FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)

3 Months Ended

Mar. 31, 2016

Schedule of Fair Value of Financial Instruments, by Balance Sheet Grouping

The following table presents estimated fair values of the Company’s financial instruments as of March 31, 2016 and December 31, 2015, whether or not measured at fair value in the Consolidated Statements of Financial Condition. (in thousands):



		March 31, 2016				December 31, 2015
	Level	Carrying Value		Estimated Fair Value		Carrying Value		Estimated Fair Value
Assets:
Cash and cash equivalents	1	$	260,570	$	260,570	$	261,917	$	261,917
Securities—trading	2,3	33,994		33,994		34,134		34,134
Securities—available-for-sale	2	1,199,279		1,199,279		1,138,573		1,138,573
Securities—held-to-maturity	3	246,320		255,823		220,666		226,627
Loans held for sale	2	47,523		48,461		44,712		45,600
Loans receivable	3	7,107,802		6,982,492		7,314,504		7,084,631
FHLB stock	3	13,347		13,347		16,057		16,057
Bank-owned life insurance	1	156,928		156,928		156,865		156,865
Mortgage servicing rights	3	13,676		15,983		13,295		17,370
Derivatives:
Interest rate swaps	2	18,959		18,959		11,984		11,984
Interest rate forward sales commitments	2	1,067		1,067		471		471
Liabilities:
Demand, interest checking and money market accounts	2	5,414,431		5,414,431		5,416,556		5,416,556
Regular savings	2	1,327,558		1,327,558		1,284,642		1,284,642
Certificates of deposit	2	1,287,873		1,273,897		1,353,870		1,332,825
FHLB advances	2	75,400		75,400		133,381		133,381
Other borrowings	2	106,132		106,132		98,325		98,325
Junior subordinated debentures	3	92,879		92,879		92,480		92,480
Derivatives:
Interest rate swaps	2	18,959		18,959		11,984		11,984
Interest rate forward sales commitments	2	417		417		50		50

Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis

The following tables present financial assets and liabilities measured at fair value on a recurring basis and the level within the fair value hierarchy of the fair value measurements for those assets and liabilities as of March 31, 2016 and December 31, 2015 (in thousands):



	March 31, 2016
	Level 1		Level 2		Level 3		Total
Assets:
Securities—trading
U.S. Government and agency obligations	$	—	$	1,381	$	—	$	1,381
Municipal bonds	—		339		—		339
Corporate Bonds (Trust Preferred Securities)	—		—		20,543		20,543
Mortgage-backed or related securities	—		11,650		—		11,650
Equity securities	—		81		—		81
	—		13,451		20,543		33,994
Securities—available-for-sale
U.S. Government and agency obligations	—		52,228		—		52,228
Municipal bonds	—		151,203		—		151,203
Corporate bonds	—		14,993		—		14,993
Mortgage-backed or related securities	—		949,963		—		949,963
Asset-backed securities	—		30,794		—		30,794
Equity securities	—		98		—		98
	—		1,199,279		—		1,199,279

Derivatives
Interest rate swaps	—		18,959		—		18,959
Interest rate sales forward commitments	—		1,067		—		1,067
	$	—	$	1,232,756	$	20,543	$	1,253,299

Liabilities:
Advances from FHLB	$	—	$	75,400	$	—	$	75,400
Junior subordinated debentures, net of unamortized deferred issuance costs	—		—		92,879		92,879
Derivatives
Interest rate swaps	—		18,959		—		18,959
Interest rate sales forward commitments	—		417		—		417
	$	—	$	94,776	$	92,879	$	187,655



