Note 8 – Accumulated Other Comprehensive Loss

The following table presents the changes in each component of accumulated other comprehensive loss for the 12 months ended December 31, 2018 and the three-month periods ended March 31, 2019 and June 30, 2019:



(in thousands)	Investment securities- with OTTI AFS		Investment securities- all other AFS		Investment securities- HTM		Cash Flow Hedge		Pension Plan		SERP		Total
Accumulated OCL, net:
Balance – January 1, 2018	$	(2,939)	$	(2,979)	$	(1,347)	$	582	$	(17,066)	$	(844)	$	(24,593)
Other comprehensive income/(loss) before reclassifications		1,194		(540)		—		191		(1,833)		202		(786)
Amounts reclassified from accumulated other comprehensive loss		(154)		(82)		216		—		882		114		976
Balance – December 31, 2018	$	(1,899)	$	(3,601)	$	(1,131)	$	773	$	(18,017)	$	(528)	$	(24,403)
Other comprehensive income/(loss) before reclassifications		(44)		901		—		(315)		1,933		—		2,475
Amounts reclassified from accumulated other comprehensive loss		(36)		4		55		—		196		21		240
Balance - March 31, 2019	$	(1,979)	$	(2,696)	$	(1,076)	$	458	$	(15,888)	$	(507)	$	(21,688)
Other comprehensive income/(loss) before reclassifications		(157)		1,581		—		(486)		511		—		1,449
Amounts reclassified from accumulated other comprehensive loss		(37)		(4)		63		—		196		21		239
Balance - June 30, 2019	$	(2,173)	$	(1,119)	$	(1,013)	$	(28)	$	(15,181)	$	(486)	$	(20,000)

The following tables present the components of other comprehensive income/(loss) for the six- and three-month periods ended June 30, 2019 and 2018:



Components of Other Comprehensive Income (in thousands)	Before Tax Amount		Tax (Expense) Benefit		Net
For the Six months ended June 30, 2019
Available for sale (AFS) securities with OTTI:
Unrealized holding losses	$	(276)	$	75	$	(201)
Less: accretable yield recognized in income		99		(26)		73
Net unrealized losses on investments with OTTI		(375)		101		(274)
Available for sale securities – all other:
Unrealized holding gains		3,405		(923)		2,482
Net unrealized gains on all other AFS securities		3,405		(923)		2,482
Held to maturity securities:
Unrealized holding gains		—		—		—
Less: amortization recognized in income		(161)		43		(118)
Net unrealized gains on HTM securities		161		(43)		118
Cash flow hedges:
Unrealized holding losses		(1,098)		297		(801)
Pension Plan:
Unrealized net actuarial gain		3,353		(909)		2,444
Less: amortization of unrecognized loss		(538)		146		(392)
Net pension plan liability adjustment		3,891		(1,055)		2,836
SERP:
Unrealized net actuarial loss		—		—		—
Less: amortization of unrecognized loss		(58)		15		(43)
Less: amortization of prior service costs		1		—		1
Net SERP liability adjustment		57		(15)		42
Other comprehensive income	$	6,041	$	(1,638)	$	4,403


Components of Other Comprehensive Income (in thousands)	Before Tax Amount		Tax (Expense) Benefit		Net
For the Six months ended June 30, 2018
Available for sale (AFS) securities with OTTI:
Unrealized holding gains	$	2,432	$	(658)	$	1,774
Less: gains recognized in income		145		(39)		106
Less: accretable yield recognized in income		107		(29)		78
Net unrealized gains on investments with OTTI		2,180		(590)		1,590
Available for sale securities – all other:
Unrealized holding losses		(1,812)		490		(1,322)
Less: losses recognized in income		(19)		5		(14)
Net unrealized losses on all other AFS securities		(1,793)		485		(1,308)
Held to maturity securities:
Unrealized holding gains		—		—		—
Less: amortization recognized in income		(114)		31		(83)
Net unrealized gains on HTM securities		114		(31)		83
Cash flow hedges:
Unrealized holding gains		755		(204)		551
Pension Plan:
Unrealized net actuarial loss		(1,692)		457		(1,235)
Less: amortization of unrecognized loss		(600)		162		(438)
Less: amortization of prior service costs		(4)		1		(3)
Net pension plan liability adjustment		(1,088)		294		(794)
SERP:
Less: amortization of unrecognized loss		(81)		22		(59)
Less: amortization of prior service costs		1		—		1
Net SERP liability adjustment		80		(22)		58
Other comprehensive income	$	248	$	(68)	$	180



Components of Other Comprehensive Income (in thousands)	Before Tax Amount		Tax (Expense) Benefit		Net
For the Three months ended June 30, 2019
Available for sale (AFS) securities with OTTI:
Unrealized holding losses	$	(216)	$	59	$	(157)
Less: accretable yield recognized in income		50		(13)		37
Net unrealized losses on investments with OTTI		(266)		72		(194)
Available for sale securities – all other:
Unrealized holding gains		2,169		(588)		1,581
Less: gains recognized in income		6		(2)		4
Net unrealized gains on all other AFS securities		2,163		(586)		1,577
Held to maturity securities:
Unrealized holding gains		—		—		—
Less: amortization recognized in income		(86)		23		(63)
Net unrealized gains on HTM securities		86		(23)		63
Cash flow hedges:
Unrealized holding losses		(666)		180		(486)
Pension Plan:
Unrealized net actuarial gain		701		(190)		511
Less: amortization of unrecognized loss		(269)		73		(196)
Net pension plan liability adjustment		970		(263)		707
SERP:
Unrealized net actuarial loss		—		—		—
Less: amortization of unrecognized loss		(29)		8		(21)
Net SERP liability adjustment		29		(8)		21
Other comprehensive income	$	2,316	$	(628)	$	1,688



