Covered loans acquired in the Westernbank FDIC-assisted transaction, except for lines of credit with revolving privileges, are accounted for by the Corporation in accordance with ASC Subtopic 310-30. Under ASC Subtopic 310-30, the acquired loans were aggregated into pools based on similar characteristics. Each loan pool is accounted for as a single asset with a single composite interest rate and an aggregate expectation of cash flows. The covered loans which are accounted for under ASC Subtopic 310-30 by the Corporation are not considered non-performing and will continue to have an accretable yield as long as there is a reasonable expectation about the timing and amount of cash flows expected to be collected. The Corporation measures additional losses for this portfolio when it is probable the Corporation will be unable to collect all cash flows expected at acquisition plus additional cash flows expected to be collected arising from changes in estimates after acquisition. Lines of credit with revolving privileges that were acquired as part of the Westernbank FDIC-assisted transaction are accounted for under the guidance of ASC Subtopic 310-20, which requires that any differences between the contractually required loan payment receivable in excess of the Corporation's initial investment in the loans be accreted into interest income. Loans accounted for under ASC Subtopic 310-20 are placed in non-accrual status when past due in accordance with the Corporation's non-accruing policy and any accretion of discount is discontinued.

The risks on loans acquired in the FDIC-assisted transaction are significantly different from the risks on loans not covered under the FDIC loss sharing agreements because of the loss protection provided by the FDIC. Accordingly, the Corporation presents loans subject to the loss sharing agreements as “covered loans” in the information below and loans that are not subject to the FDIC loss sharing agreements as “non-covered loans”. The FDIC loss sharing agreements expires at the end of the quarter ending June 30, 2015 for commercial (including construction) and consumer loans, and at the end of the quarter ending June 30, 2020 for single-family residential mortgage loans, as explained in Note 13.

For a summary of the accounting policy related to loans, interest recognition and allowance for loan losses refer to the summary of significant accounting policies included in Note 2 to the consolidated financial statements included in 2014 Annual Report.

The following table presents the composition of non-covered loans held-in-portfolio (“HIP”), net of unearned income, at March 31, 2015 and December 31, 2014.


(In thousands)		March 31, 2015		December 31, 2014
Commercial multi-family		$	565,736	$	487,280
Commercial real estate non-owner occupied			2,800,673		2,526,146
Commercial real estate owner occupied			1,643,186		1,667,267
Commercial and industrial			3,643,966		3,453,574
Construction			690,728		251,820
Mortgage			7,189,227		6,502,886
Leasing			581,119		564,389
Legacy^[2]			77,675		80,818
Consumer:
	Credit cards		1,128,611		1,155,229
	Home equity lines of credit		357,508		366,162
	Personal		1,353,594		1,375,452
	Auto		782,635		767,369
	Other		198,272		206,059
Total loans held-in-portfolio^[1]		$	21,012,930	$	19,404,451

[1]	Non-covered loans held-in-portfolio at March 31, 2015 are net of $97 million in unearned income and exclude $161 million in loans held-for-sale (December 31, 2014 - $94 million in unearned income and $106 million in loans held-for-sale).

[2]	The legacy portfolio is comprised of commercial loans, construction loans and lease financings related to certain lending products exited by the
	Corporation as part of restructuring efforts carried out in prior years at the BPNA segment.

The following table presents the composition of covered loans at March 31, 2015 and December 31, 2014.


(In thousands)	March 31, 2015		December 31, 2014
Commercial real estate	$	1,470,575	$	1,511,472
Commercial and industrial		100,572		103,309
Construction		57,825		70,336
Mortgage		795,477		822,986
Consumer		32,103		34,559
Total covered loans held-in-portfolio	$	2,456,552	$	2,542,662

The following table provides a breakdown of loans held-for-sale (“LHFS”) at March 31, 2015 and December 31, 2014 by main categories.

