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Acquired Loans (Tables)
 3 Months Ended
Mar. 31, 2013
Acquired Loans Disclosure [Abstract]  
Schedule of covered and noncovered acquired loans by type
For the periods presented, acquired loans consisted of the following ($ in thousands):

   
March 31, 2013
  
December 31, 2012
 
   
Covered
  
Noncovered
  
Covered
  
Noncovered
 
Loans secured by real estate:
            
Construction, land development and other land loans
 $3,875  $138,442  $3,924  $10,056 
Secured by 1-4 family residential properties
  20,980   209,658   23,990   19,404 
Secured by nonfarm, nonresidential properties
  17,355   339,953   18,407   45,649 
Other
  3,365   32,208   3,567   669 
Commercial and industrial loans
  648   235,286   747   3,035 
Consumer loans
  179   32,694   177   2,610 
Other loans
  1,187   14,886   1,229   100 
Acquired loans
  47,589   1,003,127   52,041   81,523 
Less allowance for loan losses, acquired loans
  4,497   1,961   4,190   1,885 
Net acquired loans
 $43,092  $1,001,166  $47,851  $79,638 
Fair value of acquired loans
The following table presents the fair value of loans acquired as of the date of the BancTrust acquisition ($ in thousands):
 
At acquisition date:
 
February 15, 2013
 
Contractually required principal and interest
 $1,228,684 
Nonaccretable difference
  180,638 
Cash flows expected to be collected
  1,048,046 
Accretable yield
  86,221 
FAS 91 discount
  10,814 
Fair value of loans at acquisition
 $951,011 
 
Changes in the carrying value of acquired loans
The following tables present changes in the carrying value of the acquired loans for the periods presented ($ in thousands):
 
   
Covered
  
Noncovered
 
   
Acquired
  
Acquired
  
Acquired
  
Acquired
 
   
Impaired
  
Not ASC 310-30 (1)
  
Impaired
  
Not ASC 310-310 (1)
 
Carrying value, net at January 1, 2012
 $72,131  $4,171  $4,350  $13 
Loans acquired (2)
  -   -   91,987   5,927 
Accretion to interest income
  8,031   367   4,138   161 
Payments received, net
  (27,496)  (2,107)  (24,330)  868 
Other
  (3,085)  29   (1,318)  (273)
Less allowance for loan losses, acquired loans
  (4,190)  -   (1,885)  - 
Carrying value, net at December 31, 2012
  45,391   2,460   72,942   6,696 
Loans acquired (3)
  -   -   796,172   154,839 
Accretion to interest income (4)
  1,516   156   6,301   453 
Payments received, net
  (5,801)  (370)  (33,477)  (1,700)
Other
  76   (29)  (1,024)  40 
Less allowance for loan losses, acquired loans
  (307)  -   (76)  - 
Carrying value, net at March 31, 2013
 $40,875  $2,217  $840,838  $160,328 

(1) Acquired nonimpaired loans consist of revolving credit agreements and commercial leases that are not in scope for FASB ASC Topic 310-30.
(2) Fair value of loans acquired from Bay Bank on March 16, 2012.
(3) Fair value of loans acquired from BancTrust on February 15, 2013.
(4) Accretion to interest income for BancTrust since acquisition at February 15, 2013 is considered immaterial.
 
Changes in accretable yield of acquired loans
The following table presents changes in the accretable yield for the three months ended March 31, 2013 ($ in thousands):

Accretable yield at January 1, 2013
 $(26,383)
Additions due to acquisition (1)
  (86,221)
Accretion to interest income (2)
  7,816 
Disposals
  1,575 
Reclassification to / (from) nonaccretable difference
  (2,556)
Accretable yield at March 31, 2013
 $(105,769)

(1) Accretable yield on loans acquired from BancTrust on February 15, 2013.
(2) Accretion to interest income for BancTrust since acquisition at February 15, 2013 is considered immaterial.
Components of the allowance for loan losses on acquired impaired loans
The following table presents the components of the allowance for loan losses on acquired loans for the three months ended March 31, 2013 and 2012 ($ in thousands):
 
   
Covered
  
Noncovered
  
Total
 
Balance at January 1, 2013
 $4,190  $1,885  $6,075 
Provision for loan losses, acquired loans
  (564)  694   130 
Loans charged-off
  862   (642)  220 
Recoveries
  9   24   33 
Net charge-offs
  871   (618)  253 
Balance at March 31, 2013
 $4,497  $1,961  $6,458 

   
Covered
  
Noncovered
  
Total
 
Balance at January 1, 2012
 $502  $-  $502 
Provision for loan losses, acquired loans
  (248)  54   (194)
Loans charged-off
  89   (26)  63 
Recoveries
  393   9   402 
Net charge-offs
  482   (17)  465 
Balance at March 31, 2012
 $736  $37  $773 
Carrying amount of acquired loans by credit quality indicator
The tables below illustrate the carrying amount of acquired loans by credit quality indicator at March 31, 2013 and December 31, 2012 ($ in thousands):

      
March 31, 2013
 
      
Commercial Loans
 
      
Pass -
  
Special Mention -
  
Substandard -
  
Doubtful -
    
      
Categories 1-6
  
Category 7
  
Category 8
  
Category 9
  
Subtotal
 
Covered Loans: (1)
                  
Loans secured by real estate:
                  
Construction, land development and other land loans
    $1,518  $18  $1,416  $743  $3,695 
Secured by 1-4 family residential properties
     1,734   715   2,829   20   5,298 
Secured by nonfarm, nonresidential properties
     6,651   122   9,040   691   16,504 
Other
     985   173   777   1   1,936 
Commercial and industrial loans
     395   72   181   -   648 
Consumer loans
     -   -   -   -   - 
Other loans
     244   1   367   575   1,187 
Total covered loans
     11,527   1,101   14,610   2,030   29,268 
                         
Noncovered loans:
                       
Loans secured by real estate:
                       
Construction, land development and other land loans
     35,605   10,435   68,231   10,392   124,663 
Secured by 1-4 family residential properties
     29,548   21,509   25,569   614   77,240 
Secured by nonfarm, nonresidential properties
     217,009   29,462   85,961   7,434   339,866 
Other
     19,993   7,236   4,979   -   32,208 
Commercial and industrial loans
     175,965   17,861   37,230   4,230   235,286 
Consumer loans
     -   -   -   -   - 
Other loans
     12,592   2,119   91   -   14,802 
Total noncovered loans
     490,712   88,622   222,061   22,670   824,065 
Total acquired loans
    $502,239  $89,723  $236,671  $24,700  $853,333 
                         
   
Consumer Loans
     
      
Past Due
  
Past Due
          
Total
 
   
Current
  
30-89 Days
  
90 Days or More
  
Nonaccrual
  
Subtotal
  
Acquired Loans
 
Covered Loans: (1)
                       
Loans secured by real estate:
                       
Construction, land development and other land loans
 $180  $-  $-  $-  $180  $3,875 
Secured by 1-4 family residential properties
  12,989   1,453   1,202   38   15,682   20,980 
Secured by nonfarm, nonresidential properties
  682   -   169   -   851   17,355 
Other
  1,324   101   -   4   1,429   3,365 
Commercial and industrial loans
  -   -   -   -   -   648 
Consumer loans
  179   -   -   -   179   179 
Other loans
  -   -   -   -   -   1,187 
Total covered loans
  15,354   1,554   1,371   42   18,321   47,589 
                          
Noncovered loans:
                        
Loans secured by real estate:
                        
