Loans and Allowance for Credit Losses (Tables)

9 Months Ended

Sep. 30, 2011

Receivables [Abstract]

Summary of Gross Loans by Type

Loans, net of unearned income are summarized as follows:

	September 30, 2011			December 31, 2010
	(in thousands)
Real-estate – commercial mortgage	$	4,491,155		$	4,375,980
Commercial – industrial, financial and agricultural	3,690,164			3,704,384
Real-estate – home equity	1,630,880			1,641,777
Real-estate – residential mortgage	1,041,463			995,990
Real-estate – construction	648,398			801,185
Consumer	327,054			350,161
Leasing and other	59,337			61,017
Overdrafts	13,646			10,011
Loans, gross of unearned income	11,902,097			11,940,505
Unearned income	(6,442		)	(7,198		)
Loans, net of unearned income	$	11,895,655		$	11,933,307

Schedule of Allowance for Credit Losses

The following table presents the components of the allowance for credit losses:

	September 30, 2011		December 31, 2010
	(in thousands)
Allowance for loan losses	$	266,978	$	274,271
Reserve for unfunded lending commitments	1,839		1,227
Allowance for credit losses	$	268,817	$	275,498

Activity in the Allowance for Credit Losses

The following table presents the activity in the allowance for credit losses for the three and nine months ended September 30:

	Three Months Ended September 30						Nine Months Ended September 30
	2011			2010			2011			2010
	(in thousands)
Balance at beginning of period	$	268,633		$	280,377		$	275,498		$	257,553
Loans charged off	(32,897		)	(38,797		)	(119,101		)	(100,321		)
Recoveries of loans previously charged off	2,081			3,294			7,420			7,642
Net loans charged off	(30,816		)	(35,503		)	(111,681		)	(92,679		)
Provision for credit losses	31,000			40,000			105,000			120,000
Balance at end of period	$	268,817		$	284,874		$	268,817		$	284,874

The following tables present the activity in the allowance for loan losses by portfolio segment for the three and nine months ended September 30, 2011:

	Real Estate - Commercial Mortgage			Commercial - Industrial, Financial and Agricultural			Real Estate - Home Equity			Real Estate - Residential Mortgage			Real Estate - Construction			Consumer			Leasing and other and Overdrafts			Unallocated			Total
	(in thousands)
Three months ended September 30, 2011
Balance at July 1, 2011	$	73,598		$	82,613		$	9,560		$	31,912		$	30,570		$	1,755		$	1,787		$	34,888		$	266,683
Loans charged off	(5,730		)	(14,840		)	(1,158		)	(1,514		)	(8,535		)	(634		)	(486		)	—			(32,897		)
Recoveries of loans previously charged off	249			695			23			36			595			291			192			—			2,081
Net loans charged off	(5,481		)	(14,145		)	(1,135		)	(1,478		)	(7,940		)	(343		)	(294		)	—			(30,816		)
Provision for loan losses (1)	13,066			11,669			1,418			2,902			10,415			2,990			768			(12,117		)	31,111
Balance at September 30, 2011	$	81,183		$	80,137		$	9,843		$	33,336		$	33,045		$	4,402		$	2,261		$	22,771		$	266,978
Nine months ended September 30, 2011
Balance at January 1, 2011	$	40,831		$	101,436		$	6,454		$	17,425		$	58,117		$	4,669		$	3,840		$	41,499		$	274,271
Loans charged off	(22,851		)	(43,582		)	(4,276		)	(14,217		)	(29,897		)	(2,606		)	(1,672		)	—			(119,101		)
Recoveries of loans previously charged off	1,975			2,089			26			270			1,237			1,033			790			—			7,420
Net loans charged off	(20,876		)	(41,493		)	(4,250		)	(13,947		)	(28,660		)	(1,573		)	(882		)	—			(111,681		)
Provision for loan losses	38,345			33,582			3,949			21,962			28,359			4,382			247			(26,438		)	104,388
Impact of change in allowance methodology	22,883			(13,388		)	3,690			7,896			(24,771		)	(3,076		)	(944		)	7,710			—
Provision for loan losses, including impact of change in allowance methodology (1)	61,228			20,194			7,639			29,858			3,588			1,306			(697		)	(18,728		)	104,388
Balance at September 30, 2011	$	81,183		$	80,137		$	9,843		$	33,336		$	33,045		$	4,402		$	2,261		$	22,771		$	266,978

