Loans Receivable and Allowance for Loan and Lease Losses (Tables)

6 Months Ended

Jun. 30, 2012

Loans Receivable and Allowance for Loan and Lease Losses [Abstract]

The composition of net loans receivable

	2012			2011
Construction	$	30,859		$	37,926
Commercial real estate		45,893			48,789
Commercial and industrial		12,324			13,084
Residential real estate		20,205			22,465
Manufactured housing		4,012			4,012
Total loans receivable covered under FDIC Loss Sharing Agreements (1)		113,293			126,276
Construction		12,986			15,271
Commercial real estate		458,377			352,077
Commercial and industrial		72,140			69,736
Mortgage warehouse		801,994			619,318
Manufactured housing		98,146			104,565
Residential real estate		91,539			53,476
Consumer		2,402			2,211
Total loans receivable not covered under FDIC Loss Sharing Agreements		1,537,584			1,216,654
Total loans receivable		1,650,877			1,342,930
Deferred (fees) costs, net		(7	)		(389	)
Allowance for loan and lease losses		(16,118	)		(15,032	)
Loans receivable, net	$	1,634,752		$	1,327,509

(1) Loans that were acquired in the two FDIC assisted transactions and are covered under loss sharing agreements with the FDIC are referred to as “covered” loans throughout these financial statements.

Non-covered loans and covered loans, by class

	30-89 Days Past  Due (1)		Greater Than 90 Days  (1)		Total Past Due (1)		Non- Accrual		Current (2)		Total Loans (4)
Commercial and industrial
Acquired with credit deterioration	$	0	$	0	$	0	$	966	$	3,946	$	4,912
Remaining loans (5)		1,113		0		1,113		986		65,129		67,228
Commercial real estate
Acquired with credit deterioration		0		0		0		6,977		52,365		59,342
Remaining loans (5)		3,542		0		3,542		15,350		380,143		399,035
Construction
Acquired with credit deterioration		752		0		752		0		3,247		3,999
Remaining loans (5)		357		0		357		3,563		5,067		8,987
Residential real estate
Acquired with credit deterioration		689		0		689		1,229		15,229		17,147
First mortgages (5)		304		0		304		595		52,970		53,869
Home equity (5)		381		0		381		657		19,485		20,523
Consumer
Acquired with credit deterioration		10		0		10		83		472		565
Remaining loans (5)		67		0		67		5		1,765		1,837
Mortgage warehouse
Acquired with credit deterioration		0		0		0		0		0		0
Remaining loans (5)		0		0		0		0		801,994		801,994
Manufactured housing (3)
Acquired with credit deterioration		2,252		0		2,252		2,328		2,977		7,557
Remaining loans (5)		1,464		0		1,464		0		89,125		90,589
Total	$	10,931	$	0	$	10,931	$	32,739	$	1,493,914	$	1,537,584

(1) Loan balances do not include non-accrual loans.

(2) Loans where payments are due within 29 days of the scheduled payment date.

(3) Purchased manufactured housing loans, purchased in 2010, are subject to cash reserves held at the Bank that are used to fund the past-due payments when the loan becomes 90 days or more delinquent.

(4) Loans exclude deferred costs and fees.

(5) Loans that were not identified at the acquisition date as a loan with credit deterioration.

	30-89 Days Past  Due (1)		Greater Than 90 Days (1)		Total Past Due(1)		Non- Accrual		Current (2)		Total Loans (4)
Commercial and industrial
Acquired with credit deterioration	$	0	$	0	$	0	$	178	$	4,946	$	5,124
Remaining loans (5)		0		0		0		2,817		61,795		64,612
Commercial real estate
Acquired with credit deterioration		89		0		89		8,527		57,542		66,158
Remaining loans (5)		1,025		0		1,025		18,729		266,165		285,919
Construction
Acquired with credit deterioration		0		0		0		0		3,393		3,393
Remaining loans (5)		0		0		0		5,630		6,248		11,878
Residential real estate
Acquired with credit deterioration		1,002		0		1,002		1,423		16,156		18,581
First mortgages (5)		314		0		314		700		14,652		15,666
Home equity (5)		183		0		183		823		18,223		19,229
Consumer
Acquired with credit deterioration		7		0		7		6		233		246
Remaining loans (5)		14		0		14		34		1,917		1,965
Mortgage warehouse		0		0		0		0		619,318		619,318
Manufactured housing (3)
Acquired with credit deterioration		1,681		0		1,681		0		7,048		8,729
Remaining loans (5)		3,481		0		3,481		0		92,355		95,836
Total	$	7,796	$	0	$	7,796	$	38,867	$	1,169,991	$	1,216,654

(1) Loan balances do not include non-accrual loans.

(2) Loans where payments are due within 29 days of the scheduled payment date.

(3) Purchased manufactured housing loans, purchased in 2010, are subject to cash reserves held at the Bank that are used to fund the past-due payments when the loan becomes 90 days or more delinquent.

(4) Loans exclude deferred costs and fees.

(5) Loans that were not identified at the acquisition date as a loan with credit deterioration.

	30-89 Days Past  Due (1)		Greater Than 90 Days  (1)		Total Past Due (1)		Nonaccrual		Current (3)		Total Loans
Commercial and industrial
Acquired with credit deterioration	$	0	$	0	$	0	$	485	$	1,691	$	2,176
Remaining loans (2)		290		0		290		153		9,705		10,148
Commercial real estate
Acquired with credit deterioration		0		0		0		14,780		0		14,780
Remaining loans (2)		1,230		0		1,230		1,811		28,072		31,113
Construction
Acquired with credit deterioration		0		0		0		17,301		0		17,301
Remaining loans (2)		0		0		0		6,643		6,915		13,558
Residential real estate
Acquired with credit deterioration		0		0		0		2,422		0		2,422
First mortgages (2)		0		0		0		0		9,597		9,597
Home equity (2)		208		0		208		324		7,654		8,186
Manufactured housing
Acquired with credit deterioration		0		0		0		70		0		70
Remaining loans (2)		108		0		108		108		3,726		3,942
	$	1,836	$	0	$	1,836	$	44,097	$	67,360	$	113,293

(1) Loans balances do not include nonaccrual loans.

(2) Loans that were not identified at the acquisition date as a loan with credit deterioration.

(3) Loans where payments are due within 29 days of the scheduled payment date.

	30-89 Days Past Due  (1)		Greater Than 90 Days (1)		Total Past Due (1)		Nonaccrual		Current (3)		Total Loans
Commercial and industrial
Acquired with credit deterioration	$	0	$	0	$	0	$	378	$	0	$	378
Remaining loans (2)		2,672		0		2,672		0		10,034		12,706
Commercial real estate
Acquired with credit deterioration		0		0		0		16,204		2,039		18,243
Remaining loans (2)		1,074		0		1,074		1,462		28,010		30,546
Construction
Acquired with credit deterioration		0		0		0		18,896		3,266		22,162
Remaining loans (2)		92		0		92		2,584		13,088		15,764
Residential real estate
Acquired with credit deterioration		0		0		0		4,002		0		4,002
First mortgages (2)		570		0		570		0		8,601		9,171
Home equity (2)		281		0		281		1,532		7,479		9,292
Manufactured housing
Acquired with credit deterioration		0		0		0		77		0		77
Remaining loans (2)		6		0		6		78		3,851		3,935
	$	4,695	$	0	$	4,695	$	45,213	$	76,368	$	126,276

(1) Loans balances do not include nonaccrual loans.

(2) Loans receivable that were not identified upon acquisition as a loan with credit deterioration.

(3) Loans where payments are due within 29 days of the scheduled payment date.

Summary of impaired loans

The following table presents a summary of impaired loans at or for the six months ended June 30, 2012.

	Unpaid Principal Balance (1)		Related Allowance		Average Recorded Investment		Interest Income Recognized
With no related allowance recorded:
Commercial and industrial	$	2,393			$	5,593	$	72
Commercial real estate		19,650				20,329		303
Construction		6,991				7,788		16
Consumer		64				101		0
Residential real estate		1,019				2,131		10
With an allowance recorded:
Commercial and industrial		839	$	481		806		4
Commercial real estate		5,998		1,631		8,955		81
Construction		7,318		3,007		7,196		100
Consumer		19		20		20		1
Residential real estate		735		45		822		0
Total	$	45,026	$	5,184	$	53,741	$	587

(1) Also represents the recorded investment.

