Loans (Tables)

9 Months Ended

Sep. 30, 2013

Composition of Loan Portfolio

The following table sets forth the composition of the loan portfolio at September 30, 2013 and December 31, 2012:

	September 30, 2013					December 31, 2012
(dollars in thousands)	Amount			Percent of Non-Covered  Loans Held for  Investment		Amount			Percent of Non-Covered  Loans Held for  Investment
Non-Covered Loans Held for Investment:
Mortgage Loans:
Multi-family		$	20,183,746		69.22%		$	18,595,833		68.18%
Commercial real estate			7,244,862		24.85			7,436,598		27.27
One-to-four family			490,829		1.68			203,435		0.75
Acquisition, development, and construction			403,160		1.38			397,917		1.46
Total mortgage loans held for investment			28,322,597		97.13			26,633,783		97.66
Other Loans:
Commercial and industrial(1)			792,029		2.72			590,044		2.16
Other			43,246		0.15			49,880		0.18
Total other loans held for investment			835,275		2.87			639,924		2.34
Total non-covered loans held for investment		$	29,157,872		100.00%		$	27,273,707		100.00%
Net deferred loan origination costs			15,524					10,757
Allowance for losses on non-covered loans			(141,314)					(140,948)
Non-covered loans held for investment, net		$	29,032,082				$	27,143,516
Covered loans			2,898,803					3,284,061
Allowance for losses on covered loans			(69,897)					(51,311)
Total covered loans, net		$	2,828,906				$	3,232,750
Loans held for sale			281,289					1,204,370
Total loans, net		$	32,142,277				$	31,580,636

(1) The balance at September 30, 2013 includes $46.2 million of lease financing, net of unearned income.

Quality of Non-Covered Loans

The following table presents information regarding the quality of the Company’s non-covered loans held for investment at September 30, 2013:

(in thousands)	Loans  30-89 Days  Past Due			Non-  Accrual  Loans			Loans  90 Days or More  Delinquent and Still Accruing Interest			Total Past  Due Loans			Current    Loans			Total Loans Receivable
Multi-family		$	3,141		$	69,016		$	--		$	72,157		$	20,111,589		$	20,183,746
Commercial real estate			4,409			34,475			--			38,884			7,205,978			7,244,862
One-to-four family			1,730			10,663			--			12,393			478,436			490,829
Acquisition, development, and construction			--			3,629			--			3,629			399,531			403,160
Commercial and industrial			--			5,197			--			5,197			786,832			792,029
Other			605			1,384			--			1,989			41,257			43,246
Total		$	9,885		$	124,364		$	--		$	134,249		$	29,023,623		$	29,157,872

The following table presents information regarding the quality of the Company’s non-covered loans held for investment at December 31, 2012:

(in thousands)	Loans  30-89 Days Past Due			Non-  Accrual  Loans			Loans  90 Days or More  Delinquent and Still Accruing Interest			Total Past  Due Loans			Current    Loans			Total Loans Receivable
Multi-family		$	19,945		$	163,460		$	--		$	183,405		$	18,412,428		$	18,595,833
Commercial real estate			1,679			56,863			--			58,542			7,378,056			7,436,598
One-to-four family			2,645			10,945			--			13,590			189,845			203,435
Acquisition, development, and construction			1,178			12,091			--			13,269			384,648			397,917
Commercial and industrial			262			17,372			--			17,634			572,410			590,044
Other			1,876			599			--			2,475			47,405			49,880
Total		$	27,585		$	261,330		$	--		$	288,915		$	26,984,792		$	27,273,707

Non-Covered Loan Portfolio by Credit Quality Indicator

The following table summarizes the Company’s portfolio of non-covered held-for-investment loans by credit quality indicator at September 30, 2013:

(in thousands)	Multi-Family		Commercial   Real Estate			One-to-Four  Family			Acquisition,  Development, and  Construction			Total   Mortgage   Loans			Commercial  and Industrial			Other			Total Other Loans
Credit Quality Indicator:
Pass		$20,001,264		$	7,168,850		$	484,618		$	396,764		$	28,051,496		$	773,544		$	41,863		$	815,407
Special mention		83,086			31,384			268			2,448			117,186			11,888			--			11,888
Substandard		94,964			44,128			5,943			3,948			148,983			6,428			1,383			7,811
Doubtful		4,432			500			--			--			4,932			169			--			169
Total		$20,183,746		$	7,244,862		$	490,829		$	403,160		$	28,322,597		$	792,029		$	43,246		$	835,275

The following table summarizes the Company’s portfolio of non-covered held-for-investment loans by credit quality indicator at December 31, 2012:

(in thousands)	Multi-Family		Commercial    Real Estate			One-to-Four Family			Acquisition,   Development, and   Construction			Total Mortgage   Loans			Commercial  and Industrial			Other			Total Other Loans
Credit Quality Indicator:
Pass		$18,285,333		$	7,337,315		$	195,232		$	383,557		$	26,201,437		$	561,541		$	49,281		$	610,822
Special mention		55,280			26,523			294			--			82,097			10,211			--			10,211
Substandard		253,794			72,260			7,909			11,277			345,240			18,292			599			18,891
Doubtful		1,426			500			--			3,083			5,009			--			--			--
Total		$18,595,833		$	7,436,598		$	203,435		$	397,917		$	26,633,783		$	590,044		$	49,880		$	639,924

Information Regarding Troubled Debt Restructurings

The following table presents information regarding the Company’s TDRs as of September 30, 2013 and December 31, 2012:

	September 30, 2013						December 31, 2012
(in thousands)	Accruing		Non-Accrual		Total		Accruing		Non-Accrual		Total
Loan Category:
Multi-family		$10,558		$50,778		$61,336		$  66,092		$114,556		$180,648
Commercial real estate		2,216		16,349		18,565		37,457		39,127		76,584
Acquisition, development, and construction		--		1,058		1,058		--		510		510
Commercial and industrial		1,248		--		1,248		1,463		--		1,463
One-to-four family		--		--		--		--		1,101		1,101
Total		$14,022		$68,185		$82,207		$105,012		$155,294		$260,306

Covered Loans Acquired in AmTrust and Desert Hills Acquisitions

The following table presents the carrying value of covered loans acquired in the AmTrust and Desert Hills acquisitions as of September 30, 2013:

(dollars in thousands)	Amount			Percent of Covered Loans
Loan Category:
One-to-four family		$	2,631,042		90.8%
All other loans			267,761		9.2
Total covered loans		$	2,898,803		100.0%

Changes in Accretable Yield for Covered Loans

Changes in the accretable yield for covered loans for the nine months ended September 30, 2013 were as follows:

(in thousands)	Accretable Yield
Balance at beginning of period		$1,201,172
Reclassification to non-accretable difference		(166,560)
Accretion		(118,522)
Balance at end of period		$   916,090

Covered Loans Thirty to Eighty Nine Days, Ninety Days or More Past Due

The following table presents information regarding the Company’s covered loans that were 90 days or more past due at September 30, 2013 and December 31, 2012:

(in thousands)	September 30, 2013		December 31, 2012
Covered Loans 90 Days or More Past Due:
One-to-four family		$227,758		$297,265
Other loans		10,817		15,308
Total covered loans 90 days or more past due		$238,575		$312,573

The following table presents information regarding the Company’s covered loans that were 30 to 89 days past due at September 30, 2013 and December 31, 2012:

(in thousands)	September 30, 2013		December 31, 2012
Covered Loans 30-89 Days Past Due:
One-to-four family		$48,039		$75,129
Other loans		4,432		6,057
Total covered loans 30-89 days past due		$52,471		$81,186