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Covered Assets | 12 Months Ended
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Sep. 30, 2011
Covered Assets [Abstract] |
Covered Assets | Covered Assets Covered assets represent loans and real estate held for sale acquired from the FDIC that are subject to loss sharing agreements and were $438,566,000 as of September 30, 2011, versus $578,629,000 as of September 30, 2010. The Company evaluated the acquired loans for impairment. Loans are accounted for under ASC 310-30 when there is evidence of credit deterioration since origination and for which it is probable, at acquisition, that the Company would be unable to collect all contractually required payments. The following table reflects the carrying value of all acquired impaired and non-impaired loans as of September 30, 2011 and 2010:
| September 30, 2011 |  | September 30, 2010
| Acquired Impaired Loans | Acquired Non-impaired Loans | Total |  | Acquired Impaired Loans | Acquired Non-impaired Loans | Total
| (In thousands)
Single-family residential | $ | 9,235 |  | $ | 46,214 |  | $ | 55,449 |  |  | $ | 7,872 |  | $ | 58,863 |  | $ | 66,735 |
Construction – speculative | 8,006 |  | 1,315 |  | 9,321 |  |  | 24,353 |  | 5,277 |  | 29,630 |
Construction – custom | 2,799 |  | — |  | 2,799 |  |  | 6,533 |  | 394 |  | 6,927 |
Land – acquisition & development | 32,159 |  | 15,058 |  | 47,217 |  |  | 78,308 |  | 24,674 |  | 102,982 |
Land – consumer lot loans | 499 |  | 654 |  | 1,153 |  |  | 499 |  | 1,314 |  | 1,813 |
Multi-family | 9,333 |  | 34,906 |  | 44,239 |  |  | 12,342 |  | 41,916 |  | 54,258 |
Commercial real estate | 101,599 |  | 148,464 |  | 250,063 |  |  | 127,844 |  | 181,143 |  | 308,987 |
Commercial & industrial | 35,993 |  | 22,881 |  | 58,874 |  |  | 45,214 |  | 38,340 |  | 83,554 |
HELOC | 1,829 |  | 21,730 |  | 23,559 |  |  | 1,911 |  | 24,676 |  | 26,587 |
Consumer | 1,485 |  | 1,199 |  | 2,684 |  |  | 1,956 |  | 1,955 | 3,911 |
Total covered loans | $ | 202,937 |  | $ | 292,421 |  | $ | 495,358 |  |  | $ | 306,832 |  | $ | 378,552 |  | $ | 685,384 |
Allowance for losses | (3,766 | ) | — |  | (3,766 | ) |  | — |  | — |  | — |
| $ | 199,171 |  | $ | 292,421 |  | $ | 491,592 |  |  | $ | 306,832 |  | $ | 378,552 |  | $ | 685,384 |
Discount |  |  | (109,409 | ) |  |  |  | (150,910 | )
Covered loans, net |  |  | $ | 382,183 |  |  |  |  | $ | 534,474 |
Changes in the carrying amount and accretable yield for acquired impaired and non-impaired loans were as follows for the fiscal years ended September 30, 2011 and 2010:
| September 30, 2011 |  | September 30, 2010
| Acquired Impaired |  | Acquired Non-impaired |  | Acquired Impaired |  | Acquired Non-impaired
| Accretable Yield |  | Carrying Amount of Loans |  | Accretable Yield |  | Carrying Amount of Loans |  | Accretable Yield |  | Carrying Amount of Loans |  | Accretable Yield |  | Carrying Amount of Loans
| (In thousands) |  | (In thousands)
Balance at beginning of period | $ | 27,019 |  |  | $ | 190,530 |  |  | $ | 39,813 |  |  | $ | 343,944 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |
Additions | — |  |  | — |  |  | — |  |  | — |  |  | 36,731 |  |  | 246,383 |  |  | 50,000 |  |  | 425,000 |
Reclassification from nonaccretable balance, net | 24,025 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |
Accretion | (13,972 | ) |  | 13,972 |  |  | (9,443 | ) |  | 9,443 |  |  | (9,712 | ) |  | 9,712 |  |  | (10,187 | ) |  | 10,187 |
Transfers to REO | — |  |  | (54,638 | ) |  | — |  |  | — |  |  | — |  |  | (34,536 | ) |  | — |  |  | — |
Payments received, net | — |  |  | (33,803 | ) |  | — |  |  | (83,499 | ) |  | — |  |  | (31,029 | ) |  | — |  |  | (91,243 | )
Balance at end of period | $ | 37,072 |  |  | $ | 116,061 |  |  | $ | 30,370 |  |  | $ | 269,888 |  |  | $ | 27,019 |  |  | $ | 190,530 |  |  | $ | 39,813 |  |  | $ | 343,944 |
At September 30, 2011, none of the acquired impaired or non-impaired loans were classified as non-performing assets. Therefore, interest income, through accretion of the difference between the carrying amount of the loans and the expected cash flows, was recognized on all acquired loans. The allowance for credit losses related to the acquired loans results from decreased expectations of future cash flows due to increased credit losses for certain acquired loan pools. The outstanding principal balance of acquired loans was $491,592,000 and $685,384,000 as of September 30, 2011 and September 30, 2010, respectively. The discount balance related to the acquired loans was $109,409,000 and $150,910,000 as of September 30, 2011 and September 30, 2010, respectively. The following table shows the year to date activity for the FDIC indemnification asset:
