Loans, Allowance for Credit Losses, and Credit Quality | NOTE 7: Loans, Allowance for Credit Losses, and Credit Quality During the third quarter of 2015, the Corporation reclassified approximately $500 million of closed end first lien home equity loans to residential mortgage loans in order to better align with the Corporation's regulatory reporting of residential mortgage loan products. All prior periods have been restated to reflect this change. As a result, the restated home equity loan portfolio is $1.1 billion for December 31, 2014 , compared to the originally reported amount of $1.6 billion . Similarly, the restated residential mortgage loan portfolio is $5.1 billion for December 31, 2014 , compared to the originally reported amount of $4.5 billion . The period end loan composition was as follows. September 30, December 31, ($ in Thousands) Commercial and industrial $ 6,085,473 $ 5,905,902 Commercial real estate - owner occupied 966,689 1,007,937 Lease financing 42,607 51,529 Commercial and business lending 7,094,769 6,965,368 Commercial real estate - investor 3,183,352 3,056,485 Real estate construction 1,124,280 1,008,956 Commercial real estate lending 4,307,632 4,065,441 Total commercial 11,402,401 11,030,809 Home equity 1,014,465 1,051,927 Installment and credit cards 425,729 454,219 Residential mortgage 5,682,178 5,056,891 Total consumer 7,122,372 6,563,037 Total loans $ 18,524,773 $ 17,593,846 A summary of the changes in the allowance for credit losses was as follows. Nine Months Ended Year Ended ($ in Thousands) Allowance for Loan Losses: Balance at beginning of period $ 266,302 $ 268,315 Provision for loan losses 18,500 13,000 Charge offs (39,539 ) (44,096 ) Recoveries 17,273 29,083 Net charge offs (22,266 ) (15,013 ) Balance at end of period $ 262,536 $ 266,302 Allowance for Unfunded Commitments: Balance at beginning of period $ 24,900 $ 21,900 Provision for unfunded commitments (1,000 ) 3,000 Balance at end of period $ 23,900 $ 24,900 Allowance for Credit Losses $ 286,436 $ 291,202 The level of the allowance for loan losses represents management’s estimate of an amount appropriate to provide for probable credit losses in the loan portfolio at the balance sheet date. In general, the change in the allowance for loan losses is a function of a number of factors, including but not limited to changes in the loan portfolio, net charge offs, trends in past due and impaired loans, and the level of potential problem loans. Management considers the allowance for loan losses a critical accounting policy, as assessing these numerous factors involves significant judgment. The allowance for unfunded commitments is maintained at a level believed by management to be sufficient to absorb estimated probable losses related to unfunded credit facilities (including unfunded loan commitments and letters of credit) and is included in accrued expenses and other liabilities on the consolidated balance sheets. The determination of the appropriate level of the allowance for unfunded commitments is based upon an evaluation of the unfunded credit facilities, including an assessment of historical commitment utilization experience and credit risk grading of the loan. Net adjustments to the allowance for unfunded commitments are included in provision for credit losses in the consolidated statements of income. See Note 13 for additional information on the allowance for unfunded commitments. A summary of the changes in the allowance for loan losses by portfolio segment for the nine months ended September 30, 2015 , was as follows. $ in Thousands Commercial and industrial Commercial real estate - owner occupied Lease financing Commercial real estate - investor Real estate construction Home equity Installment and credit cards Residential mortgage Total Balance at Dec 31, 2014 $ 116,025 $ 16,510 $ 1,610 $ 46,333 $ 20,999 $ 26,464 $ 6,435 $ 31,926 $ 266,302 Provision for loan losses 15,749 7,245 (835 ) (2,703 ) (1,314 ) (987 ) 1,284 61 18,500 Charge offs (19,672 ) (2,325 ) — (3,947 ) (546 ) (5,466 ) (2,934 ) (4,649 ) (39,539 ) Recoveries 6,392 