Loans Receivable, Net

The Company’s loan portfolio is comprised of three segments: residential real estate, commercial, and consumer and other loans. The loan segments are further disaggregated into the following classes: residential real estate, commercial real estate, other commercial, home equity and other consumer loans. The following table presents loans receivable for each portfolio class of loans:



(Dollars in thousands)	March 31, 2015			December 31, 2014
Residential real estate loans	$	637,465		611,463
Commercial loans
Real estate	2,418,843			2,337,548
Other commercial	1,007,173			925,900
Total	3,426,016			3,263,448
Consumer and other loans
Home equity	402,970			394,670
Other consumer	221,218			218,514
Total	624,188			613,184
Loans receivable ¹	4,687,669			4,488,095
Allowance for loan and lease losses	(129,856		)	(129,753	)
Loans receivable, net	$	4,557,813		4,358,342

__________


¹	Includes net deferred fees, costs, premiums and discounts of $15,374,000 and $13,710,000 at March 31, 2015 and December 31, 2014, respectively.

Substantially all of the Company’s loans receivable are with customers in the Company’s geographic market areas. Although the Company has a diversified loan portfolio, a substantial portion of its customers’ ability to honor their obligations is dependent upon the economic performance in the Company’s market areas.

The following tables summarize the activity in the ALLL by portfolio segment:



	Three Months ended March 31, 2015
(Dollars in thousands)	Total			Residential Real Estate		Commercial Real Estate		Other Commercial		Home Equity		Other Consumer
Balance at beginning of period	$	129,753		14,680		67,799		30,891		9,963		6,420
Provision for loan losses	765			440		(286	)	1,112		(459	)	(42	)
Charge-offs	(1,297		)	(14	)	(445	)	(694	)	(31	)	(113	)
Recoveries	635			25		259		206		46		99
Balance at end of period	$	129,856		15,131		67,327		31,515		9,519		6,364



	Three Months ended March 31, 2014
(Dollars in thousands)	Total			Residential Real Estate		Commercial Real Estate		Other Commercial		Home Equity		Other Consumer
Balance at beginning of period	$	130,351		14,067		70,332		28,630		9,299		8,023
Provision for loan losses	1,122			(178	)	40		933		203		124
Charge-offs	(1,586		)	(36	)	(181	)	(1,163	)	(113	)	(93	)
Recoveries	842			213		380		84		37		128
Balance at end of period	$	130,729		14,066		70,571		28,484		9,426		8,182

The following tables disclose the balance in the ALLL and the recorded investment in loans by portfolio segment:



	March 31, 2015
(Dollars in thousands)	Total		Residential Real Estate	Commercial Real Estate	Other Commercial	Home Equity	Other Consumer
Allowance for loan and lease losses
Individually evaluated for impairment	$	10,324	1,262	2,426	5,974	172	490
Collectively evaluated for impairment	119,532		13,869	64,901	25,541	9,347	5,874
Total allowance for loan and lease losses	$	129,856	15,131	67,327	31,515	9,519	6,364
Loans receivable
Individually evaluated for impairment	$	162,546	19,014	98,466	34,636	6,497	3,933
Collectively evaluated for impairment	4,525,123		618,451	2,320,377	972,537	396,473	217,285
Total loans receivable	$	4,687,669	637,465	2,418,843	1,007,173	402,970	221,218



	December 31, 2014
(Dollars in thousands)	Total		Residential Real Estate	Commercial Real Estate	Other Commercial	Home Equity	Other Consumer
Allowance for loan and lease losses
Individually evaluated for impairment	$	11,597	853	2,967	6,836	447	494
Collectively evaluated for impairment	118,156		13,827	64,832	24,055	9,516	5,926
Total allowance for loan and lease losses	$	129,753	14,680	67,799	30,891	9,963	6,420
Loans receivable
Individually evaluated for impairment	$	161,366	19,576	105,264	25,321	6,901	4,304
Collectively evaluated for impairment	4,326,729		591,887	2,232,284	900,579	387,769	214,210
Total loans receivable	$	4,488,095	611,463	2,337,548	925,900	394,670	218,514

The following tables disclose information related to impaired loans by portfolio segment:



	At or for the Three Months ended March 31, 2015
(Dollars in thousands)	Total		Residential Real Estate	Commercial Real Estate	Other Commercial	Home Equity	Other Consumer
Loans with a specific valuation allowance
Recorded balance	$	34,317	5,107	12,957	14,144	403	1,706
Unpaid principal balance	35,663		5,187	13,561	14,297	419	2,199
Specific valuation allowance	10,324		1,262	2,426	5,974	172	490
Average balance	40,003		4,608	20,056	12,761	809	1,769
Loans without a specific valuation allowance
Recorded balance	$	128,229	13,907	85,509	20,492	6,094	2,227
Unpaid principal balance	157,666		15,230	107,444	25,912	6,789	2,291
Average balance	121,953		14,686	81,809	17,218	5,891	2,349
Total
Recorded balance	$	162,546	19,014	98,466	34,636	6,497	3,933
Unpaid principal balance	193,329		20,417	121,005	40,209	7,208	4,490
Specific valuation allowance	10,324		1,262	2,426	5,974	172	490
Average balance	161,956		19,294	101,865	29,979	6,700	4,118



