LOANS

Following is a summary of loans, net of unearned income:


	June 30, 2011		December 31, 2010
Commercial	$	3,776,287	$	3,337,992
Direct installment		1,039,270		1,002,725
Residential mortgages		676,574		622,242
Indirect installment		535,191		514,369
Consumer lines of credit		542,470		493,881
Commercial leases		93,273		79,429
Other		39,530		37,517

	$	6,702,595	$	6,088,155

Commercial is comprised of both commercial real estate loans and commercial and industrial loans. Direct installment is comprised of fixed-rate, closed-end consumer loans for personal, family or household use, such as home equity loans and automobile loans. Residential mortgages consist of conventional mortgage loans for non-commercial properties. Indirect installment is comprised of loans written by third parties, primarily automobile loans. Consumer lines of credit includes home equity lines of credit (HELOC) and consumer lines of credit that are either unsecured or secured by collateral other than home equity. Commercial leases consist of loans for new or used equipment. Other is primarily comprised of mezzanine loans and student loans.

Unearned income on loans was $45,019 and $42,183 at June 30, 2011 and December 31, 2010, respectively.

The loan portfolio consists principally of loans to individuals and small- and medium-sized businesses within the Corporation's primary market area of Pennsylvania and northeastern Ohio. The portfolio also includes commercial loans in Florida, which totaled $180,232 or 2.7% of total loans as of June 30, 2011 compared to $195,281 or 3.2% of total loans as of December 31, 2010. In addition, the portfolio contains consumer finance loans to individuals in Pennsylvania, Ohio, Tennessee and Kentucky, which totaled $163,150 or 2.4% of total loans as of June 30, 2011 compared to $162,805 or 2.7% of total loans as of December 31, 2010.

The composition of the Corporation's commercial loan portfolio in Florida consisted of the following as of June 30, 2011: unimproved residential land (7.9%), unimproved commercial land (18.5%), improved land (3.2%), income producing commercial real estate (50.8%), residential construction (6.2%), commercial construction (12.1%) and owner-occupied (1.3%). The weighted average loan-to-value ratio for this portfolio based on most recent appraisals was 81.7% as of June 30, 2011.

The majority of the Corporation's loan portfolio consists of commercial loans. As of June 30, 2011 and December 31, 2010, commercial real estate loans were $2,353,519 and $2,115,492, or 35.1% and 34.7% of total loans, respectively. As of June 30, 2011, approximately 49.0% of the commercial real estate loans were owner-occupied, while the remaining 51.0% were non-owner-occupied. As of June 30, 2011 and December 31, 2010, the Corporation had commercial construction loans of $225,614 and $202,018, respectively, representing 3.4% and 3.3%, respectively, of total loans for those periods.