CORRESP 1 filename1.htm Response Letter

[Wachtell, Lipton, Rosen & Katz]

April 1, 2011

VIA EDGAR AND EMAIL

Erin Magnor Purnell, Esq.

Division of Corporation Finance

Securities and Exchange Commission

100 F Street, N.E.

Washington, D.C. 20549

 

Re:         Hancock Holding Company

            Form 10-K for the Fiscal Year Ended December 31, 2010

            Filed February 28, 2011

            Definitive Proxy Statement on Schedule 14A

            Filed February 28, 2011

            File No. 000-13089

        Whitney Holding Corporation

            Form 10-K for the Fiscal Year Ended December 31, 2010

            Filed March 1, 2011

            File No. 000-01026

Dear Ms. Purnell:

Set forth below are responses of Hancock Holding Company (“Hancock”) and Whitney Holding Corporation (“Whitney”) to the comments of the Staff of the Division of Corporation Finance that were set forth in your letter dated March 31, 2011 regarding Hancock’s Annual Report on Form 10-K for the year ended December 31, 2010 (the “Hancock Form 10-K”), Hancock’s Definitive Proxy Statement on Schedule 14A filed February 28, 2011 (the “Hancock Proxy Statement”) and Whitney’s Annual Report on Form 10-K for the year ended December 31, 2010 (the “Whitney Form 10-K”).

Ms. Erin Magnor Purnell, Esq.

Division of Corporation Finance

Securities and Exchange Commission

April 1, 2011

Page 2

 

The Staff’s comments, indicated in bold, are followed by responses on behalf of Hancock (with respect to the Hancock Form 10-K and the Hancock Proxy Statement) and by responses on behalf of Whitney (with respect to the Whitney Form 10-K).

Hancock Holding Company

Form 10-K for the Fiscal Year Ended December 31, 2010

Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations, page 29

Loan Portfolio. page 37

 

1. We note your response to comments 13 and 14 from our letter dated March 18, 2011 along with your proposed tabular disclosures provided in Annex B and Annex C, respectively. While your proposed disclosure revisions are now presented in a comparable and consistent manner within your MD&A, in some instances the presented amounts do not appear to be consistent with similar tabular disclosures included in Note 4 to the financial statements beginning on page 82. For instance, proposed tables 8 and 11-13, which have similar disclosure in Note 4 do not appear to reconcile due to differences in the way you have disaggregated your loan portfolio. Please revise your future filings to provide consistent disclosures in this regard and/or provide disclosure which bridges the gap between your current disclosure in your MD&A to those provided in your financial statement footnotes. Please also provide us with your proposed disclosures as of December 31, 2010.

In response to the Staff’s comment, Hancock will revise its future filings to provide consistent disclosures as indicated by the Staff and/or provide disclosure which bridges the gap between Hancock’s current disclosure in its MD&A to those provided in its financial statement footnotes. Attached hereto as Annex A is Hancock’s proposed form of disclosure as of December 31, 2010 for loan portfolio tables 7-13. We have realigned the presentation of the disaggregated loan information to reconcile to the similar disclosures included in Note 4 to our financial statements.

Whitney Holding Company

Form 10-K for Fiscal Year Ended December 31, 2010

General

 

2. We note that Whitney’s 2010 compensation information will be included in its definitive proxy statement with respect to its Annual Meeting of Shareholders and will be incorporated by reference into its Form 10-K. Please note that we may have comments on this disclosure once it has been filed.

Ms. Erin Magnor Purnell, Esq.

Division of Corporation Finance

Securities and Exchange Commission

April 1, 2011

Page 3

 

We note the Staff’s comment.

Note 2. Summary of Significant Accounting Policies and Recent Announcements

Loans, page 77

 

3. We note your response to comment 25 from our letter dated March 18, 2011. With respect to the discounts applied to appraisals based upon the passage of time, please tell us and revise your future filings to address the following:

 

  •  

Further explain how you determined discounts of 10% -30% applied to your appraisals based upon the passage of time subsequent to when the appraisal was initially received. In this regard, please explain whether these discounts are benchmarked against market information to ensure they are appropriate.

In determining the discounts applied to appraised values based upon the passage of time, Whitney considered market-based information, including actual changes in real property values indicated by the new appraisals received on loan collateral and on real property obtained through foreclosure, market intelligence obtained by lending officers and foreclosed property managers and market statistics monitored by credit review personnel. These discounts were employed mainly to provide a reasonable estimate of the impact of declining real property values in certain of Whitney’s market areas, as was noted in our response to comment 25 from the Staff’s letter dated March 18, 2011.

 

  •  

Bridge the gap between your statement in response to bullet 1 of comment 25 that “… the value of the collateral is based on property-specific facts and circumstances…” with your use of these standard discount percentages, which as noted in your response were consistently applied to properties in Florida and Alabama markets.

Whitney’s response to bullet 1 of comment 25 referenced above related to the appraisal valuation methodology (e.g., “as is”, “upon completion” or “upon stabilization”) used to develop support for the value of collateral securing real estate loans. The value established through a particular valuation methodology for collateral properties in Florida and Alabama markets was subject to the discounts discussed in the first bullet point with the aging of the underlying appraisals.

In future filings, Whitney will further clarify this distinction.

 

  •  

Tell us the number and amount of impaired loans as of December 31, 2010 for which an appraisal supporting the fair value of the collateral was greater than one year old and consider revising future filings to provide similar quantitative disclosures. To the extent material, please also tell us the reasons for the lack of an updated appraisal given your statement in your response that appraisals are obtained annually for problem credits.

As of December 31, 2010, there was one loan individually evaluated for impairment for which the appraisal of the underlying collateral was greater than one year old. This $1.5 million loan had been identified for impairment evaluation shortly before December 31, 2010, and Whitney was unable to obtain the updated appraisal by year end.

In connection with the foregoing, and with respect to Hancock’s and Whitney’s respective filings under the Exchange Act of 1934, as amended, Hancock and Whitney respectively acknowledge that:

 

  •  

the company is responsible for the adequacy and accuracy of the disclosure in the filing;

 

  •  

Staff comments or changes to disclosure in response to Staff comments do not foreclose the Securities and Exchange Commission from taking any action with respect to the filing; and

 

  •  

the company may not assert staff comments as a defense in any proceeding initiated by the Securities and Exchange Commission or any person under the federal securities laws of the United States.

Ms. Erin Magnor Purnell, Esq.

Division of Corporation Finance

Securities and Exchange Commission

April 1, 2011

Page 4

 

* * * * * *

Should any members of the Staff have any questions regarding the foregoing, please feel free to contact the undersigned at (212) 403-1381. As discussed previously with the Staff, Hancock is separately submitting an acceleration request with respect to its Registration Statement on Form S-4 (File No. 333-171882) simultaneously herewith.

 

Sincerely,  

/s/ Nicholas G. Demmo, Esq.

  
Nicholas G. Demmo, Esq.  

 

cc: Joy Lambert Phillips, Esq., Hancock Holding Company
  L. Keith Parsons, Esq., Watkins Ludlam Winter & Stennis PA
  J. Andrew Gipson, Esq., Watkins Ludlam Winter & Stennis PA
  Joseph S. Schwertz, Jr., Esq., Whitney Holding Corporation
  Randolph A. Moore III, Esq., Alston & Bird LLP
  David E. Brown, Jr., Esq., Alston & Bird LLP

Ms. Erin Magnor Purnell, Esq.

