Securities

3 Months Ended

Mar. 31, 2026

Available for Sale Securities

The amortized cost, gross unrealized gains and losses, allowance for credit losses (“ACL”) and fair value of available for sale (“AFS”) securities as of the dates indicated were as follows:


	As of March 31, 2026
	Amortized Cost		Unrealized Gains		Unrealized Losses		Allowance for Credit Losses		Fair Value
	(In thousands)
Debt securities:
Government-sponsored residential mortgage-backed securities	$	2,830,011	$	12,734	$	(248,238)	$	—	$	2,594,507
Government-sponsored commercial mortgage-backed securities	1,132,808		5,927		(98,881)		—		1,039,854
U.S. Treasury securities	50,020		155		—		—		50,175
State and municipal bonds and obligations	188,600		—		(12,872)		—		175,728
	$	4,201,439	$	18,816	$	(359,991)	$	—	$	3,860,264


	As of December 31, 2025
	Amortized Cost		Unrealized Gains		Unrealized Losses		Allowance for Credit Losses		Fair Value
	(In thousands)
Debt securities:
Government-sponsored residential mortgage-backed securities	$	2,753,311	$	19,846	$	(239,848)	$	—	$	2,533,309
Government-sponsored commercial mortgage-backed securities	1,148,394		9,388		(97,451)		—		1,060,331
U.S. Treasury securities	50,030		320		—		—		50,350
State and municipal bonds and obligations	191,428		55		(9,904)		—		181,579
	$	4,143,163	$	29,609	$	(347,203)	$	—	$	3,825,569

The Company did not record a provision for credit losses on any AFS securities for either the three months ended March 31, 2026 or 2025. Accrued interest receivable on AFS securities totaled $12.4 million and $11.9 million as of March 31, 2026 and December 31, 2025, respectively, and is included within other assets on the Consolidated Balance Sheets. The Company did not record any write-offs of accrued interest receivable on AFS securities during either the three months ended March 31, 2026 or 2025. No AFS securities held by the Company were delinquent on contractual payments as of March 31, 2026 or December 31, 2025, nor were any AFS securities placed on non-accrual status during the three and twelve-month periods then ended.

The following table summarizes gross realized gains and losses from sales of AFS securities for the periods indicated:


	Three Months Ended March 31,
	2026		2025
	(In thousands)
Gross realized gains from sales of AFS securities	$	—	$	—
Gross realized losses from sales of AFS securities	—		(269,638)
Net losses from sales of AFS securities	$	—	$	(269,638)

Information pertaining to AFS securities with gross unrealized losses as of March 31, 2026 and December 31, 2025, for which the Company did not recognize a provision for credit losses under the current expected credit loss methodology (“CECL”), aggregated by investment category and length of time that individual securities had been in a continuous loss position, is as follows:


	As of March 31, 2026
		Less than 12 Months				12 Months or Longer				Total
	# of Holdings	Gross Unrealized Losses		Fair Value		Gross Unrealized Losses		Fair Value		Gross Unrealized Losses		Fair Value
	(Dollars in thousands)
Government-sponsored residential mortgage-backed securities	294	$	2,923	$	260,841	$	245,315	$	1,457,958	$	248,238	$	1,718,799
Government-sponsored commercial mortgage-backed securities	146	—		—		98,881		590,634		98,881		590,634
State and municipal bonds and obligations	224	1,539		60,122		11,333		114,786		12,872		174,908
	664	$	4,462	$	320,963	$	355,529	$	2,163,378	$	359,991	$	2,484,341


	As of December 31, 2025
		Less than 12 Months				12 Months or Longer				Total
	# of Holdings	Gross Unrealized Losses		Fair Value		Gross Unrealized Losses		Fair Value		Gross Unrealized Losses		Fair Value
	(Dollars in thousands)
Government-sponsored residential mortgage-backed securities	292	$	317	$	74,415	$	239,531	$	1,511,918	$	239,848	$	1,586,333
Government-sponsored commercial mortgage-backed securities	148	—		—		97,451		608,386		97,451		608,386
State and municipal bonds and obligations	199	8		3,816		9,896		156,973		9,904		160,789
	639	$	325	$	78,231	$	346,878	$	2,277,277	$	347,203	$	2,355,508

The Company does not intend to sell these investments and has determined based upon available evidence that it is not more-likely-than-not that the Company will be required to sell each security before the expected recovery of its amortized cost basis. As a result, the Company did not recognize an ACL on these investments as of either March 31, 2026 or December 31, 2025.

