v3.25.4
Disclosures about Fair Value of Financial Instruments
 12 Months Ended
Dec. 31, 2025
Fair Value Disclosures [Abstract]  
Disclosures about Fair Value of Financial Instruments
Disclosures about Fair Value of Financial Instruments
Following is a summary of the carrying amounts and fair values of the Company’s financial instruments:
December 31,
20252024
(In thousands)Carrying
Amount		Fair ValueCarrying
Amount		Fair Value
Balance sheet assets:
Cash and cash equivalents $392,268 $392,268 $349,728 $349,728 
Investment securities 770,772 770,772 528,021 528,021 
Loans, net 1,047,620 1,044,045 1,068,594 1,046,406 
Accrued interest receivable 9,170 9,170 7,979 7,979 
Total $2,219,830 $2,216,255 $1,954,322 $1,932,134 
Balance sheet liabilities:
Deposits $1,200,033 $1,200,033 $967,916 $967,916 
Accounts and drafts payable 1,124,858 1,124,858 1,129,610 1,129,610 
Accrued interest payable 606 606 666 666 
Total $2,325,497 $2,325,497 $2,098,192 $2,098,192 
The following methods and assumptions were used to estimate the fair value of each class of financial instruments for which it is practicable to estimate that value:
Cash and Cash Equivalents The carrying amount approximates fair value.
Investment Securities The fair value is measured on a recurring basis using Level 2 valuations. Refer to Note 4 - Investment Securities, for fair value and unrealized gains and losses by investment type.
Loans The fair value is estimated using present values of future cash flows discounted at risk-adjusted interest rates for each loan category designated by management and is therefore a Level 3 valuation. Management believes that the risk factor embedded in the interest rates along with the allowance for credit losses approximates a fair valuation.
Accrued Interest Receivable The carrying amount approximates fair value.
Deposits The fair value of demand deposits, savings deposits and certain money market deposits is the amount payable on demand at the reporting date. The fair value of fixed-maturity certificates of deposit is estimated using the rates currently offered for deposits of similar remaining maturities and therefore, is a Level 2 valuation. The fair value estimates above do not include the benefit that results from the low-cost funding provided by the deposit liabilities compared to the cost of borrowing funds in the market or the benefit derived from the customer relationship inherent in existing deposits.
Accounts and Drafts Payable The carrying amount approximates fair value.
Accrued Interest The carrying amount approximates fair value.
Limitations Fair value estimates are based on existing on- and off-balance sheet financial instruments without attempting to estimate the value of anticipated future business and the value of assets and liabilities that are not considered financial instruments. Other significant assets or liabilities that are not considered financial assets or liabilities include premises and equipment and the benefit that results from the low-cost funding provided by the deposit liabilities compared to the cost of borrowing funds in the market (core deposit intangible). In addition, tax ramifications related to the realization of the unrealized gains and losses can have a significant effect on fair value estimates and have not been considered in any of the estimates.