CHFC 2018 Annual Report

(Dollars in thousands) Quoted Prices In Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total December 31, 2017 Investment securities — carried at fair value: Government and government-sponsored enterprises $ — $ 202,916 $ — $ 202,916 State and political subdivisions — 345,970 — 345,970 Residential mortgage-backed securities — 150,131 — 150,131 Collateralized mortgage obligations — 1,033,845 — 1,033,845 Corporate bonds — 192,794 — 192,794 Trust preferred securities — 36,066 — 36,066 Preferred stock — 1,824 — 1,824 Total investment securities — carried at fair value — 1,963,546 — 1,963,546 Loans held-for-sale — 52,133 — 52,133 Loan servicing rights — — 63,841 63,841 Derivative assets: Customer-initiated derivatives — 9,376 — 9,376 Interest rate lock commitments — 1,222 — 1,222 Power Equity CD — 2,184 — 2,184 Risk management derivatives — 5,899 — 5,899 Total derivatives — 18,681 — 18,681 Total assets at fair value $ — $ 2,034,360 $ 63,841 $ 2,098,201 Derivative liabilities: Customer-initiated derivatives — 10,139 — 10,139 Forward contracts related to mortgage loans to be delivered for sale — 34 — 34 Power Equity CD — 2,184 — 2,184 Total derivatives — 12,357 — 12,357 Total liabilities at fair value $ — $ 12,357 $ — $ 12,357 There were no transfers between levels within the fair value hierarchy during the years ended December 31, 2018 and 2017. Chemical Financial Corporation Notes to Consolidated Financial Statements December 31, 2018 108