Fair Value (Tables)

3 Months Ended

Mar. 31, 2013

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 March 31, 2013 and December 31, 2012, segregated by the level of valuation inputs within the fair value hierarchy utilized to measure fair value ($ in thousands). There were no transfers between fair value levels for the three months ended March 31, 2013 and the year ended December 31, 2012.

	March 31, 2013
	Total		Level 1			Level 2		Level 3
U.S. Treasury securities	$	506	$	-		$	506	$	-
U.S. Government agency obligations		327,519		-			327,519		-
Obligations of states and political subdivisions		218,467		-			218,467		-
Mortgage-backed securities		2,760,089		-			2,760,089		-
Asset-backed securities		239,502		-			239,502		-
Securities available for sale		3,546,083		-			3,546,083		-
Loans held for sale		207,758		-			207,758		-
Mortgage servicing rights		51,529		-			-		51,529
Other assets - derivatives		7,223		459			4,827		1,937
Other liabilities - derivatives		6,242		518			5,724		-
	December 31, 2012
	Total		Level 1			Level 2		Level 3
U.S. Government agency obligations	$	105,745	$	-		$	105,745	$	-
Obligations of states and political subdivisions		215,761		-			215,761		-
Mortgage-backed securities		2,094,612		-			2,094,612		-
Asset-backed securities		241,627		-			241,627		-
Securities available for sale		2,657,745		-			2,657,745		-
Loans held for sale		257,986		-			257,986		-
Mortgage servicing rights		47,341		-			-		47,341
Other assets - derivatives		7,107		(440	)		5,263		2,284
Other liabilities - derivatives		6,612		545			6,067		-

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 March 31, 2013 and 2012 are summarized as follows ($ in thousands):

	MSR			Other Assets - Derivatives
Balance, January 1, 2013	$	47,341		$	2,284
Total net (losses) gains included in net income (1)		(1,333	)		2,816
Additions		5,521			-
Sales		-			(3,163	)
Balance, March 31, 2013	$	51,529		$	1,937
The amount of total gains for the period included in earnings that are attributable to the change in unrealized gains or losses still held at March 31, 2013	$	1,127		$	427
Balance, January 1, 2012	$	43,274		$	702
Total net (losses) gains included in net income (1)		(1,858	)		1,118
Additions		4,477			-
Sales		-			(1,318	)
Balance, March 31, 2012	$	45,893		$	502
The amount of total gains (losses) for the period included in earnings that are attributable to the change in unrealized gains or losses still held at March 31, 2012	$	248		$	(130	)

(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 March 31, 2013 and December 31, 2012, are as follows ($ in thousands):

	March 31, 2013				December 31, 2012
	Carrying		Estimated		Carrying		Estimated
	Value		Fair Value		Value		Fair Value
Financial Assets:
Level 2 Inputs:
Cash and short-term investments	$	248,822	$	248,822	$	238,535	$	238,535
Securities held to maturity		73,666		78,096		42,188		46,888
Level 3 Inputs:
Net LHFI		5,397,496		5,496,683		5,514,016		5,619,933
Net acquired loans		1,044,258		1,044,258		127,489		127,489
FDIC indemnification asset		20,198		20,198		21,774		21,774
Financial Liabilities:
Level 2 Inputs:
Deposits		9,909,431		9,918,637		7,896,517		7,904,179
Short-term liabilities		266,094		266,094		375,749		375,749
Long-term FHLB advances		10,969		10,969		-		-
Subordinated notes		49,879		54,195		49,871		53,980
Junior subordinated debt securities		94,856		75,465		61,856		40,206