During the quarter ended March 31, 2015, the Corporation recorded purchases (including repurchases) of mortgage loans amounting to $169 million (2014 - $161million), excluding the impact of the Doral Bank Transaction. Additionally, the Corporation did not purchase consumer and commercial loans during the quarter ended March 31, 2015 (March 31, 2014 - $92 million and $21 million, respectively). The Corporation recorded purchases amounting to $164 thousand of lease financing during the quarter ended March 31, 2015 (March 31, 2014 - $0 million).

The Corporation performed whole-loan sales involving approximately $39 million of residential mortgage loans during the quarter ended March 31, 2015 (March 31, 2014 - $43 million). Also, during the quarter ended March 31, 2015, the Corporation securitized approximately $156 million of mortgage loans into Government National Mortgage Association (“GNMA”) mortgage-backed securities and $47 million of mortgage loans into Federal National Mortgage Association (“FNMA”) mortgage-backed securities, compared to $166 million and $63 million, respectively, during the quarter ended March 31, 2014. The Corporation sold commercial and construction loans with a book value of approximately $1 million during the quarter ended March 31, 2015 (March 31, 2014 - $30 million). In addition, the Corporation sold $5 million in consumer loans during the quarter ended March 31, 2015 (March 31, 2014 - $0 million).

The following tables present non-covered loans held-in-portfolio by loan class that are in non-performing status or are accruing interest but are past due 90 days or more at March 31, 2015 and 2014. Accruing loans past due 90 days or more consist primarily of credit cards, FHA / VA, and other insured mortgage loans, and delinquent mortgage loans which are included in the Corporation's financial statements pursuant to GNMA's buy-back option program. Servicers of loans underlying GNMA mortgage-backed securities must report as their own assets the defaulted loans that they have the option (but not the obligation) to repurchase, even when they elect not to exercise that option. Accruing loans past due 90 days or more also include reverse mortgage loans in Puerto Rico which are guaranteed by FHA, but which are currently not accruing interest. Due to the guaranteed nature of the loans, it is the Corporation's policy to exclude these balances from non-performing assets. In addition, at December 31, 2014 accruing loans past due 90 days or more include residential conventional loans purchased from another financial institution that, although delinquent, the Corporation has received timely payment from the seller / servicer, and, in some instances, have partial guarantees under recourse agreements. However, residential conventional loans purchased from another financial institution, which are in the process of foreclosure, are classified as non-performing mortgage loans.

At March 31, 2015
			Puerto Rico				U.S. mainland				Popular, Inc.

				Accruing				Accruing				Accruing
		Non-accrual		loans past-due		Non-accrual		loans past-due			Non-accrual	loans past-due
(In thousands)		loans [1]		90 days or more		loans		90 days or more			loans	90 days or more
Commercial multi-family		$	2,040	$	-	$	249	$	-	$	2,289	$	-
Commercial real estate non-owner occupied			38,888		-		-		-		38,888		-
Commercial real estate owner occupied			91,762		-		778		-		92,540		-
Commercial and industrial			131,941		466		8,780		-		140,721		466
Construction			13,214		-		-		-		13,214		-
Mortgage^[3]			320,154		428,827		8,461		-		328,615		428,827
Leasing			2,506		-		-		-		2,506		-
Legacy			-		-		2,288		-		2,288		-
Consumer:
	Credit cards		-		20,570		477		-		477		20,570
	Home equity lines of credit		-		195		4,653		-		4,653		195
	Personal		23,843		-		1,246		-		25,089		-
	Auto		11,108		-		-		-		11,108		-
	Other		2,561		952		4		-		2,565		952
Total^[2]		$	638,017	$	451,010	$	26,936	$	-	$	664,953	$	451,010

[1] Non-covered loans of $58 million accounted for under ASC Subtopic 310-30 are excluded from the above table as they are considered to be performing due to the application of the accretion method, in which these loans will accrete interest income over the remaining life of the loans using estimated cash flow analysis.

[2] For purposes of this table non-performing loans exclude $ 8 million in non-performing loans held-for-sale.