892 — 4,124 1,924 2,568 569 804 17,273 Balance at Sep 30, 2015 $ 118,494 $ 22,322 $ 775 $ 43,807 $ 21,063 $ 22,579 $ 5,354 $ 28,142 $ 262,536 Allowance for loan losses: Ending balance impaired loans individually evaluated for impairment $ 5,922 $ — $ — $ 197 $ — $ 3 $ — $ 171 $ 6,293 Ending balance impaired loans collectively evaluated for impairment 977 571 — 1,152 474 9,652 210 12,384 25,420 Total impaired loans $ 6,899 $ 571 $ — $ 1,349 $ 474 $ 9,655 $ 210 $ 12,555 $ 31,713 Ending balance all other loans collectively evaluated for impairment 111,595 21,751 775 42,458 20,589 12,924 5,144 15,587 230,823 Total $ 118,494 $ 22,322 $ 775 $ 43,807 $ 21,063 $ 22,579 $ 5,354 $ 28,142 $ 262,536 Loans: Ending balance impaired loans individually evaluated for impairment $ 55,148 $ 11,174 $ 1,763 $ 3,822 $ — $ 170 $ — $ 6,877 $ 78,954 Ending balance impaired loans collectively evaluated for impairment 31,871 9,537 — 21,679 1,482 20,416 1,190 65,134 151,309 Total impaired loans $ 87,019 $ 20,711 $ 1,763 $ 25,501 $ 1,482 $ 20,586 $ 1,190 $ 72,011 $ 230,263 Ending balance all other loans collectively evaluated for impairment 5,998,454 945,978 40,844 3,157,851 1,122,798 993,879 424,539 5,610,167 18,294,510 Total $ 6,085,473 $ 966,689 $ 42,607 $ 3,183,352 $ 1,124,280 $ 1,014,465 $ 425,729 $ 5,682,178 $ 18,524,773 The allocation methodology used by the Corporation includes allocations for specifically identified impaired loans and loss factor allocations (used for both criticized and non-criticized loan categories), with a component primarily based on historical loss rates and a component primarily based on other qualitative factors. Management allocates the allowance for loan losses by pools of risk within each loan portfolio. The allocation of the allowance for loan losses by loan portfolio is made for analytical purposes and is not necessarily indicative of the trend of future loan losses in any particular category. At September 30, 2015 , $29 million of the commercial and industrial allowance for loan losses was attributable to Oil and Gas related credits, compared to $17 million at December 31, 2014 . This allocated allowance for loan losses represented 3.83% and 2.26% of period end Oil and Gas related loans at September 30, 2015 and December 31, 2014 , respectively. The total allowance for loan losses is available to absorb losses from any segment of the loan portfolio. For comparison purposes, a summary of the changes in the allowance for loan losses by portfolio segment for the year ended December 31, 2014 , was as follows. $ in Thousands Commercial and industrial Commercial real estate - owner occupied Lease financing Commercial real estate - investor Real estate construction Home equity Installment and credit cards Residential mortgage Total Balance at Dec 31, 2013 $ 104,501 $ 19,476 $ 1,607 $ 58,156 $ 23,418 $ 27,932 $ 2,416 $ 30,809 $ 268,315 Provision for loan losses 14,767 (1,296 ) 35 (17,290 ) (1,277 ) 6,278 6,279 5,504 13,000 Charge offs (14,633 ) (3,476 ) (39 ) (4,529 ) (1,958 ) (10,946 ) (2,876 ) (5,639 ) (44,096 ) Recoveries 11,390 1,806 7 9,996 816 3,200 616 1,252 29,083 Balance at Dec 31, 2014 $ 116,025 $ 16,510 $ 1,610 $ 46,333 $ 20,999 $ 26,464 $ 6,435 $ 31,926 $ 266,302 Allowance for loan losses: Ending balance impaired loans individually evaluated for impairment $ 13,615 $ 1,490 $ 574 $ 1,649 $ 328 $ 11 $ — $ 199 $ 17,866 Ending balance impaired loans collectively evaluated for impairment 2,852 1,731 — 1,938 767 11,371 308 13,598 32,565 Total impaired loans $ 16,467 $ 3,221 $ 574 $ 3,587 $ 1,095 $ 11,382 $ 308 $ 13,797 $ 50,431 Ending balance all other loans collectively evaluated for impairment 99,558 13,289 1,036 42,746 19,904 15,082 6,127 18,129 215,871 Total $ 116,025 $ 16,510 $ 1,610 $ 46,333 $ 20,999 $ 26,464 $ 6,435 $ 31,926 $ 266,302 Loans: Ending balance impaired loans individually evaluated for impairment $ 45,118 $ 20,731 $ 1,801 $ 19,683 $ 3,776 $ 962 $ — $ 9,751 $ 101,822 Ending balance impaired loans collectively evaluated for impairment 38,437 15,548 — 26,129 2,350 23,698 1,587 66,058 173,807 