XML 21 R11.htm IDEA: XBRL DOCUMENT
v3.10.0.1

Securities | 6 Months Ended
--- | ---
Jun. 30, 2018
Investments, Debt and Equity Securities [Abstract] |
SECURITIES | The following table presents the fair values of our securities portfolio at the dates presented:
(dollars in thousands) | June 30, 2018 |  | December 31, 2017
Debt securities available for sale |  | $ | 682,916 |  |  |  | $ | 693,147 |
Marketable equity securities |  | 5,425 |  |  |  | 5,144 |
Total Securities |  | $ | 688,341 |  |  |  | $ | 698,291 |
Debt Securities Available for Sale The following tables present the amortized cost and fair value of debt securities available for sale as of June 30, 2018 and debt and equity securities available for sale as of December 31, 2017:
| June 30, 2018 |  | December 31, 2017
(dollars in thousands) | Amortized Cost |  |  | Gross Unrealized Gains |  |  | Gross Unrealized Losses |  |  | Fair Value |  |  | Amortized Cost |  |  | Gross Unrealized Gains |  |  | Gross Unrealized Losses |  |  | Fair Value |
U.S. Treasury securities |  | $ | 9,953 |  |  |  | $ | — |  |  |  | $ | (334 | ) |  |  | $ | 9,619 |  |  |  | $ | 19,943 |  |  |  | $ | — |  |  |  | $ | (154 | ) |  |  | $ | 19,789 |
Obligations of U.S. government corporations and agencies |  | 156,812 |  |  |  | 16 |  |  |  | (1,759 | ) |  |  | 155,069 |  |  |  | 162,045 |  |  |  | 341 |  |  |  | (193 | ) |  |  | 162,193 |
Collateralized mortgage obligations of U.S. government corporations and agencies |  | 121,631 |  |  |  | 61 |  |  |  | (2,950 | ) |  |  | 118,742 |  |  |  | 109,916 |  |  |  | 93 |  |  |  | (1,321 | ) |  |  | 108,688 |
Residential mortgage-backed securities of U.S. government corporations and agencies |  | 28,662 |  |  |  | 309 |  |  |  | (529 | ) |  |  | 28,442 |  |  |  | 32,388 |  |  |  | 679 |  |  |  | (213 | ) |  |  | 32,854 |
Commercial mortgage-backed securities of U.S. government corporations and agencies (1) |  | 254,458 |  |  |  | — |  |  |  | (7,330 | ) |  |  | 247,128 |  |  |  | 244,018 |  |  |  | 247 |  |  |  | (2,044 | ) |  |  | 242,221 |
Obligations of states and political subdivisions |  | 121,492 |  |  |  | 2,472 |  |  |  | (48 | ) |  |  | 123,916 |  |  |  | 123,159 |  |  |  | 4,285 |  |  |  | (42 | ) |  |  | 127,402 |
Total Debt Securities Available-for-Sale |  | 693,008 |  |  |  | 2,858 |  |  |  | (12,950 | ) |  |  | 682,916 |  |  |  | 691,469 |  |  |  | 5,645 |  |  |  | (3,967 | ) |  |  | 693,147 |
Total equity securities (2) |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3,815 |  |  |  | 1,330 |  |  |  | (1 | ) |  |  | 5,144 |
Total Securities |  | $ | 693,008 |  |  |  | $ | 2,858 |  |  |  | $ | (12,950 | ) |  |  | $ | 682,916 |  |  |  | $ | 695,284 |  |  |  | $ | 6,975 |  |  |  | $ | (3,968 | ) |  |  | $ | 698,291 |
(1) Includes a $5.9 million security purchase that was pending settlement as of December 31, 2017. (2) ASU No. 2016-01 was adopted January 1, 2018, resulting in separate classification of our marketable equity securities previously included in available-for-sale securities. The following tables present the fair value and the age of gross unrealized losses on debt securities available for sale by investment category as of the dates presented:
| June 30, 2018
| Less Than 12 Months |  | 12 Months or More |  | Total
(dollars in thousands) | Number of Securities |  |  | Fair Value |  |  | Unrealized Losses |  |  | Number of Securities |  |  | Fair Value |  |  | Unrealized Losses |  |  | Number of Securities |  |  | Fair Value |  |  | Unrealized Losses |
U.S. Treasury securities |  | 1 |  |  | $ | 9,618 |  |  |  | $ | (334 | ) |  |  | — |  |  | $ | — |  |  |  | $ | — |  |  |  | 1 |  |  | $ | 9,618 |  |  |  | $ | (334 | )