[3] It is the Corporation's policy to report delinquent residential mortgage loans insured by FHA or guaranteed by the VA as accruing loans past due 90 days or more as opposed to non-performing since the principal repayment is insured. These balances include $134 million of residential mortgage loans in Puerto Rico insured by FHA or guaranteed by the VA that are no longer accruing interest as of March 31, 2015. Furthermore, the Corporation has approximately $69 million in reverse mortgage loans in Puerto Rico which are guaranteed by FHA, but which are currently not accruing interest. Due to the guaranteed nature of the loans, it is the Corporation's policy to exclude these balances from non-performing assets.

At December 31, 2014
			Puerto Rico				U.S. mainland				Popular, Inc.

				Accruing				Accruing				Accruing
		Non-accrual		loans past-due		Non-accrual		loans past-due			Non-accrual	loans past-due
(In thousands)		loans [1]		90 days or more		loans		90 days or more			loans	90 days or more
Commercial multi-family		$	2,199	$	-	$	-	$	-	$	2,199	$	-
Commercial real estate non-owner occupied			33,452		-		-		-		33,452		-
Commercial real estate owner occupied			92,648		-		805		-		93,453		-
Commercial and industrial			129,611		494		1,510		-		131,121		494
Construction			13,812		-		-		-		13,812		-
Mortgage^[3]			295,629		426,387		9,284		-		304,913		426,387
Leasing			3,102		-		-		-		3,102		-
Legacy			-		-		1,545		-		1,545		-
Consumer:
	Credit cards		-		20,368		449		-		449		20,368
	Home equity lines of credit		-		21		4,090		-		4,090		21
	Personal		25,678		10		1,410		-		27,088		10
	Auto		11,387		-		-		-		11,387		-
	Other		3,865		682		7		-		3,872		682
Total^[2]		$	611,383	$	447,962	$	19,100	$	-	$	630,483	$	447,962

[1] Non-covered loans by $59 million accounted for under ASC Subtopic 310-30 are excluded from the above table as they are considered to be performing due to the application of the accretion method, in which these loans will accrete interest income over the remaining life of the loans using estimated cash flow analysis.

[2] For purposes of this table non-performing loans exclude $ 19 million in non-performing loans held-for-sale.

[3] It is the Corporation's policy to report delinquent residential mortgage loans insured by FHA or guaranteed by the VA as accruing loans past due 90 days or more as opposed to non-performing since the principal repayment is insured. These balances include $125 million of residential mortgage loans in Puerto Rico insured by FHA or guaranteed by the VA that are no longer accruing interest as of December 31, 2014. Furthermore, the Corporation has approximately $66 million in reverse mortgage loans in Puerto Rico which are guaranteed by FHA, but which are currently not accruing interest. Due to the guaranteed nature of the loans, it is the Corporation's policy to exclude these balances from non-performing assets.

The following tables present loans by past due status at March 31, 2015 and December 31, 2014 for non-covered loans held-in-portfolio (net of unearned income).

March 31, 2015
Puerto Rico

			Past due									Non-covered
		30-59		60-89		90 days		Total				loans HIP
(In thousands)		days		days		or more		past due		Current		Puerto Rico
Commercial multi-family		$	-	$	-	$	2,040	$	2,040	$	87,493	$	89,533
Commercial real estate non-owner occupied			44,939		2,193		39,002		86,134		2,056,220		2,142,354
Commercial real estate owner occupied			11,716		2,765		91,762		106,243		1,323,446		1,429,689
Commercial and industrial			15,412		1,651		132,407		149,470		2,590,463		2,739,933
Construction			608		-		13,214		13,822		84,884		98,706
Mortgage			334,537		167,235		807,018		1,308,790		4,862,457		6,171,247
Leasing			7,570		1,518		2,506		11,594		569,525		581,119
Consumer:
	Credit cards		12,504		9,359		20,570		42,433		1,072,071		1,114,504
	Home equity lines of credit		-		-		195		195		11,968		12,163
	Personal		13,132		6,974		24,083		44,189		1,200,892		1,245,081
	Auto		31,933		7,325		11,108		50,366		732,182		782,548
	Other		678		300		3,520		4,498		193,412		197,910
Total		$	473,029	$	199,320	$	1,147,425	$	1,819,774	$	14,785,013	$	16,604,787

