Loans, Allowance for Loan Losses and Credit Quality (Tables)

9 Months Ended

Sep. 30, 2012

Loans, Allowance for Loan Losses and Credit Quality [Abstract]

Allowance for loans based on collective and individual evaluation of impairment by loan category

The following tables bifurcates the amount of allowance allocated to each loan category based on collective impairment analysis or evaluated individually for impairment as of the periods indicated:

	September 30, 2012
	(Dollars in Thousands)
	Commercial and Industrial		Commercial Real Estate		Commercial Construction		Small Business		Residential Real Estate		Consumer Home Equity		Consumer Other		Total
FINANCING RECEIVABLES:
Ending Balance: Total Loans by Group	$	653,861	$	1,939,245	$	175,731	$	78,794	$	384,948	$	794,375	$	29,181	$	4,056,135	(1	)
Ending Balance: Individually Evaluated for Impairment	$	8,451	$	35,653	$	—	$	2,636	$	16,273	$	4,284	$	2,293	$	69,590
Ending Balance: Collectively Evaluated for Impairment	$	645,410	$	1,903,592	$	175,731	$	76,158	$	368,675	$	790,091	$	26,888	$	3,986,545

	December 31, 2011
	(Dollars in Thousands)
	Commercial and Industrial		Commercial Real Estate		Commercial Construction		Small Business		Residential Real Estate		Consumer Home Equity		Consumer Other		Total
FINANCING RECEIVABLES:
Ending Balance: Total Loans by Group	$	575,716	$	1,847,654	$	128,904	$	78,509	$	426,201	$	696,063	$	41,343	$	3,794,390	(1	)
Ending Balance: Individually Evaluated for Impairment	$	5,608	$	37,476	$	843	$	2,326	$	12,984	$	326	$	2,138	$	61,701
Ending Balance: Collectively Evaluated for Impairment	$	570,108	$	1,810,178	$	128,061	$	76,183	$	413,217	$	695,737	$	39,205	$	3,732,689

(1) The amount of deferred fees included in the ending balance was $3.2 million and $2.9 million at September 30, 2012 and December 31, 2011, respectively.

Summary of changes in allowance for loan losses

The following tables summarize changes in allowance for loan losses by loan category for the periods indicated:

	Three Months Ended September 30, 2012
	(Dollars in Thousands)
	Commercial and Industrial			Commercial Real Estate			Commercial Construction		Small Business			Residential Real Estate			Consumer Home Equity			Consumer Other			Total
ALLOWANCE FOR LOAN LOSSES:
Beginning Balance	$	11,558		$	21,376		$	2,220	$	1,320		$	2,981		$	7,854		$	1,094		$	48,403
Charge-offs	(1,267		)	(621		)	—		(98		)	(227		)	(365		)	(247		)	(2,825		)
Recoveries	122			188			—		21			79			36			116			562
Provision	1,555			962			359		128			101			443			58			3,606
Ending Balance	$	11,968		$	21,905		$	2,579	$	1,371		$	2,934		$	7,968		$	1,021		$	49,746

	Three Months Ended September 30, 2011
	(Dollars in Thousands)
	Commercial and Industrial			Commercial Real Estate			Commercial Construction			Small Business			Residential Real Estate			Consumer Home Equity			Consumer Other			Total
ALLOWANCE FOR LOAN LOSSES:
Beginning Balance	$	11,083		$	22,995		$	2,071		$	2,053		$	3,242		$	3,713		$	1,480		$	46,637
Charge-offs	(749		)	(242		)	—			(386		)	(88		)	(333		)	(374		)	(2,172		)
Recoveries	77			98			425			18			—			13			182			813
Provision	1,191			134			(605		)	312			27			723			218			2,000
Ending Balance	$	11,602		$	22,985		$	1,891		$	1,997		$	3,181		$	4,116		$	1,506		$	47,278

