XML 116 R12.htm IDEA: XBRL DOCUMENT
v2.4.0.6

Loans | 12 Months Ended
--- | ---
Dec. 31, 2011
Loans [Abstract] |
Loans | 5. Loans The composition of the loan portfolio, by class of loan, as of December 31, 2011 and December 31, 2010 was as follows:
|  | December 31, 2011 |  |  | December 31, 2010 |
|  |  |  |  | Accrued |  |  |  |  |  |  |  |  | Accrued |  |  |  |
|  | Loan |  |  | interest |  |  | Recorded |  |  | Loan |  |  | interest |  |  | Recorded |
(In thousands) |  | balance |  |  | receivable |  |  | investment |  |  | balance |  |  | receivable |  |  | investment |
Commercial, financial and agricultural * |  | $ | 743,797 |  |  | $ | 3,121 |  |  | $ | 746,918 |  |  | $ | 737,902 |  |  | $ | 2,886 |  |  | $ | 740,788 |
Commercial real estate * |  |  | 1,108,574 |  |  |  | 4,235 |  |  |  | 1,112,809 |  |  |  | 1,226,616 |  |  |  | 4,804 |  |  |  | 1,231,420 |
Construction real estate: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Vision commercial land and development * |  |  | 31,603 |  |  |  | 31 |  |  |  | 31,634 |  |  |  | 171,334 |  |  |  | 282 |  |  |  | 171,616 |
Remaining commercial |  |  | 156,053 |  |  |  | 394 |  |  |  | 156,447 |  |  |  | 195,693 |  |  |  | 622 |  |  |  | 196,315 |
Mortgage |  |  | 20,039 |  |  |  | 64 |  |  |  | 20,103 |  |  |  | 26,326 |  |  |  | 95 |  |  |  | 26,421 |
Installment |  |  | 9,851 |  |  |  | 61 |  |  |  | 9,912 |  |  |  | 13,127 |  |  |  | 54 |  |  |  | 13,181 |
Residential real estate |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial |  |  | 395,824 |  |  |  | 1,105 |  |  |  | 396,929 |  |  |  | 464,903 |  |  |  | 1,403 |  |  |  | 466,306 |
Mortgage |  |  | 953,758 |  |  |  | 1,522 |  |  |  | 955,280 |  |  |  | 906,648 |  |  |  | 2,789 |  |  |  | 909,437 |
HELOC |  |  | 227,682 |  |  |  | 942 |  |  |  | 228,624 |  |  |  | 260,463 |  |  |  | 1,014 |  |  |  | 261,477 |
Installment |  |  | 51,354 |  |  |  | 236 |  |  |  | 51,590 |  |  |  | 60,195 |  |  |  | 255 |  |  |  | 60,450 |
Consumer |  |  | 616,505 |  |  |  | 2,930 |  |  |  | 619,435 |  |  |  | 666,871 |  |  |  | 3,245 |  |  |  | 670,116 |
Leases |  |  | 2,059 |  |  |  | 43 |  |  |  | 2,102 |  |  |  | 2,607 |  |  |  | 56 |  |  |  | 2,663 |
Total loans |  | $ | 4,317,099 |  |  | $ | 14,684 |  |  | $ | 4,331,783 |  |  | $ | 4,732,685 |  |  | $ | 17,505 |  |  | $ | 4,750,190 |
* Included within commercial, financial and agricultural loans, commercial real estate loans, and Vision commercial land and development loans are an immaterial amount of consumer loans that are not broken out by class. Loans are shown net of deferred origination fees, costs and unearned income of $6.8 million at December 31, 2011 and $6.7 million at December 31, 2010, which is a net deferred income position in both years. Overdrawn deposit accounts of $3.6 million and $2.6 million have been reclassified to loans at December 31, 2011 and 2010, respectively. Credit Quality The following table presents the recorded investment in nonaccrual, accruing restructured, and loans past due 90 days or more and still accruing by class of loans as of December 31, 2011 and December 31, 2010:
