Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2014

Fair Value Measurements

Schedule of carrying values of assets measured at estimated fair value on recurring basis and level within the fair value hierarchy

	Carrying Value at June 30, 2014
(In Thousands)		Total		Level 1		Level 2
Securities available-for-sale:
Residential mortgage-backed securities:
GSE issuance REMICs and CMOs		$	275,586	$	—	$	275,586
Non-GSE issuance REMICs and CMOs		6,473		—		6,473
GSE pass-through certificates		14,905		—		14,905
Obligations of GSEs		95,472		—		95,472
Fannie Mae stock		3		3		—
Total securities available-for-sale		$	392,439	$	3	$	392,436
	Carrying Value at December 31, 2013
(In Thousands)		Total		Level 1		Level 2
Securities available-for-sale:
Residential mortgage-backed securities:
GSE issuance REMICs and CMOs		$	286,074	$	—	$	286,074
Non-GSE issuance REMICs and CMOs		7,572		—		7,572
GSE pass-through certificates		16,888		—		16,888
Obligations of GSEs		91,153		—		91,153
Fannie Mae stock		3		3		—
Total securities available-for-sale		$	401,690	$	3	$	401,687

Schedule of carrying values of assets measured at fair value on non-recurring basis which fall within Level 3 of the fair value hierarchy

	Carrying Value
(In Thousands)	At June 30, 2014	At December 31, 2013
Loans held-for-sale, net	$        958	$        791
Non-performing residential mortgage loans held-for-sale	186,312	—
Impaired loans	138,637	271,408
MSR, net	11,804	12,800
REO, net	22,309	27,101
Total	$ 360,020	$ 312,100

Schedule of losses recognized on assets measured at fair value on non-recurring basis

	For the Six Months Ended June 30,
(In Thousands)	2014	2013
Loans held-for-sale, net (1)	$      150	$      858
Non-performing residential mortgage loans held-for-sale (1)	8,656	—
Impaired loans (2)	2,220	13,449
MSR, net (3)	123	—
REO, net (4)	1,888	1,177
Total	$ 13,037	$ 15,484

(1) Losses are charged against the allowance for loan losses in the case of a write-down upon the reclassification of a loan to held-for-sale. Losses subsequent to the reclassification of a loan to held-for-sale are charged to other non-interest income.

(2) Losses are charged against the allowance for loan losses.

(3) Losses are charged to mortgage banking income, net.

(4) Losses are charged against the allowance for loan losses in the case of a write-down upon the transfer of a loan to REO. Losses subsequent to the transfer of a loan to REO are charged to REO expense which is a component of other non-interest expense.

Schedule of carrying values and estimated fair values of financial instruments

	At June 30, 2014
	Carrying		Estimated Fair Value
(In Thousands)	Value		Total		Level 2		Level 3
Financial Assets:
Securities held-to-maturity	$	1,960,930	$	1,950,622	$	1,950,622	$	—
FHLB-NY stock	150,288		150,288		150,288		—
Loans held-for-sale, net (1)	7,204		7,309		—		7,309
Non-performing residential mortgage loans held-for-sale (1)	186,312		186,312		—		186,312
Loans receivable, net (1)	11,943,022		12,113,353		—		12,113,353
MSR, net (1)	11,804		11,809		—		11,809
Financial Liabilities:
Deposits	9,659,371		9,710,042		9,710,042		—
Borrowings, net	4,200,426		4,432,877		4,432,877		—

	At December 31, 2013
	Carrying		Estimated Fair Value
(In Thousands)	Value		Total		Level 2		Level 3
Financial Assets:
Securities held-to-maturity	$	1,849,526	$	1,811,122	$	1,811,122	$	—
FHLB-NY stock	152,207		152,207		152,207		—
Loans held-for-sale, net (1)	7,375		7,436		—		7,436
Loans receivable, net (1)	12,303,066		12,480,533		—		12,480,533
MSR, net (1)	12,800		12,804		—		12,804
Financial Liabilities:
Deposits	9,855,310		9,922,631		9,922,631		—
Borrowings, net	4,137,161		4,376,336		4,376,336		—

(1) Includes assets measured at fair value on a non-recurring basis.