(3) Securities

The amortized cost and fair market value of available for sale securities and the related gross unrealized gains and losses recognized in accumulated other comprehensive income (loss) were as follows:


March 31, 2016	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
U.S. Treasury securities and obligations of U.S. government agencies	$	41,586	$	264	$	(22	)	$	41,828
Obligations of states and political subdivisions		87,251		5,947		(23	)		93,175
Mortgage-backed securities in government sponsored entities		65,176		1,064		(46	)		66,194

Total debt securities		194,013		7,275		(91	)		201,197
Equity securities in financial institutions		481		108		—			589

Total	$	194,494	$	7,383	$	(91	)	$	201,786


December 31, 2015	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
U.S. Treasury securities and obligations of U.S. government agencies	$	40,992	$	74	$	(129	)	$	40,937
Obligations of states and political subdivisions		87,255		4,959		(62	)		92,152
Mortgage-backed securities in government sponsored entities		62,135		681		(243	)		62,573

Total debt securities		190,382		5,714		(434	)		195,662
Equity securities in financial institutions		481		106		—			587

Total	$	190,863	$	5,820	$	(434	)	$	196,249

The amortized cost and fair value of securities at March 31, 2016, by contractual maturity, is shown below. Actual maturities may differ from contractual maturities because issuers may have the right to call or prepay obligations. Securities not due at a single maturity date, primarily mortgage-backed securities and equity securities are shown separately.


Available for sale	Amortized Cost		Fair Value
Due in one year or less	$	8,062	$	8,071
Due after one year through five years		28,108		28,431
Due after five years through ten years		32,459		34,512
Due after ten years		60,208		63,989
Mortgage-backed securities		65,176		66,194
Equity securities		481		589

Total securities available for sale	$	194,494	$	201,786

Proceeds from sales of securities, gross realized gains and gross realized losses were as follows:


	Three months ended March 31,
	2016			2015
Sale proceeds	$	—		$	3,518
Gross realized gains		—			—
Gross realized losses		—			—
Gains (losses) from securities called or settled by the issuer		(5	)		—

Securities were pledged to secure public deposits, other deposits and liabilities as required by law. The carrying value of pledged securities was approximately $144,646 and $142,888 as of March 31, 2016 and December 31, 2015, respectively.

Securities with unrealized losses at March 31, 2016 and December 31, 2015 not recognized in income are as follows:


March 31, 2016	12 Months or less					More than 12 months					Total
	Fair		Unrealized			Fair		Unrealized			Fair		Unrealized
Description of Securities	Value		Loss			Value		Loss			Value		Loss
U.S. Treasury securities and obligations of U.S. government agencies	$	9,258	$	(5	)	$	1,058	$	(17	)	$	10,316	$	(22	)
Obligations of states and political subdivisions		—		—			1,079		(23	)		1,079		(23	)
Mortgage-backed securities in gov’t sponsored entities		5,083		(18	)		4,930		(28	)		10,013		(46	)

Total temporarily impaired	$	14,341	$	(23	)	$	7,067	$	(68	)	$	21,408	$	(91	)


December 31, 2015	12 Months or less					More than 12 months					Total
	Fair		Unrealized			Fair		Unrealized			Fair		Unrealized
Description of Securities	Value		Loss			Value		Loss			Value		Loss
U.S. Treasury securities and obligations of U.S. government agencies	$	25,464	$	(112	)	$	1,132	$	(17	)	$	26,596	$	(129	)
Obligations of states and political subdivisions		2,932		(20	)		1,469		(42	)		4,401		(62	)
Mortgage-backed securities in gov’t sponsored entities		27,263		(172	)		5,041		(71	)		32,304		(243	)

Total temporarily impaired	$	55,659	$	(304	)	$	7,642	$	(130	)	$	63,301	$	(434	)

At March 31, 2016, there were eighteen securities in the portfolio with unrealized losses mainly due to higher market rates when compared to the time of purchase. Unrealized losses on securities have not been recognized into income because the issuers’ securities are of high credit quality, management has the intent and ability to hold these securities for the foreseeable future, and the decline in fair value is largely due to market yields increasing across the municipal sector. The fair value is expected to recover as the securities approach their maturity date or reset date. The Company does not intend to sell until recovery and does not believe selling will be required before recovery.