	December 31, 2011				For the six months ended June 30, 2011
	Unpaid Principal Balance (1)		Related Allowance		Average Recorded Investment		Interest Income Recognized
With no related allowance recorded:
Commercial and industrial	$	6,975			$	1,129	$	19
Commercial real estate		20,431				12,102		210
Construction		8,773				1,816		32
Residential real estate		343				239		0
With an allowance recorded:
Commercial and industrial		800	$	426		6,339		140
Commercial real estate		12,195		2,047		17,398		346
Construction		7,369		2,986		5,252		55
Consumer		22		22		2		0
Residential real estate		869		195		1,068		13
Total	$	57,777	$	5,676	$	45,345	$	815

(1) Also represents the recorded investment.

Analysis of loans modified in a troubled debt restructuring by type of concession

Three months ended June 30, 2012	TDRs in compliance with their modified terms and accruing interest		TDRs that are not accruing interest		Total
Extended under forbearance	$	0	$	145	$	145
Multiple extensions resulting from financial difficulty		103		0		103
Interest-rate reductions		255		0		255
Total	$	358	$	145	$	503
Six months ended June 30, 2012	TDRs in compliance with their modified terms and accruing interest		TDRs that are not accruing interest		Total
Extended under forbearance	$	0	$	145	$	145
Multiple extensions resulting from financial difficulty		103		0		103
Interest-rate reductions		347		0		347
Total	$	450	$	145	$	595

Summary of loans and leases modified in troubled debt restructurings, and the recorded investments and unpaid principal balances

Three months ended June 30, 2012	TDRs in compliance with their modified terms and accruing interest				TDRs that are not accruing interest
	Number of Loans		Recorded Investment		Number of Loans		Recorded Investment
Commercial and industrial		0	$	0		0	$	0
Commercial real estate		0		0		0		0
Construction		0		0		0		0
Manufactured housing		7		358		0		0
Residential real estate		0		0		1		145
Consumer		0		0		0		0
Total		7	$	358		1	$	145

Six months ended June 30, 2012	TDRs in compliance with their modified terms and accruing interest				TDRs that are not accruing interest
	Number of Loans		Recorded Investment		Number of Loans		Recorded Investment
Commercial and industrial		0	$	0		0	$	0
Commercial real estate		0		0		0		0
Construction		0		0		0		0
Manufactured housing		9		450		0		0
Residential real estate		0		0		1		145
Consumer		0		0		0		0
Total		9	$	450		1	$	145

Credit quality tables for the non-covered loan portfolio

	June 30, 2012
	Commercial and Industrial		Commercial Real Estate		Construction		Residential Real Estate
Pass/Satisfactory	$	68,996	$	423,925	$	8,718	$	88,988
Special Mention		2,026		11,654		587		247
Substandard		821		21,281		2,611		2,304
Doubtful		297		1,517		1,070		0
Total	$	72,140	$	458,377	$	12,986	$	91,539

	Consumer		Mortgage Warehouse		Manufactured Housing
Performing	$	2,339	$	801,994	$	98,146
Nonperforming (1)		63		0		0
Total	$	2,402	$	801,994	$	98,146

(1) Includes loans that are on nonaccrual status or past due ninety days of more at June 30, 2012.

	December 31, 2011
	Commercial and Industrial		Commercial Real Estate		Construction		Residential Real Estate
Pass/Satisfactory	$	61,851	$	307,734	$	9,314	$	50,517
Special Mention		57		13,402		237		0
Substandard		7,506		29,278		4,349		2,959
Doubtful		322		1,663		1,371		0
Total	$	69,736	$	352,077	$	15,271	$	53,476

	Consumer		Mortgage Warehouse		Manufactured Housing
Performing	$	2,171	$	619,318	$	104,565
Nonperforming (1)		40		0		0
Total	$	2,211	$	619,318	$	104,565

(1) Includes loans that are on nonaccrual status or past due ninety days of more at December 31, 2011.

Credit quality tables for the covered loan portfolio

	June 30, 2012
	Commercial and Industrial		Commercial Real Estate		Construction		Residential Real Estate
Pass/Satisfactory	$	9,942	$	29,425	$	2,953	$	14,887
Special Mention		1,744		222		4,057		2,567
Substandard		638		16,246		23,849		2,751
Doubtful		0		0		0		0
Total	$	12,324	$	45,893	$	30,859	$	20,205

	Manufactured Housing
Performing	$	3,834
Nonperforming (1)		178
Total	$	4,012

(1) Includes loans that are on nonaccrual status or past due ninety days or more at June 30, 2012.

