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Covered Assets and FDIC Loss-sharing Asset (Tables)
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12 Months Ended |
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Dec. 31, 2011
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| Covered Assets And FDIC Loss Sharing Asset [Line Items] |
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| Analysis and Allowance for Losses on Covered Loans |
The following is an analysis of our covered loans, net of related allowance for losses on covered loans as of December 31, 2011 and 2010: | | | | | | | | | | | | | | | | | | | | | | | | December 31, 2011 | | December 31, 2010 | | | Covered Loans | | Weighted-
Average
Risk Rating | | Allowance
for Loan
Losses | | Covered Loans | | Weighted-
Average
Risk Rating | | Allowance
for Loan
Losses | | | (dollars in thousands) | Commercial business | | $ | 195,737 |
| | 6.05 | | $ | 977 |
| | $ | 165,255 |
| | 5.74 | | $ | 2,903 |
| Real estate: | | | | | | | | | | | | | One-to-four family residential | | 79,328 |
| | 5.32 | | 678 |
| | 68,700 |
| | 4.77 | | 1,013 |
| Commercial and multifamily residential | | 311,308 |
| | 5.65 | | 2,683 |
| | 341,063 |
| | 5.70 | | 821 |
| Total real estate | | 390,636 |
| | | | 3,361 |
| | 409,763 |
| | | | 1,834 |
| Real estate construction: | | | | | | | | | | | | | One-to-four family residential | | 54,402 |
| | 7.32 | | 136 |
| | 39,754 |
| | 7.29 | | 98 |
| Commercial and multifamily residential | | 23,661 |
| | 7.32 | | 86 |
| | 41,624 |
| | 6.79 | | 469 |
| Total real estate construction | | 78,063 |
| | | | 222 |
| | 81,378 |
| | | | 567 |
| Consumer | | 56,877 |
| | 4.84 | | 384 |
| | 58,337 |
| | 4.49 | | 751 |
| Subtotal of covered loans | | 721,313 |
| | | | $ | 4,944 |
| | 714,733 |
| | | | $ | 6,055 |
| Less: | | | | | | | | | | | | | Valuation discount resulting from acquisition accounting | | 184,440 |
| | | | | | 191,617 |
| | | | | Allowance for loan losses | | 4,944 |
| | | | | | 6,055 |
| | | | | Covered loans, net of valuation discounts and allowance for loan losses | | $ | 531,929 |
| | | | | | $ | 517,061 |
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| Changes in Accretable Yield for Acquired Loans |
The following table shows the changes in accretable yield for acquired loans for the years ended December 31, 2011 and 2010: | | | | | | | | | | | | Years Ended December 31, | | | 2011 | | 2010 | | | (in thousands) | Balance at beginning of period | | $ | 256,572 |
| | $ | — |
| Additions resulting from acquisitions | | 59,810 |
| | 122,705 |
| Accretion | | (90,378 | ) | | (45,956 | ) | Disposals | | (31,483 | ) | | (9,014 | ) | Reclassifications from nonaccretable difference | | 65,148 |
| | 188,837 |
| Balance at end of period | | $ | 259,669 |
| | $ | 256,572 |
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| Schedule of Carrying Amounts for Acquired Loans at Acquisition Date |
The following table shows loans acquired during 2011 and 2010 for which it was probable at acquisition that all contractually required payments would not be collected: | | | | | | | | | | | | | | | | | | | | First Heritage Bank | | Summit Bank | | American Marine Bank | | Columbia River Bank | | | May 27, 2011 | | May 20, 2011 | | January 29, 2010 | | January 22, 2010 | | | (in thousands) | Contractually required payments of interest and principal | | $ | 151,611 |
| | $ | 127,823 |
| | $ | 263,371 |
| | $ | 799,244 |
| Nonaccretable difference | | (34,052 | ) | | (34,301 | ) | | (65,470 | ) | | (217,856 | ) | Cash flows expected to be collected(1) | | 117,559 |
| | 93,522 |
| | 197,901 |
| | 581,388 |
| Accretable yield | | (36,071 | ) | | (23,739 | ) | | (21,623 | ) | | (101,082 | ) | Carrying value of acquired loans | | $ | 81,488 |
| | $ | 69,783 |
| | $ | 176,278 |
| | $ | 480,306 |
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_________ (1) Represents undiscounted expected principal and interest cash flows
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| Covered OREO at Carrying Value |
The following table sets forth activity in covered OREO at carrying value for the years ended December 31, 2011 and 2010: | | | | | | | | | | | | December 31, 2011 | | December 31, 2010 | | | (in thousands) | Covered OREO: | | | | | Balance, beginning of period | | $ | 14,443 |
| | $ | — |
| Established through acquisitions | | 10,387 |
| | 17,394 |
| Transfers in, net of write-downs ($2,564 and $2,087, respectively) | | 15,522 |
| | 10,858 |
| OREO improvements | | 5 |
| | 85 |
| Additional OREO write-downs | | (666 | ) | | (1,182 | ) | Proceeds from sale of OREO property | | (20,619 | ) | | (17,890 | ) | Gain on sale of OREO | | 9,054 |
| | 5,178 |
| Total covered OREO, end of period | | $ | 28,126 |
| | $ | 14,443 |
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| FDIC Loss-sharing Asset |
The following table shows a detailed analysis of the FDIC-loss sharing asset for the years ending December 31, 2011 and 2010: | | | | | | | | | | | | 2011 | | 2010 | | | (in thousands) | Balance at beginning of period | | $ | 205,991 |
| | $ | — |
| Adjustments not reflected in income: | | | | | Established through acquisitions | | 68,734 |
| | 210,405 |
| Cash received from the FDIC | | (54,200 | ) | | (11,198 | ) | FDIC reimbursable losses, net | | 4,042 |
| | 1,876 |
| Adjustments reflected in income: | | | | | Amortization, net | | (46,049 | ) | | 1,139 |
| Impairment | | (1,318 | ) | | 4,844 |
| Sale of other real estate | | (4,346 | ) | | (1,148 | ) | Other | | 2,217 |
| | 73 |
| Balance at end of period | | $ | 175,071 |
| | $ | 205,991 |
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Covered Loans [Member]
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| Covered Assets And FDIC Loss Sharing Asset [Line Items] |
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| Changes in the Allowance for Loan and Lease Losses |
The 2011 and 2010 changes in the ALLL for covered loans are summarized as follows: | | | | | | | | | | | | Years Ended December 31, | | | 2011 | | 2010 | | | (in thousands) | Balance at beginning of year | | $ | 6,055 |
| | $ | — |
| Loans charged off | | (1,488 | ) | | — |
| Recoveries | | 2,025 |
| | — |
| Provision charged to expense | | (1,648 | ) | | 6,055 |
| Balance at end of year | | $ | 4,944 |
| | $ | 6,055 |
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