Allowance for Non-Covered Loan Loss and Credit Quality (Tables)

6 Months Ended

Jun. 30, 2013

Activity In The Non-Covered Allowance For Loan And Lease Losses

The following table summarizes activity related to the allowance for non-covered loan and lease losses by non-covered loan portfolio segment for three and six months ended June 30, 2013 and 2012, respectively:

(in thousands)



	Three months ended June 30, 2013
	Commercial									Consumer
	Real Estate			Commercial			Residential			& Other			Unallocated			Total
Balance, beginning of period	$	55,095		$	21,661		$	7,219		$	717		$	—		$	84,692
Charge-offs	(2,038		)	(1,614		)	(728		)	(224		)	—			(4,604		)
Recoveries	1,480			1,086			87			102			—			2,755
Provision	712			454			1,672			155			—			2,993
Balance, end of period	$	55,249		$	21,587		$	8,250		$	750		$	—		$	85,836

	Three months ended June 30, 2012
	Commercial									Consumer
	Real Estate			Commercial			Residential			& Other			Unallocated			Total
Balance, beginning of period	$	58,026		$	17,886		$	6,106		$	862		$	3,790		$	86,670
Charge-offs	(7,342		)	(3,115		)	(925		)	(220		)	—			(11,602		)
Recoveries	352			1,388			72			100			—			1,912
Provision	5,305			3,428			1,399			296			(3,790		)	6,638
Balance, end of period	$	56,341		$	19,587		$	6,652		$	1,038		$	—		$	83,618

(in thousands)



	Six months ended June 30, 2013
	Commercial									Consumer
	Real Estate			Commercial			Residential			& Other			Unallocated			Total
Balance, beginning of period	$	54,909		$	22,925		$	6,925		$	632		$	—		$	85,391
Charge-offs	(3,492		)	(7,788		)	(1,632		)	(417		)	—			(13,329		)
Recoveries	1,950			1,453			179			211			—			3,793
Provision	1,882			4,997			2,778			324			—			9,981
Balance, end of period	$	55,249		$	21,587		$	8,250		$	750		$	—		$	85,836

	Six months ended June 30, 2012
	Commercial									Consumer
	Real Estate			Commercial			Residential			& Other			Unallocated			Total
Balance, beginning of period	$	59,574		$	20,485		$	7,625		$	867		$	4,417		$	92,968
Charge-offs	(13,114		)	(6,958		)	(3,513		)	(708		)	—			(24,293		)
Recoveries	1,307			3,448			167			216			—			5,138
Provision	8,574			2,612			2,373			663			(4,417		)	9,805
Balance, end of period	$	56,341		$	19,587		$	6,652		$	1,038		$	—		$	83,618

The following table presents the allowance and recorded investment in non-covered loans by portfolio segment and balances individually or collectively evaluated for impairment as of June 30, 2013 and 2012, respectively:

(in thousands)



	June 30, 2013
	Commercial						Consumer
	Real Estate		Commercial		Residential		& Other		Unallocated		Total
Allowance for non-covered loans and leases:
Collectively evaluated for impairment	$	53,400	$	21,583	$	8,239	$	750	$	—	$	83,972
Individually evaluated for impairment	1,849		4		11		—		—		1,864
Total	$	55,249	$	21,587	$	8,250	$	750	$	—	$	85,836
Non-covered loans and leases:
Collectively evaluated for impairment	$	4,112,263	$	1,749,697	$	766,578	$	42,016			$	6,670,554
Individually evaluated for impairment	111,814		15,045		477		—				127,336
Total	$	4,224,077	$	1,764,742	$	767,055	$	42,016			$	6,797,890

(in thousands)



	June 30, 2012
	Commercial						Consumer
	Real Estate		Commercial		Residential		& Other		Unallocated		Total
Allowance for non-covered loans and leases:
Collectively evaluated for impairment	$	55,868	$	19,587	$	6,649	$	1,038	$	—	$	83,142
Individually evaluated for impairment	473		—		3		—		—		476
Total	$	56,341	$	19,587	$	6,652	$	1,038	$	—	$	83,618
Non-covered loans and leases:
Collectively evaluated for impairment	$	3,782,259	$	1,523,403	$	638,324	$	32,436			$	5,976,422
Individually evaluated for impairment	119,860		19,529		919		—				140,308
Total	$	3,902,119	$	1,542,932	$	639,243	$	32,436			$	6,116,730