March 31, 2015
U.S. mainland
			Past due
		30-59		60-89		90 days		Total				Loans HIP
(In thousands)		days		days		or more		past due		Current		U.S. mainland
Commercial multi-family		$	204	$	-	$	249	$	453	$	475,750	$	476,203
Commercial real estate non-owner occupied			50		-		-		50		658,269		658,319
Commercial real estate owner occupied			3,599		-		778		4,377		209,120		213,497
Commercial and industrial			1,276		236		8,780		10,292		893,741		904,033
Construction			671		-		-		671		591,351		592,022
Mortgage			27,211		5,043		8,461		40,715		977,265		1,017,980
Legacy			3,713		594		2,288		6,595		71,080		77,675
Consumer:
	Credit cards		267		119		477		863		13,244		14,107
	Home equity lines of credit		3,858		1,081		4,653		9,592		335,753		345,345
	Personal		2,008		659		1,246		3,913		104,600		108,513
	Auto		-		-		-		-		87		87
	Other		-		-		4		4		358		362
Total		$	42,857	$	7,732	$	26,936	$	77,525	$	4,330,618	$	4,408,143

March 31, 2015
Popular, Inc.

			Past due									Non-covered
		30-59		60-89		90 days		Total					loans HIP
(In thousands)		days		days		or more		past due		Current			Popular, Inc.
Commercial multi-family		$	204	$	-	$	2,289	$	2,493	$	563,243	$	565,736
Commercial real estate non-owner occupied			44,989		2,193		39,002		86,184		2,714,489		2,800,673
Commercial real estate owner occupied			15,315		2,765		92,540		110,620		1,532,566		1,643,186
Commercial and industrial			16,688		1,887		141,187		159,762		3,484,204		3,643,966
Construction			1,279		-		13,214		14,493		676,235		690,728
Mortgage			361,748		172,278		815,479		1,349,505		5,839,722		7,189,227
Leasing			7,570		1,518		2,506		11,594		569,525		581,119
Legacy			3,713		594		2,288		6,595		71,080		77,675
Consumer:
	Credit cards		12,771		9,478		21,047		43,296		1,085,315		1,128,611
	Home equity lines of credit		3,858		1,081		4,848		9,787		347,721		357,508
	Personal		15,140		7,633		25,329		48,102		1,305,492		1,353,594
	Auto		31,933		7,325		11,108		50,366		732,269		782,635
	Other		678		300		3,524		4,502		193,770		198,272
Total		$	515,886	$	207,052	$	1,174,361	$	1,897,299	$	19,115,631	$	21,012,930

December 31, 2014
Puerto Rico

			Past due									Non-covered
			30-59		60-89		90 days	Total				loans HIP
(In thousands)			days		days		or more	past due		Current		Puerto Rico
Commercial multi-family		$	221	$	69	$	2,199	$	2,489	$	77,588	$	80,077
Commercial real estate non-owner occupied			9,828		121		33,452		43,401		1,970,178		2,013,579
Commercial real estate owner occupied			8,954		7,709		92,648		109,311		1,364,051		1,473,362
Commercial and industrial			18,498		5,269		130,105		153,872		2,653,913		2,807,785
Construction			2,497		-		13,812		16,309		143,075		159,384
Mortgage			304,319		167,219		780,678		1,252,216		4,198,285		5,450,501
Leasing			6,779		1,246		3,102		11,127		553,262		564,389
Consumer:
	Credit cards		13,715		9,290		20,368		43,373		1,096,791		1,140,164
	Home equity lines of credit		137		159		21		317		13,083		13,400
	Personal		13,479		6,646		25,688		45,813		1,216,720		1,262,533
	Auto		34,238		8,397		11,387		54,022		713,274		767,296
	Other		1,009		209		4,547		5,765		199,879		205,644
Total		$	413,674	$	206,334	$	1,118,007	$	1,738,015	$	14,200,099	$	15,938,114