Division of Corporation Finance

Securities and Exchange Commission

April 1, 2011

Page 5

 

Annex A

TABLE 7. Average Loans

 

     2010     2009     2008  
     Balance      TE Yield     Mix     Balance      TE Yield     Mix     Balance      TE Yield     Mix  
                               (In thousands)                           

Commercial loans:

                      

Commercial loans

    $ 477,317         6.63 %      9.5 %    $ 470,254         5.24 %      10.9 %    $ 415,428         5.46 %      10.7 % 

Commercial loans - covered

      16,725         9.78 %      0.4 %      682         6.89 %      0.0 %      -         0.00 %      0.0 % 
                                       

Total commercial loans

      494,042           9.9 %      470,936           10.9 %      415,428           10.7 % 
                                       

Construction loans

      490,193         6.24 %      9.8 %      569,530         5.03 %      13.2 %      572,275         5.99 %      14.8 % 

Construction loans - covered

      222,624         1.21 %      4.4 %      9,034         6.85 %      0.2 %      -         0.00 %      0.0 % 
                                       

Total construction loans

      712,817           14.2 %      578,564           13.4 %      572,275           14.8 % 
                                       

Real estate loans

      1,189,671         6.33 %      23.8 %      1,132,966         5.63 %      26.3 %      997,439         6.32 %      25.7 % 

Real estate loans - covered

      179,417         3.66 %      3.6 %      7,329         6.84 %      0.2 %      -         0.00 %      0.0 % 
                                       

Total real estate loans

      1,369,076           27.4 %      1,140,300           26.5 %      995,249           25.7 % 
                                       

Municipal loans

      462,439         3.21 %      9.2 %      472,298         3.49 %      11.0 %      345,042         3.80 %      8.9 % 

Municipal loans - covered

      599         4.17 %      0.1 %      -         0.00 %      0.0 %      -         0.00 %      0.0 % 
                                       

Total municipal loans

      463,038           9.3 %      472,298           11.0 %      345,042           8.9 % 
                                       

Lease financing loans

      55,860         4.32 %      1.1 %      63,801         4.56 %      1.5 %      63,672         4.71 %      1.6 % 

Total commercial loans

      2,675,480         5.79 %      53.4 %      2,708,849         5.36 %      62.8 %      2,393,856         6.00 %      61.8 % 

Total commercial loans - covered

      419,365         2.60 %      8.4 %      17,045         6.85 %      0.4 %      -         0.00 %      0.0 % 
                                       

Total commercial loans

      3,094,845           61.8 %      2,725,894           63.2 %      2,393,856           61.8 % 
                                       

Residential mortgage loans:

                      

Mortgage loans

      408,671         6.14 %      8.2 %      439,584         5.91 %      10.2 %      418,133         5.93 %      10.8 % 

Mortgage loans - covered

      325,325         3.74 %      6.5 %      12,239         6.62 %      0.3 %      -         0.00 %      0.0 % 
                                       

Total residential mortgage loans

      733,996           14.7 %      451,823           10.5 %      418,133           10.8 % 
                                       

Indirect consumer loans

      333,834         6.36 %      6.7 %      411,772         6.65 %      9.6 %      405,964         6.81 %      10.5 % 

Direct consumer loans:

                      

Direct consumer

      614,624         6.08 %      12.3 %      604,554         5.59 %      14.0 %      540,885         6.73 %      14.0 % 

Direct consumer - covered

      123,056         5.73 %      2.5 %      4,577         12.54 %      0.1 %      -         0.00 %      0.0 % 
                                       

Total direct consumer loans

      737,680           14.7 %      609,131           14.1 %      540,885           14.0 % 
                                       

Finance Company loans

      105,398         17.38 %      2.1 %      111,500         19.89 %      2.6 %      115,070         18.53 %      3.0 % 

Total average loans (net of unearned)

    $ 5,005,753         5.86 %      100.00 %    $ 4,310,120         5.89 %      100.00 %    $ 3,873,908         6.57 %      100.00 % 

Ms. Erin Magnor Purnell, Esq.

