NOTE

– ACCUMULATED OTHER COMPREHENSIVE INCOME

The following tables present the changes in accumulated other comprehensive income (“AOCI”) by component net of tax for the

three

and

six

months ended

June 30, 2018

and

2017,

respectively:

(Dollars in thousands)	Unrealized gains on available-for-sale securities (a)
Balance as of March 31, 2018	$	(373	)
Other comprehensive loss before reclassification		(58	)
Balance at June 30, 2018	$	(431	)


Balance as of December 31, 2017	$	1,091
Other comprehensive loss before reclassification		(1,568	)
Change in accounting principle, ASC 2016-01 (b)		(141	)
Change in accounting principle, ASC 2018-02 (b)		187
Period change		(1,522	)
Balance at June 30, 2018	$	(431	)

(Dollars in thousands)	Unrealized gains on available-for-sale securities (a)
Balance as of March 31, 2017	$	1,032
Other comprehensive income before reclassification		783
Amount reclassified from accumulated other comprehensive income		-
Period change		783
Balance at June 30, 2017	$	1,815


Balance as of December 31, 2016	$	1,201
Other comprehensive income before reclassification		936
Amount reclassified from accumulated other comprehensive income		(322	)
Period change		614
Balance at June 30, 2017	$	1,815

(a)

All amounts are net of tax. Amounts in parentheses indicate debits to AOCI.

(b)

Reclassifications are the result of the adoption of ASUs

2016

and

2018

effective for the Company beginning

January 1, 2018.

The reclassifications are presented within the Consolidated Statement of Changes in Stockholders’ Equity for the affected transitional periods.

The following tables present significant amounts reclassified from or to each component of AOCI:

	Amount Reclassified from Accumulated Other Comprehensive Income					Affected Line Item in the Statement Where
(Dollars in thousands)	For the Six Months Ended					Net Income is
Details about other comprehensive income	June 30, 2018		June 30, 2017			Presented
Unrealized gains on available-for-sale securities (a)	$	-	$	488		Investment securities gains on sale, net Income taxes
		-		(166	)
	$	-	$	322

(a)

For unrealized gains on available-for-sale securities, amounts in parentheses indicate expenses and other amounts indicate income.

There were

amounts reclassified to or from AOCI for the

three

months ended

June 30, 2018

and

June 30, 2017.