Income Tax (Tables)

12 Months Ended

Dec. 31, 2014

The components of income tax expense (benefit) are as follows:



	Years Ended December 31,
	2014		2013		2012
	(in thousands)
Current tax expense	$	21,565	$	21,581	$	21,218
Deferred tax expense (benefit)	14,646		5,413		(3,656		)
Total	$	36,211	$	26,994	$	17,562

Significant components of the Company’s deferred tax assets and liabilities are as follows:



	December 31,
	2014			2013 (1)
	(in thousands)
Deferred tax assets:
Allowance for loan and lease losses	$	26,341		$	27,196
Supplemental executive retirement plan	9,037			8,565
Stock option and restricted stock	1,177			917
OREO	1,101			7,929
Nonaccrual interest	68			2,354
Purchase accounting	15,272			15,551
Unrealized loss on investment securities	—			7,176
Net operating losses and credit carryforwards (1)	14,929			1,250
Other (1)	532			491
Total deferred tax assets	68,457			71,429
Deferred tax liabilities:
Asset purchase tax basis difference	(6,595		)	(7,754		)
FHLB stock dividends	(4,086		)	(4,159		)
Deferred loan fees	(4,691		)	(4,512		)
Unrealized gain on investment securities	(2,987		)	—
Depreciation	(5,394		)	(7,076		)
Total deferred tax liabilities	(23,753		)	(23,501		)
Net deferred tax asset	$	44,704		$	47,928

A reconciliation of the Company’s effective income tax rate with the federal statutory tax rate is as follows:



	Years Ended December 31,
	2014					2013 (1)					2012 (1)
	Amount			Percent		Amount			Percent		Amount			Percent
	(dollars in thousands)
Income tax based on statutory rate	$	41,225		35	%	$	30,454		35	%	$	22,297		35	%
Reduction resulting from:
Tax exempt instruments	(5,328		)	(5	)%	(4,113		)	(5	)%	(3,906		)	(6	)%
Life insurance proceeds	(1,352		)	(1	)%	(1,250		)	(1	)%	(1,001		)	(2	)%
Acquisition costs	448			—	%	1,362			2	%	—			—	%
Other, net (1)	1,218			2	%	541			—	%	172			—	%
Income tax provision	$	36,211		31	%	$	26,994		31	%	$	17,562		27	%