Derivative Instruments

3 Months Ended

Mar. 31, 2013

Derivative Instruments [Abstract]

Derivative Instruments

Note I – Derivative Instruments

As of March 31, 2013 and December 31, 2012, the Company has derivative financial instruments not included in hedge relationships.  These derivatives consist of interest rate swaps used for interest rate management purposes and derivatives executed with commercial banking customers to facilitate their interest rate management strategies.

The following table summarizes the fair value of these derivative instruments at March 31, 2013 and December 31, 2012:

		March 31, 2013		December 31, 2012
Fair Value:
Other Assets	$	12,090	$	14,012
Other Liabilities		12,090		14,012

The following table summarizes the change in fair value of these derivative instruments for the three months ended March 31, 2013 and 2012:

		Three Months Ended March 31,
		2013		2012
Change in Fair Value:
Other income - derivative asset	$	(1,579)	$	(1,758)
Other income - derivative liability		1,579		1,758

Certain financial instruments, including derivatives, may be eligible for offset in the consolidated balance sheet and/or subject to master netting agreements.  The Company’s derivative transactions with financial institution counterparties are generally executed under International Swaps and Derivative Association (“ISDA”) master agreements which include “right of setoff” provisions.  In such cases there is generally a legally enforceable right to offset recognized amounts and there may be an intention to settle such amounts on a net basis.  Nonetheless, the Company does not generally offset financial instruments for financial reporting purposes.  Information about financial instruments that are eligible for offset in the consolidated balance sheet as of March 31, 2013 is presented in the following tables (in thousands).

				Gross Amounts Not Offset in the
				Statement of Financial Position
						Total of Gross amounts
						not offset in the
						statement of financial
		Gross Amounts	Net Amounts of Assets			position including
		Offset in the	presented in the	Netting adjustment	Fair Value	applicable netting
	Gross Amounts of	Statement of	Statement of	per applicable master	of financial	agreement and fair
Description	Recognized Assets	Financial Position	Financial Position	netting arrangements	collateral	value of collateral	Net Amount
	(a)	(b)	(c) = (a) - (b)			(d)	(c) - (d)
Derivative assets:
Interest rate swap agreements	12,090	-	12,090	-	12,090	12,090	-

				Gross Amounts Not Offset in the
				Statement of Financial Position
						Total of Gross amounts
						not offset in the
						statement of financial
		Gross Amounts	Net Amounts of Liabilities			position including
		Offset in the	presented in the	Netting adjustment	Fair Value	applicable netting
	Gross Amounts of	Statement of	Statement of	per applicable master	of financial	agreement and fair
Description	Recognized Liabilities	Financial Position	Financial Position	netting arrangements	collateral	value of collateral	Net Amount
	(a)	(b)	(c) = (a) - (b)			(d)	(c) - (d)
Derivative liabilities:
Interest rate swap agreements	12,090	-	12,090	-	11,839	11,839	251