Obligations of U.S. government corporations and agencies |  | 16 |  |  | 129,180 |  |  |  | (1,728 | ) |  |  | 2 |  |  | 10,993 |  |  |  | (31 | ) |  |  | 18 |  |  | 140,173 |  |  |  | (1,759 | )
Collateralized mortgage obligations of U.S. government corporations and agencies |  | 10 |  |  | 66,019 |  |  |  | (1,067 | ) |  |  | 7 |  |  | 41,018 |  |  |  | (1,883 | ) |  |  | 17 |  |  | 107,037 |  |  |  | (2,950 | )
Residential mortgage-backed securities of U.S. government corporations and agencies |  | 3 |  |  | 4,803 |  |  |  | (131 | ) |  |  | 2 |  |  | 7,721 |  |  |  | (398 | ) |  |  | 5 |  |  | 12,524 |  |  |  | (529 | )
Commercial mortgage-backed securities of U.S. government corporations and agencies |  | 22 |  |  | 199,634 |  |  |  | (5,190 | ) |  |  | 5 |  |  | 47,494 |  |  |  | (2,140 | ) |  |  | 27 |  |  | 247,128 |  |  |  | (7,330 | )
Obligations of states and political subdivisions |  | 5 |  |  | 23,109 |  |  |  | (48 | ) |  |  | — |  |  | — |  |  |  | — |  |  |  | 5 |  |  | 23,109 |  |  |  | (48 | )
Total Temporarily Impaired Debt Securities |  | 57 |  |  | $ | 432,363 |  |  |  | $ | (8,498 | ) |  |  | 16 |  |  | $ | 107,226 |  |  |  | $ | (4,452 | ) |  |  | 73 |  |  | $ | 539,589 |  |  |  | $ | (12,950 | )
| December 31, 2017
| Less Than 12 Months |  | 12 Months or More |  | Total
(dollars in thousands) | Number of Securities |  | Fair Value |  |  | Unrealized Losses |  |  | Number of Securities |  | Fair Value |  |  | Unrealized Losses |  |  | Number of Securities |  | Fair Value |  |  | Unrealized Losses |
U.S. Treasury securities | 3 |  | $ | 19,789 |  |  | $ | (154 | ) |  | — |  | $ | — |  |  | $ | — |  |  | 3 |  | $ | 19,789 |  |  | $ | (154 | )
Obligations of U.S. government corporations and agencies | 9 |  | 63,635 |  |  | (144 | ) |  | 1 |  | 10,017 |  |  | (49 | ) |  | 10 |  | 73,652 |  |  | (193 | )
Collateralized mortgage obligations of U.S. government corporations and agencies | 7 |  | 47,465 |  |  | (248 | ) |  | 7 |  | 45,809 |  |  | (1,073 | ) |  | 14 |  | 93,274 |  |  | (1,321 | )
Residential mortgage-backed securities of U.S. government corporations and agencies | 1 |  | 2,333 |  |  | (10 | ) |  | 2 |  | 8,638 |  |  | (203 | ) |  | 3 |  | 10,971 |  |  | (213 | )
Commercial mortgage-backed securities of U.S. government corporations and agencies | 14 |  | 128,300 |  |  | (775 | ) |  | 5 |  | 48,746 |  |  | (1,269 | ) |  | 19 |  | 177,046 |  |  | (2,044 | )
Obligations of states and political subdivisions | 2 |  | 10,330 |  |  | (42 | ) |  | — |  | — |  |  | — |  |  | 2 |  | 10,330 |  |  | (42 | )
Total Temporarily Impaired Debt Securities | 36 |  | $ | 271,852 |  |  | $ | (1,373 | ) |  | 15 |  | $ | 113,210 |  |  | $ | (2,594 | ) |  | 51 |  | $ | 385,062 |  |  | $ | (3,967 | )
We do not believe any individual unrealized loss as of June 30, 2018 represents an other than temporary impairment, or OTTI. At June 30, 2018 there were 73 debt securities and at December 31, 2017 there were 51 debt securities in an unrealized loss position. The unrealized losses on debt securities were primarily attributable to changes in interest rates and not related to the credit quality of these securities. All debt securities were determined to be investment grade and paying principal and interest according to the contractual terms of the security. We do not intend to sell and it is more likely than not that we will not be required to sell any of the securities in an unrealized loss position before recovery of their amortized cost. The following table presents net unrealized gains and losses, net of tax, on debt securities available-for-sale included in accumulated other comprehensive income/(loss), for the periods presented:
