SECURITIES

9 Months Ended

Sep. 30, 2022

Investments, Debt and Equity Securities [Abstract]

Amortized cost and estimated fair value of securities available for sale are as follows (in thousands):


	September 30, 2022
	Amortized Cost		Unrealized Gains		Unrealized Losses		Estimated Fair Value
U.S. Treasury notes and bonds	$	61,791	$	—	$	6,741	$	55,050
Mortgage-backed securities, residential	530,372		—		89,738		440,634
Obligations of states and political subdivisions	39,916		—		3,036		36,880
Corporate bonds and notes	25,750		—		1,513		24,237
SBA loan pools	85,337		204		1,990		83,551

Total	$	743,166	$	204	$	103,018	$	640,352


	December 31, 2021
	Amortized Cost		Unrealized Gains		Unrealized Losses		Estimated Fair Value
U.S. Treasury notes and bonds	$	61,084	$	27	$	680	$	60,431
Mortgage-backed securities, residential	582,060		4,032		8,731		577,361

Obligations of states and political subdivisions	40,299		2,004		—		42,303
Corporate bonds and notes	22,750		180		82		22,848
SBA loan pools	89,216		344		477		89,083


Total	$	795,409	$	6,587	$	9,970	$	792,026

Amortized cost and estimated fair value of securities held to maturity are as follows (in thousands):


	September 30, 2022
	Amortized Cost		Unrecognized Gains		Unrecognized Losses		Estimated Fair Value
Obligations of states and political subdivisions	$	1,981	$	—	$	—	$	1,981
Time deposits with other financial institutions	1,229		—		5		1,224
Total	$	3,210	$	—	$	5	$	3,205


	December 31, 2021
	Amortized Cost		Unrecognized Gains		Unrecognized Losses		Estimated Fair Value
Obligations of states and political subdivisions	$	2,157	$	—	$	—	$	2,157
Time deposits with other financial institutions	1,633		6		—		1,639
Total	$	3,790	$	6	$	—	$	3,796

The amortized cost and estimated fair value of debt securities are shown below by expected maturity. Expected maturities may differ from contractual maturities if borrowers have the right to call or prepay obligations with or without call or prepayment penalties. Securities not due at a single maturity date are shown separately (in thousands):


	September 30, 2022
	Available for Sale				Held to Maturity
	Amortized Cost		Fair Value		Amortized Cost		Fair Value
Within one year	$	2,937	$	2,862	$	2,204	$	2,199
After one, but within five years	103,872		93,767		1,006		1,006
After five, but within ten years	20,178		19,142		—		—
After ten years	470		396		—		—
	127,457		116,167		3,210		3,205
Mortgage-backed securities, residential	530,372		440,634		—		—

SBA loan pools	85,337		83,551		—		—
Total	$	743,166	$	640,352	$	3,210	$	3,205

There were no proceeds from sales and calls of securities resulting in gains or losses for the three and nine month periods ended September 30, 2022 and 2021.

The following tables summarize the investment securities available for sale with unrealized losses at September 30, 2022 and December 31, 2021 by aggregated major security type and length of time in a continuous unrealized loss position (in thousands):


	Less than 12 months				12 months or longer				Total
September 30, 2022	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
U.S. Treasury notes and bonds	$	18,733	$	2,155	$	36,317	$	4,586	$	55,050	$	6,741
Mortgage-backed securities, residential	137,623		17,742		303,011		71,996		440,634		89,738
Obligations of states and political subdivisions	36,685		3,036		—		—		36,685		3,036
Corporate bonds and notes	9,615		1,135		4,621		378		14,236		1,513
SBA loan pools	26,290		982		38,214		1,008		64,504		1,990

Total temporarily impaired securities	$	228,946	$	25,050	$	382,163	$	77,968	$	611,109	$	103,018


	Less than 12 months				12 months or longer				Total
December 31, 2021	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
U.S. Treasury notes and bonds	$	49,084	$	680	$	—	$	—	$	49,084	$	680
Mortgage-backed securities, residential	293,720		4,502		122,050		4,229		415,770		8,731

Corporate bonds and notes	4,928		72		1,989		10		6,917		82
SBA loan pools	51,235		296		13,769		181		65,004		477
Total temporarily impaired securities	$	398,967	$	5,550	$	137,808	$	4,420	$	536,775	$	9,970

Other-Than-Temporary Impairment

As of September 30, 2022, the majority of the Corporation's unrealized losses in the investment securities portfolio related to mortgage-backed securities. At September 30, 2022, all of the unrealized losses related to mortgage-backed securities were issued by U.S. government sponsored entities, Fannie Mae and Freddie Mac. Because the decline in fair value is attributable to changes in interest rates and not credit quality, and because the Corporation does not have the intent to sell these securities and it is not likely that it will be required to sell these securities before their anticipated recovery, the Corporation does not consider these securities to be other-than-temporarily impaired at September 30, 2022.