Investment securities have been classified in the consolidated balance sheets according to management’s intent. Investment securities at December 31, 2025 and 2024 are summarized as follows:


			Gross		Gross
	Amortized		Unrealized		Unrealized		Fair
(In thousands)	Cost		Gains		Losses		Value

December 31, 2025
Securities available for sale:
Agency mortgage-backed securities	$	96,218	$	505	$	4,793	$	91,930
Agency CMO		100,018		841		113		100,746
Agency notes and bonds		75,448		30		1,087		74,391
Treasury notes and bonds		2,485		—		24		2,461
Municipal obligations		157,998		996		11,332		147,662

Total securities available for sale	$	432,167	$	2,372	$	17,349	$	417,190

Securities held to maturity:
Other debt securities:
Corporate notes	$	7,000	$	—	$	1,757	$	5,243

Total securities held to maturity	$	7,000	$	—	$	1,757	$	5,243

December 31, 2024
Securities available for sale:
Agency mortgage-backed securities	$	76,295	$	—	$	8,354	$	67,941
Agency CMO		47,821		197		500		47,518
Agency notes and bonds		122,834		6		4,760		118,080
Treasury notes and bonds		21,803		—		254		21,549
Municipal obligations		150,182		171		16,198		134,155

Total securities available for sale	$	418,935	$	374	$	30,066	$	389,243

Securities held to maturity:
Other debt securities:
Corporate notes	$	7,000	$	—	$	2,409	$	4,591

Total securities held to maturity	$	7,000	$	—	$	2,409	$	4,591

The amortized cost and fair value of debt securities as of December 31, 2025, by contractual maturity, are shown below. Expected maturities of mortgage-backed securities and CMO may differ from contractual maturities because the mortgages underlying the obligations may be prepaid without penalty.


		Securities Available for Sale						Securities Held to Maturity
		Amortized			Fair			Amortized			Fair
(In thousands)		Cost			Value			Cost			Value

Due in one year or less		$	61,010		$	60,293		$	—		$	—
Due after one year through five years			35,004			33,689			—			—
Due after five years through ten years			79,238			72,952			2,000			1,560
Due after ten years			60,679			57,580			5,000			3,683
			235,931			224,514			7,000			5,243
Mortgage-backed securities and CMO			196,236			192,676			—			—
		$	432,167		$	417,190		$	7,000		$	5,243

At December 31, 2025, certain securities available for sale with an amortized cost of $93.1 million and fair value of $92.3 million were pledged to secure public fund deposits, a blanket collateral agreement with the FHLB and borrowings at the FRB’s Discount Window.

At December 31, 2025 and 2024, there were no holdings of securities of any one issuer, other than the U.S. Government and its agencies, with an aggregate book value greater that 10% of stockholders’ equity.

Information pertaining to investment securities with gross unrealized losses at December 31, 2025, aggregated by investment category and the length of time that individual investment securities have been in a continuous loss position, follows.


		Number of					Gross
		Investment		Fair			Unrealized
(Dollars in thousands)		Positions		Value			Losses
Securities available for sale:
Continuous loss position less than twelve months:
Agency mortgage-backed securities		8		$	11,853		$	96
Agency CMO		1			646			1
Agency notes and bonds		1			747			1
Municipal obligations		11			3,883			9
Total less than twelve months		21			17,129			107

Continuous loss position more than twelve months:
Agency mortgage-backed securities		90			51,637			4,697
Agency CMO		19			6,335			112
Agency notes and bonds		26			70,014			1,086
Treasury notes and bonds		2			2,461			24
Municipal obligations		174			97,487			11,323
Total more than twelve months		311			227,934			17,242

Total securities available for sale		332		$	245,063		$	17,349

Securities held to maturity:
Continuous loss position more than twelve months:
Corporate notes		4		$	5,243		$	1,757
Total more than twelve months		4			5,243			1,757
Total securities held to maturity		4		$	5,243		$	1,757

Information pertaining to investment securities with gross unrealized losses at December 31, 2024, aggregated by investment category and the length of time that individual investment securities have been in a continuous loss position, follows.


		Number of					Gross
		Investment		Fair			Unrealized
(Dollars in thousands)		Positions		Value			Losses
Securities available for sale:
Continuous loss position less than twelve months:
Agency mortgage-backed securities		7		$	8,008		$	93
Agency CMO		11			19,211			215
Agency notes and bonds		7			4,830			57
Municipal obligations		39			18,880			334
Total less than twelve months		64			50,929			699

Continuous loss position more than twelve months:
Agency mortgage-backed securities		93			59,933			8,261
Agency CMO		22			7,271			285
Agency notes and bonds		45			112,046			4,703
Treasury notes and bonds		8			21,549			254
Municipal obligations		196			103,201			15,864
Total more than twelve months		364			304,000			29,367

Total securities available for sale		428		$	354,929		$	30,066

Securities held to maturity:
Continuous loss position less than twelve months:
Corporate notes		4		$	4,591		$	2,409
Total less than twelve months		4			4,591			2,409
Total securities held to maturity		4		$	4,591		$	2,409

The Company has not identified any specific available for sale securities in a loss position that it intends to sell in the near term and does not believe that it will be required to sell any such securities. The Company reviews its securities on a quarterly basis to assess declines in fair value for credit losses. Consideration is given to such factors as the credit rating of the borrower, market conditions such as current interest rates, any adverse conditions specific to the security, and delinquency status on contractual payments. At December 31, 2025, 2024, and 2023, management concluded that in all instances, securities with fair values less than carrying value were due to market and other factors; thus, no credit loss provision was required.