							Nine Months Ended September 30, 2012
							(Dollars in Thousands)
	Commercial  and Industrial			Commercial Real Estate			Commercial Construction		Small Business			Residential Real Estate			Consumer Home Equity			Consumer Other			Total
ALLOWANCE FOR LOAN LOSSES:
Beginning Balance	$	11,682		$	23,514		$	2,076	$	1,896		$	3,113		$	4,597		$	1,382		$	48,260
Charge-offs	(5,989		)	(3,358		)	—		(404		)	(441		)	(2,506		)	(840		)	(13,538		)
Recoveries	435			188			—		119			79			67			430			1,318
Provision	5,840			1,561			503		(240		)	183			5,810			49			13,706
Ending Balance	$	11,968		$	21,905		$	2,579	$	1,371		$	2,934		$	7,968		$	1,021		$	49,746
Ending Balance: Individually Evaluated for Impairment	$	281		$	737		$	—	$	201		$	1,326		$	36		$	174		$	2,755
Ending Balance: Collectively Evaluated for Impairment	$	11,687		$	21,168		$	2,579	$	1,170		$	1,608		$	7,932		$	847		$	46,991

							Nine Months Ended September 30, 2011
							(Dollars in Thousands)
	Commercial and Industrial			Commercial Real Estate			Commercial Construction			Small Business			Residential Real  Estate			Consumer Home Equity			Consumer Other			Total
ALLOWANCE FOR LOAN LOSSES:
Beginning Balance	$	10,423		$	21,939		$	2,145		$	3,740		$	2,915		$	3,369		$	1,724		$	46,255
Charge-offs	(2,455		)	(1,386		)	(769		)	(970		)	(490		)	(912		)	(1,261		)	(8,243		)
Recoveries	348			98			500			72			—			30			536			1,584
Provision	3,286			2,334			15			(845		)	756			1,629			507			7,682
Ending Balance	$	11,602		$	22,985		$	1,891		$	1,997		$	3,181		$	4,116		$	1,506		$	47,278
Ending Balance: Individually Evaluated for Impairment	$	558		$	306		$	—		$	299		$	1,258		$	24		$	240		$	2,685
Ending Balance: Collectively Evaluated for Impairment	$	11,044		$	22,679		$	1,891		$	1,698		$	1,923		$	4,092		$	1,266		$	44,593

Internal risk-rating categories for the Company's commercial portfolio

The following table details the internal risk-rating categories for the Company’s commercial portfolio:

		September 30, 2012
Category	Risk Rating	Commercial  and Industrial		Commercial Real Estate		Commercial Construction		Small Business		Total
		(Dollars in Thousands)
PASS	1 - 6	$	615,349	$	1,759,857	$	164,545	$	71,340	$	2,611,091
POTENTIAL WEAKNESS	7	19,584		77,791		6,159		3,673		107,207
DEFINITE WEAKNESS—LOSS UNLIKELY	8	17,541		100,602		5,027		3,697		126,867
PARTIAL LOSS PROBABLE	9	1,387		995		—		84		2,466
DEFINITE LOSS	10	—		—		—		—		—
TOTAL		$	653,861	$	1,939,245	$	175,731	$	78,794	$	2,847,631

		December 31, 2011
Category	Risk Rating	Commercial  and Industrial		Commercial Real Estate		Commercial Construction		Small Business		Total
		(Dollars in Thousands)
PASS	1 - 6	$	528,798	$	1,626,745	$	114,633	$	70,543	$	2,340,719
POTENTIAL WEAKNESS	7	33,313		124,661		7,859		4,041		169,874
DEFINITE WEAKNESS—LOSS UNLIKELY	8	12,683		93,438		6,412		3,762		116,295
PARTIAL LOSS PROBABLE	9	922		2,810		—		163		3,895
DEFINITE LOSS	10	—		—		—		—		—
TOTAL		$	575,716	$	1,847,654	$	128,904	$	78,509	$	2,630,783

Weighted average FICO scores and the weighted average combined LTV ratio

The following table shows the weighted average FICO scores and the weighted average combined LTV ratios as of the periods indicated below:

	September 30, 2012		December 31, 2011
RESIDENTIAL PORTFOLIO:
FICO Score (re-scored) (1)	727		731
Combined LTV (re-valued) (2)	67.0	%	67.0	%
HOME EQUITY PORTFOLIO:
FICO Score (re-scored) (1)	763		762
Combined LTV (re-valued) (2)	55.0	%	55.0	%

(1) The average FICO scores for September 30, 2012 are based upon rescores available from August 2012 and actual score data for loans booked between September 1 and September 30, 2012. The average FICO scores for December 31, 2011 are based upon rescores available from November 2011 and actual score data for loans booked between December 1 and December 31, 2011.

(2) The combined LTV ratios for September 30, 2012 are based upon updated automated valuations as of May 31, 2012. The combined LTV ratios for December 31, 2011 are based upon updated automated valuations as of November 30, 2011.