December 31, 2014
U.S. mainland
			Past due
			30-59		60-89		90 days		Total				Loans HIP
(In thousands)			days		days		or more		past due		Current		U.S. mainland
Commercial multi-family		$	87	$	376	$	-	$	463	$	406,740	$	407,203
Commercial real estate non-owner occupied			1,478		-		-		1,478		511,089		512,567
Commercial real estate owner occupied			45		3,631		805		4,481		189,424		193,905
Commercial and industrial			1,133		123		1,510		2,766		643,023		645,789
Construction			810		-		-		810		91,626		92,436
Mortgage			29,582		8,646		9,284		47,512		1,004,873		1,052,385
Legacy			929		1,931		1,545		4,405		76,413		80,818
Consumer:
	Credit cards		314		246		449		1,009		14,056		15,065
	Home equity lines of credit		5,036		1,025		4,090		10,151		342,611		352,762
	Personal		2,476		893		1,410		4,779		108,140		112,919
	Auto		-		-		-		-		73		73
	Other		10		4		7		21		394		415
Total		$	41,900	$	16,875	$	19,100	$	77,875	$	3,388,462	$	3,466,337

December 31, 2014
Popular, Inc.

			Past due									Non-covered
			30-59		60-89		90 days		Total			loans HIP
(In thousands)			days		days		or more		past due	Current		Popular, Inc.
Commercial multi-family		$	308	$	445	$	2,199	$	2,952	$	484,328	$	487,280
Commercial real estate non-owner occupied			11,306		121		33,452		44,879		2,481,267		2,526,146
Commercial real estate owner occupied			8,999		11,340		93,453		113,792		1,553,475		1,667,267
Commercial and industrial			19,631		5,392		131,615		156,638		3,296,936		3,453,574
Construction			3,307		-		13,812		17,119		234,701		251,820
Mortgage			333,901		175,865		789,962		1,299,728		5,203,158		6,502,886
Leasing			6,779		1,246		3,102		11,127		553,262		564,389
Legacy			929		1,931		1,545		4,405		76,413		80,818
Consumer:
	Credit cards		14,029		9,536		20,817		44,382		1,110,847		1,155,229
	Home equity lines of credit		5,173		1,184		4,111		10,468		355,694		366,162
	Personal		15,955		7,539		27,098		50,592		1,324,860		1,375,452
	Auto		34,238		8,397		11,387		54,022		713,347		767,369
	Other		1,019		213		4,554		5,786		200,273		206,059
Total		$	455,574	$	223,209	$	1,137,107	$	1,815,890	$	17,588,561	$	19,404,451

The following table provides a breakdown of loans held-for-sale (“LHFS”) in non-performing status at March 31, 2015 and December 31, 2014 by main categories.

The following table presents loans acquired as part of the Doral transaction accounted for pursuant to ASC Subtopic 310-30 at the February 27, 2015 acquisition date.


(In thousands)
Contractually-required principal and interest	$	233,987
Non-accretable difference		43,904
Cash flows expected to be collected		190,083
Accretable yield		46,150
Fair value of loans accounted for under ASC Subtopic 310-30	$	143,933

The following table presents acquired loans accounted for under ASC subtopic 310-20 as of the February 27, 2015 acquisition date:


(In thousands)
Fair value of loans accounted under ASC Subtopic 310-20	$	1,521,524
Gross contractual amounts receivable (principal and interest)	$	2,014,755
Estimate of contractual cash flows not expected to be collected	$	39,348

The outstanding principal balance of non-covered loans accounted pursuant to ASC Subtopic 310-30, amounted to $413 million at March 31, 2015 (December 31, 2014 - $243 million). At March 31, 2015, none of the acquired non-covered loans accounted under ASC Subtopic 310-30 were considered non-performing loans. Therefore, interest income, through accretion of the difference between the carrying amount of the loans and the expected cash flows, was recognized on all acquired loans.

