XML 109 R23.htm IDEA: XBRL DOCUMENT
v2.4.1.9

Income Taxes | 12 Months Ended
--- | ---
Dec. 31, 2014
Income Tax Disclosure [Abstract] |
Income Taxes | INCOME TAXES At December 31, income tax expense consisted of the following:
(Dollars in thousands) | 2014 |  | 2013 |  | 2012
Current tax expense |  |  |  |  |
Federal | $ | 84,430 |  |  | $ | 46,848 |  |  | $ | 89,939 |
State | 13,941 |  |  | 7,080 |  |  | 9,212 |
Total current tax expense | 98,371 |  |  | 53,928 |  |  | 99,151 |
Deferred tax (benefit) expense |  |  |  |  |
Federal | (30,658 | ) |  | 38,731 |  |  | (26,501 | )
State | (2,681 | ) |  | 8,915 |  |  | (7,921 | )
Total deferred tax (benefit) expense | (33,339 | ) |  | 47,646 |  |  | (34,422 | )
Total income tax expense | $ | 65,032 |  |  | $ | 101,574 |  |  | $ | 64,729 |
Income tax expense differed from the amounts computed by applying the federal income tax rate of 35 percent to pretax income as a result of the following:
(Dollars in thousands) | 2014 |  | 2013 |  | 2012
Income taxes at statutory rates | $ | 71,258 |  |  | $ | 93,956 |  |  | $ | 68,993 |
Increase (reduction) in income taxes resulting from: |  |  |  |  |
Nontaxable income on loans, leases and investments, net of nondeductible expenses | (1,832 | ) |  | (1,185 | ) |  | (1,309 | )
State and local income taxes, including change in valuation allowance, net of federal income tax benefit | 7,319 |  |  | 10,397 |  |  | 839 |
Acquisition stock settlement | (10,185 | ) |  | — |  |  | — |
Tax credits net of amortization | (2,896 | ) |  | (960 | ) |  | (2,372 | )
Other, net | 1,368 |  |  | (634 | ) |  | (1,422 | )
Total income tax expense | $ | 65,032 |  |  | $ | 101,574 |  |  | $ | 64,729 |
The net deferred tax asset included the following components at December 31:
(Dollars in thousands) | 2014 |  | 2013
Allowance for loan and lease losses | $ | 79,537 |  |  | $ | 90,790 |
Pension liability | 15,391 |  |  | 2,593 |
Executive separation from service agreements | 23,849 |  |  | 9,321 |
State operating loss carryforward | 29 |  |  | 36 |
Unrealized loss on cash flow hedge | 1,673 |  |  | 2,786 |
Net unrealized loss on securities included in accumulated other comprehensive loss | — |  |  | 6,541 |
Accelerated depreciation | 5,550 |  |  | — |
FDIC assisted transactions timing differences | 71,219 |  |  | 42,016 |
Other reserves | 15,326 |  |  | 6,958 |
Other | 25,746 |  |  | 10,569 |
Deferred tax asset | 238,320 |  |  | 171,610 |
Accelerated depreciation | — |  |  | 4,382 |
Lease financing activities | 10,762 |  |  | 10,216 |
Net unrealized gain on securities included in accumulated other comprehensive loss | 3,245 |  |  | — |
Net deferred loan fees and costs | 4,772 |  |  | 4,302 |
Intangible assets | 7,729 |  |  | 17,558 |
Security, loan and debt valuations | 34,289 |  |  | — |
Other | 11,395 |  |  | 4,564 |
Deferred tax liability | 72,192 |  |  | 41,022 |
Net deferred tax asset | $ | 166,128 |  |  | $ | 130,588 |
Amounts for 2013 and 2012 periods have been updated to reflect the fourth quarter 2014 adoption of Accounting Standard Update (ASU) 2014-01 related to qualified affordable housing projects. Under this standard, amortization of investments in qualified affordable housing projects is reported within income tax expense. On October 1, 2014, Bancorporation merged with and into BancShares in a statutory merger treated as a "reorganization" within the meaning of section 368(a) of the Internal Revenue Code of 1986 as amended. Income tax expense has been adjusted for the settlement of the ownership of Bancorporation stock at the date of the merger. Income tax expense has also been adjusted for the revaluation of the acquired deferred inventory to reflect the rates that will apply under currently enacted tax law when the temporary differences are expected to reverse. No valuation allowance was necessary as of December 31, 2014 to reduce BancShares’ gross state deferred tax asset to the amount that is more likely than not to be realized. Under GAAP, the benefit of a position taken or expected to be taken in a tax return should be recognized when it is more likely than not that the position will be sustained based on its technical merit. The liability for unrecognized tax benefits was not material at December 31, 2014 and 2013, and changes in the liability were not significant during 2014, 2013 and 2012. BancShares does not expect the liability for unrecognized tax benefits to change significantly during 2015. BancShares recognizes interest and penalties, if any, related to income tax matters in income tax expense, and the amounts recognized during 2014, 2013 and 2012 were not material. During the third quarter of 2013, BancShares adjusted its net deferred tax asset as a result of reductions in the North Carolina corporate income tax rate that were enacted July 23, 2013. The lower corporate income tax rate resulted in a reduction in the deferred tax asset and an increase in income tax expense in 2013. BancShares, its subsidiaries', and Bancorporation's federal income tax returns are currently under examination for 2010 and 2012, and in California for 2009 and 2010. Generally, the state jurisdictions in which BancShares files income tax returns are subject to examination for a period up to four years after returns are filed.

X
- Details
Name: | us-gaap_IncomeTaxDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32718-109319 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08.(h)) -URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Regulation S-X (SX) -Number 210 -Section 08 -Paragraph h -Article 4 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 9 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32639-109319 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32537-109319 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32559-109319 + Details
Name: | us-gaap_IncomeTaxDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration