XML 21 R10.htm IDEA: XBRL DOCUMENT

Securities

3 Months Ended

Mar. 31, 2025

Note 3: Securities

The following tables present the amortized cost and estimated fair value of securities with gross unrealized gains and losses at March 31, 2025 and December 31, 2024:


		March 31, 2025
					Gross			Gross
		Amortized			Unrealized			Unrealized
(dollars in thousands)		Cost			Gains			Losses			Fair Value
Securities Available for Sale:
U.S. Treasury Securities		$	179,987		$	72		$	(7,737)		$	172,322
Municipal Bonds			131,979			20			(15,551)			116,448
Mortgage-Backed Securities			262,166			2,627			(13,080)			251,713
Corporate Securities			134,079			1,268			(5,506)			129,841
U.S Government Agency Securities			21,093			115			(50)			21,158
Asset-Backed Securities			73,128			99			(83)			73,144
Total Securities Available for Sale		$	802,432		$	4,201		$	(42,007)		$	764,626


		December 31, 2024
					Gross			Gross
		Amortized			Unrealized			Unrealized
(dollars in thousands)		Cost			Gains			Losses			Fair Value
Securities Available for Sale:
U.S. Treasury Securities		$	179,835		$	3		$	(12,090)		$	167,748
Municipal Bonds			139,891			23			(17,649)			122,265
Mortgage-Backed Securities			259,833			882			(15,825)			244,890
Corporate Securities			139,161			1,041			(6,016)			134,186
U.S Government Agency Securities			22,053			85			(56)			22,082
Asset-Backed Securities			76,891			211			(26)			77,076
Total Securities Available for Sale		$	817,664		$	2,245		$	(51,662)		$	768,247

Securities with a carrying value of $290.7 million and $289.9 million were pledged to secure borrowing capacity at the Federal Reserve Discount Window as of March 31, 2025 and December 31, 2024, respectively.

The following tables present the fair value and gross unrealized losses of securities with unrealized losses, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at March 31, 2025 and December 31, 2024:


				Less Than 12 Months						12 Months or Greater						Total
		Number of					Unrealized						Unrealized						Unrealized
(dollars in thousands, except number of holdings)		Holdings		Fair Value			Losses			Fair Value			Losses			Fair Value			Losses
March 31, 2025
U.S. Treasury Securities		5		$	151,220		$	(7,737)		$	—		$	—		$	151,220		$	(7,737)
Municipal Bonds		204			11,974			(127)			93,979			(15,424)			105,953			(15,551)
Mortgage-Backed Securities		112			16,268			(96)			117,953			(12,984)			134,221			(13,080)
Corporate Securities		89			9,881			(138)			80,091			(5,368)			89,972			(5,506)
U.S Government Agency Securities		37			8,552			(4)			3,666			(46)			12,218			(50)
Asset-Backed Securities		11			21,872			(59)			9,971			(24)			31,843			(83)
Total Securities Available for Sale		458		$	219,767		$	(8,161)		$	305,660		$	(33,846)		$	525,427		$	(42,007)


				Less Than 12 Months						12 Months or Greater						Total
		Number of					Unrealized						Unrealized						Unrealized
(dollars in thousands, except number of holdings)		Holdings		Fair Value			Losses			Fair Value			Losses			Fair Value			Losses
December 31, 2024
U.S. Treasury Securities		14		$	157,091		$	(12,090)		$	—		$	—		$	157,091		$	(12,090)
Municipal Bonds		236			21,329			(120)			95,774			(17,529)			117,103			(17,649)
Mortgage-Backed Securities		168			47,636			(391)			118,824			(15,434)			166,460			(15,825)
Corporate Securities		93			6,860			(75)			91,666			(5,941)			98,526			(6,016)
U.S Government Agency Securities		38			5,878			(5)			4,071			(51)			9,949			(56)
Asset-Backed Securities		7			5,735			(5)			10,161			(21)			15,896			(26)
Total Securities Available for Sale		556		$	244,529		$	(12,686)		$	320,496		$	(38,976)		$	565,025		$	(51,662)

At March 31, 2025, 458 debt securities had unrealized losses with aggregate depreciation of approximately 5.2% from the Company’s amortized cost basis. At December 31, 2024, 556 debt securities had unrealized losses with aggregate depreciation of approximately 8.4% from the Company’s amortized cost basis. These unrealized losses have not been recognized into income because management does not intend to sell these securities, and it is not more likely than not it will be required to sell the securities before recovery of its amortized cost basis. Furthermore, the unrealized losses are due to changes in interest rates and other market conditions and were not reflective of credit events. To make this determination, consideration is given to such factors as the credit rating of the issuer, level of credit enhancement, changes in credit ratings, market conditions such as current interest rates, any adverse conditions specific to the security, and delinquency status on contractual payments. As of March 31, 2025 and December 31, 2024, there was no allowance for credit losses carried on the Company’s securities portfolio.

Accrued interest receivable on securities, which is recorded within accrued interest on the balance sheet, totaled $6.4 million and $6.2 million at March 31, 2025 and December 31, 2024, respectively, and was excluded from the estimate of credit losses.

The Company has entered into a fair value hedging transaction to mitigate the impact of changing interest rates on the fair value of U.S. treasury securities. See Note 7 – Derivative Instruments and Hedging Activities for disclosure of the gains and losses recognized on derivative instruments and the cumulative fair value hedging adjustments to the carrying amount of the hedged securities.

The following table presents a summary of the amortized cost and estimated fair value of debt securities by the lesser of expected call date or contractual maturity as of March 31, 2025. Call date is used when a call of the debt security is expected, as determined by the Company when the security has a market value above its amortized cost. Contractual maturities will differ from expected maturities for mortgage-backed, U.S. government agency securities and asset-backed securities because borrowers may have the right to call or prepay obligations without penalties.


(dollars in thousands)		Amortized Cost			Fair Value
March 31, 2025
Due in One Year or Less		$	43,176		$	43,747
Due After One Year Through Five Years			69,829			68,711
Due After Five Years Through 10 Years			156,033			140,909
Due After 10 Years			177,007			165,244
Subtotal			446,045			418,611
Mortgage-Backed Securities			262,166			251,713
U.S Government Agency Securities			21,093			21,158
Asset-Backed Securities			73,128			73,144
Totals		$	802,432		$	764,626

The following table presents a summary of the proceeds from sales of securities available for sale, as well as gross gains and losses, for the three months ended March 31, 2025 and 2024:


		Three Months Ended
		March 31,
(dollars in thousands)		2025			2024
Proceeds From Sales of Securities		$	1,092		$	12,784
Gross Gains on Sales			4			786
Gross Losses on Sales			(3)			(693)