Schedule of Reserve for Unfunded Commitments and Unfunded Commitments

The following table presents a summary of activity in the reserve for unfunded commitments (“RUC”) and unfunded commitments for the three and six months ended June 30, 2013 and 2012, respectively:

(in thousands)



	Three months ended June 30, 2013
	Commercial							Consumer
	Real Estate		Commercial		Residential			& Other			Total
Balance, beginning of period	$	159	$	850	$	182		$	78		$	1,269
Net change to other expense	37		5		18			(2		)	58
Balance, end of period	$	196	$	855	$	200		$	76		$	1,327

	Three months ended June 30, 2012
	Commercial							Consumer
	Real Estate		Commercial		Residential			& Other			Total
Balance, beginning of period	$	97	$	778	$	163		$	64		$	1,102
Net change to other expense	10		12		(1		)	3			24
Balance, end of period	$	107	$	790	$	162		$	67		$	1,126

(in thousands)



	Six months ended June 30, 2013
	Commercial							Consumer
	Real Estate		Commercial		Residential			& Other		Total
Balance, beginning of period	$	172	$	807	$	173		$	71	$	1,223
Net change to other expense	24		48		27			5		104
Balance, end of period	$	196	$	855	$	200		$	76	$	1,327

	Six months ended June 30, 2012
	Commercial							Consumer
	Real Estate		Commercial		Residential			& Other		Total
Balance, beginning of period	$	59	$	633	$	185		$	63	$	940
Net change to other expense	48		157		(23		)	4		186
Balance, end of period	$	107	$	790	$	162		$	67	$	1,126

(in thousands)



	Commercial						Consumer
	Real Estate		Commercial		Residential		& Other		Total
Unfunded loan commitments:
June 30, 2013	$	215,824	$	991,765	$	292,920	$	53,148	$	1,553,657
June 30, 2012	$	118,624	$	896,662	$	251,031	$	52,768	$	1,319,085

Non-Covered Loans Sold

The following table summarizes loans sold by loan portfolio during the three and six months ended June 30, 2013 and 2012, respectively:

(In thousands)



	Three months ended				Six months ended
	June 30,				June 30,
	2013		2012		2013		2012
Commercial real estate
Term & multifamily	$	—	$	1,289	$	2,850	$	4,940
Construction & development	—		—		3,515		—
Residential development	340		—		363		—
Commercial
Term	35,411		—		46,536		—
LOC & other	—		55		—		832
Residential
Mortgage	—		192		—		192
Home equity loans & lines	—		—		—		—
Consumer & other	—		—		—		—
Total	$	35,751	$	1,536	$	53,264	$	5,964

Non-Covered Non-Accrual Loans And Loans Past Due

The following table summarizes our non-covered non-accrual loans and loans past due by loan class as of June 30, 2013 and December 31, 2012:

(in thousands)



	June 30, 2013
	30-59		60-89		Greater Than								Total Non-
	Days		Days		90 Days and		Total				Current &		covered Loans
	Past Due		Past Due		Accruing		Past Due		Nonaccrual		Other (1)		and Leases
Commercial real estate
Term & multifamily	$	9,817	$	3,731	$	—	$	13,548	$	30,586	$	3,886,269	$	3,930,403
Construction & development	—		—		—		—		—		226,924		226,924
Residential development	827		415		—		1,242		4,845		60,663		66,750
Commercial
Term	2,985		331		19		3,335		12,060		754,688		770,083
LOC & other	396		49		—		445		1,364		992,850		994,659
Residential
Mortgage	2,075		545		5,116		7,736		—		501,079		508,815
Home equity loans & lines	273		446		794		1,513		—		256,727		258,240
Consumer & other	61		13		123		197		—		41,819		42,016
Total	$	16,434	$	5,530	$	6,052	$	28,016	$	48,855	$	6,721,019	$	6,797,890
Deferred loan fees, net													(10,773		)
Total													$	6,787,117

(1) Other includes non-covered loans accounted for under ASC 310-30.

