Republic Bancorp (RBCAA) 10-Q 7 Aug 15 2015 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2015	Jul. 31, 2015
Entity Registrant Name	REPUBLIC BANCORP INC /KY/
Entity Central Index Key	921,557
Document Type	10-Q
Document Period End Date	Jun. 30, 2015
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q2
Class A Common Stock
Entity Common Stock, Shares Outstanding		18,603,369
Class B Common Stock
Entity Common Stock, Shares Outstanding		2,245,492

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
ASSETS
Cash and cash equivalents	$ 92,766	$ 72,878
Securities available for sale	456,612	435,911
Securities held to maturity (fair value of $43,600 in 2015 and $45,807 in 2014)	43,070	45,437
Mortgage loans held for sale, at fair value	10,277	6,388
Other loans held for sale, at fair value	1,542
Loans	3,323,977	3,040,495
Allowance for loan and lease losses	(25,248)	(24,410)
Loans, net	3,298,729	3,016,085
Federal Home Loan Bank stock, at cost	28,208	28,208
Premises and equipment, net	31,092	32,987
Premises, held for sale	2,468	1,317
Goodwill	10,168	10,168
Other real estate owned	2,920	11,243
Bank owned life insurance	52,117	51,415
Other assets and accrued interest receivable	36,250	34,976
Total assets	4,066,219	3,747,013
Deposits:
Non interest-bearing	598,572	502,569
Interest-bearing	1,681,038	1,555,613
Total deposits	2,279,610	2,058,182
Securities sold under agreements to repurchase and other short-term borrowings	229,825	356,108
Federal Home Loan Bank advances	916,500	707,500
Subordinated note	41,240	41,240
Other liabilities and accrued interest payable	26,072	25,252
Total liabilities	$ 3,493,247	$ 3,188,282
Commitments and contingent liabilities (Footnote 9)
STOCKHOLDERS' EQUITY
Preferred stock, no par value
Class A Common Stock and Class B Common Stock, no par value	$ 4,903	$ 4,904
Additional paid in capital	135,246	134,889
Retained earnings	428,475	414,623
Accumulated other comprehensive income	4,348	4,315
Total stockholders' equity	572,972	558,731
Total liabilities and stockholders' equity	$ 4,066,219	$ 3,747,013

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Securities held to maturity, fair value (in dollars)	$ 43,600	$ 45,807
Preferred stock, no par value	$ 0	$ 0
Class A Common Stock
Common Stock, no par value	$ 0	$ 0

CONSOLIDATED STATEMENTS OF INCO

CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
INTEREST INCOME:
Loans, including fees	$ 33,616	$ 30,110	$ 65,207	$ 60,272
Taxable investment securities	1,779	1,908	3,552	3,767
Federal Home Loan Bank stock and other	327	387	724	863
Total interest income	35,722	32,405	69,483	64,902
INTEREST EXPENSE:
Deposits	1,021	937	2,165	1,915
Securities sold under agreements to repurchase and other short-term borrowings	17	22	55	44
Federal Home Loan Bank advances	2,997	3,267	5,925	6,831
Subordinated note	629	629	1,258	1,258
Total interest expense	4,664	4,855	9,403	10,048
Net interest income	31,058	27,550	60,080	54,854
Provision for loan and lease losses	904	693	1,089	(10)
Net interest income after provision for loan and lease losses	30,154	26,857	58,991	54,864
NON-INTEREST INCOME:
Service charges on deposit accounts	3,247	3,563	6,286	6,858
Net refund transfer fees	1,907	1,836	17,242	16,224
Mortgage banking income	1,224	812	2,577	1,298
Interchange fee income	2,044	1,681	4,238	3,725
Gain on sale of securities available for sale	88		88
Net loss on other real estate owned	(155)	(69)	(274)	(551)
Increase in cash surrender value of bank owned life insurance	353	379	702	570
Other	777	879	1,612	1,672
Total non-interest income	9,485	9,081	32,471	29,796
NON-INTEREST EXPENSES:
Salaries and employee benefits	14,323	13,965	29,600	28,448
Occupancy and equipment, net	5,142	5,508	10,343	11,330
Communication and transportation	771	856	1,817	1,882
Marketing and development	977	803	1,562	1,331
FDIC insurance expense	474	414	1,148	983
Bank franchise tax expense	847	831	3,248	3,170
Data processing	1,092	874	2,058	1,671
Interchange related expense	931	847	1,938	1,844
Supplies	219	60	580	500
Other real estate owned expense	120	308	339	698
Legal and professional fees	528	438	2,143	949
Other	1,741	1,380	3,463	3,677
Total non-interest expenses	27,165	26,284	58,239	56,483
Income before income tax expense	12,474	9,654	33,223	28,177
Income tax expense	4,154	3,332	11,115	9,871
Net income	$ 8,320	$ 6,322	$ 22,108	$ 18,306
Class A Common Stock
BASIC EARNINGS PER COMMON SHARE:
Basic earnings per share (in dollars per share)	$ 0.40	$ 0.31	$ 1.07	$ 0.88
DILUTED EARNINGS PER COMMON SHARE:
Diluted earnings per share (in dollars per share)	0.40	0.30	1.07	0.88
DIVIDENDS DECLARED PER COMMON SHARE:
Dividend declared per common share (in dollars per share)	0.198	0.187	0.385	0.363
Class B Common Stock
BASIC EARNINGS PER COMMON SHARE:
Basic earnings per share (in dollars per share)	0.37	0.29	0.97	0.85
DILUTED EARNINGS PER COMMON SHARE:
Diluted earnings per share (in dollars per share)	0.36	0.29	0.97	0.85
DIVIDENDS DECLARED PER COMMON SHARE:
Dividend declared per common share (in dollars per share)	$ 0.18	$ 0.17	$ 0.35	$ 0.33

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
Net income	$ 8,320	$ 6,322	$ 22,108	$ 18,306
OTHER COMPREHENSIVE INCOME (LOSS):
Change in fair value of derivatives used for cash flow hedges	175	(364)	(221)	(704)
Reclassification adjustment for derivative losses realized in income	103	99	204	199
Change in unrealized gain (loss) on securities available for sale	(1,056)	2,626	182	2,628
Reclassification adjustment for gain on security available for sale recognized in earnings	(88)		(88)
Change in unrealized gain on security available for sale for which a portion of an other-than-temporary impairment has been recognized in earnings	(4)	315	(26)	369
Net unrealized gains (losses)	(870)	2,676	51	2,492
Tax effect	304	(937)	(18)	(873)
Total other comprehensive income (loss), net of tax	(566)	1,739	33	1,619
COMPREHENSIVE INCOME	$ 7,754	$ 8,061	$ 22,141	$ 19,925

CONSOLIDATED STATEMENT OF STOCK

CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY - 6 months ended Jun. 30, 2015 - USD ($) $ in Thousands	Common StockClass A Common Stock	Common StockClass B Common Stock	Common Stock	Additional Paid In Capital	Retained EarningsClass A Common Stock	Retained EarningsClass B Common Stock	Retained Earnings	Accumulated Other Comprehensive Income	Class A Common Stock	Class B Common Stock	Total
Balance at Dec. 31, 2014			$ 4,904	$ 134,889			$ 414,623	$ 4,315			$ 558,731
Balance (in shares) at Dec. 31, 2014	18,603,000	2,245,000
Increase (Decrease) in Stockholders' Equity
Net income							22,108				22,108
Net change in accumulated other comprehensive income								33			33
Dividend declared Common Stock:
Dividend declared Common Stock					$ (7,167)	$ (786)			$ (7,167)	$ (786)
Stock options exercised, net of shares redeemed			2	182			(65)				119
Stock options exercised, net of shares redeemed (in shares)	8,000								11,000
Repurchase of Class A Common Stock			(3)	(86)			(238)				(327)
Repurchase of Class A Common Stock (in shares)	(14,000)
Net change in notes receivable on Common Stock				(51)							(51)
Deferred director compensation expense - Common Stock				109							109
Deferred director compensation expense - Common Stock (in shares)	5,000
Stock based compensation - restricted stock				147							147
Stock based compensation expense - options				56							56
Balance at Jun. 30, 2015			$ 4,903	$ 135,246			$ 428,475	$ 4,348			$ 572,972
Balance (in shares) at Jun. 30, 2015	18,602,000	2,245,000

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
OPERATING ACTIVITIES:
Net income	$ 22,108	$ 18,306
Adjustments to reconcile net income to net cash provided by operating activities:
Amortization on investment securities, net	380	330
Accretion on loans, net	(1,649)	(4,494)
Depreciation of premises and equipment	3,251	2,724
Amortization of mortgaging servicing rights	716	662
Provision for loan and lease losses	1,089	(10)
Net gain on sale of mortgage loans held for sale	(2,353)	(1,166)
Origination of mortgage loans held for sale	(96,008)	(33,284)
Proceeds from sale of mortgage loans held for sale	94,472	31,147
Origination of other loans held for sale	(24,410)
Proceeds from Sale of Other Loans Held-for-sale	22,868
Gain on call of security available for sale	(88)
Net gain realized on sale of other real estate owned	(430)	(666)
Writedowns of other real estate owned	704	1,217
Deferred director compensation expense - Company Stock	109	91
Stock based compensation expense	203	268
Increase in cash surrender value of bank owned life insurance	(702)	(570)
Net change in other assets and liabilities:
Accrued interest receivable	(131)	189
Accrued interest payable	(55)	(198)
Other assets	(1,859)	5,887
Other liabilities	581	(1,549)
Net cash provided by operating activities	18,796	18,884
INVESTING ACTIVITIES:
Purchases of securities available for sale	(889,325)	(109,549)
Proceeds from maturities, calls and paydowns of securities available for sale	868,424	81,567
Proceeds from maturities and paydowns of securities to be held to maturity	2,342	2,269
Net change in outstanding warehouse lines of credit	(169,474)	(94,555)
Purchase of loans, including premiums paid	(63,163)	(14,695)
Net change in other loans	(48,458)	(25,008)
Proceeds from redemption of Federal Home Loan Bank stock		134
Proceeds from sales of other real estate owned	7,009	8,136
Net purchases of premises and equipment	(2,507)	(2,297)
Purchase of bank owned life insurance		(25,000)
Net cash (used in) provided by investing activities	(295,152)	(178,998)
FINANCING ACTIVITIES:
Net change in deposits	221,428	14,126
Net change in securities sold under agreements to repurchase and other short-term borrowings	(126,283)	31,884
Payments of Federal Home Loan Bank advances	(208,000)	(83,000)
Proceeds from Federal Home Loan Bank advances	417,000	118,000
Repurchase of Common Stock	(327)	(347)
Net proceeds from Common Stock options exercised	119	117
Cash dividends paid	(7,693)	(7,256)
Net cash provided by (used in) financing activities	296,244	73,524
Net change in cash and cash equivalents	19,888	(86,590)
Cash and cash equivalents at beginning of period	72,878	170,863
Cash and cash equivalents at end of period	92,766	84,273
Cash paid during the period for:
Interest	9,458	10,246
Income taxes	6,130	7,304
SUPPLEMENTAL NONCASH DISCLOSURES:
Transfers from loans to real estate acquired in settlement of loans	1,922	4,492
Loans provided for sales of other real estate owned	$ 2,962	$ 1,294

BASIS OF PRESENTATION AND SUMMA

BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	6 Months Ended
	Jun. 30, 2015
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	1. BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation — The consolidated financial statements include the accounts of Republic Bancorp, Inc. (the “Parent Company”) and its wholly-owned subsidiaries, Republic Bank & Trust Company (“RB&T” or the “Bank”) and Republic Insurance Services, Inc. (the “Captive”). The Bank is a Kentucky-based, state chartered non-member financial institution. The Captive, which was formed during the third quarter of 2014, is a wholly-owned insurance subsidiary of the Company. The Captive provides property and casualty insurance coverage to the Company and the Bank as well as five other third-party insurance captives for which insurance may not be available or economically feasible. Republic Bancorp Capital Trust (“RBCT”) is a Delaware statutory business trust that is a wholly-owned unconsolidated finance subsidiary of Republic Bancorp, Inc. All companies are collectively referred to as “Republic” or the “Company.” All significant intercompany balances and transactions are eliminated in consolidation. The accompanying unaudited consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, the financial statements do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for fair presentation have been included. Operating results for the three and six months ended June 30, 2015 are not necessarily indicative of the results that may be expected for the year ending December 31, 2015. For further information, refer to the consolidated financial statements and footnotes thereto included in Republic’s Form 10-K for the year ended December 31, 2014. As of June 30, 2015, the Company was divided into four distinct business operating segments: Traditional Banking, Warehouse Lending (“Warehouse”), Mortgage Banking and Republic Processing Group (“RPG”). Management considers the first three segments to collectively constitute “Core Bank” or “Core Banking” activities. The Warehouse segment was reported as a division of the Traditional Banking segment prior to the fourth quarter of 2014, but realized the quantitative and qualitative nature of a segment by the end of 2014. All prior periods have been reclassified to conform to the current presentation. Traditional Banking, Warehouse Lending and Mortgage Banking (collectively “Core Banking”) The Traditional Bank provides traditional banking products primarily to customers in the Company’s market footprint. As of June 30, 2015, in addition to Internet Banking and Correspondent Lending delivery channels, Republic had 40 full-service banking centers with locations as follows: · Kentucky – 32 · Metropolitan Louisville – 19 · Central Kentucky – 8 · Elizabethtown – 1 · Frankfort – 1 · Georgetown – 1 · Lexington – 4 · Shelbyville – 1 · Western Kentucky – 2 · Owensboro – 2 · Northern Kentucky – 3 · Covington – 1 · Florence – 1 · Independence – 1 · Southern Indiana – 3 · Floyds Knobs – 1 · Jeffersonville – 1 · New Albany – 1 · Metropolitan Tampa, Florida – 2 · Metropolitan Cincinnati, Ohio – 1 · Metropolitan Nashville, Tennessee – 2 Republic’s headquarters are located in Louisville, which is the largest city in Kentucky based on population. Core Banking results of operations are primarily dependent upon net interest income, which represents the difference between the interest income and fees on interest-earning assets and the interest expense on interest-bearing liabilities. Principal interest-earning Core Banking assets represent investment securities and commercial and consumer loans primarily secured by real estate and/or personal property. Interest-bearing liabilities primarily consist of interest-bearing deposit accounts, securities sold under agreements to repurchase, as well as short-term and long-term borrowing sources. Federal Home Loan Bank (“FHLB”) advances have traditionally been a significant borrowing source for the Bank. Other sources of Core Banking income include service charges on deposit accounts, debit and credit card interchange fee income, title insurance commissions, fees charged to clients for trust services, increases in the cash surrender value of Bank Owned Life Insurance (“BOLI”) and revenue generated from Mortgage Banking activities. Mortgage Banking activities represent both the origination and sale of loans in the secondary market and the servicing of loans for others, primarily the Federal Home Loan Mortgage Corporation (“Freddie Mac” or “FHLMC”). Core Banking operating expenses consist primarily of salaries and employee benefits, occupancy and equipment expenses, communication and transportation costs, data processing, interchange related expenses, marketing and development expenses, Federal Deposit Insurance Corporation (“FDIC”) insurance expense, franchise tax expense and various general and administrative costs. Core Banking results of operations are significantly impacted by general economic and competitive conditions, particularly changes in market interest rates, government laws and policies and actions of regulatory agencies. The Core Bank began acquiring single family, first lien mortgage loans for investment through its Correspondent Lending channel in May 2014. Correspondent Lending generally involves the Bank acquiring, primarily from its Warehouse clients, closed loans that meet the Bank’s specifications. Substantially all loans purchased through the Correspondent Lending channel are purchased at a premium. The Core Bank provides short-term, revolving credit facilities to mortgage bankers across the Nation through its Warehouse segment in the form of warehouse lines of credit. These credit facilities are secured by single family, first lien residential real estate loans. Outstanding balances on these credit facilities may be subject to significant fluctuations consistent with the overall market demand for mortgage loans. Republic Processing Group All divisions of the RPG segment operate through the Bank. Nationally, RPG facilitates the receipt and payment of federal and state tax refunds under the Tax Refund Solutions (“TRS”) division, primarily through refund transfers (“RTs”). RTs are products whereby a tax refund is issued to the taxpayer after the Bank has received the refund from the federal or state government. There is no credit risk or borrowing cost associated with these products because they are only delivered to the taxpayer upon receipt of the tax refund directly from the governmental paying authority. Fees earned on RTs, net of rebates, are the primary source of revenue for the TRS division and the RPG segment, and are reported as non interest income under the line item “Net refund transfer fees.” The TRS division historically originated and obtained a significant source of revenue from Refund Anticipation Loans (“RAL”s), but terminated this product effective April 30, 2012. RALs were short-term consumer loans offered to taxpayers that were secured by the client’s anticipated tax refund, which represented the sole source of repayment. While RALs were terminated in 2012, TRS may receive recoveries from previously charged-off RALs. The Republic Payment Solutions (“RPS”) division is an issuing bank offering general purpose reloadable prepaid debit cards through third party program managers. The Republic Credit Solutions (“RCS”) division offers short-term consumer credit products. Accounting Standards Update (“ASU”) 2015-3 — Interest — Imputation of Interest (Topic 835-30): Simplifying the Presentation of Debt Issuance Costs To simplify presentation of debt issuance costs, the amendments in this ASU require that debt issuance costs related to a recognized debt liability be presented on the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The recognition and measurement guidance for debt issuance costs are not affected by the amendments in this ASU. The amendments in this ASU are effective for financial statements issued for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. This ASU is not expected to have a material impact on the Company’s financial statements.

