Disclosures About Fair Value of Financial Instruments (Tables)

9 Months Ended

Sep. 30, 2016

DISCLOSURES ABOUT FAIR VALUE OF FINANCIAL INSTRUMENTS

Assets and liabilities measured at fair value on a recurring basis

	September 30, 2016
	Level 1		Level 2		Level 3		Total
	(Dollars in thousands)
Financial Assets:
Available-for-sale securities	$	113,355	$	167,205	$	-	$	280,560
Customer interest rate swaps		-		3,692		-		3,692
Correspondent interest rate caps		-		1		-		1
Financial Liabilities:
Correspondent interest rate swaps	$	-	$	3,909	$	-	$	3,909
Customer interest rate caps		-		1		-		1

	December 31, 2015
	Level 1		Level 2		Level 3		Total
	(Dollars in thousands)
Financial Assets:
Available-for-sale securities	$	74,974	$	201,047	$	-	$	276,021
Customer interest rate swaps		-		1,528		-		1,528
Correspondent interest rate caps		-		25		-		25
Financial Liabilities:
Correspondent interest rate swaps	$	-	$	1,612	$	-	$	1,612
Customer interest rate caps		-		25		-		25

Schedule of fair value of assets measured on a nonrecurring basis

	September 30, 2016
	Level 3		Total		Losses for the Nine Months Ended  September 30, 2016
	(Dollars in thousands)
Assets Measured on a Nonrecurring Basis:
Impaired loans	$	58,549	$	58,549	$	11,570
Other real estate owned		2,339		2,339		1,048

	September 30, 2015
	Level 3		Total		Losses for the Nine Months Ended  September 30, 2015
	(Dollars in thousands)
Assets Measured on a Nonrecurring Basis:
Impaired loans	$	19,846	$	19,846	$	2,462
Other real estate owned		1,665		1,665		155

Quantitative information about significant unobservable inputs used in the fair value measurements for Level 3 assets

The following table presents quantitative information about significant unobservable inputs used in the fair value measurements for Level 3 assets at the date indicated:

	Fair Value at 9/30/2016		Valuation Technique	Unobservable Input	Range (1) (Weighted Average)
	(Dollars in thousands)
Loans held for investment	$	3,056,110	Discounted cash flow	Prepayment Speed	0% to 97.55% (28.57%)
				Discount Rates	1.28% - 11.62% (3.42%)
Real estate acquired by foreclosure		2,801	Appraisal	Adjustments for comparable properties	8.00% - 12.55% (8.54%)

Represents range of factors applied to determine fair value.

Estimated fair values of the Company's financial instruments

	September 30, 2016
	Carrying Value		Level 1		Level 2		Level 3		Fair Value
	(Dollars in thousands)
Financial Assets:
Cash and short term investments	$	313,366	$	313,366	$	-	$	-	$	313,366
Available-for-sale securities		280,560		113,355		167,205		-		280,560
Held-to-maturity securities		37,729		-		38,006		-		38,006
Other securities		17,955		17,955		-		-		17,955
Loans held for sale		38,934		38,934		-		-		38,934
Loans held for investment		3,047,618		-		-		3,056,110		3,056,110
Real estate acquired by foreclosure		2,801		-		-		2,801		2,801
Total	$	3,738,963	$	483,610	$	205,211	$	3,058,911	$	3,747,732
Financial Liabilities:
Deposits	$	3,315,899	$	-	$	3,323,421	$	-	$	3,323,421
Securities sold under agreements to repurchase		2,855		-		2,855		-		2,855
Other borrowed funds		150,000		-		148,941		-		148,941
Subordinated debentures		13,502		-		13,502		-		13,502
Total	$	3,482,256	$	-	$	3,488,719	$	-	$	3,488,719

	December 31, 2015
	Carrying Value		Level 1		Level 2		Level 3		Fair Value
		(Dollars in thousands)
Financial Assets:
Cash and short term investments	$	124,906	$	124,906	$	-	$	-	$	124,906
Available-for-sale securities		276,021		74,974		201,047		-		276,021
Held-to-maturity securities		42,130		-		41,996		-		41,996
Other securities		20,320		20,320		-		-		20,320
Loans held for sale		384		384		-		-		384
Loans held for investment		3,130,669		-		-		3,147,615		3,147,615
Real estate acquired by foreclosure		12,122		-		-		12,122		12,122
Total	$	3,606,552	$	220,584	$	243,043	$	3,159,737	$	3,623,364
Financial Liabilities:
Deposits	$	3,100,748	$	-	$	3,100,748	$	-	$	3,100,748
Securities sold under agreements to repurchase		3,073		-		3,073		-		3,073
Other borrowed funds		223,265		-		221,104		-		221,104
Subordinated debentures		13,187		-		13,187		-		13,187
Total	$	3,340,273	$	-	$	3,338,112	$	-	$	3,338,112