The causes of the impairments listed in the tables above by category are as follows as of March 31, 2026 and December 31, 2025:

•Government-sponsored mortgage-backed securities – The securities with unrealized losses in these portfolios have contractual terms that generally do not permit the issuer to settle the security at a price less than the current par value of the investment. The decline in market value of these securities is attributable to changes in interest rates and not credit quality. Additionally, these securities are implicitly guaranteed by the U.S. government or one of its agencies.

•State and municipal bonds and obligations – The securities with unrealized losses in this portfolio have contractual terms that generally do not permit the issuer to settle the security at a price less than the current par value of the investment. The decline in market value of these securities is attributable to changes in interest rates and not credit quality.

Held to Maturity Securities

The amortized cost, gross unrealized gains and losses, allowance for credit losses and fair value of held to maturity (“HTM”) securities as of the dates indicated were as follows:


	As of March 31, 2026
	Amortized Cost		Unrealized Gains		Unrealized Losses		Allowance for Credit Losses		Fair Value
	(In thousands)
Debt securities:
Government-sponsored residential mortgage-backed securities	$	205,168	$	—	$	(16,780)	$	—	$	188,388
Government-sponsored commercial mortgage-backed securities	183,047		—		(12,003)		—		171,044
State and municipal bonds and obligations	282,454		1,471		(4,594)		—		279,331
Corporate bonds	41,886		1,340		(54)		—		43,172
	$	712,555	$	2,811	$	(33,431)	$	—	$	681,935


	As of December 31, 2025
	Amortized Cost		Unrealized Gains		Unrealized Losses		Allowance for Credit Losses		Fair Value
	(In thousands)
Debt securities:
Government-sponsored residential mortgage-backed securities	$	210,142	$	—	$	(15,595)	$	—	$	194,547
Government-sponsored commercial mortgage-backed securities	185,185		—		(11,601)		—		173,584
State and municipal bonds and obligations	167,346		2,914		(399)		—		169,861
Corporate bonds	36,884		1,098		—		—		37,982
	$	599,557	$	4,012	$	(27,595)	$	—	$	575,974

The Company did not record a provision for estimated credit losses on any HTM securities for either the three months ended March 31, 2026 or 2025. The accrued interest receivable on HTM securities totaled $4.9 million and $3.6 million as of March 31, 2026 and December 31, 2025, respectively, and is included within other assets on the Consolidated Balance Sheets. The Company did not record any write-offs of accrued interest receivable on HTM securities during either the three months ended March 31, 2026 or 2025. No HTM securities held by the Company were delinquent on contractual payments as of either March 31, 2026 or December 31, 2025, nor were any HTM securities placed on non-accrual status during the three and twelve-month periods then ended.

Available for Sale and Held to Maturity Securities Contractual Maturity

The amortized cost and estimated fair value of AFS and HTM securities by contractual maturities as of March 31, 2026 and December 31, 2025 are shown below. Actual maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without prepayment penalties.

