Investments (Tables)
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6 Months Ended |
Jun. 30, 2016 |
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| Investments [Abstract] |
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| Unrealized Gain (Loss) on Investments |
The following table shows a comparison of amortized cost and fair values of investment securities at June 30, 2016 and December 31, 2015:
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(in thousands)
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Amortized Cost
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Gross Unrealized Gains
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Gross Unrealized Losses
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Fair Value
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OTTI in AOCI
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June 30, 2016
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Available for Sale:
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U.S. government agencies
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$
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25,050
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$
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217
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0
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$
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25,267
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$
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0
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Commercial mortgage-backed agencies
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57,091
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1,331
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0
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58,422
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0
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Collateralized mortgage obligations
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11,205
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93
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0
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11,298
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0
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Obligations of states and political subdivisions
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31,045
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1,029
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64
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32,010
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0
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Collateralized debt obligations
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25,402
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0
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5,172
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20,230
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(471)
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Total available for sale
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$
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149,793
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$
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2,670
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$
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5,236
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$
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147,227
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$
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(471)
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Held to Maturity:
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U.S. government agencies
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$
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17,744
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$
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1,327
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$
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0
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$
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19,071
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$
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0
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Residential mortgage-backed agencies
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54,065
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1,262
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26
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55,301
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0
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Commercial mortgage-backed agencies
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17,938
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1,140
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0
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19,078
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0
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Collateralized mortgage obligations
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5,478
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19
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0
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5,497
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0
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Obligations of states and political subdivisions
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2,505
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506
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0
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3,011
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0
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Total held to maturity
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$
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97,730
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$
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4,254
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$
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26
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$
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101,958
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$
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0
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December 31, 2015
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Available for Sale:
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U.S. government agencies
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34,079
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14
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129
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33,964
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0
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Residential mortgage-backed agencies
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14,285
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105
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220
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14,170
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0
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Commercial mortgage-backed agencies
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43,780
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52
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196
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43,636
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0
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Collateralized mortgage obligations
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9,690
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43
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123
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9,610
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0
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Obligations of states and political subdivisions
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45,949
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915
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223
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46,641
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0
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Collateralized debt obligations
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25,766
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0
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3,555
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22,211
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(799)
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Total available for sale
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$
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173,549
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$
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1,129
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$
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4,446
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$
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170,232
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$
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(799)
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Held to Maturity:
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U.S. government agencies
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$
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24,704
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$
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634
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$
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0
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$
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25,338
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$
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0
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Residential mortgage-backed agencies
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53,734
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276
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98
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53,912
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0
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Commercial mortgage-backed agencies
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18,078
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171
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17
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18,232
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0
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Collateralized mortgage obligations
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6,419
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0
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122
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6,297
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0
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Obligations of states and political subdivisions
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2,625
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338
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0
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2,963
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0
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Total held to maturity
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$
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105,560
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$
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1,419
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$
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237
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$
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106,742
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$
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0
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| Proceeds from Sales and Realized Gain and Losses |
Proceeds from sales of available for sale securities and the realized gains and losses are as follows:
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Six months ended
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Three months ended
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June 30,
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June 30,
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(in thousands)
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2016
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2015
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2016
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2015
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Proceeds
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$
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25,591
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$
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24,667
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$
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14,820
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$
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9,578
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Realized gains
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415
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156
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138
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140
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Realized losses
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188
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173
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117
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60
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| Gross Unrealized Losses and Fair Values of Securities |
The following table shows the Corporation’s investment securities with gross unrealized losses and fair values at June 30, 2016 and December 31, 2015, aggregated by investment category and the length of time that individual securities have been in a continuous unrealized loss position:
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Less than 12 months
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12 months or more
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(in thousands)
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Fair Value
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Unrealized Losses
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Fair Value
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Unrealized Losses
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June 30, 2016
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Available for Sale:
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Obligations of states and political subdivisions
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267
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1
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3,596
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63
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Collateralized debt obligations
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12,886
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1,289
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7,344
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3,883
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Total available for sale
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$
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13,153
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$
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1,290
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$
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10,940
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$
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3,946
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Held to Maturity:
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Residential mortgage-backed agencies
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$
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3,505
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$
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21
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$
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1,919
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$
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5
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Total held to maturity
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$
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3,505
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$
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21
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$
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1,919
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$
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5
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December 31, 2015
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Available for Sale:
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U.S. government agencies
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23,929
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$
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129
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$
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0
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$
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0
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Residential mortgage-backed agencies
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0
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0
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8,051
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220
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Commercial mortgage-backed agencies
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25,858
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196
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0
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0
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Collateralized mortgage obligations
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5,299
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123
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0
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0
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Obligations of states and political subdivisions
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11,537
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104
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4,048
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119
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Collateralized debt obligations
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0
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0
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7,688
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3,555
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Total available for sale
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$
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66,623
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$
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552
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$
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19,787
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$
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3,894
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Held to Maturity:
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Residential mortgage-backed agencies
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11,085
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98
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0
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0
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Commercial mortgage-backed agencies
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9,518
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17
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0
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0
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Collateralized mortgage obligations
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6,297
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122
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0
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0
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Total held to maturity
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$
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26,900
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$
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237
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$
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0
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$
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0
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| Non-Cash OTTI Credit Losses Recognized in Earnings |
The following tables present a cumulative roll-forward of the amount of non-cash OTTI charges related to credit losses which have been recognized in earnings for the trust preferred securities in the CDO portfolio held and not intended to be sold for the six- and three-month periods ended June 30, 2016 and 2015:
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Six months ended June 30,
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(in thousands)
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2016
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2015
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Balance of credit-related OTTI at January 1
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$
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3,133
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$
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12,583
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Decreases for previously recognized credit-related OTTI due to transfer
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(3,045)
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0
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Additions for decreases in cash flows expected to be collected
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33
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0
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Reduction for increases in cash flows expected to be collected
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(5)
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(340)
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Balance of credit-related OTTI at June 30
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$
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116
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$
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12,243
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Three months ended June 30,
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(in thousands)
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2016
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2015
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Balance of credit-related OTTI at April 1
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$
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3,097
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$
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12,416
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Decreases for previously recognized credit-related OTTI due to transfer
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(3,045)
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0
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Additions for decreases in cash flows expected to be collected
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66
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0
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Reduction for increases in cash flows expected to be collected
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(2)
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(173)
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Balance of credit-related OTTI at June 30
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$
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116
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$
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12,243
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| Amortized Cost and Fair Values Classified by Contractual Maturity Date |
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June 30, 2016
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(in thousands)
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Amortized Cost
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Fair Value
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Contractual Maturity
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Available for sale:
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Due in one year or less
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$
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5,998
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$
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6,018
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Due after one year through five years
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19,921
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20,134
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Due after five years through ten years
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6,201
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6,390
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Due after ten years
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49,377
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44,965
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81,497
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77,507
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Commercial mortgage-backed agencies
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57,091
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58,422
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Collateralized mortgage obligations
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11,205
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11,298
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Total available for sale
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$
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149,793
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$
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147,227
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Held to Maturity:
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Due after five years through ten years
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$
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15,670
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$
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16,799
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Due after ten years
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4,579
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5,283
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20,249
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|
22,082
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Residential mortgage-backed agencies
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$
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54,065
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55,301
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Commercial mortgage-backed agencies
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17,938
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19,078
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Collateralized mortgage obligations
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5,478
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5,497
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Total held to maturity
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$
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97,730
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$
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101,958
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