INVESTMENT SECURITIES

INVESTMENT SECURITIES	6 Months Ended
	Jun. 30, 2015
INVESTMENT SECURITIES
INVESTMENT SECURITIES	2. INVESTMENT SECURITIES Securities Available for Sale The gross amortized cost and fair value of securities available for sale and the related gross unrealized gains and losses recognized in accumulated other comprehensive income (loss) were as follows: Gross Gross Amortized Unrealized Unrealized Fair June 30, 2015 (in thousands) Cost Gains Losses Value U.S. Treasury securities and U.S. Government agencies $ $ $ ) $ Private label mortgage backed security — Mortgage backed securities - residential ) Collateralized mortgage obligations ) Freddie Mac preferred stock — — Mutual fund — Corporate bonds — Total securities available for sale $ $ $ ) $ Gross Gross Gross Amortized Unrealized Unrealized Fair December 31, 2014 (in thousands) Cost Gains Losses Value U.S. Treasury securities and U.S. Government agencies $ $ $ ) $ Private label mortgage backed security — Mortgage backed securities - residential ) Collateralized mortgage obligations ) Freddie Mac preferred stock — — Mutual fund — Corporate bonds — Total securities available for sale $ $ $ ) $ Securities Held to Maturity The carrying value, gross unrecognized gains and losses, and fair value of securities held to maturity were as follows: Gross Gross Carrying Unrecognized Unrecognized Fair June 30, 2015 (in thousands) Value Gains Losses Value U.S. Treasury securities and U.S. Government agencies $ $ $ ) $ Mortgage backed securities - residential — Collateralized mortgage obligations — Corporate bonds — ) Total securities held to maturity $ $ $ ) $ Gross Gross Carrying Unrecognized Unrecognized Fair December 31, 2014 (in thousands) Value Gains Losses Value U.S. Treasury securities and U.S. Government agencies $ $ $ ) $ Mortgage backed securities - residential — Collateralized mortgage obligations ) Corporate bonds — ) Total securities held to maturity $ $ $ ) $ At June 30, 2015 and December 31, 2014, there were no holdings of securities of any one issuer, other than the U.S. Government and its agencies, in an amount greater than 10% of stockholders’ equity. Sales of Securities Available for Sale During the three and six months ended June 30, 2015, the Bank recognized a gain of $88,000 on the call of one available for sale security. During the three and six months ended June 30, 2014, there were no sales or calls of securities available for sale. Investment Securities by Contractual Maturity The amortized cost and fair value of the investment securities portfolio by contractual maturity at June 30, 2015 follows. Expected maturities may differ from contractual maturities if borrowers have the right to call or prepay obligations with or without call or prepayment penalties. Securities not due at a single maturity date are detailed separately. Securities Securities Available for Sale Held to Maturity Amortized Fair Carrying Fair June 30, 2015 (in thousands) Cost Value Value Value Due in one year or less $ $ $ $ Due from one year to five years Due from five years to ten years — — Due beyond ten years — — — — Private label mortgage backed security — — Mortgage backed securities - residential Collateralized mortgage obligations Freddie Mac preferred stock — — — Mutual fund — — Total securities $ $ $ $ Freddie Mac Preferred Stock During 2008, the U.S. Treasury, the Federal Reserve Board, and the Federal Housing Finance Agency (“FHFA”) announced that the FHFA was placing Freddie Mac under conservatorship and giving management control to the FHFA. The Bank contemporaneously determined that its 40,000 shares of Freddie Mac preferred stock were fully impaired and recorded an other-than-temporarily impairment (“OTTI”) charge of $2.1 million in 2008. The OTTI charge brought the carrying value of the stock to $0. During the second quarter of 2014, based on active trading volume of Freddie Mac preferred stock, the Company determined it appropriate to record an unrealized gain to Other Comprehensive Income (“OCI”) related to its Freddie Mac preferred stock holdings. Based on the stock’s market closing price as of June 30, 2015, the Company’s unrealized gain for its Freddie Mac preferred stock totaled $231,000. Mortgage Backed Securities and Collateralized Mortgage Obligations At June 30, 2015, with the exception of the $5.2 million private label mortgage backed security, all other mortgage backed securities and collateralized mortgage obligations (“CMOs”) held by the Bank were issued by U.S. government-sponsored entities and agencies, primarily Freddie Mac and the Federal National Mortgage Association (“Fannie Mae” or “FNMA”), institutions that the government has affirmed its commitment to support. At June 30, 2015 and December 31, 2014, there were gross unrealized losses of $856,000 and $1.2 million related to available for sale mortgage backed securities and CMOs. Because the decline in fair value of these securities is attributable to changes in interest rates and illiquidity, and not credit quality, and because the Bank does not have the intent to sell these mortgage backed securities, and it is likely that it will not be required to sell the securities before their anticipated recovery, management does not consider these securities to be OTTI. Market Loss Analysis Securities with unrealized losses at June 30, 2015 and December 31, 2014, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, are as follows: Less than 12 months 12 months or more Total June 30, 2015 (in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Securities available for sale: U.S. Treasury securities and U.S. Government agencies $ $ ) $ $ ) $ $ ) Mortgage backed securities - residential ) — — ) Collateralized mortgage obligations ) ) ) Total securities available for sale $ $ ) $ $ ) $ $ ) Less than 12 months 12 months or more Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Securities held to maturity: U.S. Treasury securities and U.S. Government agencies $ $ ) $ — $ — $ $ ) Corporate bonds ) — — ) Total securities held to maturity $ $ ) $ — $ — $ $ ) Less than 12 months 12 months or more Total December 31, 2014 (in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Securities available for sale: U.S. Treasury securities and U.S. Government agencies $ $ ) $ — $ — $ $ ) Mortgage backed securities - residential ) — — ) Collateralized mortgage obligations ) ) ) Total securities available for sale $ $ ) $ $ ) $ $ ) Less than 12 months 12 months or more Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Securities held to maturity: U.S. Treasury securities and U.S. Government agencies $ $ ) $ — $ — $ $ ) Collateralized mortgage obligations ) — — ) Corporate bonds ) — — ) Total securities held to maturity $ $ ) $ — $ — $ $ ) At June 30, 2015, the Bank’s security portfolio consisted of 159 securities, 19 of which were in an unrealized loss position. At December 31, 2014, the Bank’s security portfolio consisted of 157 securities, 17 of which were in an unrealized loss position. Other-than-temporary impairment (“OTTI”) Unrealized losses for all investment securities are reviewed to determine whether the losses are “other-than-temporary.” 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 value below amortized cost is other-than-temporary. In conducting this assessment, the Bank evaluates 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; · The Bank’s intent to hold until maturity or sell the debt security prior to maturity; · An analysis of whether it is more likely than not that the Bank will be required to sell the debt security before its anticipated recovery; · 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 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 the anticipated credit losses. The Bank owns one private label mortgage backed security with a total carrying value of $5.2 million at June 30, 2015. This security, with an average remaining life currently estimated at five years, is mostly backed by “Alternative A” first lien mortgage loans, but also has an insurance “wrap” or guarantee as an added layer of protection to the security holder. This asset is illiquid, and as such, the Bank determined it to be a Level 3 security in accordance with Accounting Standards Codification (“ASC”) Topic 820, Fair Value Measurements and Disclosures. Based on this determination, the Bank utilized an income valuation model (“present value model”) approach, in determining the fair value of the security. This approach is beneficial for positions that are not traded in active markets or are subject to transfer restrictions, and/or where valuations are adjusted to reflect illiquidity and/or non-transferability. Such adjustments are generally based on available market evidence. In the absence of such evidence, management’s best estimate is used. Management’s best estimate consists of both internal and external support for this investment. See additional discussion regarding the Bank’s private label mortgage backed security under Footnote 6 “Fair Value” in this section of the filing. Pledged Investment Securities Investment securities pledged to secure public deposits, securities sold under agreements to repurchase and securities held for other purposes, as required or permitted by law are as follows: (in thousands) June 30, 2015 December 31, 2014 Carrying amount $ $ Fair value

