Fair Values (Tables)

The table below presents the financial instrument's fair value and the amounts within the fair value hierarchy based on the lowest level of input that is significant to the fair value measurement:


Fair Value of Assets and Liabilities Measured on a Recurring and Nonrecurring Basis
			Fair Value Measurements at Reporting Date Using:
	Fair Value		Quoted Prices In Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)

Fair Value of Assets and Liabilities Measured on a Recurring Basis:
June 30, 2025
Assets:
Securities Available-for Sale:
U.S. Treasuries	$	100,113	$	100,113	$	—	$	—
U.S. Government & Agency Obligations	24,620		—		24,620		$	—
State and Municipal Obligations	200		—		200		—
Mortgage-Backed Securities	316,728		—		316,728		—
Corporate and Other Debt Securities	6,017		—		6,017		—
Total Securities Available-for-Sale	447,678		100,113		347,565		—
Equity Securities	5,332		—		5,332		—
Total Securities Measured on a Recurring Basis	453,010		100,113		352,897		—
Derivative Assets	9,169		—		9,169		—
Total Measured on a Recurring Basis	$	462,179	$	100,113	$	362,066	$	—
Liabilities:
Derivative Liabilities	8,908		—		8,908		—
Total Measured on a Recurring Basis	$	8,908	$	—	$	8,908	$	—
December 31, 2024
Assets:
Securities Available-for Sale:
U.S. Treasuries	$	98,070	$	98,070	$	—	$	—
U.S. Government & Agency Obligations	69,214		—		69,214		—
State and Municipal Obligations	240		—		240		—
Mortgage-Backed Securities	294,608		—		294,608		—
Corporate and Other Debt Securities	979		—		979		—
Total Securities Available-for-Sale	463,111		98,070		365,041		—
Equity Securities	5,055		—		5,055		—
Total Securities Measured on a Recurring Basis	468,166		98,070		370,096		—
Derivative Assets	12,659		—		12,659		—
Total Measured on a Recurring Basis	$	480,825	$	98,070	$	382,755	$	—
Liabilities:
Derivative Liabilities	$	8,638	$	—	$	8,638	$	—
Total Measured on a Recurring Basis	$	8,638	$	—	$	8,638	$	—


	Fair Value		Quoted Prices In Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Gains (Losses) Recognized in Earnings
Fair Value of Assets and Liabilities Measured on a Nonrecurring Basis:
June 30, 2025
Collateral Dependent Evaluated Loans	$	—	$	—	$	—	$	—
Other Real Estate Owned and Repossessed Assets, Net	590		—		—		590		—
December 31, 2024
Collateral Dependent Impaired Loans	$	—	$	—	$	—	$	—
Other Real Estate Owned and Repossessed Assets, Net	458		—		—		458		—

The following table presents a summary of the carrying amount, the fair value (exit price) or an amount approximating fair value and the fair value hierarchy of Arrow’s financial instruments:


Schedule of Fair Values by Balance Sheet Grouping
					Fair Value Hierarchy
	Carrying Value		Fair Value		Level 1		Level 2		Level 3
June 30, 2025
Cash and Cash Equivalents	$	268,448	$	268,448	$	268,448	$	—	$	—
Securities Available-for-Sale	447,678		447,678		100,113		347,565		—
Securities Held-to-Maturity	70,828		70,027		—		45,620		24,407
Equity Securities	5,332		5,332		—		5,332		—
Federal Home Loan Bank and Federal Reserve Bank Stock	4,557		4,557		—		4,557		—
Net Loans	3,390,563		3,213,929		—		—		3,213,929
Accrued Interest Receivable	15,009		15,009		—		15,009		—
Derivative Assets	9,169		9,169				9,169
Deposits	3,929,330		3,926,424		—		3,926,424		—


Borrowings	8,600		8,576		—		8,576		—
Junior Subordinated Obligations Issued to Unconsolidated Subsidiary Trusts	20,000		19,563		—		19,563		—
Accrued Interest Payable	5,418		5,418		—		5,418		—
Derivative Liabilities	8,908		8,908		—		8,908		—

December 31, 2024
Cash and Cash Equivalents	$	154,546	$	154,546	$	154,546	$	—	$	—
Securities Available-for-Sale	463,111		463,111		98,070		365,041		—
Securities Held-to-Maturity	98,261		96,586		—		75,262		21,324
Equity Securities	5,055		5,055				5,055
Federal Home Loan Bank and Federal Reserve Bank Stock	4,353		4,353		—		4,353		—
Net Loans	3,360,943		3,137,721		—		—		3,137,721
Accrued Interest Receivable	13,229		13,229		—		13,229		—
Derivative Assets	12,659		12,659		—		12,659		—
Deposits	3,827,930		3,824,699		—		3,824,699		—

Borrowings	8,600		8,386		—		8,386		—

Junior Subordinated Obligations Issued to Unconsolidated Subsidiary Trusts	20,000		20,000		—		20,000		—
Accrued Interest Payable	5,099		5,099		—		5,099		—
Derivative Liabilities	8,638		8,638		—		8,638		—