DISCLOSURES REGARDING FAIR VALUES OF FINANCIAL INSTRUMENTS (Tables)

6 Months Ended

Jun. 30, 2012

Financial Instruments Other Than Debt Securities

Fair value disclosures for financial instruments other than debt securities were as follows (in thousands):

	June 30, 2012				December 31, 2011
	Carrying Amount		Fair Value		Carrying Amount		Fair Value
Financial assets:
Residential mortgage loans	$	8,397	$	8,500	$	9,148	$	9,300
Interest rate swap agreements		–		–		617		617
Financial liabilities:
Repurchase arrangements with initial terms of greater than 120 days		44,774		44,800		47,419		47,400
Unsecured borrowings		103,095		104,300		103,095		104,200
Interest rate swap agreements		37,874		37,874		31,348		31,348

Fair Value And Related Disclosures For Debt Securities

Fair value and related disclosures for debt securities were as follows (in thousands):

	Amortized		Gross Unrealized
	Cost Basis		Gains		Losses		Fair Value
As of June 30, 2012
Agency Securities classified as available-for-sale	$	13,482,041	$	302,771	$	399	$	13,784,413
Residential mortgage securities classified as held-to-maturity		6,677		340		–		7,017
As of December 31, 2011
Agency Securities classified as available-for-sale		12,013,804		236,000		1,301		12,248,503
Residential mortgage securities classified as held-to-maturity		7,255		349		–		7,604

Securities In An Unrealized Loss Position

	June 30, 2012				December 31, 2011
	Fair Value		Unrealized Loss		Fair Value		Unrealized Loss
Securities in an unrealized loss position:
One year or greater	$	26,049	$	198	$	4,933	$	26
Less than one year		97,944		201		369,226		1,275
	$	123,993	$	399	$	374,159	$	1,301