Components of Other Comprehensive Loss (in thousands)	Before Tax Amount		Tax (Expense) Benefit		Net
For the Three months ended June 30, 2018
Available for sale (AFS) securities with OTTI:
Unrealized holding gains	$	1,493	$	(404)	$	1,089
Less: gains recognized in income		145		(39)		106
Less: accretable yield recognized in income		52		(14)		38
Net unrealized gains on investments with OTTI		1,296		(351)		945
Available for sale securities – all other:
Unrealized holding losses		(325)		88		(237)
Less: losses recognized in income		(10)		3		(7)
Net unrealized losses on all other AFS securities		(315)		85		(230)
Held to maturity securities:
Unrealized holding gains		—		—		—
Less: amortization recognized in income		(52)		14		(38)
Net unrealized gains on HTM securities		52		(14)		38
Cash flow hedges:
Unrealized holding gains		148		(40)		108
Pension Plan:
Unrealized net actuarial loss		(2,399)		648		(1,751)
Less: amortization of unrecognized loss		(300)		81		(219)
Less: amortization of prior service costs		(2)		—		(2)
Net pension plan liability adjustment		(2,097)		567		(1,530)
SERP:
Unrealized net actuarial loss		—		—		—
Less: amortization of unrecognized loss		(40)		11		(29)
Net SERP liability adjustment		40		(11)		29
Other comprehensive loss	$	(876)	$	236	$	(640)

The following table presents the details of amount reclassified from accumulated other comprehensive loss for the six- and three-month periods ended June 30, 2019 and 2018:



Amounts Reclassified from	Six Months Ended
Accumulated Other Comprehensive Loss	June 30,				Affected Line Item in the Statement
(in thousands)	2019		2018		Where Net Income is Presented
Net unrealized gains on available for sale investment securities with OTTI:
Gains on calls	$	—	$	145	Net gains
Accretable yield		99		107	Interest income on taxable investment securities
Taxes		(26)		(68)	Provision for income tax expense
	$	73	$	184	Net of tax
Net unrealized losses on available for sale investment securities - all others:
Losses on sales	$	—	$	(19)	Net gains
Taxes		—		5	Provision for income tax expense
	$	—	$	(14)	Net of tax
Net unrealized losses on held to maturity securities:
Amortization	$	(161)	$	(114)	Interest income on taxable investment securities
Taxes		43		31	Provision for income tax expense
	$	(118)	$	(83)	Net of tax
Net pension plan liability adjustment:
Amortization of unrecognized loss	$	(538)	$	(600)	Other Expense
Amortization of prior service costs		—		(4)	Salaries and employee benefits
Taxes		146		163	Provision for income tax expense
	$	(392)	$	(441)	Net of tax
Net SERP liability adjustment:
Amortization of unrecognized loss	$	(58)	$	(81)	Other Expense
Amortization of prior service costs		1		1	Salaries and employee benefits
Taxes		15		22	Provision for income tax expense
	$	(42)	$	(58)	Net of tax
Total reclassifications for the period	$	(479)	$	(412)	Net of tax



Amounts Reclassified from	Three Months Ended
Accumulated Other Comprehensive Loss	June 30,				Affected Line Item in the Statement
(in thousands)	2019		2018		Where Net Income is Presented
Net unrealized gains on available for sale investment securities with OTTI:
Gains on calls	$	—	$	145	Net gains
Accretable Yield	$	50	$	52	Interest income on taxable investment securities
Taxes		(13)		(53)	Provision for Income Tax Expense
	$	37	$	144	Net of tax
Net unrealized gains/(losses) on available for sale investment securities - all others:
Gains/(losses) on sales	$	6	$	(10)	Net gains
Taxes		(2)		3	Provision for Income Tax Expense
	$	4	$	(7)	Net of tax
Net unrealized losses on held to maturity securities:
Amortization	$	(86)	$	(52)	Interest income on taxable investment securities
Taxes		23		14	Provision for Income Tax Expense
	$	(63)	$	(38)	Net of tax
Net pension plan liability adjustment:
Amortization of unrecognized loss	$	(269)	$	(300)	Salaries and employee benefits
Amortization of prior service costs		—		(2)	Salaries and employee benefits
Taxes		73		81	Provision for Income Tax Expense
	$	(196)	$	(221)	Net of tax
Net SERP liability adjustment:
Amortization of unrecognized loss	$	(29)	$	(41)	Salaries and employee benefits
Taxes		8		11	Provision for Income Tax Expense
	$	(21)	$	(30)	Net of tax
Total reclassifications for the period	$	(239)	$	(152)	Net of tax