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Debt Securities | 9 Months Ended
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Sep. 30, 2022
Investments, Debt and Equity Securities [Abstract] |
Debt Securities | Debt Securities The tables below provide the amortized cost, unrealized gains and losses, and fair values of debt securities summarized by major category (dollars in thousands):
| As of September 30, 2022
| Amortized Cost |  | Unrealized |  | Fair Value
Gross Gains |  | Gross Losses
Debt securities available for sale |  |  |  |  |  |  |
U.S. Treasury securities | $ | 145,495 |  |  | $ | — |  |  | $ | (4,653) |  |  | $ | 140,842 |
Obligations of U.S. government corporations and agencies | 25,287 |  |  | 4 |  |  | (358) |  |  | 24,933 |
Obligations of states and political subdivisions | 298,653 |  |  | 35 |  |  | (27,853) |  |  | 270,835 |
Asset-backed securities | 490,076 |  |  | — |  |  | (23,552) |  |  | 466,524 |
Commercial mortgage-backed securities | 98,719 |  |  | — |  |  | (10,968) |  |  | 87,751 |
Residential mortgage-backed securities | 1,538,308 |  |  | 1 |  |  | (233,995) |  |  | 1,304,314 |
Corporate debt securities | 279,310 |  |  | 20 |  |  | (27,488) |  |  | 251,842 |
Total debt securities available for sale | $ | 2,875,848 |  |  | $ | 60 |  |  | $ | (328,867) |  |  | $ | 2,547,041 |
Debt securities held to maturity |  |  |  |  |  |  |
Commercial mortgage-backed securities | $ | 486,116 |  |  | $ | — |  |  | $ | (60,341) |  |  | $ | 425,775 |
Residential mortgage-backed securities | 450,212 |  |  | — |  |  | (67,102) |  |  | 383,110 |
Total debt securities held to maturity | $ | 936,328 |  |  | $ | — |  |  | $ | (127,443) |  |  | $ | 808,885 |
| As of December 31, 2021
| Amortized Cost |  | Unrealized |  | Fair Value
Gross Gains |  | Gross Losses
Debt securities available for sale |  |  |  |  |  |  |
U.S. Treasury securities | $ | 166,768 |  |  | $ | 41 |  |  | $ | (1,047) |  |  | $ | 165,762 |
Obligations of U.S. government corporations and agencies | 37,579 |  |  | 891 |  |  | — |  |  | 38,470 |
Obligations of states and political subdivisions | 300,602 |  |  | 7,760 |  |  | (1,493) |  |  | 306,869 |
Asset-backed securities | 492,055 |  |  | 295 |  |  | (164) |  |  | 492,186 |
Commercial mortgage-backed securities | 625,339 |  |  | 3,425 |  |  | (13,766) |  |  | 614,998 |
Residential mortgage-backed securities | 2,095,104 |  |  | 8,889 |  |  | (34,680) |  |  | 2,069,313 |
Corporate debt securities | 296,076 |  |  | 1,081 |  |  | (3,504) |  |  | 293,653 |
Total debt securities available for sale | $ | 4,013,523 |  |  | $ | 22,382 |  |  | $ | (54,654) |  |  | $ | 3,981,251 |
Maturities of debt securities Amortized cost and fair value of debt securities, by contractual maturity or pre-refunded date, are shown below. Mortgages underlying mortgage-backed securities and asset-backed securities may be called or prepaid; therefore, actual maturities could differ from the contractual maturities. All mortgage-backed securities were issued by U.S. government corporations and agencies (dollars in thousands):
| As of September 30, 2022
| Amortized Cost |  | Fair Value
Debt securities available for sale |  |  |
Due in one year or less | $ | 176,516 |  |  | $ | 174,227 |
Due after one year through five years | 410,372 |  |  | 379,095 |
Due after five years through ten years | 353,968 |  |  | 319,381 |
Due after ten years | 1,934,992 |  |  | 1,674,338 |
Debt securities available for sale | $ | 2,875,848 |  |  | $ | 2,547,041 |
Debt securities held to maturity |  |  |
Due after one year through five years | 46,961 |  |  | 43,738 |
Due after five years through ten years | 65,516 |  |  | 58,346 |
