Trading securities are reported on the Company’s consolidated statements of condition at fair value. As of June 30, 2026 and December 31, 2025, the fair value of the Company’s trading securities was $4.9 million and $5.7 million, respectively. These securities are held in a rabbi trust account and invested in mutual funds. The trading securities will be used for future payments associated with the Company’s deferred compensation plan for eligible employees and directors.


(In thousands)	Amortized Cost		Unrealized Gains		Unrealized Losses		Fair Value
June 30, 2026
Obligations of states and political subdivisions	$	5,303	$	1	$	(32)	$	5,272
MBS issued or guaranteed by U.S. government-sponsored enterprises	701,390		5,253		(43,390)		663,253
CMO issued or guaranteed by U.S. government-sponsored enterprises	213,691		804		(7,361)		207,134
Subordinated corporate bonds	16,739		16		(261)		16,494
Total AFS debt securities	$	937,123	$	6,074	$	(51,044)	$	892,153
December 31, 2025

Obligations of states and political subdivisions	$	5,303	$	1	$	(29)	$	5,275
MBS issued or guaranteed by U.S. government-sponsored enterprises	720,634		7,540		(43,785)		684,389
CMO issued or guaranteed by U.S. government-sponsored enterprises	230,028		1,141		(6,796)		224,373
Subordinated corporate bonds	16,721		16		(373)		16,364
Total AFS debt securities	$	972,686	$	8,698	$	(50,983)	$	930,401

The Company previously transferred debt securities from AFS to HTM in 2022. Unrealized losses associated with these securities at the time of transfer were recorded in AOCI and are being amortized over the remaining life of the securities as an adjustment to yield. As of June 30, 2026, net unrealized losses related to the transferred securities remaining in AOCI were $34.3 million, net of a deferred tax asset of $9.9 million, and as of December 31, 2025 were $36.7 million, net of a deferred tax asset of $10.6 million.

The net unrealized losses on AFS debt securities recorded in AOCI (excluding the aforementioned securities transferred from AFS to HTM) as of June 30, 2026 were $35.8 million, net of a deferred tax asset of $10.3 million, and as of December 31, 2025 were $33.7 million, net of a deferred tax asset of $9.6 million.


		Less Than 12 Months				12 Months or More				Total
(In thousands, except number of holdings)	Number of Holdings	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
June 30, 2026
Obligations of states and political subdivisions	7	$	3,300	$	(25)	$	391	$	(7)	$	3,691	$	(32)
MBS issued or guaranteed by U.S. government-sponsored enterprises	160	89,982		(1,196)		333,118		(42,194)		423,100		(43,390)
CMO issued or guaranteed by U.S. government-sponsored enterprises	61	69,435		(749)		59,550		(6,612)		128,985		(7,361)
Subordinated corporate bonds	7	964		(36)		12,273		(225)		13,237		(261)
Total AFS debt securities	235	$	163,681	$	(2,006)	$	405,332	$	(49,038)	$	569,013	$	(51,044)



December 31, 2025

Obligations of states and political subdivisions	7	$	547	$	(3)	$	3,147	$	(26)	$	3,694	$	(29)
MBS issued or guaranteed by U.S. government-sponsored enterprises	152	79,930		(379)		332,788		(43,406)		412,718		(43,785)
CMO issued or guaranteed by U.S. government-sponsored enterprises	55	46,678		(332)		66,255		(6,464)		112,933		(6,796)
Subordinated corporate bonds	6	—		—		12,129		(373)		12,129		(373)
Total AFS debt securities	220	$	127,155	$	(714)	$	414,319	$	(50,269)	$	541,474	$	(50,983)

For the three and six months ended June 30, 2026 and 2025, the unrealized losses on the Company’s AFS debt securities have not been recognized into income because management does not intend to sell, and it is not more-likely-than-not it will be required to sell, any of the AFS debt securities before recovery of its amortized cost basis. Furthermore, the unrealized losses were due to changes in interest rates and other market conditions and were not reflective of credit events. Agency-backed and government-sponsored enterprise securities have a long history of no credit losses, including during times of severe stress. The principal and interest payments on agency guaranteed debt is backed by the U.S. government. Government-sponsored enterprises similarly guarantee principal and interest payments and securities backed by government-sponsored enterprises carry an implicit guarantee from the U.S. Department of the Treasury. Additionally, government-sponsored enterprise securities are exceptionally liquid, readily marketable, and provide a substantial amount of price transparency and price parity, indicating a perception of zero credit losses. Municipal debt holdings are comprised of high credit quality (rated A- or higher) state and municipal obligations. High credit quality state and municipal obligations have a history of zero to near-zero credit loss. Subordinated corporate bonds are primarily comprised of investment grade senior notes and senior subordinated notes of other financial institutions.

