Fair Value Measurements (Tables)

12 Months Ended

Dec. 31, 2012

Fair Value Measurements

Summary of assets and liabilities measured at fair value by level

			Fair Value Measurements at Reporting Date Using
(in thousands)	Balance as of December 31, 2012		Quoted Prices in Active Markets Level 1		Significant Other Observable Inputs Level 2		Significant Unobservable Inputs Level 3
Measured on a Recurring Basis
Assets
Securities available-for-sale:
U.S. Treasury	$	20,397	$	20,397	$	—	$	—
Federal agency—Debt		2,349,202		—		2,349,202		—
Federal agency—MBS		693,032		—		693,032		—
CMOs—Federal agency		5,318,253		—		5,318,253		—
CMOs—Non-agency		61,513		—		61,513		—
State and municipal		454,474		—		407,429		47,045
Other debt securities		307,417		—		289,275		18,142
Equity securities and mutual funds		1,701		1,701		—		—
Trading securities		115,059		113,010		2,049		—
Mark-to-market derivatives (1)		67,496		218		67,278		—
Total assets at fair value	$	9,388,544	$	135,326	$	9,188,031	$	65,187
Liabilities
Mark-to-market derivatives	$	64,432	$	—	$	64,432	$	—
Contingent consideration liability		47,724		—		—		47,724
FDIC clawback liability		9,970		—		—		9,970
Other liabilities		368		—		368		—
Total liabilities at fair value (2)	$	122,494	$	—	$	64,800	$	57,694
Redeemable noncontrolling interest	$	41,112	$	—	$	—	$	41,122
Measured on a Nonrecurring Basis
Assets
Collateral dependent impaired loans (3):
Commercial (4)	$	2,655	$	—	$	—	$	2,655
Commercial real estate mortgages		10,963		—		3,950		7,013
Residential mortgages		1,811		—		—		1,811
Real estate construction		7,918		—		—		7,918
Equity lines of credit		780		—		—		780
Installment		550		—		550		—
Other real estate owned (5)		44,396		—		34,624		9,772
Private equity and alternative investments		6,178		—		—		6,178
Total assets at fair value	$	75,251	$	—	$	39,124	$	36,127

(1)

Reported in Other assets in the consolidated balance sheets.

(2)

Reported in Other liabilities in the consolidated balance sheets.

(3)

Impaired loans for which fair value was calculated using the collateral valuation method.

(4)

Includes lease financing.

(5)

Includes covered OREO.

			Fair Value Measurements at Reporting Date Using
(in thousands)	Balance as of December 31, 2011		Quoted Prices in Active Markets Level 1		Significant Other Observable Inputs Level 2		Significant Unobservable Inputs Level 3
Measured on a Recurring Basis
Assets
Securities available-for-sale:
U.S. Treasury	$	19,182	$	19,182	$	—	$	—
Federal agency—Debt		1,973,862		—		1,973,862		—
Federal agency—MBS		681,044		—		681,044		—
CMOs—Federal agency		4,326,907		—		4,326,907		—
CMOs—Non-agency		69,001		—		69,001		—
State and municipal		401,604		—		401,604		—
Other debt securities		99,074		—		79,491		19,583
Equity securities and mutual funds		1,227		1,227		—		—
Trading securities		61,975		61,922		53		—
Mark-to-market derivatives (1)		62,230		—		62,230		—
Total assets at fair value	$	7,696,106	$	82,331	$	7,594,192	$	19,583
Liabilities
Mark-to-market derivatives	$	52,881	$	—	$	52,881	$	—
FDIC clawback liability		8,103		—		—		8,103
Other liabilities		263		—		263		—
Total liabilities at fair value (2)	$	61,247	$	1,542	$	53,144	$	8,103
Redeemable noncontrolling interest	$	44,643	$	—	$	—	$	44,643
Measured on a Nonrecurring Basis
Assets
Collateral dependent impaired loans (3):
Commercial (4)	$	2,484	$	—	$	—	$	2,484
Commercial real estate mortgages		6,830		—		6,830		—
Residential mortgages		5,555		—		5,084		471
Real estate construction		18,528		—		9,680		8,848
Equity lines of credit		3,471		—		2,588		883
Installment		675		—		675		—
Collateral dependent impaired covered loans (3):
Commercial		422		—		—		422
Other real estate owned (5)		66,837		—		56,898		9,939
Private equity and alternative investments		6,558		—		—		6,558
Total assets at fair value	$	111,360	$	—	$	81,755	$	29,605

(1)

Reported in Other assets in the consolidated balance sheets.

(2)

Reported in Other liabilities in the consolidated balance sheets.

(3)

Impaired loans for which fair value was calculated using the collateral valuation method.

(4)

Includes lease financing.

(5)

Includes covered OREO.

