SECURITIES (Tables)

6 Months Ended

Dec. 31, 2015

Investments, Debt and Equity Securities [Abstract]

The amortized cost, carrying amount and fair value for the major categories of securities: trading, available-for-sale, and held-to-maturity at December 31, 2015 and June 30, 2015 were:



	December 31, 2015
	Trading		Available-for-sale									Held-to-maturity
(Dollars in thousands)	Fair Value		Amortized Cost		Unrealized Gains		Unrealized Losses			Fair Value		Carrying Amount		Unrecognized Gains		Unrecognized Losses			Fair Value
Mortgage-backed securities (RMBS):
U.S. agencies¹	$	—	$	35,565	$	334	$	(785	)	$	35,114	$	39,118	$	752	$	(1	)	$	39,869
Non-agency²	—		19,275		1,861		—			21,136		140,908		7,560		(13,228		)	135,240
Total mortgage-backed securities	—		54,840		2,195		(785		)	56,250		180,026		8,312		(13,229		)	175,109
Other debt securities:
Municipal	—		30,877		222		(86		)	31,013		35,937		4,513		—			40,450
Non-agency³	7,706		141,056		912		(842		)	141,126		—		—		—			—
Total other debt securities	7,706		171,933		1,134		(928		)	172,139		35,937		4,513		—			40,450
Total debt securities	$	7,706	$	226,773	$	3,329	$	(1,713	)	$	228,389	$	215,963	$	12,825	$	(13,229	)	$	215,559

	June 30, 2015
	Trading		Available-for-sale									Held-to-maturity
(Dollars in thousands)	Fair Value		Amortized Cost		Unrealized Gains		Unrealized Losses			Fair Value		Carrying Amount		Unrecognized Gains		Unrecognized Losses			Fair Value
Mortgage-backed securities (RMBS):
U.S. agencies¹	$	—	$	43,738	$	701	$	(948	)	$	43,491	$	41,993	$	1,398	$	—		$	43,391
Non-agency²	—		23,799		2,835		(1		)	26,633		147,586		10,045		(12,749		)	144,882
Total mortgage-backed securities	—		67,537		3,536		(949		)	70,124		189,579		11,443		(12,749		)	188,273
Other debt securities:
Municipal	—		21,731		390		(86		)	22,035		35,976		4,074		—			40,050
Non-agency³	7,832		70,216		1,271		(285		)	71,202		—		—		—			—
Total other debt securities	7,832		91,947		1,661		(371		)	93,237		35,976		4,074		—			40,050
Total debt securities	$	7,832	$	159,484	$	5,197	$	(1,320	)	$	163,361	$	225,555	$	15,517	$	(12,749	)	$	228,323

__________________________________


^1.	U.S. government-backed or government sponsored enterprises including Fannie Mae, Freddie Mac and Ginnie Mae.


^2.	Private sponsors of securities collateralized primarily by pools of 1-4 family residential first mortgages. Primarily super senior securities secured by prime, Alt-A or pay-option ARM mortgages.


3.	Senior collateralized loan obligations and asset-backed securities.

Schedule of Unrealized Loss on Investments

The securities with unrealized losses, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position were as follows:



	December 31, 2015
	Available-for-sale securities in loss position for															Held-to-maturity securities in loss position for
	Less Than 12 Months					More Than 12 Months					Total					Less Than 12 Months					More Than 12 Months					Total
(Dollars in thousands)	Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses
RMBS:
U.S. agencies	$	—	$	—		$	23,612	$	(785	)	$	23,612	$	(785	)	$	149	$	(1	)	$	—	$	—		$	149	$	(1	)
Non-agency	—		—			—		—			—		—			13,664		(845		)	75,183		(12,383		)	88,847		(13,228		)
Total RMBS securities	—		—			23,612		(785		)	23,612		(785		)	13,813		(846		)	75,183		(12,383		)	88,996		(13,229		)
Other Debt:
Municipal Debt	20,507		(86		)	—		—			20,507		(86		)	—		—			—		—			—		—
Non-agency	68,648		(706		)	2,276		(136		)	70,924		(842		)	—		—			—		—			—		—
Total Other Debt	89,155		(792		)	2,276		(136		)	91,431		(928		)	—		—			—		—			—		—
Total debt securities	$	89,155	$	(792	)	$	25,888	$	(921	)	$	115,043	$	(1,713	)	$	13,813	$	(846	)	$	75,183	$	(12,383	)	$	88,996	$	(13,229	)

