Fair Value (Tables)

9 Months Ended

Sep. 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 September 30, 2012 using:
(In thousands)	Level 1		Level 2		Level 3		Balance at September 30, 2012
Assets
Investment securities:
Obligations of U.S. Treasury and other U.S. Government sponsored entities	$	—	$	698,470	$	—	$	698,470
Obligations of states and political subdivisions	—		1,313		—		1,313
U.S. Government sponsored entities’ asset-backed securities	—		332,848		—		332,848
Equity securities	1,495		—		744		2,239
Mortgage loans held for sale	—		30,388		—		30,388
Mortgage IRLCs	—		607		—		607
Liabilities
Interest rate swap	$	—	$	229	$	—	$	229
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 nine months ended September 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 September 30, 2012 and 2011

(In thousands)	Equity Securities		Fair value swap
Balance, at July 1, 2012	$	738	$	(135	)
Total gains/(losses)
Included in earnings – realized	—		—
Included in earnings – unrealized	—		—
Included in other comprehensive income	6		—
Purchases, sales, issuances and settlements, other	—		—
Periodic settlement of fair value swap	—		—
Balance at September 30, 2012	$	744	$	(135	)
Balance, at July 1, 2011	$	741	$	(200	)
Total gains/(losses)
Included in earnings – realized	—		—
Included in earnings – unrealized	—		—
Included in other comprehensive income	8		—
Purchases, sales, issuances and settlements, other	—		—
Re-evaluation of fair value swap	—		—
Balance at September 30, 2011	$	749	$	(200	)

Level 3 Fair Value Measurements

Nine Months EndedSeptember 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	—			(19		)	—
Purchases, sales, issuances and settlements, other	—			—			—
Periodic settlement of fair value swap	—			—			(565		)
Balance at September 30, 2012	$	—		$	744		$	(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		)	—			—
Re-evaluation of fair value swap	—			—			(140		)
Balance at September 30, 2011	$	—		$	749		$	(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 September 30, 2012 using:
(In thousands)	Level 1		Level 2		Level 3		Balance at September 30, 2012
Impaired loans:
Commercial real estate	$	—	$	—	$	25,195	$	25,195
Construction real estate:
SEPH commercial land and development	—		—		12,923		12,923
Remaining commercial	—		—		8,277		8,277
Residential real estate	—		—		10,010		10,010
Total impaired loans	$	—	$	—	$	56,405	$	56,405
Mortgage servicing rights	—		6,108		—		6,108
Other real estate owned	—		—		33,484		33,484

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 September 30, 2012:

(In thousands)	Fair Value		Valuation Technique	Unobservable Input(s)	Range (Weighted Average)
Impaired loans:
Commercial real estate	$	25,195	Sales comparison approach	Adj to comparables	0.0 % - 59.0% (31.2%)
			Income approach	Capitalization rate	9.0% - 12.5% (11.7%)
Construction real estate:
SEPH commercial land and development	$	12,923	Sales comparison approach	Adj to comparables	0.0 % - 68.6 % (31.4%)
			Bulk sale approach	Discount rate	25.0% - 35.0% (26.8%)
Remaining commercial	$	8,277	Bulk sale approach	Discount rate	28.0% - 35.0% (32.8%)
Residential real estate	$	10,010	Sales comparison approach	Adj to comparables	0.0% - 43.0% (3.9%)
Other real estate owned	$	33,484	Sales comparison approach	Adj to comparables	0.0% - 55.0% (15.6%)
			Income approach	Capitalization rate	10.0% - 14.3% (12.7%)

Fair Value, by Balance Sheet Grouping

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

	September 30, 2012
			Fair Value Measurements
(In thousands)	Carrying value		Level 1		Level 2		Level 3		Total fair value
Financial assets:
Cash and money market instruments	$	281,295	$	281,295	$	—	$	—	$	281,295
Investment securities	1,587,474		1,495		1,598,230		744		1,600,469
Accrued interest receivable - securities	4,990		—		4,990		—		4,990
Accrued interest receivable - loans	15,145		—		4		15,141		15,145
Mortgage loans held for sale	30,388		—		30,388		—		30,388
Impaired loans carried at fair value	56,405		—		—		56,405		56,405
Other loans	4,258,152		—		—		4,282,576		4,282,576
Loans receivable, net	$	4,344,945	$	—	$	30,388	$	4,338,981	$	4,369,369
Financial liabilities:
Noninterest bearing checking accounts	$	1,043,460	$	1,043,460	$	—	—		$	1,043,460
Interest bearing transactions accounts	1,213,975		1,213,975		—		—		1,213,975
Savings accounts	1,011,880		1,011,880		—		—		1,011,880
Time deposits	1,518,134		—		1,524,842		—		1,524,842
Other	5,628		5,628		—		—		5,628
Total deposits	$	4,793,077	$	3,274,943	$	1,524,842	$	—	$	4,799,785
Short-term borrowings	$	275,908	$	—	$	275,908	$	—	$	275,908
Long-term debt	806,273		—		900,338		—		900,338
Subordinated debentures/notes	105,250		—		100,584		—		100,584
Accrued interest payable – deposits	2,415		39		2,376		—		2,415
Accrued interest payable – debt/borrowings	2,144		19		2,125		—		2,144
Derivative financial instruments:
Interest rate swap	$	229	$	—	$	229	$	—	$	229
Fair value swap	135		—		—		135		135

	December 31, 2011
(In thousands)	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