(1) Provision for loan losses is net of a $111,000 decrease and $612,000 increase in provision applied to unfunded commitments for the three and nine months ended September 30, 2011, respectively. The total provision for credit losses, comprised of allocations for both funded and unfunded loans, was $31.0 million and $105.0 million for the three and nine months ended September 30, 2011, respectively.

The following tables present loans, net of unearned income and their related allowance for loan losses, by portfolio segment, as of September 30, 2011 and December 31, 2010:

	Real Estate - Commercial Mortgage		Commercial - Industrial, Financial and Agricultural		Real Estate - Home Equity		Real Estate - Residential Mortgage		Real Estate - Construction		Consumer		Leasing and other and Overdrafts		Unallocated (1)		Total
	(in thousands)
Allowance for loan losses at September 30, 2011:
Evaluated collectively for impairment under FASB ASC Subtopic 450-20	$	47,914	$	51,510	$	9,843	$	7,142	$	20,480	$	1,773	$	2,205	$	22,771	$	163,638
Evaluated individually for impairment under FASB ASC Section 310-10-35	33,269		28,627		—		26,194		12,565		2,629		56		N/A		103,340
	$	81,183	$	80,137	$	9,843	$	33,336	$	33,045	$	4,402	$	2,261	$	22,771	$	266,978
Loans, net of unearned income at September 30, 2011:
Evaluated collectively for impairment under FASB ASC Subtopic 450-20	$	4,377,383	$	3,603,914	$	1,630,880	$	975,463	$	596,581	$	322,113	$	66,455	N/A		$	11,572,789
Evaluated individually for impairment under FASB ASC Section 310-10-35	113,772		86,250		—		66,000		51,817		4,941		86		N/A		322,866
	$	4,491,155	$	3,690,164	$	1,630,880	$	1,041,463	$	648,398	$	327,054	$	66,541	N/A		$	11,895,655
Allowance for loan losses at December 31, 2010:
Evaluated collectively for impairment under FASB ASC Subtopic 450-20	$	22,836	$	32,323	$	6,454	$	11,475	$	35,247	$	4,669	$	3,840	$	41,499	$	158,343
Evaluated individually for impairment under FASB ASC Section 310-10-35	17,995		69,113		—		5,950		22,870		—		—		N/A		115,928
	$	40,831	$	101,436	$	6,454	$	17,425	$	58,117	$	4,669	$	3,840	$	41,499	$	274,271
Loans, net of unearned income at December 31, 2010:
Evaluated collectively for impairment under FASB ASC Subtopic 450-20	$	4,217,660	$	3,469,775	$	1,641,777	$	956,260	$	660,238	$	350,161	$	63,830	N/A		$	11,359,701
Evaluated individually for impairment under FASB ASC Section 310-10-35	158,320		234,609		—		39,730		140,947		—		—		N/A		573,606
	$	4,375,980	$	3,704,384	$	1,641,777	$	995,990	$	801,185	$	350,161	$	63,830	N/A		$	11,933,307

(1) The Corporation’s unallocated allowance, which was approximately 9% and 15% as of September 30, 2011 and December 31, 2010, respectively, was reasonable and appropriate as the estimates used in the allocation process are inherently imprecise.

N/A – Not applicable.