Division of Corporation Finance

Securities and Exchange Commission

April 1, 2011

Page 6

 

TABLE 8. Loans Outstanding by Type

 

     Loan Portfolio  
     Years Ended December 31,  
     2010      2009      2008      2007      2006  
     (In thousands)  

Commercial loans:

               

Commercial

    $ 524,653       $ 438,954       $ 464,965       $ 377,515       $ 362,963   

Commercial - covered

      34,650         13,422         -         -         -   
                                            

Total commercial

      559,303         452,376         464,965         377,515         362,963   
                                            

Construction

      495,590         560,500         585,375         571,018         486,767   

Construction - covered

      157,267         273,439         -         -         -   
                                            

Total construction

      652,857         833,939         585,375         571,018         486,767   
                                            

Real estate

      1,231,414         705,194         1,083,828         898,535         817,635   

Real estate - covered

      181,873         637,060         -         -         -   
                                            

Total real estate

      1,413,287         1,342,254         1,083,828         898,535         817,635   
                                            

Municipal loans

      471,057         469,545         481,410         285,166         227,123   

Municipal loans - covered

      540         -         -         -         -   
                                            

Total municipal loans

      471,597         469,545         481,410         285,166         227,123   
                                            

Lease financing

      50,721         62,798         65,567         65,301         61,779   

Total commercial loans

      2,773,435         2,236,991         2,681,145         2,197,535         1,956,267   

Total commercial loans - covered

      374,330         923,921         -         -         -   
                                            

Total commercial loans

      3,147,765         3,160,912         2,681,145         2,197,535         1,956,267   
                                            

Residential mortgage loans

      366,183         739,899         427,546         389,687         368,490   

Residential mortgage loans - covered

      293,506         -         -         -         -   
                                            

Total residential mortgage loans

      659,689         739,899         427,546         389,687         368,490   
                                            

Indirect consumer loans

      309,454         373,353         439,903         386,241         353,032   

Direct consumer loans

      597,947         701,491         583,330         507,874         481,613   

Direct consumer loans - covered

      141,315         26,509         -         -         -   
                                            

Total direct consumer loans

      739,262         728,000         583,330         507,874         481,613   
                                            

Finance Company loans

      100,994         112,011         117,366         115,220         90,236   
                                            

Total loans

    $ 4,957,164       $ 5,114,175       $ 4,249,290       $ 3,596,557       $ 3,249,638   
                                            

Ms. Erin Magnor Purnell, Esq.

Division of Corporation Finance

Securities and Exchange Commission

April 1, 2011

Page 7

 

TABLE 9. Loans Maturities by Type

 

     December 31, 2010  
     Maturity Range  
     Within
One Year		      After One
Through
Five Years		      After Five
Years		      Total  
     (In thousands)  

Commercial loans:

            