LOANS AND ALLOWANCE FOR LOAN AN

LOANS AND ALLOWANCE FOR LOAN AND LEASE LOSSES	6 Months Ended
	Jun. 30, 2015
LOANS AND ALLOWANCE FOR LOAN AND LEASE LOSSES
LOANS AND ALLOWANCE FOR LOAN LOSSES	3. LOANS AND ALLOWANCE FOR LOAN AND LEASE LOSSES The composition of the loan portfolio at June 30, 2015 and December 31, 2014 follows: (in thousands) June 30, 2015 December 31, 2014 Residential real estate: Owner occupied $ $ Owner occupied - correspondent* Non owner occupied Commercial real estate Commercial real estate - purchased whole loans* Construction & land development Commercial & industrial Lease financing receivables Warehouse lines of credit Home equity Consumer: RPG loans Credit cards Overdrafts Purchased whole loans* Other consumer Total loans** Allowance for loan and lease losses ) ) Total loans, net $ $ * - Identifies loans to borrowers located primarily outside of the Bank’s historical market footprint. ** - Total loans are presented inclusive of premiums, discounts and net loan origination fees and costs. See table directly below for expanded detail. The table below reconciles the contractually receivable and carrying amounts of loans at June 30, 2015 and December 31, 2014: (in thousands) June 30, 2015 December 31, 2014 Contractually receivable $ $ Unearned income(1) ) ) Unamortized premiums(2) Unaccreted discounts(3) ) ) Net unamortized deferred origination fees and costs Carrying value of loans $ $ (1) — Unearned income relates to lease financing receivables. (2) - Premiums predominately relate to loans acquired through the Bank’s Correspondent Lending channel. (3) - Discounts predominately relate to loans acquired in the Bank’s 2012 FDIC-assisted transactions. Loan Purchases In May 2014, the Bank began acquiring single family, first lien mortgage loans for investment within its loan portfolio through its Correspondent Lending channel. Correspondent Lending generally involves the Bank acquiring, primarily from Warehouse clients, closed loans that meet the Bank’s specifications. Substantially all loans purchased through the Correspondent Lending channel are purchased at a premium. Loans acquired through the Correspondent Lending channel generally reflect borrowers outside of the Bank’s historical market footprint, with 83% of such loans as of June 30, 2015 secured by collateral in the state of California. In addition to secured mortgage loans acquired through its Correspondent Lending channel, the Bank also began acquiring unsecured consumer installment loans for investment from a third-party originator in April 2014. Such consumer loans are purchased at par and are selected by the Bank based on certain underwriting characteristics. The table below reflects the purchased activity of single family, first lien mortgage loans and unsecured consumer loans, by class, during the three and six months ended June 30, 2015 and 2014. Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2015 2014 2015 2014 Residential real estate: Owner occupied - correspondent* $ $ $ $ Consumer: Purchased whole loans* — Total purchased loans $ $ $ $ * - Represents origination amount, inclusive of purchase premiums, where applicable. Purchased Credit Impaired (“PCI”) Loans PCI loans acquired during the Bank’s 2012 FDIC-assisted transactions are accounted for under ASC 310-30, Loans and Debt Securities Acquired with Deteriorated Credit Quality. The table below reconciles the contractually required and carrying amounts of PCI loans at June 30, 2015 and December 31, 2014: (in thousands) June 30, 2015 December 31, 2014 Contractually-required principal $ $ Non-accretable amount ) ) Accretable amount ) ) Carrying value of PCI loans $ $ The following table presents a rollforward of the accretable amount on PCI loans for the three and six months ended June 30, 2015 and 2014: Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2015 2014 2015 2014 Balance, beginning of period $ ) $ ) $ ) $ ) Transfers between non-accretable and accretable ) ) ) ) Net accretion into interest income on loans, including loan fees Balance, end of period $ ) $ ) $ ) $ ) Credit Quality Indicators Based on the Bank’s internal analyses performed as of June 30, 2015 and December 31, 2014, the following tables reflect loans by risk category. Risk categories are defined in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014: Purchased Purchased Credit Credit Impaired Impaired Total Special Doubtful / Loans - Loans - Rated June 30, 2015 (in thousands) Pass Mention * Substandard * Loss Group 1 Substandard Loans** Residential real estate: Owner occupied $ — $ $ $ — $ $ — $ Owner occupied - correspondent — — — — — — — Non owner occupied — — — Commercial real estate — — Commercial real estate - purchased whole loans — — — — — Construction & land development — — Commercial & industrial — — Lease financing receivables — — — — — Warehouse lines of credit — — — — — Home equity — — — — — Consumer: RPG loans — — — — — — — Credit cards — — — — — — — Overdrafts — — — — — — — Purchased whole loans — — — — — — — Other consumer — — — — Total $ $ $ $ — $ $ — $ * - At June 30, 2015, Special Mention and Substandard loans included $183,000 and $4 million, respectively, which were removed from PCI accounting in accordance with ASC 310-30-35-13 due to a post-acquisition troubled debt restructuring. ** - The above table excludes all non-classified residential real estate and consumer loans at the respective period ends. The table also excludes most non-classified small Commercial and Industrial (“C&I”) and Commercial Real Estate (“CRE”) relationships totaling $100,000 or less. These loans are not rated by the Company since they are accruing interest and are not past due 80-days-or-more. Purchased Purchased Credit Credit Impaired Impaired Total Special Doubtful / Loans - Loans - Rated December 31, 2014 (in thousands) Pass Mention * Substandard * Loss Group 1 Substandard Loans** Residential real estate: Owner occupied $ — $ $ $ — $ $ — $ Owner occupied - correspondent — — — — — — — Non owner occupied — — — Commercial real estate — — Commercial real estate - purchased whole loans — — — — — Construction & land development — — Commercial & industrial — — Lease financing receivables — — — — — Warehouse lines of credit — — — — — Home equity — — — — — Consumer: RPG loans — — — — — — — Credit cards — — — — — — — Overdrafts — — — — — — — Purchased whole loans — — — — — — — Other consumer — — — Total $ $ $ $ — $ $ — $ * - At December 31, 2014, Special Mention and Substandard loans included $443,000 and $6 million, respectively, which were removed from PCI accounting in accordance with ASC 310-30-35-13 due to a post-acquisition troubled debt restructuring. ** - The above table excludes all non-classified residential real estate and consumer loans at the respective period ends. The table also excludes most non-classified small C&I and CRE relationships totaling $100,000 or less. These loans are not rated by the Company since they are accruing interest and are not past due 80-days-or-more. Allowance for Loan and Lease Losses Activity in the allowance for loan and leases (“Allowance”) follows: Three Months Ended Six Months Months Ended June 30, June 30, (in thousands) 2015 2014 2015 2014 Allowance, beginning of period $ $ $ $ Charge offs - Core Banking ) ) ) ) Charge offs - RPG ) — ) — Total charge offs ) ) ) ) Recoveries - Core Banking Recoveries - RPG Total recoveries Net (charge offs) recoveries - Core Banking ) ) ) ) Net (charge offs) recoveries - RPG Net (charge offs) recoveries ) ) ) ) Provision for loan and lease losses (“Provision”) - Core Banking Provision - RPG ) ) ) Total Provision ) Allowance, end of period $ $ $ $ The Allowance calculation includes the following qualitative factors, which are considered in combination with the Bank’s historical loss rates in determining the general loss reserve within the Allowance: · Changes in nature, volume and seasoning of the portfolio; · Changes in experience, ability and depth of lending management and other relevant staff; · Changes in the quality of the Bank’s credit review system; · Changes in lending policies and procedures, including changes in underwriting standards and collection, charge-off, and recovery practices not considered elsewhere in estimating credit losses; · Changes in the volume and severity of past due, non-performing and classified loans and leases; · Changes in the value of underlying collateral for collateral-dependent loans and leases; · Changes in international, national, regional, and local economic and business conditions and developments that affect the collectability of portfolios, including the condition of various market segments; · The existence and effect of any concentrations of credit, and changes in the level of such concentrations; and · The effect of other external factors such as competition and legal and regulatory requirements on the level of estimated credit losses in the institution’s existing portfolio. The following tables present the activity in the Allowance by portfolio class for the three months ended June 30, 2015 and 2014: Commercial Residential Real Estate Real Estate - Lease Three Months Ended Owner Owner Occupied- Non Owner Commercial Purchased Construction & Commercial & Financing June 30, 2015 (in thousands) Occupied Correspondent Occupied Real Estate Whole Loans Land Development Industrial Receivables Beginning balance $ $ $ $ $ $ $ $ Provision ) — Charge offs ) — ) ) — — ) — Recoveries — — — — Ending balance $ $ $ $ $ $ $ $ Warehouse Consumer Lines of Home RPG Credit Purchased Other (continued) Credit Equity Loans Cards Overdrafts Whole Loans Consumer Total Beginning balance $ $ $ $ $ $ $ $ Provision Charge offs — ) ) ) ) ) ) ) Recoveries — — Ending balance $ $ $ $ $ $ $ $ Commercial Residential Real Estate Real Estate - Lease Three Months Ended Owner Owner Occupied- Non Owner Commercial Purchased Construction & Commercial & Financing June 30, 2014 (in thousands) Occupied Correspondent Occupied Real Estate Whole Loans Land Development Industrial Receivables Beginning balance $ $ — $ $ $ $ $ $ — Provision ) ) — ) Charge offs ) — ) ) — ) ) — Recoveries — — — Ending balance $ $ $ $ $ $ $ $ Warehouse Consumer Lines of Home RPG Credit Purchased Other (continued) Credit Equity Loans Cards Overdrafts Whole Loans Consumer Total Beginning balance $ $ $ — $ $ $ — $ $ Provision ) — Charge offs — ) — ) ) — ) ) Recoveries — — Ending balance $ $ $ $ $ $ — $ $ The following tables present the activity in the Allowance by portfolio class for the six months ended June 30, 2015 and 2014: Commercial Residential Real Estate Real Estate - Lease Six Months Ended Owner Owner Occupied- Non Owner Commercial Purchased Construction & Commercial & Financing June 30, 2015 (in thousands) Occupied Correspondent Occupied Real Estate Whole Loans Land Development Industrial Receivables Beginning balance $ $ $ $ $ $ $ $ Provision ) Charge offs ) — ) ) — — ) — Recoveries — — — — Ending balance $ $ $ $ $ $ $ $ Warehouse Consumer Lines of Home RPG Credit Purchased Other (continued) Credit Equity Loans Cards Overdrafts Whole Loans Consumer Total Beginning balance $ $ $ $ $ $ $ $ Provision ) ) Charge offs — ) ) ) ) ) ) ) Recoveries — — Ending balance $ $ $ $ $ $ $ $ Commercial Residential Real Estate Real Estate - Lease Six Months Ended Owner Owner Occupied- Non Owner Commercial Purchased Construction & Commercial & Financing June 30, 2014 (in thousands) Occupied Correspondent Occupied Real Estate Whole Loans Land Development Industrial Receivables Beginning balance $ $ — $ $ $ $ $ $ — Provision ) ) — ) Charge offs ) — ) ) — ) ) — Recoveries — — — Ending balance $ $ $ $ $ $ $ $ Warehouse Consumer Lines of Home RPG Credit Purchased Other (continued) Credit Equity Loans Cards Overdrafts Whole Loans Consumer Total Beginning balance $ $ $ — $ $ $ — $ $ Provision ) — ) Charge offs — ) — ) ) — ) ) Recoveries — — Ending balance $ $ $ $ $ $ — $ $ Non-performing Loans and Non-performing Assets Detail of non-performing loans and non-performing assets follows: (dollars in thousands) June 30, 2015 December 31, 2014 Loans on non-accrual status(1) $ $ Loans past due 90-days-or-more and still on accrual(2) — Total non-performing loans Other real estate owned Total non-performing assets $ $ Credit Quality Ratios: Non-performing loans to total loans % % Non-performing assets to total loans (including OREO) % % Non-performing assets to total assets % % (1) Loans on non-accrual status include impaired loans. (2) All loans past due 90-days-or-more and still accruing are PCI loans accounted for under ASC 310-30. The following table presents the recorded investment in non-accrual loans and loans past due 90-days-or-more and still on accrual by class of loans: Past Due 90-Days-or-More Non-Accrual and Still Accruing Interest* (dollars in thousands) June 30, 2015 December 31, 2014 June 30, 2015 December 31, 2014 Residential real estate: Owner occupied $ $ $ — $ Owner occupied - correspondent — — — — Non owner occupied — — Commercial real estate — — Commercial real estate - purchased whole loans — — — — Construction & land development — — Commercial & industrial — — Lease financing receivables — — — — Warehouse lines of credit — — — — Home equity — — Consumer: RPG loans — — — — Credit cards — — — — Overdrafts — — — — Purchased whole loans — — — — Other consumer — — Total $ $ $ — $ * - For all periods presented, loans past due 90-days-or-more and still on accrual consist entirely of PCI loans. Non-accrual loans and loans past due 90-days-or-more and still on accrual include both smaller balance, primarily retail, homogeneous loans that are collectively evaluated for impairment and individually classified impaired loans. Non-accrual loans are typically returned to accrual status when all the principal and interest amounts contractually due are brought current and held current for six consecutive months and future contractual payments are reasonably assured. Troubled Debt Restructurings (“TDRs”) on non-accrual status are reviewed for return to accrual status on an individual basis, with additional consideration given to performance under the modified terms. Delinquent Loans The following tables present the aging of the recorded investment in loans by class of loans: 30 - 59 60 - 89 90 or More June 30, 2015 Days Days Days Total Total Not (dollars in thousands) Delinquent Delinquent Delinquent* Delinquent Delinquent Total Residential real estate: Owner occupied $ $ $ $ $ $ Owner occupied - correspondent — — — — Non owner occupied — — — — Commercial real estate — Commercial real estate - purchased whole loans — — — — Construction & land development — — Commercial & industrial — — — — Lease financing receivables — — — — Warehouse lines of credit — — — — Home equity Consumer: RPG loans — Credit cards — Overdrafts — — Purchased whole loans — Other consumer — Total $ $ $ $ $ $ Delinquency ratio** % % % % 30 - 59 60 - 89 90 or More December 31, 2014 Days Days Days Total Total Not (dollars in thousands) Delinquent Delinquent Delinquent* Delinquent Delinquent Total Residential real estate: Owner occupied $ $ $ $ $ $ Owner occupied - correspondent — — — — Non owner occupied Commercial real estate — Commercial real estate - purchased whole loans — — — — Construction & land development — — Commercial & industrial — — Lease financing receivables — — — — Warehouse lines of credit — — — — Home equity Consumer: RPG loans — Credit cards — Overdrafts — — Purchased whole loans — — Other consumer — Total $ $ $ $ $ $ Delinquency ratio** % % % % * - All loans, excluding PCI loans, 90-days-or-more past due as of June 30, 2015 and December 31, 2014 were on non-accrual status. ** - Represents total loans past due by aging category divided by total loans. Impaired Loans The Bank defines impaired loans as follows: · All loans internally rated as “Substandard,” “Doubtful” or “Loss;” · All loans internally rated in a PCI category with cash flows that have deteriorated from management’s initial acquisition day estimate; · All loans on non-accrual status and non-PCI loans past due 90 days-or-more still on accrual; · All retail and commercial TDRs; and · Any other situation where the full collection of the total amount due for a loan is improbable or otherwise meets the definition of impaired. See the section titled “Credit Quality Indicators” in this section of the filing for additional discussion regarding the Bank’s loan classification structure. Information regarding the Bank’s impaired loans follows: (in thousands) June 30, 2015 December 31, 2014 Loans with no allocated allowance for loan losses $ $ Loans with allocated allowance for loan losses Total impaired loans $ $ Amount of the allowance for loan losses allocated $ $ Approximately $7 million and $10 million of impaired loans at June 30, 2015 and December 31, 2014 were PCI loans. Approximately $4 million and $6 million of impaired loans at June 30, 2015 and December 31, 2014 were formerly PCI loans which became classified as “Impaired” through a post-acquisition troubled debt restructuring. The following tables present the balance in the Allowance and the recorded investment in loans by portfolio class based on impairment method as of June 30, 2015 and December 31, 2014: Commercial Residential Real Estate Real Estate - Lease Owner Owner Occupied - Non Owner Commercial Purchased Construction & Commercial & Financing June 30, 2015 (in thousands) Occupied Correspondent Occupied Real Estate Whole Loans Land Development Industrial Receivables Allowance: Ending Allowance balance: Individually evaluated for impairment, excluding PCI loans $ $ — $ $ $ — $ $ $ — Collectively evaluated for impairment PCI loans with post acquisition impairment — — — — PCI loans without post acquisition impairment — — — — — — — — Total ending Allowance: $ $ $ $ $ $ $ $ Loans: Impaired loans individually evaluated, excluding PCI loans $ $ — $ $ $ — $ $ $ — Loans collectively evaluated for impairment PCI loans with post acquisition impairment — — — — PCI loans without post acquisition impairment — — — Total ending loan balance $ $ $ $ $ $ $ $ Warehouse Consumer Lines of Home RPG Credit Purchased Other (continued) Credit Equity Loans Cards Overdrafts Whole Loans Consumer Total Allowance: Ending Allowance balance: Individually evaluated for impairment, excluding PCI loans $ — $ $ — $ — $ — $ — $ $ Collectively evaluated for impairment PCI loans with post acquisition impairment — — — — — — — PCI loans without post acquisition impairment — — — — — — — — Total ending Allowance: $ $ $ $ $ $ $ $ Loans: Impaired loans individually evaluated, excluding PCI loans $ — $ $ — $ — $ — $ — $ $ Loans collectively evaluated for impairment PCI loans with post acquisition impairment — — — — — — — PCI loans without post acquisition impairment — — — — — — Total ending loan balance $ $ $ $ $ $ $ $ Commercial Residential Real Estate Real Estate - Lease Owner Owner Occupied - Non Owner Commercial Purchased Construction & Commercial & Financing December 31, 2014 (in thousands) Occupied Correspondent Occupied Real Estate Whole Loans Land Development Industrial Receivables Allowance: Ending Allowance balance: Individually evaluated for impairment, excluding PCI loans $ $ — $ $ $ — $ $ $ — Collectively evaluated for impairment PCI loans with post acquisition impairment — — — — PCI loans without post acquisition impairment — — — — — — — — Total ending Allowance: $ $ $ $ $ $ $ $ Loans: Impaired loans individually evaluated, excluding PCI loans $ $ — $ $ $ — $ $ $ — Loans collectively evaluated for impairment PCI loans with post acquisition impairment — — — — PCI loans without post acquisition impairment — — — Total ending loan balance $ $ $ $ $ $ $ $ Warehouse Consumer Lines of Home RPG Credit Purchased Other (continued) Credit Equity Loans Cards Overdrafts Whole Loans Consumer Total Allowance: Ending Allowance balance: Individually evaluated for impairment, excluding PCI loans $ — $ $ — $ — $ — $ — $ $ Collectively evaluated for impairment PCI loans with post acquisition impairment — — — — — — PCI loans without post acquisition impairment — — — — — — — — Total ending Allowance: $ $ $ $ $ $ $ $ Loans: Impaired loans individually evaluated, excluding PCI loans $ — $ $ — $ — $ — $ — $ $ Loans collectively evaluated for impairment PCI loans with post acquisition impairment — — — — — — PCI loans without post acquisition impairment — — — — — — Total ending loan balance $ $ $ $ $ $ $ $ The following tables present loans individually evaluated for impairment by class of loans as of June 30, 2015 and December 31, 2014 and for the three and six months ended June 30, 2015 and 2014. The difference between the “Unpaid Principal Balance” and “Recorded Investment” columns represents life-to-date partial write downs/charge offs taken on individual impaired credits. As of Three Months Ended Six Months Ended June 30, 2015 June 30, 2015 June 30, 2015 Cash Basis Cash Basis Unpaid Average Interest Interest Average Interest Interest Principal Recorded Allowance Recorded Income Income Recorded Income Income (in thousands) Balance Investment Allocated Investment Recognized Recognized Investment Recognized Recognized Impaired loans with no related allowance recorded: Residential real estate: Owner occupied $ $ $ — $ $ $ — $ $ $ — Owner occupied - correspondent — — — — — — — — — Non owner occupied — — — Commercial real estate — — — Commercial real estate - purchased whole loans — — — — — — — — — Construction & land development — — — Commercial & industrial — — — Lease financing receivables — — — — — — — — — Warehouse lines of credit — — — — — — — — — Home equity — — — Consumer: RPG loans — — — — — — — — — Credit cards — — — — — — — — — Overdrafts — — — — — — — — — Purchased whole loans — — — — — — — — — Other consumer — — — Impaired loans with an allowance recorded: Residential real estate: Owner occupied — — Owner occupied - correspondent — — — — — — — — — Non owner occupied — — Commercial real estate — — Commercial real estate - purchased whole loans — — — — — — — — — Construction & land development — — Commercial & industrial — — Lease financing receivables — — — — — — — — — Warehouse lines of credit — — — — — — — — — Home equity — — Consumer: RPG loans — — — — — — — — — Credit cards — — — — — — — — — Overdrafts — — — — — — — — — Purchased whole loans — — — — — — — — — Other consumer — — — — Total impaired loans $ $ $ $ $ $ — $ $ $ — As of Three Months Ended Six Months Ended December 31, 2014 June 30, 2014 June 30, 2014 Cash Basis Cash Basis Unpaid Average Interest Interest Average Interest Interest Principal Recorded Allowance Recorded Income Income Recorded Income Income (in thousands) Balance Investment Allocated Investment Recognized Recognized Investment Recognized Recognized Impaired loans with no related allowance recorded: Residential real estate: Owner occupied $ $ $ — $ $ $ — $ $ $ — Owner occupied - correspondent — — — — — — — — — Non owner occupied — — — Commercial real estate — — — Commercial real estate - purchased whole loans — — — — — — — — — Construction & land development — — — Commercial & industrial — — — Lease financing receivables — — — — — — — — — Warehouse lines of credit — — — — — — — — — Home equity — — — Consumer: RPG loans — — — — — — — — — Credit cards — — — — — — — — — Overdrafts — — — — — — — — — Purchased whole loans — — — — — — — — — Other consumer — — — — — — — — Impaired loans with an allowance recorded: Residential real estate: Owner occupied — — Owner occupied - correspondent — — — — — — — — — Non owner occupied — — Commercial real estate — — Commercial real estate - purchased whole loans — — — — — — — — — Construction & land development — — Commercial & industrial — — Lease financing receivables — — — — — — — — — Warehouse lines of credit — — — — — — — — — Home equity — — — — Consumer: RPG loans — — — — — — — — — Credit cards — — — — — — — — — Overdrafts — — — — — — — — — Purchased whole loans — — — — — — — — — Other consumer — — — Total impaired loans $ $ $ $ $ $ — $ $ $ — Troubled Debt Restructurings A TDR is the situation where, due to a borrower’s financial difficulties, the Bank grants a concession to the borrower that the Bank would not otherwise have considered. In order to determine whether a borrower is experiencing financial difficulty, an evaluation is performed of the probability that the borrower will be in payment default on any of its debt in the foreseeable future without the modification. This evaluation is performed under the Bank’s internal underwriting policy. All TDRs are considered “Impaired,” including PCI loans subsequently restructured. The majority of the Bank’s commercial related and construction TDRs involve a restructuring of financing terms such as a reduction in the payment amount to require only interest and escrow (if required) and/or extending the maturity date of the debt. The substantial majority of the Bank’s residential real estate TDR concessions involve reducing the client’s loan payment through a rate reduction for a set period of time based on the borrower’s ability to service the modified loan payment. Retail loans may also be classified as TDRs due to legal modifications, such as bankruptcies. Non-accrual loans modified as TDRs typically remain on non-accrual status and continue to be reported as non-performing loans for a minimum of six months. Accruing loans modified as TDRs are evaluated for non-accrual status based on a current evaluation of the borrower’s financial condition and ability and willingness to service the modified debt. At June 30, 2015 and December 31, 2014, $16 million and $14 million of TDRs were on non-accrual status. Detail of TDRs differentiated by loan type and accrual status follows: Troubled Debt Troubled Debt Total Restructurings on Restructurings on Troubled Debt Non-Accrual Status Accrual Status Restructurings Number of Recorded Number of Recorded Number of Recorded June 30, 2015 (dollars in thousands) Loans Investment Loans Investment Loans Investment Residential real estate $ $ $ Commercial real estate Construction & land development Commercial & industrial Total troubled debt restructurings $ $ $ Troubled Debt Troubled Debt Total Restructurings on Restructurings on Troubled Debt Non-Accrual Status Accrual Status Restructurings Number of Recorded Number of Recorded Number of Recorded December 31, 2014 (dollars in thousands) Loans Investment Loans Investment Loans Investment Residential real estate $ $ $ Commercial real estate Construction & land development Commercial & industrial — — Total troubled debt restructurings $ $ $ The Bank considers a TDR to be performing to its modified terms if the loan is in accrual status and not past due 30 days or more as of the reporting date. A summary of the categories of TDR loan modifications outstanding and respective performance under modified terms at June 30, 2015 and December 31, 2014 follows: Troubled Debt Troubled Debt Restructurings Restructurings Total Performing to Not Performing to Troubled Debt Modified Terms Modified Terms Restructurings Number of Recorded Number of Recorded Number of Recorded June 30, 2015 (dollars in thousands) Loans Investment Loans Investment Loans Investment Residential real estate loans (including home equity loans): Interest only payments $ $ $ Rate reduction Principal deferral Legal modifications Total residential TDRs Commercial related and construction/land development loans: Interest only payments Rate reduction Principal deferral Total commercial TDRs Total troubled debt restructurings $ $ $ Troubled Debt Troubled Debt Restructurings Restructurings Total Performing to Not Performing to Troubled Debt Modified Terms Modified Terms Restructurings Number of Recorded Number of Recorded Number of Recorded December 31, 2014 (dollars in thousands) Loans Investment Loans Investment Loans Investment Residential real estate loans (including home equity loans): Interest only payments $ $ $ Rate reduction Principal deferral Legal modifications Total residential TDRs Commercial related and construction/land development loans: Interest only payments Rate reduction Principal deferral Total commercial TDRs Total troubled debt restructurings $ $ $ As of June 30, 2015 and December 31, 2014, 73% and 74% of the Bank’s TDRs were performing according to their modified terms. The Bank had provided $5 million and $4 million of specific reserve allocations to customers whose loan terms have been modified in TDRs as of June 30, 2015 and December 31, 2014. Specific reserve allocations are generally assessed prior to loans being modified as a TDR, as most of these loans migrate from the Bank’s internal “watch list” and have been specifically provided for or reserved for as part of the Bank’s normal loan and lease provisioning methodology. The Bank has not committed to lend any additional material amounts to its existing TDR relationships at June 30, 2015 or December 31, 2014. A summary of the categories of TDR loan modifications and respective performance as of June 30, 2015 and 2014 that were modified during the three months ended June 30, 2015 and 2014 follows: Troubled Debt Troubled Debt Restructurings Restructurings Total Performing to Not Performing to Troubled Debt Modified Terms Modified Terms Restructurings Number of Recorded Number of Recorded Number of Recorded June 30, 2015 (dollars in thousands) Loans Investment Loans Investment Loans Investment Residential real estate loans (including home equity loans): Rate reduction — $ — $ $ Principal deferral — — Legal modifications — — Total residential TDRs — — Commercial related and construction/land development loans: Interest only payments — — Rate reduction Principal deferral Total commercial TDRs Total troubled debt restructurings $ $ $ Troubled Debt Troubled Debt Restructurings Restructurings Total Performing to Not Performing to Troubled Debt Modified Terms Modified Terms Restructurings Number of Recorded Number of Recorded Number of Recorded June 30, 2014 (dollars in thousands) Loans Investment Loans Investment Loans Investment Residential real estate loans (including home equity loans): Rate reduction $ $ $ Principal deferral Legal modifications Total residential TDRs Commercial related and construction/land development loans: Interest only payments — — Total commercial TDRs — — Total troubled debt restructurings $ $ $ As of June 30, 2015 and 2014, 74% and 44% of the Bank’s TDRs that occurred during the second quarters of 2015 and 2014 were performing according to their modified terms. The Bank provided $221,000 and $54,000 in specific reserve allocations to customers whose loan terms were modified in TDRs during the second quarters of 2015 and 2014. As stated above, specific reserves are generally assessed prior to loans being modified as a TDR, as most of these loans migrate from the Bank’s internal watch list and have been specifically reserved for as part of the Bank’s normal reserving methodology. There were no significant changes between the pre and post modification loan balances for the three months ending June 30, 2015 and June 30, 2014. A summary of the categories of TDR loan modifications and respective performance as of June 30, 2015 and 2014 that were modified during the six months ended June 30, 2015 and 2014 follows: Troubled Debt Troubled Debt Restructurings Restructurings Total Performing to Not Performing to Troubled Debt Modified Terms Modified Terms Restructurings Number of Recorded Number of Recorded Number of Recorded June 30, 2015 (dollars in thousands) Loans Investment Loans Investment Loans Investment Residential real estate loans (including home equity loans): Interest only payments $ — $ — $ Rate reduction Principal deferral — — Legal modifications — — Total residential TDRs Commercial related and construction/land development loans: Interest only payments — — Rate reduction Principal deferral Total commercial TDRs Total troubled debt restructurings $ $ $ Troubled Debt Troubled Debt Restructurings Restructurings Total Performing to Not Performing to Troubled Debt Modified Terms Modified Terms Restructurings Number of Recorded Number of Recorded Number of Recorded June 30, 2014 (dollars in thousands) Loans Investment Loans Investment Loans Investment Residential real estate loans (including home equity loans): Rate reduction $ $ $ Principal deferral Legal modifications Total residential TDRs Commercial related and construction/land development loans: Interest only payments — — Rate reduction — — Principal deferral — — Total commercial TDRs — — Total troubled debt restructurings $ $ $ As of June 30, 2015 and 2014, 53% and 39% of the Bank’s TDRs that occurred during the first six months of 2015 and 2014 were performing according to their modified terms. The Bank provided $635,000 and $142,000 in specific reserve allocat

DEPOSITS

DEPOSITS	6 Months Ended
	Jun. 30, 2015
DEPOSITS
DEPOSITS	4. DEPOSITS Ending deposit balances at June 30, 2015 and December 31, 2014 were as follows: (in thousands) June 30, 2015 December 31, 2014 Demand $ $ Money market accounts Brokered money market accounts Savings Individual retirement accounts* Time deposits, $250,000 and over* Other certificates of deposit* Brokered certificates of deposit*(1) Total interest-bearing deposits Total non interest-bearing deposits Total deposits $ $ (*) – Represents a time deposit. (1) – Includes brokered deposits less than, equal to and greater than $250,000.

