Fair Value (Tables)

6 Months Ended

Jun. 30, 2012

Fair Value Disclosures [Abstract]

Assets And Liabilities Measured At Fair Value On A Recurring Basis

The following table presents assets and liabilities measured at fair value on a recurring basis:

Fair Value Measurements at June 30, 2012 using:
(in thousands)	Level 1		Level 2		Level 3		Balance at June 30, 2012
Assets
Investment securities
Obligations of U.S. Treasury and other U.S. Government sponsored entities	$	—	$	491,769	$	—	$	491,769
Obligations of states and political subdivisions	—		2,650		—		2,650
U.S. Government sponsored entities’ asset-backed securities	—		370,592		—		370,592
Equity securities	1,398		—		738		2,136
Mortgage loans held for sale	—		16,355		—		16,355
Mortgage IRLCs	—		365		—		365
Liabilities
Interest rate swap	$	—	$	448	$	—	$	448
Fair value swap	—		—		135		135

Fair Value Measurements at December 31, 2011 using:
(in thousands)	Level 1		Level 2		Level 3		Balance at December 31, 2011
Assets
Investment securities
Obligations of U.S. Treasury and other U.S. Government sponsored entities	$	—	$	371,657	$	—	$	371,657
Obligations of states and political subdivisions	—		2,660		—		2,660
U.S. Government sponsored entities’ asset-backed securities	—		444,295		—		444,295
Equity securities	1,270		—		763		2,033
Mortgage loans held for sale	—		11,535		—		11,535
Mortgage IRLCs	—		251		—		251
Liabilities
Interest rate swap	$	—	$	846	$	—	$	846
Fair value swap	—		—		700		700

Reconciliation Of Level 3 Input For Financial Instruments Measured On Recurring Basis

The table below is a reconciliation of the beginning and ending balances of the Level 3 inputs for the three and six months ended June 30, 2012 and 2011, for financial instruments measured on a recurring basis and classified as Level 3:

Level 3 Fair Value Measurements

Three months ended June 30, 2012 and 2011

(in thousands)	Obligations of states and political subdivisions			Equity Securities			Fair value swap
Balance, at April 1, 2012	$	—		$	756		$	(135	)
Total gains/(losses)
Included in earnings – realized	—			—			—
Included in earnings – unrealized	—			—			—
Included in other comprehensive income	—			(18		)	—
Purchases, sales, issuances and settlements, other	—			—			—
Periodic settlement of fair value swap	—			—			—
Balance at June 30, 2012	$	—		$	738		$	(135	)
Balance, at April 1, 2011	$	2,470		$	740		$	(60	)
Total gains/(losses)
Included in earnings – realized	—			—			—
Included in earnings – unrealized	—			—			—
Included in other comprehensive income	—			1			—
Purchases, sales, issuances and settlements, other	(2,470		)	—			(140		)
Re-evaluation of fair value swap	—			—			—
Balance at June 30, 2011	$	—		$	741		$	(200	)

Level 3 Fair Value Measurements

Six Months EndedJune 30, 2012 and 2011

(in thousands)	Obligations of states and political subdivisions			Equity Securities			Fair value swap
Balance, at January 1, 2012	$	—		$	763		$	(700	)
Total gains/(losses)
Included in earnings – realized	—			—			—
Included in earnings – unrealized	—			—			—
Included in other comprehensive income	—			(25		)	—
Purchases, sales, issuances and settlements, other	—			—			—
Periodic settlement of fair value swap	—			—			(565		)
Balance at June 30, 2012	$	—		$	738		$	(135	)
Balance, at January 1, 2011	$	2,598		$	745		$	(60	)
Total gains/(losses)
Included in earnings – realized	—			—			—
Included in earnings – unrealized	(128		)	—			—
Included in other comprehensive income	—			(4		)	—
Purchases, sales, issuances and settlements, other	(2,470		)	—			(140		)
Re-evaluation of fair value swap	—			—			—
Balance at June 30, 2011	$	—		$	741		$	(200	)

Assets And Liabilities Measured At Fair Value On A Nonrecurring Basis

The following table presents assets and liabilities measured at fair value on a nonrecurring basis:

Fair Value Measurements at June 30, 2012 using:
(in thousands)	Level 1		Level 2		Level 3		Balance at June 30, 2012
Impaired loans:
Commercial real estate	$	—	$	—	$	25,534	$	25,534
Construction real estate:
SEPH commercial land and development	—		—		16,738		16,738
Remaining commercial	—		—		8,564		8,564
Residential real estate	—		—		10,430		10,430
Total impaired loans	$	—	$	—	$	61,266	$	61,266
Mortgage servicing rights	—		5,027		—		5,027
Other real estate owned	—		—		38,424		38,424