Changes in the carrying amount and the accretable yield for the non-covered loans accounted pursuant to the ASC Subtopic 310-30, for the quarters ended March 31, 2015 and 2014 were as follows:



Activity in the accretable yield - Non-covered loans ASC 310-30
	For the quarters ended
(In thousands)	March 31, 2015 [1]			March 31, 2014
Beginning balance	$	116,304	$	49,398
Additions		50,662		7,084
Accretion		(3,223)		(2,374)
Change in expected cash flows		(5,319)		13,177
Ending balance	$	158,424	$	67,285
[1] Includes loans acquired in the Doral Bank transaction.

Carrying amount of non-covered loans accounted for pursuant to ASC 310-30
		For the quarters ended
(In thousands)		March 31, 2015 [1]		March 31, 2014
Beginning balance		$	212,763	$	173,659
Additions			157,091		20,042
Accretion			3,223		2,374
Collections and charge-offs			(9,980)		(5,859)
Ending balance		$	363,097	$	190,216
	Allowance for loan losses ASC 310-30 non-covered loans		(16,092)		(15,078)
Ending balance, net of allowance for loan losses		$	347,005	$	175,138
[1] Includes loans acquired in the Doral Bank transaction.

The following table presents covered loans in non-performing status and accruing loans past-due 90 days or more by loan class at March 31, 2015 and December 31, 2014.

	March 31, 2015				December 31, 2014

	Non-accrual		Accruing loans past		Non-accrual		Accruing loans past
(In thousands)	loans		due 90 days or more		loans		due 90 days or more
Commercial real estate	$	7,375	$	-	$	8,810	$	-
Commercial and industrial		4,179		-		1,142		-
Construction		2,627		-		2,770		-
Mortgage		5,075		25		4,376		28
Consumer		398		-		735		-
Total^[1]	$	19,654	$	25	$	17,833	$	28

[1] Covered loans accounted for under ASC Subtopic 310-30 are excluded from the above table as they are considered to be performing due to the application of the accretion method, in which these loans will accrete interest income over the remaining life of the loans using estimated cash flow analyses.

The following tables present loans by past due status at March 31, 2015 and December 31, 2014 for covered loans held-in-portfolio. The information considers covered loans accounted for under ASC Subtopic 310-20 and ASC Subtopic 310-30.

March 31, 2015

		Past due
	30-59		60-89		90 days		Total				Covered
(In thousands)	days		days		or more		past due		Current		loans HIP
Commercial real estate	$	48,825	$	3,666	$	255,571	$	308,062	$	1,162,513	$	1,470,575
Commercial and industrial		515		211		9,045		9,771		90,801		100,572
Construction		-		2,420		46,517		48,937		8,888		57,825
Mortgage		41,509		24,033		131,139		196,681		598,796		795,477
Consumer		1,720		1,058		2,039		4,817		27,286		32,103
Total covered loans	$	92,569	$	31,388	$	444,311	$	568,268	$	1,888,284	$	2,456,552

December 31, 2014

		Past due
		30-59	60-89		90 days		Total				Covered
(In thousands)		days	days		or more		past due			Current	loans HIP
Commercial real estate	$	98,559	$	12,597	$	291,010	$	402,166	$	1,109,306	$	1,511,472
Commercial and industrial		512		7		7,756		8,275		95,034		103,309
Construction		-		384		58,665		59,049		11,287		70,336
Mortgage		45,764		23,531		143,140		212,435		610,551		822,986
Consumer		1,884		747		2,532		5,163		29,396		34,559
Total covered loans	$	146,719	$	37,266	$	503,103	$	687,088	$	1,855,574	$	2,542,662

The carrying amount of the covered loans consisted of loans determined to be impaired at the time of acquisition, which are accounted for in accordance with ASC Subtopic 310-30 (“credit impaired loans”), and loans that were considered to be performing at the acquisition date, accounted for by analogy to ASC Subtopic 310-30 (“non-credit impaired loans”), as detailed in the following table.