Total Impaired Loans by Class Segment

The following table presents total impaired loans by class segment:

							Three Months Ended				Nine Months Ended
	September 30, 2011						September 30, 2011				September 30, 2011				December 31, 2010
	Unpaid Principal Balance		Recorded Investment		Related Allowance		Average Recorded Investment		Interest Income Recognized (1)		Average Recorded Investment		Interest Income Recognized		Unpaid Principal Balance		Recorded Investment		Related Allowance
	(in thousands)
With no related allowance recorded:
Real estate - commercial mortgage	$	46,841	$	39,132	N/A		$	40,448	$	78	$	43,915	$	568	$	68,583	$	54,251	N/A
Commercial - secured	37,193		33,334		N/A		34,474		10		31,426		171		38,366		27,745		N/A
Commercial - unsecured	300		297		N/A		149		—		221		3		710		587		N/A
Real estate - residential mortgage	—		—		N/A		—		—		5,303		43		21,598		21,212		N/A
Construction - commercial residential	43,455		19,617		N/A		18,528		1		23,154		185		69,624		32,354		N/A
Construction - commercial	2,607		2,318		N/A		2,902		—		2,911		21		5,637		2,125		N/A
Consumer - direct	199		199		N/A		100		—		50		—		—		—		N/A
	130,595		94,897				96,601		89		106,980		991		204,518		138,274
With a related allowance recorded:
Real estate - commercial mortgage	93,967		74,640		$	33,269	73,076		140		79,898		1,129		111,190		104,069		$	17,995
Commercial - secured	62,315		51,078		27,410		51,851		14		86,061		1,213		202,824		197,674		64,922
Commercial - unsecured	1,874		1,541		1,217		2,231		1		4,132		34		8,681		8,603		4,191
Real estate - residential mortgage	66,000		66,000		26,194		66,892		462		57,033		1,039		18,518		18,518		5,950
Construction - commercial residential	50,861		27,751		11,493		31,132		1		53,004		449		110,465		103,826		22,155
Construction - commercial	3,303		1,132		511		718		—		1,100		17		2,642		2,642		715
Construction - other	999		999		561		1,556		—		1,093		—		—		—		—
Consumer - direct	4,742		4,742		2,629		2,477		—		1,260		2		—		—		—
Leasing and other and Overdrafts	86		86		56		89		—		60		—		—		—		—
	284,147		227,969		103,340		230,022		618		283,641		3,883		454,320		435,332		115,928
Total	$	414,742	$	322,866	$	103,340	$	326,623	$	707	$	390,621	$	4,874	$	658,838	$	573,606	$	115,928

(1) Effective April 1, 2011, all impaired loans, excluding certain accruing TDRs, were non-accrual loans. Interest income recognized for the three and nine months ended September 30, 2011 represents amounts earned on accruing TDRs.

N/A – Not applicable.

Financing Receivable Credit Quality Indicators

The following table presents internal credit risk ratings for commercial loans, commercial mortgages and certain construction loans, by class segment:

	Pass				Special Mention				Substandard or Lower				Total
	September 30, 2011		December 31, 2010		September 30, 2011		December 31, 2010		September 30, 2011		December 31, 2010		September 30, 2011		December 31, 2010
	(in thousands)
Real estate - commercial mortgage	$	3,953,387	$	3,776,714	$	214,970	$	306,926	$	322,798	$	292,340	$	4,491,155	$	4,375,980
Commercial - secured	2,986,086		2,903,184		175,459		244,927		295,096		323,187		3,456,641		3,471,298
Commercial -unsecured	218,244		211,298		3,951		14,177		11,328		7,611		233,523		233,086
Total Commercial - industrial, financial and agricultural	3,204,330		3,114,482		179,410		259,104		306,424		330,798		3,690,164		3,704,384
Construction - commercial residential	176,628		251,159		39,947		84,774		143,791		156,966		360,366		492,899
Construction - commercial	213,309		222,357		7,691		10,221		12,633		11,859		233,633		244,437
Total Real estate - construction (excluding Construction - other)	389,937		473,516		47,638		94,995		156,424		168,825		593,999		737,336
	$	7,547,654	$	7,364,712	$	442,018	$	661,025	$	785,646	$	791,963	$	8,775,318	$	8,817,700

