |  | $ | (50,082) |
December 31, 2023 |  |  |  |  |  |  |  |  |  |  |  |
U.S. Treasuries |  | $ | 159,667 |  |  | $ | (827) |  |  | $ | 537,313 |  |  | $ | (10,966) |  |  | $ | 696,980 |  |  | $ | (11,793) |
U.S. government sponsored agencies |  | — |  |  | — |  |  | 985 |  |  | (38) |  |  | 985 |  |  | (38) |
State, county and municipal securities |  | 1,923 |  |  | — |  |  | 19,754 |  |  | (944) |  |  | 21,677 |  |  | (944) |
Corporate debt securities |  | 500 |  |  | — |  |  | 8,527 |  |  | (850) |  |  | 9,027 |  |  | (850) |
SBA pool securities |  | 42 |  |  | — |  |  | 21,267 |  |  | (1,519) |  |  | 21,309 |  |  | (1,519) |
Mortgage-backed securities |  | 126 |  |  | — |  |  | 566,707 |  |  | (29,592) |  |  | 566,833 |  |  | (29,592) |
Total debt securities available-for-sale |  | $ | 162,258 |  |  | $ | (827) |  |  | $ | 1,154,553 |  |  | $ | (43,909) |  |  | $ | 1,316,811 |  |  | $ | (44,736) |
As of March 31, 2024, the Company’s available-for-sale security portfolio consisted of 409 securities, 400 of which were in an unrealized loss position. At March 31, 2024, the Company held 309 mortgage-backed securities that were in an unrealized loss position, all of which were issued by U.S. government-sponsored entities and agencies. At March 31, 2024, the Company held 33 U.S. Small Business Administration (“SBA”) pool securities, 24 state, county and municipal securities, seven corporate securities, one U.S. government-sponsored agency security, and 26 U.S. Treasury securities that were in an unrealized loss position. The following table shows the gross unrealized losses and estimated fair value of held-to-maturity securities aggregated by category and length of time that securities have been in a continuous unrealized loss position at March 31, 2024 and December 31, 2023:
|  | Less Than 12 Months |  | 12 Months or More |  | Total
(dollars in thousands) Securities held-to-maturity |  | Estimated Fair Value |  | Unrealized Losses |  | Estimated Fair Value |  | Unrealized Losses |  | Estimated Fair Value |  | Unrealized Losses
March 31, 2024 |  |  |  |  |  |  |  |  |  |  |  |
State, county and municipal securities |  | $ | 453 |  |  | $ | (6) |  |  | $ | 26,217 |  |  | $ | (5,687) |  |  | $ | 26,670 |  |  | $ | (5,693) |
Mortgage-backed securities |  | 8,282 |  |  | (266) |  |  | 85,738 |  |  | (14,513) |  |  | 94,020 |  |  | (14,779) |
Total debt securities held-to-maturity |  | $ | 8,735 |  |  | $ | (272) |  |  | $ | 111,955 |  |  | $ | (20,200) |  |  | $ | 120,690 |  |  | $ | (20,472) |
December 31, 2023 |  |  |  |  |  |  |  |  |  |  |  |
State, county and municipal securities |  | $ | — |  |  | $ | — |  |  | $ | 26,854 |  |  | $ | (5,051) |  |  | $ | 26,854 |  |  | $ | (5,051) |
Mortgage-backed securities |  | 13,612 |  |  | (227) |  |  | 82,265 |  |  | (13,503) |  |  | 95,877 |  |  | (13,730) |
Total debt securities held-to-maturity |  | $ | 13,612 |  |  | $ | (227) |  |  | $ | 109,119 |  |  | $ | (18,554) |  |  | $ | 122,731 |  |  | $ | (18,781) |
As of March 31, 2024, the Company’s held-to-maturity security portfolio consisted of 30 securities, 28 of which were in an unrealized loss position. At March 31, 2024, the Company held 21 mortgage-backed securities and seven state, county and municipal securities that were in an unrealized loss position. At March 31, 2024 and December 31, 2023, all of the Company’s mortgage-backed securities were obligations of government-sponsored agencies. Management and the Company’s Asset and Liability Committee (the “ALCO Committee”) evaluate available-for-sale securities in an unrealized loss position on at least a quarterly basis, and more frequently when economic or market concerns warrant such evaluation, to determine if credit-related impairment exists. Management first evaluates whether they intend to sell or more likely than not will be required to sell an impaired security before recovering its amortized cost basis. If either criteria is met, the entire amount of unrealized loss is recognized in earnings with a corresponding adjustment to the security's amortized cost basis. If either of the above criteria is not met, management evaluates whether the decline in fair value is attributable to credit or resulted from other factors. The Company does not intend to sell these available-for-sale investment securities at an unrealized loss position at March 31, 2024, and it is more likely than not that the Company will not be required to sell these securities prior to recovery or maturity. Based on the results of management's review, at March 31, 2024, management determined that $73,000 was attributable to credit impairment and an allowance for credit losses was recorded. The remaining $50.1 million in unrealized loss was determined to be from factors other than credit.
(dollars in thousands) | Three Months Ended March 31, |  |
Allowance for credit losses | 2024 |  | 2023 |  |  |  |
Beginning balance | $ | 69 |  |  | $ | 75 |  |  |  |  |
Provision for other credit losses | 4 |  |  | 7 |  |  |  |  |
Ending balance | $ | 73 |  |  | $ | 82 |  |  |  |  |
The Company's held-to-maturity securities have no expected credit losses, and no related allowance for credit losses has been established. Total net gain (loss) on securities reported on the consolidated statements of income and comprehensive income is comprised of the following for the three months ended March 31, 2024 and 2023:
| Three Months Ended March 31, |  |
(dollars in thousands) | 2024 |  | 2023 |  |  |  |
Unrealized holding gains (losses) on equity securities | $ | (7) |  |  | $ | 6 |  |  |  |  |
Net gain (loss) on securities | $ | (7) |  |  | $ | 6 |  |  |  |  |

X
- References No definition available. + Details
Name: | us-gaap_InvestmentsDebtAndEquitySecuritiesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for investments in certain debt and equity securities. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 320 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//320/tableOfContent Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 320 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 10 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481800/320-10-50-10 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 6B -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482106/820-10-50-6B Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 6B -Subparagraph (c) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482106/820-10-50-6B Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Name Regulation S-K (SK) -Number 229 -Section 1403 -Paragraph (b) -Publisher SEC Reference 6: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 946 -SubTopic 320 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//946-320/tableOfContent Reference 7: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 940 -SubTopic 320 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//940-320/tableOfContent Reference 8: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 942 -SubTopic 320 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//942-320/tableOfContent + Details
Name: | us-gaap_InvestmentsInDebtAndMarketableEquitySecuritiesAndCertainTradingAssetsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration