Loans and Leases and the Allowance for Loan and Lease Losses (Tables)

3 Months Ended

Mar. 31, 2013

Loans and Leases and Allowance for Loan and Lease Losses

The Company’s loan and lease portfolio was comprised of the following as of March 31, 2013 and December 31, 2012:



(dollars in thousands)	March 31, 2013		December 31, 2012
Commercial
Commercial and Industrial	$	834,801	$	829,512
Commercial Mortgage	1,104,718		1,097,425
Construction	117,797		113,987
Lease Financing	269,107		274,969
Total Commercial	2,326,423		2,315,893
Consumer
Residential Mortgage	2,275,209		2,349,916
Home Equity	757,877		770,376
Automobile	220,362		209,832
Other ¹	203,098		208,504
Total Consumer	3,456,546		3,538,628
Total Loans and Leases	$	5,782,969	$	5,854,521


¹	Comprised of other revolving credit, installment, and lease financing.

Schedule of portfolio segment and balance in Allowance disaggregated on the basis of impairment measurement method

The following presents by portfolio segment, the activity in the Allowance for the three months ended March 31, 2013 and 2012. The following also presents by portfolio segment, the balance in the Allowance disaggregated on the basis of the Company’s impairment measurement method and the related recorded investment in loans and leases as of March 31, 2013 and 2012.



(dollars in thousands)	Commercial			Consumer			Total
Three Months Ended March 31, 2013
Allowance for Loan and Lease Losses:
Balance at Beginning of Period	$	72,704		$	56,153		$	128,857
Loans and Leases Charged-Off	(382		)	(4,917		)	(5,299		)
Recoveries on Loans and Leases Previously Charged-Off	797			2,523			3,320
Net Loans and Leases Charged-Off	415			(2,394		)	(1,979		)
Provision for Credit Losses	297			(297		)	—
Balance at End of Period	$	73,416		$	53,462		$	126,878
As of March 31, 2013
Allowance for Loan and Lease Losses:
Individually Evaluated for Impairment	$	177		$	3,526		$	3,703
Collectively Evaluated for Impairment	73,239			49,936			123,175
Total	$	73,416		$	53,462		$	126,878
Recorded Investment in Loans and Leases:
Individually Evaluated for Impairment	$	13,115		$	36,470		$	49,585
Collectively Evaluated for Impairment	2,313,308			3,420,076			5,733,384
Total	$	2,326,423		$	3,456,546		$	5,782,969

Three Months Ended March 31, 2012
Allowance for Loan and Lease Losses:
Balance at Beginning of Period	$	80,562		$	58,044		$	138,606
Loans and Leases Charged-Off	(1,761		)	(5,998		)	(7,759		)
Recoveries on Loans and Leases Previously Charged-Off	2,029			2,379			4,408
Net Loans and Leases Charged-Off	268			(3,619		)	(3,351		)
Provision for Credit Losses	(2,656		)	3,007			351
Balance at End of Period	$	78,174		$	57,432		$	135,606
As of March 31, 2012
Allowance for Loan and Lease Losses:
Individually Evaluated for Impairment	$	83		$	4,100		$	4,183
Collectively Evaluated for Impairment	78,091			53,332			131,423
Total	$	78,174		$	57,432		$	135,606
Recorded Investment in Loans and Leases:
Individually Evaluated for Impairment	$	13,989		$	29,987		$	43,976
Collectively Evaluated for Impairment	2,118,969			3,435,987			5,554,956
Total	$	2,132,958		$	3,465,974		$	5,598,932

Schedule of recorded investment in loans and leases by class and by credit quality indicator

The following presents by class and by credit quality indicator, the recorded investment in the Company’s loans and leases as of March 31, 2013 and December 31, 2012.



	March 31, 2013
(dollars in thousands)	Commercial and Industrial		Commercial Mortgage		Construction		Lease Financing		Total Commercial
Pass	$	786,309	$	1,024,172	$	101,057	$	242,098	$	2,153,636
Special Mention	8,367		27,218		13,673		26,122		75,380
Classified	40,125		53,328		3,067		887		97,407
Total	$	834,801	$	1,104,718	$	117,797	$	269,107	$	2,326,423

(dollars in thousands)	Residential Mortgage		Home Equity		Automobile		Other ¹		Total Consumer
Pass	$	2,248,884	$	752,053	$	220,121	$	202,422	$	3,423,480
Classified	26,325		5,824		241		676		33,066
Total	$	2,275,209	$	757,877	$	220,362	$	203,098	$	3,456,546
Total Recorded Investment in Loans and Leases									$	5,782,969



	December 31, 2012
(dollars in thousands)	Commercial and Industrial		Commercial Mortgage		Construction		Lease Financing		Total Commercial
Pass	$	779,654	$	1,018,128	$	96,058	$	247,401	$	2,141,241
Special Mention	22,759		23,848		15,839		26,540		88,986
Classified	27,099		55,449		2,090		1,028		85,666
Total	$	829,512	$	1,097,425	$	113,987	$	274,969	$	2,315,893

(dollars in thousands)	Residential Mortgage		Home Equity		Automobile		Other¹		Total Consumer
Pass	$	2,326,216	$	766,912	$	209,646	$	207,917	$	3,510,691
Classified	23,700		3,464		186		587		27,937
Total	$	2,349,916	$	770,376	$	209,832	$	208,504	$	3,538,628
Total Recorded Investment in Loans and Leases									$	5,854,521


¹	Comprised of other revolving credit, installment, and lease financing.

