Securities (Tables)

6 Months Ended

Jun. 30, 2013

Investments Debt and Equity Securities [Abstract]

Amortized cost and fair value of investments classified as available-for-sale

The amortized cost and fair value of the Corporation’s investments are shown below. All securities are classified as available-for-sale.

	(000's)
	June 30, 2013
	Amortized Cost		Unrealized Gains		Unrealized Losses		Fair Value
U.S. Government agencies	$	1,719	$	36	$	-	$	1,755
Mortgage Backed Securities - Residential		220,988		8,589		(1,887)		227,690
Mortgage Backed Securities - Commercial		4,905		1		(268)		4,638
Collateralized Mortgage Obligations		410,427		1,728		(9,158)		402,997
State and Municipal Obligations		185,821		7,257		(1,757)		191,321
Collateralized Debt Obligations		11,356		4,124		(7,304)		8,176
Equity Securities		320		150		-		470
TOTAL	$	835,536	$	21,885	($	20,374)	$	837,047

	(000’s)
	December 31, 2012
	Amortized		Unrealized
(Dollar amounts in thousands)	Cost		Gains		Losses		Fair Value
U.S. Government agencies	$	1,807	$	79	$	-	$	1,886
Mortgage Backed Securities-residential		231,316		13,373		(13)		244,676
Mortgage Backed Securities-commercial		5,146		1		(16)		5,131
Collateralized mortgage obligations		230,739		2,827		(246)		233,320
State and municipal		187,044		12,518		(77)		199,485
Collateralized debt obligations		12,243		1,761		(7,882)		6,122
Equities		320		60		-		380
TOTAL	$	668,615	$	30,619	$	(8,234)	$	691,000

Schedule of contractual maturities of debt securities

Securities not due at a single maturity or with no maturity date, primarily mortgage-backed and equity securities are shown separately.

	Available-for-Sale
	Amortized		Fair
(Dollar amounts in thousands)	Cost		Value
Due in one year or less	$	14,192	$	14,321
Due after one but within five years		30,512		31,986
Due after five but within ten years		88,599		91,523
Due after ten years		476,020		466,419
		609,323		604,249
Mortgage-backed securities and equities		226,213		232,798
TOTAL	$	835,536	$	837,047

Schedule of gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in continuous unrealized loss position

The following tables show the securities’ gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in continuous unrealized loss position, at June 30, 2013 and December 31, 2012.

	June 30, 2013
	Less Than 12 Months				More Than 12 Months						Total
			Unrealized				Unrealized				Unrealized
(Dollar amounts in thousands)	Fair Value		Losses		Fair Value		Losses		Fair Value		Losses
Mortgage Backed Securities - Residential	$	62,792	$	(1,887)	$	-	$	-	$	62,792	$	(1,887)
Mortgage Backed Securities - Commercial		4,599		(268)		-		-		4,599		(268)
Collateralized mortgage obligations		31,480		(9,158)		-		-		31,480		(9,158)
State and municipal obligations		35,591		(1,654)		985		(103)		36,576		(1,757)
Collateralized Debt Obligations		-		-		3,874		(7,304)		3,874		(7,304)
Total temporarily impaired securities	$	134,462	$	(12,967)	$	4,859	$	(7,407)	$	139,321	$	(20,374)

	December 31, 2012
	Less Than 12 Months				More Than 12 Months						Total
			Unrealized				Unrealized				Unrealized
(Dollar amounts in thousands)	Fair Value		Losses		Fair Value		Losses		Fair Value		Losses
Mortgage Backed Securities - Residential	$	7,245	$	(13)	$	-	$	-	$	7,245	$	(13)
Mortgage Backed Securities - Commercial		5,086		(16)		-		-		5,086		(16)
Collateralized mortgage obligations		46,121		(246)		-		-		46,121		(246)
State and municipal obligations		8,611		(77)		-		-		8,611		(77)
Collateralized Debt Obligations		-		-		4,032		(7,882)		4,032		(7,882)
Total temporarily impaired securities	$	67,063	$	(352)	$	4,032	$	(7,882)	$	71,095	$	(8,234)

Rollforward of the credit losses recognized in earnings

The table below presents a rollforward of the credit losses recognized in earnings for the three and six month periods ended June 30, 2013 and 2012:

	Three Months Ended				Six Months Ended
	June 30,				June 30,
(Dollar amounts in thousands)	2013		2012		2013		2012
Beginning balance	$	14,983	$	15,180	$	14,983	$	15,180
Increases to the amount related to the credit
loss for which other-than-temporary was previously recognized		-		11		-		11
Amounts realized for securities sold during the period		-		(208)		-		(208)
Ending balance	$	14,983	$	14,983	$	14,983	$	14,983

- Definition

Tabular disclosure of available-for-sale securities which includes, but is not limited to, changes in the cost basis and fair value, fair value and gross unrealized gain (loss), fair values by type of security, contractual maturity and classification, amortized cost basis, contracts to acquire securities to be accounted for as available-for-sale, debt maturities, transfers to trading, change in net unrealized holding gain (loss) net of tax, continuous unrealized loss position fair value, aggregate losses qualitative disclosures, other than temporary impairment (OTTI) losses or other disclosures related to available for sale securities.

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- Definition

Tabular disclosure of the amount of other than temporary impairment (OTTI) related to credit losses recognized in earnings including: (a) the beginning balance of the amount related to credit losses on debt securities held by the investor at the beginning of the period for which a portion of an OTTI was recognized in other comprehensive income; (b) additions for the amount related to the credit loss for which an OTTI was not previously recognized; (c) reductions for securities sold during the period (realized); (d) reductions for securities for which the amount previously recognized in other comprehensive income was recognized in earnings because the investor intends to sell the security or more likely than not will be required to sell the security before recovery of its amortized cost basis; (e) additional increases to the amount related to the credit loss for which an OTTI was previously recognized when the investor does not intend to sell the security and it is not more likely than not that the investor will be required to sell the security before recovery of its amortized cost basis; (f) reductions for increases in cash flows expected to be collected that are recognized over the remaining life of the security; and (g) the ending balance of the amount related to credit losses on debt securities held by the entity at the end of the period for which a portion of an OTTI was recognized in other comprehensive income.

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