BUSINESS SEGMENTS (Tables)

12 Months Ended

Dec. 31, 2012

Schedule of Financial Data for Business Segments

The following tables represent the financial data for Valley’s four business segments for the years ended December 31, 2012, 2011, and 2010:

	Year Ended December 31, 2012
	Consumer Lending			Commercial Lending			Investment Management			Corporate and Other Adjustments			Total
	($ in thousands)
Average interest earning assets	$	3,941,374		$	7,296,895		$	2,871,459		$	—		$	14,109,728
Interest income		174,978			407,288			96,582			(7,655	)		671,193
Interest expense		45,499			84,234			33,148			18,431			181,312
Net interest income (loss)		129,479			323,054			63,434			(26,086	)		489,881
Provision for credit losses		4,969			20,583			—			—			25,552
Net interest income (loss) after provision for credit losses		124,510			302,471			63,434			(26,086	)		464,329
Non-interest income		83,765			(1,701	)		6,817			32,065			120,946
Non-interest expense		69,281			54,963			1,219			249,437			374,900
Internal expense transfer		65,561			120,993			47,749			(234,303	)		—
Income (loss) before income taxes	$	73,433		$	124,814		$	21,283		$	(9,155	)	$	210,375
Return on average interest earning assets (pre-tax)		1.86	%		1.71	%		0.74	%		N/A			1.49	%

	Year Ended December 31, 2011
	Consumer Lending			Commercial Lending			Investment Management			Corporate and Other Adjustments			Total
	($ in thousands)
Average interest earning assets	$	3,394,161		$	6,214,319		$	3,205,756		$	—		$	12,814,236
Interest income		171,939			375,873			132,530			(6,518	)		673,824
Interest expense		47,832			87,574			45,176			18,431			199,013
Net interest income (loss)		124,107			288,299			87,354			(24,949	)		474,811
Provision for credit losses		6,806			46,529			—			—			53,335
Net interest income (loss) after provision for credit losses		117,301			241,770			87,354			(24,949	)		421,476
Non-interest income		45,830			16,965			7,381			42,121			112,297
Non-interest expense		56,884			48,829			1,016			231,827			338,556
Internal expense transfer		55,059			99,851			51,644			(206,554	)		—
Income (loss) before income taxes	$	51,188		$	110,055		$	42,075		$	(8,101	)	$	195,217
Return on average interest earning assets (pre-tax)		1.51	%		1.77	%		1.31	%		N/A			1.52	%

	Year Ended December 31, 2010
	Consumer Lending			Commercial Lending			Investment Management			Corporate and Other Adjustments			Total
	($ in thousands)
Average interest earning assets	$	3,321,124		$	6,153,870		$	3,204,762		$	—		$	12,679,756
Interest income		180,432			355,565			146,851			(6,036	)		676,812
Interest expense		51,240			94,944			49,445			18,431			214,060
Net interest income (loss)		129,192			260,621			97,406			(24,467	)		462,752
Provision for credit losses		14,598			34,858			—			—			49,456
Net interest income (loss) after provision for credit losses		114,594			225,763			97,406			(24,467	)		413,296
Non-interest income		52,545			7,927			6,166			24,689			91,327
Non-interest expense		49,758			42,131			992			226,807			319,688
Internal expense transfer		53,050			97,704			51,258			(202,012	)		—
Income (loss) before income taxes	$	64,331		$	93,855		$	51,322		$	(24,573	)	$	184,935
Return on average interest earning assets (pre-tax)		1.94	%		1.53	%		1.60	%		N/A			1.46	%