	At or for the Year ended December 31, 2014
(Dollars in thousands)	Total		Residential Real Estate	Commercial Real Estate	Other Commercial	Home Equity	Other Consumer
Loans with a specific valuation allowance
Recorded balance	$	45,688	4,110	27,155	11,377	1,214	1,832
Unpaid principal balance	48,477		4,276	28,048	12,461	1,336	2,356
Specific valuation allowance	11,597		853	2,967	6,836	447	494
Average balance	53,339		5,480	24,519	19,874	1,039	2,427
Loans without a specific valuation allowance
Recorded balance	$	115,678	15,466	78,109	13,944	5,687	2,472
Unpaid principal balance	145,038		16,683	100,266	19,117	6,403	2,569
Average balance	128,645		15,580	89,015	14,024	7,163	2,863
Total
Recorded balance	$	161,366	19,576	105,264	25,321	6,901	4,304
Unpaid principal balance	193,515		20,959	128,314	31,578	7,739	4,925
Specific valuation allowance	11,597		853	2,967	6,836	447	494
Average balance	181,984		21,060	113,534	33,898	8,202	5,290

Interest income recognized on impaired loans for the three months ended March 31, 2015 and 2014 was not significant.

The following tables present an aging analysis of the recorded investment in loans by portfolio segment:



	March 31, 2015
(Dollars in thousands)	Total		Residential Real Estate	Commercial Real Estate	Other Commercial	Home Equity	Other Consumer
Accruing loans 30-59 days past due	$	26,255	4,585	9,663	7,621	2,997	1,389
Accruing loans 60-89 days past due	7,195		1,022	4,204	1,038	734	197
Accruing loans 90 days or more past due	2,357		222	47	2,056	—	32
Non-accrual loans	60,287		7,365	35,067	11,541	5,587	727
Total past due and non-accrual loans	96,094		13,194	48,981	22,256	9,318	2,345
Current loans receivable	4,591,575		624,271	2,369,862	984,917	393,652	218,873
Total loans receivable	$	4,687,669	637,465	2,418,843	1,007,173	402,970	221,218



	December 31, 2014
(Dollars in thousands)	Total		Residential Real Estate	Commercial Real Estate	Other Commercial	Home Equity	Other Consumer
Accruing loans 30-59 days past due	$	19,139	3,506	7,925	5,310	1,374	1,024
Accruing loans 60-89 days past due	6,765		1,686	3,592	609	679	199
Accruing loans 90 days or more past due	214		35	31	74	17	57
Non-accrual loans	61,882		6,798	39,717	8,421	5,969	977
Total past due and non-accrual loans	88,000		12,025	51,265	14,414	8,039	2,257
Current loans receivable	4,400,095		599,438	2,286,283	911,486	386,631	216,257
Total loans receivable	$	4,488,095	611,463	2,337,548	925,900	394,670	218,514

The following tables present TDRs that occurred during the periods presented and the TDRs that occurred within the previous twelve months that subsequently defaulted during the periods presented:



	Three Months ended March 31, 2015
(Dollars in thousands)	Total		Residential Real Estate	Commercial Real Estate	Other Commercial	Home Equity	Other Consumer
Troubled debt restructurings
Number of loans	5		—	2	3	—	—
Pre-modification recorded balance	$	3,085	—	2,182	903	—	—
Post-modification recorded balance	$	3,085	—	2,182	903	—	—
Troubled debt restructurings that subsequently defaulted
Number of loans	6		—	—	3	2	1
Recorded balance	$	174	—	—	57	116	1



	Three Months ended March 31, 2014
(Dollars in thousands)	Total		Residential Real Estate	Commercial Real Estate	Other Commercial	Home Equity	Other Consumer
Troubled debt restructurings
Number of loans	13		—	5	7	1	—
Pre-modification recorded balance	$	5,110	—	2,475	2,439	196	—
Post-modification recorded balance	$	4,481	—	2,475	1,810	196	—
Troubled debt restructurings that subsequently defaulted
Number of loans	2		—	—	2	—	—
Recorded balance	$	42	—	—	42	—	—

The modifications for the TDRS that occurred during the three months ended March 31, 2015 and 2014 were typically for extensions of maturity date and a combination of an interest rate reduction, extension of the maturity date, or reduction in the face amount.

In addition to the TDRs that occurred during the period provided in the preceding tables, the Company had TDRs with pre-modification loan balances of $3,595,000 and $4,413,000 for the three months ended March 31, 2015 and 2014, respectively, for which other real estate owned (“OREO”) was received in full or partial satisfaction of the loans. The majority of such TDRs were in commercial real estate and residential real estate for the three months ended March 31, 2015 and 2014, respectively. At March 31, 2015, the Company had $1,135,000 of consumer mortgage loans secured by residential real estate properties for which formal foreclosure proceedings are in process. At March 31, 2015, the Company had $1,891,000 of OREO secured by residential real estate properties.