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Investment Securities (Tables)
 12 Months Ended
Dec. 31, 2012
Investments, Debt and Equity Securities [Abstract]  
Available-for-sale securities reconciliation
The following table sets forth the carrying values and estimated fair values of our investment securities portfolio at the dates indicated (in thousands):
 
December 31, 2012
 
Amortized
Cost
 
Gross Unrealized
Gains
 
Gross Unrealized
Losses
 
Estimated
Fair Value
Available-for-Sale Securities
 
 
 
 
 
 
 
Debt Securities:
 
 
 
 
 
 
 
U.S. Government agencies
$
9,443

 
$
34

 
$
(23
)
 
$
9,454

Obligations of states and political subdivisions
151,312

 
10,751

 
(385
)
 
161,678

U.S. Government sponsored entities and agencies collateralized by residential mortgage obligations
206,465

 
3,152

 
(1,107
)
 
208,510

Private label residential mortgage backed securities
6,258

 
323

 
(206
)
 
6,375

Other equity securities
7,596

 
352

 
—

 
7,948

 
$
381,074

 
$
14,612

 
$
(1,721
)
 
$
393,965


 
December 31, 2011
 
Amortized
Cost
 
Gross Unrealized
 Gains
 
Gross Unrealized 
Losses
 
Estimated
 Fair Value
Available-for-Sale Securities
 
 
 
 
 
 
 
Debt Securities:
 

 
 

 
 

 
 

U.S. Government agencies
$
149

 
$
—

 
$
—

 
$
149

Obligations of states and political subdivisions
101,030

 
7,732

 
(331
)
 
108,431

U.S. Government sponsored entities and agencies collateralized by residential mortgage obligations
204,222

 
1,402

 
(1,080
)
 
204,544

Private label residential mortgage backed securities
8,408

 
245

 
(1,255
)
 
7,398

Other equity securities
7,596

 
295

 
—

 
7,891

`
$
321,405

 
$
9,674

 
$
(2,666
)
 
$
328,413
Securities in a continuous unrealized loss position
Investment securities with unrealized losses at December 31, 2012 and 2011 are summarized and classified according to the duration of the loss period as follows (in thousands):
 
December 31, 2012
 
Less than 12 Months
 
12 Months or More
 
Total
 
Fair
 
Unrealized
 
Fair
 
Unrealized
 
Fair
 
Unrealized
 
Value
 
Losses
 
Value
 
Losses
 
Value
 
Losses
Available-for-Sale Securities
 

 
 

 
 

 
 

 
 

 
 

Debt Securities:
 

 
 

 
 

 
 

 
 

 
 

U.S. Government agencies
$
3,590

 
$
(23
)
 
$
—

 
$
—

 
$
3,590

 
$
(23
)
Obligations of states and political subdivisions
30,572

 
(385
)
 
—

 
—

 
30,572

 
(385
)
U.S. Government sponsored entities and agencies collateralized by residential mortgage obligations
76,764

 
(809
)
 
18,024

 
(298
)
 
94,788

 
(1,107
)
Private label residential mortgage backed securities
—

 
—

 
2,886

 
(206
)
 
2,886

 
(206
)
 
$
110,926

 
$
(1,217
)
 
$
20,910

 
$
(504
)
 
$
131,836

 
$
(1,721
)
 
 
December 31, 2011
 
Less than 12 Months
 
12 Months or More
 
Total
 
Fair
 
Unrealized
 
Fair
 
Unrealized
 
Fair
 
Unrealized
 
Value
 
Losses
 
Value
 
Losses
 
Value
 
Losses
Available-for-Sale Securities
 

 
 

 
 

 
 

 
 

 
 

Debt Securities:
 

 
 

 
 

 
 

 
 

 
 

Obligations of states and political subdivisions
$
1,194

 
$
(20
)
 
$
2,598

 
$
(311
)
 
$
3,792

 
$
(331
)
U.S. Government sponsored entities and agencies collateralized by residential mortgage obligations
105,902

 
(1,080
)
 
—

 
—

 
105,902

 
(1,080
)
Private label residential mortgage backed securities
32

 
(1
)
 
4,917

 
(1,254
)
 
4,949

 
(1,255
)
 
$
107,128

 
$
(1,101
)
 
$
7,515

 
$
(1,565
)
 
$
114,643

 
$
(2,666
)
Summary of credit ratings for below investment grade investments
PLRMBS as of December 31, 2012 with credit ratings below investment grade are summarized in the table below (dollars in thousands):
Description 
 