Total impaired loans $ 83,555 $ 36,279 $ 1,801 $ 45,812 $ 6,126 $ 24,660 $ 1,587 $ 75,809 $ 275,629 Ending balance all other loans collectively evaluated for impairment 5,822,347 971,658 49,728 3,010,673 1,002,830 1,027,267 452,632 4,981,082 17,318,217 Total $ 5,905,902 $ 1,007,937 $ 51,529 $ 3,056,485 $ 1,008,956 $ 1,051,927 $ 454,219 $ 5,056,891 $ 17,593,846 The following table presents commercial loans by credit quality indicator at September 30, 2015 . Pass Special Mention Potential Problem Impaired Total ($ in Thousands) Commercial and industrial $ 5,487,926 $ 318,587 $ 191,941 $ 87,019 $ 6,085,473 Commercial real estate - owner occupied 874,566 29,946 41,466 20,711 966,689 Lease financing 39,987 624 233 1,763 42,607 Commercial and business lending 6,402,479 349,157 233,640 109,493 7,094,769 Commercial real estate - investor 3,089,760 44,458 23,633 25,501 3,183,352 Real estate construction 1,120,173 271 2,354 1,482 1,124,280 Commercial real estate lending 4,209,933 44,729 25,987 26,983 4,307,632 Total commercial $ 10,612,412 $ 393,886 $ 259,627 $ 136,476 $ 11,402,401 The following table presents commercial loans by credit quality indicator at December 31, 2014 . Pass Special Mention Potential Problem Impaired Total ($ in Thousands) Commercial and industrial $ 5,594,497 $ 119,328 $ 108,522 $ 83,555 $ 5,905,902 Commercial real estate - owner occupied 904,526 18,437 48,695 36,279 1,007,937 Lease financing 46,931 88 2,709 1,801 51,529 Commercial and business lending 6,545,954 137,853 159,926 121,635 6,965,368 Commercial real estate - investor 2,974,493 12,137 24,043 45,812 3,056,485 Real estate construction 998,972 2,082 1,776 6,126 1,008,956 Commercial real estate lending 3,973,465 14,219 25,819 51,938 4,065,441 Total commercial $ 10,519,419 $ 152,072 $ 185,745 $ 173,573 $ 11,030,809 The following table presents consumer loans by credit quality indicator at September 30, 2015 . Performing 30-89 Days Past Due Potential Problem Impaired Total ($ in Thousands) Home equity $ 985,087 $ 8,565 $ 227 $ 20,586 $ 1,014,465 Installment and credit cards 422,816 1,723 — 1,190 425,729 Residential mortgage 5,601,390 4,811 3,966 72,011 5,682,178 Total consumer $ 7,009,293 $ 15,099 $ 4,193 $ 93,787 $ 7,122,372 The following table presents consumer loans by credit quality indicator at December 31, 2014 . Performing 30-89 Days Past Due Potential Problem Impaired Total ($ in Thousands) Home equity $ 1,017,604 $ 8,783 $ 880 $ 24,660 $ 1,051,927 Installment and credit cards 450,698 1,932 2 1,587 454,219 Residential mortgage 4,972,455 4,846 3,781 75,809 5,056,891 Total consumer $ 6,440,757 $ 15,561 $ 4,663 $ 102,056 $ 6,563,037 Factors that are important to managing overall credit quality are sound loan underwriting and administration, systematic monitoring of existing loans and commitments, effective loan review on an ongoing basis, early identification of potential problems, and appropriate allowance for loan losses, allowance for unfunded commitments, nonaccrual and charge off policies. For commercial loans, management has determined the pass credit quality indicator to include credits that exhibit acceptable financial statements, cash flow, and leverage. If any risk exists, it is mitigated by the loan structure, collateral, monitoring, or control. For consumer loans, performing loans include credits that are performing in accordance with the original contractual terms. Loans are considered past due if the required principal and interest payments have not been received as of the date such payments were due. Special mention credits have potential weaknesses that deserve management’s attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the credit. Potential problem loans are considered inadequately protected by the current net worth and paying capacity of the obligor or the collateral pledged. These loans generally have a well-defined weakness, or weaknesses that may jeopardize liquidation of the debt and are characterized by the distinct possibility that the Corporation will sustain some loss if the deficiencies are not corrected. Lastly, management