|  | December 31, 2011 |
(In thousands) |  | Nonaccrual loans |  |  | Accruing restructured loans |  |  | Loans past due 90 days or more and accruing |  |  | Total nonperforming loans |
Commercial, financial and agricultural |  | $ | 37,797 |  |  | $ | 2,848 |  |  | $ | - |  |  | $ | 40,645 |
Commercial real estate |  |  | 43,704 |  |  |  | 8,274 |  |  |  | - |  |  |  | 51,978 |
Construction real estate: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Vision commercial land and development |  |  | 25,761 |  |  |  | - |  |  |  | - |  |  |  | 25,761 |
Remaining commercial |  |  | 14,021 |  |  |  | 11,891 |  |  |  | - |  |  |  | 25,912 |
Mortgage |  |  | 66 |  |  |  | - |  |  |  | - |  |  |  | 66 |
Installment |  |  | 30 |  |  |  | - |  |  |  | - |  |  |  | 30 |
Residential real estate |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial |  |  | 43,461 |  |  |  | 815 |  |  |  | - |  |  |  | 44,276 |
Mortgage |  |  | 25,201 |  |  |  | 4,757 |  |  |  | 2,610 |  |  |  | 32,568 |
HELOC |  |  | 1,412 |  |  |  | - |  |  |  | - |  |  |  | 1,412 |
Installment |  |  | 1,777 |  |  |  | 98 |  |  |  | 58 |  |  |  | 1,933 |
Consumer |  |  | 1,876 |  |  |  | - |  |  |  | 893 |  |  |  | 2,769 |
Leases |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |
Total loans |  | $ | 195,106 |  |  | $ | 28,683 |  |  | $ | 3,561 |  |  | $ | 227,350 |
|  | December 31, 2010 |
|  |  |  |  | Accruing |  |  | Loans past due 90 |  |  | Total |
|  |  |  |  | restructured |  |  | days or more and |  |  | nonperforming |
(In thousands) |  | Nonaccrual loans |  |  | loans |  |  | accruing |  |  | loans |
Commercial, financial and agricultural |  | $ | 19,276 |  |  | $ | - |  |  | $ | - |  |  | $ | 19,276 |
Commercial real estate |  |  | 57,941 |  |  |  | - |  |  |  | 20 |  |  |  | 57,961 |
Construction real estate: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Vision commercial land and development |  |  | 87,424 |  |  |  | - |  |  |  | - |  |  |  | 87,424 |
Remaining commercial |  |  | 27,080 |  |  |  | - |  |  |  | - |  |  |  | 27,080 |
Mortgage |  |  | 354 |  |  |  | - |  |  |  | - |  |  |  | 354 |
Installment |  |  | 417 |  |  |  | - |  |  |  | 13 |  |  |  | 430 |
Residential real estate |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial |  |  | 60,227 |  |  |  | - |  |  |  | - |  |  |  | 60,227 |
Mortgage |  |  | 32,479 |  |  |  | - |  |  |  | 2,175 |  |  |  | 34,654 |
HELOC |  |  | 964 |  |  |  | - |  |  |  | 149 |  |  |  | 1,113 |
Installment |  |  | 1,195 |  |  |  | - |  |  |  | 277 |  |  |  | 1,472 |
Consumer |  |  | 1,911 |  |  |  | - |  |  |  | 1,059 |  |  |  | 2,970 |
Leases |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |
Total loans |  | $ | 289,268 |  |  | $ | - |  |  | $ | 3,693 |  |  | $ | 292,961 |
The following table provides additional information regarding those nonaccrual and accruing restructured loans that are individually evaluated for impairment and those collectively evaluated for impairment as of December 31, 2011 and December 31, 2010.
