Hanmi Financial Corporation Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Investment Securities (Tables)

Investment Securities (Tables)

3 Months Ended

Mar. 31, 2014

Investments Debt And Equity Securities [Abstract]

Summary of Investment Securities Available for Sale

The following is a summary of investment securities available for sale as of March 31, 2014 and December 31, 2013:


	Amortized Cost		Gross Unrealized Gain		Gross Unrealized Loss		Estimated Fair Value
	(In thousands)
March 31, 2014
Mortgage-backed securities ⁽¹⁾	$	228,363	$	86	$	4,084	$	224,365
Collateralized mortgage obligations ⁽¹⁾		149,269		123		1,361		148,031
U.S. government agency securities		90,855		3		4,880		85,978
Municipal bonds-tax exempt		4,365		67		—		4,432
Municipal bonds-taxable		22,036		160		521		21,675
Corporate bonds		21,014		20		128		20,906
SBA loan pool securities		13,569		—		867		12,702
Other securities		3,030		—		129		2,901

Total securities available for sale	$	532,501	$	459	$	11,970	$	520,990


December 31, 2013
Mortgage-backed securities ⁽¹⁾	$	222,768	$	317	$	6,026	$	217,059
Collateralized mortgage obligations ⁽¹⁾		130,636		274		3,217		127,693
U.S. government agency securities		90,852		—		7,316		83,536
Municipal bonds-tax exempt		13,857		110		30		13,937
Municipal bonds-taxable		33,361		73		1,080		32,354
Corporate bonds		21,013		8		186		20,835
U.S. treasury bills		19,998		—		1		19,997
SBA loan pool securities		13,598		—		969		12,629
Other securities		3,030		—		144		2,886

Total securities available for sale	$	549,113	$	782	$	18,969	$	530,926

⁽¹⁾

Collateralized by residential mortgages and guaranteed by U.S. government sponsored entities

Schedule of Amortized Cost and Estimated Fair Value of Investment Securities by Contractual Maturity

The amortized cost and estimated fair value of investment securities as of March 31, 2014, by contractual maturity, are shown below. Although mortgage-backed securities and collateralized mortgage obligations have contractual maturities through 2063, expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.


	Available for Sale
	Amortized Cost		Estimated Fair Value
	(In thousands)
Within one year	$	699	$	737
Over one year through five years		30,847		30,693
Over five years through ten years		86,380		82,511
Over ten years		36,943		34,653
Mortgage-backed securities		228,363		224,365
Collateralized mortgage obligations		149,269		148,031

Total	$	532,501	$	520,990

Available for Sale Securities, Continuous Unrealized Loss Position, Fair value

Gross unrealized losses on investment securities available for sale, the estimated fair value of the related securities and the number of securities aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, were as follows as of March 31, 2014 and December 31, 2013:


	Holding Period
	Less Than 12 Months						12 Months or More						Total
	Gross Unrealized Loss		Estimated Fair Value		Number of Securities		Gross Unrealized Loss		Estimated Fair Value		Number of Securities		Gross Unrealized Loss		Estimated Fair Value		Number of Securities
	(In thousands, except number of securities)
March 31, 2014
Mortgage-backed securities	$	889	$	104,423		29	$	3,195	$	74,226		27	$	4,084	$	178,649		56
Collateralized mortgage obligations		519		65,206		15		842		20,383		9		1,361		85,589		24
U.S. government agency securities		—		—		—		4,880		80,979		30		4,880		80,979		30
Municipal bonds-tax exempt		—		—		—		—		—		—		—		—		—
Municipal bonds-taxable		3		1,744		1		518		12,907		11		521		14,651		12
Corporate bonds		—		—		—		128		11,856		3		128		11,856		3
SBA loan pool securities		—		—		—		867		12,701		4		867		12,701		4
Other securities		—		4		1		129		2,896		5		129		2,900		6

Total	$	1,411	$	171,377		46	$	10,559	$	215,948		89	$	11,970	$	387,325		135


December 31, 2013
Mortgage-backed securities	$	3,437	$	170,324		51	$	2,589	$	30,947		12	$	6,026	$	201,271		63
Collateralized mortgage obligations		2,353		87,026		27		864		14,657		7		3,217		101,683		34
U.S. government agency securities		3,942		50,932		19		3,374		32,606		12		7,316		83,538		31
Municipal bonds-tax exempt		30		8,562		5		—		—		—		30		8,562		5
Municipal bonds-taxable		787		22,817		16		293		3,813		4		1,080		26,630		20
Corporate bonds		9		5,024		1		177		11,803		3		186		16,827		4
U.S. treasury bills		1		19,996		2		—		—		—		1		19,996		2
SBA loan pool securities		—		—		—		969		12,629		4		969		12,629		4
Other securities		48		1,957		3		96		929		3		144		2,886		6

Total	$	10,607	$	366,638		124	$	8,362	$	107,384		45	$	18,969	$	474,022		169

Realized Gains and Losses on Sales of Investment Securities

Realized gains and losses on sales of investment securities, proceeds from sales of investment securities and tax expense on sales of investment securities were as follows for the periods indicated:


	Three Months Ended March 31,
	2014		2013
	(In thousands)
Gross realized gains on sales of investment securities	$	1,421	$	9
Gross realized losses on sales of investment securities		—		—

Net realized gains on sales of investment securities	$	1,421	$	9

Proceeds from sales of investment securities	$	85,234	$	9,000
Tax expense on sales of investment securities	$	597	$	4