| Carrying amount and estimated fair value of financial instruments not recorded at fair value |
The carrying amount and estimated fair value of financial instruments not recorded at fair value in their entirety on a recurring basis were as follows as of: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | June 30, 2025 | | Carrying
Value | | Estimated
Fair Value | | Level 1 | | Level 2 | | Level 3 | | ASSETS | | | | | | | | | | | Cash and cash equivalents | $ | 108,554 | | | $ | 108,554 | | | $ | 108,554 | | | $ | — | | | $ | — | | FHLB stock (1) | 5,600 | | | N/A | | — | | | — | | | — | | | Mortgage loans HFS | 55 | | | 56 | | | — | | | 56 | | | — | | | | | | | | | | | | | Gross loans | 1,397,513 | | | 1,353,000 | | | — | | | — | | | 1,353,000 | | | Less allowance for credit losses | 12,977 | | | 12,977 | | | — | | | — | | | 12,977 | | | Net loans | 1,384,536 | | | 1,340,023 | | | — | | | — | | | 1,340,023 | | | Accrued interest receivable | 7,538 | | | 7,538 | | | 7,538 | | | — | | | — | | Equity securities without readily determinable fair values (1) | 3,086 | | | N/A | | — | | | — | | | — | | | LIABILITIES | | | | | | | | | | | Deposits without stated maturities | 1,453,444 | | | 1,453,444 | | | 1,453,444 | | | — | | | — | | | Deposits with stated maturities | 395,932 | | | 394,010 | | | — | | | 394,010 | | | — | | | Short-term borrowings | 43,208 | | | 43,155 | | | — | | | 43,155 | | | — | | | FHLB advances | — | | | — | | | — | | | — | | | — | | Subordinated debt, net of unamortized issuance costs | 29,469 | | | 27,896 | | | — | | | 27,896 | | | — | | | Accrued interest payable | 937 | | | 937 | | | 937 | | | — | | | — | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | December 31, 2024 | | | Carrying
Value | | Estimated
Fair Value | | Level 1 | | Level 2 | | Level 3 | | ASSETS | | | | | | | | | | | Cash and cash equivalents | $ | 24,542 | | | $ | 24,542 | | | $ | 24,542 | | | $ | — | | | $ | — | | FHLB stock (1) | 12,762 | | | N/A | | — | | | — | | | — | | | Mortgage loans HFS | 242 | | | 247 | | | — | | | 247 | | | — | | | | | | | | | | | | | Gross loans | 1,423,571 | | | 1,363,883 | | | — | | | — | | | 1,363,883 | | | Less allowance for credit losses | 12,895 | | | 12,895 | | | — | | | — | | | 12,895 | | | Net loans | 1,410,676 | | | 1,350,988 | | | — | | | — | | | 1,350,988 | | | Accrued interest receivable | 8,085 | | | 8,085 | | | 8,085 | | | — | | | — | | Equity securities without readily determinable fair values (1) | 3,086 | | | N/A | | — | | | — | | | — | | | LIABILITIES | | | | | | | | | | | Deposits without stated maturities | 1,359,469 | | | 1,359,469 | | | 1,359,469 | | | — | | | — | | | Deposits with stated maturities | 387,591 | | | 385,200 | | | — | | | 385,200 | | | — | | | Short-term borrowings | 53,567 | | | 53,503 | | | — | | | 53,503 | | | — | | | FHLB advances | 30,000 | | | 30,000 | | | — | | | 30,000 | | | — | | Subordinated debt, net of unamortized issuance costs | 29,424 | | | 27,658 | | | — | | | 27,658 | | | — | | | Accrued interest payable | 1,051 | | | 1,051 | | | 1,051 | | | — | | | — | |
(1) Due to the characteristics of equity securities without readily determinable fair values, they are not disclosed under a specific fair value hierarchy. When an impairment or write-down related to these securities is recorded, such amount would be classified as a nonrecurring Level 3 fair value adjustment.
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| Assets and liabilities measured at fair value |
The table below presents the recorded amount of assets and liabilities measured at fair value on: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | June 30, 2025 | | December 31, 2024 | | Total | | Level 1 | | Level 2 | | Level 3 | | Total | | Level 1 | | Level 2 | | Level 3 | | Recurring items | | | | | | | | | | | | | | | | | AFS securities | | | | | | | | | | | | | | | | | U.S. Treasury | $ | 204,306 | | | $ | — | | | $ | 204,306 | | | $ | — | | | $ | 220,571 | | | $ | — | | | $ | 220,571 | | | $ | — | | | States and political subdivisions | 68,320 | | | — | | | 68,320 | | | — | | | 76,568 | | | — | | | 76,568 | | | — | | | Auction rate money market preferred | 2,765 | | | — | | | 2,765 | | | — | | | 3,044 | | | — | | | 3,044 | | | — | | | Mortgage-backed securities | 24,657 | | | — | | | 24,657 | | | — | | | 26,886 | | | — | | | 26,886 | | | — | | | Collateralized mortgage obligations | 193,240 | | | — | | | 193,240 | | | — | | | 154,674 | | | — | | | 154,674 | | | — | | | Corporate | 7,272 | | | — | | | 7,272 | | | — | | | 7,286 | | | — | | | 7,286 | | | — | | | Total AFS securities | 500,560 | | | — | | | 500,560 | | | — | | | 489,029 | | | — | | | 489,029 | | | — | | | Nonrecurring items | | | | | | | | | | | | | | | | | Collateral dependent (net of ACL) | 1,087 | | | — | | | — | | | 1,087 | | | 254 | | | — | | | — | | | 254 | | | Foreclosed assets | 667 | | | — | | | — | | | 667 | | | 544 | | | — | | | — | | | 544 | | | OMSR | 2,261 | | | — | | | — | | | 2,261 | | | 2,185 | | | — | | | — | | | 2,185 | | | Total | $ | 504,575 | | | $ | — | | | $ | 500,560 | | | $ | 4,015 | | | $ | 492,012 | | | $ | — | | | $ | 489,029 | | | $ | 2,983 | | | Percent of assets and liabilities measured at fair value | | | 0.00 | % | | 99.20 | % | | 0.80 | % | | | | 0.00 | % | | 99.39 | % | | 0.61 | % |
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