Fair Value Measurements (Tables)

12 Months Ended

Dec. 31, 2015

Assets and Liabilities Carried at Fair Value on Recurring Basis

The following tables present information on the assets measured and recorded at fair value on a recurring basis as of the dates indicated:



	Fair Value Measurements as of
	December 31, 2015
Measured on a Recurring Basis:	Total		Level 1		Level 2		Level 3
	(In thousands)
Securities available‑for‑sale:
Government agency and government‑sponsored enterprise
pass-through securities	$	767,797	$	—	$	767,797	$	—
Government agency and government‑sponsored enterprise
collateralized mortgage obligations	486,239		—		486,239		—
Covered private label collateralized mortgage obligations	29,782		—		—		29,782
Other private label collateralized mortgage obligations	115,014		—		63,555		51,459
Municipal securities	1,547,331		—		1,547,331		—
US Treasury securities	69,380		69,380		—		—
Corporate debt securities	48,424		—		48,424		—
Collateralized loan obligations	132,189		—		132,189		—
SBA securities	211,157		—		211,157		—
Government‑sponsored enterprise debt securities	36,913		—		36,913		—
Asset-backed and other securities	115,211		2,562		94,449		18,200
Total securities available-for-sale	3,559,437		71,942		3,388,054		99,441
Derivative assets	11,919		—		11,919		—
Equity warrants	4,914		—		—		4,914
Total recurring assets	$	3,576,270	$	71,942	$	3,399,973	$	104,355
Derivative liabilities	$	1,397	$	—	$	1,397	$	—



	Fair Value Measurements as of
	December 31, 2014
Measured on a Recurring Basis:	Total		Level 1		Level 2		Level 3
	(In thousands)
Securities available‑for‑sale:
Government agency and government‑sponsored enterprise
pass-through securities	$	535,672	$	—	$	535,672	$	—
Government agency and government‑sponsored enterprise
collateralized mortgage obligations	277,946		—		277,946		—
Covered private label collateralized mortgage obligations	33,947		—		—		33,947
Other private label collateralized mortgage obligations	10,914		—		10,914		—
Municipal securities	536,116		—		536,116		—
Corporate debt securities	110,109		—		110,109		—
Government‑sponsored enterprise debt securities	36,757		—		36,757		—
Asset-backed and other securities	25,716		519		25,197		—
Total securities available-for-sale	1,567,177		519		1,532,711		33,947
Derivative assets	5,234		—		5,234		—
Total recurring assets	$	1,572,411	$	519	$	1,537,945	$	33,947
Derivative liabilities	$	118	$	—	$	118	$	—

Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques

The following table presents information about quantitative inputs and assumptions used to determine the fair values provided by our third party pricing service or broker quotes for our Level 3 private label CMOs (both covered and non-rated private placement) measured at fair value on a recurring basis as of December 31, 2015:



	Level 3 Private Label CMOs
	Range of Inputs	Weighted Average Input
Unobservable Inputs:
Voluntary annual prepayment speeds	0% - 20.55%	8.8%
Annual default rates	0% - 7.10%	3.4%
Loss severity rates	0% - 100%	44.3%
Discount rates	0% - 43.22%	4.4%

Fair Value, Assets Measured on Recurring Basis, Significant Unobservable Inputs (Level 3) Reconciliation

The following table summarizes activity for our Level 3 private label CMOs measured at fair value on a recurring basis for the years indicated:



	Year Ended December 31,
Level 3 Private Label CMOs:	2015			2014			2013
	(In thousands)
Balance, beginning of year	$	33,947		$	37,904		$	44,684
Total realized in earnings	1,104			1,627			1,938
Total unrealized loss in comprehensive income	(1,388		)	(344		)	(1,204		)
Net settlements	(3,881		)	(5,240		)	(7,514		)
Addition from the Square 1 acquisition	51,459			—			—
Balance, end of year	$	81,241		$	33,947		$	37,904

Schedule of Stockholders' Equity Note, Warrants or Rights [Table Text Block]

The following table summarizes activity for our Level 3 equity warrants measured at fair value on a recurring basis for the period from acquisition date to December 31, 2015:



	Period Ended
Equity Warrants:	December 31, 2015
	(In thousands)
Balance, acquisition date	$	5,552
Total realized in earnings	530
Transfers to securities available-for-sale	(2		)
Sales	(1,529		)
Issuances	363
Balance, end of year	$	4,914

Assets carried at fair value on a nonrecurring basis

The following tables present assets measured at fair value on a non‑recurring basis as of the dates indicated:



	Fair Value Measurement as of
	December 31, 2015
Measured on a Non‑Recurring Basis:	Total		Level 1		Level 2		Level 3
	(In thousands)
Impaired Non‑PCI loans	$	40,817	$	—	$	9,367	$	31,450
Other real estate owned	14,101		—		14,101		—
Investments carried at cost	107		—		—		107
Total non-recurring	$	55,025	$	—	$	23,468	$	31,557



