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Fair Value (Tables)

12 Months Ended

Dec. 31, 2015

Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Abstract]

Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis 1 [Table Text Block]

Assets and liabilities measured at fair value on a recurring and non-recurring basis, are summarized below:

	December 31, 2015
	Fair Value Measurements
	Level 1			Level 2			Level 3			Total
	(In thousands)
Recurring fair value measurements:
Investment securities available-for-sale	$	-		$	974,609		$	-		$	974,609
Trading securities		-			288			-			288
Money market investments		4,699			-			-			4,699
Derivative assets		-			1,854			1,171			3,025
Servicing assets		-			-			7,455			7,455
Derivative liabilities		-			(6,162)			(1,095)			(7,257)
	$	4,699		$	970,589		$	7,531		$	982,819
Non-recurring fair value measurements:
Impaired commercial loans	$	-		$	-		$	235,767		$	235,767
Foreclosed real estate		-			-			58,176			58,176
Other repossessed assets		-			-			6,226			6,226
	$	-		$	-		$	300,169		$	300,169

	December 31, 2014
	Fair Value Measurements
	Level 1			Level 2			Level 3			Total
	(In thousands)
Recurring fair value measurements:
Investment securities available-for-sale	$	-		$	1,216,538		$	-		$	1,216,538
Trading securities		-			1,594			-			1,594
Money market investments		4,675			-			-			4,675
Derivative assets		-			2,552			5,555			8,107
Servicing assets		-			-			13,992			13,992
Derivative liabilities		-			(11,221)			(5,477)			(16,698)
	$	4,675		$	1,209,463		$	14,070		$	1,228,208
Non-recurring fair value measurements:
Impaired commercial loans	$	-		$	-		$	236,942		$	236,942
Foreclosed real estate		-			-			95,661			95,661
Other repossessed assets		-			-			21,800			21,800
	$	-		$	-		$	354,403		$	354,403

The table below presents a reconciliation of all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the years ended December 31, 2015, 2014 and 2013.:

	Year Ended December 31, 2015
				Derivative						Derivative
	Other			asset						liability
	debt			(S&P						(S&P
	securities			Purchased				Servicing		Embedded
Level 3 Instruments Only	available-for-sale			Options)				assets		Options)			Total
Balance at beginning of period	$	-		$	5,555		$	13,992		$	(5,477)		$	14,070
Gains (losses) included in earnings		-			(4,384)			-			4,197			(187)
Sale of mortgage servicing rights		-			-			(5,927)			-			(5,927)
New instruments acquired		-			-			2,620			-			2,620
Principal repayments		-			-			(1,017)			-			(1,017)
Amortization		-			-			-			185			185
Changes in fair value related to price of MSR held-for-sale		-			-			(2,939)			-			(2,939)
Changes in fair value of servicing assets		-			-			726			-			726
Balance at end of period	$	-		$	1,171		$	7,455		$	(1,095)		$	7,531
	Year Ended December 31, 2014
				Derivative							Derivative
	Other			asset							liability
	debt			(S&P							(S&P
	securities			Purchased				Servicing			Embedded
Level 3 Instruments Only	available-for-sale			Options)				assets			Options)			Total
Balance at beginning of period	$	19,680		$	16,430		$	13,801		$	(15,736)		$	34,175
Gains (losses) included in earnings		-			(10,875)			-			9,659			(1,216)
Changes in fair value of investment securities available for sale included in other comprehensive income		320			-			-			-			320
New instruments acquired		-			-			2,149			-			2,149
Principal repayments		(20,000)			-			(1,072)			-			(21,072)
Amortization		-			-			-			600			600
Changes in fair value of servicing assets		-			-			(886)			-			(886)
Balance at end of period	$	-		$	5,555		$	13,992		$	(5,477)		$	14,070
	Year Ended December 31, 2013
				Derivative							Derivative
	Other			asset							liability
	debt			(S&P							(S&P
	securities			Purchased				Servicing			Embedded
Level 3 Instruments Only	available-for-sale			Options)				assets			Options)			Total
Balance at beginning of period	$	20,012		$	13,233		$	10,795		$	(12,707)		$	31,333
Gains (losses) included in earnings		-			3,197			-			(5,039)			(1,842)
Changes in fair value of investment securities available for sale included in other comprehensive income		(332)			-			-			-			(332)
New instruments acquired		-			-			3,178			-			3,178
Principal repayments		-			-			(951)			-			(951)
Amortization		-			-			-			2,010			2,010
Changes in fair value of servicing assets		-			-			779			-			779
Balance at end of period	$	19,680		$	16,430		$	13,801		$	(15,736)		$	34,175

Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Table Text Block]

The table below presents quantitative information for all assets and liabilities measured at fair value on a recurring and non-recurring basis using significant unobservable inputs (Level 3) at

		December 31, 2015
		Fair Value			Valuation Technique		Unobservable Input		Range
		(In thousands)
Derivative assets (S&P Purchased Options)		$	1,170		Option pricing model		Implied option volatility		34.31%- 38.61%
							Counterparty credit risk (based on 5-year credit default swap ("CDS") spread)		72.00%- 72.00%
Servicing assets		$	7,455		Cash flow valuation		Constant prepayment rate		5.23% - 15.24%
							Discount rate		10.00% - 12.00%
Derivative liability (S&P Embedded Options)		$	(1,095)		Option pricing model		Implied option volatility		34.31%- 38.61%
							Counterparty credit risk (based on 5-year CDS spread)		72.00%- 72.00%
Collateral dependant impaired loans		$	40,532		Fair value of property or collateral		Appraised value less disposition costs		28.20% - 44.20%
Puerto Rico Electric Power Authority line of credit, net		$	190,290		Cash flow valuation		Discount rate		7.25%
Other non-collateral dependant impaired loans		$	4,945		Cash flow valuation		Discount rate		5.75% - 16.95%
Foreclosed real estate		$	58,176		Fair value of property or collateral		Appraised value less disposition costs		28.20% - 44.20%
Other repossessed assets		$	6,226		Fair value of property or collateral		Appraised value less disposition costs		28.20% - 44.20%

Fair Value By Balance Sheet Grouping [Text Block]

The estimated fair value and carrying value of the Company’s financial instruments at December 31, 2015 and 2014 is as follows:

	December 31,						December 31,
	2015						2014
	Fair			Carrying			Fair			Carrying
	Value			Value			Value			Value
	(In thousands)
Level 1
Financial Assets:
Cash and cash equivalents	$	536,709		$	536,709		$	573,427		$	573,427
Restricted cash		3,349		$	3,349			8,407		$	8,407
Level 2
Financial Assets:
Trading securities		288		$	288			1,594		$	1,594
Investment securities available-for-sale		974,609		$	974,609			1,216,538		$	1,216,538
Investment securities held-to-maturity		614,679		$	620,189			164,154		$	162,752
Federal Home Loan Bank (FHLB) stock		20,783		$	20,783			21,169		$	21,169
Other investments		3		$	3			3		$	3
Derivative assets		1,855		$	1,855			2,552		$	2,552
Financial Liabilities:
Derivative liabilities		6,162		$	6,162			11,221		$	11,221
Level 3
Financial Assets:
Total loans (including loans held-for-sale)		4,101,219			4,434,213			4,909,361			4,826,646
Derivative assets		1,170		$	1,170			5,555		$	5,555
FDIC indemnification asset		17,786		$	22,599			75,969		$	97,378
Accrued interest receivable		20,637		$	20,637			21,345		$	21,345
Servicing assets		7,455		$	7,455			13,992		$	13,992
Accounts receivable and other assets		42,786			42,786			38,830			38,830
Financial Liabilities:
Deposits		4,705,878		$	4,715,764			4,887,770		$	4,918,929
Securities sold under agreements to repurchase		955,859		$	934,691			1,020,621		$	980,087
Advances from FHLB		335,812		$	332,476			339,172		$	334,331
Other borrowings		2,593		$	1,734			3,979		$	4,004
Subordinated capital notes		94,940		$	102,633			104,288		$	101,584
Accrued expenses and other liabilities		92,935		$	92,935			133,290		$	133,290
Derivative liabilities embedded in deposits		1,095		$	1,095			5,477		$	5,477

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Tabular disclosure of financial instruments measured at fair value, including those classified in shareholders' equity measured on a recurring or nonrecurring basis. Disclosures include, but are not limited to, fair value measurements recorded and the reasons for the measurements, level within the fair value hierarchy in which the fair value measurements are categorized and transfers between levels 1 and 2. Nonrecurring fair value measurements are those that are required or permitted in the statement of financial position in particular circumstances.

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Tabular disclosure of the inputs and valuation techniques used to measure fair value, and a discussion of changes in valuation techniques and related inputs, if any, applied during the period to each separate class of assets, liabilities, and financial instruments classified in shareholders' equity that are measured on a recurring and/or nonrecurring basis.

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Tabular disclosure of the fair value of financial instruments, including financial assets and financial liabilities, and the measurements of those instruments, assets, and liabilities.

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