Book 
Value
 
Market 
Value
 
Unrealized 
Gain (Loss)
 
Rating
 
Agency
 
12 Month 
Historical 
Prepayment 
Rates %
 
Projected 
CDR 
Rates %
 
Projected 
Severity 
Rates %
 
Original 
Purchase 
Price %
 
Current 
Credit 
Enhancement 
%
PHHAM
 
$
1,866

 
$
1,798

 
$
(68
)
 
D
 
Fitch
 
11.58
 
22.40
 
51.00
 
97.25
 
—

CWALT 1
 
638

 
625

 
(13
)
 
D
 
Fitch
 
15.38
 
11.21
 
65.59
 
100.73
 
—

CWALT 2
 
285

 
252

 
(33
)
 
D
 
Fitch
 
16.96
 
12.54
 
62.99
 
101.38
 
(0.72
)
FHAMS
 
1,673

 
1,826

 
153

 
D
 
Fitch
 
13.48
 
17.30
 
48.50
 
95.00
 
(0.66
)
BAALT
 
65

 
50

 
(15
)
 
C
 
Fitch
 
12.55
 
12.40
 
65.50
 
97.24
 
2.70

ABFS
 
235

 
159

 
(76
)
 
D
 
S&P
 
8.28
 
8.85
 
50.64
 
97.46
 
—

CONHE
 
44

 
68

 
24

 
Caa2
 
Moody's
 
13.00
 
6.12
 
67.33
 
86.39
 
—

 
 
$
4,806

 
$
4,778

 
$
(28
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Realized gains and losses
Proceeds and gross realized gains (losses) on investment securities for the years ended December 31, 2012, 2011, and 2010 are shown below.
 
 
Years Ended December 31,
(In thousands)
 
2012
 
2011
 
2010
Available-for-Sale Securities
 
 

 
 

 
 

Proceeds from sales or calls
 
$
39,119

 
$
44,700

 
$
19,594

Gross realized gains from sales or calls
 
$
2,121

 
$
1,119

 
$
296

Gross realized losses from sales or calls
 
$
(482
)
 
$
(821
)
 
$
(487
)
 
Credit losses recorded in earnings
The following tables provide a roll forward for the years ended December 31, 2012 and 2011 of investment securities credit losses recorded in earnings. The beginning balance represents the credit loss component for which OTTI occurred on debt securities in prior periods.  Additions represent the first time a debt security was credit impaired or when subsequent credit impairments have occurred on securities for which OTTI credit losses have been previously recognized.
 
 
Years ended December 31,
(In thousands)
 
2012
 
2011
Beginning balance
 
$
783

 
$
1,387

Amounts related to credit loss for which an OTTI charge was not previously recognized
 
—

 
31

Increases to the amount related to credit loss for which OTTI was previously recognized
 
—

 
—

Realized losses for securities sold
 
—

 
(635
)
Ending balance
 
$
783

 
$
783
Investments by contractual maturity
The amortized cost and estimated fair value of investment securities at December 31, 2012 and 2011 by contractual maturity are shown below (in thousands).  Expected maturities will differ from contractual maturities because the issuers of the securities may have the right to call or prepay obligations with or without call or prepayment penalties.
December 31, 2012
 
Amortized 
Cost
 
Estimated 
Fair Value
Within one year
 
$
150

 
$
151

After one year through five years
 
10,355

 
11,250

After five years through ten years
 
20,256

 
22,176

After ten years
 
120,551

 
128,101

 
 
151,312

 
161,678

Investment securities not due at a single maturity date:
 
 

 
 

U.S. Government agencies
 
9,443

 
9,454

U.S. Government sponsored entities and agencies collateralized by residential mortgage obligations
 
206,465

 
208,510

Private label residential mortgage backed securities
 
6,258

 
6,375

Other equity securities
 
7,596

 
7,948

 
 
$
381,074

 
$
393,965

 
December 31, 2011
 
Amortized 
Cost
 
Estimated 
Fair Value
Within one year
 
$
569

 
$
574

After one year through five years
 
8,705

 
9,480

After five years through ten years
 
20,553

 
22,179

After ten years
 
71,352

 
76,347

 
 
101,179

 
108,580

Investment securities not due at a single maturity date:
 
 

 
 

U.S. Government agencies
 
—

 
—

U.S. Government sponsored entities and agencies collateralized by residential mortgage obligations
 
204,222

 
204,544

Private label residential mortgage backed securities
 
8,408

 
7,398

Other equity securities
 
7,596

 
7,891

Total
 
$
321,405

 
$
328,413