LOANS (excluding covered loans) (Tables) (Non Covered Loans)

6 Months Ended

Jun. 30, 2011

Non Covered Loans

Nonaccrual, Restructured and Impaired Loans

Loans placed in nonaccrual status, including restructured loans in nonaccrual status, are considered to be impaired.  Information as to nonaccrual, restructured, and impaired loans was as follows:

(Dollars in thousands)	June 30, 2011			December 31, 2010
Principal balance
Nonaccrual loans
Commercial	$	9,811		$	13,729
Real estate-construction		13,237			12,921
Real estate-commercial		26,213			28,342
Real estate-residential		4,564			4,607
Installment		335			150
Home equity		2,376			2,553
Total nonaccrual loans		56,536			62,302
Restructured loans		17,482			17,613
Total		74,018			79,915
Less: restructured loans -  accruing		(3,039	)		(3,508	)
Total impaired loans	$	70,979		$	76,407

	June 30, 2011
(Dollars in thousands)	Three Months Ended		Six Months Ended
Interest income effect
Gross amount of interest that would have been recorded under original terms	$	1,304	$	2,713
Interest included in income
Nonaccrual loans		105		250
Restructured loans		84		166
Total interest included in income		189		416
Net impact on interest income	$	1,115	$	2,297

Investment in Impaired Loans

First Financial's investment in impaired loans was as follows:

	As of June 30, 2011
(Dollars in thousands)	Recorded Investment		Contractual Principal Balance		Related Allowance		Average Recorded Investment		YTD Interest Income Recognized		Quarterly Interest Income Recognized
Loans with no related allowance recorded:
Commercial	$	6,706	$	8,146	$	0	$	7,858	$	27	$	15
Real estate - construction		5,638		12,238		0		5,494		1		0
Real estate - commercial		18,586		24,353		0		19,088		132		68
Real estate - residential		5,857		6,334		0		5,713		10		5
Installment		448		461		0		287		3		2
Home equity		2,375		2,483		0		2,444		4		2
Loans with an allowance recorded:
Commercial		3,112		4,590		1,528		3,299		0		0
Real estate - construction		13,908		16,481		4,387		14,327		88		35
Real estate - commercial		13,453		18,401		4,021		15,204		105		39
Real estate - residential		795		807		93		874		10		4
Installment		0		0		0		26		0		0
Home equity		101		101		2		67		1		1
Total:
Commercial		9,818		12,736		1,528		11,157		27		15
Real estate - construction		19,546		28,719		4,387		19,821		89		35
Real estate - commercial		32,039		42,754		4,021		34,292		237		107
Real estate - residential		6,652		7,141		93		6,587		20		9
Installment		448		461		0		313		3		2
Home equity		2,476		2,584		2		2,511		5		3
Total	$	70,979	$	94,395	$	10,031	$	74,681	$	381	$	171

	As of December 31, 2010
(Dollars in thousands)	Recorded Investment		Contractual Principal Balance		Related Allowance		Average Recorded Investment		Interest Income Recognized
Loans with no related allowance recorded:
Commercial	$	9,375	$	12,008	$	0	$	7,432	$	228
Real estate - construction		4,925		8,458		0		9,935		98
Real estate - commercial		17,431		21,660		0		14,113		804
Real estate - residential		5,854		6,447		0		6,611		84
Installment		150		179		0		336		6
Home equity		2,553		3,345		0		2,188		74
Loans with an allowance recorded:
Commercial		4,354		6,090		2,017		10,423		77
Real estate - construction		14,407		18,261		3,716		11,063		378
Real estate - commercial		16,693		19,799		4,347		13,391		392
Real estate - residential		665		757		122		1,434		23
Total:
Commercial		13,729		18,098		2,017		17,855		305
Real estate - construction		19,332		26,719		3,716		20,998		476
Real estate - commercial		34,124		41,459		4,347		27,504		1,196
Real estate - residential		6,519		7,204		122		8,045		107
Installment		150		179		0		336		6
Home equity		2,553		3,345		0		2,188		74
Total	$	76,407	$	97,004	$	10,202	$	76,926	$	2,164

Loan Delinquency, including Nonaccrual Loans

Loan delinquency, including nonaccrual loans, was as follows:

	As of June 30, 2011
	30 – 59 Days past due		60 – 89 Days past due		> 90 days past due		Total Past due		Current		Total		> 90 days past due and still accruing
Loans
Commercial	$	2,683	$	2,835	$	8,741	$	14,259	$	784,293	$	798,552	$	0
Real estate - construction		2,146		0		13,213		15,359		127,323		142,682		0
Real estate - commercial		10,260		2,008		15,523		27,791		1,116,577		1,144,368		0
Real estate - residential		5,644		1,901		5,306		12,851		243,937		256,788		0
Installment		214		98		181		493		63,306		63,799		0
Home equity		917		383		1,894		3,194		341,263		344,457		0
All other		340		218		149		707		37,801		38,508		149
Total	$	22,204	$	7,443	$	45,007	$	74,654	$	2,714,500	$	2,789,154	$	149

	As of December 31, 2010
	30 - 59 days past due		60 - 89 days past due		> 90 days past due		Total past due		Current		Total		> 90 days past due and still accruing
Loans
Commercial	$	2,241	$	1,573	$	11,684	$	15,498	$	784,755	$	800,253	$	0
Real estate - construction		1,754		3,782		8,973		14,509		149,034		163,543		0
Real estate - commercial		3,202		3,979		16,435		23,616		1,116,315		1,139,931		0
Real estate - residential		7,671		1,930		5,127		14,728		254,445		269,173		0
Installment		456		48		120		624		69,087		69,711		0
Home equity		1,260		392		2,166		3,818		337,492		341,310		0
All other		366		176		370		912		31,260		32,172		370
Total	$	16,950	$	11,880	$	44,875	$	73,705	$	2,742,388	$	2,816,093	$	370

Commercial and Consumer Credit Exposure by Risk Attribute

Commercial and consumer credit exposure by risk attribute was as follows:

	As of June 30, 2011
			Real Estate
(Dollars in thousands)	Commercial		Construction		Commercial
Pass	$	739,569	$	108,989	$	989,787
Special Mention		30,334		2,708		57,711
Substandard		28,450		30,985		96,870
Doubtful		199		0		0
Total	$	798,552	$	142,682	$	1,144,368

(Dollars in thousands)	Real Estate Residential		Installment		Home Equity		Other
Performing	$	250,136	$	63,351	$	341,981	$	38,508
Nonperforming		6,652		448		2,476		0
Total	$	256,788	$	63,799	$	344,457	$	38,508

	As of December 31, 2010
			Real Estate
(Dollars in thousands)	Commercial		Construction		Commercial
Pass	$	731,932	$	115,988	$	979,023
Special Mention		36,453		4,829		63,618
Substandard		31,557		42,726		97,290
Doubtful		311		0		0
Total	$	800,253	$	163,543	$	1,139,931

(Dollars in thousands)	Real Estate Residential		Installment		Home Equity		Other
Performing	$	262,654	$	69,561	$	338,757	$	32,172
Nonperforming		6,519		150		2,553		0
Total	$	269,173	$	69,711	$	341,310	$	32,172

Changes in Other Real Estate Owned

Changes in other real estate owned were as follows:

	Six Months Ended		Full Year
(Dollars in thousands)	June 30, 2011		December 31, 2010
Balance at beginning of period	$	17,907	$	4,145
Additions
Commercial		1,087		17,520
Residential		2,193		1,130
Total additions		3,280		18,650
Disposals
Commercial		304		2,315
Residential		1,052		1,674
Total disposals		1,356		3,989
Write-downs
Commercial		3,341		727
Residential		177		172
Total write-downs		3,518		899
Balance at end of period	$	16,313	$	17,907