	June 30, 2015
	Available-for-sale securities in loss position for															Held-to-maturity securities in loss position for
	Less Than 12 Months					More Than 12 Months					Total					Less Than 12 Months					More Than 12 Months					Total
(Dollars in thousands)	Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses
RMBS:
U.S. agencies	$	369	$	(2	)	$	24,974	$	(946	)	$	25,343	$	(948	)	$	—	$	—		$	—	$	—		$	—	$	—
Non-agency	1,275		(1		)	—		—			1,275		(1		)	23,450		(1,802		)	67,090		(10,947		)	90,540		(12,749		)
Total RMBS securities	1,644		(3		)	24,974		(946		)	26,618		(949		)	23,450		(1,802		)	67,090		(10,947		)	90,540		(12,749		)
Other Debt:
Municipal Debt	1,358		(86		)	—		—			1,358		(86		)	—		—			—		—			—		—
Non-agency	19,100		(285		)	—		—			19,100		(285		)	—		—			—		—			—		—
Total Other Debt	20,458		(371		)	—		—			20,458		(371		)	—		—			—		—			—		—
Total debt securities	$	22,102	$	(374	)	$	24,974	$	(946	)	$	47,076	$	(1,320	)	$	23,450	$	(1,802	)	$	67,090	$	(10,947	)	$	90,540	$	(12,749	)

Other than Temporary Impairment, Credit Losses Recognized in Earnings

The following table summarizes amounts of credit loss recognized in the income statement through other-than-temporary impairment charges which reduced non-interest income:



	For the Three Months Ended						For the Six Months Ended
	December 31,						December 31,
(Dollars in thousands)	2015			2014			2015			2014
Beginning balance	$	(20,621	)	$	(19,351	)	$	(20,503	)	$	(18,139	)
Additions for the amounts related to credit loss for which an other-than-temporary impairment was not previously recognized	—			—			(99		)	(39		)
Increases to the amount related to the credit loss for which other-than-temporary impairment was previously recognized	(23		)	(285		)	(42		)	(1,458		)
Credit losses realized for securities sold	116			—			116			—
Ending balance	$	(20,528	)	$	(19,636	)	$	(20,528	)	$	(19,636	)

Schedule of Realized Gain (Loss)

The gross gains and losses realized through earnings upon the sale of available-for-sale securities for the three and six months ended December 31, 2015 were as follows:



	For the Three Months Ended				For the Six Months Ended
	December 31,				December 31,
(Dollars in thousands)	2015		2014		2015		2014
Proceeds	$	10,069	$	9,614	$	10,069	$	9,614
Gross realized gains	933		587		933		587
Gross realized losses	—		—		—		—
Net realized gain on securities	$	933	$	587	$	933	$	587

Unrealized Gain (Loss) on Investments

The Company had recorded unrealized gains and unrealized losses in accumulated other comprehensive loss as follows:



(Dollars in thousands)	December 31, 2015			June 30, 2015
Available-for-sale debt securities—net unrealized gains	$	1,616		$	3,877
Available-for-sale debt securities—non-credit related losses	(259		)	(271		)
Held-to-maturity debt securities—non-credit related losses	(15,100		)	(18,597		)
Subtotal	(13,743		)	(14,991		)
Tax benefit	4,700			5,592
Net unrealized loss on investment securities in accumulated other comprehensive loss	$	(9,043	)	$	(9,399	)

Investments Classified by Contractual Maturity Date

The expected maturity distribution including repayments of the Company’s mortgage-backed securities and other debt securities classified as trading, available-for-sale and held-to-maturity at December 31, 2015 were:



	December 31, 2015
	Trading		Available for sale				Held-to-maturity
(Dollars in thousands)	Fair Value		Amortized Cost		Fair Value		Carrying Amount		Fair Value
RMBS—U.S. agencies:
Due within one year	$	—	$	3,532	$	3,451	$	1,298	$	1,346
Due one to five years	—		10,929		10,710		4,978		5,161
Due five to ten years	—		8,693		8,576		5,654		5,851
Due after ten years	—		12,411		12,377		27,188		27,511
Total RMBS—U.S. agencies	—		35,565		35,114		39,118		39,869
RMBS—Non-agency:
Due within one year	—		5,536		5,933		21,779		20,837
Due one to five years	—		9,251		10,059		47,178		45,431
Due five to ten years	—		2,625		3,005		38,441		36,615
Due after ten years	—		1,863		2,139		33,510		32,357
Total RMBS—Non-agency	—		19,275		21,136		140,908		135,240
Other debt:
Due within one year	—		33,822		33,760		1,014		1,137
Due one to five years	—		129,343		129,571		4,708		5,280
Due five to ten years	—		5,050		5,066		7,391		8,292
Due after ten years	7,706		3,718		3,742		22,824		25,741
Total other debt	7,706		171,933		172,139		35,937		40,450
Total	$	7,706	$	226,773	$	228,389	$	215,963	$	215,559