10. OTHER ASSETS

Year-end other assets are summarized as follows:

(In thousands)	2012		2011

Capitalized mortgage servicing rights	$	3,198	$	3,067
Accrued interest receivable	14,731		11,350
Investment in tax credits	8,159		9,527
FDIC insurance	5,872		7,095
Accrued federal and state tax receivable	13,665		1,480
Derivative assets	19,668		13,926
Other	10,012		5,173

Total other assets	$	75,305	$	51,618

The Bank has sold loans in the secondary market and has retained the servicing responsibility and receives fees for the services provided. Mortgage loans sold and serviced for others amounted to $603.7 million, $486.6 million, and $319.8 million at year-end 2012, 2011, and 2010, respectively. Mortgage loans serviced for others are not included in the accompanying consolidated balance sheets. The risks inherent in mortgage servicing assets relate primarily to changes in prepayments that result from shifts in mortgage interest rates. At inception, capitalized mortgage servicing rights approximates the capitalized net present value of fee income streams generated from servicing these loans. The fair value of these rights is based on discounted cash flow projections. Contractually specified servicing fees were $2.8 million, $1.2 million, and $2.0 million for the years 2012, 2011, and 2010, respectively, and included as a component of loan related fees of non-interest income. The significant assumptions used in the valuation at year-end 2011 included a weighted average discount rate of 11.14% and pre-payment speed assumptions ranging from 13.25% to 26.02%.

Mortgage servicing rights activity was as follows:

(In thousands)	2012			2011

Balance at beginning of year	$	3,067		$	2,035
Additions	1,482			1,555
Amortization	(755		)	(523		)
Impairment Adjustment	(596		)	—
Balance at end of year	$	3,198		$	3,067