Investment Securities

12 Months Ended

Jun. 30, 2017

Investments, Debt and Equity Securities [Abstract]

The amortized cost and estimated fair value of investment securities as of June 30, 2017 and 2016 were as follows:



June 30, 2017	Amortized Cost		Gross Unrealized Gains		Gross Unrealized (Losses)			Estimated Fair Value		Carrying Value
(In Thousands)
Held to maturity
U.S. government sponsored enterprise MBS	$	59,841	$	265	$	(77	)	$	60,029	$	59,841
Certificate of deposits	600		—		—			600		600
Total investment securities - held to maturity	$	60,441	$	265	$	(77	)	$	60,629	$	60,441

Available for sale
U.S. government agency MBS	$	5,197	$	186	$	—		$	5,383	$	5,383
U.S. government sponsored enterprise MBS	3,301		173		—			3,474		3,474
Private issue CMO⁽¹⁾	456		5		—			461		461
Total investment securities - available for sale	$	8,954	$	364	$	—		$	9,318	$	9,318
Total investment securities	$	69,395	$	629	$	(77	)	$	69,947	$	69,759


⁽¹⁾	Collateralized Mortgage Obligations (“CMO”).



June 30, 2016	Amortized Cost		Gross Unrealized Gains		Gross Unrealized (Losses)			Estimated Fair Value		Carrying Value
(In Thousands)
Held to maturity
U.S. government sponsored enterprise MBS	$	39,179	$	459	$	—		$	39,638	$	39,179
Certificate of deposits	800		—		—			800		800
Total investment securities - held to maturity	$	39,979	$	459	$	—		$	40,438	$	39,979

Available for sale
U.S. government agency MBS	$	6,308	$	264	$	—		$	6,572	$	6,572
U.S. government sponsored enterprise MBS	3,998		225		—			4,223		4,223
Private issue CMO⁽¹⁾	598		4		(1		)	601		601
Common stock⁽²⁾	147		—		—			147		147
Total investment securities - available for sale	$	11,051	$	493	$	(1	)	$	11,543	$	11,543
Total investment securities	$	51,030	$	952	$	(1	)	$	51,981	$	51,522


⁽¹⁾	Collateralized Mortgage Obligations (“CMO”).


⁽²⁾	Common stock of a community development financial institution.

In fiscal 2017, 2016 and 2015, the Corporation received MBS principal payments of $15.1 million, $4.8 million and $2.3 million, respectively; did not sell any investment securities; and received the redemption of the common stock of $147,000 in fiscal 2017. The Corporation purchased mortgage-backed securities totaling $34.5 million and $41.7 million during fiscal 2017 and 2016, respectively.

As of June 30, 2017 and 2016, the Corporation held investments with unrealized loss position of $77,000 and $1,000, respectively.



As of June 30, 2017	Unrealized Holding Losses				Unrealized Holding Losses				Unrealized Holding Losses
(In Thousands)	Less Than 12 Months				12 Months or More				Total
	Fair		Unrealized		Fair		Unrealized		Fair		Unrealized
Description of Securities	Value		Losses		Value		Losses		Value		Losses

U.S. government sponsored enterprise MBS	$	28,722	$	77	$	—	$	—	$	28,722	$	77
Total	$	28,722	$	77	$	—	$	—	$	28,722	$	77



As of June 30, 2016	Unrealized Holding Losses				Unrealized Holding Losses				Unrealized Holding Losses
(In Thousands)	Less Than 12 Months				12 Months or More				Total
	Fair		Unrealized		Fair		Unrealized		Fair		Unrealized
Description of Securities	Value		Losses		Value		Losses		Value		Losses

Private issue CMO	$	103	$	1	$	—	$	—	$	103	$	1
Total	$	103	$	1	$	—	$	—	$	103	$	1


⁽¹⁾	Common stock of a community development financial institution.

As of June 30, 2017 and 2016, the unrealized holding losses were less than 12 months. The unrealized loss at June 30, 2017 was attributable to five U.S. government sponsored enterprise MBS and, based on the nature of the investment, management concluded that such unrealized loss was not other than temporary; while the unrealized loss at June 30, 2016 was attributable to a single private label CMO and, based on the nature of the investment, management concluded that such unrealized loss was not other than temporary. The Corporation does not believe that there was any OTTI at June 30, 2017 and 2016. At each of these dates, the Corporation intended and had the ability to hold the investment securities and was not likely to be required to sell the securities before realizing a full recovery.

Contractual maturities of investment securities as of June 30, 2017 and 2016 were as follows:



	June 30, 2017				June 30, 2016
(In Thousands)	Amortized Cost		Estimated Fair Value		Amortized Cost		Estimated Fair Value
Held to maturity
Due in one year or less	$	600	$	600	$	800	$	800
Due after one through five years	4,698		4,708		—		—
Due after five through ten years	41,404		41,374		18,904		19,203
Due after ten years	13,739		13,947		20,275		20,435
Total investment securities - held to maturity	$	60,441	$	60,629	$	39,979	$	40,438

Available for sale
Due in one year or less	$	—	$	—	$	—	$	—
Due after one through five years	—		—		—		—
Due after five through ten years	—		—		—		—
Due after ten years	8,954		9,318		10,904		11,396
No stated maturity (common stock)	—		—		147		147
Total investment securities - available for sale	$	8,954	$	9,318	$	11,051	$	11,543
Total investment securities	$	69,395	$	69,947	$	51,030	$	51,981

- Definition

The entire disclosure for investments in certain debt and equity securities.

+ References + Details