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Mortgage Servicing Rights
 12 Months Ended
Dec. 31, 2012
Transfers and Servicing [Abstract]  
Mortgage Servicing Rights
MORTGAGE SERVICING RIGHTS
        
Information with respect to the Company’s mortgage servicing rights follows:
Year Ended December 31,
2012
 
2011
 
2010
Balance at beginning of year
$
13,450

 
$
13,811

 
$
18,732

Sales of mortgage servicing rights
(735
)
 
—

 
(4,528
)
Purchases of mortgage servicing rights
—

 
—

 
—

Originations of mortgage servicing rights
4,563

 
2,864

 
4,222

Amortization expense
(3,501
)
 
(3,225
)
 
(4,615
)
Write-off of permanent impairment
(553
)
 
—

 
—

Balance at end of year
13,224

 
13,450

 
13,811

Less valuation reserve
(571
)
 
(1,895
)
 
(620
)
Balance at end of year
$
12,653

 
$
11,555

 
$
13,191

 
 
 
 
 
 
Principal balance of serviced loans underlying mortgage servicing rights
$
2,146,351

 
$
1,803,303

 
$
1,594,697

Mortgage servicing rights as a percentage of serviced loans
0.59
%
 
0.64
%
 
0.83
%

            
At December 31, 2012, the estimated fair value and weighted average remaining life of the Company’s mortgage servicing rights were $16,373 and 4.4 years, respectively. The fair value of mortgage servicing rights was determined using discount rates ranging from 8.5% to 21.0% and monthly prepayment speeds ranging from 0.7% to 6.1% depending upon the risk characteristics of the underlying loans. The Company reversed impairment of $771 in 2012 and $787 in 2010 and recorded additional impairment of $1,275 in 2011. Permanent impairment of $553 and was charged against the carrying value of mortgage servicing rights in 2012. No permanent impairment was recorded in 2011 or 2010.
    
The Company sold mortgage servicing rights with carrying values of $735 and $4,528 in 2012 and 2010, respectively. A gain on sale of $19 was recorded as other income in 2012. A loss on sale of $1,525 was recorded as other expense in 2010. In conjunction with the sales, the Company entered into agreements with the purchasers whereby the Company continues to sub-service the loans underlying the sold mortgage servicing rights.