(in thousands)



	December 31, 2012
	30-59		60-89		Greater Than								Total Non-
	Days		Days		90 Days and		Total				Current &		covered Loans
	Past Due		Past Due		Accruing		Past Due		Nonaccrual		Other (1)		and Leases
Commercial real estate
Term & multifamily	$	7,747	$	2,784	$	—	$	10,531	$	43,290	$	3,884,622	$	3,938,443
Construction & development	283		—		—		283		4,177		197,658		202,118
Residential development	479		—		—		479		5,132		51,598		57,209
Commercial
Term	3,009		746		81		3,836		7,040		786,926		797,802
LOC & other	1,647		1,503		—		3,150		7,027		913,151		923,328
Residential
Mortgage	2,906		602		3,303		6,811		—		469,768		476,579
Home equity loans & lines	1,398		214		758		2,370		49		258,378		260,797
Consumer & other	282		191		90		563		21		36,743		37,327
Total	$	17,751	$	6,040	$	4,232	$	28,023	$	66,736	$	6,598,844	$	6,693,603
Deferred loan fees, net													(12,523		)
Total													$	6,681,080

(1) Other includes non-covered loans accounted for under ASC 310-30.

Non-Covered Impaired Loans

The following table summarizes our non-covered impaired loans by loan class as of June 30, 2013 and December 31, 2012:

(in thousands)



	June 30, 2013
	Unpaid
	Principal		Recorded		Related
	Balance		Investment		Allowance
With no related allowance recorded:
Commercial real estate
Term & multifamily	$	48,092	$	42,893	$	—
Construction & development	9,639		8,619		—
Residential development	8,639		5,106		—
Commercial
Term	26,816		12,060		—
LOC & other	2,064		1,364		—
Residential
Mortgage	—		—		—
Home equity loans & lines	161		—		—
Consumer & other	—		—		—
With an allowance recorded:
Commercial real estate
Term & multifamily	35,829		35,829		1,326
Construction & development	3,814		3,814		379
Residential development	15,553		15,553		144
Commercial
Term	351		351		—
LOC & other	1,270		1,270		4
Residential
Mortgage	477		477		11
Home equity loans & lines	—		—		—
Consumer & other	—		—		—
Total:
Commercial real estate	121,566		111,814		1,849
Commercial	30,501		15,045		4
Residential	638		477		11
Consumer & other	—		—		—
Total	$	152,705	$	127,336	$	1,864

(in thousands)



	December 31, 2012
	Unpaid
	Principal		Recorded		Related
	Balance		Investment		Allowance
With no related allowance recorded:
Commercial real estate
Term & multifamily	$	49,953	$	43,406	$	—
Construction & development	18,526		15,638		—
Residential development	9,293		6,091		—
Commercial
Term	13,729		10,532		—
LOC & other	10,778		7,846		—
Residential
Mortgage	—		—		—
Home equity loans & lines	50		49		—
Consumer & other	21		21		—
With an allowance recorded:
Commercial real estate
Term & multifamily	41,016		41,016		1,198
Construction & development	1,091		1,091		14
Residential development	16,593		16,593		184
Commercial
Term	—		—		—
LOC & other	—		—		—
Residential
Mortgage	—		—		—
Home equity loans & lines	126		126		5
Consumer & other	—		—		—
Total:
Commercial real estate	136,472		123,835		1,396
Commercial	24,507		18,378		—
Residential	176		175		5
Consumer & other	21		21		—
Total	$	161,176	$	142,409	$	1,401

Schedule Of Average Recorded Investment And Interest Income Recognized

The following table summarizes our average recorded investment and interest income recognized on impaired non-covered loans by loan class for the three and six months ended June 30, 2013 and 2012:

(in thousands)



	Three months ended				Three months ended
	June 30, 2013				June 30, 2012
	Average		Interest		Average		Interest
	Recorded		Income		Recorded		Income
	Investment		Recognized		Investment		Recognized
With no related allowance recorded:
Commercial real estate
Term & multifamily	$	38,600	$	—	$	46,449	$	—
Construction & development	10,010		—		18,302		—
Residential development	5,309		—		18,232		—
Commercial
Term	11,841		—		12,888		—
LOC & other	2,185		—		8,668		—
Residential
Mortgage	—		—		—		—
Home equity loans & lines	25		—		396		—
Consumer & other	—		—		—		—
With an allowance recorded:
Commercial real estate
Term & multifamily	41,175		400		21,915		216
Construction & development	2,452		150		2,742		171
Residential development	15,637		158		16,026		200
Commercial
Term	1,913		5		—		47
LOC & other	1,270		13		—		—
Residential
Mortgage	383		59		—		—
Home equity loans & lines	—		—		128		3
Consumer & other	—		—		—		—
Total:
Commercial real estate	113,183		708		123,666		587
Commercial	17,209		18		21,556		47
Residential	408		59		524		3
Consumer & other	—		—		—		—
Total	$	130,800	$	785	$	145,746	$	637