FEDERAL HOME LOAN BANK ("FHLB")

FEDERAL HOME LOAN BANK ("FHLB") ADVANCES	6 Months Ended
	Jun. 30, 2015
FEDERAL HOME LOAN BANK ADVANCES
FEDERAL HOME LOAN BANK ("FHLB") ADVANCES	5. FEDERAL HOME LOAN BANK (“FHLB”) ADVANCES At June 30, 2015 and December 31, 2014, FHLB advances were as follows: (dollars in thousands) June 30, 2015 December 31, 2014 Overnight advance with an interest rate of 0.15% due on July 1, 2015 $ $ Variable interest rate advance indexed to 3-Month LIBOR plus 0.14% due on December 19, 2015 Fixed interest rate advances with a weighted average interest rate of 1.68% due through 2023 Putable fixed interest rate advances with a weighted average interest rate of 4.39% due through 2017(1) Total FHLB advances $ $ (1) - Represents putable advances with the FHLB. These advances have original fixed rate periods ranging from one to five years with original maturities ranging from three to ten years if not put back to the Bank earlier by the FHLB. At the end of their respective fixed rate periods and on a quarterly basis thereafter, the FHLB has the right to require payoff of the advances by the Bank at no penalty. Based on market conditions at this time, the Bank does not believe that any of its putable advances are likely to be “put back” to the Bank in the short-term by the FHLB. Each FHLB advance is payable at its maturity date, with a prepayment penalty for fixed rate advances that are paid off earlier than maturity. FHLB advances are collateralized by a blanket pledge of eligible real estate loans. At June 30, 2015 and December 31, 2014, Republic had available collateral to borrow an additional $254 million and $452 million, respectively, from the FHLB. In addition to its borrowing line with the FHLB, Republic also had unsecured lines of credit totaling $166 million available through various other financial institutions as of June 30, 2015 and December 31, 2014. Aggregate future principal payments on FHLB advances based on contractual maturity and the weighted average cost of such advances are detailed below: Weighted Average Year (dollars in thousands) Principal Rate 2015 (Overnight) $ % 2015 % 2016 % 2017 % 2018 % 2019 % 2020 % Thereafter % Total $ % Information regarding short-term overnight FHLB advances follows: (dollars in thousands) June 30, 2015 December 31, 2014 Outstanding balance at end of period $ $ Weighted average interest rate at end of period % % Three Months Ended Six Months Ended June 30, June 30, (dollars in thousands) 2015 2014 2015 2014 Average outstanding balance during the period $ $ $ $ Average interest rate during the period % % % % Maximum outstanding at any month end during the period $ $ $ $ The following table illustrates real estate loans pledged to collateralize advances and letters of credit with the FHLB: (in thousands) June 30, 2015 December 31, 2014 First lien, single family residential real estate $ $ Home equity lines of credit Multi-family commercial real estate

FAIR VALUE

FAIR VALUE	6 Months Ended
	Jun. 30, 2015
FAIR VALUE
FAIR VALUE	6. FAIR VALUE Fair value represents the exchange price that would be received for an asset or paid to transfer a liability (exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. There are three levels of inputs that may be used to measure fair values: Level 1: Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date. Level 2: Significant other observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. Level 3: Significant unobservable inputs that reflect a reporting entity’s own assumptions about the assumptions that market participants would use in pricing an asset or liability. The Bank used the following methods and significant assumptions to estimate the fair value of each type of financial instrument: Securities available for sale: Quoted market prices in an active market are available for the Bank’s mutual fund investment and fall within Level 1 of the fair value hierarchy. Except for the Bank’s mutual fund investment and its private label mortgage backed security, the fair value of securities available for sale is typically determined by matrix pricing, which is a mathematical technique used widely in the industry to value debt securities without relying exclusively on quoted prices for the specific securities, but rather by relying on the securities’ relationship to other benchmark quoted securities (Level 2 inputs). The Bank’s private label mortgage backed security remains illiquid, and as such, the Bank classifies this security as a Level 3 security in accordance with ASC Topic 820, “ Fair Value Measurements and Disclosures.” Based on this determination, the Bank utilized an income valuation model (present value model) approach in determining the fair value of this security. See in this section of the filing under Footnote 2 “Investment Securities” for additional discussion regarding the Bank’s private label mortgage backed security. Mortgage loans held for sale: The fair value of mortgage loans held for sale is determined using quoted secondary market prices. Mortgage loans held for sale are classified as Level 2 in the fair value hierarchy. Derivative instruments: Mortgage Banking derivatives used in the ordinary course of business primarily consist of mandatory forward sales contracts (“forward contracts”) and interest rate lock loan commitments. The fair value of the Bank’s derivative instruments is primarily measured by obtaining pricing from broker-dealers recognized to be market participants. The pricing is derived from market observable inputs that can generally be verified and do not typically involve significant judgment by the Bank. Forward contracts and rate lock loan commitments are classified as Level 2 in the fair value hierarchy. Interest rate swap agreements: Interest rate swaps are recorded at fair value on a recurring basis. The Company values its interest rate swaps using Bloomberg Valuation Service’s derivative pricing functions and therefore classifies such valuations as Level 2. Valuations of these interest rate swaps are also received from the relevant counterparty and validated against internal calculations. The Company has considered counterparty credit risk in the valuation of its interest rate swap assets and has considered its own credit risk in the valuation of its interest rate swap liabilities. Impaired loans: Collateral dependent impaired loans generally reflect partial charge-downs to their respective fair value, which is commonly based on recent real estate appraisals. These appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the independent appraisers to adjust for differences between the comparable sales and income data available. Such adjustments are usually significant and typically result in a Level 3 classification of the inputs for determining fair value. Non-real estate collateral may be valued using an appraisal, net book value per the borrower’s financial statements or aging reports, adjusted or discounted based on management’s historical knowledge, changes in market conditions from the time of the valuation, and management’s expertise and knowledge of the client and client’s business, resulting in a Level 3 fair value classification. Collateral dependent loans are evaluated on a quarterly basis for additional impairment and adjusted accordingly. Premises, held for sale: Premises held for sale are accounted for at the lower of cost or fair value less estimated costs to sell. Fair value is commonly based on recent real estate appraisals. These appraisals may utilize a single valuation approach or a combination of approaches, including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the independent appraisers to adjust for differences between the comparable sales and income data available. Such adjustments may be significant and typically result in a Level 3 classification of the inputs for determining fair value. Other real estate owned: Assets acquired through or instead of loan foreclosure are initially recorded at fair value less costs to sell when acquired, establishing a new cost basis. These assets are subsequently accounted for at lower of cost or fair value less estimated costs to sell. Fair value is commonly based on recent real estate appraisals. These appraisals may utilize a single valuation approach or a combination of approaches, including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the independent appraisers to adjust for differences between the comparable sales and income data available. Such adjustments may be significant and typically result in a Level 3 classification of the inputs for determining fair value. Appraisals for both collateral-dependent impaired loans, other real estate owned and premises held for sale are performed by certified general appraisers (for commercial properties) or certified residential appraisers (for residential properties) whose qualifications and licenses have been reviewed and verified by the Bank. Once the appraisal is received, a member of the Bank’s Credit Administration Department reviews the assumptions and approaches utilized in the appraisal, as well as the overall resulting fair value in comparison with independent data sources, such as recent market data or industry-wide statistics. On at least an annual basis, the Bank performs a back test of collateral appraisals by comparing actual selling prices on recent collateral sales to the most recent appraisal of such collateral. Back tests are performed for each collateral class, e.g., residential real estate or commercial real estate, and may lead to additional adjustments to the value of unliquidated collateral of similar class. Mortgage servicing rights: On at least a quarterly basis, MSRs are evaluated for impairment based upon the fair value of the MSRs as compared to carrying amount. If the carrying amount of an individual grouping exceeds fair value, impairment is recorded and the respective individual tranche is carried at fair value. If the carrying amount of an individual grouping does not exceed fair value, impairment is reversed if previously recognized and the carrying value of the individual tranche is based on the amortization method. The valuation model utilizes assumptions that market participants would use in estimating future net servicing income and that can generally be validated against available market data (Level 2). Assets and liabilities measured at fair value on a recurring basis as of June 30, 2015 and December 31, 2014, including financial assets and liabilities for which the Bank has elected the fair value option, are summarized below: Fair Value Measurements at June 30, 2015 Using: Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Total Assets Inputs Inputs Fair (in thousands) (Level 1) (Level 2) (Level 3) Value Financial assets: Securities available for sale: U.S. Treasury securities and U.S. Government agencies $ — $ $ — $ Private label mortgage backed security — — Mortgage backed securities - residential — — Collateralized mortgage obligations — — Freddie Mac preferred stock — — Mutual fund — — Corporate bonds — — Total securities available for sale $ $ $ $ Mortgage loans held for sale $ — $ $ — $ Rate lock commitments — — Financial liabilities: Mandatory forward contracts — — Interest rate swap agreements — — Fair Value Measurements at December 31, 2014 Using: Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Total Assets Inputs Inputs Fair (in thousands) (Level 1) (Level 2) (Level 3) Value Financial assets: Securities available for sale: U.S. Treasury securities and U.S. Government agencies $ — $ $ — $ Private label mortgage backed security — — Mortgage backed securities - residential — — Collateralized mortgage obligations — — Freddie Mac preferred stock — — Mutual fund — — Corporate bonds — — Total securities available for sale $ $ $ $ Mortgage loans held for sale $ — $ $ — $ Rate lock commitments — — Financial liabilities: Mandatory forward contracts — — Interest rate swap agreements — — All transfers between levels are generally recognized at the end of each quarter. There were no transfers into or out of Level 1, 2 or 3 assets during the three and six months ended June 30, 2015 and 2014. Private Label Mortgage Backed Security The table below presents a reconciliation of the Bank’s private label mortgage backed security. This is the only asset that was measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the periods ended June 30, 2015 and 2014: Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2015 2014 2015 2014 Balance, beginning of period $ $ $ $ Total gains or losses included in earnings: Net change in unrealized gain ) ) Recovery of actual losses previously recorded — Principal paydowns — ) ) ) Balance, end of period $ $ $ $ The fair value of the Bank’s single private label mortgage backed security is supported by analysis prepared by an independent third party. The third party’s approach to determining fair value involved several steps: 1) detailed collateral analysis of the underlying mortgages, including consideration of geographic location, original loan-to-value and the weighted average Fair Isaac Corporation (“FICO”) score of the borrowers; 2) collateral performance projections for each pool of mortgages underlying the security (probability of default, severity of default, and prepayment probabilities) and 3) discounted cash flow modeling. The significant unobservable inputs in the fair value measurement of the Bank’s single private label mortgage backed security are prepayment rates, probability of default and loss severity in the event of default. Significant fluctuations in any of those inputs in isolation would result in a significantly lower/higher fair value measurement. The following table presents quantitative information about recurring Level 3 fair value measurements at June 30, 2015 and December 31, 2014: Fair Valuation June 30, 2015 (dollars in thousands) Value Technique Unobservable Inputs Range Private label mortgage backed security $ Discounted cash flow (1) Constant prepayment rate (4.0)% - 6.5% (2) Probability of default 3.0% - 13.0% (2) Loss severity 60% - 90% Fair Valuation December 31, 2014 (dollars in thousands) Value Technique Unobservable Inputs Range Private label mortgage backed security $ Discounted cash flow (1) Constant prepayment rate 0.5% - 6.5% (2) Probability of default 3.0% - 6.2% (2) Loss severity 60% - 75% Mortgage Loans Held for Sale The Bank has elected the fair value option for mortgage loans held for sale. These loans are intended for sale and the Bank believes that the fair value is the best indicator of the resolution of these loans. Interest income is recorded based on the contractual terms of the loan and in accordance with Bank policy for such instruments. None of these loans were past due 90-days-or-more nor on nonaccrual as of June 30, 2015 and December 31, 2014. As of June 30, 2015 and December 31, 2014, the aggregate fair value, contractual balance (including accrued interest), and gain or loss was as follows: (in thousands) June 30, 2015 December 31, 2014 Aggregate fair value $ $ Contractual balance Gain The total amount of gains and losses from changes in fair value included in earnings for the three and six months ended June 30, 2015 and 2014 for mortgage loans held for sale are presented in the following table: Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2015 2014 2015 2014 Interest income $ $ $ $ Change in fair value ) Total included in earnings $ ) $ $ $ Assets measured at fair value on a non-recurring basis as of June 30, 2015 and December 31, 2014 are summarized below: Fair Value Measurements at June 30, 2015 Using: Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Total Assets Inputs Inputs Fair (in thousands) (Level 1) (Level 2) (Level 3) Value Impaired loans: Residential real estate: Owner occupied $ — $ — $ $ Non owner occupied — — Commercial real estate — — Home equity — — Total impaired loans* $ — $ — $ $ Other real estate owned: Residential real estate $ — $ — $ $ Commercial real estate — — Total other real estate owned $ — $ — $ $ Premises, held for sale $ — $ — $ $ Fair Value Measurements at December 31, 2014 Using: Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Total Assets Inputs Inputs Fair (in thousands) (Level 1) (Level 2) (Level 3) Value Impaired loans: Residential real estate: Owner occupied $ — $ — $ $ Non owner occupied — — Commercial real estate — — Home equity — — Total impaired loans* $ — $ — $ $ Other real estate owned: Residential real estate $ — $ — $ $ Commercial real estate — — Construction & land development — — Total other real estate owned $ — $ — $ $ Premises, held for sale $ — $ — $ $ * - The impaired loan balances in the above two tables exclude TDRs which are not collateral dependent. The difference between the carrying value and the fair value of impaired loans measured at fair value is reconciled in a subsequent table of this Footnote 6 and represents estimated selling costs to liquidate the underlying collateral on such debt. The following tables present quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a non-recurring basis at June 30, 2015 and December 31, 2014: Range Fair Valuation Unobservable (Weighted June 30, 2015 (dollars in thousands) Value Technique Inputs Average) Impaired loans - residential real estate owner occupied $ Sales comparison approach Adjustments determined for differences between comparable sales 0% - 38% (10%) Impaired loans - residential real estate non owner occupied $ Sales comparison approach Adjustments determined for differences between comparable sales 0% - 33% (14%) Impaired loans - commercial real estate $ Sales comparison approach Adjustments determined for differences between comparable sales 0% - 22 (4%) $ Income approach Adjustments for differences between net operating income expectations 42% (42%) Impaired loans - home equity $ Sales comparison approach Adjustments determined for differences between comparable sales 2% - 37% (19%) Other real estate owned - residential real estate $ Sales comparison approach Adjustments determined for differences between comparable sales 10% - 80% (14%) Other real estate owned - commercial real estate $ Sales comparison approach Adjustments determined for differences between comparable sales 33% (33%) Premises, held for sale $ Sales comparison approach Adjustments determined for differences between comparable sales 5% (5%) Range Fair Valuation Unobservable (Weighted December 31, 2014 (dollars in thousands) Value Technique Inputs Average) Impaired loans - residential real estate owner occupied $ Sales comparison approach Adjustments determined for differences between comparable sales 0% - 33% (7%) Impaired loans - residential real estate non owner occupied $ Sales comparison approach Adjustments determined for differences between comparable sales 0% - 33% (18%) Impaired loans - commercial real estate $ Sales comparison approach Adjustments determined for differences between comparable sales 0% - 9% (2%) $ Income approach Adjustments for differences between net operating income expectations 3%-37% (22%) Impaired loans - home equity $ Sales comparison approach Adjustments determined for differences between comparable sales 0% - 35% (12%) Other real estate owned - residential real estate $ Sales comparison approach Adjustments determined for differences between comparable sales 9% - 23% (19%) Other real estate owned - commercial real estate $ Sales comparison approach Adjustments determined for differences between comparable sales 11% - 14% (13%) $ Income approach Adjustments for differences between net operating income expectations 19% (19%) Other real estate owned - construction & land development $ Sales comparison approach Adjustments determined for differences between comparable sales 13% - 70% (38%) $ Income approach Adjustments for differences between net operating income expectations 8% - 9% (8%) Premises, held for sale $ Sales comparison approach Adjustments determined for differences between comparable sales 1% (1%) The following section details impairment charges recognized during the period: Impaired Loans Collateral dependent impaired loans are generally measured for impairment using the fair value of the underlying collateral. The Bank’s practice is to obtain new or updated appraisals on the loans subject to the initial impairment review and then to evaluate the need for an update to this value on an as necessary or possibly annual basis thereafter (depending on the market conditions impacting the value of the collateral). The Bank may discount the appraisal amount as necessary for selling costs and past due real estate taxes. If a new or updated appraisal is not available at the time of a loan’s impairment review, the Bank may apply a discount to the existing value of an old appraisal to reflect the property’s current estimated value if it is believed to have deteriorated in either: (i) the physical or economic aspects of the subject property or (ii) material changes in market conditions. The impairment review generally results in a partial charge-off of the loan if fair value less selling costs are below the loan’s carrying value. Impaired loans that are collateral dependent are classified within Level 3 of the fair value hierarchy when impairment is determined using the fair value method. Impaired loans, which are measured for impairment using the fair value of the collateral for collateral dependent loans are as follows: (in thousands) June 30, 2015 December 31, 2014 Carrying amount of loans measured at fair value $ $ Estimated selling costs considered in carrying amount Total fair value $ $ Other Real Estate Owned Other real estate owned, which is carried at the lower of cost or fair value, is periodically assessed for impairment based on fair value at the reporting date. Fair value is determined from external appraisals using judgments and estimates of external professionals. Many of these inputs are not observable and, accordingly, these measurements are classified as Level 3. All of the Bank’s individual other real estate owned properties were carried at the lower of their fair value or cost at June 30, 2015 and December 31, 2014. Details of other real estate owned carrying value and write downs follow: (in thousands) June 30, 2015 December 31, 2014 Other real estate carried at fair value $ $ Other real estate carried at cost Total carrying value of other real estate owned $ $ Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2015 2014 2015 2014 Other real estate owned write-downs during the period $ $ $ $ Premises, Held for Sale The Company closed its Hudson, Florida banking center on January 16, 2015. The Hudson premises were held for sale at June 30, 2015 and December 31, 2014 and carried at $1 million, its fair value less estimated selling costs. Fair value was determined from an external appraisal using judgments and estimates. Many of these inputs are not observable and, accordingly, these measurements are classified as Level 3. The Hudson premises were written down $33,000 and $66,000 during the three and six months ended June 30, 2015, respectively, with no similar write-downs for the same periods in 2014. In July 2015, the Company formally agreed to sell its banking center in Elizabethtown, Kentucky. As of June 30, 2015, the premises of the banking center were carried at approximately $1 million, which equals the total costs of the premises less accumulated depreciation. Mortgage Servicing Rights MSRs are carried at lower of cost or fair value. No MSR s were carried at fair value at June 30 , 2015 and December 31, 2014. The carrying amounts and estimated fair values of all financial instruments, at June 30, 2015 and December 31, 2014 follows: Fair Value Measurements at June 30, 2015: Total Carrying Fair (in thousands) Value Level 1 Level 2 Level 3 Value Assets: Cash and cash equivalents $ $ $ — $ — $ Securities available for sale Securities be held to maturity — — Mortgage loans held for sale, at fair value — — Other loans held for sale, at the lower of cost or fair value — — Loans, net of Allowance — — Federal Home Loan Bank stock — — — NA Accrued interest receivable — — Other assets — — Liabilities: Non interest-bearing deposits — — Transaction deposits — — Time deposits — — Securities sold under agreements to repurchase and other short-term borrowings — — Federal Home Loan Bank advances — — Subordinated note — — Accrued interest payable — — Other liabilities — — NA - Not applicable Fair Value Measurements at December 31, 2014: Total Carrying Fair (in thousands) Value Level 1 Level 2 Level 3 Value Assets: Cash and cash equivalents $ $ $ — $ — $ Securities available for sale Securities be held to maturity — — Mortgage loans held for sale, at fair value — — Loans, net of Allowance — — Federal Home Loan Bank stock — — — NA Accrued interest receivable — — Other assets — — Liabilities: Non interest-bearing deposits — — Transaction deposits — — Time deposits — — Securities sold under agreements to repurchase and other short-term borrowings — — Federal Home Loan Bank advances — — Subordinated note — — Accrued interest payable — — Other liabilities — — NA - Not applicable Fair value estimates are based on existing on and off-balance sheet financial instruments without attempting to estimate the value of anticipated future business and the value of assets and liabilities that are not considered financial instruments. In addition, the tax ramifications related to the realization of the unrealized gains and losses can have a significant effect on fair value estimates and have not been considered in any of the Bank’s estimates. The assumptions used in the estimation of the fair value of the Company’s financial instruments are explained below. Where quoted market prices are not available, fair values are based on estimates using discounted cash flow and other valuation techniques. Discounted cash flows can be significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. The following fair value estimates cannot be substantiated by comparison to independent markets and should not be considered representative of the liquidation value of the Company’s financial instruments, but rather a good-faith estimate of the fair value of financial instruments held by the Company. In addition to those previously disclosed, the following methods and assumptions were used by the Company in estimating the fair value of its financial instruments: Cash and cash equivalents — The carrying amounts of cash and short-term instruments approximate fair values and are classified as Level 1. Other loans held for sale, at the lower of cost or fair value — Other loans held for sale constitute short-term consumer loans generally sold within two business days of origination. The carrying amounts of these loans, due to their short-term nature, approximate fair value, resulting in a Level 2 classification. Loans, net of Allowance — The fair value of loans is calculated using discounted cash flows by loan type resulting in a Level 3 classification. The discount rate used to determine the present value of the loan portfolio is an estimated market rate that reflects the credit and interest rate risk inherent in the loan portfolio without considering widening credit spreads due to market illiquidity. The estimated maturity is based on the Bank’s historical experience with repayments adjusted to estimate the effect of current market conditions. The Allowance is considered a reasonable discount for credit risk. The methods utilized to estimate the fair value of loans do not necessarily represent an exit price. Federal Home Loan Bank stock — It is not practical to determine the fair value of FHLB stock due to restrictions placed on its transferability. Accrued interest receivable/payable — The carrying amounts of accrued interest, due to their short-term nature, approximate fair value resulting in a Level 2 classification. Deposits — Fair values for time deposits have been determined using discounted cash flows. The discount rate used is based on estimated market rates for deposits of similar remaining maturities and are classified as Level 2. The carrying amounts of all other deposits, due to their short-term nature, approximate their fair values and are also classified as Level 2. Securities sold under agreements to repurchase and other short-term borrowings — The carrying amount for securities sold under agreements to repurchase and other short-term borrowings generally maturing within ninety days approximates its fair value resulting in a Level 2 classification. Federal Home Loan Bank advances — The fair value of the FHLB advances is obtained from the FHLB and is calculated by discounting contractual cash flows using an estimated interest rate based on the current rates available to the Company for debt of similar remaining maturities and collateral terms resulting in a Level 2 classification. Subordinated note — The fair value for subordinated debentures is calculated using discounted cash flows based upon current market spreads to London Interbank Borrowing Rate (“LIBOR”) for debt of similar remaining maturities and collateral terms resulting in a Level 2 classification. Other assets/liabilities — Other assets and liabilities consist of interest rate swap agreements and other derivative assets and liabilities previously described above. The fair value estimates presented herein are based on pertinent information available to management as of the respective period ends. Although management is not aware of any factors that would dramatically affect the estimated fair value amounts, such amounts have not been comprehensively revalued for purposes of these financial statements since that date and, therefore, estimates of fair value may differ significantly from the amounts presented.

