ACQUIRED LOANS

Since 2009, the Company acquired the majority of the assets and assumed the deposits of four financial institutions in FDIC-assisted transactions. In three of those transactions, most loans and OREO are covered by the FDIC Agreements. The significant accounting policies related to purchased impaired loans and the related FDIC indemnification asset are presented in Note 1, "Summary of Significant Accounting Policies."

Acquired Loans

(Dollar amounts in thousands)



	December 31, 2013							December 31, 2012
	Covered			Non-Covered		Total		Covered			Non-Covered		Total
Purchased impaired loans	$	103,525	⁽¹⁾	$	15,608	$	119,133	$	154,762	⁽¹⁾	$	18,198	$	172,960
Other loans ⁽²⁾	30,830			17,024		47,854		43,132			22,480		65,612
Total acquired loans	$	134,355		$	32,632	$	166,987	$	197,894		$	40,678	$	238,572


⁽¹⁾	At acquisition, the Company made an election to account for certain covered loans as purchased impaired loans. These loans totaled $24.6 million at December 31, 2013 and $28.1 million at December 31, 2012.


⁽²⁾	These loans did not meet the criteria to be accounted for as purchased impaired loans.

In connection with the FDIC Agreements, the Company recorded an indemnification asset. To maintain eligibility for the loss share reimbursement, the Company is required to follow certain servicing procedures as specified in the FDIC Agreements. The Company is in compliance with those requirements as of December 31, 2013, 2012, and 2011.

Changes in the FDIC Indemnification Asset

(Dollar amounts in thousands)



	Years Ended December 31,
	2013			2012			2011
Beginning balance	$	37,051		$	65,609		$	95,899
Amortization	(2,984		)	(14,098		)	(11,495		)
Change in expected reimbursements from the FDIC for changes in expected credit losses	(1,242		)	3,338			39,096
Payments received from the FDIC	(16,240		)	(17,798		)	(57,891		)
Ending balance	$	16,585		$	37,051		$	65,609

Changes in the accretable yield for purchased impaired loans were as follows.

Changes in Accretable Yield

(Dollar amounts in thousands)



	Years Ended December 31,
	2013			2012			2011
Beginning balance	$	51,498		$	52,147		$	63,616
Additions	—			7,224			—
Accretion	(15,016		)	(20,632		)	(36,827		)
Other ⁽¹⁾	310			12,759			25,358
Ending balance	$	36,792		$	51,498		$	52,147


⁽¹⁾	Amount represents an increase in the estimated cash flows to be collected over the remaining estimated life of the underlying portfolio.