|  | December 31, 2011 |  |  | December 31, 2010 |
(In thousands) |  | Nonaccrual and accruing restructured loans |  |  | Loans individually evaluated for impairment |  |  | Loans collectively evaluated for impairment |  |  | Nonaccrual and accruing restructured loans |  |  | Loans individually evaluated for impairment |  |  | Loans collectively evaluated for impairment |
Commercial, financial and agricultural |  | $ | 40,645 |  |  | $ | 40,621 |  |  | $ | 24 |  |  | $ | 19,276 |  |  | $ | 19,205 |  |  | $ | 71 |
Commercial real estate |  |  | 51,978 |  |  |  | 51,978 |  |  |  | - |  |  |  | 57,941 |  |  |  | 57,930 |  |  |  | 11 |
Construction real estate: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Vision commercial land and development |  |  | 25,761 |  |  |  | 24,328 |  |  |  | 1,433 |  |  |  | 87,424 |  |  |  | 86,491 |  |  |  | 933 |
Remaining commercial |  |  | 25,912 |  |  |  | 25,912 |  |  |  | - |  |  |  | 27,080 |  |  |  | 27,080 |  |  |  | - |
Mortgage |  |  | 66 |  |  |  | - |  |  |  | 66 |  |  |  | 354 |  |  |  | - |  |  |  | 354 |
Installment |  |  | 30 |  |  |  | - |  |  |  | 30 |  |  |  | 417 |  |  |  | - |  |  |  | 417 |
Residential real estate: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial |  |  | 44,276 |  |  |  | 44,276 |  |  |  | - |  |  |  | 60,227 |  |  |  | 60,227 |  |  |  | - |
Mortgage |  |  | 29,958 |  |  |  | - |  |  |  | 29,958 |  |  |  | 32,479 |  |  |  | - |  |  |  | 32,479 |
HELOC |  |  | 1,412 |  |  |  | - |  |  |  | 1,412 |  |  |  | 964 |  |  |  | - |  |  |  | 964 |
Installment |  |  | 1,875 |  |  |  | - |  |  |  | 1,875 |  |  |  | 1,195 |  |  |  | - |  |  |  | 1,195 |
Consumer |  |  | 1,876 |  |  |  | 20 |  |  |  | 1,856 |  |  |  | 1,911 |  |  |  | - |  |  |  | 1,911 |
Leases |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |
Total loans |  | $ | 223,789 |  |  | $ | 187,135 |  |  | $ | 36,654 |  |  | $ | 289,268 |  |  | $ | 250,933 |  |  | $ | 38,335 |
All of the loans individually evaluated for impairment were evaluated using the fair value of the collateral or present value of expected future cash flows as the measurement method. The following table presents loans individually evaluated for impairment by class of loans as of December 31, 2011 and December 31, 2010.
|  | December 31, 2011 |  |  | December 31, 2010 |
(In thousands) |  | Unpaid principal balance |  |  | Recorded investment |  |  | Allowance for loan losses allocated |  |  | Unpaid principal balance |  |  | Recorded investment |  |  | Allowance for loan losses allocated |
With no related allowance recorded |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial and agricultural |  | $ | 23,164 |  |  | $ | 18,098 |  |  | $ | - |  |  | $ | 9,347 |  |  | $ | 8,891 |  |  | $ | - |
Commercial real estate |  |  | 58,242 |  |  |  | 41,506 |  |  |  | - |  |  |  | 21,526 |  |  |  | 17,170 |  |  |  | - |
Construction real estate: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Vision commercial land and development |  |  | 54,032 |  |  |  | 17,786 |  |  |  | - |  |  |  | 11,206 |  |  |  | 7,847 |  |  |  | - |
Remaining commercial |  |  | 33,319 |  |  |  | 18,372 |  |  |  | - |  |  |  | 12,305 |  |  |  | 11,743 |  |  |  | - |
Residential real estate: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial |  |  | 49,341 |  |  |  | 38,686 |  |  |  | - |  |  |  | 46,344 |  |  |  | 43,031 |  |  |  | - |
Consumer |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |
With an allowance recorded |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial and agricultural |  |  | 23,719 |  |  |  | 22,523 |  |  |  | 5,819 |  |  |  | 11,801 |  |  |  | 10,314 |  |  |  | 3,028 |
