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Securities Available for Sale

3 Months Ended

Mar. 31, 2018

(2)

Securities Available for Sale. Securities have been classified according to management’s intent. The carrying amount of securities and approximate fair values are as follows (in thousands):

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value

*At March 31, 2018:*
Collateralized mortgage obligations	$	8,507	$	—	$	(386	)	$	8,121
SBA Pool Securities		2,881		—		(12	)		2,869

Total	$	11,388	$	—	$	(398	)	$	10,990

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value

*At December 31, 2017:*
Collateralized mortgage obligations	$	8,806	$	—	$	(340	)	$	8,466
SBA Pool Securities		2,965		10		(4	)		2,971

Total	$	11,771	$	10	$	(344	)	$	11,437

There were no sales of securities available for sale during the three months ended March 31, 2018 and 2017.

Securities available for sale with gross unrealized losses, aggregated by investment category and length of time that individual securities have been in a continuous loss position, is as follows (in thousands):

	At March 31, 2018
	Over Twelve Months					Less Than Twelve Months
	Gross Unrealized Losses			Fair Value		Gross Unrealized Losses			Fair Value

Collateralized mortgage obligations	$	(386)		$	8,121	$	—		$	—
SBA Pool Securities		(2	)		512		(10	)		2,357
	$	(388	)	$	8,633	$	(10	)	$	2,357

	At December 31, 2017
	Over Twelve Months					Less Than Twelve Months
	Gross Unrealized Losses			Fair Value		Gross Unrealized Losses			Fair Value

Collateralized mortgage obligations	$	(340	)	$	8,466	$	—		$	—
SBA Pools Securities		(3	)		539		(1	)		540
	$	(343	)	$	9,005	$	(1	)	$	540

Management evaluates securities for other-than-temporary impairment at least on a quarterly basis, and more frequently when economic or market concerns warrants such evaluation. Consideration is given to (1) the length of time and the extent to which the fair value has been less than cost, (2) the financial condition and near-term prospectus of the issuer, and (3) the intent and ability of the Company to retain its investment in the issuer for a period of time sufficient to allow for any anticipated recovery in fair value.

At March 31, 2018 and December 31, 2017, the unrealized losses on twelve investment securities and eight investment securities, respectively, were caused by market conditions. It is expected that the securities would not be settled at a price less than the book value of the investments. Because the decline in fair value is attributable to market conditions and not credit quality, and because the Company has the ability and intent to hold these investments until a market price recovery or maturity, these investments are not considered other-than-temporarily impaired.