Loans (Tables)

9 Months Ended

Sep. 30, 2014

Receivables [Abstract]

Summary of loans under portfolio

A summary of loans follows:

	September 30, 2014		December 31, 2013		September 30, 2013
	(In thousands)
Commercial loan portfolio:
Commercial	$	1,239,946	$	1,176,307	$	1,128,122
Commercial real estate	1,322,646		1,232,658		1,215,631
Real estate construction	125,782		89,795		78,361
Land development	10,434		20,066		23,673
Subtotal	2,698,808		2,518,826		2,445,787
Consumer loan portfolio:
Residential mortgage	984,049		960,423		942,777
Consumer installment	783,443		644,769		622,040
Home equity	574,620		523,603		512,067
Subtotal	2,342,112		2,128,795		2,076,884
Total loans	$	5,040,920	$	4,647,621	$	4,522,671

Recorded investment of loans in the commercial loan portfolio by risk rating categories

The following schedule presents the recorded investment of loans in the commercial loan portfolio by risk rating categories at September 30, 2014, December 31, 2013 and September 30, 2013:

	Commercial		Commercial Real Estate		Real Estate Construction		Land Development		Total
	(In thousands)
September 30, 2014
Originated Portfolio:
Risk Grades 1-5	$	1,098,885	$	1,090,397	$	110,402	$	3,228	$	2,302,912
Risk Grade 6	16,469		27,087		666		943		45,165
Risk Grade 7	34,409		42,134		3,751		618		80,912
Risk Grade 8	18,006		23,847		162		1,467		43,482
Risk Grade 9	207		11		—		—		218
Subtotal	1,167,976		1,183,476		114,981		6,256		2,472,689
Acquired Portfolio:
Risk Grades 1-5	58,342		130,887		10,801		2,303		202,333
Risk Grade 6	3,909		2,086		—		—		5,995
Risk Grade 7	5,885		6,197		—		148		12,230
Risk Grade 8	3,834		—		—		1,727		5,561
Risk Grade 9	—		—		—		—		—
Subtotal	71,970		139,170		10,801		4,178		226,119
Total	$	1,239,946	$	1,322,646	$	125,782	$	10,434	$	2,698,808
December 31, 2013
Originated Portfolio:
Risk Grades 1-5	$	1,024,461	$	991,964	$	75,696	$	6,874	$	2,098,995
Risk Grade 6	20,082		34,248		654		969		55,953
Risk Grade 7	29,776		30,377		738		3,128		64,019
Risk Grade 8	17,414		28,580		371		2,309		48,674
Risk Grade 9	960		18		—		—		978
Subtotal	1,092,693		1,085,187		77,459		13,280		2,268,619
Acquired Portfolio:
Risk Grades 1-5	73,763		133,653		12,336		4,667		224,419
Risk Grade 6	5,472		5,022		—		—		10,494
Risk Grade 7	852		7,792		—		—		8,644
Risk Grade 8	3,527		1,004		—		2,119		6,650
Risk Grade 9	—		—		—		—		—
Subtotal	83,614		147,471		12,336		6,786		250,207
Total	$	1,176,307	$	1,232,658	$	89,795	$	20,066	$	2,518,826
September 30, 2013
Originated Portfolio:
Risk Grades 1-5	$	974,903	$	963,394	$	64,210	$	7,760	$	2,010,267
Risk Grade 6	16,439		37,572		58		1,063		55,132
Risk Grade 7	37,644		30,969		1,337		4,870		74,820
Risk Grade 8	9,753		28,186		183		2,954		41,076
Risk Grade 9	2,056		437		—		—		2,493
Subtotal	1,040,795		1,060,558		65,788		16,647		2,183,788
Acquired Portfolio:
Risk Grades 1-5	82,648		141,234		12,573		4,604		241,059
Risk Grade 6	2,620		4,837		—		—		7,457
Risk Grade 7	992		7,847		—		—		8,839
Risk Grade 8	1,067		1,155		—		2,422		4,644
Risk Grade 9	—		—		—		—		—
Subtotal	87,327		155,073		12,573		7,026		261,999
Total	$	1,128,122	$	1,215,631	$	78,361	$	23,673	$	2,445,787

Recorded investment of loans in the consumer loan portfolio based on the credit risk profile of loans in a performing and nonperforming status