Fair Value Measurements at December 31, 2011 using:
(in thousands)	Level 1		Level 2		Level 3		Balance at December 31, 2011
Impaired loans:
Commercial real estate	$	—	$	—	$	24,859	$	24,859
Construction real estate:
Vision commercial land and development	—		—		21,228		21,228
Remaining commercial	—		—		8,860		8,860
Residential real estate	—		—		12,935		12,935
Total impaired loans	$	—	$	—	$	67,882	$	67,882
Mortgage servicing rights	—		5,815		—		5,815
Other real estate owned	—		—		42,272		42,272

Qualitative Information about Level 3 Fair Value Measurements Measured on Non-Recurring Basis

The following table presents qualitative information about level 3 fair value measurements for financial instruments measured at fair value on a non-recurring basis at June 30, 2012:

(in thousands)	Fair Value	Valuation Technique	Unobservable Input(s)	Range (Weighted Average)
Impaired loans:
Commercial real estate	25,534	Sales comparison approach	Adj to comparables	0.0 % - 59.0% (25.8%)
		Income approach	Capitalization rate	9.0% - 12.5% (11.7%)
Construction real estate:
SEPH commercial land and development	16,738	Sales comparison approach	Adj to comparables	0.0 % - 68.6 % (30.8%)
		Bulk sale approach	Discount rate	25.0% - 35.0% (26.9%)
Remaining commercial	8,564	Bulk sale approach	Discount rate	28.0% - 45.0% (37.5%)
Residential real estate	10,430	Sales comparison approach	Adj to comparables	0.0% - 43.0% (3.7%)
Other real estate owned	38,424	Sales comparison approach	Adj to comparables	0.0% - 49.0% (14.9%)
		Income approach	Capitalization rate	10.0% - 14.3% (12.7%)

Fair Value, by Balance Sheet Grouping

The fair value of financial instruments at June 30, 2012 and December 31, 2011, was as follows:

(in thousands)	June 30, 2012
			Fair Value Measurements
Financial assets:	Carrying value		Level 1		Level 2		Level 3		Total fair value
Cash and money market instruments	$	208,062	$	208,062	$	—	$	—	$	208,062
Investment securities	1,622,369		1,398		1,633,087		738		1,635,223
Accrued interest receivable - securities	6,129		—		6,129		—		6,129
Accrued interest receivable - loans	14,091		—		4		14,087		14,091
Mortgage loans held for sale	16,355		—		16,355		—		16,355
Impaired loans carried at fair value	61,266		—		—		61,266		61,266
Other loans	4,250,534		—		—		4,365,807		4,365,807
Loans receivable, net	$	4,328,155	$	—	$	16,355	$	4,427,073	$	4,443,428
Financial liabilities:
Noninterest bearing checking accounts	$	1,034,952	$	1,034,952	$	—	—		$	1,034,952
Interest bearing transactions accounts	1,244,586		1,244,586		—		—		1,244,586
Savings accounts	997,603		997,603		—		—		997,603
Time deposits	1,541,535		—		1,546,889		—		1,546,889
Other	4,299		4,299		—		—		4,299
Total deposits	$	4,822,975	$	3,281,440	$	1,546,889	$	—	$	4,828,329
Short-term borrowings	$	240,602	$	—	$	240,602	$	—	$	240,602
Long-term debt	806,287		—		899,321		—		899,321
Subordinated debentures/notes	105,250		—		100,744		—		100,744
Accrued interest payable – deposits	2,527		35		2,492		—		2,527
Accrued interest payable – debt/borrowings	2,133		23		2,110		—		2,133
Derivative financial instruments:
Interest rate swap	$	448	$	—	$	448	$	—	$	448
Fair value swap	135		—		—		135		135

(in thousands)	December 31, 2011
	Carrying value		Fair value
Financial assets:
Cash and money market instruments	$	157,486	$	157,486
Investment securities	1,640,869		1,655,219
Accrued interest receivable	19,697		19,697
Mortgage loans held for sale	11,535		11,535
Impaired loans carried at fair value	67,882		67,882
Other loans	4,169,238		4,187,155
Loans receivable, net	$	4,248,655	$	4,266,572
Assets held for sale	$	382,462	$	382,462
Financial liabilities:
Noninterest bearing checking accounts	$	995,733	$	995,733
Interest bearing transactions accounts	1,037,385		1,037,385
Savings accounts	931,526		931,526
Time deposits	1,499,105		1,506,075
Other	1,365		1,365
Total deposits	$	4,465,114	$	4,472,084
Short-term borrowings	$	263,594	$	263,594
Long-term debt	823,182		915,274
Subordinated debentures/notes	75,250		68,601
Accrued interest payable	4,916		4,916
Liabilities held for sale	536,186		536,991
Derivative financial instruments:
Interest rate swap	$	846	$	846
Fair value swap	700		700