The scheduled contractual maturities of AFS and HTM securities as of the dates indicated were as follows:


	As of March 31, 2026
	Due in one year or less				Due after one year to five years				Due after five years to ten years				Due after ten years				Total
	Amortized Cost		Fair Value		Amortized Cost		Fair Value		Amortized Cost		Fair Value		Amortized Cost		Fair Value		Amortized Cost		Fair Value
	(In thousands)
AFS securities
Government-sponsored residential mortgage-backed securities	$	1,148	$	1,141	$	8,329	$	8,201	$	20,932	$	19,730	$	2,799,602	$	2,565,435	$	2,830,011	$	2,594,507
Government-sponsored commercial mortgage-backed securities	38,420		37,896		580,309		579,623		37,961		34,000		476,118		388,335		1,132,808		1,039,854
U.S. Treasury securities	50,020		50,175		—		—		—		—		—		—		50,020		50,175
State and municipal bonds and obligations	6,750		6,719		35,166		34,510		52,627		50,905		94,057		83,594		188,600		175,728
Total available for sale securities	96,338		95,931		623,804		622,334		111,520		104,635		3,369,777		3,037,364		4,201,439		3,860,264
HTM securities
Government-sponsored residential mortgage-backed securities	—		—		—		—		—		—		205,168		188,388		205,168		188,388
Government-sponsored commercial mortgage-backed securities	—		—		129,544		123,123		53,503		47,921		—		—		183,047		171,044
State and municipal bond obligations	—		—		—		—		—		—		282,454		279,331		282,454		279,331
Corporate bonds	1,010		1,018		—		—		40,876		42,154		—		—		41,886		43,172
Total held to maturity securities	1,010		1,018		129,544		123,123		94,379		90,075		487,622		467,719		712,555		681,935
Total	$	97,348	$	96,949	$	753,348	$	745,457	$	205,899	$	194,710	$	3,857,399	$	3,505,083	$	4,913,994	$	4,542,199


	As of December 31, 2025
	Due in one year or less				Due after one year to five years				Due after five years to ten years				Due after ten years				Total
	Amortized Cost		Fair Value		Amortized Cost		Fair Value		Amortized Cost		Fair Value		Amortized Cost		Fair Value		Amortized Cost		Fair Value
	(In thousands)
AFS securities
Government-sponsored residential mortgage-backed securities	$	661	$	657	$	10,753	$	10,602	$	22,179	$	21,006	$	2,719,718	$	2,501,044	$	2,753,311	$	2,533,309
Government-sponsored commercial mortgage-backed securities	10,528		10,368		601,026		604,330		48,278		43,673		488,562		401,960		1,148,394		1,060,331
U.S. Treasury securities	50,030		50,350		—		—		—		—		—		—		50,030		50,350
State and municipal bonds and obligations	7,040		7,011		35,647		35,181		52,939		52,451		95,802		86,936		191,428		181,579
Total available for sale securities	68,259		68,386		647,426		650,113		123,396		117,130		3,304,082		2,989,940		4,143,163		3,825,569
HTM securities
Government-sponsored residential mortgage-backed securities	—		—		—		—		—		—		210,142		194,547		210,142		194,547
Government-sponsored commercial mortgage-backed securities	—		—		130,301		124,033		54,884		49,551		—		—		185,185		173,584
State and municipal bond obligations	—		—		—		—		—		—		167,346		169,861		167,346		169,861
Corporate bonds	—		—		1,012		1,014		35,872		36,968		—		—		36,884		37,982
Total held to maturity securities	—		—		131,313		125,047		90,756		86,519		377,488		364,408		599,557		575,974
Total	$	68,259	$	68,386	$	778,739	$	775,160	$	214,152	$	203,649	$	3,681,570	$	3,354,348	$	4,742,720	$	4,401,543

Securities Pledged as Collateral

As of March 31, 2026 and December 31, 2025, securities with a carrying value of $686.4 million and $692.9 million, respectively, were pledged to secure public deposits and for other purposes required by law. As of March 31, 2026 and December 31, 2025, deposits with associated pledged collateral included cash accounts from the Company’s wealth management division (“Cambridge Trust Wealth Management”) and municipal deposit accounts. As of March 31, 2026 and December 31, 2025, securities with a carrying value of $1.5 billion and $0.2 billion, respectively, were pledged as collateral to the FHLBB.

As of March 31, 2026 and December 31, 2025, the Company pledged securities with a carrying value of $397.1 million and $414.2 million, respectively, to the Federal Reserve Discount Window (the “Discount Window”).

Eastern Bankshares, Inc. 10-Q