considers a loan to be impaired when it is probable that the Corporation will be unable to collect all amounts due according to the original contractual terms of the note agreement, including both principal and interest. Management has determined that commercial and consumer loan relationships that have nonaccrual status or have had their terms restructured in a troubled debt restructuring meet this impaired loan definition. Commercial loans classified as special mention, potential problem, and impaired are reviewed at a minimum on a quarterly basis, while pass rated credits are reviewed on an annual basis or more frequently if the loan renewal is less than one year or if otherwise warranted. The following table presents loans by past due status at September 30, 2015 . 30-59 Days Past Due 60-89 Days Past Due 90 Days or More Past Due (a) Total Past Due Current Total ($ in Thousands) Accruing loans Commercial and industrial $ 1,133 $ 1,788 $ 178 $ 3,099 $ 6,023,953 $ 6,027,052 Commercial real estate - owner occupied 1,173 845 — 2,018 951,303 953,321 Lease financing 375 — — 375 40,469 40,844 Commercial and business lending 2,681 2,633 178 5,492 7,015,725 7,021,217 Commercial real estate - investor 1,104 114 — 1,218 3,175,213 3,176,431 Real estate construction 312 61 — 373 1,122,910 1,123,283 Commercial real estate lending 1,416 175 — 1,591 4,298,123 4,299,714 Total commercial 4,097 2,808 178 7,083 11,313,848 11,320,931 Home equity 7,413 1,152 — 8,565 992,259 1,000,824 Installment and credit cards 1,162 561 1,306 3,029 422,314 425,343 Residential mortgage 4,345 466 — 4,811 5,625,410 5,630,221 Total consumer 12,920 2,179 1,306 16,405 7,039,983 7,056,388 Total accruing loans $ 17,017 $ 4,987 $ 1,484 $ 23,488 $ 18,353,831 $ 18,377,319 Nonaccrual loans Commercial and industrial $ 27 $ 1,379 $ 9,711 $ 11,117 $ 47,304 $ 58,421 Commercial real estate - owner occupied 195 — 3,641 3,836 9,532 13,368 Lease financing — — — — 1,763 1,763 Commercial and business lending 222 1,379 13,352 14,953 58,599 73,552 Commercial real estate - investor — — 3,565 3,565 3,356 6,921 Real estate construction 61 108 445 614 383 997 Commercial real estate lending 61 108 4,010 4,179 3,739 7,918 Total commercial 283 1,487 17,362 19,132 62,338 81,470 Home equity 1,899 1,228 4,744 7,871 5,770 13,641 Installment and credit cards 47 23 164 234 152 386 Residential mortgage 4,675 4,215 19,946 28,836 23,121 51,957 Total consumer 6,621 5,466 24,854 36,941 29,043 65,984 Total nonaccrual loans (b) $ 6,904 $ 6,953 $ 42,216 $ 56,073 $ 91,381 $ 147,454 Total loans Commercial and industrial $ 1,160 $ 3,167 $ 9,889 $ 14,216 $ 6,071,257 $ 6,085,473 Commercial real estate - owner occupied 1,368 845 3,641 5,854 960,835 966,689 Lease financing 375 — — 375 42,232 42,607 Commercial and business lending 2,903 4,012 13,530 20,445 7,074,324 7,094,769 Commercial real estate - investor 1,104 114 3,565 4,783 3,178,569 3,183,352 Real estate construction 373 169 445 987 1,123,293 1,124,280 Commercial real estate lending 1,477 283 4,010 5,770 4,301,862 4,307,632 Total commercial 4,380 4,295 17,540 26,215 11,376,186 11,402,401 Home equity 9,312 2,380 4,744 16,436 998,029 1,014,465 Installment and credit cards 1,209 584 1,470 3,263 422,466 425,729 Residential mortgage 9,020 4,681 19,946 33,647 5,648,531 5,682,178 Total consumer 19,541 7,645 26,160 53,346 7,069,026 7,122,372 Total loans $ 23,921 $ 11,940 $ 43,700 $ 79,561 $ 18,445,212 $ 18,524,773 (a) The recorded investment in loans past due 90 days or more and still accruing totaled $1 million at September 30, 2015 (the same as the reported balances for the accruing loans noted above). (b) The percent of nonaccrual loans which are current was 62% at September 30, 2015 . The following table presents loans by past due status at December 31, 2014 . 