	Fair Value Measurement as of
	December 31, 2014
Measured on a Non‑Recurring Basis:	Total		Level 1		Level 2		Level 3
	(In thousands)
Impaired Non‑PCI loans	$	42,693	$	—	$	2,366	$	40,327
Other real estate owned	24,015		—		18,400		5,615
Investments carried at cost	566		—		—		566
Total non-recurring	$	67,274	$	—	$	20,766	$	46,508

Net Losses (Gains) on Nonrecurring Assets [Table Text Block]

The following table presents losses recognized on assets measured on a nonrecurring basis for the years indicated:



	Year Ended December 31,
Loss on Assets Measured on a Non‑Recurring Basis:	2015			2014			2013
	(In thousands)
Impaired Non‑PCI loans	$	(16,097	)	$	(7,006	)	$	(1,206	)
Other real estate owned	(4,726		)	(6,737		)	(1,045		)
Investments carried at cost	(17		)	(141		)	—
Total net loss	$	(20,840	)	$	(13,884	)	$	(2,251	)

Fair Value Inputs, Assets, Quantitative Information

The following table presents the valuation methodology and unobservable inputs for Level 3 assets measured at fair value on a nonrecurring basis as of December 31, 2015:



Asset	Fair Value (In thousands)		Valuation Technique	Unobservable Inputs	Range	Weighted Average
Impaired Non-PCI loans	$	30,339	Discounted cash flows	Discount rates	0% - 9.04%	5.92%
	1,111		Third party appraisals	No discounts
Investments carried at cost	107		Market and income approach	Illiquidity discount	75%	75%
Total non-recurring Level 3	$	31,557

Fair Value, by Balance Sheet Grouping

The following tables present a summary of the carrying values and estimated fair values of certain financial instruments as of the dates indicated:



	December 31, 2015
	Carrying or Contract		Estimated Fair Value
	Amount		Total		Level 1		Level 2		Level 3
	(In thousands)
Financial Assets:
Cash and due from banks	$	161,020	$	161,020	$	161,020	$	—	$	—
Interest‑earning deposits in financial institutions	235,466		235,466		235,466		—		—
Securities available‑for‑sale	3,559,437		3,559,437		71,942		3,388,054		99,441
Investment in FHLB stock	19,710		19,710		—		19,710		—
Investments carried at cost	2,267		6,789		—		—		6,789
Loans and leases, net	14,363,143		14,393,558		—		9,367		14,384,191
Derivative assets	11,919		11,919		—		11,919		—
Equity warrants	4,914		4,914		—		—		4,914

Financial Liabilities:
Deposits:
Demand, interest checking, money market, and savings deposits	11,513,826		11,513,826		—		11,513,826		—
Time deposits	4,152,356		4,152,920		—		4,152,920		—
Borrowings	621,914		622,438		618,000		4,438		—
Subordinated debentures	436,000		419,762		—		419,762		—
Derivative liabilities	1,397		1,397		—		1,397		—



	December 31, 2014
	Carrying or Contract		Estimated Fair Value
	Amount		Total		Level 1		Level 2		Level 3
	(In thousands)
Financial Assets:
Cash and due from banks	$	164,757	$	164,757	$	164,757	$	—	$	—
Interest‑earning deposits in financial institutions	148,469		148,469		148,469		—		—
Securities available‑for‑sale	1,567,177		1,567,177		519		1,532,711		33,947
Investment in FHLB stock	40,609		40,609		—		40,609		—
Investments carried at cost	3,691		3,691		—		—		3,691
Investments accounted for under the equity method	21,461		21,700		—		—		21,700
Loans and leases, net	11,797,977		11,757,951		—		2,366		11,755,585
Derivative assets	5,234		5,234		—		5,234		—
Financial Liabilities:
Deposits:
Demand, interest checking, money market, and savings deposits	6,256,190		6,256,190		—		6,256,190		—
Time deposits	5,498,938		5,502,479		—		5,502,479		—
Borrowings	383,402		383,539		380,000		3,539		—
Subordinated debentures	433,583		417,657		—		417,657		—
Derivative liabilities	118		118		—		118		—

- Definition

Tabular disclosure of warrants or rights issued. Warrants and rights outstanding are derivative securities that give the holder the right to purchase securities (usually equity) from the issuer at a specific price within a certain time frame. Warrants are often included in a new debt issue to entice investors by a higher return potential. The main difference between warrants and call options is that warrants are issued and guaranteed by the company, whereas options are exchange instruments and are not issued by the company. Also, the lifetime of a warrant is often measured in years, while the lifetime of a typical option is measured in months. Disclose the title of issue of securities called for by warrants and rights outstanding, the aggregate amount of securities called for by warrants and rights outstanding, the date from which the warrants or rights are exercisable, and the price at which the warrant or right is exercisable.

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