Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 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 June 30, 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	$	17,208	$	17,208	$	—	$	—
Federal agency - Debt	999,207		—		999,207		—
Federal agency - MBS	691,672		—		691,672		—
CMOs - Federal agency	4,477,264		—		4,477,264		—
CMOs - Non-agency	65,466		—		65,466		—
State and municipal	383,650		—		336,483		47,167
Other debt securities	229,908		—		210,724		19,184
Equity securities and mutual funds	1,506		1,506		—		—
Trading securities	62,585		55,034		7,551		—
Mark-to-market derivatives (1)	66,659		3,177		63,482		—
Total assets at fair value	$	6,995,125	$	76,925	$	6,851,849	$	66,351
Liabilities
Mark-to-market derivatives (2)	$	61,400	$	1,690	$	59,710	$	—
Other liabilities	417		—		417		—
Total liabilities at fair value	$	61,817	$	1,690	$	60,127	$	—
Measured on a Nonrecurring Basis
Assets
Collateral dependent impaired loans (3):
Commercial (4)	$	1,671	$	—	$	—	$	1,671
Commercial real estate mortgages	13,238		—		12,565		673
Residential mortgages	7,899		—		7,435		464
Real estate construction	7,499		—		—		7,499
Equity lines of credit	790		—		—		790
Installment	550		—		550		—
Other real estate owned (5)	48,550		—		37,865		10,685
Private equity and alternative investments	3,455		—		—		3,455
Total assets at fair value	$	83,652	$	—	$	58,415	$	25,237

(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)Other real estate owned balance of $117.5 million in the consolidated balance sheets includes $82.8 million of covered OREO and is net of estimated disposal costs.

			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		2,552		59,678		—
Total assets at fair value	$	7,696,106	$	84,883	$	7,591,640	$	19,583
Liabilities
Mark-to-market derivatives (2)	$	52,881	$	1,542	$	51,339	$	—
Other liabilities	263		—		263		—
Total liabilities at fair value	$	53,144	$	1,542	$	51,602	$	—
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)Other real estate owned balance of $129.3 million in the consolidated balance sheets includes $98.6 million of covered OREO and is net of estimated disposal costs.

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

	For the six months ended
	June 30, 2012			June 30, 2011
(in thousands)	Securities Available-for-Sale			Securities Available-for-Sale
Balance, beginning of period	$	19,583		$	20,982
Total realized/unrealized gains (losses):
Included in other comprehensive income	1,221			1,585
Settlements	(1,664		)	(1,728		)
Transfers into Level 3	47,165			—
Other (1)	46			(33		)
Balance, end of period	$	66,351		$	20,806

(1)Other rollforward activity consists of amortization of premiums and accretion of discounts recognized on the initial purchase of the securities available-for-sale.

Information About Nonrecurring Level 3 Fair Value Measurements

(in thousands)	Fair Value at June 30, 2012		Valuation Method	Unobservable Inputs
Collateral dependent impaired loans	$	11,097	Market	- Adjustments to external or internal appraised values - Probability weighting of broker price opinions - Management assumptions regarding market trends or other relevant factors
Other real estate owned	$	10,685	Market	- Adjustments to external or internal appraised values - Probability weighting of broker price opinions - Management assumptions regarding market trends or other relevant factors
Private equity and alternative investments	$	3,455	Cost Recovery	- Management’s assumptions regarding recoverability of investment based on fund financial performance, market conditions and other relevant factors

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

	For the three months ended June 30,						For the six months ended June 30,
(in thousands)	2012			2011			2012			2011
Collateral dependent impaired loans:
Commercial	$	—		$	—		$	(367	)	$	(606	)
Commercial real estate mortgages	(1,572		)	340			(1,937		)	7,454
Residential mortgages	(540		)	(47		)	(1,122		)	(189		)
Real estate construction	(281		)	(3,417		)	(6,753		)	(1,199		)
Equity lines of credit	(115		)	(546		)	(62		)	(510		)
Installment	—			197			(107		)	(4,317		)
Other real estate owned (1)	(3,700		)	(16,869		)	(12,165		)	(25,991		)
Private equity and alternative investments	(333		)	(200		)	(460		)	(200		)
Total net losses recognized	$	(6,541	)	$	(20,542	)	$	(22,973	)	$	(25,558	)

(1)Net losses on OREO includes $3.5 million and $11.0 million of net losses related to covered OREO for the three and six months ended June 30, 2012, respectively, and $14.6 million and $22.8 million of net losses for the three and six months ended June 30, 2011, respectively. A significant portion of net losses on covered OREO is reimbursable by the FDIC.

Schedule of carrying amounts and fair values of financial instruments

		June 30, 2012				December 31, 2011
	Fair Value	Carrying		Fair		Carrying		Fair
(in millions)	Level	Amount		Value		Amount		Value
Financial Assets:
Cash and due from banks	1	$	162.9	$	162.9	$	168.4	$	168.4
Due from banks - interest bearing	1	106.1		106.1		76.4		76.4
Federal funds sold	1	162.0		162.0		—		—
Securities available-for-sale	1, 2, 3	6,865.9		6,865.9		7,571.9		7,571.9
Securities held-to-maturity	2	1,100.2		1,127.1		467.7		473.9
Trading securities	1, 2	62.6		62.6		62.0		62.0
Loans and leases, net of allowance	3	13,237.7		13,694.6		12,046.8		12,400.5
Covered loans, net of allowance	3	1,217.0		1,282.2		1,417.3		1,472.6
FDIC indemnification asset	3	170.7		149.4		204.3		184.3
Investment in FHLB and FRB stock	2	99.7		99.7		107.4		107.4
Derivative assets	1, 2	66.7		66.7		62.2		62.2
Financial Liabilities:
Deposits	2, 3	$	21,109.1	$	21,112.9	$	20,387.6	$	20,392.3
Federal funds purchased and securities sold under repurchase agreements	1	110.0		110.0		50.0		50.0
Other short-term borrowings	2, 3	212.1		216.0		—		—
Long-term debt	2, 3	712.3		758.2		697.8		718.7
Derivative liabilities	1, 2	61.4		61.4		52.9		52.9
FDIC clawback liability	3	9.2		9.2		8.1		8.1