NON-COVERED LOANS AND ALLOWANCE FOR LOAN LOSSES (Tables)

6 Months Ended

Jun. 30, 2012

NON-COVERED LOANS AND ALLOWANCE FOR LOAN LOSSES

Summary of loans receivable, excluding covered loans

	June 30,			December 31,
	2012			2011
	(In thousands)
Residential:
Single-family	$	2,017,877		$	1,796,635
Multifamily	912,941			933,168
Total residential	2,930,818			2,729,803
Commercial Real Estate (“CRE”):
Income producing	3,444,957			3,487,866
Construction	134,621			171,410
Land	165,118			173,089
Total CRE	3,744,696			3,832,365
Commercial and Industrial (“C&I”):
Commercial business	2,860,172			2,655,917
Trade finance	558,465			486,555
Total C&I	3,418,637			3,142,472
Consumer:
Student loans	436,527			306,325
Other consumer	264,192			277,461
Total consumer	700,719			583,786
Total gross loans receivable, excluding covered loans	10,794,870			10,288,426
Unearned fees, premiums, and discounts, net	(19,762		)	(16,762		)
Allowance for loan losses, excluding covered loans	(219,454		)	(209,876		)
Loans receivable, excluding covered loans, net	$	10,555,654		$	10,061,788

Summary of non-covered loans by credit quality

			Special
	Pass/Watch		Mention		Substandard		Doubtful		Total
					(In thousands)
June 30, 2012
Residential:
Single-family	$	1,988,413	$	11,631	$	17,833	$	—	$	2,017,877
Multifamily	803,952		15,981		93,008		—		912,941
CRE:
Income producing	3,212,664		38,219		194,074		—		3,444,957
Construction	95,598		—		39,023		—		134,621
Land	116,262		8,404		40,452		—		165,118
C&I:
Commercial business	2,716,974		66,844		76,354		—		2,860,172
Trade finance	541,332		6,214		10,919		—		558,465
Consumer:
Student loans	436,239		189		99		—		436,527
Other consumer	259,020		—		5,172		—		264,192
Total	$	10,170,454	$	147,482	$	476,934	$	—	$	10,794,870

			Special
	Pass/Watch		Mention		Substandard		Doubtful		Total
					(In thousands)
December 31, 2011
Residential:
Single-family	$	1,768,149	$	11,239	$	17,247	$	—	$	1,796,635
Multifamily	810,458		25,531		97,179		—		933,168
CRE:
Income producing	3,211,386		63,066		213,414		—		3,487,866
Construction	109,184		—		62,226		—		171,410
Land	125,534		7,954		39,601		—		173,089
C&I:
Commercial business	2,492,904		62,409		100,357		247		2,655,917
Trade finance	467,822		7,161		11,572		—		486,555
Consumer:
Student loans	305,880		188		257		—		306,325
Other consumer	273,692		—		3,769		—		277,461
Total	$	9,565,009	$	177,548	$	545,622	$	247	$	10,288,426

Age analysis of nonaccrual and past due non-covered loans and loans held for sale

	Accruing		Accruing		Total		Nonaccrual		Nonaccrual		Total
	Loans		Loans		Accruing		Loans Less		Loans		Nonaccrual
	30-59 Days		60-89 Days		Past Due		Than 90 Days		90 or More		Past Due		Current
	Past Due		Past Due		Loans		Past Due		Days Past Due		Loans		Loans		Total
							(In thousands)
June 30, 2012
Residential:
Single-family	$	4,899	$	893	$	5,792	$	1,350	$	6,405	$	7,755	$	2,004,330	$	2,017,877
Multifamily	2,592		3,907		6,499		11,129		9,278		20,407		886,035		912,941
CRE:
Income producing	11,596		324		11,920		2,092		13,109		15,201		3,417,836		3,444,957
Construction	—		—		—		—		24,480		24,480		110,141		134,621
Land	498		1,437		1,935		669		7,911		8,580		154,603		165,118
C&I:
Commercial business	4,236		900		5,136		6,000		15,152		21,152		2,833,884		2,860,172
Trade finance	—		—		—		—		1,919		1,919		556,546		558,465
Consumer:
Student loans	227		189		416		—		99		99		436,012		436,527
Other consumer	1,169		—		1,169		—		3,199		3,199		259,824		264,192
Loans held for sale	—		—		—		—		9,642		9,642		128,170		137,812
Total	$	25,217	$	7,650	$	32,867	$	21,240	$	91,194	$	112,434	$	10,787,381	10,932,682
Unearned fees, premiums and discounts, net															(19,762		)
Total recorded investment in non-covered loans and loans held for sale															$	10,912,920

	Accruing		Accruing		Total		Nonaccrual		Nonaccrual		Total
	Loans		Loans		Accruing		Loans Less		Loans		Nonaccrual
	30-59 Days		60-89 Days		Past Due		Than 90 Days		90 or More		Past Due		Current
	Past Due		Past Due		Loans		Past Due		Days Past Due		Loans		Loans		Total
							(In thousands)
December 31, 2011
Residential:
Single-family	$	6,991	$	1,198	$	8,189	$	—	$	3,569	$	3,569	$	1,784,877	$	1,796,635
Multifamily	6,366		745		7,111		6,889		11,306		18,195		907,862		933,168
CRE:
Income producing	18,179		1,549		19,728		6,885		25,690		32,575		3,435,563		3,487,866
Construction	—		—		—		26,482		14,688		41,170		130,240		171,410
Land	—		573		573		1,136		9,589		10,725		161,791		173,089
C&I:
Commercial business	342		2,957		3,299		4,394		6,843		11,237		2,641,381		2,655,917
Trade finance	—		—		—		—		—		—		486,555		486,555
Consumer:
Student loans	109		188		297		—		257		257		305,771		306,325
Other consumer	1,130		—		1,130		—		2,249		2,249		274,082		277,461
Loans held for sale	—		—		—		—		25,655		25,655		252,948		278,603
Total	$	33,117	$	7,210	$	40,327	$	45,786	$	99,846	$	145,632	$	10,381,070	10,567,029
Unearned fees, premiums and discounts, net															(16,762		)
Total recorded investment in non-covered loans and loans held for sale															$	10,550,267

Summary of interest income foregone on nonaccrual loans

	For the Three Months Ended						For the Six Months Ended
	June 30,						June 30,
	2012			2011			2012			2011
				(In thousands)
Interest income that would have been recognized had nonaccrual loans performed in accordance with their original terms	$	1,767		$	2,798		$	3,497		$	5,563
Less: Interest income recognized on nonaccrual loans on a cash basis	(609		)	(415		)	(1,073		)	(830		)
Interest income foregone on nonaccrual loans	$	1,158		$	2,383		$	2,424		$	4,733

Loans modified as troubled debt restructurings

	Loans Modified as TDRs During the
	Three Months Ended June 30, 2012
		Pre-Modification		Post-Modification
	Number	Outstanding		Outstanding
	of	Recorded		Recorded		Financial
	Contracts	Investment		Investment (1)		Impact (2)
		(Dollars in thousands)
Residential:
Single-family	1	$	965	$	960	$	207
Multifamily	6	$	10,289	$	10,162	$	861
CRE:
Income producing	1	$	1,146	$	1,144	$	—
Construction	—	$	—	$	—	$	—
Land	—	$	—	$	—	$	—
C&I:
Commercial business	5	$	1,940	$	1,931	$	399
Trade finance	—	$	—	$	—	$	—
Consumer:
Student loans	—	$	—	$	—	$	—
Other consumer	1	$	108	$	108	$	—

	Loans Modified as TDRs During the
	Six Months Ended June 30, 2012
		Pre-Modification		Post-Modification
	Number	Outstanding		Outstanding
	of	Recorded		Recorded		Financial
	Contracts	Investment		Investment (1)		Impact (2)
		(Dollars in thousands)
Residential:
Single-family	2	$	1,267	$	1,165	$	302
Multifamily	7	$	10,687	$	10,549	$	861
CRE:
Income producing	4	$	4,465	$	4,040	$	469
Construction	—	$	—	$	—	$	—
Land	1	$	432	$	70	$	76
C&I:
Commercial business	11	$	4,465	$	4,333	$	689
Trade finance	—	$	—	$	—	$	—
Consumer:
Student loans	—	$	—	$	—	$	—
Other consumer	1	$	108	$	108	$	—

(1)Includes subsequent payments after modification and reflects the balance as of June 30, 2012.

(2)The financial impact includes charge-offs and specific reserves recorded at modification date.

Troubled debt restructurings that subsequently defaulted

	Loans Modified as TDRs during the Prior 12
	Months, that Subsequently Defaulted During the
	Three Months Ended June 30, 2012
	Number of	Recorded
	Contracts	Investment
	(Dollars in thousands)
Residential:
Single-family	—	$	—
Multifamily	—	$	—
CRE:
Income producing	—	$	—
Construction	—	$	—
Land	—	$	—
C&I:
Commercial business	1	$	337
Trade finance	—	$	—
Consumer:
Student loans	—	$	—
Other consumer	—	$	—

	Loans Modified as TDRs during the Prior 12
	Months, that Subsequently Defaulted During the
	Six Months Ended June 30, 2012
	Number of	Recorded
	Contracts	Investment (1)
	(Dollars in thousands)
Residential:
Single-family	—	$	—
Multifamily	—	$	—
CRE:
Income producing	1	$	2,916
Construction	—	$	—
Land	—	$	—
C&I:
Commercial business	3	$	793
Trade finance	—	$	—
Consumer:
Student loans	—	$	—
Other consumer	—	$	—

(1)Included in the six months ended table is $456 thousand of recorded investment which has been charged-off and is not included in the condensed consolidated balance sheet as of June 30, 2012.

Summary of impaired non-covered loans, including interest income recognized

												For the three months				For the six months
				Recorded		Recorded						ended June 30, 2012				ended June 30, 2012
		Unpaid		Investment		Investment		Total				Average		Interest		Average		Interest
		Principal		With No		With		Recorded		Related		Recorded		Income		Recorded		Income
		Balance		Allowance		Allowance		Investment		Allowance		Investment		Recognized (1)		Investment		Recognized (1)
								(In thousands)
As of and for the three and six months ended June 30, 2012
Residential:
Single-family	$		15,049	$	11,049	$	2,565	$	13,614	$	806	$	13,922	$	15	$	14,453	$	15
Multifamily	38,668			27,311		8,796		36,107		1,136		36,615		125		37,031		229
CRE:
Income producing	54,372			44,018		3,985		48,003		416		42,038		73		51,892		105
Construction	33,051			25,371		—		25,371		—		26,712		184		27,422		369
Land	20,918			10,034		8,512		18,546		2,044		18,627		26		18,878		48
C&I:
Commercial business	33,384			12,427		13,204		25,631		5,161		28,043		183		29,320		304
Trade finance	1,919			1,919		—		1,919		—		1,980		—		2,028		—
Consumer:
Student loans	99			99		—		99		—		99		—		98		—
Other consumer	3,628			3,306		—		3,306		—		3,437		3		3,488		3
Total	$		201,088	$	135,534	$	37,062	$	172,596	$	9,563	$	171,473	$	609	$	184,610	$	1,073

											For the year
			Recorded		Recorded						ended December 31, 2011
	Unpaid		Investment		Investment		Total				Average		Interest
	Principal		With No		With		Recorded		Related		Recorded		Income
	Balance		Allowance		Allowance		Investment		Allowance		Investment		Recognized (1)
							(In thousands)
As of and for the year ended December 31, 2011
Residential:
Single-family	$	10,248	$	6,578	$	2,535	$	9,113	$	1,131	$	9,408	$	65
Multifamily	37,450		28,272		3,520		31,792		1,124		35,855		473
CRE:
Income producing	69,664		55,701		7,941		63,642		1,187		68,087		1,030
Construction	75,714		45,413		1,067		46,480		815		64,398		1,099
Land	40,615		25,806		8,692		34,498		3,949		36,002		341
C&I:
Commercial business	38,857		20,772		6,650		27,422		4,835		32,033		484
Trade finance	4,127		4,127		—		4,127		—		4,127		—
Consumer:
Student loans	257		257		—		257		—		257		—
Other consumer	2,249		2,249		—		2,249		—		2,251		27
Total	$	279,181	$	189,175	$	30,405	$	219,580	$	13,041	$	252,418	$	3,519

(1)Excludes interest from performing TDRs.

Detail of activity in allowance for loan losses, for both covered and non-covered loans, by portfolio segment

													Covered Loans
													Subject to
													Allowance for
	Residential			CRE			C&I			Consumer			Loan Losses (1)			Unallocated			Total
	(In thousands)
Three Months Ended June 30, 2012
Beginning balance	$	51,193		$	70,990		$	88,113		$	3,957		$	8,268		$	—		$	222,521
Provision for loan losses	86			3,930			11,126			1,727			(1,095		)	(274		)	15,500
Allowance for unfunded loan commitments and letters of credit	—			—			—			—			—			274			274
Charge-offs	(1,536		)	(4,871		)	(7,481		)	(928		)	—			—			(14,816		)
Recoveries	242			2,027			857			22			—			—			3,148
Net charge-offs	(1,294		)	(2,844		)	(6,624		)	(906		)	—			—			(11,668		)
Ending balance	$	49,985		$	72,076		$	92,615		$	4,778		$	7,173		$	—		$	226,627
Ending balance allocated to:
Loans individually evaluated for impairment	$	1,942		$	2,460		$	5,161		$	—		$	—		$	—		$	9,563
Loans collectively evaluated for impairment	48,043			69,616			87,454			4,778			7,173			—			217,064
Loans acquired with deteriorated credit quality(2)	—			—			—			—			—			—			—
Ending balance	$	49,985		$	72,076		$	92,615		$	4,778		$	7,173		$	—		$	226,627

