Investment Securities

6 Months Ended

Jun. 30, 2011

Investment Securities [Abstract]

Investment Securities

Note 10 – Investment Securities

The amortized cost and fair values of investment securities are shown in the following table. Management performs a quarterly evaluation of investment securities for any other-than-temporary impairment. For the three and six months ended June 30, 2011 and June 30, 2010, there were no investment securities deemed to be other-than-temporarily impaired.

Investment securities at June 30, 2011, were as follows:
 

(in thousands)
June 30, 2011 Securities Available-for-Sale	Amortized Cost		Gross Unrealized Holding Gains		Gross Unrealized Holding Losses		Estimated Fair Value
Obligations of U.S. Treasury and other U.S. Government sponsored entities	$	308,300	$	1,754	$	1,399	$	308,655
Obligations of states and political subdivisions		4,996		113		-		5,109
U.S. Government sponsored entities asset-backed securities		792,977		12,374		3,427		801,924
Other equity securities		938		814		43		1,709
Total	$	1,107,211	$	15,055	$	4,869	$	1,117,397
June 30, 2011 Securities Held-to-Maturity	Amortized Cost		Gross Unrealized Holding Gains		Gross Unrealized Holding Losses		Estimated Fair Value
Obligations of states and political subdivisions	$	2,077	$	5	$	-	$	2,082
U.S. Government sponsored entities asset-backed securities		773,234		16,083		5,177		784,140
Total	$	775,311	$	16,088	$	5,177	$	786,222

Management does not believe any of the unrealized losses at June 30, 2011 or December 31, 2010, represents an other-than-temporary impairment.  Should the impairment of any of these securities become other-than-temporary, the cost basis of the investment will be reduced and the resulting loss recognized within net income in the period the other-than-temporary impairment is identified.

Securities with unrealized losses at June 30, 2011, were as follows:

(in thousands)	Less than 12 months				12 months or longer				Total
June 30, 2011 Securities Available-for-Sale	Fair value		Unrealized losses		Fair value		Unrealized losses		Fair value		Unrealized losses
Obligations of U.S. Treasury and other U.S. Government sponsored entities	$	74,936	$	1,399	$	-	$	-	$	74,936	$	1,399
U.S. Government sponsored entities asset-backed securities		407,954		3,427		-		-		407,954		3,427
Other equity securities		81		30		215		13		296		43
Total	$	482,971	$	4,856	$	215	$	13	$	483,186	$	4,869
June 30, 2011 Securities Held-to-Maturity
U.S. Government sponsored entities asset-backed securities	$	312,382	$	5,177	$	-	$	-	$	312,382	$	5,177

Investment securities at December 31, 2010, were as follows:

(in thousands)
December 31, 2010 Securities Available-for-Sale	Amortized cost		Gross unrealized holding gains		Gross unrealized holding losses		Estimated fair value
Obligations of U.S. Treasury and other U.S. Government sponsored entities	$	272,301	$	2,968	$	1,956	$	273,313
Obligations of states and political subdivisions		10,815		281		52		11,044
U.S. Government sponsored entities asset-backed securities		990,204		30,633		9,425		1,011,412
Other equity securities		938		858		43		1,753
Total	$	1,274,258	$	34,740	$	11,476	$	1,297,522
December 31, 2010 Securities Held-to-Maturity	Amortized cost		Gross unrealized holding gains		Gross unrealized holding losses		Estimated fair value
Obligations of states and political subdivisions	$	3,167	$	7	$	-	$	3,174
U.S. Government sponsored entities asset-backed securities		670,403		17,157		4,620		682,940
Total	$	673,570	$	17,164	$	4,620	$	686,114

Securities with unrealized losses at December 31, 2010, were as follows:

(in thousands)	Less than 12 months				12 months or longer				Total
December 31, 2010 Securities Available-for-Sale	Fair value		Unrealized losses		Fair value		Unrealized losses		Fair value		Unrealized losses
Obligations of U.S. Treasury and other U.S. Government sponsored entities	$	74,379	$	1,956	$	-	$	-	$	74,379	$	1,956
Obligations of states and political   subdivisions		1,459		52						1,459		52
U.S. Government sponsored entities asset-backed securities		418,156		9,425		-		-		418,156		9,425
Other equity securities		74		29		221		14		295		43
Total	$	494,068	$	11,462	$	221	$	14	$	494,289	$	11,476
December 31, 2010 Securities Held-to-Maturity
U.S. Government sponsored entities asset-backed securities	$	297,584	$	4,620	$	-	$	-	$	297,584	$	4,620

Park's U.S. Government sponsored entities asset-backed securities consist primarily of 15-year residential mortgage-backed securities and collateralized mortgage obligations.

The amortized cost and estimated fair value of investments in debt securities at June 30, 2011, are shown in the following table by contractual maturity or the expected call date, except for asset-backed securities, which are shown as a single total, due to the unpredictability of the timing in principal repayments.

(in thousands)	Amortized cost		Fair value
Securities Available-for-Sale
U.S. Treasury and sponsored entities notes:
Due within one year	$	211,965	$	213,429
Due one through five years		-		-
Due five through ten years		96,335		95,226
Total	$	308,300	$	308,655
Obligations of states and political subdivisions:
Due within one year	$	3,695	$	3,712
Due one through five years		1,301		1,397
Total	$	4,996	$	5,109
U.S. Government sponsored entities asset-backed securities:
Total	$	792,977	$	801,924
(in thousands)	Amortized cost		Fair value
Securities Held-to-Maturity
Obligations of state and political subdivisions:
Due within one year	$	2,077	$	2,082
Total	$	2,077	$	2,082
U.S. Government sponsored entities asset-backed securities:
Total	$	773,234	$	784,140

Approximately $278 million of Park's securities shown in the above table as U.S. Treasury and sponsored entities notes are callable notes.  These callable securities have a final maturity in 7 to 11 years, but are shown in the table at their expected call date.  The remaining $30 million of securities in this category are U.S. sponsored entities discount notes that mature within two months.