Construction, land development and other land loans
  12,532   355   892   -   13,779   138,442 
Secured by 1-4 family residential properties
  122,141   6,093   3,647   537   132,418   209,658 
Secured by nonfarm, nonresidential properties
  87   -   -   -   87   339,953 
Other
  -   -   -   -   -   32,208 
Commercial and industrial loans
  -   -   -   -   -   235,286 
Consumer loans
  31,208   1,042   444   -   32,694   32,694 
Other loans
  80   4   -   -   84   14,886 
Total noncovered loans
  166,048   7,494   4,983   537   179,062   1,003,127 
Total acquired loans
 $181,402  $9,048  $6,354  $579  $197,383  $1,050,716 

(1)
Total dollar balances are presented in this table; however, these loans are covered by the loss-share agreement with the FDIC.
TNB is at risk for only 20% of the losses incurred on these loans.
 
      
December 31, 2012
 
      
Commercial Loans
 
      
Pass -
  
Special Mention -
  
Substandard -
  
Doubtful -
    
      
Categories 1-6
  
Category 7
  
Category 8
  
Category 9
  
Subtotal
 
Covered Loans: (1)
                  
Loans secured by real estate:
                  
Construction, land development and other land loans
    $1,341  $18  $1,489  $744  $3,592 
Secured by 1-4 family residential properties
     3,128   810   2,940   85   6,963 
Secured by nonfarm, nonresidential properties
     5,857   1,052   9,839   798   17,546 
Other
     443   318   1,231   -   1,992 
Commercial and industrial loans
     82   458   207   -   747 
Consumer loans
     -   -   -   -   - 
Other loans
     245   -   345   535   1,125 
Total covered loans
     11,096   2,656   16,051   2,162   31,965 
                         
Noncovered loans:
                       
Loans secured by real estate:
                       
Construction, land development and other land loans
     3,259   119   4,915   921   9,214 
Secured by 1-4 family residential properties
     7,325   -   3,708   23   11,056 
Secured by nonfarm, nonresidential properties
     22,453   3,596   18,682   831   45,562 
Other
     236   -   417   -   653 
Commercial and industrial loans
     2,853   89   93   -   3,035 
Consumer loans
     -   -   -   -   - 
Other loans
     86   -   -   -   86 
Total noncovered loans
     36,212   3,804   27,815   1,775   69,606 
Total acquired loans
    $47,308  $6,460  $43,866  $3,937  $101,571 
                         
   
Consumer Loans
     
      
Past Due
  
Past Due
          
Total
 
   
Current
  
30-89 Days
  
90 Days or More
  
Nonaccrual
  
Subtotal
  
Acquired Loans
 
Covered Loans: (1)
                       
Loans secured by real estate:
                       
Construction, land development and other land loans
 $306  $26  $-  $-  $332  $3,924 
Secured by 1-4 family residential properties
  14,311   1,028   1,650   38   17,027   23,990 
Secured by nonfarm, nonresidential properties
  692   169   -   -   861   18,407 
Other
  1,468   48   52   7   1,575   3,567 
Commercial and industrial loans
  -   -   -   -   -   747 
Consumer loans
  177   -   -   -   177   177 
Other loans
  104   -   -   -   104   1,229 
Total covered loans
  17,058   1,271   1,702   45   20,076   52,041 
                          
Noncovered loans:
                        
Loans secured by real estate:
                        
Construction, land development and other land loans
  802   -   40   -   842   10,056 
Secured by 1-4 family residential properties
  7,715   357   215   61   8,348   19,404 
Secured by nonfarm, nonresidential properties
  87   -   -   -   87   45,649 
Other
  16   -   -   -   16   669 
Commercial and industrial loans
  -   -   -   -   -   3,035 
Consumer loans
  2,394   164   52   -   2,610   2,610 
Other loans
  14   -   -   -   14   100 
Total noncovered loans
  11,028   521   307   61   11,917   81,523 
Total acquired loans
 $28,086  $1,792  $2,009  $106  $31,993  $133,564 

