Securities

9 Months Ended

Sep. 30, 2023

Investments, Debt and Equity Securities [Abstract]

(3) Securities

The amortized cost and fair market value of available-for-sale securities and the related gross unrealized gains and losses recognized were as follows:


September 30, 2023	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
U.S. Treasury securities and obligations of U.S. government agencies	$	77,081	$	192	$	(5,978	)	$	71,295
Obligations of states and political subdivisions		360,019		45		(49,529	)		310,535
Mortgage-backed securities in government sponsored entities		250,503		5		(38,851	)		211,657
Total debt securities	$	687,603	$	242	$	(94,358	)	$	593,487


December 31, 2022	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
U.S. Treasury securities and obligations of U.S. government agencies	$	66,495	$	20	$	(5,486	)	$	61,029
Obligations of states and political subdivisions		350,104		784		(33,640	)		317,248
Mortgage-backed securities in government sponsored entities		265,752		15		(28,642	)		237,125
Total debt securities	$	682,351	$	819	$	(67,768	)	$	615,402

The amortized cost and fair value of securities at September 30, 2023, 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, are shown separately.


Available for sale	Amortized Cost		Fair Value
Due in one year or less	$	6,195	$	6,149
Due after one year through five years		76,198		69,124
Due after five years through ten years		38,390		35,162
Due after ten years		316,317		271,395
Mortgage-backed securities		250,503		211,657
Total securities available-for-sale	$	687,603	$	593,487

Proceeds from sales of securities available-for-sale, gross unrealized gains and gross realized losses were as follows:


	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2023		2022		2023		2022
Sale proceeds	$	—	$	57,322	$	—	$	57,322
Gross realized gains		—		—		—		—
Gross realized losses		—		—		—		—
Gains (losses) from securities called or settled by the issuer		—		4		—		10

Securities were pledged to secure public deposits, other deposits and liabilities as required by law. The carrying value of pledged securities was approximately $210,369 and $218,344 as of September 30, 2023 and December 31, 2022, respectively.

The following tables show gross unrealized losses and fair value, 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:


September 30, 2023	12 Months or less					More than 12 months					Total
Description of Securities	Fair Value		Unrealized Loss			Fair Value		Unrealized Loss			Fair Value		Unrealized Loss
U.S. Treasury securities and obligations of U.S. government agencies	$	715	$	(3	)	$	59,404	$	(5,975	)	$	60,119	$	(5,978	)
Obligations of states and political subdivisions		143,524		(7,518	)		155,603		(42,011	)		299,127		(49,529	)
Mortgage-backed securities in gov’t sponsored entities		21,364		(1,784	)		189,711		(37,067	)		211,075		(38,851	)
Total temporarily impaired	$	165,603	$	(9,305	)	$	404,718	$	(85,053	)	$	570,321	$	(94,358	)


December 31, 2022	12 Months or less					More than 12 months					Total
Description of Securities	Fair Value		Unrealized Loss			Fair Value		Unrealized Loss			Fair Value		Unrealized Loss
U.S. Treasury securities and obligations of U.S. government agencies	$	21,042	$	(880	)	$	39,567	$	(4,606	)	$	60,609	$	(5,486	)
Obligations of states and political subdivisions		169,594		(13,016	)		73,967		(20,624	)		243,561		(33,640	)
Mortgage-backed securities in gov’t sponsored entities		111,639		(4,713	)		124,622		(23,929	)		236,261		(28,642	)
Total temporarily impaired	$	302,275	$	(18,609	)	$	238,156	$	(49,159	)	$	540,431	$	(67,768	)

At September 30, 2023, there were a total of 574 securities in the portfolio with unrealized losses mainly due to higher current 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 currently higher market rates when compared to the time of purchase. 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.

The following table presents the net gains and losses on equity investments recognized in earnings for the three- and nine-months ended September 30, 2023 and 2022 and the portion of unrealized gains and losses for the period that relates to equity investments held at September 30, 2023 and 2022:


	Three Months Ended September 30,					Nine Months Ended September 30,
	2023		2022			2023			2022
Net gains (losses) recognized on equity securities during the period	$	69	$	(133	)	$	(169	)	$	(44	)
Less: Net losses realized on the sale of equity securities during the period		—		—			—			—
Unrealized gains (losses) recognized on equity securities held at reporting date	$	69	$	(133	)	$	(169	)	$	(44	)