Summary of nonaccrual loans

The following table shows nonaccrual loans at the dates indicated:

	September 30, 2012		December 31, 2011
	(Dollars In Thousands)
COMMERCIAL AND INDUSTRIAL	$	2,981	$	1,883
COMMERCIAL REAL ESTATE	9,249		12,829
COMMERCIAL CONSTRUCTION	—		280
SMALL BUSINESS	604		542
RESIDENTIAL REAL ESTATE	10,383		9,867
HOME EQUITY	7,608		3,130
CONSUMER—OTHER	181		381
TOTAL NONACCRUAL LOANS (1)	$	31,006	$	28,912

(1) Included in these amounts were $6.0 million and $9.2 million of nonaccruing TDRs at September 30, 2012 and December 31, 2011, respectively.

Age analysis of past due financing receivables

The following table shows the age analysis of past due financing receivables as of the dates indicated:

	September 30, 2012
	30-59 days			60-89 days			90 days or more			Total Past Due					Total Financing Receivables		Recorded Investment >90 Days and Accruing
	Number of Loans	Principal Balance		Number of Loans	Principal Balance		Number of Loans	Principal Balance		Number of Loans	Principal Balance		Current
	(Dollars in Thousands)
LOAN PORTFOLIO:
Commercial and Industrial	11	$	1,266	10	$	987	25	$	1,783	46	$	4,036	$	649,825	$	653,861	$	—
Commercial Real Estate	12	2,375		7	1,319		27	6,580		46	10,274		1,928,971		1,939,245		—
Commercial Construction	1	155		—	—		—	—		1	155		175,576		175,731		—
Small Business	9	410		3	46		8	315		20	771		78,023		78,794		—
Residential Real Estate	15	3,352		9	2,698		30	6,365		54	12,415		363,245		375,660		—
Residential Construction	—	—		—	—		—	—		—	—		9,288		9,288		—
Home Equity	17	993		8	327		20	1,696		45	3,016		791,359		794,375		35
Consumer—Other	144	972		40	196		30	154		214	1,322		27,859		29,181		41
TOTAL	209	$	9,523	77	$	5,573	140	$	16,893	426	$	31,989	$	4,024,146	$	4,056,135	$	76

	December 31, 2011
	30-59 days			60-89 days			90 days or more			Total Past Due					Total Financing Receivables		Recorded Investment >90 Days and Accruing
	Number of Loans	Principal Balance		Number of Loans	Principal Balance		Number of Loans	Principal Balance		Number of Loans	Principal Balance		Current
	(Dollars in Thousands)
LOAN PORTFOLIO:
Commercial and Industrial	21	$	2,143	10	$	2,709	20	$	1,279	51	$	6,131	$	569,585	$	575,716	$	—
Commercial Real Estate	7	3,684		7	2,522		29	6,737		43	12,943		1,834,711		1,847,654		—
Commercial Construction	—	—		—	—		3	280		3	280		128,624		128,904		—
Small Business	19	320		3	21		12	148		34	489		78,020		78,509		—
Residential Real Estate	14	2,770		10	3,208		31	6,065		55	12,043		404,527		416,570		—
Residential Construction	—	—		—	—		—	—		—	—		9,631		9,631		—
Home Equity	28	1,483		19	1,139		19	1,502		66	4,124		691,939		696,063		—
Consumer—Other	260	1,821		57	303		58	374		375	2,498		38,845		41,343		41
TOTAL	349	$	12,221	106	$	9,902	172	$	16,385	627	$	38,508	$	3,755,882	$	3,794,390	$	41

Summary of Troubled Debt Restructuring and other pertinent information

The following table shows the Company’s total TDRs and other pertinent information as of the dates indicated:

	September 30, 2012		December 31, 2011
	(Dollars in Thousands)
TDRs ON ACCRUAL STATUS	$	46,823	$	37,151
TDRs ON NONACCRUAL	5,962		9,230
TOTAL TDRs	$	52,785	$	46,381
AMOUNT OF SPECIFIC RESERVES INCLUDED IN THE ALLOWANCE FOR LOAN LOSSES ASSOCIATED WITH TDRs:	$	2,189	$	1,887
ADDITIONAL COMMITMENTS TO LEND TO A BORROWER WHO HAS BEEN A PARTY TO A TDR:	$	896	$	693

Change in investment recorded subsequent to modifications

The following table shows the modifications which occurred during the periods indicated and the change in the recorded investment subsequent to the modifications occurring:

	Three Months Ended,					Nine Months Ended
	September 30, 2012					September 30, 2012
	Number of Contracts	Pre-Modification Outstanding Recorded Investment		Post-Modification Outstanding Recorded Investment (1)		Number of Contracts	Pre-Modification Outstanding Recorded Investment		Post-Modification Outstanding Recorded Investment (1)
				(Dollars in Thousands)
TROUBLED DEBT RESTRUCTURINGS:
Commercial & Industrial	4	$	329	$	329	15	$	1,602	$	1,602
Commercial Real Estate	5	1,624		1,624		13	6,274		6,274
Small Business	8	327		327		16	724		724
Residential Real Estate	5	889		893		9	1,539		1,543
Home Equity	3	111		113		12	767		769
Consumer—Other	8	57		57		30	459		459
TOTAL	33	$	3,337	$	3,343	95	$	11,365	$	11,371

(1) The post-modification balances represent the balance of the loan on the date of modifications. These amounts may show an increase when modifications include a capitalization of interest.

	Three Months Ended					Nine Months Ended
	September 30, 2011					September 30, 2011
	Number of Contracts	Pre-Modification Outstanding Recorded Investment		Post-Modification Outstanding Recorded Investment (1)		Number of Contracts	Pre-Modification Outstanding Recorded Investment		Post-Modification Outstanding Recorded Investment (1)
				(Dollars in Thousands)
TROUBLED DEBT RESTRUCTURINGS:
Commercial & Industrial	1	$	200	$	200	5	$	410	$	410
Commercial Real Estate	2	872		872		8	6,151		6,151
Small Business	14	480		480		34	1,267		1,267
Residential Real Estate	2	203		203		11	3,082		3,130
Consumer—Home Equity	—	—		—		3	127		127
Consumer—Other	26	302		302		71	816		816
TOTAL	45	$	2,057	$	2,057	132	$	11,853	$	11,901

(1) The post-modification balances represent the balance of the loan on the date of modifications. These amounts may show an increase when modifications include a capitalization of interest.

Post modification balance of Troubled Debt Restructuring

The following table shows the Company’s post-modification balance of TDRs listed by type of modification as of the periods indicated:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2012		2011		2012		2011
	(Dollars in Thousands)				(Dollars in Thousands)
EXTENDED MATURITY	$	721	$	481	$	4,058	$	3,978
ADJUSTED INTEREST RATE	1,207		622		1,561		647
COMBINATION RATE & MATURITY	1,136		954		4,358		7,276
COURT ORDERED CONCESSION	279		—		1,394		—
TOTAL	$	3,343	$	2,057	$	11,371	$	11,901

Troubled Debt Restructurings that subsequently defaulted

The following table shows the loans that have been modified during the past twelve months which have subsequently defaulted during the periods indicated. The Company considers a loan to have defaulted when it reaches 90 days past due.

	Three Months Ended September 30,
	2012			2011
	Number of Contracts	Recorded Investment		Number of Contracts	Recorded Investment
	(Dollars in Thousands)
TROUBLED DEBT RESTRUCTURINGS THAT SUBSEQUENTLY DEFAULTED:
Commercial & Industrial	—	$	—	—	$	—
Commercial Real Estate	1	202		—	—
Small Business	—	—		2	66
Residential Real Estate	1	190		1	378
Consumer—Home Equity	—	—		—	—
Consumer—Other	—	—		2	11
TOTAL	2	$	392	5	$	455

	Nine Months Ended September 30,
	2012			2011
	Number of Contracts	Recorded Investment		Number of Contracts	Recorded Investment
	(Dollars in Thousands)
TROUBLED DEBT RESTRUCTURINGS THAT SUBSEQUENTLY DEFAULTED:
Commercial & Industrial	—	$	—	—	$	—
Commercial Real Estate	1	202		—	—
Small Business	—	—		2	66
Residential Real Estate	1	190		1	378
Consumer—Home Equity	—	—		—	—
Consumer—Other	—	—		2	11
TOTAL	2	$	392	5	$	455

Impaired loans by loan portfolio

The tables below set forth information regarding the Company’s impaired loans by loan portfolio as of the dates indicated:

