Fair Value (Tables)

6 Months Ended

Jun. 30, 2012

Fair Value [Abstract]

Financial assets and liabilities measured at fair value -recurring basis

The following table summarizes financial assets and financial liabilities measured at fair value on a recurring basis as of June 30, 2012 and December 31, 2011, segregated by the level of valuation inputs within the fair value hierarchy utilized to measure fair value ($ in thousands).  There were no transfers between levels for the six months ended June 30, 2012 and the year ended December 31, 2011.

	June 30, 2012
	Total		Level 1		Level 2		Level 3
U.S. Government agency obligations	$	72,945	$	-	$	72,945	$	-
Obligations of states and political subdivisions		213,826		-		213,826		-
Mortgage-backed securities		2,211,064		-		2,211,064		-
Asset-backed securities		91,293		-		91,293		-
Corporate debt securities		3,679		-		3,679		-
Securities available for sale		2,592,807		-		2,592,807		-
Loans held for sale		286,221		-		286,221		-
Mortgage servicing rights		43,580		-		-		43,580
Other assets - derivatives		6,973		399		4,239		2,335
Other liabilities - derivatives		8,488		791		7,697		-
	December 31, 2011
	Total		Level 1		Level 2		Level 3
U.S. Government agency obligations	$	64,805	$	-	$	64,805	$	-
Obligations of states and political subdivisions		202,827		-		202,827		-
Mortgage-backed securities		2,201,361		-		2,201,361		-
Securities available for sale		2,468,993		-		2,468,993		-
Loans held for sale		216,553		-		216,553		-
Mortgage servicing rights		43,274		-		-		43,274
Other assets - derivatives		3,521		1,130		1,689		702
Other liabilities - derivatives		4,680		694		3,986		-

Changes in level 3 assets measured at fair value on a recurring basis

The changes in Level 3 assets measured at fair value on a recurring basis for the periods ended June 30, 2012 and 2011 are summarized as follows ($ in thousands):

	MSR			Other Assets - Derivatives
Balance, January 1, 2012	$	43,274		$	702
Total net (losses) gains included in net income (1)		(10,104	)		4,889
Additions		10,410			-
Sales		-			(2,692	)
Balance, June 30, 2012	$	43,580		$	2,899
The amount of total (losses) gains for the period included in earnings that are attributable to the change in unrealized gains or losses still held at June 30, 2012	$	(5,678	)	$	784
Balance, January 1, 2011	$	51,151		$	337
Total net (losses) gains included in net income (1)		(7,420	)		1,060
Additions		6,380			-
Sales		-			(1,553	)
Balance, June 30, 2011	$	50,111		$	(156	)
The amount of total losses for the period included in earnings that are attributable to the change in unrealized gains or losses still held at June 30, 2011	$	(4,674	)	$	(521	)

(1) Total net (losses) gains included in net income relating to MSR includes changes in fair value due to market changes and due to runoff.

Carrying amounts and estimated fair values of financial instruments

The carrying amounts and estimated fair values of financial instruments at June 30, 2012 and December 31, 2011, are as follows ($ in thousands):

	June 30, 2012				December 31, 2011
	Carrying		Estimated		Carrying		Estimated
	Value		Fair Value		Value		Fair Value
Financial Assets:
Level 2 Inputs:
Cash and short-term investments	$	291,460	$	291,460	$	211,883	$	211,883
Securities held to maturity		47,867		52,669		57,705		62,515
Level 3 Inputs:
Net LHFI, excluding acquired loans		5,565,739		5,658,532		5,767,966		5,848,791
Net acquired loans		158,502		158,502		76,302		76,302
FDIC indemnification asset		25,309		25,309		28,348		28,348
Financial Liabilities:
Level 2 Inputs:
Deposits		7,995,857		8,004,254		7,566,363		7,575,064
Short-term liabilities		376,263		376,263		692,128		692,128
Subordinated notes		49,855		52,605		49,839		51,438
Junior subordinated debt securities		61,856		37,114		61,856		35,876