	Six months ended				Six months ended
	June 30, 2013				June 30, 2012
	Average		Interest		Average		Interest
	Recorded		Income		Recorded		Income
	Investment		Recognized		Investment		Recognized
With no related allowance recorded:
Commercial real estate
Term & multifamily	$	40,751	$	—	$	45,795	$	—
Construction & development	12,639		—		19,069		—
Residential development	8,712		—		19,979		—
Commercial
Term	11,883		—		12,362		—
LOC & other	4,107		—		8,703		—
Residential
Mortgage	—		—		—		—
Home equity loans & lines	117		—		264		—
Consumer & other	1		—		—		—
With an allowance recorded:
Commercial real estate
Term & multifamily	37,095		769		22,147		434
Construction & development	2,435		299		2,742		344
Residential development	16,564		316		19,459		401
Commercial
Term	1,423		9		617		94
LOC & other	1,112		24		1,325		—
Residential
Mortgage	255		114		—		—
Home equity loans & lines	42		—		128		3
Consumer & other	—		—		—		—
Total:
Commercial real estate	118,196		1,384		129,191		1,179
Commercial	18,525		33		23,007		94
Residential	414		114		392		3
Consumer & other	1		—		—		—
Total	$	137,136	$	1,531	$	152,590	$	1,276

Internal Risk Rating By Loan Class

The following table summarizes our internal risk rating by loan class for the non-covered loan portfolio as of June 30, 2013 and December 31, 2012:

(in thousands)



	June 30, 2013
	Pass/Watch		Special Mention		Substandard		Doubtful		Loss		Impaired		Total
Commercial real estate
Term & multifamily	$	3,544,220	$	144,128	$	163,333	$	—	$	—	$	78,722	$	3,930,403
Construction & development	203,716		8,861		1,914		—		—		12,433		226,924
Residential development	39,217		3,352		3,522		—		—		20,659		66,750
Commercial
Term	709,542		20,959		27,171		—		—		12,411		770,083
LOC & other	949,054		31,038		11,933		—		—		2,634		994,659
Residential
Mortgage	500,318		2,630		688		—		4,702		477		508,815
Home equity loans & lines	256,708		737		52		—		743		—		258,240
Consumer & other	41,819		74		74		—		49		—		42,016
Total	$	6,244,594	$	211,779	$	208,687	$	—	$	5,494	$	127,336	$	6,797,890
Deferred loan fees, net													(10,773		)
Total													$	6,787,117

(in thousands)



	December 31, 2012
	Pass/Watch		Special Mention		Substandard		Doubtful		Loss		Impaired		Total
Commercial real estate
Term & multifamily	$	3,515,753	$	203,643	$	134,625	$	—	$	—	$	84,422	$	3,938,443
Construction & development	166,660		12,666		6,063		—		—		16,729		202,118
Residential development	25,082		4,379		5,064		—		—		22,684		57,209
Commercial
Term	718,122		22,255		46,893		—		—		10,532		797,802
LOC & other	880,385		19,521		15,576		—		—		7,846		923,328
Residential
Mortgage	469,325		3,507		1,120		—		2,627		—		476,579
Home equity loans & lines	258,252		1,612		—		—		758		175		260,797
Consumer & other	36,797		419		57		—		33		21		37,327
Total	$	6,070,376	$	268,002	$	209,398	$	—	$	3,418	$	142,409	$	6,693,603
Deferred loan fees, net													(12,523		)
Total													$	6,681,080

Schedule Of Troubled Debt Restructurings

The following tables present troubled debt restructurings by accrual versus non-accrual status and by loan class as of June 30, 2013 and December 31, 2012:

(in thousands)



	June 30, 2013
	Accrual		Non-Accrual		Total
	Status		Status		Modifications
Commercial real estate
Term & multifamily	$	43,539	$	12,424	$	55,963
Construction & development	12,433		—		12,433
Residential development	15,814		3,991		19,805
Commercial
Term	351		4,526		4,877
LOC & other	1,270		—		1,270
Residential
Mortgage	477		—		477
Home equity loans & lines	—		—		—
Consumer & other	—		—		—
Total	$	73,884	$	20,941	$	94,825