Commercial

    $ 238,854       $ 191,477       $ 94,322       $ 524,653   

Commercial - covered

      15,011         15,394         4,245         34,650   
                                   

Total commercial

      253,865         206,872         98,566         559,303   
                                   

Construction

      47,914         217,280         230,395         495,590   

Construction - covered

      129,062         28,149         55         157,267   
                                   

Total construction

      176,977         245,430         230,451         652,857   
                                   

Real estate

      144,255         650,885         436,273         1,231,414   

Real estate - covered

      63,428         59,478         58,967         181,873   
                                   

Total real estate

      207,683         710,363         495,241         1,413,287   
                                   

Municipal loans

      55,889         99,890         315,278         471,057   

Municipal loans - covered

      -         193         347         540   
                                   

Total municipal loans

      55,889         100,083         315,625         471,597   
                                   

Lease financing

      16,907         16,907         16,907         50,721   

Total commercial loans

      503,820         1,176,439         1,093,175         2,773,435   

Total commercial loans - covered

      207,501         103,215         63,614         374,330   
                                   

Total commercial loans

      711,321         1,279,654         1,156,790         3,147,765   
                                   

Residential mortgage loans

      14,204         37,856         314,123         366,183   

Residential mortgage loans - covered

      12,350         8,579         272,577         293,506   
                                   

Total residential mortgage loans

      26,554         46,435         586,700         659,689   
                                   

Indirect consumer loans

      13,930         185,956         109,568         309,454   

Direct consumer loans

      11,133         45,664         541,151         597,947   

Direct consumer loans - covered

      49,807         59,706         31,802         141,315   
                                   

Total direct consumer loans

      60,939         105,370         572,953         739,262   
                                   

Finance Company loans

      2,179         12,926         85,889         100,994   
                                   

Total loans

    $ 814,923       $ 1,630,341       $ 2,511,900       $ 4,957,164   
                                   

Ms. Erin Magnor Purnell, Esq.

Division of Corporation Finance

Securities and Exchange Commission

April 1, 2011

Page 8

 

TABLE 10. Loans Sensitivity to Changes in Interest Rates

 

     December 31,  
     2010  
     (In thousands)  
     Fixed rate      Floating rate      Total  

Commercial loans:

         

Commercial maturing after one year

    $ 182,631       $ 103,167       $ 285,798   

Commercial maturing after one year - covered

      7,502         12,137         19,639   
                          

Total commercial maturing after one year

      190,132         115,305         305,437   
                          

Construction maturing after one year

      369,376         78,300         447,676   

Construction maturing after one year - covered

      5,059         23,146         28,205   
                          

Total construction maturing after one year

      374,435         101,446         475,881   
                          

Real estate maturing after one year

      825,558         261,600         1,087,158   

Real estate maturing after one year - covered

      36,831         81,615         118,446   
                          

Total real estate maturing after one year

      862,389         343,215         1,205,604   
                          

Municipal loans maturing after one year

      399,700         15,468         415,168   

Municipal loans maturing after one year - covered

      540         -         540   
                          

Total municipal loans maturing after one year

      400,240         15,468         415,708   
                          

Lease financing maturing after one year

      33,814         -         33,814   

Total commercial loans maturing after one year

      1,811,079         458,534         2,269,614   

Total commercial loans maturing after one year - covered

      49,931         116,898         166,830   
                          

Total commercial loans maturing after one year

    $ 1,861,011       $ 575,433       $ 2,436,443   
                          

Residential mortgage loans maturing after one year

      307,002         43,764         350,766   

Residential mortgage loans maturing after one year - covered

      73,229         207,927         281,156   
                          

Total residential mortgage loans maturing after one year

      380,231         251,691         631,922   
                          

Indirect loans maturing after one year

      291,533         -         291,533   

Direct consumer loans maturing after one year

      46,625         545,395         592,020   

Direct consumer loans maturing after one year - covered

      23,758         67,750         91,508   
                          

Total direct consumer loans maturing after one year

      70,383         613,145         683,528   
                          

Finance Company loans maturing after one year

      20,279         78,536         98,815   
                          

Total loans maturing after one year

    $ 2,623,437       $ 1,518,805       $ 4,142,242   
                          

Ms. Erin Magnor Purnell, Esq.

Division of Corporation Finance

Securities and Exchange Commission

April 1, 2011

Page 9

 

TABLE 11. Non-performing Assets

 

     December 31,  
     2010     2009     2008     2007     2006  
     (In thousands)  

Loans accounted for on a non-accrual basis:

           