	December 31, 2011
	Commercial and Industrial		Commercial Real Estate		Construction		Residential Real Estate
Pass/Satisfactory	$	10,928	$	29,892	$	5,539	$	16,476
Special Mention		1,778		1,633		7,641		455
Substandard		378		17,264		24,746		5,534
Doubtful		0		0		0		0
Total	$	13,084	$	48,789	$	37,926	$	22,465

	Manufactured Housing
Performing	$	3,857
Nonperforming (1)		155
Total	$	4,012

(1) Includes loans that are on nonaccrual status or past due ninety days or more at December 31, 2011.

Loans and allowance for loan and lease losses

Three months ended June 30, 2012	Commercial and Industrial			Commercial Real Estate			Construction			Residential Real Estate
Beginning Balance, April 1, 2012	$	1,464		$	7,117		$	5,099		$	775
Charge-offs		0			(938	)		(979	)		(179	)
Recoveries		66			14			0			1
Provision for loan and lease losses		(27	)		2,073			232			483
Ending Balance, June 30, 2012	$	1,503		$	8,266		$	4,352		$	1,080

Three months ended June 30, 2012 (continued)	Manufactured Housing		Consumer			Mortgage Warehouse		Unallocated			Total
Beginning Balance, April 1, 2012	$	33	$	95		$	763	$	54		$	15,400
Charge-offs		0		(10	)		0		0			(2,106	)
Recoveries		0		5			0		0			86
Provision for loan and lease losses		8		(16	)		39		(54	)		2,738
Ending Balance, June 30, 2012	$	41	$	74		$	802	$	0		$	16,118

Six months ended June 30, 2012	Commercial and Industrial			Commercial Real Estate			Construction			Residential Real Estate
Beginning Balance, January 1, 2012	$	1,441		$	7,029		$	4,656		$	844
Charge-offs		(34	)		(1,143	)		(2,191	)		(200	)
Recoveries		66			50			0			5
Provision for loan and lease losses		30			2,330			1,887			431
Ending Balance, June 30, 2012	$	1,503		$	8,266		$	4,352		$	1,080

Six months ended June 30, 2012 (continued)	Manufactured Housing		Consumer			Mortgage Warehouse			Unallocated			Total
Beginning Balance, January 1, 2012	$	18	$	61		$	929		$	54		$	15,032
Charge-offs		0		(10	)		0			0			(3,578	)
Recoveries		0		5			0			0			126
Provision for loan and lease losses		23		18			(127	)		(54	)		4,538
Ending Balance, June 30, 2012	$	41	$	74		$	802		$	0		$	16,118

Three months ended June 30, 2011	Commercial and Industrial			Commercial Real Estate			Construction			Residential Real  Estate
Beginning Balance, April 1, 2011	$	2,046		$	11,183		$	2,134		$	816
Charge-offs		(1,461	)		(3,731	)		(914	)		(105	)
Recoveries		6			0			2			0
Provision for loan and lease losses		1,354			(275	)		1,257			896
Ending Balance, June 30, 2011	$	1,945		$	7,177		$	2,479		$	1,607

Three months ended June 30, 2011 (continued)	Manufactured Housing		Consumer		Mortgage Warehouse		Unallocated			Total
Beginning Balance, April 1, 2011	$	0	$	12	$	507	$	600		$	17,298
Charge-offs		0		0		0		0			(6,211	)
Recoveries		0		1		0		0			9
Provision for loan and lease losses		39		7		82		(510	)		2,850
Ending Balance, June 30, 2011	$	39	$	20	$	589	$	90		$	13,946

Six months ended June 30, 2011	Commercial and Industrial			Commercial Real Estate			Construction			Residential Real Estate
Beginning Balance, January 1, 2011	$	1,662		$	9,152		$	2,127		$	1,116
Charge-offs		(1,461	)		(4,208	)		(1,069	)		(105	)
Recoveries		6			5			2			0
Provision for loan and lease losses		1,738			2,228			1,419			596
Ending Balance, June 30, 2011	$	1,945		$	7,177		$	2,479		$	1,607

Six months ended June 30, 2011 (continued)	Manufactured Housing		Consumer			Mortgage Warehouse		Unallocated			Total
Beginning Balance, January 1, 2011	$	0	$	11		$	465	$	596		$	15,129
Charge-offs		0		(4	)		0		0			(6,847	)
Recoveries		0		1			0		0			14
Provision for loan and lease losses		39		12			124		(506	)		5,650
Ending Balance, June 30, 2011	$	39	$	20		$	589	$	90		$	13,946

