Shareholders' Equity

6 Months Ended

Jun. 30, 2013

Shareholders' Equity

Shareholders' Equity

Note 9. Shareholders’ Equity

On November 13, 2012, the Corporation issued 7,000,000 depositary shares, each representing a 1/40th interest in a share of 5.50% Series C non-cumulative perpetual preferred stock with a liquidation preference of $1,000 per share (equivalent to $25.00 per depositary share). Net proceeds, after issuance cost, were approximately $169.9 million. Dividends on the preferred stock are payable quarterly, in arrears, if declared by the Corporation’s Board of Directors. The preferred stock has no maturity date and may be redeemed in whole or in part at the option of the Corporation on any dividend payment date after five years from the date of issuance.

The components of AOCI at June 30, 2013 and December 31, 2012 are as follows:

	June 30,		December 31,
(in thousands)	2013		2012
Net unrealized gain on securities available-for-sale	$	6,585	$	86,526
Net unrealized gain on cash flow hedges	—		56
Total accumulated other comprehensive income	$	6,585	$	86,582

The following table presents the tax effects allocated to each component of other comprehensive income for the three and six month periods ended June 30, 2013 and 2012:

	For the three months ended June 30, 2013									For the three months ended June 30, 2012
(in thousands)	Pre-tax			Tax expense (benefit)			Net-of-tax			Pre-tax			Tax expense (benefit)			Net-of-tax
Securities available-for-sale:
Net unrealized (losses) gains arising during the period	$	(111,213	)	$	(46,520	)	$	(64,693	)	$	6,559		$	2,744		$	3,815
Reclassification adjustment for net gains included in net income (1)	(4,785		)	(2,002		)	(2,783		)	(17		)	(7		)	(10		)
Non-credit related impairment loss	(240		)	(100		)	(140		)	(3,951		)	(1,652		)	(2,299		)
Total securities available-for-sale	(116,238		)	(48,622		)	(67,616		)	2,591			1,085			1,506
Net change on cash flow hedges	(21		)	—			(21		)	(41		)	—			(41		)
Total other comprehensive (loss) income	$	(116,259	)	$	(48,622	)	$	(67,637	)	$	2,550		$	1,085		$	1,465

(1) Recognized in Gain on sale of securities in the consolidated statements of income.

	For the six months ended June 30, 2013									For the six months ended June 30, 2012
(in thousands)	Pre-tax			Tax expense (benefit)			Net-of-tax			Pre-tax			Tax expense (benefit)			Net-of-tax
Securities available-for-sale:
Net unrealized (losses) gains arising during the period	$	(131,515	)	$	(55,013	)	$	(76,502	)	$	20,580		$	8,609		$	11,971
Reclassification adjustment for net gains included in net income (1)	(5,672		)	(2,373		)	(3,299		)	(411		)	(172		)	(239		)
Non-credit related impairment loss	(240		)	(100		)	(140		)	(3,951		)	(1,652		)	(2,299		)
Total securities available-for-sale	(137,427		)	(57,486		)	(79,941		)	16,218			6,785			9,433
Net change on cash flow hedges	(56		)	—			(56		)	(83		)	—			(83		)
Pension liability adjustment (2)	—			—			—			1,085			—			1,085
Total other comprehensive (loss) income	$	(137,483	)	$	(57,486	)	$	(79,997	)	$	17,220		$	6,785		$	10,435

(1) Recognized in Gain on sale of securities in the consolidated statements of income.

(2) Recognized in Salaries and employee benefits in the consolidated statements of income. See Note 15 for additional information.

The following table summarizes the Company’s share repurchases for the three months ended June 30, 2013. All repurchases relate to shares withheld or previously owned shares used to pay taxes due upon vesting of restricted stock. There were no issuer repurchases of the Corporation’s common stock as part of its repurchase plan for the three months ended June 30, 2013.

Period	Total Number of Shares (or Units) Purchased	Average Price Paid per Share (or Unit)
April 1, 2013 to April 30, 2013	359	$	55.53
May 1, 2013 to May 31, 2013	—	—
June 1, 2013 to June 30, 2013	1,128	62.05
Total share repurchases	1,487	60.47