The following table presents a summary of delinquency and non-performing status for home equity, residential mortgages, real estate - construction - other and consumer loans by class segment:

	Performing				Delinquent (1)				Non-performing (2)				Total
	September 30, 2011		December 31, 2010		September 30, 2011		December 31, 2010		September 30, 2011		December 31, 2010		September 30, 2011		December 31, 2010
	(in thousands)
Real estate - home equity	$	1,606,705	$	1,619,684	$	12,078	$	11,905	$	12,097	$	10,188	$	1,630,880	$	1,641,777
Real estate - residential mortgage	961,912		909,247		31,465		36,331		48,086		50,412		1,041,463		995,990
Real estate - construction - other	49,580		60,956		3,431		—		1,388		2,893		54,399		63,849
Consumer - direct	36,326		45,942		681		935		347		212		37,354		47,089
Consumer - indirect	155,555		166,531		2,085		2,275		125		290		157,765		169,096
Consumer - other	126,594		129,911		3,199		2,413		2,142		1,652		131,935		133,976
Total Consumer	318,475		342,384		5,965		5,623		2,614		2,154		327,054		350,161
Leasing and other and Overdrafts	65,666		63,087		763		516		112		227		66,541		63,830
	$	3,002,338	$	2,995,358	$	53,702	$	54,375	$	64,297	$	65,874	$	3,120,337	$	3,115,607

(1) Includes all accruing loans 31 days to 89 days past due.

(2) Includes all accruing loans 90 days or more past due and all non-accrual loans.

Non-Performing Assets

The following table presents non-performing assets:

	September 30, 2011		December 31, 2010
	(in thousands)
Non-accrual loans	$	269,176	$	280,688
Loans 90 days past due and accruing	41,427		48,084
Total non-performing loans	310,603		328,772
Other real estate owned (OREO)	37,399		32,959
Total non-performing assets	$	348,002	$	361,731

Troubled Debt Restructurings on Financing Receivables

The following table presents TDRs, by class segment:

	September 30, 2011		December 31, 2010
	(in thousands)
Real-estate – residential mortgage	$	36,113	$	37,826
Real-estate – commercial mortgage	23,419		18,778
Real-estate – construction	5,871		5,440
Commercial – industrial, financial and agricultural	2,229		5,502
Consumer	194		263
Total accruing TDRs	67,826		67,809
Non-accrual TDRs (1)	49,432		51,175
Total TDRs	$	117,258	$	118,984

(1) Included within non-accrual loans in table detailing non-performing assets above.

Loan Terms Modified Under Troubled Debt Restructurings

The following table presents loans modified as TDRs during the three and nine months ended September 30, 2011 by class segment:

	Three Months Ended September 30, 2011			Nine Months Ended September 30, 2011
	Number of Loans	Recorded Investment		Number of Loans	Recorded Investment
	(dollars in thousands)
Construction - commercial residential	2	$	5,792	2	$	5,792
Real estate - commercial mortgage	8	2,702		20	16,482
Commercial - secured	5	925		7	1,947
Real estate - residential mortgage	1	217		12	3,088
	16	$	9,636	41	$	27,309

The following table presents loans modified as TDRs within the previous 12 months which had a payment default during the three and nine months ended September 30, 2011, by class segment:

	Three Months Ended September 30, 2011			Nine Months Ended September 30, 2011
	Number of Loans	Recorded Investment		Number of Loans	Recorded Investment
	( dollars in thousands)
Construction - commercial residential	2	$	5,792	2	$	5,792
Real estate - commercial mortgage	2	1,134		11	11,873
Real estate - residential mortgage	1	217		9	1,977
Commercial - secured	—	—		1	23
	5	$	7,143	23	$	19,665