	December 31, 2015
	Level 1		Level 2		Level 3		Total
Assets:
Securities—trading
U.S. Government and agency obligations	$	—	$	1,368	$	—	$	1,368
Municipal bonds	—		341		—		341
Corporate Bonds (Trust Preferred Securities)	—		—		18,699		18,699
Mortgage-backed securities	—		13,663		—		13,663
Equity securities	—		63		—		63
	—		15,435		18,699		34,134
Securities—available-for-sale
U.S. Government and agency obligations	—		30,231		—		30,231
Municipal bonds	—		143,319		—		143,319
Corporate bonds	—		15,981		—		15,981
Mortgage-backed securities	—		918,259		—		918,259
Asset-backed securities	—		30,685		—		30,685
Equity securities	—		98		—		98
	—		1,138,573		—		1,138,573
Derivatives
Interest rate swaps	—		11,984		—		11,984
Interest rate lock commitments	—		471		—		471
	$	—	$	1,166,463	$	18,699	$	1,185,162

Liabilities:
Advances from FHLB	$	—	$	133,381	$	—	$	133,381
Junior subordinated debentures, net of unamortized deferred issuance costs	—		—		92,480		92,480
Derivatives
Interest rate swaps	—		11,984		—		11,984
Interest rate lock commitments	—		50		—		50
	$	—	$	145,415	$	92,480	$	237,895

Schedule of Valuation Technique, Unobservable Input, and Qualitative Information for Unobservable Inputs

The following table provides a description of the valuation technique, unobservable inputs, and qualitative information about the unobservable inputs for certain of the Company's assets and liabilities classified as Level 3 and measured at fair value on a recurring and nonrecurring basis at March 31, 2016 and December 31, 2015:



			Weighted Average Rate
Financial Instruments	Valuation Techniques	Unobservable Inputs	March 31, 2016		December 31, 2015
Corporate Bonds (TPS securities)	Discounted cash flows	Discount rate	5.63	%	5.61	%
Junior subordinated debentures	Discounted cash flows	Discount rate	5.63		5.61
Impaired loans	Discounted cash flows	Discount rate	Various		Various
Impaired loans	Collateral Valuations	Market values	n/a		n/a
REO	Appraisals	Market values	n/a		n/a

Schedule of Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation

The following table provides a reconciliation of the assets and liabilities measured at fair value using significant unobservable inputs (Level 3) on a recurring basis during the three months ended March 31, 2016 and 2015 (in thousands):



	Three Months Ended
	March 31, 2016
	Level 3 Fair Value Inputs
	TPS Securities			Borrowings—Junior Subordinated Debentures
Beginning balance	$	18,699		$	92,480
Total gains or losses recognized
Assets gains	119			—
Liabilities losses	—			399
Purchases, issuances and settlements, including acquisitions	1,725			—
Ending balance at March 31, 2016	$	20,543		$	92,879

	Three Months Ended
	March 31, 2015
	Level 3 Fair Value Inputs
	TPS and TRUP CDOs			Borrowings—Junior Subordinated Debentures
Beginning balance	$	19,119		$	78,001
Total gains or losses recognized
Assets gains	723			—
Liabilities losses	—			366
Purchases, issuances and settlements, including acquisitions	—			5,959
Sales, maturities and paydowns, net of discount amortization	(2,386		)	—
Ending balance at March 31, 2015	$	17,456		$	84,326

Schedule of Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis

The following tables present financial assets measured at fair value on a non-recurring basis and the level within the fair value hierarchy of the fair value measurements for those assets as of March 31, 2016 and December 31, 2015 (in thousands):



	At or For the Three Months Ended March 31, 2016
	Level 1		Level 2		Level 3		Total
Impaired loans	$	—	$	—	$	654	$	654
REO	—		—		7,207		7,207

	At or For the Year Ended December 31, 2015
	Level 1		Level 2		Level 3		Total
Impaired loans	$	—	$	—	$	2,372	$	2,372
REO	—		—		11,627		11,627

The following table presents the losses resulting from nonrecurring fair value adjustments for the three months ended March 31, 2016 and 2015 (in thousands):



	Three months ended March 31,
	2016			2015
Impaired loans	$	(16	)	$	(649	)
REO	(205		)	—
Total loss from nonrecurring measurements	$	(221	)	$	(649	)