MORTGAGE BANKING ACTIVITIES

MORTGAGE BANKING ACTIVITIES	6 Months Ended
	Jun. 30, 2015
MORTGAGE BANKING ACTIVITIES
MORTGAGE BANKING ACTIVITIES	7. MORTGAGE BANKING ACTIVITIES Activity for mortgage loans held for sale was as follows: Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2015 2014 2015 2014 Balance, beginning of period $ $ $ $ Origination of mortgage loans held for sale Proceeds from the sale of mortgage loans held for sale ) ) ) ) Net gain on sale of mortgage loans held for sale Balance, end of period $ $ $ $ The following table presents the components of Mortgage Banking income: Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2015 2014 2015 2014 Net gain realized on sale of mortgage loans held for sale $ $ $ $ Net change in fair value recognized on loans held for sale ) Net change in fair value recognized on rate lock commitments ) Net change in fair value recognized on forward contracts ) ) Net gain recognized Loan servicing income Amortization of mortgage servicing rights ) ) ) ) Net servicing income recognized Total Mortgage Banking income $ $ $ $ Activity for capitalized mortgage servicing rights was as follows: Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2015 2014 2015 2014 Balance, beginning of period $ $ $ $ Additions Amortized to expense ) ) ) ) Balance, end of period $ $ $ $ There was no balance or activity in the valuation allowance for capitalized mortgage servicing rights for the three and six months ended June 30, 2015 and 2014. Other information relating to mortgage servicing rights follows: (dollars in thousands) June 30, 2015 December 31, 2014 Fair value of mortgage servicing rights portfolio $ $ Monthly prepayment rate of unpaid principal balance* 105% - 462 % 95% - 462 % Discount rate % % Weighted average default rate % % Weighted average life in years * - Rates are applied to individual tranches with similar characteristics. Mortgage Banking derivatives used in the ordinary course of business primarily consist of mandatory forward sales contracts and interest rate lock loan commitments. Mandatory forward contracts represent future commitments to deliver loans at a specified price and date and are used to manage interest rate risk on loan commitments and mortgage loans held for sale. Interest rate lock loan commitments represent commitments to fund loans at a specific rate. These derivatives involve underlying items, such as interest rates, and are designed to transfer risk. Substantially all of these instruments expire within 90 days from the date of issuance. Notional amounts are amounts on which calculations and payments are based, but which do not represent credit exposure, as credit exposure is limited to the amounts required to be received or paid. Mandatory forward contracts also contain an element of risk in that the counterparties may be unable to meet the terms of such agreements. In the event the counterparties fail to deliver commitments or are unable to fulfill their obligations, the Bank could potentially incur significant additional costs by replacing the positions at then current market rates. The Bank manages its risk of exposure by limiting counterparties to those banks and institutions deemed appropriate by management and the Board of Directors. The Bank does not expect any counterparty to default on their obligations and therefore, the Bank does not expect to incur any cost related to counterparty default. The Bank is exposed to interest rate risk on loans held for sale and rate lock loan commitments. As market interest rates fluctuate, the fair value of mortgage loans held for sale and rate lock commitments will decline or increase. To offset this interest rate risk the Bank enters into derivatives, such as mandatory forward contracts to sell loans. The fair value of these mandatory forward contracts will fluctuate as market interest rates fluctuate, and the change in the value of these instruments is expected to largely, though not entirely, offset the change in fair value of loans held for sale and rate lock commitments. The objective of this activity is to minimize the exposure to losses on rate loan lock commitments and loans held for sale due to market interest rate fluctuations. The net effect of derivatives on earnings will depend on risk management activities and a variety of other factors, including: market interest rate volatility; the amount of rate lock commitments that close; the ability to fill the forward contracts before expiration; and the time period required to close and sell loans. The following table includes the notional amounts and fair values of mortgage loans held for sale and mortgage banking derivatives as of the period ends presented: Notional Amount Fair Value Notional Amount Fair Value (in thousands) June 30, 2015 December 31, 2014 Included in Mortgage loans held for sale: Mortgage loans held for sale $ $ $ $ Included in other assets: Rate lock loan commitments $ $ $ $ Included in other liabilities: Mandatory forward contracts $ $ $ $

INTEREST RATE SWAPS

INTEREST RATE SWAPS	6 Months Ended
	Jun. 30, 2015
INTEREST RATE SWAPS
INTEREST RATE SWAPS	8. INTEREST RATE SWAPS Interest rate swap derivatives are reported at fair value in other assets or other liabilities. The accounting for changes in the fair value of a derivative depends on whether it has been designated and qualifies as part of a hedging relationship. For a derivative designated as a cash flow hedge, the effective portion of the derivative’s unrealized gain or loss is recorded as a component of other comprehensive income (loss). For derivatives not designated as hedges, the gain or loss is recognized in current period earnings. Interest Rate Swaps Used as Cash Flow Hedges The Bank entered into two interest rate swap agreements (“swaps”) during 2013 as part of its interest rate risk management strategy. The Bank designated the swaps as cash flow hedges intended to reduce the variability in cash flows attributable to either FHLB advances tied to the three-month London Interbank Offered Rate (“LIBOR”) or the overall changes in cash flows on certain money market deposit accounts tied to one-month LIBOR. The counterparty for both swaps met the Bank’s credit standards and the Bank believes that the credit risk inherent in the swap contracts is not significant. The swaps were determined to be fully effective during all periods presented; therefore, no amount of ineffectiveness was included in net income. The aggregate fair value of the swaps is recorded in other liabilities with changes in fair value recorded in OCI. The amount included in accumulated OCI would be reclassified to current earnings should the hedge no longer be considered effective. The Bank expects the hedges to remain fully effective during the remaining term of the swaps. The following table reflects information about swaps designated as cash flow hedges as of June 30, 2015 and December 31, 2014: June 30, 2015 December 31, 2014 (in thousands) Notional Amount Pay Rate Receive Rate Term Assets/(Liabilities) Unrealized Gain (Loss) in Accumulated OCI Assets/(Liabilities) Unrealized Gain (Loss) in Accumulated OCI Interest rate swap on money market deposits $ % 1-month LIBOR Dec. 2013 - Dec. 2020 $ ) $ ) $ ) $ ) Interest rate swap on FHLB advance % 3-month LIBOR Dec. 2013 - Dec. 2020 ) ) ) ) $ $ ) $ ) $ ) $ ) The following table reflects the total interest expense recorded in the consolidated statements of income during the three and six months ended June 30, 2015 and 2014 as a result of periodic swap settlements: Three Months Ended Six Months Ended June, June, (in thousands) 2015 2014 2015 2014 Interest rate swap on money market deposits $ $ $ $ Interest rate swap on FHLB advance Total interest expense on swap transactions $ $ $ $ The following tables present the net gains (losses) recorded in accumulated OCI and the consolidated statements of income relating to the swaps used as cash flow hedges for the three and six months ended June 30, 2015 and 2014: Three Months Ended Six Months Ended June, June, (in thousands) 2015 2014 2015 2014 Gains (losses) recognized in OCI on derivative (Effective Portion) $ $ ) $ ) $ ) Losses reclassified from OCI on derivative (Effective Portion) $ ) $ ) $ ) $ ) Gains (losses) recognized in income on derivative (Ineffective Portion) $ — $ — $ — $ — The estimated net amount of the existing losses that are reported in accumulated OCI at June 30, 2015 that is expected to be reclassified into earnings within the next twelve months is $369,000. Non-hedge Interest Rate Swaps The Bank enters into interest rate swaps to facilitate client transactions and meet their financing needs. Upon entering into these instruments to meet client needs, the Bank enters into offsetting positions in order to minimize the Bank’s interest rate risk. These swaps are derivatives, but are not designated as hedging instruments, and therefore changes in fair value are reported in current year earnings. Interest rate swap contracts involve the risk of dealing with counterparties and their ability to meet contractual terms. When the fair value of a derivative instrument contract is positive, this generally indicates that the counter party or client owes the Bank, and results in credit risk to the Bank. When the fair value of a derivative instrument contract is negative, the Bank owes the client or counterparty and therefore, has no credit risk. A summary of the Bank’s interest rate swaps related to clients as of June 30, 2015 and December 31, 2014 is included in the following table: Notional Amount Fair Value Notional Amount Fair Value (in thousands) Bank Position June 30, 2015 December 31, 2014 Interest rate swaps with Bank clients Pay variable/receive fixed $ $ ) $ — $ — Offsetting interest rate swaps with counterparty Pay fixed/receive variable — — Total $ $ — $ — $ — The Bank is required to pledge securities as collateral when the Bank is in a net loss position for all swaps with non-client counterparties when such net loss positions exceed $250,000. The fair value of investment securities pledged as collateral by the Bank to cover such net loss positions totaled $974,000 and $734,000 at June 30, 2015 and December 31, 2014.

OFF BALANCE SHEET RISKS, COMMIT

OFF BALANCE SHEET RISKS, COMMITMENTS AND CONTINGENT LIABILITIES	6 Months Ended
	Jun. 30, 2015
OFF BALANCE SHEET RISKS, COMMITMENTS AND CONTINGENT LIABILITIES
OFF BALANCE SHEET RISKS, COMMITMENTS AND CONTINGENT LIABILITIES	9. OFF BALANCE SHEET RISKS, COMMITMENTS AND CONTINGENT LIABILITIES The Company, in the normal course of business, is party to financial instruments with off balance sheet risk. These financial instruments primarily include commitments to extend credit and standby letters of credit. The contract or notional amounts of these instruments reflect the potential future obligations of the Company pursuant to those financial instruments. Creditworthiness for all instruments is evaluated on a case by case basis in accordance with the Company’s credit policies. Collateral from the client may be required based on the Company’s credit evaluation of the client and may include business assets of commercial clients, as well as personal property and real estate of individual clients or guarantors. The Company also extends binding commitments to clients and prospective clients. Such commitments assure a borrower of financing for a specified period of time at a specified rate. Additionally, the Company makes binding purchase commitments to third party loan correspondent originators. These commitments assure that the Company will purchase a loan from such correspondent originators at a specific price for a specific period of time. The risk to the Company under such loan commitments is limited by the terms of the contracts. For example, the Company may not be obligated to advance funds if the client’s financial condition deteriorates or if the client fails to meet specific covenants. An approved but unfunded loan commitment represents a potential credit risk and a liquidity risk, since the Company’s client(s) may demand immediate cash that would require funding. In addition, unfunded loan commitments represent interest rate risk as market interest rates may rise above the rate committed to the Company’s client. Since a portion of these loan commitments normally expire unused, the total amount of outstanding commitments at any point in time may not require future funding. The table below presents the Company’s commitments, exclusive of Mortgage Banking loan commitments, for each period ended: (in thousands) June 30, 2015 December 31, 2014 Unused warehouse lines of credit $ $ Unused home equity lines of credit Unused loan commitments - other Commitments to purchase loans (1) Standby letters of credit FHLB letters of credit — Total commitments $ $ (1) - Commitments made through the Bank’s Correspondent Lending channel. Standby letters of credit are conditional commitments issued by the Company to guarantee the performance of a client to a third party. The terms and risk of loss involved in issuing standby letters of credit are similar to those involved in issuing loan commitments and extending credit. In addition to credit risk, the Company also has liquidity risk associated with standby letters of credit because funding for these obligations could be required immediately. The Company does not deem this risk to be material.

EARNINGS PER SHARE

EARNINGS PER SHARE	6 Months Ended
	Jun. 30, 2015
EARNINGS PER SHARE
EARNINGS PER SHARE	10. EARNINGS PER SHARE Class A and Class B Shares participate equally in undistributed earnings. The difference in earnings per share between the two classes of common stock results solely from the 10% per share cash dividend premium paid on Class A Common Stock over that paid on Class B Common Stock. A reconciliation of the combined Class A and Class B Common Stock numerators and denominators of the earnings per share and diluted earnings per share computations is presented below: Three Months Ended Six Months Ended June 30, June 30, (in thousands, except per share data) 2015 2014 2015 2014 Net income $ $ $ $ Weighted average shares outstanding Effect of dilutive securities Average shares outstanding including dilutive securities Basic earnings per share: Class A Common Stock $ $ $ $ Class B Common Stock $ $ $ $ Diluted earnings per share: Class A Common Stock $ $ $ $ Class B Common Stock $ $ $ $ Stock options excluded from the detailed earnings per share calculation because their impact was antidilutive are as follows: Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Antidilutive stock options Average antidilutive stock options

STOCK PLANS AND STOCK BASED COM

STOCK PLANS AND STOCK BASED COMPENSATION	6 Months Ended
	Jun. 30, 2015
STOCK PLANS AND STOCK BASED COMPENSATION
STOCK PLANS AND STOCK BASED COMPENSATION	11. STOCK PLANS AND STOCK BASED COMPENSATION On January 15, 2015, the Company’s Board of Directors adopted the Republic Bancorp, Inc. 2015 Stock Incentive Plan (the “2015 Plan”), which became effective April 23, 2015 when the Company’s shareholders approved the 2015 Plan. The 2015 Plan replaced the Company’s 2005 Stock Incentive Plan, which expired on March 15, 2015. The number of authorized shares under the 2015 Plan is fixed at 3,000,000, with such number subject to adjustment in the event of certain events, such as stock dividends, stock splits or the like. There is a minimum three-year vesting period for awards granted to employees under the 2015 Plan that vest based solely on the completion of a specified period of service, with options and restricted stock awards generally exercisable five to six years after the issue date. Stock options generally must be exercised within one year from the date the options become exercisable and have an exercise price that is at least equal to the fair market value of the Company’s stock on the date the options were granted. All shares issued under the above mentioned plans through June 30, 2015 were from authorized and reserved unissued shares. The Company has a sufficient number of authorized and reserved unissued shares to satisfy all anticipated option exercises. There are no Class B stock options outstanding or available for exercise under the Company’s plans. The fair value of each stock option granted is estimated on the date of grant using the Black-Scholes based stock option valuation model. This model requires the input of subjective assumptions that will usually have a significant impact on the fair value estimate. Expected volatilities are based on historical volatility of Republic’s stock and other factors. Expected dividends are based on dividend trends and the market price of Republic’s stock price at grant. Republic uses historical data to estimate option exercises and employee terminations within the valuation model. The risk-free rate for periods within the contractual life of the option is based on the U.S. Treasury yield curve at the time of grant. All share-based payments to employees, including grants of employee stock options, are recognized as compensation expense over the service period (generally the vesting period) in the consolidated financial statements based on their fair values. The following table summarizes stock option activity from January 1, 2014 through June 30, 2015: Weighted Weighted Average Options Average Remaining Aggregate Class A Exercise Contractual Intrinsic Shares Price Term Value Outstanding, January 1, 2014 $ Granted Exercised ) Forfeited or expired ) Outstanding, December 31, 2014 $ $ Granted Exercised ) Forfeited or expired — — Outstanding, June 30, 2015 $ $ Fully vested and expected to vest $ $ Exercisable (vested) at June 30, 2015 $ $ Information related to stock options for the three and six months ended June 30, 2015 follows: Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2015 2014 2015 2014 Intrinsic value of options exercised $ — $ $ $ Cash received from options exercised, net of shares redeemed — Total fair value of options granted — — The following table summarizes restricted stock activity from January 1, 2014 through June 30, 2015: Restricted Stock Awards Weighted-average grant date fair value per share Outstanding, January 1, 2014 $ Granted — Forfeited or expired ) Earned and issued ) Outstanding, December 31, 2014 Granted Forfeited or expired — — Earned and issued — — Outstanding, June 30, 2015 $ The Company recorded expense related to stock options and restricted stock awards for the three and six months ended June 30, 2015 as follows: Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2015 2014 2015 2014 Stock option expense (credit) $ $ ) $ $ Restricted stock award expense $ $ $ $ Unrecognized stock option and restricted stock award expense related to unvested options and awards (net of estimated forfeitures) are estimated as follows: (in thousands) Restricted Stock Awards Options Total 2015 $ $ $ 2016 2017 2018 2019 2020 and after Total $ $ $

