NOTE 2 - INVESTMENT SECURITIES (Tables)
|
6 Months Ended |
Jun. 30, 2026 |
|---|
| INVESTMENT SECURITIES |
|
| Schedule of amortized cost and fair value of HTM and AFS investment securities |
| | | | | | | | | | | | | | | | | | | | | | Allowance | | Gross | | Gross | | | | | | | Amortized | | for Credit | | Unrealized | | Unrealized | | Fair | | | | Cost | | (Losses) | | Gains | | (Losses) | | Value | | | | | (dollars in thousands) | | June 30, 2026: | | | | | | | | | | | | | | | | | Securities HTM: | | | | | | | | | | | | | | | | | Municipal securities | | $ | 960,475 | | $ | (272) | | $ | 25,085 | | $ | (144,967) | | $ | 840,321 | | Corporate securities | | | 30,209 | | | (9) | | | 1,620 | | | — | | | 31,820 | | Other securities | | | 1,050 | | | (1) | | | — | | | (2) | | | 1,047 | | | | $ | 991,734 | | $ | (282) | | $ | 26,705 | | $ | (144,969) | | $ | 873,188 | | | | | | | | | | | | | | | | | | | Securities AFS: | | | | | | | | | | | | | | | | | U.S. treasuries and govt. sponsored agency securities | | $ | 15,725 | | $ | — | | $ | 2 | | $ | (1,799) | | $ | 13,928 | | Residential mortgage-backed and related securities | | | 93,014 | | | — | | | 375 | | | (4,874) | | | 88,515 | | Municipal securities | | | 203,187 | | | — | | | 13 | | | (37,619) | | | 165,581 | | Asset-backed securities | | | 3,685 | | | — | | | 84 | | | — | | | 3,769 | | Corporate securities | | | 22,582 | | | — | | | 119 | | | (505) | | | 22,196 | | | | $ | 338,193 | | $ | — | | $ | 593 | | $ | (44,797) | | $ | 293,989 | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | Allowance | | Gross | | Gross | | | | | | Amortized | | for Credit | | Unrealized | | Unrealized | | Fair | | | | Cost | | (Losses) | | Gains | | (Losses) | | Value | | | | | (dollars in thousands) | | December 31, 2025: | | | | | | | | | | | | | | | | | Securities HTM: | | | | | | | | | | | | | | | | | Municipal securities | | $ | 918,189 | | $ | (272) | | $ | 23,402 | | $ | (117,074) | | $ | 824,245 | | Corporate securities | | | 29,719 | | | (9) | | | 2,660 | | | — | | | 32,370 | | Other securities | | | 1,050 | | | (1) | | | — | | | (1) | | | 1,048 | | | | $ | 948,958 | | $ | (282) | | $ | 26,062 | | $ | (117,075) | | $ | 857,663 | | | | | | | | | | | | | | | | | | | Securities AFS: | | | | | | | | | | | | | | | | | U.S. treasuries and govt. sponsored agency securities | | $ | 17,775 | | $ | — | | $ | 4 | | $ | (1,755) | | $ | 16,024 | | Residential mortgage-backed and related securities | | | 72,951 | | | — | | | 151 | | | (4,247) | | | 68,855 | | Municipal securities | | | 203,613 | | | — | | | 27 | | | (40,555) | | | 163,085 | | Asset-backed securities | | | 4,345 | | | — | | | 94 | | | — | | | 4,439 | | Corporate securities | | | 28,068 | | | — | | | 148 | | | (842) | | | 27,374 | | | | $ | 326,752 | | $ | — | | $ | 424 | | $ | (47,399) | | $ | 279,777 | |
|
| Schedule of securities have been in a continuous unrealized loss position |