Commercial loans

    $ 42,077      $ 12,715      $ 25,510      $ 11,971      $ 2,178   

Commercial loans - restructured

      8,302        -        -        -        -   
                                        

Subtotal

      50,379        12,715        25,510        11,971        2,178   

Commercial loans - covered

      41,917        34,024        -        -        -   
                                        

Total Commercial loans

      92,296        46,739        25,510        11,971        2,178   
                                        

Residential mortgage loans

      18,290        12,032        4,466        1,096        1,271   

Residential mortgage loans - restructured

      409        -        -        -        -   
                                        

Subtotal

      18,699        12,032        4,466        1,096        1,271   

Residential mortgage loans - covered

      3,199        20,261        -        -        -   
                                        

Total residential mortgage loans

      21,898        32,293        4,466        1,096        1,271   
                                        

Indirect consumer loans

      -        -        -        -        -   

Direct consumer loans

      4,862        6,231        -        -        51   

Direct consumer loans - covered

      170        1,292        -        -        -   

Finance Company

      1,759        -        -        -        -   
                                        

Total non-accrual loans

      120,985        86,555        29,976        13,067        3,500   
                                        

Restructured loans:

           

Commercial loans - non-accrual

      8,302        -        -        -        -   

Residential mortgage loans - non-accrual

      409        -        -        -        -   
                                        

Total restructured loans - non-accrual

      8,711        -        -        -        -   
                                        

Commercial loans - still accruing

      3,301        -        -        -        -   

Residential mortgage loans - still accruing

      629        -        -        -        -   
                                        

Total restructured loans - still accruing

      3,930        -        -        -        -   
                                        

Total restructured loans

      12,641        -        -        -        -   
                                        

Foreclosed assets

      17,595        14,336        5,360        2,297        681   

Foreclosed assets - covered

      15,682        -        -        -        -   
                                        

Total foreclosed assets

      33,277        14,336        5,360        2,297        681   
                                        

Total non-performing assets*

    $ 158,192      $ 100,891      $ 35,336      $ 15,364      $ 4,181   
                                        

Loans 90 days past due still accruing

    $ 1,492      $ 11,647      $ 11,005      $ 4,154      $ 2,552   
                                        

Ratios

           

Non-performing assets to loans plus other real estate

      3.17 %      1.97 %      0.83 %      0.43 %      0.13 % 

Allowance for loan losses to non-performing assets and accruing loans 90 days past due

      51.35 %      58.69 %      133.16 %      241.43 %      694.67 % 

Allowance for loan losses to non-performing assets and accruing loans 90 days past due, excluding covered loans

      83.06 %      115.96 %      133.16 %      241.43 %      694.67 % 

Loans 90 days past due still accruing to loans

      0.03 %      0.23 %      0.26 %      0.11 %      0.08 % 

 

* Includes total non-accrual loans, total restructured loans - still accruing and total foreclosed assets.

Ms. Erin Magnor Purnell, Esq.

Division of Corporation Finance

Securities and Exchange Commission

April 1, 2011

Page 10

 

TABLE 12. Summary of Activity in the Allowance for Loan Losses

 

     At and For The Years Ended December 31,  
     2010     2009     2008     2007     2006  
     (In thousands)  

Net loans outstanding at end of period

    $ 4,957,164      $ 5,114,175      $ 4,249,290      $ 3,596,557      $ 3,249,638   
                                        

Average net loans outstanding

    $ 5,005,753      $ 4,310,120      $ 3,873,908      $ 3,428,009      $ 3,062,222   
                                        

Balance of allowance for loan losses at beginning of period

    $ 66,050      $ 61,725      $ 47,123      $ 46,772      $ 74,558   
                                        

Loans charged-off:

           

Commercial

      39,247        36,882        12,974        2,597        3,676   

Construction

      -        -        -        -        -   

Real estate

      2,176        1,470        471        129        -   

Lease financing

      146        30        22        166        369   

Municipal

      -        -        -        -        -   

Total commercial

      41,569        38,382        13,467        2,892        4,045   

Residential mortgage

      4,615        3,670        1,360        530        758   

Direct consumer

      2,945        2,563        3,841        3,556        8,321   

Indirect consumer

      3,084        4,749        4,286        4,113        4,223   

Finance Company

      6,053        5,551        4,453        3,361        2,168   
                                        

Total charge-offs

      58,266        54,915        27,407        14,452        19,515   
                                        

Recoveries of loans previously charged-off:

           