Past due Loan Status and Non-Accrual Loans by Portfolio Segment

The following table presents past due status and non-accrual loans by portfolio segment and class segment:

	September 30, 2011
	31-59 Days Past Due		60-89 Days Past Due		≥ 90 Days Past Due and Accruing		Non- accrual		Total ≥ 90 Days		Total Past Due		Current		Total
	(in thousands)
Real estate - commercial mortgage	$	24,083	$	13,672	$	4,890	$	98,038	$	102,928	$	140,683	$	4,350,472	$	4,491,155
Commercial - secured	10,365		9,471		7,879		82,602		90,481		110,317		3,346,324		3,456,641
Commercial - unsecured	755		313		66		1,838		1,904		2,972		230,551		233,523
Total Commercial - industrial, financial and agricultural	11,120		9,784		7,945		84,440		92,385		113,289		3,576,875		3,690,164
Real estate - home equity	9,369		2,709		7,432		4,665		12,097		24,175		1,606,705		1,630,880
Real estate - residential mortgage	19,744		11,721		17,975		30,111		48,086		79,551		961,912		1,041,463
Construction - commercial residential	1,315		3,285		432		47,111		47,543		52,143		308,223		360,366
Construction - commercial	122		128		—		3,450		3,450		3,700		229,933		233,633
Construction - other	3,431		—		390		998		1,388		4,819		49,580		54,399
Total Real estate - construction	4,868		3,413		822		51,559		52,381		60,662		587,736		648,398
Consumer - direct	478		203		70		277		347		1,028		36,326		37,354
Consumer - indirect	1,741		344		125		—		125		2,210		155,555		157,765
Consumer - other	1,992		1,207		2,142		—		2,142		5,341		126,594		131,935
Total Consumer	4,211		1,754		2,337		277		2,614		8,579		318,475		327,054
Leasing and other and Overdrafts	548		215		26		86		112		875		65,666		66,541
	$	73,943	$	43,268	$	41,427	$	269,176	$	310,603	$	427,814	$	11,467,841	$	11,895,655
	December 31, 2010
	31-59 Days Past Due		60-89 Days Past Due		≥ 90 Days Past Due and Accruing		Non- accrual		Total ≥ 90 Days		Total Past Due		Current		Total
	(in thousands)
Real estate - commercial mortgage	$	15,898	$	8,491	$	6,744	$	86,976	$	93,720	$	118,109	$	4,257,871	$	4,375,980
Commercial - secured	5,274		6,837		13,374		72,162		85,536		97,647		3,373,651		3,471,298
Commercial - unsecured	629		553		731		1,188		1,919		3,101		229,985		233,086
Total Commercial - industrial, financial and agricultural	5,903		7,390		14,105		73,350		87,455		100,748		3,603,636		3,704,384
Real estate - home equity	8,138		3,767		10,024		164		10,188		22,093		1,619,684		1,641,777
Real estate - residential mortgage	24,237		12,094		13,346		37,066		50,412		86,743		909,247		995,990
Construction - commercial residential	3,872		3,401		884		75,552		76,436		83,709		409,190		492,899
Construction - commercial	—		—		195		5,092		5,287		5,287		239,150		244,437
Construction - other	—		—		491		2,402		2,893		2,893		60,956		63,849
Total Real estate - construction	3,872		3,401		1,570		83,046		84,616		91,889		709,296		801,185
Consumer - direct	707		228		212		—		212		1,147		45,942		47,089
Consumer - indirect	1,916		359		290		—		290		2,565		166,531		169,096
Consumer - other	1,751		662		1,638		14		1,652		4,065		129,911		133,976
Total Consumer	4,374		1,249		2,140		14		2,154		7,777		342,384		350,161
Leasing and other and Overdrafts	473		43		155		72		227		743		63,087		63,830
	$	62,895	$	36,435	$	48,084	$	280,688	$	328,772	$	428,102	$	11,505,205	$	11,933,307