| September 30, 2011 |  | September 30, 2010
| (In thousands)
Balance at beginning of period | $ | 131,128 |  |  | $ | — |
Additions | 7,707 |  |  | 227,500 |
Payments received | (32,828 | ) |  | (92,551 | )
Amortization | (10,239 | ) |  | (8,150 | )
Accretion | 3,103 |  |  | 4,329 |
Balance at end of period | $ | 98,871 |  |  | $ | 131,128 |
The following tables provide information on covered loans based on credit quality indicators (defined in Note A) as of September 30, 2011: Credit Risk Profile by Internally Assigned Grade:
| Internally Assigned Grade |  | Total Net Loans
| Pass |  | Special mention |  | Substandard |  | Doubtful |  | Loss |
| (In thousands)
Purchased non-credit impaired loans: |  |  |  |  |  |  |  |  |  |  |
Single-family residential | $ | 45,619 |  |  | $ | — |  |  | $ | 595 |  |  | $ | — |  |  | $ | — |  |  | $ | 46,214 |
Construction - speculative | 1,315 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 1,315 |
Construction - custom | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |
Land - acquisition & development | 8,383 |  |  | 6,315 |  |  | 360 |  |  | — |  |  | — |  |  | 15,058 |
Land - consumer lot loans | 543 |  |  | — |  |  | 111 |  |  | — |  |  | — |  |  | 654 |
Multi-family | 32,448 |  |  | — |  |  | 2,458 |  |  | — |  |  | — |  |  | 34,906 |
Commercial real estate | 118,124 |  |  | 1,361 |  |  | 28,979 |  |  | — |  |  | — |  |  | 148,464 |
Commercial & industrial | 13,717 |  |  | 4,481 |  |  | 4,239 |  |  | 444 |  |  | — |  |  | 22,881 |
HELOC | 21,730 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 21,730 |
Consumer | 1,199 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 1,199 |
| 243,078 |  |  | 12,157 |  |  | 36,742 |  |  | 444 |  |  | — |  |  | 292,421 |
Total grade as a % of total net loans | 83.1 | % |  | 4.2 | % |  | 12.6 | % |  | 0.2 | % |  | — | % |  |
Purchased credit impaired loans: |  |  |  |  |  |  |  |
Pool 1 - Construction and land A&D | 9,982 |  |  | 2,980 |  |  | 54,682 |  |  | — |  |  | — |  |  | 67,644 |
Pool 2 - Single-family residential | 3,667 |  |  | — |  |  | 8,263 |  |  | — |  |  | — |  |  | 11,930 |
Pool 3 - Multi-family | — |  |  | — |  |  | 3,324 |  |  | — |  |  | — |  |  | 3,324 |
Pool 4 - HELOC & other consumer | 3,544 |  |  | — |  |  | 5,411 |  |  | — |  |  | — |  |  | 8,955 |
Pool 5 - Commercial real estate | 418 |  |  | 30,579 |  |  | 48,069 |  |  | — |  |  | — |  |  | 79,066 |
Pool 6 - Commercial & industrial | 2,859 |  |  | 2,725 |  |  | 25,662 |  |  | 772 |  |  | — |  |  | 32,018 |
| $ | 20,470 |  |  | $ | 36,284 |  |  | $ | 145,411 |  |  | $ | 772 |  |  | $ | — |  |  | 202,937 |
|  |  |  |  |  |  |  |  | Total covered loans |  | 495,358 |
|  |  |  |  |  |  |  |  | Discount |  | (109,409 | )
|  |  |  |  |  |  |  |  | Allowance |  | $ | (3,766 | )
|  |  |  |  |  |  |  |  | Covered loans, net |  | $ | 382,183 |
The following table provides an analysis of the age of purchased non-credit impaired loans in past due status for the period ended September 30, 2011.
| Amount of Loans Net of LIP & Chg.-Offs |  | Days Delinquent Based on $ Amount of Loans |  | % based on $
Type of Loans | Current |  | 30 |  | 60 |  | 90 |  | Total |
| (In thousands) |  |
Single-family residential | $ | 46,214 |  |  | $ | 43,445 |  |  | $ | 1,034 |  |  | $ | 30 |  |  | $ | 1,705 |  |  | $ | 2,769 |  |  | 5.99 | %
Construction - speculative | 1,315 |  |  | 1,315 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | NM |
Construction - custom | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | NM |
Land - acquisition & development | 15,058 |  |  | 13,344 |  |  | 487 |  |  | — |  |  | 1,227 |  |  | 1,714 |  |  | 11.38 | %
Land - consumer lot loans | 654 |  |  | 527 |  |  | 16 |  |  | — |  |  | 111 |  |  | 127 |  |  | 19.42 | %
Multi-family | 34,906 |  |  | 33,398 |  |  | — |  |  | — |  |  | 1,508 |  |  | 1,508 |  |  | 4.32 | %
Commercial real estate | 148,464 |  |  | 142,060 |  |  | 1,527 |  |  | — |  |  | 4,877 |  |  | 6,404 |  |  | 4.31 | %
Commercial & industrial | 22,881 |  |  | 18,049 |  |  | 3,606 |  |  | 703 |  |  | 523 |  |  | 4,832 |  |  | 21.12 | %
HELOC | 21,730 |  |  | 20,339 |  |  | 731 |  |  | 391 |  |  | 269 |  |  | 1,391 |  |  | 6.40 | %
Consumer | 1,199 |  |  | 1,123 |  |  | 31 |  |  | 8 |  |  | 37 |  |  | 76 |  |  | 6.34 | %
| $ | 292,421 |  |  | $ | 273,600 |  |  | $ | 7,432 |  |  | $ | 1,132 |  |  | $ | 10,257 |  |  | $ | 18,821 |  |  | 6.44 | %

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- Definition Assets Covered By FDIC Loss Share Disclosure [Text Block] + Details
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- Definition Covered Assets [Abstract] + Details
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