NOTE 5 – SECURITIES

A comparison of amortized cost and estimated fair values of available-for-sale securities as of June 30, 2013 and December 31, 2012 follows:



		June 30, 2013
			Gross	Gross	Estimated
		Amortized	Unrealized	Unrealized	Fair
		Cost	Gains	Losses	Value

	(In thousands)
U.S. Government agencies		$ 1,575,837	$ 13,082	$ 7,349	$ 1,581,570
Government agency issued residential
mortgage-backed securities		288,345	5,584	1,342	292,586
Government agency issued commercial
mortgage-backed securities		237,961	2,153	12,733	227,381
Obligations of states and political subdivisions		520,067	17,245	1,975	535,337
Other		7,064	1,001	-	8,065
Total		$ 2,629,274	$ 39,065	$ 23,399	$ 2,644,939



		December 31, 2012
			Gross	Gross	Estimated
		Amortized	Unrealized	Unrealized	Fair
		Cost	Gains	Losses	Value

	(In thousands)
U.S. Government agencies		$ 1,380,979	$ 21,081	$ 64	$ 1,401,996
Government agency issued residential
mortgage-backed securities		358,677	8,457	259	366,875
Government agency issued commercial
mortgage-backed securities		87,314	4,266	135	91,445
Obligations of states and political subdivisions		531,940	34,049	116	565,873
Other		7,052	791	-	7,843
Total		$ 2,365,962	$ 68,644	$ 574	$ 2,434,032

Gross gains of approximately $36,000 and gross losses of approximately $14,000 were recognized on available-for-sale securities during the first six months of 2013, while gross gains of approximately $271,000 and gross losses of approximately $20,000 were recognized during the first six months of 2012.

The amortized cost and estimated fair value of available-for-sale securities at June 30, 2013 by contractual maturity are shown below. Actual maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Equity securities are considered as maturing after ten years.



	June 30, 2013
		Estimated	Weighted
	Amortized	Fair	Average
	Cost	Value	Yield

	(Dollars in thousands)
Maturing in one year or less	$ 526,299	$ 530,052	1.68	%
Maturing after one year through five years	1,188,888	1,193,864	1.34
Maturing after five years through ten years	450,391	444,938	3.39
Maturing after ten years	463,696	476,085	4.11
Total	$ 2,629,274	$ 2,644,939

The following tables summarize information pertaining to temporarily impaired available-for-sale securities with continuous unrealized loss positions at June 30, 2013 and December 31, 2012:



	June 30, 2013
	Continuous Unrealized Loss Position
	Less Than 12 Months		12 Months or Longer		Total
	Fair	Unrealized	Fair	Unrealized	Fair	Unrealized
	Value	Losses	Value	Losses	Value	Losses

	(In thousands)
U.S. Government agencies	$ 460,267	$ 7,349	$ -	$ -	$ 460,267	$ 7,349
Government agency issued residential
mortgage-backed securities	52,219	1,195	5,534	147	57,753	1,342
Government agency issued commercial
mortgage-backed securities	184,220	12,733	-	-	184,220	12,733
Obligations of states and
political subdivisions	86,949	1,939	545	36	87,494	1,975
Other	-	-	-	-	-	-
Total	$ 783,655	$ 23,216	$ 6,079	$ 183	$ 789,734	$ 23,399



	December 31, 2012
	Continuous Unrealized Loss Position
	Less Than 12 Months		12 Months or Longer		Total
	Fair	Unrealized	Fair	Unrealized	Fair	Unrealized
	Value	Losses	Value	Losses	Value	Losses

	(In thousands)
U.S. Government agencies	$ 47,395	$ 64	$ -	$ -	$ 47,395	$ 64
Government agency issued residential
mortgage-backed securities	55,939	145	2,839	114	58,778	259
Government agency issued commercial
mortgage-backed securities	26,239	135	-	-	26,239	135
Obligations of states and
political subdivisions	9,247	73	313	43	9,560	116
Other	-	-	-	-	-	-
Total	$ 138,820	$ 417	$ 3,152	$ 157	$ 141,972	$ 574

Based upon a review of the credit quality of these securities, and considering that the issuers were in compliance with the terms of the securities, management had no intent to sell these securities, and it was more likely than not that the Company would not be required to sell the securities prior to recovery of costs. Therefore, the impairments related to these securities were determined to be temporary. No other-than-temporary impairment was recorded during the first six months of 2013.