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Investment Securities | 12 Months Ended
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Dec. 31, 2019
Investments, Debt and Equity Securities [Abstract] |
Investment Securities | NOTE 2 – Investment Securities The amortized costs and fair value of investment securities are as follows:
|  | December 31, 2019
|  | Amortized |  | Gross Unrealized |  | Fair
(dollars in thousands) |  | Cost |  | Gains |  | Losses |  | Value
Available for sale |  |  |  |  |  |  |  |  |
US government agencies |  | $ | 500 |  | - |  | 1 |  | 499
SBA securities |  |  | 550 |  | - |  | 19 |  | 531
State and political subdivisions |  |  | 4,205 |  | 3 |  | 24 |  | 4,184
Asset-backed securities |  |  | 13,351 |  | - |  | 184 |  | 13,167
Mortgage-backed securities |  |  |  |  |  |  |  |  |
FHLMC |  |  | 10,609 |  | 14 |  | 15 |  | 10,608
FNMA |  |  | 35,275 |  | 34 |  | 169 |  | 35,140
GNMA |  |  | 3,581 |  | 5 |  | 21 |  | 3,565
Total mortgage-backed securities |  |  | 49,465 |  | 53 |  | 205 |  | 49,313
Total |  | $ | 68,071 |  | 56 |  | 433 |  | 67,694
|  | December 31, 2018
|  | Amortized |  | Gross Unrealized |  | Fair
|  | Cost |  | Gains |  | Losses |  | Value
Available for sale |  |  |  |  |  |  |  |  |
US government agencies |  | $ | 8,975 |  | 1 |  | 194 |  | 8,782
SBA securities |  |  | 3,628 |  | - |  | 103 |  | 3,525
State and political subdivisions |  |  | 8,371 |  | 48 |  | 63 |  | 8,356
Asset-backed securities |  |  | 9,595 |  | 12 |  | 49 |  | 9,558
Mortgage-backed securities |  |  |  |  |  |  |  |  |
FHLMC |  |  | 12,258 |  | 87 |  | 242 |  | 12,103
FNMA |  |  | 29,068 |  | 25 |  | 551 |  | 28,542
GNMA |  |  | 4,170 |  | 1 |  | 132 |  | 4,039
Total mortgage-backed securities |  |  | 45,496 |  | 113 |  | 925 |  | 44,684
Total |  | $ | 76,065 |  | 174 |  | 1,334 |  | 74,905
During 2019, approximately $34.9 million of investment securities were either sold or called, subsequently resulting in a gain on sale of investment securities of $727,000. The amortized costs and fair values of investment securities available for sale at December 31, 2019 and 2018, by contractual maturity, are shown below. Expected maturities may differ from contractual maturities because issuers have the right to prepay the obligations.
|  | December 31,
|  |  |  |  | 2019 |  |  |  | 2018
|  | Amortized |  | Fair |  | Amortized |  | Fair
(dollars in thousands) |  | Cost |  | Value |  | Cost |  | Value
Available for sale |  |  |  |  |  |  |  |  |
Due within one year |  | $ | - |  | - |  | - |  | -
Due after one through five years |  |  | 4,699 |  | 4,675 |  | 8,681 |  | 8,578
Due after five through ten years |  |  | 10,454 |  | 10,414 |  | 22,796 |  | 22,379
Due after ten years |  |  | 52,918 |  | 52,605 |  | 44,588 |  | 43,948
|  | $ | 68,071 |  | 67,694 |  | 76,065 |  | 74,905
The tables below summarize gross unrealized losses on investment securities and the fair market 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 December 31, 2019 and 2018.