	September 30, 2012
	Recorded Investment		Unpaid Principal Balance		Related Allowance
	(Dollars in Thousands)
WITH NO RELATED ALLOWANCE RECORDED:
Commercial & Industrial	$	7,434	$	8,427	$	—
Commercial Real Estate	18,387		19,054		—
Commercial Construction	—		—		—
Small Business	1,439		1,506		—
Residential Real Estate	2,702		2,755		—
Consumer—Home Equity	3,485		3,576		—
Consumer—Other	74		75		—
Subtotal	33,521		35,393		—
WITH AN ALLOWANCE RECORDED:
Commercial & Industrial	$	1,017	$	1,517	$	281
Commercial Real Estate	17,266		17,645		737
Commercial Construction	—		—		—
Small Business	1,197		1,229		201
Residential Real Estate	13,571		14,480		1,326
Consumer—Home Equity	799		874		36
Consumer—Other	2,219		2,220		174
Subtotal	36,069		37,965		2,755
TOTAL	$	69,590	$	73,358	$	2,755

	December 31, 2011
	Recorded Investment		Unpaid Principal Balance		Related Allowance
	(Dollars in Thousands)
WITH NO RELATED ALLOWANCE RECORDED:
Commercial & Industrial	$	3,380	$	4,365	$	—
Commercial Real Estate	19,433		20,010		—
Commercial Construction	843		843		—
Small Business	1,131		1,193		—
Residential Real Estate	—		—		—
Consumer—Home Equity	22		22		—
Consumer—Other	31		32		—
Subtotal	24,840		26,465		—
WITH AN ALLOWANCE RECORDED:
Commercial & Industrial	$	2,228	$	2,280	$	562
Commercial Real Estate	18,043		19,344		457
Commercial Construction	—		—		—
Small Business	1,195		1,218		148
Residential Real Estate	12,984		13,651		1,245
Consumer—Home Equity	304		349		31
Consumer—Other	2,107		2,125		239
Subtotal	36,861		38,967		2,682
TOTAL	$	61,701	$	65,432	$	2,682

Interest income recognized on impaired loans

The following tables set forth information regarding interest income recognized on impaired loans, by portfolio, for the periods indicated:

	Three Months Ended				Nine Months Ended
	September 30, 2012				September 30, 2012
	Average Recorded Investment		Interest Income Recognized		Average Recorded Investment		Interest Income Recognized
	(Dollars in Thousands)
WITH NO RELATED ALLOWANCE RECORDED:
Commercial & Industrial	$	8,181	$	107	$	8,584	$	323
Commercial Real Estate	18,625		329		19,033		1,005
Commercial Construction	—		—		—		—
Small Business	1,461		25		1,543		79
Residential Real Estate	2,709		81		2,730		84
Consumer—Home Equity	3,527		39		3,571		117
Consumer—Other	81		1		78		3
Subtotal	34,584		582		35,539		1,611
WITH AN ALLOWANCE RECORDED:
Commercial & Industrial	$	1,077	$	23	$	1,487	$	74
Commercial Real Estate	17,444		255		18,103		790
Commercial Construction	—		—		—		—
Small Business	1,176		16		1,171		49
Residential Real Estate	13,592		168		13,720		434
Consumer—Home Equity	803		14		815		41
Consumer—Other	2,283		30		2,447		98
Subtotal	36,375		506		37,743		1,486
TOTAL	$	70,959	$	1,088	$	73,282	$	3,097

	Three Months Ended				Nine Months Ended
	September 30, 2011				September 30, 2011
	Average Recorded Investment		Interest Income Recognized		Average Recorded Investment		Interest Income Recognized
	(Dollars in Thousands)
WITH NO RELATED ALLOWANCE RECORDED:
Commercial & Industrial	$	2,236	$	46	$	2,527	$	143
Commercial Real Estate	19,391		345		19,600		1,020
Commercial Construction	551		11		560		32
Small Business	1,641		28		1,627		82
Residential Real Estate	2		—		5		—
Consumer—Home Equity	22		—		22		1
Consumer—Other	90		2		113		5
Subtotal	23,933		432		24,454		1,283
WITH AN ALLOWANCE RECORDED:
Commercial & Industrial	$	756	$	12	$	926	$	41
Commercial Real Estate	13,247		183		13,304		569
Commercial Construction	—		—		—		—
Small Business	1,401		21		1,505		67
Residential Real Estate	12,721		132		12,744		378
Consumer—Home Equity	457		8		480		22
Consumer—Other	2,043		20		1,919		56
Subtotal	30,625		376		30,878		1,133
TOTAL	$	54,558	$	808	$	55,332	$	2,416