	March 31, 2015						December 31, 2014

	Carrying amount						Carrying amount
(In thousands)		Non-credit impaired loans		Credit impaired loans		Total		Non-credit impaired loans		Credit impaired loans		Total
Commercial real estate	$	1,367,926	$	80,924	$	1,448,850	$	1,392,482	$	90,202	$	1,482,684
Commercial and industrial		54,709		1,788		56,497		57,059		2,197		59,256
Construction		24,252		28,574		52,826		32,836		32,409		65,245
Mortgage		740,653		42,795		783,448		764,148		45,829		809,977
Consumer		24,241		1,234		25,475		25,617		1,393		27,010
Carrying amount		2,211,781		155,315		2,367,096		2,272,142		172,030		2,444,172
Allowance for loan losses		(49,750)		(18,636)		(68,386)		(52,798)		(26,048)		(78,846)
Carrying amount, net of allowance	$	2,162,031	$	136,679	$	2,298,710	$	2,219,344	$	145,982	$	2,365,326

The outstanding principal balance of covered loans accounted pursuant to ASC Subtopic 310-30, amounted to $2.9 billion at March 31, 2015 (December 31, 2014 - $3.1 billion). At March 31, 2015, none of the acquired loans from the Westernbank FDIC-assisted transaction accounted for under ASC Subtopic 310-30 were considered non-performing loans. Therefore, interest income, through accretion of the difference between the carrying amount of the loans and the expected cash flows, was recognized on all acquired loans.

Changes in the carrying amount and the accretable yield for the covered loans accounted pursuant to the ASC Subtopic 310-30, for the quarters ended March 31, 2015 and 2014, were as follows:

	Activity in the accretable yield
	Covered loans ASC 310-30
	For the quarters ended
	March 31, 2015						March 31, 2014
		Non-credit		Credit				Non-credit		Credit
(In thousands)		impaired loans		impaired loans		Total		impaired loans		impaired loans		Total
Beginning balance	$	1,265,752	$	5,585	$	1,271,337	$	1,297,725	$	11,480	$	1,309,205
Accretion		(53,776)		(1,921)		(55,697)		(72,552)		(6,566)		(79,118)
Change in expected cash flows		42,273		1,035		43,308		(12,467)		592		(11,875)
Ending balance	$	1,254,249	$	4,699	$	1,258,948	$	1,212,706	$	5,506	$	1,218,212

		Carrying amount of covered loans accounted for pursuant to ASC 310-30
		For the quarters ended
		March 31, 2015 [1]						March 31, 2014
			Non-credit		Credit				Non-credit		Credit
(In thousands)			impaired loans		impaired loans		Total		impaired loans		impaired loans		Total
Beginning balance		$	2,272,142	$	172,030	$	2,444,172	$	2,509,075	$	318,872	$	2,827,947
Accretion			53,776		1,921		55,697		72,552		6,566		79,118
Collections and charge-offs			(114,137)		(18,636)		(132,773)		(112,174)		(61,769)		(173,943)
Ending balance		$	2,211,781	$	155,315	$	2,367,096	$	2,469,453	$	263,669	$	2,733,122
	Allowance for loan losses
	ASC 310-30 covered loans		(49,750)		(18,636)		(68,386)		(56,953)		(33,418)		(90,371)
Ending balance, net of ALLL		$	2,162,031	$	136,679	$	2,298,710	$	2,412,500	$	230,251	$	2,642,751
[1] Includes $64 million of non-covered loans accounted for pursuant to ASC 310-30.

The Corporation accounts for lines of credit with revolving privileges under the accounting guidance of ASC Subtopic 310-20, which requires that any differences between the contractually required loans payment receivable in excess of the initial investment in the loans be accreted into interest income over the life of the loans, if the loan is accruing interest. Covered loans accounted for under ASC Subtopic 310-20 amounted to $0.1 billion at March 31, 2015 (December 31, 2014 - $0.1 billion).