Due after ten years | 823,851 |  |  | 706,801 |
Debt securities held to maturity | $ | 936,328 |  |  | $ | 808,885 |
Gains and losses on debt securities Realized gains and losses related to sales and calls of debt securities available for sale are summarized as follows (dollars in thousands):
| Three Months Ended September 30, |  | Nine Months Ended September 30,
| 2022 |  | 2021 |  | 2022 |  | 2021
Realized gains and losses on debt securities |  |  |  |  |  |  |
Gross gains on debt securities | $ | — |  |  | $ | — |  |  | $ | 114 |  |  | $ | 524 |
Gross (losses) on debt securities | (74) |  | (5) |  | (86) |  | (410)
Realized net gains (losses) on debt securities 1 | $ | (74) |  |  | $ | (5) |  |  | $ | 28 |  |  | $ | 114 |
1.Net gains (losses) on sales of securities reported in the unaudited Consolidated Statements of Income include sales of equity securities, excluded in this table. Debt securities with carrying amounts of $675.8 million on September 30, 2022, and $708.9 million on December 31, 2021, were pledged as collateral for public deposits, securities sold under agreements to repurchase, and for other purposes as required. Debt securities in an unrealized loss position The following information pertains to debt securities with gross unrealized losses, aggregated by investment category and the length of time that individual securities have been in a continuous loss position (dollars in thousands):
| As of September 30, 2022
| Less than 12 months |  | 12 months or more |  | Total
| Fair Value |  | Unrealized Losses |  | Fair Value |  | Unrealized Losses |  | Fair Value |  | Unrealized Losses
Debt securities available for sale |  |  |  |  |  |  |  |  |  |  |
U.S. Treasury securities | $ | 2,067 |  |  | $ | (5) |  |  | $ | 138,775 |  |  | $ | (4,648) |  |  | $ | 140,842 |  |  | $ | (4,653) |
Obligations of U.S. government corporations and agencies | 21,629 |  |  | (358) |  |  | — |  |  | — |  |  | 21,629 |  |  | (358) |
Obligations of states and political subdivisions | 220,960 |  |  | (20,029) |  |  | 41,779 |  |  | (7,824) |  |  | 262,739 |  |  | (27,853) |
Asset-backed securities | 441,896 |  |  | (21,681) |  |  | 24,628 |  |  | (1,871) |  |  | 466,524 |  |  | (23,552) |
Commercial mortgage-backed securities | 74,334 |  |  | (8,761) |  |  | 13,417 |  |  | (2,207) |  |  | 87,751 |  |  | (10,968) |
Residential mortgage-backed securities | 557,046 |  |  | (72,807) |  |  | 747,141 |  |  | (161,188) |  |  | 1,304,187 |  |  | (233,995) |
Corporate debt securities | 75,608 |  |  | (9,426) |  |  | 173,266 |  |  | (18,062) |  |  | 248,874 |  |  | (27,488) |
Debt securities available for sale with gross unrealized losses | $ | 1,393,540 |  |  | $ | (133,067) |  |  | $ | 1,139,006 |  |  | $ | (195,800) |  |  | $ | 2,532,546 |  |  | $ | (328,867) |
Debt securities held to maturity |  |  |  |  |  |  |  |  |  |  |
Commercial mortgage-backed securities | $ | 109,085 |  |  | $ | (15,592) |  |  | $ | 316,690 |  |  | $ | (44,749) |  |  | $ | 425,775 |  |  | $ | (60,341) |
Residential mortgage-backed securities | 162,575 |  |  | (29,243) |  |  | 220,535 |  |  | (37,859) |  |  | 383,110 |  |  | (67,102) |
Debt securities held to maturity with gross unrealized losses | $ | 271,660 |  |  | $ | (44,835) |  |  | $ | 537,225 |  |  | $ | (82,608) |  |  | $ | 808,885 |  |  | $ | (127,443) |
| As of December 31, 2021
| Less than 12 months |  | 12 months or more |  | Total
| Fair Value |  | Unrealized Losses |  | Fair Value |  | Unrealized Losses |  | Fair Value |  | Unrealized Losses
Debt securities available for sale |  |  |  |  |  |  |  |  |  |  |
U.S. Treasury securities | $ | 163,653 |  |  | $ | (1,047) |  |  | $ | — |  |  | $ | — |  |  | $ | 163,653 |  |  | $ | (1,047) |
