Business Combinations (Tables)

12 Months Ended

Dec. 31, 2012

A summary of the net assets (liabilities) received from the FDIC and the estimated fair value adjustments are presented below:

(dollars in thousands)	City Bank			North County Bank
	April 16, 2010			September 24, 2010
Cost basis net assets (liabilities)	$	(54,943	)	$	11,217
Cash payment received from the FDIC		99,445			46,860
Net assets acquired before fair value adjustments		44,502			58,077

Fair value adjustments:
Covered loans		(126,378	)		(67,360	)
Covered other real estate owned		(551	)		(6,842	)
Core deposit intangible		3,293			50
FDIC indemnification asset		84,393			39,000
Other assets		(597	)		(89	)
Deposits		(6,000	)		(956	)
FHLB advances		(103	)		-
Other liabilities		(3,271	)		(1,955	)
FDIC equity appreciation instrument		(2,131	)		-
Pre-tax bargain purchase gain on acquisition		(6,843	)		19,925
Deferred income tax asset (liability)		2,353			(6,974	)
Bargain purchase gain (goodwill) on acquisition	$	(4,490	)	$	12,951

The statement of assets acquired and liabilities assumed at their estimated fair values of City Bank and North County Bank are presented below:

(dollars in thousands)	City Bank		North County Bank
	April 16, 2010		September 24, 2010
Assets
Cash and due from banks	$	277,907	$	66,770
Interest-bearing deposits		2,078		4,532
Total cash and cash equivalents		279,985		71,302

Investment securities, available for sale		7,095		21,286
Covered loans		321,581		133,136
FHLB stock		4,744		402
Goodwill		4,490		-
Core deposit intangible		3,293		50
Covered other real estate owned		5,798		12,412
FDIC indemnification asset		84,393		39,000
Other assets		6,640		2,695
Total assets acquired	$	718,019	$	280,283

Liabilities
Deposits	$	650,104	$	257,845
FHLB advances		50,152		-
Other liabilities		17,763		9,487
Total liabilities assumed		718,019		267,332
Net assets acquired/bargain purchase gain on acquisition, net of tax		-		12,951
Total liabilities assumed and net assets acquired	$	718,019	$	280,283