													Covered Loans
													Subject to
													Allowance for
	Residential			CRE			C&I			Consumer			Loan Losses (1)		Unallocated			Total
	(In thousands)
Six months ended June 30, 2012
Beginning balance	$	52,180		$	66,457		$	87,020		$	4,219		$	6,647	$	—		$	216,523
Provision for loan losses	1,189			16,395			12,441			1,545			526		1,504			33,600
Allowance for unfunded loan commitments and letters of credit	—			—			—			—			—		(1,504		)	(1,504		)
Charge-offs	(4,567		)	(15,578		)	(10,368		)	(1,091		)	—		—			(31,604		)
Recoveries	1,183			4,802			3,522			105			—		—			9,612
Net charge-offs	(3,384		)	(10,776		)	(6,846		)	(986		)	—		—			(21,992		)
Ending balance	$	49,985		$	72,076		$	92,615		$	4,778		$	7,173	$	—		$	226,627
Ending balance allocated to:
Loans individually evaluated for impairment	$	1,942		$	2,460		$	5,161		$	—		$	—	$	—		$	9,563
Loans collectively evaluated for impairment	48,043			69,616			87,454			4,778			7,173		—			217,064
Loans acquired with deteriorated credit quality(2)	—			—			—			—			—		—			—
Ending balance	$	49,985		$	72,076		$	92,615		$	4,778		$	7,173	$	—		$	226,627

													Covered Loans
													Subject to
													Allowance for
	Residential			CRE			C&I			Consumer			Loan Losses (1)		Unallocated			Total
	(In thousands)
Year ended December 31, 2011
Beginning balance	$	49,491		$	117,752		$	59,737		$	3,428		$	4,225	$	—		$	234,633
Provision for loan losses	15,416			22,817			50,848			2,455			2,422		1,048			95,006
Allowance for unfunded loan commitments and letters of credit	—			—			—			—			—		(1,048		)	(1,048		)
Charge-offs	(13,323		)	(78,803		)	(30,606		)	(1,959		)	—		—			(124,691		)
Recoveries	596			4,691			7,041			295			—		—			12,623
Net charge-offs	(12,727		)	(74,112		)	(23,565		)	(1,664		)	—		—			(112,068		)
Ending balance	$	52,180		$	66,457		$	87,020		$	4,219		$	6,647	$	—		$	216,523
Ending balance allocated to:
Loans individually evaluated for impairment	$	2,255		$	5,951		$	4,835		$	—		$	—	$	—		$	13,041
Loans collectively evaluated for impairment	49,925			60,506			82,185			4,219			6,647		—			203,482
Loans acquired with deteriorated credit quality (2)	—			—			—			—			—		—			—
Ending balance	$	52,180		$	66,457		$	87,020		$	4,219		$	6,647	$	—		$	216,523

(1)This allowance is related to drawdowns on commitments that were in existence as of the acquisition dates of WFIB and UCB and, therefore, are covered under the shared-loss agreements with the FDIC. Allowance on these subsequent drawdowns is accounted for as part of the allowance for loan losses.

(2)The Company has elected to account for all covered loans acquired in the FDIC-assisted acquisitions under ASC 310-30.

Recorded investment in total loans receivable by portfolio segment, disaggregated by impairment methodology

										Covered Loans
										Subject to
										Allowance for
	Residential			CRE		C&I		Consumer		Loan Losses		Total
	(In thousands)
June 30, 2012
Loans individually evaluated for impairment	$	49,721		$	91,921	$	27,549	$	3,306	$	—	$	172,497
Loans collectively evaluated for impairment	2,881,097			3,652,775		3,391,088		697,413		494,408		11,116,781
Loans acquired with deteriorated credit quality (1)	1,172,522			2,019,552		323,470		59,207		—		3,574,751
Ending balance	$		4,103,340	$	5,764,248	$	3,742,107	$	759,926	$	494,408	$	14,864,029

									Covered Loans
									Subject to
									Allowance for
	Residential		CRE		C&I		Consumer		Loan Losses		Total
	(In thousands)
December 31, 2011
Loans individually evaluated for impairment	$	43,395	$	143,631	$	31,338	$	2,249	$	—	$	220,613
Loans collectively evaluated for impairment	2,686,408		3,688,734		3,111,135		581,536		583,804		10,651,617
Loans acquired with deteriorated credit quality (1)	1,331,615		2,322,062		413,479		67,124		—		4,134,280
Ending balance	$	4,061,418	$	6,154,427	$	3,555,952	$	650,909	$	583,804	$	15,006,510

(1)The Company has elected to account for all covered loans acquired in the FDIC-assisted acquisitions under ASC 310-30. The total principal balance is presented and excludes the purchase discount and any additional advances subsequent to acquisition date.