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INVESTMENT SECURITIES (Tables)
 9 Months Ended
Sep. 30, 2016
Investments, Debt and Equity Securities [Abstract]  
Schedule of amortized cost, gross unrealized gains, gross unrealized losses and fair value by major categories of investment securities
The following table presents the amortized cost, gross unrealized gains and losses and fair value by major categories of available-for-sale investment securities, which are carried at fair value, and a held-to-maturity investment security, which is carried at amortized cost:
 
($ in thousands)
 
Amortized
Cost
 
Gross
Unrealized
Gains
 
Gross
Unrealized
Losses
 
Fair
Value
As of September 30, 2016
 
 

 
 

 
 

 
 

Available-for-sale investment securities:
 
 

 
 

 
 

 
 

U.S. Treasury securities
 
$
455,019

 
$
1,440

 
$
(11
)
 
$
456,448

U.S. government agency and U.S. government sponsored enterprise debt securities
 
381,986

 
1,386

 
(41
)
 
383,331

U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities:
 
 

 
 

 
 

 
 

Commercial mortgage-backed securities
 
325,486

 
2,791

 
(1,459
)
 
326,818

Residential mortgage-backed securities
 
1,188,753

 
8,538

 
(2,453
)
 
1,194,838

Municipal securities
 
149,008

 
3,423

 
(138
)
 
152,293

Non-agency residential mortgage-backed securities:
 
 
 
 
 
 
 
 

Investment grade (1)
 
51,396

 
1,578

 
(17
)
 
52,957

Corporate debt securities:
 
 
 
 
 
 
 
 

Investment grade (1)
 
282,106

 
533

 
(652
)
 
281,987

Non-investment grade (1)
 
10,191

 
—

 
(1,413
)
 
8,778

Foreign bonds:
 
 
 
 
 
 
 


Investment grade (1) (2)
 
340,474

 
419

 
(3,459
)
 
337,434

Other securities
 
40,388

 
1,355

 
(3
)
 
41,740

Total available-for-sale investment securities
 
3,224,807

 
21,463

 
(9,646
)
 
3,236,624

Held-to-maturity investment security:
 
 
 
 
 
 
 
 
Non-agency commercial mortgage-backed security
 
154,461

 
—

 
(165
)
 
154,296

Total investment securities
 
$
3,379,268

 
$
21,463

 
$
(9,811
)
 
$
3,390,920

 
 
 
 
 
 
 
 
 
As of December 31, 2015
 
 

 
 

 
 

 
 

Available-for-sale investment securities:
 
 

 
 

 
 

 
 

U.S. Treasury securities
 
$
1,002,874

 
$
33

 
$
(4,392
)
 
$
998,515

U.S. government agency and U.S. government sponsored enterprise debt securities
 
771,288

 
555

 
(2,994
)
 
768,849

U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities:
 
 

 
 

 
 

 
 

Commercial mortgage-backed securities
 
354,418

 
268

 
(3,024
)
 
351,662

Residential mortgage-backed securities
 
996,255

 
7,542

 
(6,401
)
 
997,396

Municipal securities
 
173,785

 
2,657

 
(793
)
 
175,649

Non-agency residential mortgage-backed securities:
 
 
 
 
 
 
 
 

Investment grade (1)
 
62,133

 
433

 
(173
)
 
62,393

Corporate debt securities:
 
 
 
 
 
 
 
 

Investment grade (1)
 
280,850

 
129

 
(1,547
)
 
279,432

Non-investment grade (1)
 
11,491

 
—

 
(1,849
)
 
9,642

Foreign bonds:
 
 
 
 
 
 
 
 
Investment grade (1) (2)
 
90,586

 
3

 
(794
)
 
89,795

Other securities
 
40,149

 
124

 
(380
)
 
39,893

Total available-for-sale investment securities
 
$
3,783,829

 
$
11,744

 
$
(22,347
)
 
