6. Securities

The amortized cost and fair value of securities were as follows:



	September 30, 2015
			Gross		Gross
	Amortized		Unrealized		Unrealized		Fair
	Cost		Gains		Losses		Value
	(In Thousands)
Available for Sale:
U.S. Government agencies	$	18,310	$	81	$	(31)	$	18,360
States and political subdivisions		62,078		1,247		(395)		62,930
Corporate obligations		4,961		97		-		5,058
Mortgage-backed securities-
government sponsored entities		66,571		402		(384)		66,589
Total debt securities		151,920		1,827		(810)		152,937
Equity securities-financial services		292		76		-		368
	$	152,212	$	1,903	$	(810)	$	153,305



	December 31, 2014
			Gross		Gross
	Amortized		Unrealized		Unrealized		Fair
	Cost		Gains		Losses		Value

	(In Thousands)
Available for Sale:
U.S. Government agencies	$	29,289	$	42	$	(356)	$	28,975
States and political subdivisions		52,685		1,750		(103)		54,332
Corporate obligations		6,387		110		(11)		6,486
Mortgage-backed securities-government
sponsored entities		67,032		109		(937)		66,204
Total debt securities		155,393		2,011		(1,407)		155,997
Equity securities-financial services		292		106		-		398
	$	155,685	$	2,117	$	(1,407)	$	156,395

The following tables show the Company’s investment securities gross unrealized losses and fair value aggregated by length of time that individual securities have been in a continuous unrealized loss position (in thousands):



	September 30, 2015
	Less than 12 Months				12 Months or More				Total
	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
U.S. Government agencies	$	4,033	$	(5)	$	3,150	$	(26)	$	7,183	$	(31)
States and political subdivisions		18,993		(359)		2,186		(36)		21,179		(395)
Corporate obligations		-		-		-		-		-		-
Mortgage-backed securities-government sponsored agencies		7,597		(50)		17,540		(334)		25,137		(384)
	$	30,623	$	(414)	$	22,876	$	(396)	$	53,499	$	(810)



	December 31, 2014
	Less than 12 Months				12 Months or More				Total
	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
U.S. Government agencies	$	4,965	$	(17)	$	15,051	$	(339)	$	20,016	$	(356)
States and political subdivisions		3,195		(20)		4,633		(83)		7,828		(103)
Corporate obligations		-		-		1,144		(11)		1,144		(11)
Mortgage-backed securities-government sponsored agencies		22,090		(189)		26,050		(748)		48,140		(937)
	$	30,250	$	(226)	$	46,878	$	(1,181)	$	77,128	$	(1,407)

At September 30, 2015, the Company has 44 debt securities in an unrealized loss position in the less than twelve months category and 25 debt securities in the twelve months or more category. In Management’s opinion the unrealized losses reflect changes in interest rates subsequent to the acquisition of specific securities. No other-than-temporary-impairment charges were recorded in 2015. Management believes that all unrealized losses represent temporary impairment of the securities as the Company does not have the intent to sell the securities and it is more likely than not that it will not have to sell the securities before recovery of its cost basis.

The amortized cost and fair value of debt securities as of September 30, 2015 by contractual maturity are shown below. Expected maturities may differ from contractual maturities because borrowers may have the right to prepay obligations with or without call or prepayment penalties.



	Available for Sale
(In Thousands)	Amortized Cost		Fair Value


Due in one year or less	$	1,140	$	1,155
Due after one year through five years		22,596		22,748
Due after five years through ten years		9,542		9,636
Due after ten years		52,071		52,809

Mortgage-backed securities-government sponsored agencies		66,571		66,589
	$	151,920	$	152,937

Gross realized gains and gross realized losses on sales of securities available for sale were as follows (in thousands):



	Three Months				Nine Months
	Ended September 30,				Ended September 30,
	2015		2014		2015		2014
Gross realized gains	$	63	$	301	$	508	$	918
Gross realized losses		-		-		-		(14)
Net realized gain	$	63	$	301	$	508	$	904
Proceeds from sales of securities	$	5,466	$	7,252	$	28,850	$	39,117