Note 7.

FDIC Indemnification Asset

The Company entered into loss share agreements with the FDIC in 2012 in connection with the FDIC-assisted acquisition of Waccamaw. Under the loss share agreements, the FDIC agreed to cover 80% of most loan and foreclosed real estate losses. Certain expenses incurred in relation to these covered assets are reimbursable by the FDIC. Estimated reimbursements are netted against the expense on covered assets in the Company’s consolidated statements of income. The following table presents activity in the FDIC indemnification asset in the periods indicated:


	Year Ended December 31,
(Amounts in thousands)	2013			2012
Beginning balance	$	48,149		$	—
FDIC loss share receivable — Waccamaw acquisition		—			49,755
Increase in estimated losses on covered loans		451			—
Increase in estimated losses on covered OREO		4,425			637
Reimbursable expenses from the FDIC		1,574			273
Net (amortization) accretion		(5,597	)		458
Reimbursements from the FDIC		(14,311	)		(2,974	)

Ending balance	$	34,691		$	48,149