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Investment Securities | 9 Months Ended
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Sep. 30, 2023
Investments, Debt and Equity Securities [Abstract] |
Investment Securities | Investment Securities Marketable Equity Securities The Company held marketable equity securities with fair values of $10.6 million and $10.7 million at September 30, 2023 and December 31, 2022, respectively. The gross realized and unrealized gains (losses) recognized on marketable equity securities in other operating income in the Company's Consolidated Statements of Income were as follows:
| Three Months Ended September 30, | Nine Months Ended September 30,
(In Thousands) | 2023 |  | 2022 | 2023 |  | 2022
Unrealized gain (loss) on marketable equity securities | $12 |  |  | $33 |  | ($445) |  |  | ($1,199) |
Gain on sale of marketable equity securities, net | — |  |  | — |  | — |  |  | — |
Total | $12 |  |  | $33 |  | ($445) |  |  | ($1,199) |
Debt securities Debt securities have been classified in the financial statements as available for sale or held to maturity. The following table summarizes the amortized cost, estimated fair value, and the Allowance for Credit Losses ("ACL") of debt securities and the corresponding amounts of gross unrealized gains and losses of available-for-sale securities recognized in accumulated other comprehensive income (loss) and gross unrecognized gains and losses of held to maturity securities at the periods indicated:
(In Thousands) | Amortized Cost |  | Gross Unrealized Gains |  | Gross Unrealized Losses |  | Allowance for Credit Losses |  | Fair Value
September 30, 2023 |  |  |  |  |  |  |  |  |
Securities available for sale |  |  |  |  |  |  |  |  |
U.S. Treasury and government sponsored entities | $614,215 |  |  | $— |  |  | ($35,580) |  |  | $— |  |  | $578,635 |
Municipal securities | 820 |  |  | — |  |  | (11) |  |  | — |  |  | 809 |
Corporate bonds | 14,015 |  |  | 50 |  |  | (587) |  |  | — |  |  | 13,478 |
Collateralized loan obligations | 60,164 |  |  | — |  |  | (936) |  |  | — |  |  | 59,228 |
Total securities available for sale | $689,214 |  |  | $50 |  |  | ($37,114) |  |  | $— |  |  | $652,150 |
(In Thousands) | Amortized Cost |  | Gross Unrealized Gains |  | Gross Unrealized Losses |  | Fair Value
September 30, 2023 |  |  |  |  |  |  |
Securities held to maturity |  |  |  |  |  |  |
Corporate bonds | $36,750 |  |  | $— |  |  | ($4,517) |  |  | $32,233 |
Allowance for credit losses | — |  |  | — |  |  | — |  |  | — |
Total securities held to maturity, net of ACL | $36,750 |  |  | $— |  |  | ($4,517) |  |  | $32,233 |
(In Thousands) | Amortized Cost |  | Gross Unrealized Gains |  | Gross Unrealized Losses |  | Allowance for Credit Losses |  | Fair Value
December 31, 2022 |  |  |  |  |  |  |  |  |
Securities available for sale |  |  |  |  |  |  |  |  |
U.S. Treasury and government sponsored entities | $634,582 |  |  | $1 |  |  | ($39,422) |  |  | $— |  |  | $595,161 |
Municipal securities | 820 |  |  | — |  |  | (25) |  |  | — |  |  | 795 |
Corporate bonds | 24,281 |  |  | 37 |  |  | (674) |  |  | — |  |  | 23,644 |
Collateralized loan obligations | 59,434 |  |  | — |  |  | (2,005) |  |  | — |  |  | 57,429 |
Total securities available for sale | $719,117 |  |  | $38 |  |  | ($42,126) |  |  | $— |  |  | $677,029 |
(In Thousands) | Amortized Cost |  | Gross Unrealized Gains |  | Gross Unrealized Losses |  | Fair Value
December 31, 2022 |  |  |  |  |  |  |
Securities held to maturity |  |  |  |  |  |  |
Corporate bonds | $36,750 |  |  | $— |  |  | ($4,111) |  |  | $32,639 |
Allowance for credit losses | — |  |  | — |  |  | — |  |  | — |
Total securities held to maturity, net of ACL | $36,750 |  |  | $— |  |  | ($4,111) |  |  | $32,639 |
Gross unrealized losses on available for sale securities and the fair value of the related securities, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, at September 30, 2023 and December 31, 2022 were as follows:
| Less Than 12 Months | More Than 12 Months | Total
(In Thousands) | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses
September 30, 2023 |  |  |  |  |  |
Securities available for sale |  |  |  |  |  |
U.S. Treasury and government sponsored entities | $42,827 |  | ($658) |  | $535,809 |  | ($34,922) |  | $578,636 |  | ($35,580) |
