Fair Value Measurement (Tables)

6 Months Ended

Jun. 30, 2017

Schedule Of Carrying Value And Fair Value Of Financial Instruments Not Recorded At Fair Value

The following table presents estimated fair values of the Company's financial instruments as of June 30, 2017 and December 31, 2016, whether or not recognized or recorded at fair value in the Condensed Consolidated Balance Sheets:



(in thousands)		June 30, 2017				December 31, 2016
		Carrying		Fair		Carrying		Fair
	Level	Value		Value		Value		Value
FINANCIAL ASSETS:
Cash and cash equivalents	1	$	615,964	$	615,964	$	1,449,432	$	1,449,432
Trading securities	1,2	11,467		11,467		10,964		10,964
Investment securities available for sale	2	3,132,566		3,132,566		2,701,220		2,701,220
Investment securities held to maturity	3	4,017		5,071		4,216		5,217
Loans held for sale	2	451,350		451,350		387,318		387,318
Loans and leases, net	3	18,184,275		18,166,230		17,374,679		17,385,156
Restricted equity securities	1	45,511		45,511		45,528		45,528
Residential mortgage servicing rights	3	141,832		141,832		142,973		142,973
Bank owned life insurance assets	1	303,894		303,894		299,673		299,673
Derivatives	2,3	42,028		42,028		47,501		47,501
Visa Class B common stock	3	—		71,046		—		59,107
FINANCIAL LIABILITIES:
Deposits	1,2	$	19,459,950	$	19,456,321	$	19,020,985	$	19,016,330
Securities sold under agreements to repurchase	2	330,189		330,189		352,948		352,948
Term debt	2	852,219		847,076		852,397		844,377
Junior subordinated debentures, at fair value	3	265,423		265,423		262,209		262,209
Junior subordinated debentures, at amortized cost	3	100,770		78,586		100,931		77,640
Derivatives	2	5,660		5,660		37,063		37,063

Schedule Of Fair Value Assets And Liabilities Measured On Recurring Basis

The following tables present information about the Company's assets and liabilities measured at fair value on a recurring basis as of June 30, 2017 and December 31, 2016:



(in thousands)	June 30, 2017
Description	Total		Level 1		Level 2		Level 3
FINANCIAL ASSETS:
Trading securities
Obligations of states and political subdivisions	$	57	$	—	$	57	$	—
Equity securities	11,410		11,410		—		—
Investment securities available for sale
Obligations of states and political subdivisions	298,560		—		298,560		—
Residential mortgage-backed securities and collateralized mortgage obligations	2,832,025		—		2,832,025		—
Investments in mutual funds and other equity securities	1,981		—		1,981		—
Loans held for sale, at fair value	451,350		—		451,350		—
Residential mortgage servicing rights, at fair value	141,832		—		—		141,832
Derivatives
Interest rate lock commitments	4,746		—		—		4,746
Interest rate forward sales commitments	1,792		—		1,792		—
Interest rate swaps	35,280		—		35,280		—
Foreign currency derivative	210		—		210		—
Total assets measured at fair value	$	3,779,243	$	11,410	$	3,621,255	$	146,578
FINANCIAL LIABILITIES:
Junior subordinated debentures, at fair value	$	265,423	$	—	$	—	$	265,423
Derivatives
Interest rate forward sales commitments	913		—		913		—
Interest rate swaps	4,348		—		4,348		—
Foreign currency derivative	399		—		399		—
Total liabilities measured at fair value	$	271,083	$	—	$	5,660	$	265,423



(in thousands)	December 31, 2016
Description	Total		Level 1		Level 2		Level 3
FINANCIAL ASSETS:
Trading securities
Obligations of states and political subdivisions	$	662	$	—	$	662	$	—
Equity securities	10,302		10,302		—		—
Investment securities available for sale
Obligations of states and political subdivisions	307,697		—		307,697		—
Residential mortgage-backed securities and collateralized mortgage obligations	2,391,553		—		2,391,553		—
Investments in mutual funds and other equity securities	1,970		—		1,970		—
Loans held for sale, at fair value	387,318		—		387,318		—
Residential mortgage servicing rights, at fair value	142,973		—		—		142,973
Derivatives
Interest rate lock commitments	4,076		—		—		4,076
Interest rate forward sales commitments	8,054		—		8,054		—
Interest rate swaps	34,701		—		34,701		—
Foreign currency derivative	670		—		670		—
Total assets measured at fair value	$	3,289,976	$	10,302	$	3,132,625	$	147,049
FINANCIAL LIABILITIES:
Junior subordinated debentures, at fair value	$	262,209	$	—	$	—	$	262,209
Derivatives
Interest rate forward sales commitments	1,318		—		1,318		—
Interest rate swaps	34,871		—		34,871		—
Foreign currency derivative	874		—		874		—
Total liabilities measured at fair value	$	299,272	$	—	$	37,063	$	262,209

Schedule of a Description of the Valuation Technique, Unobservable Input, and Qualitative Information for the Company's Assets and Liabilities Classified as Level 3

The following table provides a description of the valuation technique, significant unobservable inputs, and qualitative information about the unobservable inputs for the Company's assets and liabilities classified as Level 3 and measured at fair value on a recurring basis at June 30, 2017:



Financial Instrument	Valuation Technique	Unobservable Input	Weighted Average
Residential mortgage servicing rights	Discounted cash flow
		Constant Prepayment Rate	13.59%
		Discount Rate	9.70%
Interest rate lock commitment	Internal Pricing Model
		Pull-through rate	87.30%
Junior subordinated debentures	Discounted cash flow
		Credit Spread	5.26%