Schedule of reconciliation of Level 3 assets and liabilities measured on a recurring basis

	For the year ended December 31, 2012									For the year ended December 31, 2011
(in thousands)	Securities Available-for- Sale			Contingent Consideration Liability			FDIC Clawback Liability			Securities Available-for- Sale			FDIC Clawback Liability
Balance, beginning of period	$	19,583		$	—		$	(8,103	)	$	20,982		$	(6,911	)
Total realized/unrealized gains (losses):
Included in earnings		—			—			(1,867	)		—			(1,192	)
Included in other comprehensive income		2,332			—			—			651			—
Additions		—			(46,696	)		—			—			—
Settlements		(4,004	)		—			—			(2,051	)		—
Transfers into Level 3		47,165			—			—			—			—
Other (1)		111			(1,028	)		—			1			—
Balance, end of period	$	65,187		$	(47,724	)	$	(9,970	)	$	19,583		$	(8,103	)

(1)

Other rollforward activity consists of amortization of premiums and accretion of discounts recognized on the initial purchase of the securities available-for-sale and accretion of discount related to the contingent consideration liability.

Information About Nonrecurring Level 3 Fair Value Measurements

(in thousands)	Fair Value at December 31, 2012		Valuation Method	Unobservable Inputs
Collateral dependent impaired loans	$	20,177	Market	—Adjustments to external or internal appraised values (1)
				—Probability weighting of broker price opinions
				—Management assumptions regarding market trends or other relevant factors
Other real estate owned	$	9,772	Market	—Adjustments to external or internal appraised values (1)
				—Probability weighting of broker price opinions
				—Management assumptions regarding market trends or other relevant factors
Private equity and alternative investments	$	6,178	Cost Recovery	—Management's assumptions regarding recoverability of investment based on fund financial performance, market conditions and other relevant factors

(1)

Appraised values may be adjusted to reflect changes in market conditions that have occurred subsequent to the appraisal date, or for revised estimates regarding the timing or cost of the property sale. These adjustments are based on qualitative judgments made by management on a case-by-case basis.

Schedule of total (losses) gains for assets measured at fair value on a nonrecurring basis

	For the year ended December 31,
(in thousands)	2012			2011
Collateral dependent impaired loans:
Commercial	$	(368	)	$	(394	)
Commercial real estate mortgages		(1,143	)		5,673
Residential mortgages		(975	)		(484	)
Real estate construction		(5,137	)		(13,001	)
Equity lines of credit		(25	)		(705	)
Installment		(208	)		(4,596	)
Collaterial dependent impaired covered loans:
Commercial		—			(325	)
Other real estate owned (1)		(20,695	)		(41,531	)
Private equity and alternative investments		(3,296	)		(1,183	)
Total net losses recognized	$	(31,847	)	$	(56,546	)

(1)

Net losses on OREO include $17.7 million and $38.5 million of net losses related to covered OREO for the years ended December 31, 2012 and December 31, 2011, respectively, a significant portion of which is reimbursable by the FDIC.

Schedule of carrying amounts and fair values of financial instruments

	December 31, 2012
					Fair Value Measurements Using
	Carrying Amount		Total Fair Value
(in millions)					Level 1		Level 2		Level 3
Financial Assets:
Cash and due from banks	$	152.0	$	152.0	$	152.0	$	—	$	—
Due from banks—interest bearing		246.3		246.3		246.3		—		—
Federal funds sold		17.1		17.1		17.1		—		—
Securities held-to-maturity		1,398.4		1,446.6		—		1,446.6		—
Loans and leases, net of allowance		14,540.4		14,988.6		—		4.5		14,984.1
Covered loans, net of allowance		986.2		1,055.0		—		—		1,055.0
FDIC indemnification asset		150.0		123.9		—		—		123.9
Investment in FHLB and FRB stock		90.0		90.0		—		90.0		—
Financial Liabilities:
Deposits	$	23,502.4	$	23,506.9	$	—	$	22,734.5	$	772.4
Federal funds purchased and securities sold under repurchase agreements		1,214.2		1,214.2		1,214.2		—		—
Other short-term borrowings		209.6		210.7				207.6		3.1
Long-term debt		706.1		774.8		—		698.9		75.9

	December 31, 2011
					Fair Value Measurements Using
	Carrying Amount		Total Fair Value
(in millions)					Level 1		Level 2		Level 3
Financial Assets:
Cash and due from banks	$	168.4	$	168.4	$	168.4	$	—	$	—
Due from banks—interest bearing		76.4		76.4		76.4		—		—
Securities held-to-maturity		467.7		473.9		—		473.9		—
Loans and leases, net of allowance		12,046.8		12,400.5		—		24.9		12,375.6
Covered loans, net of allowance		1,417.3		1,472.6		—		—		1,472.6
FDIC indemnification asset		204.3		184.3		—		—		184.3
Investment in FHLB and FRB stock		107.4		107.4		—		107.4		—
Financial Liabilities:
Deposits	$	20,387.6	$	20,392.3	$	—	$	19,476.2	$	916.1
Federal funds purchased and securities sold under repurchase agreements		50.0		50.0		50.0		—		—
Long-term debt		697.8		718.7		—		718.7		—