$
3,773,226

 
 
 
 
 
 
 
 
 
(1)
Available-for-sale investment securities rated BBB- or higher by S&P or Baa3 or higher by Moody’s are considered investment grade.  Conversely, available-for-sale investment securities rated lower than BBB- by S&P or lower than Baa3 by Moody’s are considered non-investment grade. Classifications are based on the lower of the credit ratings by S&P or Moody’s.
(2)
Fair values of foreign bonds include $296.8 million and $49.7 million of multilateral development bank bonds as of September 30, 2016 and December 31, 2015, respectively.
Schedule of gross unrealized losses and related fair value of investment securities
The following table presents the Company’s investment portfolio’s gross unrealized losses and related fair values, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position:
 
($ in thousands)
 
Less Than 12 Months
 
12 Months or More
 
Total
 
Fair
Value
 
Gross Unrealized
Losses
 
Fair
Value
 
Gross Unrealized
Losses
 
Fair
Value
 
Gross Unrealized
Losses
As of September 30, 2016
 
 

 
 

 
 

 
 

 
 

 
 

Available-for-sale investment securities:
 
 

 
 

 
 

 
 

 
 

 
 

U.S. Treasury securities
 
$
30,375

 
$
(11
)
 
$
—

 
$
—

 
$
30,375

 
$
(11
)
U.S. government agency and U.S. government sponsored enterprise debt securities
 
35,019

 
(41
)
 
—

 
—

 
35,019

 
(41
)
U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities:
 
 

 
 

 
 

 
 

 
 

 
 

Commercial mortgage-backed securities
 
61,708

 
(716
)
 
59,680

 
(743
)
 
121,388

 
(1,459
)
Residential mortgage-backed securities
 
304,826

 
(1,658
)
 
70,557

 
(795
)
 
375,383

 
(2,453
)
Municipal securities
 
5,334

 
(111
)
 
2,870

 
(27
)
 
8,204

 
(138
)
Non-agency residential mortgage-backed securities:
 
 

 
 

 
 

 
 

 
 

 
 

Investment grade
 
7,027

 
(17
)
 
—

 
—

 
7,027

 
(17
)
Corporate debt securities:
 
 

 
 

 
 

 
 

 
 

 
 

Investment grade
 
49,377

 
(178
)
 
81,935

 
(474
)
 
131,312

 
(652
)
Non-investment grade
 
—

 
—

 
8,778

 
(1,413
)
 
8,778

 
(1,413
)
Foreign bonds:
 
 
 
 
 
 
 
 
 
 
 
 
Investment grade
 
276,313

 
(3,109
)
 
9,650

 
(350
)
 
285,963

 
(3,459
)
Other securities
 
2,690

 
(3
)
 
—

 
—

 
2,690

 
(3
)
Total available-for-sale investment securities
 
772,669

 
(5,844
)
 
233,470

 
(3,802
)
 
1,006,139

 
(9,646
)
Held-to-maturity investment security:
 
 
 
 
 
 
 
 
 
 
 
 
Non-agency commercial mortgage-backed security
 
154,296

 
(165
)
 
—

 
—

 
154,296

 
(165
)
Total investment securities
 
$
926,965

 
$
(6,009
)
 
$
233,470

 
$
(3,802
)
 
$
1,160,435

 
$
(9,811
)
 
 
 
 
 
 
 
 
 
 
 
 
 
As of December 31, 2015
 
 

 
 

 
 

 
 

 
 

 
 

Available-for-sale investment securities:
 
 

 
 

 
 

 
 

 
 

 
 

U.S. Treasury securities
 
$
907,400

 
$
(4,250
)
 
$
20,282

 
$
(142
)
 
$
927,682

 
$
(4,392
)
U.S. government agency and U.S. government sponsored enterprise debt securities
 
541,385

 
(2,994
)
 
—

 
—

 
541,385

 
(2,994
)
U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities:
 
 
 