(in thousands)



	December 31, 2012
	Accrual		Non-Accrual		Total
	Status		Status		Modifications
Commercial real estate
Term & multifamily	$	39,613	$	16,605	$	56,218
Construction & development	12,552		3,516		16,068
Residential development	17,141		4,921		22,062
Commercial
Term	350		4,641		4,991
LOC & other	820		1,493		2,313
Residential
Mortgage	—		—		—
Home equity loans & lines	126		—		126
Consumer & other	—		—		—
Total	$	70,602	$	31,176	$	101,778

The following tables present newly non-covered restructured loans that occurred during the three and six months ended June 30, 2013 and 2012, respectively:

(in thousands)



	Three months ended June 30, 2013
	Rate		Term		Interest Only		Payment		Combination		Total
	Modifications		Modifications		Modifications		Modifications		Modifications		Modifications
Commercial real estate
Term & multifamily	$	—	$	—	$	—	$	—	$	—	$	—
Construction & development	—		—		—		—		—		—
Residential development	—		—		—		—		—		—
Commercial
Term	—		—		—		—		—		—
LOC & other	—		—		—		—		—		—
Residential
Mortgage	—		—		—		—		189		189
Home equity loans & lines	—		—		—		—		—		—
Consumer & other	—		—		—		—		—		—
Total	$	—	$	—	$	—	$	—	$	189	$	189

	Three months ended June 30, 2012
	Rate		Term		Interest Only		Payment		Combination		Total
	Modifications		Modifications		Modifications		Modifications		Modifications		Modifications
Commercial real estate
Term & multifamily	$	—	$	—	$	—	$	—	$	—	$	—
Construction & development	—		—		—		—		—		—
Residential development	—		—		—		—		—		—
Commercial
Term	—		—		—		—		—		—
LOC & other	—		—		—		—		—		—
Residential
Mortgage	—		—		—		—		—		—
Home equity loans & lines	—		—		—		—		—		—
Consumer & other	—		—		—		—		—		—
Total	$	—	$	—	$	—	$	—	$	—	$	—

(in thousands)



	Six months ended June 30, 2013
	Rate		Term		Interest Only		Payment		Combination		Total
	Modifications		Modifications		Modifications		Modifications		Modifications		Modifications
Commercial real estate
Term & multifamily	$	—	$	—	$	4,291	$	—	$	—	$	4,291
Construction & development	—		—		—		—		—		—
Residential development	—		—		—		—		—		—
Commercial
Term	—		—		—		—		—		—
LOC & other	—		—		—		—		452		452
Residential
Mortgage	—		—		—		—		478		478
Home equity loans & lines	—		—		—		—		—		—
Consumer & other	—		—		—		—		—		—
Total	$	—	$	—	$	4,291	$	—	$	930	$	5,221

	Six months ended June 30, 2012
	Rate		Term		Interest Only		Payment		Combination		Total
	Modifications		Modifications		Modifications		Modifications		Modifications		Modifications
Commercial real estate
Term & multifamily	$	—	$	—	$	—	$	—	$	803	$	803
Construction & development	—		—		—		—		—		—
Residential development	—		—		—		—		—		—
Commercial
Term	—		—		—		—		—		—
LOC & other	—		—		—		—		—		—
Residential
Mortgage	—		—		—		—		—		—
Home equity loans & lines	—		—		—		—		—		—
Consumer & other	—		—		—		—		—		—
Total	$	—	$	—	$	—	$	—	$	803	$	803

For the periods presented in the tables above, the outstanding recorded investment was the same pre and post modification.

The following tables represent financing receivables modified as troubled debt restructurings within the previous 12 months for which there was a payment default during the three and six months ended June 30, 2013 and 2012, respectively:

(in thousands)



	Three months ended				Six months ended
	June 30,				June 30,
	2013		2012		2013		2012
Commercial real estate
Term & multifamily	$	—	$	—	$	—	$	217
Construction & development	—		—		—		—
Residential development	—		633		—		633
Commercial
Term	—		—		—		—
LOC & other	—		—		—		26
Residential
Mortgage	—		—		—		—
Home equity loans & lines	—		—		—		—
Consumer & other	—		—		—		—
Total	$	—	$	633	$	—	$	876