30-59 Days Past Due 60-89 Days Past Due 90 Days or More Past Due (a) Total Past Due Current Total ($ in Thousands) Accruing loans Commercial and industrial $ 4,466 $ 10,281 $ 254 $ 15,001 $ 5,841,238 $ 5,856,239 Commercial real estate - owner occupied 8,429 2,199 — 10,628 971,484 982,112 Lease financing — — — — 49,728 49,728 Commercial and business lending 12,895 12,480 254 25,629 6,862,450 6,888,079 Commercial real estate - investor 712 496 — 1,208 3,032,592 3,033,800 Real estate construction 951 33 — 984 1,002,573 1,003,557 Commercial real estate lending 1,663 529 — 2,192 4,035,165 4,037,357 Total commercial 14,558 13,009 254 27,821 10,897,615 10,925,436 Home equity 6,988 1,795 52 8,835 1,026,641 1,035,476 Installment and credit cards 1,186 746 1,317 3,249 450,357 453,606 Residential mortgage 3,889 957 — 4,846 4,997,069 5,001,915 Total consumer 12,063 3,498 1,369 16,930 6,474,067 6,490,997 Total accruing loans $ 26,621 $ 16,507 $ 1,623 $ 44,751 $ 17,371,682 $ 17,416,433 Nonaccrual loans Commercial and industrial $ 872 $ 627 $ 10,154 $ 11,653 $ 38,010 $ 49,663 Commercial real estate - owner occupied 3,197 41 8,596 11,834 13,991 25,825 Lease financing — — 513 513 1,288 1,801 Commercial and business lending 4,069 668 19,263 24,000 53,289 77,289 Commercial real estate - investor 1,857 459 12,765 15,081 7,604 22,685 Real estate construction 87 73 798 958 4,441 5,399 Commercial real estate lending 1,944 532 13,563 16,039 12,045 28,084 Total commercial 6,013 1,200 32,826 40,039 65,334 105,373 Home equity 1,471 1,766 6,840 10,077 6,374 16,451 Installment and credit cards 96 39 141 276 337 613 Residential mortgage 5,172 3,193 23,492 31,857 23,119 54,976 Total consumer 6,739 4,998 30,473 42,210 29,830 72,040 Total nonaccrual loans (b) $ 12,752 $ 6,198 $ 63,299 $ 82,249 $ 95,164 $ 177,413 Total loans Commercial and industrial $ 5,338 $ 10,908 $ 10,408 $ 26,654 $ 5,879,248 $ 5,905,902 Commercial real estate - owner occupied 11,626 2,240 8,596 22,462 985,475 1,007,937 Lease financing — — 513 513 51,016 51,529 Commercial and business lending 16,964 13,148 19,517 49,629 6,915,739 6,965,368 Commercial real estate - investor 2,569 955 12,765 16,289 3,040,196 3,056,485 Real estate construction 1,038 106 798 1,942 1,007,014 1,008,956 Commercial real estate lending 3,607 1,061 13,563 18,231 4,047,210 4,065,441 Total commercial 20,571 14,209 33,080 67,860 10,962,949 11,030,809 Home equity 8,459 3,561 6,892 18,912 1,033,015 1,051,927 Installment and credit cards 1,282 785 1,458 3,525 450,694 454,219 Residential mortgage 9,061 4,150 23,492 36,703 5,020,188 5,056,891 Total consumer 18,802 8,496 31,842 59,140 6,503,897 6,563,037 Total loans $ 39,373 $ 22,705 $ 64,922 $ 127,000 $ 17,466,846 $ 17,593,846 (a) The recorded investment in loans past due 90 days or more and still accruing totaled $2 million at December 31, 2014 (the same as the reported balances for the accruing loans noted above). (b) The percent of nonaccrual loans which are current was 54% at December 31, 2014 . The following table presents impaired loans at September 30, 2015 . Recorded Investment Unpaid Principal Balance Related Allowance YTD Average Recorded Investment YTD Interest Income Recognized (a) ($ in Thousands) Loans with a related allowance Commercial and industrial $ 58,855 $ 60,303 $ 6,899 $ 59,502 $ 970 Commercial real estate - owner occupied 9,537 9,660 571 9,784 274 Lease financing — — — — — Commercial and business lending 68,392 69,963 7,470 69,286 1,244 Commercial real estate - investor 23,916 25,594 1,349 24,119 834 Real estate construction 1,482 2,112 474 1,643 42 Commercial real estate lending 25,398 27,706 1,823 25,762 876 Total commercial 93,790 97,669 9,293 95,048 2,120 Home equity 20,526 22,682 9,655 21,207 816 Installment and credit cards 1,190 1,292 210 1,252 25 Residential mortgage 67,333 72,537 12,555 68,551 1,731 Total consumer 89,049 96,511 22,420 91,010 2,572 Total loans $ 182,839 $ 194,180 $ 31,713 $ 186,058 $ 4,692 Loans with no related allowance Commercial and industrial $ 28,164 $ 29,187 $ — $ 32,848 $ 548 Commercial real estate - owner occupied 11,174 11,571 — 11,594 89 Lease financing 1,763 1,763 — 1,980 — Commercial and business lending 41,101 42,521 — 46,422 637 Commercial real estate - investor 1,585 1,675 — 1,596 34 Real estate construction — — — — — Commercial real estate lending 1,585 1,675 — 1,596 34 Total