|  | Less than 12 months |  |  |  | 12 months or longer |  |  |  |  |  |  | Total
|  |  |  | Fair |  | Unrealized |  |  |  | Fair |  | Unrealized |  |  |  | Fair |  | Unrealized
(dollars in thousands) |  | # |  | value |  | losses |  | # |  | value |  | losses |  | # |  | value |  | losses
As of December 31, 2019 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Available for sale |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
US government agencies |  | 1 |  | $ | 499 |  | $ | 1 |  | - |  | $ | - |  | $ | - |  | 1 |  | $ | 499 |  | $ | 1
SBA securities |  | - |  |  | - |  |  | - |  | 1 |  |  | 531 |  |  | 19 |  | 1 |  |  | 531 |  |  | 19
State and political subdivisions |  | 2 |  |  | 2,093 |  |  | 24 |  | - |  |  | - |  |  | - |  | 2 |  |  | 2,093 |  |  | 24
Asset-backed |  | 5 |  |  | 5,921 |  |  | 68 |  | 5 |  |  | 7,246 |  |  | 116 |  | 10 |  |  | 13,167 |  |  | 184
Mortgage-backed |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
FHLMC |  | 4 |  |  | 3,842 |  |  | 2 |  | 4 |  |  | 2,323 |  |  | 13 |  | 8 |  |  | 6,165 |  |  | 15
FNMA |  | 14 |  |  | 15,500 |  |  | 67 |  | 11 |  |  | 9,462 |  |  | 102 |  | 25 |  |  | 24,962 |  |  | 169
GNMA |  | 2 |  |  | 2,240 |  |  | 6 |  | 1 |  |  | 734 |  |  | 15 |  | 3 |  |  | 2,974 |  |  | 21
|  | 28 |  | $ | 30,095 |  | $ | 168 |  | 22 |  | $ | 20,296 |  | $ | 265 |  | 50 |  | $ | 50,391 |  | $ | 433
|  | Less than 12 months |  |  |  | 12 months or longer |  |  |  |  |  |  | Total
|  |  |  | Fair |  | Unrealized |  |  |  | Fair |  | Unrealized |  |  |  | Fair |  | Unrealized
(dollars in thousands) |  | # |  | value |  | losses |  | # |  | value |  | losses |  | # |  | value |  | losses
As of December 31, 2018 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Available for sale |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
US government agencies |  | 1 |  | $ | 1,246 |  | $ | 3 |  | 8 |  | $ | 7,035 |  | $ | 191 |  | 9 |  | $ | 8,281 |  | $ | 194
SBA securities |  | - |  |  | - |  |  | - |  | 2 |  |  | 3,525 |  |  | 103 |  | 2 |  |  | 3,525 |  |  | 103
State and political subdivisions |  | - |  |  | - |  |  | - |  | 7 |  |  | 2,829 |  |  | 63 |  | 7 |  |  | 2,829 |  |  | 63
Asset-backed |  | 4 |  |  | 6,707 |  |  | 49 |  | - |  |  | - |  |  | - |  | 4 |  |  | 6,707 |  |  | 49
Mortgage-backed |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
FHLMC |  | - |  |  | - |  |  | - |  | 10 |  |  | 7,402 |  |  | 242 |  | 10 |  |  | 7,402 |  |  | 242
FNMA |  | 2 |  |  | 2,689 |  |  | 6 |  | 23 |  |  | 22,814 |  |  | 545 |  | 25 |  |  | 25,503 |  |  | 551
GNMA |  | 1 |  |  | 1,104 |  |  | 6 |  | 3 |  |  | 2,919 |  |  | 126 |  | 4 |  |  | 4,023 |  |  | 132
|  | 8 |  | $ | 11,746 |  | $ | 64 |  | 53 |  | $ | 46,524 |  | $ | 1,270 |  | 61 |  | $ | 58,270 |  | $ | 1,334
At December 31, 2019, the Company had 28 individual investments with a fair market value of $30.1 million that were in an unrealized loss position for less than 12 months and 22 individual investments with a fair market value of $20.3 million that were in an unrealized loss position for 12 months or longer. The unrealized losses were primarily attributable to changes in interest rates, rather than deterioration in credit quality. The individual securities are each investment grade securities. The Company considers the length of time and extent to which the fair value of available-for-sale debt securities have been less than cost to conclude that such securities were not other-than-temporarily impaired. We also consider other factors such as the financial condition of the issuer including credit ratings and specific events affecting the operations of the issuer, volatility of the security, underlying assets that collateralize the debt security, and other industry and macroeconomic conditions. As the Company has no intent to sell securities with unrealized losses and it is not more-likely-than-not that the Company will be required to sell these securities before recovery of amortized cost, we have concluded that the securities are not impaired on an other-than-temporary basis. Other investments are comprised of the following and are recorded at cost which approximates fair value:
|  | December 31,
(dollars in thousands) |  | 2019 |  | 2018
Federal Home Loan Bank stock |  | $ | 6,386 |  | 3,587
Other investments |  |  | 159 |  | 131
Investment in Trust Preferred subsidiaries |  |  | 403 |  | 403
|  | $ | 6,948 |  | 4,121
The Company has evaluated the FHLB stock for impairment and determined that the investment in FHLB stock is not other than temporarily impaired as of December 31, 2019 and ultimate recoverability of the par value of this investment is probable. All of the FHLB stock is used to collateralize advances with the FHLB. At December 31, 2019 and 2018, there were no securities pledged as collateral for repurchase agreements from brokers.

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