The following schedule presents the recorded investment of loans in the consumer loan portfolio based on loans in a performing status and loans in a nonperforming status at September 30, 2014, December 31, 2013 and September 30, 2013:

	Residential Mortgage		Consumer Installment		Home Equity		Total Consumer
	(In thousands)
September 30, 2014
Originated Loans:
Performing	$	963,469	$	782,087	$	544,227	$	2,289,783
Nonperforming	10,720		527		3,895		15,142
Subtotal	974,189		782,614		548,122		2,304,925
Acquired Loans:
Performing	9,658		728		26,327		36,713
Nonperforming	202		101		171		474
Subtotal	9,860		829		26,498		37,187
Total	$	984,049	$	783,443	$	574,620	$	2,342,112
December 31, 2013
Originated Loans:
Performing	$	934,747	$	642,370	$	488,996	$	2,066,113
Nonperforming	14,134		676		3,382		18,192
Subtotal	948,881		643,046		492,378		2,084,305
Acquired Loans:
Performing	11,481		1,723		31,182		44,386
Nonperforming	61		—		43		104
Subtotal	11,542		1,723		31,225		44,490
Total	$	960,423	$	644,769	$	523,603	$	2,128,795
September 30, 2013
Originated Loans:
Performing	$	918,931	$	619,346	$	475,439	$	2,013,716
Nonperforming	11,850		665		3,709		16,224
Subtotal	930,781		620,011		479,148		2,029,940
Acquired Loans:
Performing	11,918		2,029		32,737		46,684
Nonperforming	78		—		182		260
Subtotal	11,996		2,029		32,919		46,944
Total	$	942,777	$	622,040	$	512,067	$	2,076,884

Summary of nonperforming loans

A summary of nonperforming loans follows:

	September 30, 2014		December 31, 2013		September 30, 2013
	(In thousands)
Nonaccrual loans:
Commercial	$	18,213	$	18,374	$	11,809
Commercial real estate	23,858		28,598		28,623
Real estate construction	162		371		183
Land development	1,467		2,309		2,954
Residential mortgage	6,693		8,921		8,029
Consumer installment	527		676		665
Home equity	2,116		2,648		3,023
Total nonaccrual loans	53,036		61,897		55,286
Accruing loans contractually past due 90 days or more as to interest or principal payments:
Commercial	16		536		281
Commercial real estate	87		190		—
Real estate construction	—		—		—
Land development	—		—		—
Residential mortgage	380		537		692
Consumer installment	—		—		—
Home equity	1,779		734		686
Total accruing loans contractually past due 90 days or more as to interest or principal payments	2,262		1,997		1,659
Nonperforming TDRs:
Commercial loan portfolio	11,797		13,414		15,744
Consumer loan portfolio	3,647		4,676		3,129
Total nonperforming TDRs	15,444		18,090		18,873
Total nonperforming loans	$	70,742	$	81,984	$	75,818

Schedule of Impaired loans by classes

The following schedule presents impaired loans by classes of loans at September 30, 2014, December 31, 2013 and September 30, 2013:

	Recorded Investment		Unpaid Principal Balance		Related Valuation Allowance
	(In thousands)
September 30, 2014
Impaired loans with a valuation allowance:
Commercial	$	1,253	$	1,396	$	313
Commercial real estate	3,779		4,094		862
Real estate construction	—		—		—
Land development	—		—		—
Residential mortgage	19,629		19,629		328
Subtotal	24,661		25,119		1,503
Impaired loans with no related valuation allowance:
Commercial	40,344		45,259		—
Commercial real estate	45,550		59,037		—
Real estate construction	162		369		—
Land development	3,244		5,969		—
Residential mortgage	6,693		6,693		—
Consumer installment	527		527		—
Home equity	2,116		2,116		—
Subtotal	98,636		119,970		—
Total impaired loans:
Commercial	41,597		46,655		313
Commercial real estate	49,329		63,131		862
Real estate construction	162		369		—
Land development	3,244		5,969		—
Residential mortgage	26,322		26,322		328
Consumer installment	527		527		—
Home equity	2,116		2,116		—
Total	$	123,297	$	145,089	$	1,503
December 31, 2013
Impaired loans with a valuation allowance:
Commercial	$	2,517	$	2,656	$	728
Commercial real estate	2,576		2,965		353
Real estate construction	—		—		—
Land development	—		—		—
Residential mortgage	17,408		17,408		510
Subtotal	22,501		23,029		1,591
Impaired loans with no related valuation allowance:
Commercial	38,838		44,377		—
Commercial real estate	48,220		61,444		—
Real estate construction	371		478		—
Land development	7,170		11,817		—
Residential mortgage	8,921		8,921		—
Consumer installment	676		676		—
Home equity	2,648		2,648		—
Subtotal	106,844		130,361		—
Total impaired loans:
Commercial	41,355		47,033		728
Commercial real estate	50,796		64,409		353
Real estate construction	371		478		—
Land development	7,170		11,817		—
Residential mortgage	26,329		26,329		510
Consumer installment	676		676		—
Home equity	2,648		2,648		—
Total	$	129,345	$	153,390	$	1,591