commercial 42,686 44,196 — 48,018 671 Home equity 60 60 — 60 1 Installment and credit cards — — — — — Residential mortgage 4,678 4,932 — 4,700 57 Total consumer 4,738 4,992 — 4,760 58 Total loans $ 47,424 $ 49,188 $ — $ 52,778 $ 729 Total impaired loans Commercial and industrial $ 87,019 $ 89,490 $ 6,899 $ 92,350 $ 1,518 Commercial real estate - owner occupied 20,711 21,231 571 21,378 363 Lease financing 1,763 1,763 — 1,980 — Commercial and business lending 109,493 112,484 7,470 115,708 1,881 Commercial real estate - investor 25,501 27,269 1,349 25,715 868 Real estate construction 1,482 2,112 474 1,643 42 Commercial real estate lending 26,983 29,381 1,823 27,358 910 Total commercial 136,476 141,865 9,293 143,066 2,791 Home equity 20,586 22,742 9,655 21,267 817 Installment and credit cards 1,190 1,292 210 1,252 25 Residential mortgage 72,011 77,469 12,555 73,251 1,788 Total consumer 93,787 101,503 22,420 95,770 2,630 Total impaired loans (b) $ 230,263 $ 243,368 $ 31,713 $ 238,836 $ 5,421 (a) Interest income recognized included $3 million of interest income recognized on accruing restructured loans for the nine months ended September 30, 2015 . (b) The implied fair value mark on all impaired loans at September 30, 2015 was 82% of their unpaid principal balance. The fair value mark is calculated as the recorded investment, net of the related allowance, divided by the unpaid principal balance. The following table presents impaired loans at December 31, 2014 . Recorded Investment Unpaid Principal Balance Related Allowance YTD Average Recorded Investment YTD Interest Income Recognized (a) ($ in Thousands) Loans with a related allowance Commercial and industrial $ 76,433 $ 80,414 $ 16,467 $ 80,004 $ 3,139 Commercial real estate - owner occupied 19,839 21,807 3,221 20,878 681 Lease financing 1,801 1,801 574 2,009 — Commercial and business lending 98,073 104,022 20,262 102,891 3,820 Commercial real estate - investor 36,841 40,869 3,587 38,657 1,250 Real estate construction 3,043 5,910 1,095 3,818 105 Commercial real estate lending 39,884 46,779 4,682 42,475 1,355 Total commercial 137,957 150,801 24,944 145,366 5,175 Home equity 23,874 26,585 11,382 25,087 1,257 Installment and credit cards 1,587 1,795 308 1,736 58 Residential mortgage 68,748 74,005 13,797 70,030 2,307 Total consumer 94,209 102,385 25,487 96,853 3,622 Total loans $ 232,166 $ 253,186 $ 50,431 $ 242,219 $ 8,797 Loans with no related allowance Commercial and industrial $ 7,122 $ 12,634 $ — $ 8,851 $ 82 Commercial real estate - owner occupied 16,440 19,019 — 17,970 219 Lease financing — — — — — Commercial and business lending 23,562 31,653 — 26,821 301 Commercial real estate - investor 8,971 14,036 — 10,014 133 Real estate construction 3,083 3,815 — 3,241 — Commercial real estate lending 12,054 17,851 — 13,255 133 Total commercial 35,616 49,504 — 40,076 434 Home equity 786 806 — 851 18 Installment and credit cards — — — — — Residential mortgage 7,061 7,315 — 7,224 135 Total consumer 7,847 8,121 — 8,075 153 Total loans $ 43,463 $ 57,625 $ — $ 48,151 $ 587 Total impaired loans Commercial and industrial $ 83,555 $ 93,048 $ 16,467 $ 88,855 $ 3,221 Commercial real estate - owner occupied 36,279 40,826 3,221 38,848 900 Lease financing 1,801 1,801 574 2,009 — Commercial and business lending 121,635 135,675 20,262 129,712 4,121 Commercial real estate - investor 45,812 54,905 3,587 48,671 1,383 Real estate construction 6,126 9,725 1,095 7,059 105 Commercial real estate lending 51,938 64,630 4,682 55,730 1,488 Total commercial 173,573 200,305 24,944 185,442 5,609 Home equity 24,660 27,391 11,382 25,938 1,275 Installment and credit cards 1,587 1,795 308 1,736 58 Residential mortgage 75,809 81,320 13,797 77,254 2,442 Total consumer 102,056 110,506 25,487 104,928 3,775 Total impaired loans (b) $ 275,629 $ 310,811 $ 50,431 $ 290,370 $ 9,384 (a) Interest income recognized included $5 million of interest income recognized on accruing restructured loans for the year ended December 31, 2014 . (b) The implied fair value mark on all impaired loans at December 31, 2014 was 72% of their unpaid