June 30, 2012	Commercial and Industrial		Commercial Real Estate		Construction		Residential Real  Estate
Loans:
Individually evaluated for impairment	$	3,232	$	25,648	$	14,309	$	1,754
Collectively evaluated for impairment		68,212		405,632		7,809		89,617
Loans acquired with credit deterioration		12,253		77,378		23,203		22,413
Total	$	83,697	$	508,658	$	45,321	$	113,784
Allowance for loan and lease losses:
Individually evaluated for impairment	$	481	$	1,651	$	3,007	$	45
Collectively evaluated for impairment		868		4,995		181		994
Loans acquired with credit deterioration		154		1,620		1,164		41
Total	$	1,503	$	8,266	$	4,352	$	1,080

June 30, 2012 (continued)	Manufactured Housing		Consumer		Mortgage Warehouse		Total
Loans:
Individually evaluated for impairment	$	0	$	83	$	0	$	45,026
Collectively evaluated for impairment		96,713		5,141		801,994		1,475,118
Loans acquired with credit deterioration		9,097		722		0		145,066
Market discounts/premiums/valuation adjustments		0		0		0		(14,340	)
Total	$	105,810	$	5,946	$	801,994	$	1,650,870
Allowance for loan and lease losses:
Individually evaluated for impairment	$	0	$	0	$	0	$	5,184
Collectively evaluated for impairment		41		57		802		7,938
Loans acquired with credit deterioration		0		17		0		2,996
Total	$	41	$	74	$	802	$	16,118

December 31, 2011	Commercial and Industrial		Commercial Real Estate		Construction		Residential Real Estate
Loans:
Individually evaluated for impairment	$	7,775	$	32,626	$	16,142	$	1,212
Collectively evaluated for impairment		59,745		287,839		11,863		52,856
Loans acquired with credit deterioration		15,017		87,684		30,590		23,352
Total	$	82,537	$	408,149	$	58,595	$	77,420
Allowance for loan and lease losses:
Individually evaluated for impairment	$	426	$	2,047	$	2,986	$	195
Collectively evaluated for impairment		911		4,063		209		554
Loans acquired with credit deterioration		104		920		1,461		94
Total	$	1,441	$	7,030	$	4,656	$	843

December 31, 2011 (continued)	Manufactured Housing		Consumer		Mortgage Warehouse		Unallocated			Total
Loans:
Individually evaluated for impairment	$	0	$	22	$	0	$	0		$	57,777
Collectively evaluated for impairment		102,876		6,213		619,318		0			1,140,710
Loans acquired with credit deterioration		10,592		333		0		0			167,568
Market discounts/premiums/valuation adjustments								(23,514	)		(23,514	)
Total loans	$	113,468	$	6,568	$	619,318	$	(23,514	)	$	1,342,541
Allowance for loan and lease losses:
Individually evaluated for impairment	$	0	$	22	$	0	$	0		$	5,676
Collectively evaluated for impairment		1		39		929		54			6,760
Loans acquired with credit deterioration		17		0		0		0			2,596
Total	$	18	$	61	$	929	$	54		$	15,032

Accretable yield for prior loan acquisitions

For the three months ended June 30,	2012			2011
Balance, beginning of period	$	44,703		$	6,220
Accretion to interest income		0			(503	)
Reclassification from nonaccretable difference and disposals, net		(1,473	)		0
Balance, end of period	$	43,230		$	5,717
For the six months ended June 30,	2012			2011
Balance, beginning of period	$	45,358		$	7,176
Accretion to interest income		(2,059	)		(1,030	)
Reclassification from nonaccretable difference and disposals, net		(69	)		(429	)
Balance, end of period	$	43,230		$	5,717

Activity related to the FDIC loss sharing receivable

Three months ended June 30,	2012			2011
Balance, beginning of period	$	14,149		$	16,229
Change in FDIC loss sharing receivable		(449	)		800
Reimbursement from the FDIC		(1,324	)		(4,395	)
Balance, end of period	$	12,376		$	12,634
Six months ended June 30,	2012			2011
Balance, beginning of period	$	13,077		$	16,702
Change in FDIC loss sharing receivable		741			1,709
Reimbursement from the FDIC		(1,442	)		(5,777	)
Balance, end of period	$	12,376		$	12,634