Commercial real estate |  |  | 12,183 |  |  |  | 10,472 |  |  |  | 4,431 |  |  |  | 44,789 |  |  |  | 40,760 |  |  |  | 12,652 |
Construction real estate: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Vision commercial land and development |  |  | 20,775 |  |  |  | 6,542 |  |  |  | 1,540 |  |  |  | 103,937 |  |  |  | 78,644 |  |  |  | 39,887 |
Remaining commercial |  |  | 9,711 |  |  |  | 7,540 |  |  |  | 1,874 |  |  |  | 23,563 |  |  |  | 15,337 |  |  |  | 5,425 |
Residential real estate: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial |  |  | 6,402 |  |  |  | 5,590 |  |  |  | 2,271 |  |  |  | 19,716 |  |  |  | 17,196 |  |  |  | 5,912 |
Consumer |  |  | 20 |  |  |  | 20 |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |
Total |  | $ | 290,908 |  |  | $ | 187,135 |  |  | $ | 15,935 |  |  | $ | 304,534 |  |  | $ | 250,933 |  |  | $ | 66,904 |
Management's general practice is to proactively charge down loans individually evaluated for impairment to the fair value of the underlying collateral. At December 31, 2011 and December 31, 2010, there were $83.7 million and $12.0 million, respectively, in partial charge-offs on loans individually evaluated for impairment with no related allowance recorded and $20.1 million and $41.6 million, respectively, of partial charge-offs on loans individually evaluated for impairment that also had a specific reserve allocated. The allowance for loan losses included specific reserves related to loans individually evaluated for impairment at December 31, 2011 and 2010, of $15.9 million and $66.9 million, respectively, related to loans with a recorded investment of $52.7 million and $162.3 million. The average balance of loans individually evaluated for impairment was $214.0 million, $210.4 million, and $184.7 million for 2011, 2010, and 2009, respectively. Interest income on loans individually evaluated for impairment is recognized on a cash basis after all past due and current principal payments have been made. The following table presents the average recorded investment and interest income recognized on loans individually evaluated for impairment for the year ended December 31, 2011.
|  |  |  |  | Year ended December 31, 2011 |
(In thousands) |  | Recorded investment as of December 31, 2011 |  |  | Average recorded investment |  |  | Interest income recognized |
Commercial, financial and agricultural |  | $ | 40,621 |  |  | $ | 23,518 |  |  | $ | 209 |
Commercial real estate |  |  | 51,978 |  |  |  | 49,927 |  |  |  | 829 |
Construction real estate: |  |  |  |  |  |  |  |  |  |  |  |
Vision commercial land and development |  |  | 24,328 |  |  |  | 58,792 |  |  |  | - |
Remaining commercial |  |  | 25,912 |  |  |  | 29,152 |  |  |  | 339 |
Residential real estate: |  |  |  |  |  |  |  |  |  |  |  |
Commercial |  |  | 44,276 |  |  |  | 52,640 |  |  |  | 214 |
Consumer |  |  | 20 |  |  |  | 16 |  |  |  | 1 |
Total |  | $ | 187,135 |  |  | $ | 214,045 |  |  | $ | 1,592 |
For the year ended December 31, 2010, the Corporation recognized a net reversal to interest income for $1.3 million, consisting of $948,000 in interest recognized at PNB and $2.2 million in interest reversed at Vision, on loans that were individually evaluated for impairment as of the end of the year. For the year ended December 31, 2009, the Corporation recognized a net reversal to interest income of $1.3 million, consisting of $1.8 million in interest recognized at PNB and $3.1 million in interest reversed at Vision. The following table presents the aging of the recorded investment in past due loans as of December 31, 2011 and December 31, 2010 by class of loans.
