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INVESTMENT SECURITIES
 6 Months Ended
Jun. 30, 2026
Investments, Debt and Equity Securities [Abstract]  
INVESTMENT SECURITIES INVESTMENT SECURITIES
The following tables present the amortized cost and fair value of available-for-sale securities at the dates presented:
June 30, 2026
(Dollars in Thousands)Amortized
Cost		Gross
Unrealized Gains		Gross
Unrealized
Losses		Fair Value
U.S. Government Agency Securities$16,611 $5 $(463)$16,153 
Residential Mortgage-Backed Securities68,943 6 (7,499)61,450 
Commercial Mortgage-Backed Securities21,144 69 (303)20,910 
Other Commercial Mortgage-Backed Securities22,419 17 (1,175)21,261 
Asset Backed Securities111,816 3 (6,225)105,594 
Collateralized Mortgage Obligations199,406 124 (6,991)192,539 
States and Political Subdivisions182,729 1,357 (17,773)166,313 
Corporate Notes59,250 — (3,168)56,082 
Total$682,318 $1,581 $(43,597)$640,302 
December 31, 2025
(Dollars in Thousands)Amortized
Cost		Gross
Unrealized Gains		Gross
Unrealized
Losses		Fair Value
U.S. Government Agency Securities$19,796 $17 $(438)$19,375 
Residential Mortgage-Backed Securities83,918 49 (7,194)76,773 
Commercial Mortgage-Backed Securities25,438 105 (421)25,122 
Other Commercial Mortgage-Backed Securities25,297 88 (1,131)24,254 
Asset Backed Securities100,643 10 (5,856)94,797 
Collateralized Mortgage Obligations168,749 176 (7,105)161,820 
States and Political Subdivisions262,275 — (28,051)234,224 
Corporate Notes59,250 — (4,003)55,247 
Total$745,366 $445 $(54,199)$691,612 
The Company did not have securities classified as held-to-maturity at June 30, 2026 or December 31, 2025.
The following table shows the composition of gross and net realized gains and losses for the periods presented:
Three Months Ended June 30,Six Months Ended June 30,
(Dollars in Thousands)2026202520262025
Proceeds from Sales of Securities Available-for-Sale$126,859 $— $142,283 $— 
Gross Realized Gains$— $— $85 $— 
Gross Realized Losses(12,531)— (12,536)— 
Net Realized Losses$(12,531)$— $(12,451)$— 
Tax Impact$(2,632)$— $(2,615)$— 
Gains or losses on the sale of securities are recognized in earnings on the trade date based on the amortized cost of the specific security sold. The related net gains or losses reflect reclassification adjustments included in the calculation of Other Comprehensive (Loss) Income. Net realized gains (losses) are reported in noninterest income as gains (losses) on sales of securities, net, in the Consolidated Statements of Income, with the related tax impact included in income tax provision in the Consolidated Statements of Income.
The amortized cost and fair value of available-for-sale debt securities are shown below by contractual maturity at the date presented. Expected maturities may differ from contractual maturities if borrowers have the right to call or prepay obligations with or without call or prepayment penalties. Securities not due at a single maturity date are shown separately.
June 30, 2026
(Dollars in Thousands)Amortized
Cost		Fair
Value
Due in One Year or Less$— $— 
Due after One Year through Five Years28,384 27,580 
Due after Five Years through Ten Years164,148 144,959 
Due after Ten Years66,058 66,009 
Residential Mortgage-Backed Securities68,943 61,450 
Commercial Mortgage-Backed Securities21,144 20,910 
Other Commercial Mortgage-Backed Securities22,419 21,261 
Collateralized Mortgage Obligations199,406 192,539 
Asset Backed Securities111,816 105,594 
Total$682,318 $640,302 
At June 30, 2026 and December 31, 2025, the Company held no securities of any single issuer, other than securities issued by or collateralized by the U.S. Government and its Agencies, in amounts exceeding 10% of shareholders’ equity. The carrying value of securities pledged to meet various regulatory and legal requirements was $139.7 million at June 30, 2026 and $289.4 million at December 31, 2025.