principal balance. The fair value mark is calculated as the recorded investment, net of the related allowance, divided by the unpaid principal balance. Loans are considered past due if the required principal and interest payments have not been received as of the date such payments were due. Loans are generally placed on nonaccrual status when contractually past due 90 days or more as to interest or principal payments, unless the loan is well secured and in the process of collection. Additionally, whenever management becomes aware of facts or circumstances that may adversely impact the collectability of principal or interest on loans, it is management’s practice to place such loans on nonaccrual status immediately, rather than delaying such action until the loans become 90 days past due. When a loan is placed on nonaccrual status, previously accrued and uncollected interest is reversed, amortization of related deferred loan fees or costs is suspended, and income is recorded only to the extent that interest payments are subsequently received in cash and a determination has been made that the principal and interest of the loan is collectible. If collectability of the principal and interest is in doubt, payments received are applied to loan principal. While a loan is in nonaccrual status, some or all of the cash interest payments received may be treated as interest income on a cash basis as long as the remaining recorded investment in the asset (i.e., after charge off of identified losses, if any) is deemed to be fully collectible. The determination as to the ultimate collectability of the asset’s remaining recorded investment must be supported by a current, well documented, credit evaluation of the borrower’s financial condition and prospects for repayment, including consideration of the borrower’s sustained historical repayment performance and other relevant factors. A nonaccrual loan is returned to accrual status when all delinquent principal and interest payments become current in accordance with the terms of the loan agreement, the borrower has demonstrated a period of sustained repayment performance, and the ultimate collectability of the total contractual principal and interest is no longer in doubt. A sustained period of repayment performance generally would be a minimum of six months. Troubled Debt Restructurings (“Restructured Loans”) Loans are considered restructured loans if concessions have been granted to borrowers that are experiencing financial difficulty. The concessions granted generally involve the modification of terms of the loan, such as changes in payment schedule or interest rate, which generally would not otherwise be considered. Restructured loans can involve loans remaining on nonaccrual, moving to nonaccrual, or continuing on accrual status, depending on the individual facts and circumstances of the borrower. Nonaccrual restructured loans are included and treated with all other nonaccrual loans. In addition, all accruing restructured loans are reported as troubled debt restructurings, which are considered and accounted for as impaired loans. Generally, restructured loans remain on nonaccrual until the customer has attained a sustained period of repayment performance under the modified loan terms (generally a minimum of six months). However, performance prior to the restructuring, or significant events that coincide with the restructuring, are considered in assessing whether the borrower can meet the new terms and whether the loan should be returned to or maintained on accrual status. If the borrower’s ability to meet the revised payment schedule is not reasonably assured, the loan remains on nonaccrual status. The Corporation had an $18 million recorded investment in loans modified in troubled debt restructurings for the nine months ended September 30, 2015 , of which $2 million was in accrual status and $16 million was in nonaccrual pending a sustained period of repayment. All restructured loans are disclosed as restructured loans in the calendar year of restructuring. In subsequent years, a