|  | December 31, 2011 |
|  |  |  |  | Past due |  |  |  |  |  |  |  |  |  |
|  |  |  |  | nonaccrual |  |  |  |  |  |  |  |  |  |
|  |  |  |  | loans and loans |  |  |  |  |  |  |  |  |  |
|  | Accruing loans |  |  | past due 90 |  |  |  |  |  |  |  |  | Total |
|  | past due 30-89 |  |  | days or more |  |  |  |  |  |  |  |  | recorded |
(In thousands) |  | days |  |  | and accruing |  |  | Total past due |  |  | Total current |  |  | investment |
Commercial, financial and agricultural |  | $ | 3,106 |  |  | $ | 11,308 |  |  | $ | 14,414 |  |  | $ | 732,504 |  |  | $ | 746,918 |
Commercial real estate |  |  | 2,632 |  |  |  | 21,798 |  |  |  | 24,430 |  |  |  | 1,088,379 |  |  |  | 1,112,809 |
Construction real estate: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Vision commercial land and development |  |  | - |  |  |  | 19,235 |  |  |  | 19,235 |  |  |  | 12,399 |  |  |  | 31,634 |
Remaining commercial |  |  | 99 |  |  |  | 7,839 |  |  |  | 7,938 |  |  |  | 148,509 |  |  |  | 156,447 |
Mortgage |  |  | 76 |  |  |  | - |  |  |  | 76 |  |  |  | 20,027 |  |  |  | 20,103 |
Installment |  |  | 421 |  |  |  | 8 |  |  |  | 429 |  |  |  | 9,483 |  |  |  | 9,912 |
Residential real estate |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial |  |  | 1,545 |  |  |  | 10,097 |  |  |  | 11,642 |  |  |  | 385,287 |  |  |  | 396,929 |
Mortgage |  |  | 15,879 |  |  |  | 20,614 |  |  |  | 36,493 |  |  |  | 918,787 |  |  |  | 955,280 |
HELOC |  |  | 1,015 |  |  |  | 436 |  |  |  | 1,451 |  |  |  | 227,173 |  |  |  | 228,624 |
Installment |  |  | 1,549 |  |  |  | 1,136 |  |  |  | 2,685 |  |  |  | 48,905 |  |  |  | 51,590 |
Consumer |  |  | 11,195 |  |  |  | 2,192 |  |  |  | 13,387 |  |  |  | 606,048 |  |  |  | 619,435 |
Leases |  |  | - |  |  |  | - |  |  |  | - |  |  |  | 2,102 |  |  |  | 2,102 |
Total loans |  | $ | 37,517 |  |  | $ | 94,663 |  |  | $ | 132,180 |  |  | $ | 4,199,603 |  |  | $ | 4,331,783 |
|  | December 31, 2010 |
|  |  |  |  | Past due |  |  |  |  |  |  |  |  |  |
|  |  |  |  | nonaccrual |  |  |  |  |  |  |  |  |  |
|  |  |  |  | loans and loans |  |  |  |  |  |  |  |  |  |
|  | Accruing loans |  |  | past due 90 |  |  |  |  |  |  |  |  | Total |
|  | past due 30-89 |  |  | days or more |  |  |  |  |  |  |  |  | recorded |
(In thousands) |  | days |  |  | and accruing |  |  | Total past due |  |  | Total current |  |  | investment |
Commercial, financial and agricultural |  | $ | 2,247 |  |  | $ | 15,622 |  |  | $ | 17,869 |  |  | $ | 722,919 |  |  | $ | 740,788 |
Commercial real estate |  |  | 9,521 |  |  |  | 53,269 |  |  |  | 62,790 |  |  |  | 1,168,630 |  |  |  | 1,231,420 |
Construction real estate: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Vision commercial land and development |  |  | 2,406 |  |  |  | 65,130 |  |  |  | 67,536 |  |  |  | 104,080 |  |  |  | 171,616 |
Remaining commercial |  |  | 141 |  |  |  | 19,687 |  |  |  | 19,828 |  |  |  | 176,487 |  |  |  | 196,315 |
Mortgage |  |  | 479 |  |  |  | 148 |  |  |  | 627 |  |  |  | 25,794 |  |  |  | 26,421 |
Installment |  |  | 235 |  |  |  | 399 |  |  |  | 634 |  |  |  | 12,547 |  |  |  | 13,181 |
Residential real estate |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial |  |  | 3,281 |  |  |  | 26,845 |  |  |  | 30,126 |  |  |  | 436,180 |  |  |  | 466,306 |
Mortgage |  |  | 17,460 |  |  |  | 24,422 |  |  |  | 41,882 |  |  |  | 867,555 |  |  |  | 909,437 |
HELOC |  |  | 1,396 |  |  |  | 667 |  |  |  | 2,063 |  |  |  | 259,414 |  |  |  | 261,477 |
Installment |  |  | 1,018 |  |  |  | 892 |  |  |  | 1,910 |  |  |  | 58,540 |  |  |  | 60,450 |
Consumer |  |  | 11,204 |  |  |  | 2,465 |  |  |  | 13,669 |  |  |  | 656,447 |  |  |  | 670,116 |
Leases |  |  | 5 |  |  |  | - |  |  |  | 5 |  |  |  | 2,658 |  |  |  | 2,663 |
Total loans |  | $ | 49,393 |  |  | $ | 209,546 |  |  | $ | 258,939 |  |  | $ | 4,491,251 |  |  | $ | 4,750,190 |
