Fair Value Measurements (Tables)

12 Months Ended

Dec. 31, 2015

Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis

The following tables summarizes the Corporation’s assets and liabilities measured at fair value on a recurring basis and reported on the consolidated balance sheets as of December 31:



	2015
	Level 1		Level 2		Level 3		Total
	(in thousands)
Mortgage loans held for sale	$	—	$	16,886	$	—	$	16,886
Available for sale investment securities:
Equity securities	21,514		—		—		21,514
U.S. Government sponsored agency securities	—		25,136		—		25,136
State and municipal securities	—		262,765		—		262,765
Corporate debt securities	—		93,619		3,336		96,955
Collateralized mortgage obligations	—		821,509		—		821,509
Mortgage-backed securities	—		1,158,835		—		1,158,835
Auction rate securities	—		—		98,059		98,059
Total available for sale investment securities	21,514		2,361,864		101,395		2,484,773
Other assets	16,129		34,465		—		50,594
Total assets	$	37,643	$	2,413,215	$	101,395	$	2,552,253
Other liabilities	$	15,914	$	33,010	$	—	$	48,924

	2014
	Level 1		Level 2		Level 3		Total
	(in thousands)
Mortgage loans held for sale	$	—	$	17,522	$	—	$	17,522
Available for sale investment securities:
Equity securities	47,623		—		—		47,623
U.S. Government securities	—		200		—		200
U.S. Government sponsored agency securities	—		214		—		214
State and municipal securities	—		245,215		—		245,215
Corporate debt securities	—		90,126		7,908		98,034
Collateralized mortgage obligations	—		902,313		—		902,313
Mortgage-backed securities	—		928,831		—		928,831
Auction rate securities	—		—		100,941		100,941
Total available for sale investment securities	47,623		2,166,899		108,849		2,323,371
Other assets	17,682		21,305		—		38,987
Total assets	$	65,305	$	2,205,726	$	108,849	$	2,379,880
Other liabilities	$	17,737	$	21,084	$	—	$	38,821

Schedule of Changes in Assets and Liabilities Measured at Fair Value on a Recurring Basis using Level 3 Inputs

The following table presents the changes in available for sale investment securities measured at fair value on a recurring basis using unobservable inputs (Level 3) for the years ended December 31:



	Pooled Trust Preferred Securities			Single-issuer Trust Preferred Securities			ARCs
	(in thousands)
Balance as of December 31, 2013	$	5,306		$	3,781		$	159,274
Realized adjustments to fair value (1)	(18		)	—			—
Unrealized adjustments to fair value (2)	923			32			3,970
Sales	(1,888		)	—			(11,912		)
Settlements - calls	(239		)	—			(51,212		)
Discount accretion (3)	4			7			821
Balance as of December 31, 2014	4,088			3,820			100,941
Sales	(3,633		)	—			—
Unrealized adjustments to fair value (2)	366			(230		)	(903		)
Settlements - calls	(117		)	(970		)	(2,446		)
Discount accretion (3)	2			10			467
Balance as of December 31, 2015	$	706		$	2,630		$	98,059


(1)	Realized adjustments to fair value represent credit related other-than-temporary impairment charges and gains on sales of investment securities, both included

as components of investment securities gains on the consolidated statements of income.


(2)	Pooled trust preferred securities, single-issuer trust preferred securities and ARCs are classified as available for sale investment securities; as such, the

unrealized adjustment to fair value was recorded as an unrealized holding gain (loss) and included as a component of available for sale investment securities on the consolidated balance sheets.


(3)	Included as a component of net interest income on the consolidated statements of income.

Fair Value, Assets and Liabilities Measured on Nonrecurring Basis

The following table presents the Corporation's financial assets measured at fair value on a nonrecurring basis and reported on the consolidated balance sheets at December 31:



	2015
	Level 1		Level 2		Level 3		Total
	(in thousands)
Net loans	$	—	$	—	$	138,491	$	138,491
Other financial assets	—		—		52,043		52,043
Total assets	$	—	$	—	$	190,534	$	190,534

	2014
	Level 1		Level 2		Level 3		Total
	(in thousands)
Net loans	$	—	$	—	$	127,834	$	127,834
Other financial assets	—		—		54,170		54,170
Total assets	$	—	$	—	$	182,004	$	182,004

Details of Book Value and Fair Value of Financial Instruments

As required by FASB ASC Section 825-10-50, the following table details the book values and the estimated fair values of the Corporation’s financial instruments as of December 31, 2015 and 2014. A general description of the methods and assumptions used to estimate such fair values is also provided.



	2015				2014
	Book Value		Estimated Fair Value		Book Value		Estimated Fair Value
	(in thousands)
FINANCIAL ASSETS
Cash and due from banks	$	101,120	$	101,120	$	105,702	$	105,702
Interest-bearing deposits with other banks	230,300		230,300		358,130		358,130
Federal Reserve Bank and FHLB stock	62,216		62,216		64,953		64,953
Loans held for sale (1)	16,886		16,886		17,522		17,522
Securities available for sale (1)	2,484,773		2,484,773		2,323,371		2,323,371
Loans, net of unearned income (1)	13,838,602		13,709,957		13,111,716		13,030,543
Accrued interest receivable	42,767		42,767		41,818		41,818
Other financial assets (1)	166,920		166,920		169,764		169,764
FINANCIAL LIABILITIES
Demand and savings deposits	$	11,267,367	$	11,267,367	$	10,296,055	$	10,296,055
Time deposits	2,864,950		2,862,868		3,071,451		3,069,883
Short-term borrowings	497,663		497,663		329,719		329,719
Accrued interest payable	10,724		10,724		18,045		18,045
Other financial liabilities (1)	190,927		190,927		172,786		172,786
FHLB advances and long-term debt	949,542		959,315		1,139,413		1,142,980


(1)	These financial instruments, or certain financial instruments within these categories, are measured at fair value on the Corporation’s consolidated balance sheets. Descriptions of the fair value determinations for these financial instruments are disclosed above.