Segment Information

6 Months Ended

Jun. 30, 2011

NOTE 5 — SEGMENT INFORMATION

The Company’s operating segments include banking, mortgage banking, consumer finance, automobile lending and title insurance. The reportable segments are determined by the products and services offered, and internal reporting. Loans, investments and deposits provide the revenues in the banking operation; loans and fees provide the revenues in consumer finance and mortgage banking and insurance commissions provide revenues for the title insurance company. Consumer finance, automobile lending and title insurance do not meet the quantitative threshold on an individual basis, and are therefore shown below in “Other Segments”. Mortgage banking operations are included in “Bank”. All operations are domestic.

Segment performance is evaluated using net interest income and non-interest income. Income taxes are allocated based on income before income taxes, and indirect expenses (includes management fees) are allocated based on time spent for each segment. Transactions among segments are made at fair value. Information reported internally for performance assessment follows.


Three months ended June 30, 2011	Bank			Other Segments		Holding Company			Eliminations			Totals
Net interest income (expense)	$	17,777		$	2,186	$	(511	)	$	—		$	19,452
Provision for loan losses		14,119			214		—			—			14,333
Noninterest income		8,019			381		64			(228	)		8,236
Noninterest expense		23,110			1,184		704			(228	)		24,770
Income tax expense (benefit)		(285	)		464		(460	)		—			(281	)

Segment profit (loss)	$	(11,148	)	$	705	$	(691	)	$	—		$	(11,134	)


Segment assets at June 30, 2011	$	2,242,705		$	43,448	$	7,662		$	—		$	2,293,815


Three months ended June 30, 2010	Bank		Other Segments		Holding Company			Eliminations			Totals
Net interest income (expense)	$	19,859	$	2,103	$	(489	)	$	—		$	21,473
Provision for loan losses		4,439		310		—			—			4,749
Noninterest income		8,529		417		52			(227	)		8,771
Noninterest expense		19,948		1,141		412			(227	)		21,274
Income tax expense (benefit)		1,287		418		(295	)		—			1,410

Segment profit (loss)	$	2,714	$	651	$	(554	)	$	—		$	2,811


Segment assets at June 30, 2010	$	2,477,386	$	42,234	$	9,712		$	—		$	2,529,332


Six months ended June 30, 2011	Bank			Other Segments		Holding Company			Eliminations			Totals
Net interest income (expense)	$	35,387		$	4,334	$	(1,003	)	$	—		$	38,718
Provision for loan losses		27,745			484		—			—			28,229
Noninterest income		15,399			857		78			(470	)		15,864
Noninterest expense		45,226			2,427		615			(470	)		47,798
Income tax expense (benefit)		(331	)		900		(569	)		—			—

Segment profit (loss)		(21,854	)	$	1,380	$	(971	)	$	—		$	(21,445	)


Six months ended June 30, 2010	Bank		Other Segments		Holding Company			Eliminations			Totals
Net interest income (expense)	$	39,927	$	4,166	$	(961	)	$	—		$	43,132
Provision for loan losses		7,795		843		—			—			8,638
Noninterest income		16,057		788		66			(454	)		16,457
Noninterest expense		39,417		2,256		601			(454	)		41,820
Income tax expense (benefit)		2,915		727		(518	)		—			3,124

Segment profit (loss)		5,857	$	1,128	$	(978	)	$	—		$	6,007

Asset Quality Ratios


As of and for the period ended June 30, 2011	Bank			Other			Total

Nonperforming loans as percentage of total loans, net of unearned income		8.51	%		1.58	%		8.46	%
Nonperforming assets as a percentage of total assets		9.17	%		2.03	%		9.23	%
Allowance for loan losses as a percentage of total loans, net of unearned income		3.87	%		6.86	%		4.02	%
Allowance for loan losses as a percentage of nonperforming loans		45.44	%		532.56	%		47.52	%
YTD net charge-offs to average total loans, net of unearned income		1.91	%		1.42	%		1.93	%


As of and for the period ended June 30, 2010	Bank			Other			Total

Nonperforming loans as percentage of total loans, net of unearned income		3.37	%		1.28	%		3.37	%
Nonperforming assets as a percentage of total assets		5.59	%		1.38	%		5.61	%
Allowance for loan losses as a percentage of total loans, net of unearned income		2.44	%		7.89	%		2.60	%
Allowance for loan losses as a percentage of nonperforming loans		72.35	%		616.49	%		77.02	%
YTD net charge-offs to average total loans, net of unearned income		0.40	%		2.09	%		0.44	%


As of and for the year ended December 31, 2010	Bank			Other			Total

Nonperforming loans as percentage of total loans, net of unearned income		8.40	%		1.30	%		8.35	%
Nonperforming assets as a percentage of total assets		8.52	%		1.34	%		8.56	%
Allowance for loan losses as a percentage of total loans, net of unearned income		3.68	%		7.33	%		3.83	%
Allowance for loan losses as a percentage of nonperforming loans		43.80	%		562.24	%		45.83	%
Net charge-offs to average total loans, net of unearned income		2.76	%		4.20	%		2.84	%


Net charge-offs	Bank		Other		Total

For the six month period ended June 30, 2011	$	31,700	$	631	$	32,331
For the six month period ended June 30, 2010	$	7,847	$	903	$	8,750
For the year ended December 31, 2010	$	52,615	$	1,823	$	54,438