FAIR VALUE MEASUREMENTS (Tables)

6 Months Ended

Jun. 30, 2015

The following table provides the components of the change in fair value of Level 3 available for sale securities for the periods presented.



	Three months ended June 30,				Six months ended June 30,
	2015		2014		2015		2014

Level 3 AFS securities at beginning of period	$	11,380	$	6,754	$	11,290	$	7,583
Sales, calls or maturities	—		—		—		(1,000		)
Changes in unrealized gains and losses	23		39		113		210
Level 3 AFS securities at end of period	$	11,403	$	6,793	$	11,403	$	6,793

The following table provides the components of the change in fair value of interest rate lock commitments for the periods presented.



	Three months ended June 30,						Six months ended June 30,
	2015			2014			2015			2014

Interest rate lock commitments at beginning of period	$	636		$	331		$	342		$	354
Issuances	1,645			290			2,972			623
Settlements	(1,798		)	(325		)	(2,831		)	(681		)
Interest rate lock commitments at end of period	$	483		$	296		$	483		$	296

The following tables summarize fair value information for assets and liabilities measured on a recurring and nonrecurring basis.



	Total		Level 1		Level 2		Level 3
June 30, 2015
Measured at fair value on a recurring basis:
Securities available for sale:
GSE obligations	$	20,031	$	—	$	20,031	$	—
SBA-guaranteed securities	55,313		55,313		—		—
Mortgage-backed securities issued by GSE	394,179		—		394,179		—
Corporate bonds	130,380		2,524		116,453		11,403
Non-agency RMBS	4,307		—		4,307		—
Non-agency CMBS	3,519		—		3,519		—
Municipal bonds	39,028		—		39,028		—
Other debt securities	245		245		—		—
Equity securities	2,013		2,013		—		—
SBA-guaranteed loans held for sale	13,794		—		13,794		—
SBA loans held for investment	10,191		—		10,191		—
Derivative assets	3,283		—		2,800		483
Derivative liabilities	2,680		—		2,680		—

Measured at fair value on a non-recurring basis:
Impaired loans	$	17,626	$	—	$	—	$	17,626
Foreclosed assets	13,547		—		—		13,547



	Total		Level 1		Level 2		Level 3
December 31, 2014
Measured at fair value on a recurring basis:
Securities available for sale:
GSE obligations	$	14,944	$	—	$	14,944	$	—
SBA-guaranteed securities	60,120		60,120		—		—
Mortgage-backed securities issued by GSE	425,283		—		425,283		—
Corporate bonds	119,912		2,545		106,077		11,290
Non-agency RMBS	4,963		—		4,963		—
Non-agency CMBS	3,578		—		3,578		—
Municipal bonds	40,258		—		40,258		—
Other debt securities	498		498		—		—
Equity securities	2,865		2,865		—		—
SBA-guaranteed loans held for sale	8,365		—		8,365		—
SBA loans held for investment	8,906		—		8,906		—
Derivative assets	2,368		—		2,026		342
Derivative liabilities	2,497		—		2,497		—

Measured at fair value on a non-recurring basis:
Impaired loans	$	9,595	$	—	$	—	$	9,595
Foreclosed assets	12,891		—		—		12,891

The table below outlines the valuation techniques, unobservable inputs, and the range of quantitative inputs used in the valuations.



				Fair Value
	Valuation Technique	Unobservable Input	Range	June 30, 2015		December 31, 2014
Recurring measurements:
Investment securities	Pricing model	Illiquidity or credit factor in discount rates	1-2%	$	11,403	$	11,290

Interest rate lock commitments	Pricing model	Pull through rates	80-95%	483		342

Nonrecurring measurements:
Impaired loans	Discounted appraisals	Collateral discounts	15-50%	17,626		9,595
	Discounted expected cash flows	Expected loss rates	0-75%
	Discounted expected cash flows	Discount rates	2-8%
Foreclosed assets	Discounted appraisals	Collateral discounts	15-50%	13,547		12,891

The following tables summarize the carrying amounts and estimated fair values of the Company's financial instruments.



	June 30, 2015
	Carrying Amount		Fair Value		Level 1		Level 2		Level 3
Financial assets:
Cash and cash equivalents	$	122,961	$	122,961	$	122,961	$	—	$	—
Investment securities available for sale	649,015		649,015		60,129		577,483		11,403
Investment securities held to maturity	39,402		39,977		—		39,977		—
Loans held for sale	38,622		38,622		—		38,622		—
Loans, net	2,947,413		2,980,811		—		10,191		2,970,620
Purchased accounts receivable	69,933		69,933		—		69,933		—
Federal Home Loan Bank stock	21,976		21,976		—		21,976		—
Derivative assets	3,283		3,283		—		2,800		483
Accrued interest receivable	12,210		12,210		—		12,210		—

Financial liabilities:
Deposits	3,243,094		3,243,154		—		3,243,154		—
Short-term borrowings	355,500		355,500		—		—		355,500
Long-term debt	147,265		153,499		—		—		153,499
Derivative liabilities	2,680		2,680		—		2,680		—
Accrued interest payable	2,711		2,711		—		2,711		—



	December 31, 2014
	Carrying Amount		Fair Value		Level 1		Level 2		Level 3
Financial assets:
Cash and cash equivalents	$	132,365	$	132,365	$	132,365	$	—	$	—
Investment securities available for sale	672,421		672,421		66,028		595,103		11,290
Investment securities held to maturity	39,620		40,404		—		40,404		—
Loans held for sale	20,205		20,205		—		20,205		—
Loans, net	2,890,449		2,919,573		—		1,241		2,918,332
Purchased accounts receivable	44,821		44,821		—		44,821		—
Federal Home Loan Bank stock	19,499		19,499		—		19,499		—
Derivative assets	2,368		2,368		—		2,027		341
Accrued interest receivable	12,071		12,071		—		12,071		—

Financial liabilities:
Deposits	3,247,364		3,245,431		—		3,245,431		—
Short-term borrowings	250,500		250,500		—		—		250,500
Long-term debt	180,164		183,326		—		—		183,326
Derivative liabilities	2,497		2,497		—		2,497		—
Accrued interest payable	2,688		2,688		—		2,688		—