Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2013

Financial Assets and Financial Liabilities Measured at Fair Value on a 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 the valuation inputs within the fair value hierarchy utilized to measure fair value:

	Level 1 Inputs		Level 2 Inputs		Level 3 Inputs		Total Fair Value
March 31, 2013
Securities available for sale:
U.S. Treasury	$	3,055,909	$	—	$	—	$	3,055,909
Residential mortgage-backed securities		—		2,305,815		—		2,305,815
States and political subdivisions		—		459,902		—		459,902
Other		—		35,899		—		35,899
Trading account securities:
U.S. Treasury		14,013		—		—		14,013
States and political subdivisions		—		8,651		—		8,651
Derivative assets:
Interest rate swaps, caps and floors		—		54,251		323		54,574
Commodity swaps and options		—		6,758		—		6,758
Foreign currency forward contracts		261		—		—		261
Derivative liabilities:
Interest rate swaps, caps and floors		—		64,464		—		64,464
Commodity swaps and options		—		6,527		—		6,527
Foreign currency forward contracts		207		—		—		207

	Level 1 Inputs		Level 2 Inputs		Level 3 Inputs		Total Fair Value
December 31, 2012
Securities available for sale:
U.S. Treasury	$	3,057,921	$	—	$	—	$	3,057,921
Residential mortgage-backed securities		—		2,518,003		—		2,518,003
States and political subdivisions		—		591,483		—		591,483
Other		—		35,892		—		35,892
Trading account securities:
U.S. Treasury		14,038		—		—		14,038
States and political subdivisions		—		16,036		—		16,036
Derivative assets:
Interest rate swaps, caps and floors		—		60,535		355		60,890
Commodity swaps and options		—		3,867		—		3,867
Foreign currency forward contracts		3		—		—		3
Derivative liabilities:
Interest rate swaps, caps and floors		—		72,557		—		72,557
Commodity swaps and options		—		3,772		—		3,772

Beginning and Ending Balances of Derivative Assets Measured at Fair Value on a Recurring Basis

The following table reconciles the beginning and ending balances of derivative assets, which consist of interest rate swaps sold to loan customers, measured at fair value on a recurring basis using significant unobservable (Level 3) inputs during the reported periods:

	Three Months Ended March 31,
	2013			2012
Balance, beginning of period	$	355		$	689
Cash settlements		(46	)		(97	)
Realized gains (losses) included in other non-interest income		(4	)		(22	)
Realized gains (losses) included in other non-interest expense		18			40
Balance, end of period	$	323		$	610

Impaired Loans Remeasured and Reported at Fair Value of Underlying Collateral

The following table presents impaired loans that were remeasured and reported at fair value through a specific valuation allowance allocation of the allowance for loan losses based upon the fair value of the underlying collateral during the reported periods.

	Three Months Ended March 31, 2013						Three Months Ended March 31, 2012
	Level 2			Level 3			Level 2			Level 3
Carrying value of impaired loans before allocations	$	893		$	970		$	10,943		$	—
Specific valuation allowance allocations		(330	)		(970	)		(2,497	)		—
Fair value	$	563		$	—		$	8,446		$	—

Foreclosed Assets Remeasured and Reported at Fair Value

The following table presents foreclosed assets that were remeasured and reported at fair value during the reported periods:

	Three Months Ended March 31,
	2013			2012
Foreclosed assets remeasured at initial recognition:
Carrying value of foreclosed assets prior to remeasurement	$	415		$	1,386
Charge-offs recognized in the allowance for loan losses		(141	)		(315	)
Fair value	$	274		$	1,071
Foreclosed assets remeasured subsequent to initial recognition:
Carrying value of foreclosed assets prior to remeasurement	$	3,600		$	372
Write-downs included in other non-interest expense		(565	)		(75	)
Fair value	$	3,035		$	297

Estimated Fair Values of Financial Instruments

The estimated fair values of financial instruments that are reported at amortized cost in the Corporation’s consolidated balance sheets, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value, were as follows:

	March 31, 2013				December 31, 2012
	Carrying Amount		Estimated Fair Value		Carrying Amount		Estimated Fair Value
Financial assets:
Level 2 inputs:
Cash and cash equivalents	$	3,218,460	$	3,218,460	$	3,524,979	$	3,524,979
Securities held to maturity		3,068,008		3,079,426		2,956,381		2,996,944
Cash surrender value of life insurance policies		138,898		138,898		138,005		138,005
Accrued interest receivable		66,779		66,779		82,529		82,529
Level 3 inputs:
Loans, net		9,068,762		9,157,877		9,119,395		9,212,159
Financial liabilities:
Level 2 inputs:
Deposits		19,043,904		19,044,847		19,497,366		19,498,518
Federal funds purchased and repurchase agreements		510,102		510,102		561,061		561,061
Junior subordinated deferrable interest debentures		123,712		123,712		123,712		123,712
Subordinated notes payable and other borrowings		100,002		90,706		100,007		89,596
Accrued interest payable		1,697		1,697		1,804		1,804