Loans

9 Months Ended

Sep. 30, 2011

Loans and Allowance for Loan Losses [Abstract]

Loans

Note 4 – Loans

A summary of the balances of loans follows (in thousands):

	September 30, 2011												December 31, 2010
	Originated			PNCI			PCI			Total			Originated			PCI			Total
Mortgage loans on real estate:
Residential 1-4 family	$	119,217		$	15,079		$	6,519		$	140,815		$	122,890		$	7,597		$	130,487
Commercial		694,487			94,279			37,750			826,516			679,245			25,739			704,984
Total mortgage loan on real estate		813,704			109,358			44,269			967,331			802,135			33,336			835,471
Consumer:
Home equity lines of credit		321,375			21,490			15,012			357,877			330,737			7,072			337,809
Home equity loans		14,695			431			156			15,282			17,676			—			17,676
Auto Indirect		13,551			—			—			13,551			24,657			—			24,657
Other		19,545			3,156			54			22,755			15,629			—			15,629
Total consumer loans		369,166			25,077			15,222			409,465			388,699			7,072			395,771
Commercial		133,871			2,212			15,799			151,882			133,049			10,364			143,413
Construction:
Residential		17,824			—			10,978			28,802			19,442			4,463			23,905
Commercial		14,916			—			3,231			18,147			21,011			—			21,011
Total construction		32,740			—			14,209			46,949			40,453			4,463			44,916
Total loans, net of unamortized deferred fees	$	1,349,481		$	136,647		$	89,499		$	1,575,627		$	1,364,336		$	55,235		$	1,419,571
Total loans, principal balance owed, net of charge-offs	$	1,351,643		$	157,011		$	128,414		$	1,637,068		$	1,366,113		$	64,349		$	1,430,462
Unamortized net deferred loan fees		(2,162	)		—			—			(2,162	)		(1,777	)		—			(1,777	)
Discounts to principal balance of loans owed, net of charge-offs		—			(20,364	)		(38,915	)		(59,279	)		—			(9,114	)		(9,114	)
Total loans, net of unamortized deferred fees	$	1,349,481		$	136,647		$	89,499		$	1,575,627		$	1,364,336		$	55,235		$	1,419,571
Noncovered loans	$	1,349,481		$	136,647		$	41,690		$	1,527,818		$	1,364,336			—		$	1,364,336
Covered loans		—			—			47,809			47,809			—			55,235			55,235
Total loans, net of unamortized deferred fees and purchase discounts	$	1,349,481		$	136,647		$	89,499		$	1,575,627		$	1,364,336		$	55,235		$	1,419,571
Allowance for loan loss	$	(42,311	)		—		$	(2,989	)	$	(45,300	)	$	(40,963	)	$	(1,608	)	$	(42,571	)

Included in the $89,499,000 balance of PCI loans at September 30, 2011 are PCI – cash basis loans with loan balances of $10,743,000, discounts to principal balance of loans owed, net of charge-offs of $13,900,000, and principal balance of loans owed, net of charge-offs of $24,643,000.

The following is a summary of the change in accretable yield for PCI loans during the periods indicated (in thousands):

	Three months ended September 30,						Nine months ended September 30,
	2011			2010			2011			2010
Change in accretable yield:
Balance at beginning of period	$	13,457		$	22,782		$	17,717			—
Acquisitions		10,146			—			10,146		$	23,151
Accretion to interest income		(1,408	)		(1,530	)		(3,436	)		(1,899	)
Reclassification (to) from nonaccretable difference		1,433			(473	)		(799	)		(473	)
Balance at end of period	$	23,628		$	20,779		$	23,628		$	20,779

Throughout these financial statements, and in particular in this Note 4 and Note 5, when we refer to “Loans” or “Allowance for loan losses” we mean all categories of loans, including Originated, PNCI and PCI. When we are not referring to all categories of loans, we will indicate which we are referring to – Originated, PNCI or PCI.