Schedule of aging analysis by class of loan and lease portfolio

The following presents by class, an aging analysis of the Company’s loan and lease portfolio as of March 31, 2013 and December 31, 2012.



(dollars in thousands)	30 - 59 Days Past Due		60 - 89 Days Past Due		Past Due 90 Days or More		Non- Accrual		Total Past Due and Non-Accrual		Current		Total Loans and Leases		Non-Accrual Loans and Leases that are Current ²
As of March 31, 2013
Commercial
Commercial and Industrial	$	2,195	$	9,691	$	230	$	5,033	$	17,149	$	817,652	$	834,801	$	4,462
Commercial Mortgage	179		—		—		2,910		3,089		1,101,629		1,104,718		2,064
Construction	—		—		—		—		—		117,797		117,797		—
Lease Financing	—		—		—		—		—		269,107		269,107		—
Total Commercial	2,374		9,691		230		7,943		20,238		2,306,185		2,326,423		6,526
Consumer
Residential Mortgage	12,502		2,210		5,967		24,700		45,379		2,229,830		2,275,209		5,909
Home Equity	6,398		2,697		4,538		2,413		16,046		741,831		757,877		331
Automobile	3,162		335		241		—		3,738		216,624		220,362		—
Other ¹	2,483		1,171		676		—		4,330		198,768		203,098		—
Total Consumer	24,545		6,413		11,422		27,113		69,493		3,387,053		3,456,546		6,240
Total	$	26,919	$	16,104	$	11,652	$	35,056	$	89,731	$	5,693,238	$	5,782,969	$	12,766

As of December 31, 2012
Commercial
Commercial and Industrial	$	806	$	10,382	$	27	$	5,534	$	16,749	$	812,763	$	829,512	$	4,963
Commercial Mortgage	188		542		—		3,030		3,760		1,093,665		1,097,425		1,810
Construction	—		—		—		833		833		113,154		113,987		833
Lease Financing	—		—		—		—		—		274,969		274,969		—
Total Commercial	994		10,924		27		9,397		21,342		2,294,551		2,315,893		7,606
Consumer
Residential Mortgage	6,891		5,433		6,908		21,725		40,957		2,308,959		2,349,916		4,941
Home Equity	6,768		3,267		2,701		2,074		14,810		755,566		770,376		191
Automobile	3,758		586		186		—		4,530		205,302		209,832		—
Other ¹	2,144		1,093		587		—		3,824		204,680		208,504		—
Total Consumer	19,561		10,379		10,382		23,799		64,121		3,474,507		3,538,628		5,132
Total	$	20,555	$	21,303	$	10,409	$	33,196	$	85,463	$	5,769,058	$	5,854,521	$	12,738


¹	Comprised of other revolving credit, installment, and lease financing.


²	Represents non-accrual loans that are not past due 30 days or more; however, full payment of principal and interest is still not expected.

Schedule of information related to impaired loans

The following presents by class, information related to impaired loans as of March 31, 2013 and December 31, 2012.



(dollars in thousands)	Recorded Investment		Unpaid Principal Balance		Related Allowance for Loan Losses
March 31, 2013
Impaired Loans with No Related Allowance Recorded:
Commercial
Commercial and Industrial	$	6,967	$	12,217	$	—
Commercial Mortgage	3,851		4,351		—
Total Commercial	10,818		16,568		—
Total Impaired Loans with No Related Allowance Recorded	$	10,818	$	16,568	$	—

Impaired Loans with an Allowance Recorded:
Commercial
Commercial and Industrial	$	2,244	$	2,244	$	165
Commercial Mortgage	53		53		12
Total Commercial	2,297		2,297		177
Consumer
Residential Mortgage	30,897		37,304		3,442
Automobile	5,295		5,295		71
Other ¹	278		278		13
Total Consumer	36,470		42,877		3,526
Total Impaired Loans with an Allowance Recorded	$	38,767	$	45,174	$	3,703

Impaired Loans:
Commercial	$	13,115	$	18,865	$	177
Consumer	36,470		42,877		3,526
Total Impaired Loans	$	49,585	$	61,742	$	3,703