Credit Quality Indicators Management utilizes past due information as a credit quality indicator across the loan portfolio. The past due information is the primary credit quality indicator within the following classes of loans: (1) mortgage loans and installment loans in the construction real estate segment; (2) mortgage loans, HELOC and installment loans in the residential real estate segment; and (3) consumer loans. The primary credit indicator for commercial loans is based on an internal grading system that grades all commercial loans from 1 to 8. Credit grades are continuously monitored by the respective loan officer and adjustments are made when appropriate. A grade of 1 indicates little or no credit risk and a grade of 8 is considered a loss. Commercial loans with grades of 1 to 4 (pass-rated) are considered to be of acceptable credit risk. Commercial loans graded a 5 (special mention) are considered to be watch list credits and a higher loan loss reserve percentage is allocated to these loans. Loans classified as special mention have potential weaknesses that deserve management's close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the institution's credit position at some future date. Commercial loans graded 6 (substandard), also considered watch list credits, are considered to represent higher credit risk and, as a result, a higher loan loss reserve percentage is allocated to these loans. Loans classified as substandard loans are inadequately protected by the current sound worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified have a well defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. Commercial loans that are graded a 7 (doubtful) are shown as nonaccrual and Park generally charges these loans down to their fair value by taking a partial charge-off or recording a specific reserve. Loans classified as doubtful have all the weaknesses inherent in those classified as substandard with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions and values, highly questionable and improbable. Any commercial loan graded an 8 (loss) is completely charged-off. The tables below present the recorded investment by loan grade at December 31, 2011 and December 31, 2010 for all commercial loans:
|  | December 31, 2011 |
(In thousands) |  | 5 Rated |  |  | 6 Rated |  |  | Nonaccrual |  |  | Pass Rated |  |  | Recorded Investment |
Commercial , financial and agricultural: |  | $ | 11,785 |  |  | $ | 7,628 |  |  | $ | 40,645 |  |  | $ | 686,860 |  |  | $ | 746,918 |
Commercial real estate: |  |  | 37,445 |  |  |  | 10,460 |  |  |  | 51,978 |  |  |  | 1,012,926 |  |  |  | 1,112,809 |
Construction real estate: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Vision commercial land and development |  |  | 3,102 |  |  |  | - |  |  |  | 25,761 |  |  |  | 2,771 |  |  |  | 31,634 |
Remaining commercial |  |  | 6,982 |  |  |  | 8,311 |  |  |  | 25,912 |  |  |  | 115,242 |  |  |  | 156,447 |
Residential real estate: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial |  |  | 17,120 |  |  |  | 3,785 |  |  |  | 44,276 |  |  |  | 331,748 |  |  |  | 396,929 |
Leases |  |  | - |  |  |  | - |  |  |  | - |  |  |  | 2,102 |  |  |  | 2,102 |
Total Commercial Loans |  | $ | 76,434 |  |  | $ | 30,184 |  |  | $ | 188,572 |  |  | $ | 2,151,649 |  |  | $ | 2,446,839 |
|  | December 31, 2010 |
(In thousands) |  | 5 Rated |  |  | 6 Rated |  |  | Nonaccrual |  |  | Pass Rated |  |  | Recorded Investment |
Commercial , financial and agricultural: |  | $ | 26,322 |  |  | $ | 11,447 |  |  | $ | 19,276 |  |  | $ | 683,743 |  |  | $ | 740,788 |
Commercial real estate: |  |  | 57,394 |  |  |  | 26,992 |  |  |  | 57,941 |  |  |  | 1,089,093 |  |  |  | 1,231,420 |
Construction real estate: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Vision commercial land and development |  |  | 10,220 |  |  |  | 7,941 |  |  |  | 87,424 |  |  |  | 66,031 |  |  |  | 171,616 |
Remaining commercial |  |  | 14,021 |  |  |  | 39,062 |  |  |  | 27,080 |  |  |  | 116,152 |  |  |  | 196,315 |
Residential real estate: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial |  |  | 29,206 |  |  |  | 18,117 |  |  |  | 60,227 |  |  |  | 358,756 |  |  |  | 466,306 |
Leases |  |  | - |  |  |  | - |  |  |  | - |  |  |  | 2,663 |  |  |  | 2,663 |
Total Commercial Loans |  | $ | 137,163 |  |  | $ | 103,559 |  |  | $ | 251,948 |  |  | $ | 2,316,438 |  |  | $ | 2,809,108 |
