Company: FGBI
Filing Date: 2025-03-17
Form Type: 10-K
Source: 0001408534-25-000015
Chunk: 188

Company: First Guaranty Bancshares, Inc.
Filing Date: 2025-03-17
Form: 10-K
Item: Item 8
Chunk 188
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4 and December 31, 2023, segregated by the level of valuation inputs within the fair value hierarchy utilized to measure fair value:(in thousands)At December 31, 2024At December 31, 2023Fair Value Measurements Using: Loan Individually Evaluated for Impairment  Level 1: Quoted Prices in Active Markets For Identical Assets$— $— Level 2: Significant Other Observable Inputs— — Level 3: Significant Unobservable Inputs50,449 8,083 Individually evaluated loans measured at fair value$50,449 $8,083 Fair Value Measurements Using: Other Real Estate Owned  Level 1: Quoted Prices in Active Markets For Identical Assets$— $— Level 2: Significant Other Observable Inputs319 1,250 Level 3: Significant Unobservable Inputs— — Other real estate owned measured at fair value$319 $1,250 ASC 825-10 provides First Guaranty with an option to report selected financial assets and liabilities at fair value. The fair value option established by this statement permits First Guaranty to choose to measure eligible items at fair value at specified election dates and report unrealized gains and losses on items for which the fair value option has been elected in earnings at each reporting date subsequent to implementation.First Guaranty has chosen not to elect the fair value option for any items that are not already required to be measured at fair value in accordance with accounting principles generally accepted in the United States.

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Note 21. Financial Instruments

Fair value estimates are generally subjective in nature and are dependent upon a number of significant assumptions associated with each instrument or group of similar instruments, including estimates of discount rates, risks associated with specific financial instruments, estimates of future cash flows and relevant available market information. Fair value information is intended to represent an estimate of an amount at which a financial instrument could be exchanged in a current transaction between a willing buyer and seller engaging in an exchange transaction. However, since there are no established trading markets for a significant portion of First Guaranty's financial instruments, First Guaranty may not be able to immediately settle financial instruments; as such, the fair values are not necessarily indicative of the amounts that could be realized through immediate settlement. In addition, the majority of the financial instruments, such as loans and deposits, are held to maturity and are realized or paid according to the contractual agreement with the customer.Quoted market prices are