restructured loan modified at a market rate that has performed according to the modified terms for at least six months will cease being disclosed as a restructured loan. A loan that has been modified at a below market rate will return to performing status if it satisfies the six month performance requirement; however, it will remain classified as a restructured loan. The following table presents nonaccrual and performing restructured loans by loan portfolio. September 30, 2015 December 31, 2014 Performing Restructured Loans Nonaccrual Restructured Loans * Performing Restructured Loans Nonaccrual Restructured Loans * ($ in Thousands) Commercial and industrial $ 28,598 $ 1,946 $ 33,892 $ 3,260 Commercial real estate - owner occupied 7,343 2,796 10,454 5,656 Commercial real estate - investor 18,580 4,268 23,127 15,216 Real estate construction 485 173 727 2,438 Home equity 6,945 4,137 8,209 4,838 Installment and credit cards 804 65 974 199 Residential mortgage 20,054 23,198 20,833 26,049 Total $ 82,809 $ 36,583 $ 98,216 $ 57,656 * Nonaccrual restructured loans have been included with nonaccrual loans. The following table provides the number of loans modified in a troubled debt restructuring by loan portfolio for the three and nine months ended September 30, 2015 , and the recorded investment and unpaid principal balance as of September 30, 2015 . Three Months Ended September 30, 2015 Nine Months Ended September 30, 2015 Number of Loans Recorded Investment (1) Unpaid Principal Balance (2) Number of Loans Recorded Investment (1) Unpaid Principal Balance (2) ($ in Thousands) Commercial and industrial 5 $ 893 $ 896 10 $ 2,410 $ 3,033 Commercial real estate - owner occupied — — — 4 2,847 3,007 Commercial real estate - investor 2 711 761 3 2,949 2,998 Real estate construction — — — 1 5 5 Home equity 27 840 940 61 2,109 2,220 Residential mortgage 33 2,612 2,721 77 7,393 7,586 Total 67 $ 5,056 $ 5,318 156 $ 17,713 $ 18,849 (1) Represents post-modification outstanding recorded investment. (2) Represents pre-modification outstanding recorded investment. The following table provides the number of loans modified in a troubled debt restructuring by loan portfolio for the three and nine months ended September 30, 2014 , and the recorded investment and unpaid principal balance as of September 30, 2014 . Three Months Ended September 30, 2014 Nine Months Ended September 30, 2014 Number of Loans Recorded Investment (1) Unpaid Principal Balance (2) Number of Loans Recorded Investment (1) Unpaid Principal Balance (2) ($ in Thousands) Commercial and industrial 10 $ 7,383 $ 7,384 13 $ 7,695 $ 7,707 Commercial real estate - owner occupied — — — 2 1,123 1,260 Commercial real estate - investor 3 5,603 5,918 4 6,096 6,425 Real estate construction 1 8 8 2 14 14 Home equity 38 1,121 1,179 85 2,784 2,970 Installment and credit cards 2 25 25 3 34 45 Residential mortgage 49 4,364 4,654 94 8,627 9,178 Total 103 $ 18,504 $ 19,168 203 $ 26,373 $ 27,599 (1) Represents post-modification outstanding recorded investment. (2) Represents pre-modification outstanding recorded investment. Restructured loan modifications may include payment schedule modifications, interest rate concessions, maturity date extensions, modification of note structure (A/B Note), non-reaffirmed Chapter 7 bankruptcies, principal reduction, or some combination of these concessions. During the three and nine months ended September 30, 2015 , restructured loan modifications of commercial and industrial, commercial real estate and real estate construction loans primarily included maturity date extensions and payment schedule modifications. Restructured loan modifications of home equity and residential mortgage loans for the three and nine months ended September 30, 2015 primarily included maturity date extensions, interest rate concessions, payment schedule modifications, non-reaffirmed Chapter 7 bankruptcies, or a combination of these concessions. The following table provides the number of loans modified in a troubled debt restructuring during the previous 12 months which subsequently defaulte |