	Recorded Investment		Unpaid Principal Balance		Related Valuation Allowance
	(In thousands)
September 30, 2013
Impaired loans with a valuation allowance:
Commercial	$	5,059	$	5,803	$	1,857
Commercial real estate	6,684		7,901		1,651
Real estate construction	183		253		33
Land development	517		653		97
Residential mortgage	17,731		17,731		585
Subtotal	30,174		32,341		4,223
Impaired loans with no related valuation allowance:
Commercial	21,543		25,642		—
Commercial real estate	43,178		57,256		—
Real estate construction	133		133		—
Land development	9,095		13,347		—
Residential mortgage	8,029		8,029		—
Consumer installment	665		665		—
Home equity	3,023		3,023		—
Subtotal	85,666		108,095		—
Total impaired loans:
Commercial	26,602		31,445		1,857
Commercial real estate	49,862		65,157		1,651
Real estate construction	316		386		33
Land development	9,612		14,000		97
Residential mortgage	25,760		25,760		585
Consumer installment	665		665		—
Home equity	3,023		3,023		—
Total	$	115,840	$	140,436	$	4,223

Schedule presents information related to impaired loans

The following schedule presents information related to impaired loans for the three and nine months ended September 30, 2014 and 2013:

	Three Months Ended September 30, 2014				Nine Months Ended September 30, 2014
	Average Recorded Investment		Interest Income Recognized While on Impaired Status		Average Recorded Investment		Interest Income Recognized While on Impaired Status
	(In thousands)
Commercial	$	41,903	$	346	$	42,046	$	1,026
Commercial real estate	50,133		263		51,571		990
Real estate construction	162		—		164		—
Land development	3,284		30		4,079		101
Residential mortgage	26,166		310		26,561		941
Consumer installment	481		—		630		—
Home equity	2,246		—		2,212		—
Total	$	124,375	$	949	$	127,263	$	3,058

	Three Months Ended September 30, 2013				Nine Months Ended September 30, 2013
	Average Recorded Investment		Interest Income Recognized While on Impaired Status		Average Recorded Investment		Interest Income Recognized While on Impaired Status
	(In thousands)
Commercial	$	27,025	$	215	$	26,894	$	633
Commercial real estate	50,266		284		53,482		984
Real estate construction	414		2		395		7
Land development	9,615		79		10,470		261
Residential mortgage	25,826		278		27,216		847
Consumer installment	632		—		666		—
Home equity	3,091		—		2,977		—
Total	$	116,869	$	858	$	122,100	$	2,732

Schedule representing the aging status of the recorded investment in loans by classes

The following schedule presents the aging status of the recorded investment in loans by classes of loans at September 30, 2014, December 31, 2013 and September 30, 2013:

