Gross Unrealized Losses and Fair Value The fair values and gross unrealized losses on securities at December 31, 2011 and 2010, respectively, segregated by  those securities that have been in an unrealized loss position for less than 12 months and 12 months or more are presented  below.  The applicable date for determining when securities are in an unrealized loss position is December 31, 2011. As such, it  is possible that a security in an unrealized loss position at December 31, 2011 had a market value that exceeded its amortized cost on other days during the past 12-month period.  For the securities in the previous table, the Company does not have the intent to sell and has determined it is not more  likely than not that the Company will be required to sell the security before recovery of the amortized cost basis, which may  be maturity. The Company has assessed each security for credit impairment. For debt securities, the Company evaluates,  where necessary, whether credit impairment exists by comparing the present value of the expected cash flows to the  securities’ amortized cost basis. For cost-method investments, the Company evaluates whether an event or change in  circumstances has occurred during the reporting period that may have a significant adverse effect on the fair value of the  investment.  In determining whether a loss is temporary, the Company considers all relevant information including:  page 46 • the length of time and the extent to which the fair value has been less than the amortized cost basis; • adverse conditions specifically related to the security, an industry, or a geographic area (for example, changes in the  financial condition of the issuer of the security, or in the case of an asset-backed debt security, in the financial  condition of the underlying loan obligors, including changes in technology or the discontinuance of a segment of the  business that may affect the future earnings potential of the issuer or underlying loan obligors of the security or  changes in the quality of the credit enhancement); • the historical and implied volatility of the fair value of the security;  • the payment structure of the debt security and the likelihood of the issuer being able to make payments that increase  in the future;  • failure of the issuer of the security to make scheduled interest or principal payments;  • any changes to the rating of the security by a rating agency; and Less than 12 Months 12 Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized (Dollars in thousands) Value Losses Value Losses Value Losses December 31, 2011: Agency obligations  $ 5,000 1 — — 5,000 $ 1 Agency RMBS 17,020 129 17,020 129 State and political subdivisions 1,686 11 718 37 2,404 48 Trust preferred securities: Pooled — — 100 130 100 130 Individual issuer 757 243 757 243 Total  $ 23,706 141 1,575 410 25,281 $ 551 December 31, 2010: Agency obligations  $ 45,351 1,017 — — 45,351 $ 1,017 Agency RMBS 89,840 1,441 89,840 1,441 State and political subdivisions 49,176 2,323 3,207 478 52,383 2,801 Trust preferred securities: Pooled — — 20 210 20 210 Individual issuer 847 153 847 153 Total  $ 184,367 4,781 4,074 841 188,441 $ 5,622