As of June 30, 2026 and December 31, 2025, total accrued interest receivable on AFS debt securities, which has been excluded from reported amortized cost basis on AFS debt securities, was $2.5 million and $2.6 million, respectively, and was reported within other assets on the consolidated statements of condition. The Company has elected not to measure an allowance for credit losses on accrued interest receivable; therefore no allowance was recorded at either date.

The amortized cost and estimated fair values of the Company’s AFS debt securities by contractual maturity as of June 30, 2026, are shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Mortgage-related securities are shown in total, as their maturities are highly variable.


(In thousands)	Amortized Cost		Fair Value
Due in one year or less	$	3,497	$	3,437
Due after one year through five years	12,803		12,637
Due after five years through ten years	5,742		5,692
Due after ten years	—		—
Subtotal	22,042		21,766
Mortgage-related securities	915,081		870,387
Total	$	937,123	$	892,153


(In thousands)	Amortized Cost(1)		Unrealized Gains		Unrealized Losses		Fair Value
June 30, 2026
Obligations of U.S. government-sponsored enterprises	$	7,933	$	—	$	(437)	$	7,496
Obligations of states and political subdivisions	55,252		231		(1,112)		54,371
MBS issued or guaranteed by U.S. government-sponsored enterprises	259,444		—		(18,349)		241,095
CMO issued or guaranteed by U.S. government-sponsored enterprises	122,148		67		(11,954)		110,261
Subordinated corporate bonds	18,541		898		(22)		19,417
Total HTM debt securities	$	463,318	$	1,196	$	(31,874)	$	432,640
December 31, 2025
Obligations of U.S. government-sponsored enterprises	$	7,865	$	—	$	(278)	$	7,587
Obligations of states and political subdivisions	55,802		167		(1,077)		54,892
MBS issued or guaranteed by U.S. government-sponsored enterprises	271,168		—		(16,933)		254,235
CMO issued or guaranteed by U.S. government-sponsored enterprises	128,966		84		(10,391)		118,659
Subordinated corporate bonds	21,491		1,120		(163)		22,448
Total HTM debt securities	$	485,292	$	1,371	$	(28,842)	$	457,821

(1)Amortized cost presented above includes unamortized unrealized losses from the aforementioned transfer from AFS to HTM securities that occurred in 2022. As of June 30, 2026 and December 31, 2025, the unamortized, unrealized losses on the 2022 transfer included within amortized cost were as follows: (1) $652,000 and $720,000 in obligations of U.S. government-sponsored enterprises, (2) $4.3 million and $4.6 million in obligations of state and political subdivisions, (3) $25.0 million and $26.8 million in MBS, (4) $13.4 million and $14.4 million in CMO, and (5) $7,800 and $23,000 in subordinated corporate bonds, respectively.

The Company evaluated its HTM debt securities with an amortized cost as of June 30, 2026 and December 31, 2025, and determined that the expected credit loss on its HTM portfolio was immaterial, and therefore it did not carry an ACL on the HTM portfolio at either date. Additionally, there were no charge-offs, recoveries or provision recorded during the six months ended June 30, 2026 or 2025.

As of June 30, 2026 and December 31, 2025, none of the Company’s HTM debt securities were past due or on non-accrual status. The Company did not recognize any interest income on non-accrual HTM debt securities during the three and six months ended June 30, 2026 and 2025. As of June 30, 2026 and December 31, 2025, total accrued interest receivable on HTM debt securities was $1.6 million at each date and no allowance was provided for. Accrued interest on HTM debt securities is reported within other assets on the consolidated statements of condition and excluded from reported amortized cost.

The amortized cost and estimated fair values of HTM debt securities by contractual maturity as of June 30, 2026 are shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Mortgage-related securities are shown in total, as their maturities are highly variable.


(In thousands)	Amortized Cost		Fair Value






Due in one year or less	$	1,018	$	1,027
Due after one year through five years	7,721		7,418
Due after five years through ten years	34,141		34,720
Due after ten years	38,846		38,119
Subtotal	81,726		81,284
Mortgage-related securities	381,592		351,356
Total	$	463,318	$	432,640

As of June 30, 2026 and December 31, 2025, AFS and HTM debt securities with an amortized cost of $1.0 billion and $952.7 million and estimated fair values of $958.2 million and $904.3 million, respectively, were pledged to secure FHLBB advances, FRB advances, public deposits, and securities sold under agreements to repurchase and for other purposes required or permitted by law.

The Company’s FHLBB, FRB and other correspondent bank common stock are each reported at cost within other investments on the consolidated statements of condition. The Company evaluates these investments for impairment based on the ultimate recoverability of the par value. The Company did not record any impairment on its other investments for the three and six months ended June 30, 2026 and 2025.