Commercial

      3,491        766        1,036        2,774        4,729   

Construction

      -        -        -        -        -   

Real estate

      69        48        30        33        -   

Lease financing

      -        1        -        43        10   

Municipal

      -        -        -        -        -   

Total commercial

      3,560        815        1,066        2,850        4,739   

Residential mortgage

      740        241        162        188        263   

Direct consumer

      1,263        1,593        2,251        2,667        6,064   

Indirect consumer

      1,100        1,134        938        941        861   

Finance Company

      921        867        807        564        564   
                                        

Total recoveries

      7,584        4,650        5,224        7,210        12,491   
                                        

Net charge-offs

      50,682        50,265        22,183        7,242        7,024   

Provision for (reversal of) loan losses, net (a)

      65,991        54,590        36,785        7,593        (20,762 ) 

Increase in indemnification asset (a)

      638        -        -        -        -   
                                        

Balance of allowance for loan losses at end of period

    $ 81,997      $ 66,050      $ 61,725      $ 47,123      $ 46,772   
                                        

Ratios

           

Gross charge-offs to average loans

      1.16 %      1.27 %      0.71 %      0.42 %      0.64 % 

Recoveries to average loans

      0.15 %      0.11 %      0.13 %      0.21 %      0.41 % 

Net charge-offs to average loans

      1.01 %      1.17 %      0.57 %      0.21 %      0.23 % 

Allowance for loan losses to year end loans

      1.65 %      1.29 %      1.45 %      1.31 %      1.44 % 

Net charge-offs to period-end net loans

      1.02 %      0.98 %      0.52 %      0.20 %      0.22 % 

Allowance for loan losses to average net loans

      1.64 %      1.53 %      1.59 %      1.37 %      1.53 % 

Net charge-offs to loan loss allowance

      61.81 %      76.10 %      35.94 %      15.37 %      15.02 % 

 

(a) The provision for loan losses is shown “net” after coverage provided by FDIC loss share agreements on covered loans.

This results in an increase in the indemnification asset, which is the difference between the provision for loan losses on covered loans of $672, and the impairment ($34) on those covered loans.

Ms. Erin Magnor Purnell, Esq.

Division of Corporation Finance

Securities and Exchange Commission

April 1, 2011

Page 11

 

TABLE 13. Allocation of Loan Loss by Category

 

     For Years Ended December 31,  
     2010      2009      2008      2007      2006  
     Allowance
for
Loan
Losses (1)		      % of
Loans to
Total
Loans (2)		      Allowance
for
Loan
Losses (1)		      % of
Loans
to
Total
Loans (2)		      Allowance
for
Loan
Losses (1)		      % of
Loans
to
Total
Loans (2)		      Allowance
for
Loan
Losses (1)		      % of
Loans
to
Total
Loans (2)		      Allowance
for
Loan
Losses (1)		      % of
Loans
to
Total
Loans (2)		  
     (In thousands)  

Commercial

    $ 56,859         63.50       $ 42,483         61.81       $ 37,347         63.10       $ 29,015         61.10       $ 30,846         60.19   

Residential mortgages

      4,626         13.31         4,782         14.47         5,315         10.06         1,998         10.84         2,644         11.34   

Indirect consumer

      2,918         6.24         3,826         7.30         5,501         10.35         4,834         10.74         4,620         10.86   

Direct consumer

      9,322         14.91         7,146         14.23         7,745         13.73         7,151         14.12         4,783         14.83   

Finance Company

      8,272         2.04         7,813         2.19         5,817         2.76         4,125         3.20         3,879         2.78   
                                                                                         
   $ 81,997         100.00       $ 66,050         100.00       $ 61,725         100.00       $ 47,123         100.00       $ 46,772         100.00   
                                                                                         

 

(1) Loans used in the calculation of “allowance for loan losses” are grouped according to loan purpose.
(2) Loans used in the calculation of “% of loans to total loans” are grouped by collateral type.