	31-60 Days Past Due		61-89 Days Past Due		Accruing Loans Past Due 90 Days or More		Non-accrual Loans		Total Past Due		Current		Total Loans
	(In thousands)
September 30, 2014
Originated Portfolio:
Commercial	$	3,717	$	1,145	$	16	$	18,213	$	23,091	$	1,144,885	$	1,167,976
Commercial real estate	3,837		29		87		23,858		27,811		1,155,665		1,183,476
Real estate construction	1,075		—		—		162		1,237		113,744		114,981
Land development	—		—		—		1,467		1,467		4,789		6,256
Residential mortgage	1,669		—		380		6,693		8,742		965,447		974,189
Consumer installment	2,859		437		—		527		3,823		778,791		782,614
Home equity	2,592		361		1,779		2,116		6,848		541,274		548,122
Total	$	15,749	$	1,972	$	2,262	$	53,036	$	73,019	$	4,704,595	$	4,777,614
Acquired Portfolio:
Commercial	$	—	$	—	$	6,514	$	—	$	6,514	$	65,456	$	71,970
Commercial real estate	—		—		1,559		—		1,559		137,611		139,170
Real estate construction	—		—		—		—		—		10,801		10,801
Land development	—		—		1,727		—		1,727		2,451		4,178
Residential mortgage	—		—		202		—		202		9,658		9,860
Consumer installment	—		—		—		—		—		829		829
Home equity	335		—		227		—		562		25,936		26,498
Total	$	335	$	—	$	10,229	$	—	$	10,564	$	252,742	$	263,306

	31-60 Days Past Due		61-89 Days Past Due		Accruing Loans Past Due 90 Days or More		Non-accrual Loans		Total Past Due		Current		Total Loans
	(In thousands)
December 31, 2013
Originated Portfolio:
Commercial	$	4,748	$	865	$	536	$	18,374	$	24,523	$	1,068,170	$	1,092,693
Commercial real estate	8,560		1,604		190		28,598		38,952		1,046,235		1,085,187
Real estate construction	—		4,107		—		371		4,478		72,981		77,459
Land development	—		—		—		2,309		2,309		10,971		13,280
Residential mortgage	2,191		103		537		8,921		11,752		937,129		948,881
Consumer installment	2,630		359		—		676		3,665		639,381		643,046
Home equity	1,452		278		734		2,648		5,112		487,266		492,378
Total	$	19,581	$	7,316	$	1,997	$	61,897	$	90,791	$	4,262,133	$	4,352,924
Acquired Portfolio:
Commercial	$	—	$	—	$	5,656	$	—	$	5,656	$	77,958	$	83,614
Commercial real estate	—		133		1,695		—		1,828		145,643		147,471
Real estate construction	—		—		—		—		—		12,336		12,336
Land development	—		—		2,332		—		2,332		4,454		6,786
Residential mortgage	—		—		61		—		61		11,481		11,542
Consumer installment	3		51		—		—		54		1,669		1,723
Home equity	394		—		43		—		437		30,788		31,225
Total	$	397	$	184	$	9,787	$	—	$	10,368	$	284,329	$	294,697
September 30, 2013
Originated Portfolio:
Commercial	$	7,833	$	1,542	$	281	$	11,809	$	21,465	$	1,019,330	$	1,040,795
Commercial real estate	6,533		2,274		—		28,623		37,430		1,023,128		1,060,558
Real estate construction	90		5,385		—		183		5,658		60,130		65,788
Land development	187		—		—		2,954		3,141		13,506		16,647
Residential mortgage	1,739		76		692		8,029		10,536		920,245		930,781
Consumer installment	2,980		350		—		665		3,995		616,016		620,011
Home equity	2,344		434		686		3,023		6,487		472,661		479,148
Total	$	21,706	$	10,061	$	1,659	$	55,286	$	88,712	$	4,125,016	$	4,213,728
Acquired Portfolio:
Commercial	$	67	$	—	$	1,574	$	—	$	1,641	$	85,686	$	87,327
Commercial real estate	439		—		3,355		—		3,794		151,279		155,073
Real estate construction	—		—		—		—		—		12,573		12,573
Land development	—		—		2,422		—		2,422		4,604		7,026
Residential mortgage	264		—		77		—		341		11,655		11,996
Consumer installment	3		1		—		—		4		2,025		2,029
Home equity	389		79		182		—		650		32,269		32,919
Total	$	1,162	$	80	$	7,610	$	—	$	8,852	$	300,091	$	308,943

Schedule of Corporation's TDRs

The following schedule presents the Corporation’s loans reported as TDRs at September 30, 2014, December 31, 2013 and September 30, 2013:

	Performing TDRs		Non-Performing TDRs		Nonaccrual TDRs		Total
	(In thousands)
September 30, 2014
Commercial loan portfolio	$	28,606	$	11,797	$	36,549	$	76,952
Consumer loan portfolio	15,982		3,647		3,996		23,625
Total	$	44,588	$	15,444	$	40,545	$	100,577
December 31, 2013
Commercial loan portfolio	$	26,839	$	13,414	$	31,961	$	72,214
Consumer loan portfolio	12,732		4,676		5,321		22,729
Total	$	39,571	$	18,090	$	37,282	$	94,943
September 30, 2013
Commercial loan portfolio	$	19,469	$	15,744	$	34,124	$	69,337
Consumer loan portfolio	14,602		3,129		4,949		22,680
Total	$	34,071	$	18,873	$	39,073	$	92,017

Schedule providing information on TDRs

The following schedule provides information on the Corporation's TDRs that were modified during the three and nine months ended September 30, 2014 and 2013:

	Three Months Ended September 30, 2014					Nine Months Ended September 30, 2014
	Number of Loans	Pre- Modification Recorded Investment		Post- Modification Recorded Investment		Number of Loans	Pre- Modification Recorded Investment		Post- Modification Recorded Investment
	(Dollars in thousands)
Commercial loan portfolio:
Commercial	7	$	448	$	448	34	$	12,379	$	12,379
Commercial real estate	7	1,138		1,138		28	7,062		7,062
Land development	—	—		—		1	72		72
Subtotal – commercial loan portfolio	14	1,586		1,586		63	19,513		19,513
Consumer loan portfolio	14	572		565		107	3,208		3,191
Total	28	$	2,158	$	2,151	170	$	22,721	$	22,704

	Three Months Ended September 30, 2013 (As Revised)					Nine Months Ended September 30, 2013 (As Revised)
	Number of Loans	Pre- Modification Recorded Investment		Post- Modification Recorded Investment		Number of Loans	Pre- Modification Recorded Investment		Post- Modification Recorded Investment
	(Dollars in thousands)
Commercial loan portfolio:
Commercial	6	$	716	$	716	25	$	5,075	$	5,075
Commercial real estate	8	3,924		3,924		32	11,587		11,587
Real estate construction	—	—		—		2	364		364
Land development	—	—		—		4	1,958		1,958
Subtotal – commercial loan portfolio	14	4,640		4,640		63	18,984		18,984
Consumer loan portfolio	23	1,773		1,730		60	3,929		3,830
Total	37	$	6,413	$	6,370	123	$	22,913	$	22,814

Troubled debt restructurings on financing receivables with defaults payment

The following schedule includes TDRs for which there was a payment default during the three and nine months ended September 30, 2014 and 2013, whereby the borrower was past due with respect to principal and/or interest for 90 days or more, and the loan became a TDR during the twelve-month period prior to the default:

	Three Months Ended September 30, 2014			Nine Months Ended September 30, 2014
	Number of Loans	Principal Balance at End of Period		Number of Loans	Principal Balance at End of Period
	(Dollars in thousands)
Commercial loan portfolio:
Commercial	—	$	—	6	$	875
Commercial real estate	—	—		5	2,273
Subtotal – commercial loan portfolio	—	—		11	3,148
Consumer loan portfolio	4	162		7	242
Total	4	$	162	18	$	3,390
	Three Months Ended September 30, 2013 (As Revised)			Nine Months Ended September 30, 2013 (As Revised)
	Number of Loans	Principal Balance at End of Period		Number of Loans	Principal Balance at End of Period
	(Dollars in thousands)
Commercial loan portfolio:
Commercial	2	$	1,047	19	$	2,100
Commercial real estate	4	3,614		5	3,740
Real estate construction	—	—		1	160
Land development	—	—		2	1,526
Subtotal – commercial loan portfolio	6	4,661		27	7,526
Consumer loan portfolio	6	142		15	645
Total	12	$	4,803	42	$	8,171

Schedule of allowance and recorded investment related to financing receivables segregated by portfolio segment

The following schedule presents, by loan portfolio segment, the changes in the allowance for the three and nine months ended September 30, 2014 and details regarding the balance in the allowance and the recorded investment in loans at September 30, 2014 by impairment evaluation method.

