Company: FGBI
Filing Date: 2025-11-17
Form Type: 10-Q
Source: 0001408534-25-000092
Chunk: 39

Company: First Guaranty Bancshares, Inc.
Filing Date: 2025-11-17
Form: 10-Q
Item: Part I, Item 1
Chunk 39
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 First Guaranty to retain its investment in the issuer for a period of time sufficient to allow for any anticipated recovery in fair value. Investment securities issued by the U.S. Government and Government sponsored enterprises with unrealized losses and the amount of unrealized losses on those investment securities that are the result of changes in market interest rates will not be credit impaired. First Guaranty has the ability and intent to hold these securities until recovery, which may not be until maturity. Corporate debt securities in a loss position consist primarily of corporate bonds issued by businesses in the financial, insurance, utility, manufacturing, industrial, consumer products and oil and gas industries. There were no held to maturity corporate securities with a credit related impairment loss at September 30, 2025. First Guaranty believes that the remaining issuers will be able to fulfill the obligations of these securities based on evaluations described above. First Guaranty has the ability and intent to hold these securities until they recover, which could be at their maturity dates.There were no charge-offs recognized on securities during the nine months ended September 30, 2025 and 2024. There were no provisions for credit losses recognized on securities during the nine months ended September 30, 2025 and 2024.For securities that have indications of credit related impairment, management analyzes future expected cash flows to determine if any credit related impairment is evident. Estimated cash flows are determined using management's best estimate of future cash flows based on specific assumptions. The assumptions used to determine the cash flows were based on estimates of loss severity and credit default probabilities. Management reviews reports from credit rating agencies and public filings of issuers.  At September 30, 2025, First Guaranty's exposure to bond issuers that exceeded 10% of shareholders' equity is below:  At September 30, 2025(in thousands)Amortized CostFair ValueU.S. Government Treasuries (U.S.)$— $— Federal Home Loan Bank (FHLB)32,381 27,130 Federal Home Loan Mortgage Corporation (Freddie Mac-FHLMC)101,934 76,483 Federal Farm Credit Bank (FFCB)139,592 115,615 Government National Mortgage Association (Ginnie Mae-GNMA)201,795 203,136 Total$475,702 $422,364 

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Note 4. Loans

 The following table summarizes the components of First Guaranty