
(dollars in thousands)	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Allowance for Credit Losses		Estimated Fair Value
June 30, 2024
Investment securities available-for-sale:
U.S. treasury bonds	$	49,944	$	—	$	(1,223)	$	—	$	48,721
U.S. agency securities	696,652		—		(55,685)		—		640,967
Residential mortgage-backed securities	773,275		30		(101,099)		—		672,206
Commercial mortgage-backed securities	53,868		—		(5,021)		—		48,847
Municipal bonds	8,696		—		(514)		—		8,182
Corporate bonds	2,000		—		(288)		(17)		1,695

Total available-for-sale securities	$	1,584,435	$	30	$	(163,830)	$	(17)	$	1,420,618


(dollars in thousands)	Amortized Cost		Gross Unrecognized Gains		Gross Unrecognized Losses		Estimated Fair Value
June 30, 2024
Investment securities held-to-maturity:


Residential mortgage-backed securities	$	638,039	$	—	$	(89,274)	$	548,765
Commercial mortgage-backed securities	89,674		—		(13,058)		76,616
Municipal bonds	124,895		—		(11,259)		113,636
Corporate bonds	132,359		—		(15,101)		117,258

Total	$	984,967	$	—	$	(128,692)	$	856,275
Allowance for credit losses	(2,012)
Total held-to-maturity securities, net of ACL	$	982,955


(dollars in thousands)	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Allowance for Credit Losses		Estimated Fair Value
December 31, 2023
Investment securities available-for-sale:
U.S. treasury bonds	$	49,894	$	—	$	(1,993)	$	—	$	47,901
U.S. agency securities	729,090		—		(57,693)		—		671,397
Residential mortgage-backed securities	823,992		45		(96,684)		—		727,353
Commercial mortgage-backed securities	54,557		—		(4,993)		—		49,564
Municipal bonds	8,783		—		(293)		—		8,490
Corporate bonds	2,000		—		(300)		(17)		1,683
Total available-for-sale securities	$	1,668,316	$	45	$	(161,956)	$	(17)	$	1,506,388


(dollars in thousands)	Amortized Cost		Gross Unrecognized Gains		Gross Unrecognized Losses		Estimated Fair Value
December 31, 2023
Investment securities held-to-maturity:


Residential mortgage-backed securities	$	670,043	$	—	$	(79,980)	$	590,063
Commercial mortgage-backed securities	90,227		—		(12,867)		77,360
Municipal bonds	125,114		5		(8,540)		116,579
Corporate bonds	132,309		—		(14,729)		117,580

Total	$	1,017,693	$	5	$	(116,116)	$	901,582
Allowance for credit losses	(1,956)
Total held-to-maturity securities, net of ACL	$	1,015,737

At June 30, 2024 and December 31, 2023, the Company held $54.3 million and $25.7 million, respectively, of equity securities in a combination of Federal Reserve System ("Federal Reserve Board," "Federal Reserve" or "FRB") and FHLB stocks, which are required to be held for regulatory purposes. These securities cannot be disposed of other than through redemption by the issuer and, if redeemed, would be redeemed at the original cost.

At June 30, 2024 and December 31, 2023, the Company had $48.2 million and $51.7 million, respectively, of unamortized unrealized losses outstanding following the transfer of investment securities from AFS to HTM in 2022. These unrealized losses are included in accumulated other comprehensive loss and are amortized through interest income as a yield adjustment over the remaining term of the securities.

Accrued interest receivable on investment securities totaled $7.3 million and $7.6 million at June 30, 2024 and December 31, 2023, respectively. The accrued interest receivable is excluded from the amortized cost of the securities and is reported in other assets in the Consolidated Balance Sheets.


		Less Than 12 Months				12 Months or Greater				Total
(dollars in thousands)	Number of Securities	Estimated Fair Value		Unrealized Losses		Estimated Fair Value		Unrealized Losses		Estimated Fair Value		Unrealized Losses
June 30, 2024
Investment securities available-for-sale:
U.S. treasury bonds	2	$	—	$	—	$	48,721	$	(1,223)	$	48,721	$	(1,223)
U. S. agency securities	76	2,747		—		638,220		(55,685)		640,967		(55,685)
Residential mortgage-backed securities	151	9,560		(112)		662,646		(100,987)		672,206		(101,099)
Commercial mortgage-backed securities	13	—		—		48,847		(5,021)		48,847		(5,021)
Municipal bonds	1	—		—		8,182		(514)		8,182		(514)
Corporate bonds	1	—		—		1,695		(288)		1,695		(288)
Total	244	$	12,307	$	(112)	$	1,408,311	$	(163,718)	$	1,420,618	$	(163,830)


		Less Than 12 Months				12 Months or Greater				Total
(dollars in thousands)	Number of Securities	Estimated Fair Value		Unrecognized Losses		Estimated Fair Value		Unrecognized Losses		Estimated Fair Value		Unrecognized Losses
June 30, 2024
Investment securities held-to-maturity:
Residential mortgage-backed securities	142	$	—	$	—	$	548,765	$	(89,274)	$	548,765	$	(89,274)
Commercial mortgage-backed securities	16	—		—		76,616		(13,058)		76,616		(13,058)
Municipal bonds	42	3,433		(99)		110,203		(11,160)		113,636		(11,259)
Corporate bonds	30	—		—		105,210		(15,101)		105,210		(15,101)
Total	230	$	3,433	$	(99)	$	840,794	$	(128,593)	$	844,227	$	(128,692)


		Less Than 12 Months				12 Months or Greater				Total
(dollars in thousands)	Number of Securities	Estimated Fair Value		Unrealized Losses		Estimated Fair Value		Unrealized Losses		Estimated Fair Value		Unrealized Losses
December 31, 2023
Investment securities available-for-sale:
U.S. treasury bonds	2	$	—	$	—	$	47,901	$	(1,993)	$	47,901	$	(1,993)
U. S. agency securities	78	3,084		(4)		668,313		(57,689)		671,397		(57,693)
Residential mortgage-backed securities	149	—		—		718,042		(96,684)		718,042		(96,684)
Commercial mortgage-backed securities	13	—		—		49,564		(4,993)		49,564		(4,993)
Municipal bonds	1	—		—		8,490		(293)		8,490		(293)
Corporate bonds	1	—		—		1,683		(300)		1,683		(300)
Total	244	$	3,084	$	(4)	$	1,493,993	$	(161,952)	$	1,497,077	$	(161,956)


		Less Than 12 Months				12 Months or Greater				Total
(dollars in thousands)	Number of Securities	Estimated Fair Value		Unrecognized Losses		Estimated Fair Value		Unrecognized Losses		Estimated Fair Value		Unrecognized Losses
December 31, 2023
Investment securities held-to-maturity:
Residential mortgage-backed securities	142	$	—	$	—	$	590,063	$	(79,980)	$	590,063	$	(79,980)
Commercial mortgage-backed securities	16	—		—		77,360		(12,867)		77,360		(12,867)
Municipal bonds	40	—		—		113,031		(8,540)		113,031		(8,540)
Corporate bonds	30	—		—		105,523		(14,729)		105,523		(14,729)
Total	228	$	—	$	—	$	885,977	$	(116,116)	$	885,977	$	(116,116)

Unrealized losses at June 30, 2024 were generally attributable to changes in market interest rates and interest spread relationships subsequent to the dates the securities were originally purchased and were considered to be temporary, and not due to credit quality concerns on the investment securities. The fair values of these securities are expected to recover as the securities approach their respective maturity dates. The Company does not intend to sell and it is likely that it will not be required to sell the securities prior to their anticipated recovery.

The Company measures its AFS and HTM security portfolios for current expected credit losses as part of its ACL analysis. During the three months ended June 30, 2024 and 2023, the provision for credit losses for the HTM securities portfolio was $55 thousand and $2 thousand, respectively. During the six months ended June 30, 2024 and 2023, the provision for credit losses for the HTM securities portfolio was $56 thousand and $1.2 million, respectively. There was no provision for credit losses on the AFS securities portfolio for the three and six months ended June 30, 2024. During the three and six months ended June 30, 2023, the Company recorded a provision reversal of 14 thousand and a provision of $0, respectively. At June 30, 2024 and December 31, 2023, the Company had a total allowance of $17 thousand on its AFS securities and $2.0 million on its HTM securities, each of which primarily comprise allowances for corporate bonds.

The following table summarizes the Company's investment in AFS securities and HTM securities by contractual maturity. Expected maturities for mortgage-backed securities ("MBS") will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.


	June 30, 2024
(dollars in thousands)	Amortized Cost		Estimated Fair Value
Investment securities available-for-sale:
Within one year	$	188,270	$	183,757
One to five years	436,685		401,318
Five to ten years	112,249		97,283
Beyond ten years	20,088		17,224
Residential mortgage-backed securities	773,275		672,206
Commercial mortgage-backed securities	53,868		48,847

Less: allowance for credit losses	—		(17)
Total investment securities available-for-sale	1,584,435		1,420,618

Investment securities held-to-maturity:
Within one year	4,259		4,251
One to five years	61,728		59,329
Five to ten years	122,637		106,494
Beyond ten years	68,630		60,820
Residential mortgage-backed securities:	638,039		548,765
Commercial mortgage-backed securities	89,674		76,616

Less: allowance for credit losses	(2,012)		—
Total investment securities held-to-maturity	982,955		856,275
Total	$	2,567,390	$	2,276,893

For the three and six months ended June 30, 2024, gross realized gains on calls of investment securities were $3 thousand and $7 thousand, respectively. For the three and six months ended June 30, 2023, gross realized gains on calls of investment securities were $2 thousand and $7 thousand, respectively.

There were no gross realized losses on sales or calls of investment securities during the three and six months ended June 30, 2024, nor during the three months ended June 30, 2023. During the six months ended June 30, 2023, there were $26 thousand of gross realized losses on sales or calls of investment securities.

Gross sales and call proceeds were $50 thousand and $27.1 million for the three and six months ended June 30, 2024, respectively, and $273 thousand and $8.6 million for the same periods in 2023.

The book value of securities pledged as collateral for certain government deposits, securities sold under agreements to repurchase, and certain lines of credit with correspondent banks at June 30, 2024 and December 31, 2023 was $2.2 billion and $2.1 billion, respectively. These balances were well in excess of required amounts in order to operationally provide significant reserve amounts for new business. As of June 30, 2024 and December 31, 2023, there were no holdings of securities of any one issuer, other than the U.S. Government and U.S. agency securities, that exceeded ten percent of shareholders' equity.