 
 
 
 
 
 
 

 
 

Commercial mortgage-backed securities
 
252,340

 
(2,562
)
 
20,793

 
(462
)
 
273,133

 
(3,024
)
Residential mortgage-backed securities
 
535,842

 
(4,530
)
 
58,315

 
(1,871
)
 
594,157

 
(6,401
)
Municipal securities
 
48,495

 
(437
)
 
14,739

 
(356
)
 
63,234

 
(793
)
Non-agency residential mortgage-backed securities:
 
 
 
 
 
 
 
 
 
 

 
 

Investment grade
 
5,123

 
(1
)
 
6,242

 
(172
)
 
11,365

 
(173
)
Corporate debt securities:
 
 
 
 
 
 
 
 
 
 

 
 

Investment grade
 
149,358

 
(683
)
 
80,276

 
(864
)
 
229,634

 
(1,547
)
Non-investment grade
 
—

 
—

 
9,642

 
(1,849
)
 
9,642

 
(1,849
)
Foreign bonds:
 
 
 
 
 
 
 
 
 
 
 
 
Investment grade
 
74,101

 
(506
)
 
9,713

 
(288
)
 
83,814

 
(794
)
Other securities
 
13,475

 
(112
)
 
8,731

 
(268
)
 
22,206

 
(380
)
Total available-for-sale investment securities
 
$
2,527,519

 
$
(16,075
)
 
$
228,733

 
$
(6,272
)
 
$
2,756,252

 
$
(22,347
)
 
Rollforward of other than temporary impairment credit losses recognized in earnings
The following table presents a rollforward of the amounts related to the OTTI credit losses recognized in earnings for the three and nine months ended September 30, 2016 and 2015:
 
 
 
 
 
 
 
 
 
($ in thousands)
 
Three Months Ended September 30,
 
Nine Months Ended September 30,
 
2016
 
2015
 
2016
 
2015
Beginning balance
 
$
—

 
$
106,688

 
$
—

 
$
112,338

Addition of OTTI previously not recognized
 
—

 
—

 
—

 
—

Additional increase to the amount related to the credit
 loss for which an OTTI was previously recognized
 
—

 
—

 
—

 
—

Reduction for securities sold
 
—

 
(74,765
)
 
—

 
(80,415
)
Ending balance
 
$
—

 
$
31,923

 
$
—

 
$
31,923

 
Schedule of the proceeds, gross realized gains and losses related to the sales of available-for-sale investment securities
The following table presents the proceeds, gross realized gains and losses related to the sales of available-for-sale investment securities for the three and nine months ended September 30, 2016 and 2015:
 
($ in thousands)
 
Three Months Ended September 30,
 
Nine Months Ended September 30,
 
2016
 
2015
 
2016
 
2015
Proceeds from sales
 
$
143,513

 
$
855,425

 
$
1,008,256

 
$
1,328,487

Gross realized gains
 
$
1,790

 
$
17,036

 
$
8,593

 
$
26,994

Gross realized losses
 
$
—

 
$
—

 
$
125

 
$
—

Related tax expense
 
$
752

 
$
7,155

 
$
3,560

 
$
11,337

 
Schedule of maturities of investment securities
The following table presents the scheduled maturities of available-for-sale investment securities as of September 30, 2016:
 
($ in thousands)
 
Amortized
Cost
 
Estimated
Fair Value
Due within one year
 
$
664,482

 
$
661,989

Due after one year through five years
 
587,483

 
592,032

Due after five years through ten years
 
362,297

 
363,709

Due after ten years
 
1,610,545

 
1,618,894

Total available-for-sale investment securities
 
$
3,224,807

 
$
3,236,624

 

The following table presents the scheduled maturity of the held-to-maturity investment security as of September 30, 2016:
 
($ in thousands)
 
Amortized
Cost
 
Estimated
Fair Value
Due after ten years
 
$
154,461

 
$
154,296