(1)
Total dollar balances are presented in this table; however, these loans are covered by the loss-share agreement with the FDIC.
TNB is at risk for only 20% of the losses incurred on these loans.
Aging analysis of past due and nonaccrual acquired loans, by class
The following table provides an aging analysis of contractually past due and nonaccrual acquired loans, by class at March 31, 2013 and December 31, 2012 ($ in thousands):
 
   
March 31, 2013
 
   
Past Due
          
      
90 Days
        
Current
  
Total Acquired
 
   
30-89 Days
  
or More (1)
  
Total
  
Nonaccrual (2)
  
Loans
  
Loans
 
Covered loans:
                  
Loans secured by real estate:
                  
Construction, land development and other land loans
 $1,315  $250  $1,565  $445  $1,865  $3,875 
Secured by 1-4 family residential properties
  2,043   1,344   3,387   176   17,417   20,980 
Secured by nonfarm, nonresidential properties
  3,817   592   4,409   -   12,946   17,355 
Other
  121   -   121   6   3,238   3,365 
Commercial and industrial loans
  90   64   154   48   446   648 
Consumer loans
  -   -   -   -   179   179 
Other loans
  367   -   367   -   820   1,187 
Total covered loans
  7,753   2,250   10,003   675   36,911   47,589 
                          
Noncovered loans:
                        
Loans secured by real estate:
                        
Construction, land development and other land loans
  5,376   44,209   49,585   475   88,382   138,442 
Secured by 1-4 family residential properties
  8,063   12,396   20,459   537   188,662   209,658 
Secured by nonfarm, nonresidential properties
  13,737   12,733   26,470   435   313,048   339,953 
Other
  1,358   965   2,323   26   29,859   32,208 
Commercial and industrial loans
  2,156   2,722   4,878   763   229,645   235,286 
Consumer loans
  1,042   444   1,486   -   31,208   32,694 
Other loans
  193   -   193   -   14,693   14,886 
Total noncovered loans
  31,925   73,469   105,394   2,236   895,497   1,003,127 
Total acquired loans
 $39,678  $75,719  $115,397  $2,911  $932,408  $1,050,716 

(1) - Past due 90 days or more but still accruing interest.
(2) - Acquired loans not accounted for under FASB ASC Topic 310-30.

   
December 31, 2012
 
   
Past Due
          
      
90 Days
        
Current
  
Total Acquired
 
   
30-89 Days
  
or More (1)
  
Total
  
Nonaccrual (2)
  
Loans
  
Loans
 
Covered loans:
                  
Loans secured by real estate:
                  
Construction, land development and other land loans
 $240  $246  $486  $445  $2,993  $3,924 
Secured by 1-4 family residential properties
  1,705   1,883   3,588   234   20,168   23,990 
Secured by nonfarm, nonresidential properties
  3,953   1,539   5,492   -   12,915   18,407 
Other
  221   52   273   9   3,285   3,567 
Commercial and industrial loans
  94   4   98   39   610   747 
Consumer loans
  -   -   -   -   177   177 
Other loans
  -   -   -   -   1,229   1,229 
Total covered loans
  6,213   3,724   9,937   727   41,377   52,041 
                          
Noncovered loans:
                        
Loans secured by real estate:
                        
Construction, land development and other land loans
  -   3,622   3,622   -   6,434   10,056 
Secured by 1-4 family residential properties
  458   1,392   1,850   243   17,311   19,404 
Secured by nonfarm, nonresidential properties
  3,526   1,217   4,743   133   40,773   45,649 
Other
  30   44   74   -   595   669 
Commercial and industrial loans
  217   23   240   -   2,795   3,035 
Consumer loans
  164   52   216   -   2,394   2,610 
Other loans
  -   -   -   -   100   100 
Total noncovered loans
  4,395   6,350   10,745   376   70,402   81,523 
Total acquired loans
 $10,608  $10,074  $20,682  $1,103  $111,779  $133,564 

(1) - Past due 90 days or more but still accruing interest.
(2) - Acquired loans not accounted for under FASB ASC Topic 310-30.