| | | | | | | | | | | | | | | | | | | | | Less than 12 Months | | 12 Months or More | | Total | | | | | Gross | | | | Gross | | | | Gross | | | Fair | | Unrealized | | Fair | | Unrealized | | Fair | | Unrealized | | | Value | | Losses | | Value | | Losses | | Value | | Losses | | | | (dollars in thousands) | June 30, 2026: | | | | | | | | | | | | | | | | | | | Securities HTM: | | | | | | | | | | | | | | | | | | | Municipal securities | | $ | 111,482 | | $ | (51,487) | | $ | 281,630 | | $ | (93,480) | | $ | 393,112 | | $ | (144,967) | Other securities | | | 547 | | | (2) | | | — | | | — | | | 547 | | | (2) | | | $ | 112,029 | | $ | (51,489) | | $ | 281,630 | | $ | (93,480) | | $ | 393,659 | | $ | (144,969) | | | | | | | | | | | | | | | | | | | | Securities AFS: | | | | | | | | | | | | | | | | | | | U.S. treasuries and govt. sponsored agency securities | | $ | — | | $ | — | | $ | 13,431 | | $ | (1,799) | | $ | 13,431 | | $ | (1,799) | Residential mortgage-backed and related securities | | | 39,274 | | | (1,088) | | | 30,442 | | | (3,786) | | | 69,716 | | | (4,874) | Municipal securities | | | 1,391 | | | (5) | | | 161,664 | | | (37,614) | | | 163,055 | | | (37,619) | Corporate securities | | | 2,145 | | | (24) | | | 15,234 | | | (481) | | | 17,379 | | | (505) | | | $ | 42,810 | | $ | (1,117) | | $ | 220,771 | | $ | (43,680) | | $ | 263,581 | | $ | (44,797) | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | Less than 12 Months | | 12 Months or More | | Total | | | | | Gross | | | | Gross | | | | Gross | | | Fair | | Unrealized | | Fair | | Unrealized | | Fair | | Unrealized | | | Value | | Losses | | Value | | Losses | | Value | | Losses | | | | (dollars in thousands) | December 31, 2025: | | | | | | | | | | | | | | | | | | | Securities HTM: | | | | | | | | | | | | | | | | | | | Municipal securities | | $ | 88,718 | | $ | (52,445) | | $ | 316,672 | | $ | (64,629) | | $ | 405,390 | | $ | (117,074) | Other securities | | | 549 | | | (1) | | | — | | | — | | | 549 | | | (1) | | | $ | 89,267 | | $ | (52,446) | | $ | 316,672 | | $ | (64,629) | | $ | 405,939 | | $ | (117,075) | | | | | | | | | | | | | | | | | | | | Securities AFS: | | | | | | | | | | | | | | | | | | | U.S. treasuries and govt. sponsored agency securities | | $ | 48 | | $ | (1) | | $ | 13,663 | | $ | (1,754) | | $ | 13,711 | | $ | (1,755) | Residential mortgage-backed and related securities | | | 16,167 | | | (592) | | | 32,137 | | | (3,655) | | | 48,304 | | | (4,247) | Municipal securities | | | 636 | | | (9) | | | 159,146 | | | (40,546) | | | 159,782 | | | (40,555) | Corporate securities | | | 1,491 | | | (25) | | | 18,802 | | | (817) | | | 20,293 | | | (842) | | | $ | 18,342 | | $ | (627) | | $ | 223,748 | | $ | (46,772) | | $ | 242,090 | | $ | (47,399) | | | | | | | | | | | | | | | | | | | |
|
| Schedule of activity in allowance for credit losses for HTM and AFS securities by major security |
| | | | | | | | | | | | | | | | | | | | | | | | | | | Three Months Ended | | | June 30, 2026 | June 30, 2025 | | | Securities HTM | | Securities HTM | | | Municipal | | Corporate | | Other | | | | Municipal | | Corporate | | Other | | | | | securities | | securities | | securities | | Total | | securities | | securities | | securities | | Total | | | | (dollars in thousands) | Allowance for credit losses: | | | | | | | | | | | | | | | | | | | | | | | | | Beginning balance | | $ | 272 | | $ | 9 | | $ | 1 | | $ | 282 | | $ | 254 | | $ | 8 | | $ | 1 | | $ | 263 | Provision | | | — | | | — | | | — | | | — | | | — | | | — | | | — | | | — | Balance, ending | | $ | 272 | | $ | 9 | | $ | 1 | | $ | 282 | | $ | 254 | | $ | 8 | | $ | 1 | | $ | 263 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Six Months Ended | | | June 30, 2026 | June 30, 2025 | | | Securities HTM | | Securities HTM | | | Municipal | | | Corporate | Other | | | | | Municipal | | Other | | Other | | | | | | securities | | | securities | securities | | Total | | securities | | securities | | securities | | Total | | | | (dollars in thousands) | Allowance for credit losses: | | | | | | | | | | | | | | | | | | | | | | | | | Beginning balance | | $ | 272 | | | 9 | | $ | 1 | | $ | 282 | | $ | 254 | | $ | 8 | | $ | 1 | | $ | 263 | Provision for credit loss expense | | | — | | | — | | | — | | | — | | | — | | | — | | | — | | | — | Balance, ending | | $ | 272 | | | 9 | | $ | 1 | | $ | 282 | | $ | 254 | | $ | 8 | | $ | 1 | | $ | 263 | | | | | | | | | | | | | | | | | | | | | | | | | |
|
| Schedule of investments classified by maturity date |
| | | | | | | | | Amortized Cost | | Fair Value | | | | (dollars in thousands) | Securities HTM: | | | | | | | Due in one year or less | | $ | 565 | | $ | 564 | Due after one year through five years | | | 48,500 | | | 48,064 | Due after five years | | | 942,669 | | | 824,560 | | | $ | 991,734 | | $ | 873,188 | Securities AFS: | | | | | | | Due in one year or less | | $ | 380 | | $ | 379 | Due after one year through five years | | | 15,832 | | | 15,298 | Due after five years | | | 225,282 | | | 186,028 | | | | 241,494 | | | 201,705 | Residential mortgage-backed and related securities | | | 93,014 | | | 88,515 | Asset-backed securities | | | 3,685 | | | 3,769 | | | $ | 338,193 | | $ | 293,989 |
|
| Schedule of investment in callable securities |
| | | | | | | | | Amortized Cost | | Fair Value | | | | (dollars in thousands) | Securities HTM: | | | | | | | Municipal securities | | $ | 30,209 | | $ | 31,820 | Corporate securities | | | 199,660 | | | 190,255 | | | $ | 229,869 | | $ | 222,075 | | | | | | | | Securities AFS: | | | | | | | Municipal securities | | $ | 202,664 | | $ | 165,067 | Corporate securities | | | 21,121 | | | 20,726 | | | $ | 223,785 | | $ | 185,793 |
|
| Schedule of fair value of investment securities pledged |
| | | | | | | | | | | | | | | | June 30. 2026 | | December 31, 2025 | | | | (dollars in thousands) | Derivatives: | | | | | | | U.S. govt. sponsored agency securities | | $ | 11,198 | | $ | 11,268 | Residential mortgage-backed and related securities | | | 45,561 | | | 36,565 | Municipal securities | | | 143,168 | | | 142,065 | | | | 199,927 | | | 189,898 | Public deposits: | | | | | | | U.S. govt. sponsored agency securities | | | 1,265 | | | 1,338 | Residential mortgage-backed and related securities | | | 1,784 | | | 1,985 | | | | 3,049 | | | 3,323 | Other borrowings: | | | | | | | Municipal securities* | | | 138,515 | | | 161,329 | | | | 138,515 | | | 161,329 | Total investments pledged: | | | | | | | U.S. govt. sponsored agency securities | | | 12,463 | | | 12,606 | Residential mortgage-backed and related securities | | | 47,345 | | | 38,550 | Municipal securities | | | 281,683 | | | 303,394 | | | $ | 341,491 | | $ | 354,550 | | | | | | | |
* Municipal securities with an amortized cost of $168.2 million and $176.6 million were pledged on secured borrowings as of June 30, 2026 and December 31, 2025, respectively.
|