| June 30, 2018 |  | December 31, 2017
(dollars in thousands) | Gross Unrealized Gains |  |  | Gross Unrealized Losses |  |  | Net Unrealized Gains/ (Losses) |  |  | Gross Unrealized Gains |  |  | Gross Unrealized Losses |  |  | Net Unrealized Gains/ (Losses) |
Total unrealized gains (losses) on debt securities available-for-sale | $ | 2,858 |  |  | $ | (12,950 | ) |  | $ | (10,092 | ) |  | $ | 5,645 |  |  | $ | (3,967 | ) |  | $ | 1,678 |
Income tax (expense) benefit | (607 | ) |  | 2,750 |  |  | 2,143 |  |  | (1,982 | ) |  | 1,393 |  |  | (589 | )
Net Unrealized Gains/(Losses), Net of Tax Included in Accumulated Other Comprehensive Income/(Loss) | $ | 2,251 |  |  | $ | (10,200 | ) |  | $ | (7,949 | ) |  | $ | 3,663 |  |  | $ | (2,574 | ) |  | $ | 1,089 |
The amortized cost and fair value of debt securities available-for-sale at June 30, 2018 by contractual maturity are included in the table below. Actual maturities may differ from contractual maturities because issuers may have the right to call or prepay obligations with or without call or prepayment penalties.
| June 30, 2018
(dollars in thousands) | Amortized Cost |  |  | Fair Value |
Obligations of the U.S. Treasury, U.S. government corporations and agencies, and obligations of states and political subdivisions |  |  |
Due in one year or less | $ | 33,878 |  |  | $ | 33,888 |
Due after one year through five years | 152,588 |  |  | 152,374 |
Due after five years through ten years | 73,099 |  |  | 72,961 |
Due after ten years | 28,692 |  |  | 29,381 |
| 288,257 |  |  | 288,604 |
Collateralized mortgage obligations of U.S. government corporations and agencies | 121,631 |  |  | 118,742 |
Residential mortgage-backed securities of U.S. government corporations and agencies | 28,662 |  |  | 28,442 |
Commercial mortgage-backed securities of U.S. government corporations and agencies | 254,458 |  |  | 247,128 |
Total Debt Securities Available-for-Sale | $ | 693,008 |  |  | $ | 682,916 |
At June 30, 2018 and December 31, 2017, debt securities with carrying values of $231 million and $249 million were pledged for various regulatory and legal requirements. Marketable Equity Securities The following table presents realized and unrealized net gains and losses for our marketable equity securities for the periods presented:
| Three Months Ended June 30, |  | Six Months Ended June 30,
(dollars in thousands) | 2018 |  |  | 2017 |  |  | 2018 |  |  | 2017 |
Marketable Equity Securities |  |  |  |  |  |  |
Net market gains/(losses) recognized | $ | 230 |  |  | $ | 4,121 |  |  | $ | 282 |  |  | $ | 5,224 |
Less: Net gains/(losses) recognized for equity securities sold | — |  |  | 3,617 |  |  | — |  |  | 3,987 |
Unrealized Gains/(Losses) on Equity Securities Still Held | $ | 230 |  |  | $ | 504 |  |  | $ | 282 |  |  | $ | 1,237 |
Prior to January 1, 2018, net unrealized gains and losses, net of tax, on marketable equity securities were included in AOCI for the periods presented. Net unrealized gains and losses, net of tax on marketable equity securities of $0.9 million were reclassified from AOCI to retained earnings at January 1, 2018.

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://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 320 -URI http://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 http://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 http://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 http://asc.fasb.org/subtopic&trid=2176304 + Details
Name: | us-gaap_InvestmentsInDebtAndMarketableEquitySecuritiesAndCertainTradingAssetsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration