XML 25 R11.htm IDEA: XBRL DOCUMENT v2.4.0.8
Investment securities available-for-sale
 9 Months Ended
Sep. 30, 2013
Investment securities available-for-sale [Abstract]  
Investment securities available-for-sale
 
4.Investment securities available-for-sale:

The amortized cost and fair value of investment securities available-for-sale aggregated by investment category at September 30, 2013 and December 31, 2012 are summarized as follows:

September 30, 2013
 
Amortized Cost
  
Gross Unrealized Gains
  
Gross Unrealized Losses
  
Fair
Value
 
U.S. Government-sponsored enterprises
 
$
29,147
  
$
2,169
  
  
$
31,316
 
State and municipals:
         
     
Taxable
  
16,139
   
967
  
$
3
   
17,103
 
Tax-exempt
  
47,263
   
880
   
384
   
47,759
 
Corporate debt securities
  
4,034
   
265
       
4,299
 
Mortgage-backed securities:
                
U.S. Government agencies
  
21,144
   
156
   
190
   
21,110
 
U.S. Government-sponsored enterprises
  
32,720
   
256
   
98
   
32,878
 
Common equity securities
  
487
   
85
   
21
   
551
 
Total
 
$
150,934
  
$
4,778
  
$
696
  
$
155,016
 
 
December 31, 2012
 
Amortized Cost
  
Gross Unrealized Gains
  
Gross Unrealized Losses
  
Fair
Value
 
U.S. Government-sponsored enterprises
 
$
29,375
  
$
3,556
    
$
32,931
 
State and municipals:
              
Taxable
  
16,611
   
2,083
     
18,694
 
Tax-exempt
  
45,480
   
2,035
  
$
127
   
47,388
 
Corporate debt securities
  
4,038
   
139
   
306
   
3,871
 
Mortgage-backed securities:
                
U.S. Government agencies
  
21,532
   
173
   
151
   
21,554
 
U.S. Government-sponsored enterprises
  
22,868
   
129
   
129
   
22,868
 
Common equity securities
  
488
   
17
   
31
   
474
 
Total
 
$
140,392
  
$
8,132
  
$
744
  
$
147,780
 
 
The maturity distribution of the fair value, which is the net carrying amount, of the debt securities classified as available-for-sale at September 30, 2013, is summarized as follows:
 
September 30, 2013
 
Fair
Value
 
Within one year
 
$
1,518
 
After one but within five years
  
38,096
 
After five but within ten years
  
30,045
 
After ten years
  
30,818
 
 
  
100,477
 
Mortgage-backed securities
  
53,988
 
Total
 
$
154,465
 

Securities with a carrying value of $103,457 and $89,699 at September 30, 2013 and December 31, 2012, respectively, were pledged to secure public deposits and repurchase agreements as required or permitted by law.

At September 30, 2013 and December 31, 2012, there were no securities of any individual issuer, except for U.S. Government agencies and sponsored enterprises, which exceeded 10.0 percent of stockholders' equity.

The fair value and gross unrealized losses of investment securities available-for-sale with unrealized losses for which an other-than-temporary impairment ("OTTI") has not been recognized at September 30, 2013 and December 31, 2012, aggregated by investment category and length of time that the individual securities have been in a continuous unrealized loss position, are summarized as follows:

 
 
Less Than 12 Months
  
12 Months or More
  
Total
 
September 30, 2013
 
Fair Value
  
Unrealized Losses
  
Fair Value
  
Unrealized Losses
  
Fair Value
  
Unrealized Losses
 
U.S. Government-sponsored enterprises
 
  
  
  
  
  
 
State and municipals:
 
  
  
  
  
  
 
Taxable
 
$
497
  
$
3
  
  
  
$
497
  
$
3
 
Tax-Exempt
  
13,828
   
384
  
  
   
13,828
   
384
 
Corporate debt securities
         
  
         
Mortgage-backed securities:
         
  
         
U.S. Government agencies
  
9,753
   
190
  
  
   
9,753
   
190
 
U.S. Government-sponsored enterprises
  
6,579
   
12
  
$
3,086
  
$
86
   
9,665
   
98
 
Common equity securities
          
116
   
21
   
116
   
21
 
Total
 
$
30,657
  
$
589
  
$
3,202
  
$
107
  
$
33,859
  
$
696
 
 
 
 
 
Less Than 12 Months
  
12 Months or More
  
Total
 
December 31, 2012
 
Fair
Value
  
Unrealized Losses
  
Fair
Value
  
Unrealized Losses
  
Fair
Value
  
Unrealized Losses
 
U.S. Government-sponsored enterprises
 
  
  
  
  
  
 
State and municipals:
 
  
  
  
  
  
 
Taxable
 
  
  
  
  
  
 
Tax-exempt
 
$
12,483
  
$
127
  
  
  
$
12,483
  
$
127
 
Corporate debt securities
         
$
2,705
  
$
306
   
2,705
   
306
 
Mortgage-backed securities:
                        
U.S. Government agencies
  
11,934
   
146
   
838
   
5
   
12,772
   
151
 
U.S. Government-sponsored enterprises
  
9,042
   
83
   
4,229
   
46
   
13,271
   
129
 
Common equity securities
          
106
   
31
   
106
   
31
 
Total
 
$
33,459
  
$
356
  
$
7,878
  
$
388
  
$
41,337
  
$
744
 

The Company had 49 investment securities, consisting of 37 tax-exempt and one taxable state and municipal obligation, nine mortgage-backed securities and two common equity securities that were in unrealized loss positions at September 30, 2013.  Of these securities, two mortgage-backed securities and two common equity securities were in continuous unrealized loss positions for 12 months or more.  In comparison, the Company had 59 investment securities, consisting of 36 tax-exempt state and municipal obligations, two corporate debt securities, 19 mortgage-backed securities and two common equity securities, which were in unrealized loss positions at December 31, 2012.  Of these securities, seven mortgage-backed securities, and each of the corporate debt securities and common equity securities were in continuous unrealized loss positions for 12 months or more.  The unrealized losses on the common equity securities were a direct reflection of reductions in stock values in the financial industry sector, as a whole, and were not a result of credit or other issues that would cause the Company to recognize an OTTI charge.  Management does not consider the unrealized losses on the debt securities, as a result of changes in interest rates, to be OTTI based on historical evidence that indicates the cost of these securities is recoverable within a reasonable period of time in relation to normal cyclical changes in the market rates of interest. Moreover, because there has been no material change in the credit quality of the issuers or other events or circumstances that may cause a significant adverse impact on the fair value of these securities, and management does not intend to sell these securities and it is unlikely that the Company will be required to sell these securities before recovery of their amortized cost basis, which may be maturity, the Company did not consider the unrealized losses to be OTTI at September 30, 2013 and December 31, 2012. In addition, there was no OTTI recognized for the nine month periods ended September 30, 2013 and 2012.