Troubled Debt Restructuring (TDRs) Management classifies loans as TDRs when a borrower is experiencing financial difficulties and Park has granted a concession. In order to determine whether a borrower is experiencing financial difficulty, an evaluation is performed of the probability that the borrower will be in payment default on any of its debt in the foreseeable future without the modification. This evaluation is performed under the Company's internal underwriting policy. Management's policy is to modify loans by extending the term or by granting a temporary or permanent contractual interest rate below the market rate, not by forgiving debt. Certain loans which were modified during the period ending December 31, 2011 did not meet the definition of a TDR as the modification was a delay in a payment that was considered to be insignificant. Management considers a forbearance period of up to three months or a delay in payment of up to 30 days to be insignificant. TDRs may be classified as accruing if the borrower has been current for a period of at least six months with respect to loan payments and management expects that the borrower will be able to continue to make payments in accordance with the terms of the restructured note. Management reviews all accruing TDRs quarterly to ensure payments continue to be made in accordance with the modified terms. At December 31, 2011 and December 31, 2010, there were $100.4 million and $80.7 million, respectively, of TDRs included in nonaccrual loan totals. As of December 31, 2011, there were $28.7 million of TDRs included in accruing loan totals. None of the TDRs as of December 31, 2010 were accruing. Prior to management's adoption of ASU 2011-02, Park classified all TDRs as nonaccrual loans. With the adoption of ASU 2011-02, management determined it was appropriate to return certain TDRs to accrual status. Specifically, if the restructured note has been current for a period of at least six months and management expects the borrower will remain current throughout the renegotiated contract, the loan may be returned to accrual status. At December 31, 2011 and December 31, 2010, $79.9 million and $50.3 million of the nonaccrual TDRs were current. Management will continue to review the renegotiated loans and may determine it appropriate to move certain of the loans back to accrual status in the future. At December 31, 2011 and December 31, 2010, Park had commitments to lend $4.0 million and $434,000, respectively, of additional funds to borrowers whose terms had been modified in a TDR. The specific reserve related to TDRs at December 31, 2011 and December 31, 2010 was $9.1 million and $9.4 million, respectively. Modifications made in 2011 were largely the result of renewals, extending the maturity date of the loan, at terms consistent with the original note. These modifications were deemed to be TDRs primarily due to Park's conclusion that the borrower would likely not have qualified for similar terms through another lender. Many of the modifications deemed to be TDRs were previously identified as impaired loans, and thus were evaluated for impairment under ASC 310. An immaterial amount of additional specific reserves were recorded during the period ending December 31, 2011 as a result of TDRs identified in the 2011 year. The terms of certain other loans were modified during the period ended December 31, 2011 that did not meet the definition of a troubled debt restructuring. Modified substandard commercial loans which did not meet the definition of a TDR have a total recorded investment as of December 31, 2011 of $13.6 million. The modification of these loans involved either a modification of the terms of a loan to borrowers who were not experiencing financial difficulties or resulted in a delay in a payment that was considered to be insignificant. Modified consumer loans which did not meet the definition of a TDR have a total recorded investment as of December 31, 2011 of $19.6 million. Many of these loans were modified as a lower cost option than a full refinancing to borrowers who were not experiencing financial difficulties. The following table details the number of contracts modified as TDRs during the 12 months ended December 31, 2011 as well as the period end recorded investment of these contracts. The recorded investment pre- and post-modification is generally the same, as historically Park has not forgiven debt.