SECURITIES SOLD UNDER AGREEMENT

SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE	6 Months Ended
	Jun. 30, 2015
SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE
SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE	12. SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE AND OTHER SHORT-TERM BORROWINGS Securities sold under agreements to repurchase consist of short-term excess funds from correspondent banks, repurchase agreements and overnight liabilities to deposit clients arising from the Bank’s treasury management program. While comparable to deposits in their transactional nature, these overnight liabilities to clients are in the form of repurchase agreements. Repurchase agreements collateralized by securities are treated as financings; accordingly, the securities involved with the agreements are recorded as assets and are held by a safekeeping agent and the obligations to repurchase the securities are reflected as liabilities. Securities underlying the repurchase agreements are typically U.S. Treasury or U.S. agency securities. Should the fair value of currently pledged securities fall below the associated repurchase agreements, the Bank would be required to pledge additional securities. To mitigate the risk of under collateralization, the Bank typically pledges at least two percent more in securities than the associated repurchase agreements. All such securities are under the Bank’s control. Information regarding securities sold under agreements to repurchase follows: (dollars in thousands) June 30, 2015 December 31, 2014 Outstanding balance at end of period for overninght repurchase agreements accounted for as secured borrowings $ $ Weighted average interest rate at end of period % % Fair value of securities pledged as collateral U.S. Treasury securities and U.S. Government agencies $ $ Mortgage backed securities - residential Collateralized mortgage obligations Total securities pledged $ $ Three Months Ended Six Months Ended June 30, June 30, (dollars in thousands) 2015 2014 2015 2014 Average outstanding balance during the period $ $ $ $ Average interest rate during the period % % % % Maximum outstanding at any month end during the period $ $ $ $

OTHER COMPREHENSIVE INCOME

OTHER COMPREHENSIVE INCOME	6 Months Ended
	Jun. 30, 2015
OTHER COMPREHENSIVE INCOME
OTHER COMPREHENSIVE INCOME.	13. OTHER COMPREHENSIVE INCOME OCI components and related tax effects were as follows: Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2015 2014 2015 2014 Available for Sale Securities: Change in unrealized gain (loss) on securities available for sale $ ) $ $ $ Reclassification adjustment for gain on security available for sale recognized in earnings ) — ) — Change in unrealized gain on security available for sale for which a portion of an other-than-temporary impairment has been recognized in earnings ) ) Net unrealized gains (losses) ) Tax effect ) ) ) Net of tax ) Cash Flow Hedges: Change in fair value of derivatives used for cash flow hedges ) ) ) Reclassification amount for derivative losses realized in income Net unrealized gains (losses) ) ) ) Tax effect ) Net of tax ) ) ) Total OCI components, net of tax $ ) $ $ $ Significant amounts reclassified out of each component of accumulated OCI for the three and six months ended June 30, 2015 and 2014: Amounts Reclassified From Accumulated Other Comprehensive Income Three Months Ended Six Months Ended Affected Line Items in the Consolidated June 30, June 30, (in thousands) Statements of Income 2015 2014 2015 2014 Available for Sale Securities: Reclassification adjustment for gain on security available for sale recognized in earnings Gain on call of security available for sale $ $ — $ $ — Tax effect Income tax expense ) — ) — Net of tax Net income — — Cash Flow Hedges: Interest rate swap on money market deposits Interest expense on deposits ) ) ) ) Interest rate swap on FHLB advance Interest expense on FHLB advances ) ) ) ) Total cash flow hedges Total interest expense ) ) ) ) Tax effect Income tax expense Net of tax Net income ) ) ) ) Net of tax, total all reclassifications Net income $ ) $ ) $ ) $ ) The following is a summary of the accumulated OCI balances, net of tax: (in thousands) Dec. 31, 2014 2015 Change June 30, 2015 Unrealized gain on securities available for sale $ $ $ Unrealized gain on security available for sale for which a portion of an other-than-temporary impairment has been recognized in earnings ) Unrealized loss on cash flow hedge ) ) ) Total unrealized gain $ $ $ (in thousands) Dec. 31, 2013 2014 Change June 30, 2014 Unrealized gain on securities available for sale $ $ $ Unrealized gain on security available for sale for which a portion of an other-than-temporary impairment has been recognized in earnings Unrealized gain (loss) on cash flow hedge ) ) Total unrealized gain $ $ $

SEGMENT INFORMATION

SEGMENT INFORMATION	6 Months Ended
	Jun. 30, 2015
SEGMENT INFORMATION
SEGMENT INFORMATION	14. SEGMENT INFORMATION Segment Data: Reportable segments are determined by the type of products and services offered and the level of information provided to the chief operating decision maker, who uses such information to review performance of various components of the business (such as banking centers and business units), which are then aggregated if operating performance, products/services, and clients are similar. As of June 30, 2015, the Company was divided into four distinct operating segments: Traditional Banking, Warehouse Lending (“Warehouse”), Mortgage Banking and Republic Processing Group (“RPG”). Management considers the first three segments to collectively constitute “Core Bank” or “Core Banking” activities. The RPG segment includes the Tax Refund Solutions (“TRS”) division, Republic Payment Solutions (“RPS”) and Republic Credit Solutions (“RCS”). TRS generates the majority of RPG’s income, with the relatively smaller divisions of RPG, RPS and RCS, considered immaterial for separate and independent segment reporting. All divisions of the RPG segment operate through the Company. The nature of segment operations and the primary drivers of net revenues by reportable segment are provided below: Segment: Nature of Operations Primary Drivers of Net Revenues Core Banking Traditional Banking Provides traditional banking products primarily to customers in the Company’s market footprint. Loans, investments and deposits Warehouse Lending Provides short-term, revolving credit facilities to mortgage bankers across the Nation. Mortgage warehouse lines of credit Mortgage Banking Primarily originates, sells and services long-term, single family, first lien residential real estate loans. Gain on sale of loans and servicing fees Republic Processing Group The TRS division facilitates the receipt and payment of federal and state tax refund products. The RPS division offers general purpose reloadable cards. The RCS division offers short-term credit products. Net refund transfer fees The accounting policies used for Republic’s reportable segments are the same as those described in the summary of significant accounting policies in the Company’s 2014 Annual Report on Form 10-K. Segment performance is evaluated using operating income. Goodwill is not allocated. Income taxes are generally allocated based on income before income tax expense unless specific segment allocations can be reasonably made. Transactions among reportable segments are made at carrying value. Segment information for the three months ended June 30, 2015 and 2014 follows: Three Months Ended June 30, 2015 Core Banking (dollars in thousands) Traditional Banking Warehouse Lending Mortgage Banking Total Core Banking Republic Processing Group Total Company Net interest income $ $ $ $ $ $ Provision for loan and lease losses — Net refund transfer fees — — — — Mortgage banking income — — — Gain on call of security available for sale — — — Other non interest income Total non interest income Total non interest expenses Income before income tax expense Income tax expense Net income $ $ $ $ $ $ Segment end of period assets $ $ $ $ $ $ Net interest margin % % NM % NM % Three Months Ended June 30, 2014 Core Banking (dollars in thousands) Traditional Banking Warehouse Lending Mortgage Banking Total Core Banking Republic Processing Group Total Company Net interest income $ $ $ $ $ $ Provision for loan and lease losses — ) Net refund transfer fees — — — — Mortgage banking income — — — Other non interest income Total non interest income Total non interest expenses Income (loss) before income tax expense ) Income tax expense (benefit) ) Net income (loss) $ $ $ ) $ $ $ Segment end of period assets $ $ $ $ $ $ Net interest margin % % NM % NM % Segment assets are reported as of the respective period ends while income and margin data are reported for the respective periods. NM — Not Meaningful Segment information for the six months ended June 30, 2015 and 2014 follows: Six Months Ended June 30, 2015 Core Banking (dollars in thousands) Traditional Banking Warehouse Lending Mortgage Banking Total Core Banking Republic Processing Group Total Company Net interest income $ $ $ $ $ $ Provision for loan and lease losses — ) Net refund transfer fees — — — — Mortgage banking income — — — Gain on call of security available for sale — — — Other non interest income Total non interest income Total non interest expenses Income before income tax expense Income tax expense Net income $ $ $ $ $ $ Segment end of period assets $ $ $ $ $ $ Net interest margin % % NM % NM % Six Months Ended June 30, 2014 Core Banking (dollars in thousands) Traditional Banking Warehouse Lending Mortgage Banking Total Core Banking Republic Processing Group Total Company Net interest income $ $ $ $ $ $ Provision for loan and lease losses — ) ) Net refund transfer fees — — — — Mortgage banking income — — — Other non interest income Total non interest income Total non interest expenses Income (loss) before income tax expense ) Income tax expense (benefit) ) Net income (loss) $ $ $ ) $ $ $ Segment end of period assets $ $ $ $ $ $ Net interest margin % % NM % NM % Segment assets are reported as of the respective period ends while income and margin data are reported for the respective periods. NM — Not Meaningful

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	6 Months Ended
	Jun. 30, 2015
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Basis of Presentation	Basis of Presentation — The consolidated financial statements include the accounts of Republic Bancorp, Inc. (the “Parent Company”) and its wholly-owned subsidiaries, Republic Bank & Trust Company (“RB&T” or the “Bank”) and Republic Insurance Services, Inc. (the “Captive”). The Bank is a Kentucky-based, state chartered non-member financial institution. The Captive, which was formed during the third quarter of 2014, is a wholly-owned insurance subsidiary of the Company. The Captive provides property and casualty insurance coverage to the Company and the Bank as well as five other third-party insurance captives for which insurance may not be available or economically feasible. Republic Bancorp Capital Trust (“RBCT”) is a Delaware statutory business trust that is a wholly-owned unconsolidated finance subsidiary of Republic Bancorp, Inc. All companies are collectively referred to as “Republic” or the “Company.” All significant intercompany balances and transactions are eliminated in consolidation. The accompanying unaudited consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, the financial statements do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for fair presentation have been included. Operating results for the three and six months ended June 30, 2015 are not necessarily indicative of the results that may be expected for the year ending December 31, 2015. For further information, refer to the consolidated financial statements and footnotes thereto included in Republic’s Form 10-K for the year ended December 31, 2014. As of June 30, 2015, the Company was divided into four distinct business operating segments: Traditional Banking, Warehouse Lending (“Warehouse”), Mortgage Banking and Republic Processing Group (“RPG”). Management considers the first three segments to collectively constitute “Core Bank” or “Core Banking” activities. The Warehouse segment was reported as a division of the Traditional Banking segment prior to the fourth quarter of 2014, but realized the quantitative and qualitative nature of a segment by the end of 2014. All prior periods have been reclassified to conform to the current presentation.

INVESTMENT SECURITIES (Tables)

INVESTMENT SECURITIES (Tables)	6 Months Ended
	Jun. 30, 2015
INVESTMENT SECURITIES
Gross Amortized Cost and Fair Value of Securities Available for Sale and Related Gross Unrealized Gains and Losses Recognized in Accumulated Other Comprehensive Income (Loss)	Gross Gross Amortized Unrealized Unrealized Fair June 30, 2015 (in thousands) Cost Gains Losses Value U.S. Treasury securities and U.S. Government agencies $ $ $ ) $ Private label mortgage backed security — Mortgage backed securities - residential ) Collateralized mortgage obligations ) Freddie Mac preferred stock — — Mutual fund — Corporate bonds — Total securities available for sale $ $ $ ) $ Gross Gross Gross Amortized Unrealized Unrealized Fair December 31, 2014 (in thousands) Cost Gains Losses Value U.S. Treasury securities and U.S. Government agencies $ $ $ ) $ Private label mortgage backed security — Mortgage backed securities - residential ) Collateralized mortgage obligations ) Freddie Mac preferred stock — — Mutual fund — Corporate bonds — Total securities available for sale $ $ $ ) $
Carrying Value, Gross Unrecognized Gains and Losses, and Fair Value of Securities to be Held to Maturity	Gross Gross Carrying Unrecognized Unrecognized Fair June 30, 2015 (in thousands) Value Gains Losses Value U.S. Treasury securities and U.S. Government agencies $ $ $ ) $ Mortgage backed securities - residential — Collateralized mortgage obligations — Corporate bonds — ) Total securities held to maturity $ $ $ ) $ Gross Gross Carrying Unrecognized Unrecognized Fair December 31, 2014 (in thousands) Value Gains Losses Value U.S. Treasury securities and U.S. Government agencies $ $ $ ) $ Mortgage backed securities - residential — Collateralized mortgage obligations ) Corporate bonds — ) Total securities held to maturity $ $ $ ) $
Amortized Cost and Fair Value of Investment Securities Portfolio by Contractual Maturity	Securities Securities Available for Sale Held to Maturity Amortized Fair Carrying Fair June 30, 2015 (in thousands) Cost Value Value Value Due in one year or less $ $ $ $ Due from one year to five years Due from five years to ten years — — Due beyond ten years — — — — Private label mortgage backed security — — Mortgage backed securities - residential Collateralized mortgage obligations Freddie Mac preferred stock — — — Mutual fund — — Total securities $ $ $ $
Securities with Unrealized Losses, Aggregated by Investment Category with Continuous Unrealized Loss Position	Less than 12 months 12 months or more Total June 30, 2015 (in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Securities available for sale: U.S. Treasury securities and U.S. Government agencies $ $ ) $ $ ) $ $ ) Mortgage backed securities - residential ) — — ) Collateralized mortgage obligations ) ) ) Total securities available for sale $ $ ) $ $ ) $ $ ) Less than 12 months 12 months or more Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Securities held to maturity: U.S. Treasury securities and U.S. Government agencies $ $ ) $ — $ — $ $ ) Corporate bonds ) — — ) Total securities held to maturity $ $ ) $ — $ — $ $ ) Less than 12 months 12 months or more Total December 31, 2014 (in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Securities available for sale: U.S. Treasury securities and U.S. Government agencies $ $ ) $ — $ — $ $ ) Mortgage backed securities - residential ) — — ) Collateralized mortgage obligations ) ) ) Total securities available for sale $ $ ) $ $ ) $ $ ) Less than 12 months 12 months or more Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Securities held to maturity: U.S. Treasury securities and U.S. Government agencies $ $ ) $ — $ — $ $ ) Collateralized mortgage obligations ) — — ) Corporate bonds ) — — ) Total securities held to maturity $ $ ) $ — $ — $ $ )
Pledged Investment Securities	(in thousands) June 30, 2015 December 31, 2014 Carrying amount $ $ Fair value