Obligations of states and political subdivisions | 92,680 |  |  | (1,493) |  |  | — |  |  | — |  |  | 92,680 |  |  | (1,493) |
Asset-backed securities | 89,983 |  |  | (164) |  |  | — |  |  | — |  |  | 89,983 |  |  | (164) |
Commercial mortgage-backed securities | 389,078 |  |  | (10,186) |  |  | 85,905 |  |  | (3,580) |  |  | 474,983 |  |  | (13,766) |
Residential mortgage-backed securities | 1,700,187 |  |  | (33,453) |  |  | 20,538 |  |  | (1,227) |  |  | 1,720,725 |  |  | (34,680) |
Corporate debt securities | 241,153 |  |  | (3,504) |  |  | — |  |  | — |  |  | 241,153 |  |  | (3,504) |
Debt securities available for sale with gross unrealized losses | $ | 2,676,734 |  |  | $ | (49,847) |  |  | $ | 106,443 |  |  | $ | (4,807) |  |  | $ | 2,783,177 |  |  | $ | (54,654) |
Additional information about debt securities in an unrealized loss position is presented in the tables below (dollars in thousands):
| As of September 30, 2022
| Available for Sale |  | Held to Maturity |  | Total
Debt securities with gross unrealized losses, fair value | $ | 2,532,546 |  |  | $ | 808,885 |  |  | $ | 3,341,431 |
Gross unrealized losses on debt securities | $ | 328,867 |  |  | $ | 127,443 |  |  | $ | 456,310 |
Ratio of gross unrealized losses to debt securities with gross unrealized losses | 13.0 | % |  | 15.8 | % |  | 13.7 | %
Count of debt securities | 1,145 |  |  | 55 |  |  | 1,200 |
Count of debt securities in an unrealized loss position | 1,109 |  |  | 55 |  |  | 1,164 |
| As of December 31, 2021
| Available for Sale |  | Held to Maturity |  | Total
Debt securities with gross unrealized losses, fair value | $ | 2,783,177 |  |  | $ | — |  |  | $ | 2,783,177 |
Gross unrealized losses on debt securities | $ | 54,654 |  |  | $ | — |  |  | $ | 54,654 |
Ratio of gross unrealized losses to debt securities with gross unrealized losses | 2.0 | % |  | — |  |  | 2.0 | %
Count of debt securities | 1,252 |  |  | — |  |  | 1,252 |
Count of debt securities in an unrealized loss position | 373 |  |  | — |  |  | 373 |
Unrealized losses were related to changes in market interest rates and market conditions that do not represent credit-related impairments. The Company does not intend to sell securities that are in an unrealized loss position, and it is more likely than not that the Company will recover the amortized cost prior to being required to sell the debt securities. Full collection of the amounts due according to the contractual terms of the debt securities is expected; therefore, no ACL was recorded in relation to debt securities, and the impairment related to noncredit factors is recognized in AOCI, net of applicable taxes. As of September 30, 2022, the Company did not hold general obligation bonds of any single issuer, the aggregate of which exceeded 10% of the Company’s stockholders’ equity.

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- Definition The entire disclosure for investments in certain debt and equity securities. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 320 -URI https://asc.fasb.org/subtopic&trid=2209399 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 946 -SubTopic 320 -URI https://asc.fasb.org/subtopic&trid=2324412 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 320 -URI https://asc.fasb.org/topic&trid=2196928 Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 940 -SubTopic 320 -URI https://asc.fasb.org/subtopic&trid=2176304 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher SEC -Name Regulation S-K (SK) -Number 229 -Section 1403 -Paragraph (b) + Details
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