In addition, management assesses held to maturity securities for credit losses on a quarterly basis. The assessment includes review of performance metrics, identification of delinquency and evaluation of market factors. In July 2024, a BHC whose subordinated debt the Company holds and is classified as held to maturity, having an amortized cost balance of $2.0 million, announced the suspension of its quarterly dividend. Based on this announcement, management performed additional research regarding the financial stability and strength of the BHC and underlying bank in each subsequent quarter. In September 2025, the BHC resumed paying a quarterly dividend. Based on all analysis, management concluded the decline in fair value of all securities classified as held to maturity was due to changes in interest rates and other market factors for the years ended December 31, 2025 and 2024.

At December 31, 2025, the municipal obligations and U.S. government agency debt securities, including agency mortgage-backed securities, Treasury notes and bonds, and agency notes and bonds, in a loss position had depreciated approximately 6.6% from the amortized cost basis. All of the U.S. government agency securities and municipal securities are issued by U.S. government agencies, government-sponsored enterprises, or municipal governments, and are secured by first mortgage loans or municipal project revenues. At December 31, 2025, the corporate notes classified as held to maturity in a loss position had depreciated approximately 25.1% from the amortized cost basis. These unrealized losses related principally to current interest rates for similar types of

securities. In analyzing an issuer’s financial condition, management considers whether the securities are issued by the federal government, its agencies or other governments, whether downgrades by bond rating agencies have occurred, and the results of reviews of the issuer’s financial condition. As the Company has the ability and intent to hold all debt securities in an unrealized loss position until maturity, or the foreseeable future if classified as available for sale, and management does not believe that it will be required to sell any such securities, no credit loss has been recorded.

As of December 31, 2025 and December 31, 2024, the Company estimated expected credit losses to be immaterial based on the composition of the held to maturity securities portfolio. Accordingly, no credit loss provisions were recorded in earnings for the years ended December 31, 2025, 2024, or 2023.

While management does not anticipate any credit losses at December 31, 2025, additional deterioration in market and economic conditions may have an adverse impact on credit quality in the future.

During the year ended December 31, 2025, the Company realized gross gains of $52,000 and gross losses of $146,000 on the sale of available for sale securities. During the year ended December 31, 2024, the Company realized gross gains of $133,000 and gross losses of $101,000 on the sale of available for sale securities. During the year ended December 31, 2023, the Company realized gross gains of $79,000 and gross losses of $193,000 on the sale of available for sale securities.

In September 2018, the Company acquired 90,000 shares of common stock in another BHC, representing approximately 5% of the outstanding common stock of the entity, for a total investment of $1.9 million. During the year ended December 31, 2025, the Company recognized a gain of $149,000 on this investment compared to losses of $374,000 and $207,000 for the years ended December 31, 2024 and 2023, respectively. At December 31, 2025 and 2024, the equity investment had a fair value of $1.0 million and $887,000, respectively, and is included in other assets on the consolidated balance sheets.

In October 2021 the Company entered into an agreement to invest in a bank technology fund through a limited partnership and the Company entered into an agreement to participate in a second, related fund in June 2025. At December 31, 2025 and 2024, the Company’s investment in the limited partnership was $910,000 and $965,000, respectively, and is reflected in other assets on the consolidated balance sheets. The Company recognized returns of capital totaling $54,000 and $35,000 for the years ended December 31, 2025 and 2024, respectively. There were no returns of capital during the year ended December 31, 2023. The unfunded commitment related to the limited partnership investment at December 31, 2025 and 2024 was $237,000 and $380,000, respectively, and is reflected in other liabilities on the consolidated balance sheets. The Company expects to fulfill the commitment as capital calls are made through 2026. The investment is accounted for as an equity security without a readily determinable fair value, and has been recorded at cost, less any impairment, and adjustments resulting from observable price changes. There were no impairments or adjustments on equity securities without readily determinable fair values during the years ended December 31, 2025, 2024 or 2023.

In December 2015, the Company acquired Peoples Bancorp, Inc. of Bullitt County and its wholly-owned bank subsidiary, Peoples Bank of Bullitt County (“Peoples”), headquartered in Shepherdsville, Kentucky. Peoples owned Class B shares of VISA that were carried at an amortized costs basis of zero and were subsequently transferred to the Company. During the year ended December 31, 2023, the Company sold all the VISA Class B shares owned for a gross gain of $157,000 which is included in the gain on sale of securities in noninterest income.