	Commercial Loan Portfolio			Consumer Loan Portfolio			Unallocated			Total
	(In thousands)
Changes in allowance for loan losses for the three months ended September 30, 2014:
Beginning balance	$	44,224		$	29,565		$	4,004		$	77,793
Provision for loan losses	715			834			(49		)	1,500
Charge-offs	(1,733		)	(1,889		)	—			(3,622		)
Recoveries	789			546			—			1,335
Ending balance	$	43,995		$	29,056		$	3,955		$	77,006
Changes in allowance for loan losses for the nine months ended September 30, 2014:
Beginning balance	$	44,482		$	30,145		$	4,445		$	79,072
Provision for loan losses	2,114			2,976			(490		)	4,600
Charge-offs	(4,756		)	(5,713		)	—			(10,469		)
Recoveries	2,155			1,648			—			3,803
Ending balance	$	43,995		$	29,056		$	3,955		$	77,006
Allowance for loan losses balance at September 30, 2014 attributable to:
Loans individually evaluated for impairment	$	1,175		$	328		$	—		$	1,503
Loans collectively evaluated for impairment	42,820			28,228			3,955			75,003
Loans acquired with deteriorated credit quality	—			500			—			500
Total	$	43,995		$	29,056		$	3,955		$	77,006
Recorded investment (loan balance) at September 30, 2014:
Loans individually evaluated for impairment	$	84,103		$	19,629		$	—		$	103,732
Loans collectively evaluated for impairment	2,388,586			2,285,296			—			4,673,882
Loans acquired with deteriorated credit quality	226,119			37,187			—			263,306
Total	$	2,698,808		$	2,342,112		$	—		$	5,040,920

The following schedule presents, by loan portfolio segment, details regarding the balance in the allowance and the recorded investment in loans at December 31, 2013 by impairment evaluation method.

	Commercial Loan Portfolio		Consumer Loan Portfolio		Unallocated		Total
	(In thousands)
Allowance for loan losses balance at December 31, 2013 attributable to:
Loans individually evaluated for impairment	$	1,081	$	510	$	—	$	1,591
Loans collectively evaluated for impairment	43,401		29,135		4,445		76,981
Loans acquired with deteriorated credit quality	—		500		—		500
Total	$	44,482	$	30,145	$	4,445	$	79,072
Recorded investment (loan balance) at December 31, 2013:
Loans individually evaluated for impairment	$	89,905	$	17,408	$	—	$	107,313
Loans collectively evaluated for impairment	2,178,714		2,066,897		—		4,245,611
Loans acquired with deteriorated credit quality	250,207		44,490		—		294,697
Total	$	2,518,826	$	2,128,795	$	—	$	4,647,621

The following schedule presents, by loan portfolio segment, the changes in the allowance for the three and nine months ended September 30, 2013 and details regarding the balance in the allowance and the recorded investment in loans at September 30, 2013 by impairment evaluation method.

	Commercial Loan Portfolio			Consumer Loan Portfolio			Unallocated			Total
	(In thousands)
Changes in allowance for loan losses for the three months ended September 30, 2013:
Beginning balance	$	47,780		$	28,745		$	5,659		$	82,184
Provision for loan losses	2,810			2,165			(1,975		)	3,000
Charge-offs	(2,637		)	(1,793		)	—			(4,430		)
Recoveries	374			404			—			778
Ending balance	$	48,327		$	29,521		$	3,684		$	81,532
Changes in allowance for loan losses for the nine months ended September 30, 2013:
Beginning balance	$	49,975		$	29,333		$	5,183		$	84,491
Provision for loan losses	5,815			4,684			(1,499		)	9,000
Charge-offs	(9,374		)	(5,891		)	—			(15,265		)
Recoveries	1,911			1,395			—			3,306
Ending balance	$	48,327		$	29,521		$	3,684		$	81,532
Allowance for loan losses balance at September 30, 2013 attributable to:
Loans individually evaluated for impairment	$	3,638		$	585		$	—		$	4,223
Loans collectively evaluated for impairment	44,689			28,436			3,684			76,809
Loans acquired with deteriorated credit quality	—			500			—			500
Total	$	48,327		$	29,521		$	3,684		$	81,532
Recorded investment (loan balance) at September 30, 2013:
Loans individually evaluated for impairment	$	78,782		$	17,731		$	—		$	96,513
Loans collectively evaluated for impairment	2,105,006			2,012,209			—			4,117,215
Loans acquired with deteriorated credit quality	261,999			46,944			—			308,943
Total	$	2,445,787		$	2,076,884		$	—		$	4,522,671