|  | 12 months ended December 31, 2011 |
(In thousands) |  | Number of Contracts |  |  | Recorded Investment |
Commercial, financial and agricultural |  |  | 56 |  |  | $ | 24,100 |
Commercial real estate |  |  | 23 |  |  |  | 7,163 |
Construction real estate: |  |  |  |  |  |  |  |
Vision commercial land and development |  |  | 12 |  |  |  | 4,268 |
Remaining commercial |  |  | 24 |  |  |  | 18,602 |
Mortgage |  |  | 1 |  |  |  | 66 |
Installment |  |  | - |  |  |  | - |
Residential real estate: |  |  |  |  |  |  |  |
Commercial |  |  | 30 |  |  |  | 29,595 |
Mortgage |  |  | 37 |  |  |  | 5,925 |
HELOC |  |  | 2 |  |  |  | 56 |
Installment |  |  | 7 |  |  |  | 221 |
Consumer |  |  | 1 |  |  |  | 18 |
Leases |  |  | - |  |  |  | - |
Total loans |  |  | 193 |  |  | $ | 90,014 |
The following table presents the recorded investment in financing receivables which were modified as troubled debt restructurings within the previous 12 months and for which there was a payment default during the 12 month period ended December 31, 2011. For this table, a loan is considered to be in default when it becomes 30 days contractually past due under modified terms. The additional allowance for loan loss resulting from the defaults on TDR loans was immaterial.
|  | 12 months ended December 31, 2011 |
(In thousands) |  | Number of Contracts |  |  | Recorded Investment |
Commercial, financial and agricultural |  |  | 19 |  |  | $ | 3,878 |
Commercial real estate |  |  | 5 |  |  |  | 2,353 |
Construction real estate: |  |  |  |  |  |  |  |
Vision commercial land and development |  |  | 5 |  |  |  | 3,406 |
Remaining commercial |  |  | 4 |  |  |  | 1,277 |
Mortgage |  |  | 1 |  |  |  | 66 |
Installment |  |  | ---- |  |  |  | --- |
Residential real estate: |  |  |  |  |  |  |  |
Commercial |  |  | 10 |  |  |  | 20,195 |
Mortgage |  |  | 7 |  |  |  | 1,193 |
HELOC |  |  | 1 |  |  |  | 50 |
Installment |  |  | 2 |  |  |  | 44 |
Consumer |  |  | ---- |  |  |  | --- |
Leases |  |  | ---- |  |  |  | --- |
Total loans |  |  | 54 |  |  | $ | 32,462 |
Management transfers a loan to other real estate owned at the time that Park takes title of the asset. At December 31, 2011 and 2010, Park had $42.3 million and $41.7 million, respectively, of other real estate owned. Certain of the Corporation's executive officers, directors and related entities of directors are loan customers of the Corporation's two banking subsidiaries. As of December 31, 2011 and 2010, loans and lines of credit aggregating approximately $53.0 million and $53.6 million, respectively, were outstanding to such parties. During 2011, $4.9 million of new loans were made to these executive officers and directors and repayments totaled $5.5 million. New loans and repayments for 2010 were $2.1 million and $5.3 million, respectively.

X
- Definition Loans [Text Block] + References No definition available. + Details
Name: | prk_LoansTextBlock
Namespace Prefix: | prk_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

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