GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS (Tables)

12 Months Ended

Dec. 31, 2012

GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS [Abstract]

Gross carrying amount and accumulated amortization of identifiable intangible assets

The gross carrying amount and accumulated amortization for each type of identifiable intangible asset are as follows:

	December 31, 2012							December 31, 2011
	Gross					Net		Gross					Net
	Carrying		Accumulated			Carrying		Carrying		Accumulated			Carrying
(000's omitted)	Amount		Amortization			Amount		Amount		Amortization			Amount
Amortizing intangible assets:
Core deposit intangibles	$	38,958	$	(24,466	)	$	14,492	$	64,610	$	(53,091	)	$	11,519
Other intangibles		9,432		(6,493	)		2,939		9,752		(5,757	)		3,995
Total amortizing intangibles	$	48,390	$	(30,959	)	$	17,431	$	74,362	$	(58,848	)	$	15,514

Amortization expense

The estimated aggregate amortization expense for each of the five succeeding fiscal years ended December 31 is as follows:

2013	$	4,441
2014		3,597
2015		2,804
2016		2,094
2017		1,478
Thereafter		3,017
Total	$	17,431

Components of goodwill

Shown below are the components of the Company's goodwill at December 31, 2012 and 2011:

	Year Ended					Year Ended					Year Ended
(000's omitted)	December 31, 2010			Activity		December 31, 2011			Activity		December 31, 2012
Goodwill	$	302,516		$	47,358	$	349,874		$	24,653	$	374,527
Accumulated impairment		(4,824	)		0		(4,824	)		0		(4,824	)
Goodwill, net	$	297,692		$	47,358	$	345,050		$	24,653	$	369,703

Changes in Mortgage servicing rights

The following table summarizes the changes in carrying value of MSRs and the associated valuation allowance:

(000's omitted)	2012			2011
Carrying value before valuation allowance at beginning of period	$	2,145		$	2,773
Additions		0			239
Amortization		(687	)		(867	)
Carrying value before valuation allowance at end of period		1,458			2,145
Valuation allowance balance at beginning of period		(397	)		(351	)
Impairment charges		(279	)		(526	)
Impairment recoveries		246			480
Valuation allowance balance at end of period		(430	)		(397	)
Net carrying value at end of period	$	1,028		$	1,748
Fair value of MSRs at end of period	$	1,028		$	1,748
Principal balance of loans sold during the year	$	3,554		$	34,625
Principal balance of loans serviced for others	$	367,241		$	458,836
Custodial escrow balances maintained in connection with loans serviced for others	$	5,011		$	5,823

Table of key economic assumptions used to estimate fair value of MSRs

The following table summarizes the key economic assumptions used to estimate the value of the MSRs at December 31:

	2012			2011
Weighted-average contractual life (in years)		18.8			19.5
Weighted-average constant prepayment rate (CPR)		34.4	%		24.7	%
Weighted-average discount rate		3.1	%		3.2	%