LOANS AND ALLOWANCE FOR LOAN 24

LOANS AND ALLOWANCE FOR LOAN AND LEASE LOSSES (Tables)	6 Months Ended
	Jun. 30, 2015
LOANS AND ALLOWANCE FOR LOAN AND LEASE LOSSES
Schedule of composition of loan portfolio	(in thousands) June 30, 2015 December 31, 2014 Residential real estate: Owner occupied $ $ Owner occupied - correspondent* Non owner occupied Commercial real estate Commercial real estate - purchased whole loans* Construction & land development Commercial & industrial Lease financing receivables Warehouse lines of credit Home equity Consumer: RPG loans Credit cards Overdrafts Purchased whole loans* Other consumer Total loans** Allowance for loan and lease losses ) ) Total loans, net $ $ * - Identifies loans to borrowers located primarily outside of the Bank’s historical market footprint. ** - Total loans are presented inclusive of premiums, discounts and net loan origination fees and costs. See table directly below for expanded detail.
Schedule that reconciles the contractually required and carrying amounts of loans	(in thousands) June 30, 2015 December 31, 2014 Contractually receivable $ $ Unearned income(1) ) ) Unamortized premiums(2) Unaccreted discounts(3) ) ) Net unamortized deferred origination fees and costs Carrying value of loans $ $ (1) — Unearned income relates to lease financing receivables. (2) - Premiums predominately relate to loans acquired through the Bank’s Correspondent Lending channel. (3) - Discounts predominately relate to loans acquired in the Bank’s 2012 FDIC-assisted transactions.
Schedule of loans purchased by class	Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2015 2014 2015 2014 Residential real estate: Owner occupied - correspondent* $ $ $ $ Consumer: Purchased whole loans* — Total purchased loans $ $ $ $ * - Represents origination amount, inclusive of purchase premiums, where applicable.
Reconciliation of contractually-required and carrying amounts of PCI loans	(in thousands) June 30, 2015 December 31, 2014 Contractually-required principal $ $ Non-accretable amount ) ) Accretable amount ) ) Carrying value of PCI loans $ $
Rollforward of the accretable amount on PCI loans	Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2015 2014 2015 2014 Balance, beginning of period $ ) $ ) $ ) $ ) Transfers between non-accretable and accretable ) ) ) ) Net accretion into interest income on loans, including loan fees Balance, end of period $ ) $ ) $ ) $ )
Schedule of the risk category of loans by class of loans based on the bank's internal analysis performed	Purchased Purchased Credit Credit Impaired Impaired Total Special Doubtful / Loans - Loans - Rated June 30, 2015 (in thousands) Pass Mention * Substandard * Loss Group 1 Substandard Loans** Residential real estate: Owner occupied $ — $ $ $ — $ $ — $ Owner occupied - correspondent — — — — — — — Non owner occupied — — — Commercial real estate — — Commercial real estate - purchased whole loans — — — — — Construction & land development — — Commercial & industrial — — Lease financing receivables — — — — — Warehouse lines of credit — — — — — Home equity — — — — — Consumer: RPG loans — — — — — — — Credit cards — — — — — — — Overdrafts — — — — — — — Purchased whole loans — — — — — — — Other consumer — — — — Total $ $ $ $ — $ $ — $ * - At June 30, 2015, Special Mention and Substandard loans included $183,000 and $4 million, respectively, which were removed from PCI accounting in accordance with ASC 310-30-35-13 due to a post-acquisition troubled debt restructuring. ** - The above table excludes all non-classified residential real estate and consumer loans at the respective period ends. The table also excludes most non-classified small Commercial and Industrial (“C&I”) and Commercial Real Estate (“CRE”) relationships totaling $100,000 or less. These loans are not rated by the Company since they are accruing interest and are not past due 80-days-or-more. Purchased Purchased Credit Credit Impaired Impaired Total Special Doubtful / Loans - Loans - Rated December 31, 2014 (in thousands) Pass Mention * Substandard * Loss Group 1 Substandard Loans** Residential real estate: Owner occupied $ — $ $ $ — $ $ — $ Owner occupied - correspondent — — — — — — — Non owner occupied — — — Commercial real estate — — Commercial real estate - purchased whole loans — — — — — Construction & land development — — Commercial & industrial — — Lease financing receivables — — — — — Warehouse lines of credit — — — — — Home equity — — — — — Consumer: RPG loans — — — — — — — Credit cards — — — — — — — Overdrafts — — — — — — — Purchased whole loans — — — — — — — Other consumer — — — Total $ $ $ $ — $ $ — $ * - At December 31, 2014, Special Mention and Substandard loans included $443,000 and $6 million, respectively, which were removed from PCI accounting in accordance with ASC 310-30-35-13 due to a post-acquisition troubled debt restructuring. ** - The above table excludes all non-classified residential real estate and consumer loans at the respective period ends. The table also excludes most non-classified small C&I and CRE relationships totaling $100,000 or less. These loans are not rated by the Company since they are accruing interest and are not past due 80-days-or-more.
Schedule of activity in the Allowance	Three Months Ended Six Months Months Ended June 30, June 30, (in thousands) 2015 2014 2015 2014 Allowance, beginning of period $ $ $ $ Charge offs - Core Banking ) ) ) ) Charge offs - RPG ) — ) — Total charge offs ) ) ) ) Recoveries - Core Banking Recoveries - RPG Total recoveries Net (charge offs) recoveries - Core Banking ) ) ) ) Net (charge offs) recoveries - RPG Net (charge offs) recoveries ) ) ) ) Provision for loan and lease losses (“Provision”) - Core Banking Provision - RPG ) ) ) Total Provision ) Allowance, end of period $ $ $ $
Schedule of activity in the Allowance by portfolio class	Commercial Residential Real Estate Real Estate - Lease Three Months Ended Owner Owner Occupied- Non Owner Commercial Purchased Construction & Commercial & Financing June 30, 2015 (in thousands) Occupied Correspondent Occupied Real Estate Whole Loans Land Development Industrial Receivables Beginning balance $ $ $ $ $ $ $ $ Provision ) — Charge offs ) — ) ) — — ) — Recoveries — — — — Ending balance $ $ $ $ $ $ $ $ Warehouse Consumer Lines of Home RPG Credit Purchased Other (continued) Credit Equity Loans Cards Overdrafts Whole Loans Consumer Total Beginning balance $ $ $ $ $ $ $ $ Provision Charge offs — ) ) ) ) ) ) ) Recoveries — — Ending balance $ $ $ $ $ $ $ $ Commercial Residential Real Estate Real Estate - Lease Three Months Ended Owner Owner Occupied- Non Owner Commercial Purchased Construction & Commercial & Financing June 30, 2014 (in thousands) Occupied Correspondent Occupied Real Estate Whole Loans Land Development Industrial Receivables Beginning balance $ $ — $ $ $ $ $ $ — Provision ) ) — ) Charge offs ) — ) ) — ) ) — Recoveries — — — Ending balance $ $ $ $ $ $ $ $ Warehouse Consumer Lines of Home RPG Credit Purchased Other (continued) Credit Equity Loans Cards Overdrafts Whole Loans Consumer Total Beginning balance $ $ $ — $ $ $ — $ $ Provision ) — Charge offs — ) — ) ) — ) ) Recoveries — — Ending balance $ $ $ $ $ $ — $ $ Commercial Residential Real Estate Real Estate - Lease Six Months Ended Owner Owner Occupied- Non Owner Commercial Purchased Construction & Commercial & Financing June 30, 2015 (in thousands) Occupied Correspondent Occupied Real Estate Whole Loans Land Development Industrial Receivables Beginning balance $ $ $ $ $ $ $ $ Provision ) Charge offs ) — ) ) — — ) — Recoveries — — — — Ending balance $ $ $ $ $ $ $ $ Warehouse Consumer Lines of Home RPG Credit Purchased Other (continued) Credit Equity Loans Cards Overdrafts Whole Loans Consumer Total Beginning balance $ $ $ $ $ $ $ $ Provision ) ) Charge offs — ) ) ) ) ) ) ) Recoveries — — Ending balance $ $ $ $ $ $ $ $ Commercial Residential Real Estate Real Estate - Lease Six Months Ended Owner Owner Occupied- Non Owner Commercial Purchased Construction & Commercial & Financing June 30, 2014 (in thousands) Occupied Correspondent Occupied Real Estate Whole Loans Land Development Industrial Receivables Beginning balance $ $ — $ $ $ $ $ $ — Provision ) ) — ) Charge offs ) — ) ) — ) ) — Recoveries — — — Ending balance $ $ $ $ $ $ $ $ Warehouse Consumer Lines of Home RPG Credit Purchased Other (continued) Credit Equity Loans Cards Overdrafts Whole Loans Consumer Total Beginning balance $ $ $ — $ $ $ — $ $ Provision ) — ) Charge offs — ) — ) ) — ) ) Recoveries — — Ending balance $ $ $ $ $ $ — $ $
Schedule of non-performing loans and non-performing assets and select credit quality ratios	(dollars in thousands) June 30, 2015 December 31, 2014 Loans on non-accrual status(1) $ $ Loans past due 90-days-or-more and still on accrual(2) — Total non-performing loans Other real estate owned Total non-performing assets $ $ Credit Quality Ratios: Non-performing loans to total loans % % Non-performing assets to total loans (including OREO) % % Non-performing assets to total assets % % (1) Loans on non-accrual status include impaired loans. (2) All loans past due 90-days-or-more and still accruing are PCI loans accounted for under ASC 310-30.
Schedule of recorded investment in non-accrual loans and loans past due over 90-days-or-more and still on accrual by class of loans	Past Due 90-Days-or-More Non-Accrual and Still Accruing Interest* (dollars in thousands) June 30, 2015 December 31, 2014 June 30, 2015 December 31, 2014 Residential real estate: Owner occupied $ $ $ — $ Owner occupied - correspondent — — — — Non owner occupied — — Commercial real estate — — Commercial real estate - purchased whole loans — — — — Construction & land development — — Commercial & industrial — — Lease financing receivables — — — — Warehouse lines of credit — — — — Home equity — — Consumer: RPG loans — — — — Credit cards — — — — Overdrafts — — — — Purchased whole loans — — — — Other consumer — — Total $ $ $ — $ * - For all periods presented, loans past due 90-days-or-more and still on accrual consist entirely of PCI loans.
Schedule of recorded investment in loans	30 - 59 60 - 89 90 or More June 30, 2015 Days Days Days Total Total Not (dollars in thousands) Delinquent Delinquent Delinquent* Delinquent Delinquent Total Residential real estate: Owner occupied $ $ $ $ $ $ Owner occupied - correspondent — — — — Non owner occupied — — — — Commercial real estate — Commercial real estate - purchased whole loans — — — — Construction & land development — — Commercial & industrial — — — — Lease financing receivables — — — — Warehouse lines of credit — — — — Home equity Consumer: RPG loans — Credit cards — Overdrafts — — Purchased whole loans — Other consumer — Total $ $ $ $ $ $ Delinquency ratio** % % % % 30 - 59 60 - 89 90 or More December 31, 2014 Days Days Days Total Total Not (dollars in thousands) Delinquent Delinquent Delinquent* Delinquent Delinquent Total Residential real estate: Owner occupied $ $ $ $ $ $ Owner occupied - correspondent — — — — Non owner occupied Commercial real estate — Commercial real estate - purchased whole loans — — — — Construction & land development — — Commercial & industrial — — Lease financing receivables — — — — Warehouse lines of credit — — — — Home equity Consumer: RPG loans — Credit cards — Overdrafts — — Purchased whole loans — — Other consumer — Total $ $ $ $ $ $ Delinquency ratio** % % % % * - All loans, excluding PCI loans, 90-days-or-more past due as of June 30, 2015 and December 31, 2014 were on non-accrual status. ** - Represents total loans past due by aging category divided by total loans.
Schedule of Bank's impaired loans	(in thousands) June 30, 2015 December 31, 2014 Loans with no allocated allowance for loan losses $ $ Loans with allocated allowance for loan losses Total impaired loans $ $ Amount of the allowance for loan losses allocated $ $
Schedule of balance in the Allowance and the recorded investment in loans by portfolio class based on impairment method	Commercial Residential Real Estate Real Estate - Lease Owner Owner Occupied - Non Owner Commercial Purchased Construction & Commercial & Financing June 30, 2015 (in thousands) Occupied Correspondent Occupied Real Estate Whole Loans Land Development Industrial Receivables Allowance: Ending Allowance balance: Individually evaluated for impairment, excluding PCI loans $ $ — $ $ $ — $ $ $ — Collectively evaluated for impairment PCI loans with post acquisition impairment — — — — PCI loans without post acquisition impairment — — — — — — — — Total ending Allowance: $ $ $ $ $ $ $ $ Loans: Impaired loans individually evaluated, excluding PCI loans $ $ — $ $ $ — $ $ $ — Loans collectively evaluated for impairment PCI loans with post acquisition impairment — — — — PCI loans without post acquisition impairment — — — Total ending loan balance $ $ $ $ $ $ $ $ Warehouse Consumer Lines of Home RPG Credit Purchased Other (continued) Credit Equity Loans Cards Overdrafts Whole Loans Consumer Total Allowance: Ending Allowance balance: Individually evaluated for impairment, excluding PCI loans $ — $ $ — $ — $ — $ — $ $ Collectively evaluated for impairment PCI loans with post acquisition impairment — — — — — — — PCI loans without post acquisition impairment — — — — — — — — Total ending Allowance: $ $ $ $ $ $ $ $ Loans: Impaired loans individually evaluated, excluding PCI loans $ — $ $ — $ — $ — $ — $ $ Loans collectively evaluated for impairment PCI loans with post acquisition impairment — — — — — — — PCI loans without post acquisition impairment — — — — — — Total ending loan balance $ $ $ $ $ $ $ $ Commercial Residential Real Estate Real Estate - Lease Owner Owner Occupied - Non Owner Commercial Purchased Construction & Commercial & Financing December 31, 2014 (in thousands) Occupied Correspondent Occupied Real Estate Whole Loans Land Development Industrial Receivables Allowance: Ending Allowance balance: Individually evaluated for impairment, excluding PCI loans $ $ — $ $ $ — $ $ $ — Collectively evaluated for impairment PCI loans with post acquisition impairment — — — — PCI loans without post acquisition impairment — — — — — — — — Total ending Allowance: $ $ $ $ $ $ $ $ Loans: Impaired loans individually evaluated, excluding PCI loans $ $ — $ $ $ — $ $ $ — Loans collectively evaluated for impairment PCI loans with post acquisition impairment — — — — PCI loans without post acquisition impairment — — — Total ending loan balance $ $ $ $ $ $ $ $ Warehouse Consumer Lines of Home RPG Credit Purchased Other (continued) Credit Equity Loans Cards Overdrafts Whole Loans Consumer Total Allowance: Ending Allowance balance: Individually evaluated for impairment, excluding PCI loans $ — $ $ — $ — $ — $ — $ $ Collectively evaluated for impairment PCI loans with post acquisition impairment — — — — — — PCI loans without post acquisition impairment — — — — — — — — Total ending Allowance: $ $ $ $ $ $ $ $ Loans: Impaired loans individually evaluated, excluding PCI loans $ — $ $ — $ — $ — $ — $ $ Loans collectively evaluated for impairment PCI loans with post acquisition impairment — — — — — — PCI loans without post acquisition impairment — — — — — — Total ending loan balance $ $ $ $ $ $ $ $
Schedule of loans individually evaluated for impairment by class of loans	As of Three Months Ended Six Months Ended June 30, 2015 June 30, 2015 June 30, 2015 Cash Basis Cash Basis Unpaid Average Interest Interest Average Interest Interest Principal Recorded Allowance Recorded Income Income Recorded Income Income (in thousands) Balance Investment Allocated Investment Recognized Recognized Investment Recognized Recognized Impaired loans with no related allowance recorded: Residential real estate: Owner occupied $ $ $ — $ $ $ — $ $ $ — Owner occupied - correspondent — — — — — — — — — Non owner occupied — — — Commercial real estate — — — Commercial real estate - purchased whole loans — — — — — — — — — Construction & land development — — — Commercial & industrial — — — Lease financing receivables — — — — — — — — — Warehouse lines of credit — — — — — — — — — Home equity — — — Consumer: RPG loans — — — — — — — — — Credit cards — — — — — — — — — Overdrafts — — — — — — — — — Purchased whole loans — — — — — — — — — Other consumer — — — Impaired loans with an allowance recorded: Residential real estate: Owner occupied — — Owner occupied - correspondent — — — — — — — — — Non owner occupied — — Commercial real estate — — Commercial real estate - purchased whole loans — — — — — — — — — Construction & land development — — Commercial & industrial — — Lease financing receivables — — — — — — — — — Warehouse lines of credit — — — — — — — — — Home equity — — Consumer: RPG loans — — — — — — — — — Credit cards — — — — — — — — — Overdrafts — — — — — — — — — Purchased whole loans — — — — — — — — — Other consumer — — — — Total impaired loans $ $ $ $ $ $ — $ $ $ — As of Three Months Ended Six Months Ended December 31, 2014 June 30, 2014 June 30, 2014 Cash Basis Cash Basis Unpaid Average Interest Interest Average Interest Interest Principal Recorded Allowance Recorded Income Income Recorded Income Income (in thousands) Balance Investment Allocated Investment Recognized Recognized Investment Recognized Recognized Impaired loans with no related allowance recorded: Residential real estate: Owner occupied $ $ $ — $ $ $ — $ $ $ — Owner occupied - correspondent — — — — — — — — — Non owner occupied — — — Commercial real estate — — — Commercial real estate - purchased whole loans — — — — — — — — — Construction & land development — — — Commercial & industrial — — — Lease financing receivables — — — — — — — — — Warehouse lines of credit — — — — — — — — — Home equity — — — Consumer: RPG loans — — — — — — — — — Credit cards — — — — — — — — — Overdrafts — — — — — — — — — Purchased whole loans — — — — — — — — — Other consumer — — — — — — — — Impaired loans with an allowance recorded: Residential real estate: Owner occupied — — Owner occupied - correspondent — — — — — — — — — Non owner occupied — — Commercial real estate — — Commercial real estate - purchased whole loans — — — — — — — — — Construction & land development — — Commercial & industrial — — Lease financing receivables — — — — — — — — — Warehouse lines of credit — — — — — — — — — Home equity — — — — Consumer: RPG loans — — — — — — — — — Credit cards — — — — — — — — — Overdrafts — — — — — — — — — Purchased whole loans — — — — — — — — — Other consumer — — — Total impaired loans $ $ $ $ $ $ — $ $ $ —
Schedule of TDRs differentiated by loan type and accrual status	Troubled Debt Troubled Debt Total Restructurings on Restructurings on Troubled Debt Non-Accrual Status Accrual Status Restructurings Number of Recorded Number of Recorded Number of Recorded June 30, 2015 (dollars in thousands) Loans Investment Loans Investment Loans Investment Residential real estate $ $ $ Commercial real estate Construction & land development Commercial & industrial Total troubled debt restructurings $ $ $ Troubled Debt Troubled Debt Total Restructurings on Restructurings on Troubled Debt Non-Accrual Status Accrual Status Restructurings Number of Recorded Number of Recorded Number of Recorded December 31, 2014 (dollars in thousands) Loans Investment Loans Investment Loans Investment Residential real estate $ $ $ Commercial real estate Construction & land development Commercial & industrial — — Total troubled debt restructurings $ $ $
Schedule of categories of TDR loan modifications outstanding and respective performance under modified terms	Troubled Debt Troubled Debt Restructurings Restructurings Total Performing to Not Performing to Troubled Debt Modified Terms Modified Terms Restructurings Number of Recorded Number of Recorded Number of Recorded June 30, 2015 (dollars in thousands) Loans Investment Loans Investment Loans Investment Residential real estate loans (including home equity loans): Interest only payments $ $ $ Rate reduction Principal deferral Legal modifications Total residential TDRs Commercial related and construction/land development loans: Interest only payments Rate reduction Principal deferral Total commercial TDRs Total troubled debt restructurings $ $ $ Troubled Debt Troubled Debt Restructurings Restructurings Total Performing to Not Performing to Troubled Debt Modified Terms Modified Terms Restructurings Number of Recorded Number of Recorded Number of Recorded December 31, 2014 (dollars in thousands) Loans Investment Loans Investment Loans Investment Residential real estate loans (including home equity loans): Interest only payments $ $ $ Rate reduction Principal deferral Legal modifications Total residential TDRs Commercial related and construction/land development loans: Interest only payments Rate reduction Principal deferral Total commercial TDRs Total troubled debt restructurings $ $ $
Summary of categories of TDR loan modifications that occurred during the period	A summary of the categories of TDR loan modifications and respective performance as of June 30, 2015 and 2014 that were modified during the three months ended June 30, 2015 and 2014 follows: Troubled Debt Troubled Debt Restructurings Restructurings Total Performing to Not Performing to Troubled Debt Modified Terms Modified Terms Restructurings Number of Recorded Number of Recorded Number of Recorded June 30, 2015 (dollars in thousands) Loans Investment Loans Investment Loans Investment Residential real estate loans (including home equity loans): Rate reduction — $ — $ $ Principal deferral — — Legal modifications — — Total residential TDRs — — Commercial related and construction/land development loans: Interest only payments — — Rate reduction Principal deferral Total commercial TDRs Total troubled debt restructurings $ $ $ Troubled Debt Troubled Debt Restructurings Restructurings Total Performing to Not Performing to Troubled Debt Modified Terms Modified Terms Restructurings Number of Recorded Number of Recorded Number of Recorded June 30, 2014 (dollars in thousands) Loans Investment Loans Investment Loans Investment Residential real estate loans (including home equity loans): Rate reduction $ $ $ Principal deferral Legal modifications Total residential TDRs Commercial related and construction/land development loans: Interest only payments — — Total commercial TDRs — — Total troubled debt restructurings $ $ $ A summary of the categories of TDR loan modifications and respective performance as of June 30, 2015 and 2014 that were modified during the six months ended June 30, 2015 and 2014 follows: Troubled Debt Troubled Debt Restructurings Restructurings Total Performing to Not Performing to Troubled Debt Modified Terms Modified Terms Restructurings Number of Recorded Number of Recorded Number of Recorded June 30, 2015 (dollars in thousands) Loans Investment Loans Investment Loans Investment Residential real estate loans (including home equity loans): Interest only payments $ — $ — $ Rate reduction Principal deferral — — Legal modifications — — Total residential TDRs Commercial related and construction/land development loans: Interest only payments — — Rate reduction Principal deferral Total commercial TDRs Total troubled debt restructurings $ $ $ Troubled Debt Troubled Debt Restructurings Restructurings Total Performing to Not Performing to Troubled Debt Modified Terms Modified Terms Restructurings Number of Recorded Number of Recorded Number of Recorded June 30, 2014 (dollars in thousands) Loans Investment Loans Investment Loans Investment Residential real estate loans (including home equity loans): Rate reduction $ $ $ Principal deferral Legal modifications Total residential TDRs Commercial related and construction/land development loans: Interest only payments — — Rate reduction — — Principal deferral — — Total commercial TDRs — — Total troubled debt restructurings $ $ $
Schedule of loans by class modified as troubled debt restructurings within the previous twelve months for which there was a payment default	Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Number of Recorded Number of Recorded Number of Recorded Number of Recorded (dollars in thousands) Loans Investment Loans Investment Loans Investment Loans Investment Residential real estate: Owner occupied $ $ $ $ Owner occupied - correspondent — — — — — — — — Non owner occupied — — — — — — — — Commercial real estate — — — — Commercial real estate - purchased whole loans — — — — — — — — Construction & land development — — — — — — Commercial & industrial — — — — — — — — Lease financing receivables — — — — — — — — Warehouse lines of credit — — — — — — Home equity — — — — — — — — Consumer: RPG loans — — — — — — — — Credit cards — — — — — — — — Overdrafts — — — — — — — — Purchased whole loans — — — — — — — — Other consumer — — — — — — — — Total $ $ $ $
Schedule of carrying amount of foreclosed properties held	(in thousands) June 30, 2015 December 31, 2014 Residential real estate $ $ Commercial real estate Construction & land development Total other real estate owned $ $
Schedule of recorded investment in consumer mortgage loans secured by residential real estate properties	(in thousands) June 30, 2015 December 31, 2014 Recorded investment in consumer residential real estate mortgage loans in the process of foreclosure $ $

