XML 38 R46.htm IDEA: XBRL DOCUMENT v2.4.0.8
FAIR VALUE DISCLOSURES (Tables)
 12 Months Ended
Dec. 31, 2013
Estimated Fair Values of Financial Instruments
The estimated fair values of financial instruments not measured at fair value on either a recurring or nonrecurring basis in First Financial’s consolidated financial statements were as follows:

 
Carrying
Estimated fair value
(Dollars in thousands)
value
Total
Level 1
Level 2
Level 3
December 31, 2013
 
 
 
 
 
Financial assets
 
 
 
 
 
Cash and short-term investments
$
143,450

$
143,450

$
143,450

$
0

$
0

Investment securities held-to-maturity
837,272

824,985

0

824,985

0

Other investments
47,427

47,427

0

47,427

0

Loans held for sale
8,114

8,114

0

8,114

0

Loans, excluding covered loans
3,461,812

3,455,776

0

0

3,455,776

Covered loans
438,972

451,545

0

0

451,545

FDIC indemnification asset
45,091

34,820

0

0

34,820

 
 
 
 
 
 
Financial liabilities
 

 

 
 
 
Deposits
 

 

 
 
 
Noninterest-bearing
$
1,147,452

$
1,147,452

$
0

$
1,147,452

$
0

Interest-bearing demand
1,125,723

1,125,723

0

1,125,723

0

Savings
1,612,005

1,612,005

0

1,612,005

0

Time
952,327

951,220

0

951,220

0

Total deposits
4,837,507

4,836,400

0

4,836,400

0

Short-term borrowings
748,749

748,749

748,749

0

0

Long-term debt
60,780

62,706

0

62,706

0



 
Carrying
Estimated Fair Value
(Dollars in thousands)
Value
Total
Level 1
Level 2
Level 3
December 31, 2012
 
 
 
 
 
Financial assets
 
 
 
 
 
Cash and short-term investments
$
158,843

$
158,843

$
158,843

$
0

$
0

Investment securities held-to-maturity
770,755

778,474

0

778,474

0

Other investments
71,492

71,492

0

71,492

0

Loans held for sale
16,256

16,256

0

16,256

0

Loans, excluding covered loans
3,131,287

3,145,120

0

0

3,145,120

Covered loans
702,926

713,797

0

0

713,797

FDIC indemnification asset
119,607

106,380

0

0

106,380

 
 
 
 
 
 
Financial liabilities
 
 
 
 
 
Deposits
 
 
 
 
 
Noninterest-bearing
$
1,102,774

$
1,102,774

$
0

$
1,102,774

$
0

Interest-bearing demand
1,160,815

1,160,815

0

1,160,815

0

Savings
1,623,614

1,623,614

0

1,623,614

0

Time
1,068,637

1,072,201

0

1,072,201

0

Total deposits
4,955,840

4,959,404

0

4,959,404

0

Short-term borrowings
624,570

624,570

624,570

0

0

Long-term debt
75,202

78,941

0

78,941

0
Summary of Financial Assets and Liabilities Measured at Fair Value on a Recurring Basis
The following table summarizes the financial assets and liabilities measured at fair value on a recurring basis were as follows:

 
 
Fair Value Measurements Using
 
Netting
 
Assets/Liabilities
(Dollars in thousands)
 
Level 1
 
Level 2
 
Level 3
 
Adjustments (1)
 
at Fair Value
December 31, 2013
 
 
 
 
 
 
 
 
 
 
Assets
 
 
 
 
 
 
 
 
 
 
Derivatives
 
$
0

 
$
13,477

 
$
0

 
$
(13,477
)
 
$
0

Available-for-sale investment securities
 
7,976

 
905,625

 
0

 
0

 
913,601

Total
 
$
7,976

 
$
919,102

 
$
0

 
$
(13,477
)
 
$
913,601

 
 
 
 
 
 
 
 
 
 
 
Liabilities
 
 

 
 

 
 

 
 

 
 

Derivatives
 
$
0

 
$
14,431

 
$
0

 
$
(13,477
)
 
$
954


 
 
Fair Value Measurements Using
 
Netting
 
Assets/Liabilities
(Dollars in thousands)
 
Level 1
 
Level 2
 
Level 3
 
Adjustments (1)
 
at Fair Value
December 31, 2012
 
 
 
 
 
 
 
 
 
 
Assets
 
 
 
 
 
 
 
 
 
 
Derivatives
 
$
0

 
$
24,135

 
$
0

 
$
(24,135
)
 
$
0

Available-for-sale investment securities
 
144

 
1,031,952

 
0

 
0

 
1,032,096

Total
 
$
144

 
$
1,056,087

 
$
0

 
$
(24,135
)
 
$
1,032,096

 
 
 
 
 
 
 
 
 
 
 
Liabilities
 
 

 
 

 
 

 
 

 
 

Derivatives
 
$
0

 
$
26,652

 
$
0

 
$
(24,135
)
 
$
2,517


(1) 
Amounts represent the impact of legally enforceable master netting arrangements that allow First Financial to settle positive and negative positions and also cash collateral held with the same counterparties.
Summary of Financial Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis
The following table summarizes financial assets and liabilities measured at fair value on a nonrecurring basis were as follows:
 
 
Fair Value Measurements Using
(Dollars in thousands)
 
Level 1
 
Level 2
 
Level 3
December 31, 2013
 
 
 
 
 
 
Assets
 
 
 
 
 
 
Impaired loans (1)
 
$
0

 
$
0

 
$
13,699

OREO
 
0

 
0

 
5,358

Covered OREO
 
0

 
0

 
8,937



 
 
Fair Value Measurements Using
(Dollars in thousands)
 
Level 1
 
Level 2
 
Level 3
December 31, 2012
 
 
 
 
 
 
Assets
 
 
 
 
 
 
Impaired loans (1)
 
$
0

 
$
0

 
$
19,564

OREO
 
0

 
0

 
5,651

Covered OREO
 
0

 
0

 
14,059


(1) Amounts represent the fair value of collateral for impaired loans allocated to the allowance for loan and lease losses.  Fair values are determined using actual market prices (Level 1), observable market data for similar assets and liabilities (Level 2), and independent third party valuations and borrower records, discounted as appropriate (Level 3).