Schedule Of Reconciliation Of Assets And Liabilities Measured At Fair Value Using Significant Unobservable Inputs (Level 3) On A Recurring Basis

The following tables provide a reconciliation of assets and liabilities measured at fair value using significant unobservable inputs (Level 3) on a recurring basis during the three and six months ended June 30, 2017 and 2016:



(in thousands)
Three Months Ended June 30,	Beginning Balance		Change included in earnings			Purchases and issuances		Sales and settlements			Ending Balance		Net change in unrealized gains or (losses) relating to items held at end of period
2017
Residential mortgage servicing rights	$	142,344	$	(8,331	)	$	7,819	$	—		$	141,832	$	(4,268	)
Interest rate lock commitment, net	6,294		580			11,315		(13,443		)	4,746		4,746
Junior subordinated debentures, at fair value	263,605		4,872			—		(3,054		)	265,423		4,872

2016
Residential mortgage servicing rights	$	117,172	$	(13,940	)	$	8,863	$	—		$	112,095	$	(12,134	)
Interest rate lock commitment, net	8,255		1,677			16,319		(15,223		)	11,028		11,028
Junior subordinated debentures, at fair value	256,917		4,380			—		(2,637		)	258,660		4,380




(in thousands)
Six Months Ended June 30,	Beginning Balance		Change included in earnings			Purchases and issuances		Sales and settlements			Ending Balance		Net change in unrealized gains or (losses) relating to items held at end of period
2017
Residential mortgage servicing rights	$	142,973	$	(16,001	)	$	14,860	$	—		$	141,832	$	(8,224	)
Interest rate lock commitment, net	4,076		1,377			21,964		(22,671		)	4,746		4,746
Junior subordinated debentures, at fair value	262,209		9,552			—		(6,338		)	265,423		9,552

2016
Residential mortgage servicing rights	$	131,817	$	(34,565	)	$	14,843	$	—		$	112,095	$	(31,961	)
Interest rate lock commitment, net	3,631		3,721			31,282		(27,606		)	11,028		11,028
Junior subordinated debentures, at fair value	255,457		8,674			—		(5,471		)	258,660		8,674

Fair Value Assets And Liabilities Measured On Nonrecurring Basis

The following tables present information about the Company's assets and liabilities measured at fair value on a nonrecurring basis for which a nonrecurring change in fair value has been recorded during the reporting period. The amounts disclosed below represent the fair values at the time the nonrecurring fair value measurements were made, and not necessarily the fair value as of the dates reported upon.



(in thousands)	June 30, 2017
	Total		Level 1		Level 2		Level 3
Loans and leases	$	39,448	$	—	$	—	$	39,448
Other real estate owned	86		—		—		86
	$	39,534	$	—	$	—	$	39,534



(in thousands)	December 31, 2016
	Total		Level 1		Level 2		Level 3
Loans and leases	$	25,753	$	—	$	—	$	25,753
Other real estate owned	2,612		—		—		2,612
	$	28,365	$	—	$	—	$	28,365

Losses Resulting From Nonrecurring Fair Value Adjustments

The following table presents the losses resulting from nonrecurring fair value adjustments for the three and six months ended June 30, 2017 and 2016:



(in thousands)	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2017		2016		2017		2016
Loans and leases	$	11,914	$	7,091	$	23,156	$	13,170
Other real estate owned	40		39		107		1,462
Total loss from nonrecurring measurements	$	11,954	$	7,130	$	23,263	$	14,632

Fair Value Option

The following table presents the difference between the aggregate fair value and the aggregate unpaid principal balance of loans held for sale accounted for under the fair value option as of June 30, 2017 and December 31, 2016:

(in thousands)

June 30, 2017

December 31, 2016

Fair Value

Aggregate

Less Aggregate

Aggregate

Less Aggregate

Unpaid

Fair

Principal

Fair

Principal

Value

Balance

Value

Balance

Loans held for sale

451,350

435,931

15,419

387,318

378,974

8,344

- Definition

Tabular disclosure of the application of the fair value option for measurement and reporting of eligible financial assets and liabilities (as defined), as well as certain other eligible items (as defined) included in the statement of financial position, whether such option is elected for a single eligible item or a group of similar eligible items and is in addition to other disclosures concerning fair value which the company may be required to provide. Such disclosure might be expected to include: (1) for items included in the statement of financial position: (a) for each line item in the statement of financial position that includes an item or items for which the fair value option has been elected, provide the aggregate carrying amount of ineligible items included in each line item in the balance sheet, if any; (b) the difference between the aggregate fair value and the aggregate unpaid principal balance (assuming contractual principal amounts and fair value option elected) of: (i) loans and long-term receivables (other than securities otherwise reported at fair value) and (ii) long-term debt instruments; (c) for loans held as assets for which the fair value option has been elected: (i) the aggregate fair value of loans that are 90 days or more past due, (ii) if the policy is to recognize interest income separately from other changes in fair value, the aggregate fair value of loans in nonaccrual status, and (iii) the difference between the aggregate fair value and the aggregate unpaid principal balance for loans that are 90 days or more past due, in nonaccrual status, or both; (2) for items included in the income statement: (a) the amounts of gains and losses from fair value changes included in earnings and in which line in the income statement those gains and losses are reported whether or not combined with gains and losses from items required to be accounted for at fair value; (b) for loans and other receivables held as assets, the estimated amount of gains or losses included in earnings attributable to changes in instrument-specific credit risk; (c) for liabilities with fair values that have been significantly affected during the reporting period by changes in the instrument-specific credit risk, the estimated amount of gains and losses from fair value changes included in earnings that are attributable to changes in the instrument-specific credit risk; and (3) certain other disclosures as required or determined to be provided.

+ References + Details