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INVESTMENT SECURITIES
 3 Months Ended
Mar. 31, 2012
INVESTMENT SECURITIES [Abstract]  
INVESTMENT SECURITIES
4.   INVESTMENT SECURITIES
 
A summary of available for sale and held to maturity investment securities are as follows:
 
     
Gross
  
Gross
  
Estimated
 
Amortized
  
unrealized
  
unrealized
  
fair
 
cost
  
gains
  
losses
  
value
 
(Dollars in thousands)
March 31, 2012
          
Available for Sale
          
   U.S. Government sponsored entities debt securities
$369,660  $2,730  $-  $372,390
   States and political subdivisions debt securities
 39,382   1,083   (257)  40,208
   U.S. Government sponsored entities mortgage-backed securities
 1,201,277   18,370   (1,813)  1,217,834
   Corporate securities
 14,257   408   (22)  14,643
   Other
 845   32   -   877
      Total
$1,625,421  $22,623  $(2,092) $1,645,952
                
Held to Maturity
              
   U.S. Government sponsored entities mortgage-backed securities
$704  $14  $-  $718
                
December 31, 2011
              
Available for Sale
              
   U.S. Government sponsored entities debt securities
$370,184  $2,993  $-  $373,177
   States and political subdivisions debt securities
 12,265   729   -   12,994
   U.S. Government sponsored entities mortgage-backed securities
 1,077,146   20,981   (825)  1,097,302
   Corporate securities
 8,403   148   -   8,551
   Other
 985   -   (15)  970
      Total
$1,468,983  $24,851  $(840) $1,492,994
                
Held to Maturity
              
   U.S. Government sponsored entities mortgage-backed securities
$931  $45  $-  $976
 
The amortized cost and estimated fair value of investment securities at March 31, 2012 by contractual maturity are shown below. Expected maturities will differ from contractual maturities because issuers may have the right to call or prepay obligations with or without call or prepayment penalties.
 
   
March 31, 2012
   
Amortized Cost
  
Estimated Fair Value
   
(Dollars in thousands)
Available for Sale
     
  Due in one year or less
 $145,091  $145,668
  Due after one year through five years
  226,590   229,511
  Due after five years through ten years
  20,555   20,920
  Due after ten years
  31,063   31,142
  Mortage-backed securities
  1,201,277   1,217,834
  Other
  845   877
    Total
 $1,625,421  $1,645,952
         
Held to Maturity
       
  Mortage-backed securities
 $704  $718
 
We did not sell any available for sale securities during the first quarter of 2012 and 2011.

Investment securities of $887.8 million and $938.0 million at March 31, 2012 and December 31, 2011, respectively, were pledged to secure public funds on deposit, securities sold under agreements to repurchase and other long-term and short-term borrowings. None of these securities were pledged to a secured party that has the right to sell or repledge the collateral as of the same periods.
 
Provided below is a summary of the 19 and nine investment securities which were in an unrealized loss position at March 31, 2012 and December 31, 2011, respectively.
 
 
Less than 12 months
  
12 months or longer
  
Total
 
  Fair  
Unrealized
  Fair  
Unrealized
  Fair  
Unrealized
 
Description of Securities
Value
  
Losses
  
Value
  
Losses
  
Value
  
Losses
 
 
(Dollars in thousands)
 
At March 31, 2012:
                 
States and political subdivisions debt securities
$18,639  $(257) $-  $-  $18,639  $(257)
U.S. Government sponsored entities
                       
   mortgage-backed securities
 241,612   (1,813)  -   -   241,612   (1,813)
Corporate securities
 1,810   (22)  -   -   1,810   (22)
   Total temporarily impaired securities
$262,061  $(2,092) $-  $-  $262,061  $(2,092)
                         
At December 31, 2011:
                       
U.S. Government sponsored entities
                       
   mortgage-backed securities
$144,520  $(825) $-  $-  $144,520  $(825)
Other
 970   (15)  -   -   970   (15)
   Total temporarily impaired securities
$145,490  $(840) $-  $-  $145,490  $(840)
 
Unrealized losses for all investment securities are reviewed to determine whether the losses are deemed "other-than-temporary impairment" ("OTTI"). Investment securities are evaluated for OTTI on at least a quarterly basis and more frequently when economic or market conditions warrant such an evaluation to determine whether a decline in their value below amortized cost is other-than-temporary. In conducting this assessment, we evaluate a number of factors including, but not limited to:

·  
The length of time and the extent to which fair value has been less than the amortized cost basis;
·  
Adverse conditions specifically related to the security, an industry, or a geographic area;
·  
The historical and implied volatility of the fair value of the security;
·  
The payment structure of the debt security and the likelihood of the issuer being able to make payments;
·  
Failure of the issuer to make scheduled interest or principal payments;
·  
Any rating changes by a rating agency; and
·  
Recoveries or additional decline in fair value subsequent to the balance sheet date.

The term "other-than-temporary" is not intended to indicate that the decline is permanent, but indicates that the prospects for a near-term recovery of value are not necessarily favorable, or that there is a general lack of evidence to support a realizable value equal to or greater than the carrying value of the investment. Once a decline in value is determined to be other-than-temporary, the value of the security is reduced and a corresponding charge to earnings is recognized for anticipated credit losses.

The declines in market value were primarily attributable to changes in interest rates and disruptions in the credit and financial markets. Because we have no intent to sell securities in an unrealized loss position and it is not more likely than not that we will be required to sell such securities before recovery of its amortized cost basis, we do not consider these investments to be other-than-temporarily impaired.