Corporate bonds | — |  | — |  | 6,431 |  | (587) |  | 6,431 |  | (587) |
Collateralized loan obligations | 9,874 |  | (126) |  | 49,354 |  | (810) |  | 59,228 |  | (936) |
Municipal securities | — |  | — |  | 809 |  | (11) |  | 809 |  | (11) |
Total | $52,701 |  | ($784) |  | $592,403 |  | ($36,330) |  | $645,104 |  | ($37,114) |
December 31, 2022: |  |  |  |  |  |
Securities available for sale |  |  |  |  |  |
U.S. Treasury and government sponsored entities | $282,319 |  | ($8,876) |  | $302,840 |  | ($30,546) |  | $585,159 |  | ($39,422) |
Corporate bonds | 13,216 |  | (43) |  | 4,394 |  | (631) |  | 17,610 |  | (674) |
Collateralized loan obligations | 22,309 |  | (632) |  | 35,120 |  | (1,373) |  | 57,429 |  | (2,005) |
Municipal securities | 795 |  | (25) |  | — |  | — |  | 795 |  | (25) |
Total | $318,639 |  | ($9,576) |  | $342,354 |  | ($32,550) |  | $660,993 |  | ($42,126) |
Management evaluates available for sale debt securities in unrealized loss positions to determine whether the impairment is due to credit-related factors or noncredit-related factors. Consideration is given to the extent to which the fair value is less than cost, the financial condition and near-term prospects of the issuer, and the intent and ability of the Company to retain its investment in the security for a period of time sufficient to allow for any anticipated recovery in fair value. At September 30, 2023, the Company had 82 available for sale securities in an unrealized loss position without an ACL. At September 30, 2023, the Company had five held to maturity securities in an unrealized loss position without an ACL. Management does not have the intent to sell any of these securities and believes that it is more likely than not that the Company will not have to sell any such securities before a recovery of cost. The fair value is expected to recover as the securities approach their maturity date or repricing date or if market yields for such investments decline. Accordingly, as of September 30, 2023, management believes that the unrealized losses detailed in the previous table are due to noncredit-related factors, primarily changes in interest rates, and therefore no losses have been recognized in the Company's Consolidated Statements of Income. At September 30, 2023 and December 31, 2022, carrying amounts of $168.4 million and $59.3 million in securities were pledged for deposits and borrowings, respectively. The amortized cost and estimated fair values of debt securities at September 30, 2023, are distributed by contractual maturity as shown below. Expected maturities may differ from contractual maturities because issuers may have the right to call or prepay obligations with or without call or prepayment penalties.
(In Thousands) | Amortized Cost |  | Fair Value
US Treasury and government sponsored entities |  |  |
Within 1 year | $134,494 |  |  | $132,302 |
1-5 years | 479,721 |  |  | 446,333 |
Total | $614,215 |  |  | $578,635 |
Corporate bonds |  |  |
Within 1 year | $2,000 |  |  | $1,981 |
1-5 years | 22,015 |  |  | 20,836 |
5-10 years | 26,750 |  |  | 25,842 |
Total | $50,765 |  |  | $48,659 |
Collateralized loan obligations |  |  |
5-10 years | $29,670 |  |  | $29,450 |
Over 10 years | 30,494 |  |  | 29,778 |
Total | $60,164 |  |  | $59,228 |
Municipal securities |  |  |
Within 1 year | $820 |  |  | $809 |
Total | $820 |  |  | $809 |
There were no proceeds from sales of investment securities for the three or nine-month periods ending September 30, 2023 and 2022. A summary of interest income for the three and nine-month periods ending September 30, 2023 and 2022, on available for sale investment securities are as follows:
| Three Months Ended September 30, | Nine Months Ended September 30,
(In Thousands) | 2023 |  | 2022 | 2023 |  | 2022
US Treasury and government sponsored entities | $2,794 |  |  | $2,137 |  | $8,424 |  |  | $4,375 |
Other | 1,214 |  |  | 781 |  | 3,505 |  |  | 1,595 |
Total taxable interest income | $4,008 |  |  | $2,918 |  | $11,929 |  |  | $5,970 |
Municipal securities | $4 |  |  | $4 |  | $13 |  |  | $13 |
Total tax-exempt interest income | $4 |  |  | $4 |  | $13 |  |  | $13 |
Total | $4,012 |  |  | $2,922 |  | $11,942 |  |  | $5,983 |

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