December 31, 2012
Impaired Loans with No Related Allowance Recorded:
Commercial
Commercial and Industrial	$	7,464	$	12,714	$	—
Commercial Mortgage	2,971		3,471		—
Construction	833		1,163		—
Total Commercial	11,268		17,348		—
Total Impaired Loans with No Related Allowance Recorded	$	11,268	$	17,348	$	—

Impaired Loans with an Allowance Recorded:
Commercial
Commercial and Industrial	$	1,772	$	1,772	$	148
Commercial Mortgage	58		58		13
Total Commercial	1,830		1,830		161
Consumer
Residential Mortgage	31,577		38,219		3,492
Automobile	5,641		5,641		58
Other ¹	282		282		14
Total Consumer	37,500		44,142		3,564
Total Impaired Loans with an Allowance Recorded	$	39,330	$	45,972	$	3,725

Impaired Loans:
Commercial	$	13,098	$	19,178	$	161
Consumer	37,500		44,142		3,564
Total Impaired Loans	$	50,598	$	63,320	$	3,725


¹	Comprised of other revolving credit and installment financing.

Schedule of the average recorded investment and interest income recognized on impaired loans

The following presents by class, information related to the average recorded investment and interest income recognized on impaired loans for the three months ended March 31, 2013 and 2012.



	Three Months Ended March 31, 2013				Three Months Ended March 31, 2012
(dollars in thousands)	Average Recorded Investment		Interest Income Recognized		Average Recorded Investment		Interest Income Recognized
Impaired Loans with No Related Allowance Recorded:
Commercial
Commercial and Industrial	$	7,216	$	—	$	7,665	$	—
Commercial Mortgage	3,411		—		2,127		—
Construction	417		—		741		—
Total Commercial	11,044		—		10,533		—
Total Impaired Loans with No Related Allowance Recorded	$	11,044	$	—	$	10,533	$	—

Impaired Loans with an Allowance Recorded:
Commercial
Commercial and Industrial	$	2,008	$	50	$	2,698	$	33
Commercial Mortgage	56		8		292		4
Construction	—		—		1,040		—
Total Commercial	2,064		58		4,030		37
Consumer
Residential Mortgage	31,237		147		24,661		80
Home Equity	—		—		11		—
Automobile	5,468		133		6,033		154
Other ¹	280		3		522		7
Total Consumer	36,985		283		31,227		241
Total Impaired Loans with an Allowance Recorded	$	39,049	$	341	$	35,257	$	278

Impaired Loans:
Commercial	$	13,108	$	58	$	14,563	$	37
Consumer	36,985		283		31,227		241
Total Impaired Loans	$	50,093	$	341	$	45,790	$	278


¹	Comprised of other revolving credit and installment financing.

Schedule of loans modified in a TDR

The following presents by class, information related to loans modified in a TDR during the three months ended March 31, 2013 and 2012.



	Loans Modified as a TDR for the Three Months Ended March 31, 2013							Loans Modified as a TDR for the Three Months Ended March 31, 2012
			Recorded			Increase in				Recorded			Increase in
Troubled Debt Restructurings	Number of		Investment			Allowance		Number of		Investment			Allowance
(dollars in thousands)	Contracts	(as of period end)¹			(as of period end)			Contracts	(as of period end)¹			(as of period end)
Commercial
Commercial and Industrial	6		$	100		$	2	—		$	—		$	—
Commercial Mortgage	1		995			—		—		—			—
Total Commercial	7		1,095			2		—		—			—
Consumer
Residential Mortgage	3		1,131			185		—		—			—
Automobile	40		460			6		41		453			5
Total Consumer	43		1,591			191		41		453			5
Total	50		$	2,686		$	193	41		$	453		$	5


¹	The period end balances reflect all paydowns and charge-offs since the modification date. TDRs fully paid-off, charged-off, or foreclosed upon by period end are not included.

Schedule of loans modified in a TDR that defaulted during the period, and within twelve months of their modification date by class

The following presents by class, all loans modified in a TDR that defaulted during the three months ended March 31, 2013 and 2012, and within twelve months of their modification date. A TDR is considered to be in default once it becomes 60 days or more past due following a modification.



	Three Months Ended March 31, 2013			Three Months Ended March 31, 2012
TDRs that Defaulted During the Period,		Recorded		Recorded
Within Twelve Months of their Modification Date	Number of	Investment		Number of	Investment
(dollars in thousands)	Contracts	(as of period end) ¹		Contracts	(as of period end) ¹
Consumer
Residential Mortgage	1	$	144	2	$	702
Automobile	8	85		2	13
Total Consumer	9	229		4	715
Total	9	$	229	4	$	715


¹	The period end balances reflect all paydowns and charge-offs since the modification date. TDRs fully paid-off, charged-off, or foreclosed upon by period end are not included.