Available-for-sale securities with unrealized losses at June 30, 2026 and December 31, 2025, aggregated by investment category and length of time the individual securities have been in a continuous unrealized loss position, were as follows:
June 30, 2026
Less Than 12 Months12 Months or MoreTotal
(Dollars in Thousands)Number of
Securities		Fair ValueUnrealized
Losses		Number of
Securities		Fair ValueUnrealized
Losses		Number of
Securities		Fair ValueUnrealized
Losses
U.S. Government Agency Securities3 $1,017 $(8)30 $13,838 $(455)33 $14,855 $(463)
Residential Mortgage-Backed Securities3 4,796 (20)26 56,005 (7,479)29 60,801 (7,499)
Commercial Mortgage-Backed Securities7 5,839 (67)34 7,837 (236)41 13,676 (303)
Other Commercial Mortgage-Backed Securities— — — 6 15,323 (1,175)6 15,323 (1,175)
Asset Backed Securities4 16,884 (76)27 75,293 (6,149)31 92,177 (6,225)
Collateralized Mortgage Obligations19 54,020 (250)60 100,119 (6,741)79 154,139 (6,991)
States and Political Subdivisions5 7,021 (777)71 101,897 (16,996)76 108,918 (17,773)
Corporate Notes2 6,328 (172)15 49,754 (2,996)17 56,082 (3,168)
Total Debt Securities43 $95,905 $(1,370)269 $420,066 $(42,227)312 $515,971 $(43,597)
December 31, 2025
Less Than 12 Months12 Months or MoreTotal
(Dollars in Thousands)Number of
Securities		Fair ValueUnrealized
Losses		Number of
Securities		Fair ValueUnrealized
Losses		Number of
Securities		Fair ValueUnrealized
Losses
U.S. Government Agency Securities4 $2,593 $(4)27 $14,222 $(434)31 $16,815 $(438)
Residential Mortgage-Backed Securities1 2,866 (1)28 61,655 (7,193)29 64,521 (7,194)
Commercial Mortgage-Backed Securities9 5,101 (22)36 10,410 (399)45 15,511 (421)
Other Commercial Mortgage-Backed Securities— — — 7 17,363 (1,131)7 17,363 (1,131)
Asset Backed Securities1 1,048 (8)27 77,739 (5,848)28 78,787 (5,856)
Collateralized Mortgage Obligations11 13,021 (24)65 119,595 (7,081)76 132,616 (7,105)
States and Political Subdivisions6 6,643 (672)150 227,581 (27,379)156 234,224 (28,051)
Corporate Notes— — — 17 55,247 (4,003)17 55,247 (4,003)
Total Debt Securities32 $31,272 $(731)357 $583,812 $(53,468)389 $615,084 $(54,199)
The Company did not record an allowance for credit losses (“ACL”), on its investment securities as of June 30, 2026 or December 31, 2025 as no credit related impairment was identified. The Company regularly evaluates debt securities for expected credit losses using qualitative and quantitative factors, as appropriate, based on the composition of the portfolio at each reporting date.
As of June 30, 2026, management does not intend to sell any security in an unrealized loss position and it is not more than likely that the Company will be required to sell such securities before recovery of the amortized cost basis. Unrealized losses on debt securities were primarily attributable to changes in interest rates, credit spread fluctuations, general financial market uncertainty, and market volatility, rather than deterioration in credit quality. These conditions are not expected to affect the Company’s ability to collect contractual principal and interest, and the fair value of the securities is expected to recover as the securities approach maturity or repricing dates.
While the Company may periodically sell securities to take advantage of market opportunities or as part of strategic initiatives, management concluded that the unrealized losses presented in the table above were not credit related and, accordingly, no ACL was recorded on investment securities. If any impairment were to become credit related, the Company would recognize an ACL through a recovery for credit losses in the period identified, with any non-credit related impairment recognized in accumulated other comprehensive loss, net of applicable taxes. During the three and six months ended June 30, 2026 and June 30, 2025, the Company had no credit related net investment impairment losses.
Equity Securities
During the second quarter of 2026, the Company purchased an additional $2.5 million of equity securities. These securities are reported separately as “equity securities” on the Consolidated Balance Sheets and consist of an investment in a market-rate NASDAQ-listed mutual fund that invests primarily in high-quality fixed-income securities, principally government agency obligations. The mutual fund’s underlying investments are intended to support community development initiatives throughout the United States.
The fund is designed to support community development initiatives throughout the United States, with a primary focus on expanding access to affordable housing for low and moderate income borrowers and renters, including those located in majority-minority census tracts. Although the fund invests on a national basis, individual bond investments are designated to the Company and aligned with its geographic footprint. The Company’s investment in this mutual fund qualifies for consideration under the Community Reinvestment Act (“CRA”) and supports the Company’s ongoing commitment to community development activities.
During the three and six months ended June 30, 2026, the Company recognized an unrealized fair value loss of $70 thousand and $116 thousand on these equity securities. During the three and six months ended June 30, 2025 the Company recognized an unrealized fair value gain of $23 thousand and $159 thousand on these equity securities. Unrealized (losses) gains on equity securities are recorded in Other Noninterest Income in the Consolidated Statements of Income.