DEPOSITS (Tables)

DEPOSITS (Tables)	6 Months Ended
	Jun. 30, 2015
DEPOSITS
Ending Deposit Balances	(in thousands) June 30, 2015 December 31, 2014 Demand $ $ Money market accounts Brokered money market accounts Savings Individual retirement accounts* Time deposits, $250,000 and over* Other certificates of deposit* Brokered certificates of deposit*(1) Total interest-bearing deposits Total non interest-bearing deposits Total deposits $ $ (*) – Represents a time deposit. (1) – Includes brokered deposits less than, equal to and greater than $250,000.

FEDERAL HOME LOAN BANK ("FHLB26

FEDERAL HOME LOAN BANK ("FHLB") ADVANCES (Tables)	6 Months Ended
	Jun. 30, 2015
FEDERAL HOME LOAN BANK ADVANCES
Federal Home Loan Bank Advances	(dollars in thousands) June 30, 2015 December 31, 2014 Overnight advance with an interest rate of 0.15% due on July 1, 2015 $ $ Variable interest rate advance indexed to 3-Month LIBOR plus 0.14% due on December 19, 2015 Fixed interest rate advances with a weighted average interest rate of 1.68% due through 2023 Putable fixed interest rate advances with a weighted average interest rate of 4.39% due through 2017(1) Total FHLB advances $ $ (1) - Represents putable advances with the FHLB. These advances have original fixed rate periods ranging from one to five years with original maturities ranging from three to ten years if not put back to the Bank earlier by the FHLB. At the end of their respective fixed rate periods and on a quarterly basis thereafter, the FHLB has the right to require payoff of the advances by the Bank at no penalty. Based on market conditions at this time, the Bank does not believe that any of its putable advances are likely to be “put back” to the Bank in the short-term by the FHLB.
Aggregate Future Principal Payments on FHLB Advances	Weighted Average Year (dollars in thousands) Principal Rate 2015 (Overnight) $ % 2015 % 2016 % 2017 % 2018 % 2019 % 2020 % Thereafter % Total $ %
Information Regarding Short Term Overnight FHLB Advances	(dollars in thousands) June 30, 2015 December 31, 2014 Outstanding balance at end of period $ $ Weighted average interest rate at end of period % % Three Months Ended Six Months Ended June 30, June 30, (dollars in thousands) 2015 2014 2015 2014 Average outstanding balance during the period $ $ $ $ Average interest rate during the period % % % % Maximum outstanding at any month end during the period $ $ $ $
Investment Securities Pledged	(in thousands) June 30, 2015 December 31, 2014 First lien, single family residential real estate $ $ Home equity lines of credit Multi-family commercial real estate

FAIR VALUE (Tables)

FAIR VALUE (Tables)	6 Months Ended
	Jun. 30, 2015
Fair Value Disclosures
Assets and Liabilities Measured at Fair Value on Recurring Basis	Fair Value Measurements at June 30, 2015 Using: Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Total Assets Inputs Inputs Fair (in thousands) (Level 1) (Level 2) (Level 3) Value Financial assets: Securities available for sale: U.S. Treasury securities and U.S. Government agencies $ — $ $ — $ Private label mortgage backed security — — Mortgage backed securities - residential — — Collateralized mortgage obligations — — Freddie Mac preferred stock — — Mutual fund — — Corporate bonds — — Total securities available for sale $ $ $ $ Mortgage loans held for sale $ — $ $ — $ Rate lock commitments — — Financial liabilities: Mandatory forward contracts — — Interest rate swap agreements — — Fair Value Measurements at December 31, 2014 Using: Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Total Assets Inputs Inputs Fair (in thousands) (Level 1) (Level 2) (Level 3) Value Financial assets: Securities available for sale: U.S. Treasury securities and U.S. Government agencies $ — $ $ — $ Private label mortgage backed security — — Mortgage backed securities - residential — — Collateralized mortgage obligations — — Freddie Mac preferred stock — — Mutual fund — — Corporate bonds — — Total securities available for sale $ $ $ $ Mortgage loans held for sale $ — $ $ — $ Rate lock commitments — — Financial liabilities: Mandatory forward contracts — — Interest rate swap agreements — —
Reconciliation of the Bank's Private Label Mortgage Backed Security Measured at Fair Value on Recurring Basis	Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2015 2014 2015 2014 Balance, beginning of period $ $ $ $ Total gains or losses included in earnings: Net change in unrealized gain ) ) Recovery of actual losses previously recorded — Principal paydowns — ) ) ) Balance, end of period $ $ $ $
Schedule of aggregate fair value, contractual balance and gain	(in thousands) June 30, 2015 December 31, 2014 Aggregate fair value $ $ Contractual balance Gain
Schedule of gains and losses from changes in fair value included in earnings	Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2015 2014 2015 2014 Interest income $ $ $ $ Change in fair value ) Total included in earnings $ ) $ $ $
Assets Measured at Fair Value on a Non-Recurring Basis	Fair Value Measurements at June 30, 2015 Using: Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Total Assets Inputs Inputs Fair (in thousands) (Level 1) (Level 2) (Level 3) Value Impaired loans: Residential real estate: Owner occupied $ — $ — $ $ Non owner occupied — — Commercial real estate — — Home equity — — Total impaired loans* $ — $ — $ $ Other real estate owned: Residential real estate $ — $ — $ $ Commercial real estate — — Total other real estate owned $ — $ — $ $ Premises, held for sale $ — $ — $ $ Fair Value Measurements at December 31, 2014 Using: Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Total Assets Inputs Inputs Fair (in thousands) (Level 1) (Level 2) (Level 3) Value Impaired loans: Residential real estate: Owner occupied $ — $ — $ $ Non owner occupied — — Commercial real estate — — Home equity — — Total impaired loans* $ — $ — $ $ Other real estate owned: Residential real estate $ — $ — $ $ Commercial real estate — — Construction & land development — — Total other real estate owned $ — $ — $ $ Premises, held for sale $ — $ — $ $ * - The impaired loan balances in the above two tables exclude TDRs which are not collateral dependent. The difference between the carrying value and the fair value of impaired loans measured at fair value is reconciled in a subsequent table of this Footnote 6 and represents estimated selling costs to liquidate the underlying collateral on such debt.
Impaired loans measured for impairment using the fair value of the collateral	(in thousands) June 30, 2015 December 31, 2014 Carrying amount of loans measured at fair value $ $ Estimated selling costs considered in carrying amount Total fair value $ $
Other Real Estate Owned	(in thousands) June 30, 2015 December 31, 2014 Other real estate carried at fair value $ $ Other real estate carried at cost Total carrying value of other real estate owned $ $ Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2015 2014 2015 2014 Other real estate owned write-downs during the period $ $ $ $
Carrying Amount and Estimated Fair Values of Financial Instruments	Fair Value Measurements at June 30, 2015: Total Carrying Fair (in thousands) Value Level 1 Level 2 Level 3 Value Assets: Cash and cash equivalents $ $ $ — $ — $ Securities available for sale Securities be held to maturity — — Mortgage loans held for sale, at fair value — — Other loans held for sale, at the lower of cost or fair value — — Loans, net of Allowance — — Federal Home Loan Bank stock — — — NA Accrued interest receivable — — Other assets — — Liabilities: Non interest-bearing deposits — — Transaction deposits — — Time deposits — — Securities sold under agreements to repurchase and other short-term borrowings — — Federal Home Loan Bank advances — — Subordinated note — — Accrued interest payable — — Other liabilities — — NA - Not applicable Fair Value Measurements at December 31, 2014: Total Carrying Fair (in thousands) Value Level 1 Level 2 Level 3 Value Assets: Cash and cash equivalents $ $ $ — $ — $ Securities available for sale Securities be held to maturity — — Mortgage loans held for sale, at fair value — — Loans, net of Allowance — — Federal Home Loan Bank stock — — — NA Accrued interest receivable — — Other assets — — Liabilities: Non interest-bearing deposits — — Transaction deposits — — Time deposits — — Securities sold under agreements to repurchase and other short-term borrowings — — Federal Home Loan Bank advances — — Subordinated note — — Accrued interest payable — — Other liabilities — — NA - Not applicable
Recurring basis
Fair Value Disclosures
Fair value inputs quantitative information	Fair Valuation June 30, 2015 (dollars in thousands) Value Technique Unobservable Inputs Range Private label mortgage backed security $ Discounted cash flow (1) Constant prepayment rate (4.0)% - 6.5% (2) Probability of default 3.0% - 13.0% (2) Loss severity 60% - 90% Fair Valuation December 31, 2014 (dollars in thousands) Value Technique Unobservable Inputs Range Private label mortgage backed security $ Discounted cash flow (1) Constant prepayment rate 0.5% - 6.5% (2) Probability of default 3.0% - 6.2% (2) Loss severity 60% - 75%
Nonrecurring basis
Fair Value Disclosures
Fair value inputs quantitative information	Range Fair Valuation Unobservable (Weighted June 30, 2015 (dollars in thousands) Value Technique Inputs Average) Impaired loans - residential real estate owner occupied $ Sales comparison approach Adjustments determined for differences between comparable sales 0% - 38% (10%) Impaired loans - residential real estate non owner occupied $ Sales comparison approach Adjustments determined for differences between comparable sales 0% - 33% (14%) Impaired loans - commercial real estate $ Sales comparison approach Adjustments determined for differences between comparable sales 0% - 22 (4%) $ Income approach Adjustments for differences between net operating income expectations 42% (42%) Impaired loans - home equity $ Sales comparison approach Adjustments determined for differences between comparable sales 2% - 37% (19%) Other real estate owned - residential real estate $ Sales comparison approach Adjustments determined for differences between comparable sales 10% - 80% (14%) Other real estate owned - commercial real estate $ Sales comparison approach Adjustments determined for differences between comparable sales 33% (33%) Premises, held for sale $ Sales comparison approach Adjustments determined for differences between comparable sales 5% (5%) Range Fair Valuation Unobservable (Weighted December 31, 2014 (dollars in thousands) Value Technique Inputs Average) Impaired loans - residential real estate owner occupied $ Sales comparison approach Adjustments determined for differences between comparable sales 0% - 33% (7%) Impaired loans - residential real estate non owner occupied $ Sales comparison approach Adjustments determined for differences between comparable sales 0% - 33% (18%) Impaired loans - commercial real estate $ Sales comparison approach Adjustments determined for differences between comparable sales 0% - 9% (2%) $ Income approach Adjustments for differences between net operating income expectations 3%-37% (22%) Impaired loans - home equity $ Sales comparison approach Adjustments determined for differences between comparable sales 0% - 35% (12%) Other real estate owned - residential real estate $ Sales comparison approach Adjustments determined for differences between comparable sales 9% - 23% (19%) Other real estate owned - commercial real estate $ Sales comparison approach Adjustments determined for differences between comparable sales 11% - 14% (13%) $ Income approach Adjustments for differences between net operating income expectations 19% (19%) Other real estate owned - construction & land development $ Sales comparison approach Adjustments determined for differences between comparable sales 13% - 70% (38%) $ Income approach Adjustments for differences between net operating income expectations 8% - 9% (8%) Premises, held for sale $ Sales comparison approach Adjustments determined for differences between comparable sales 1% (1%)

MORTGAGE BANKING ACTIVITIES (Ta

MORTGAGE BANKING ACTIVITIES (Tables)	6 Months Ended
	Jun. 30, 2015
MORTGAGE BANKING ACTIVITIES
Activity for Mortgage Loans Held for Sale	Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2015 2014 2015 2014 Balance, beginning of period $ $ $ $ Origination of mortgage loans held for sale Proceeds from the sale of mortgage loans held for sale ) ) ) ) Net gain on sale of mortgage loans held for sale Balance, end of period $ $ $ $
Components of Mortgage Banking Income	Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2015 2014 2015 2014 Net gain realized on sale of mortgage loans held for sale $ $ $ $ Net change in fair value recognized on loans held for sale ) Net change in fair value recognized on rate lock commitments ) Net change in fair value recognized on forward contracts ) ) Net gain recognized Loan servicing income Amortization of mortgage servicing rights ) ) ) ) Net servicing income recognized Total Mortgage Banking income $ $ $ $
Activity for capitalized mortgage servicing rights	Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2015 2014 2015 2014 Balance, beginning of period $ $ $ $ Additions Amortized to expense ) ) ) ) Balance, end of period $ $ $ $
Mortgage Servicing Rights	(dollars in thousands) June 30, 2015 December 31, 2014 Fair value of mortgage servicing rights portfolio $ $ Monthly prepayment rate of unpaid principal balance* 105% - 462 % 95% - 462 % Discount rate % % Weighted average default rate % % Weighted average life in years * - Rates are applied to individual tranches with similar characteristics.
Schedule of notional amounts and fair values of mortgage banking derivatives	Notional Amount Fair Value Notional Amount Fair Value (in thousands) June 30, 2015 December 31, 2014 Included in Mortgage loans held for sale: Mortgage loans held for sale $ $ $ $ Included in other assets: Rate lock loan commitments $ $ $ $ Included in other liabilities: Mandatory forward contracts $ $ $ $

INTEREST RATE SWAPS (Tables)

INTEREST RATE SWAPS (Tables)	6 Months Ended
	Jun. 30, 2015
INTEREST RATE SWAPS
Summary of swaps designated as cash flow hedges	June 30, 2015 December 31, 2014 (in thousands) Notional Amount Pay Rate Receive Rate Term Assets/(Liabilities) Unrealized Gain (Loss) in Accumulated OCI Assets/(Liabilities) Unrealized Gain (Loss) in Accumulated OCI Interest rate swap on money market deposits $ % 1-month LIBOR Dec. 2013 - Dec. 2020 $ ) $ ) $ ) $ ) Interest rate swap on FHLB advance % 3-month LIBOR Dec. 2013 - Dec. 2020 ) ) ) ) $ $ ) $ ) $ ) $ )
Schedule of interest expense recorded on swap transactions in the consolidated statements of income	Three Months Ended Six Months Ended June, June, (in thousands) 2015 2014 2015 2014 Interest rate swap on money market deposits $ $ $ $ Interest rate swap on FHLB advance Total interest expense on swap transactions $ $ $ $
Summary of net gains recorded in accumulated OCI and the consolidated statements of income relating to the swaps	Three Months Ended Six Months Ended June, June, (in thousands) 2015 2014 2015 2014 Gains (losses) recognized in OCI on derivative (Effective Portion) $ $ ) $ ) $ ) Losses reclassified from OCI on derivative (Effective Portion) $ ) $ ) $ ) $ ) Gains (losses) recognized in income on derivative (Ineffective Portion) $ — $ — $ — $ —
Summary of interest rate swaps related to clients	Notional Amount Fair Value Notional Amount Fair Value (in thousands) Bank Position June 30, 2015 December 31, 2014 Interest rate swaps with Bank clients Pay variable/receive fixed $ $ ) $ — $ — Offsetting interest rate swaps with counterparty Pay fixed/receive variable — — Total $ $ — $ — $ —

OFF BALANCE SHEET RISKS, COMM30

OFF BALANCE SHEET RISKS, COMMITMENTS AND CONTINGENT LIABILITIES (Tables)	6 Months Ended
	Jun. 30, 2015
OFF BALANCE SHEET RISKS, COMMITMENTS AND CONTINGENT LIABILITIES
Bank Commitment Exclusive of Mortgage Bank Loan Commitments	(in thousands) June 30, 2015 December 31, 2014 Unused warehouse lines of credit $ $ Unused home equity lines of credit Unused loan commitments - other Commitments to purchase loans (1) Standby letters of credit FHLB letters of credit — Total commitments $ $ (1) - Commitments made through the Bank’s Correspondent Lending channel.

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)	6 Months Ended
	Jun. 30, 2015
EARNINGS PER SHARE
Earning Per Share and Diluted	Three Months Ended Six Months Ended June 30, June 30, (in thousands, except per share data) 2015 2014 2015 2014 Net income $ $ $ $ Weighted average shares outstanding Effect of dilutive securities Average shares outstanding including dilutive securities Basic earnings per share: Class A Common Stock $ $ $ $ Class B Common Stock $ $ $ $ Diluted earnings per share: Class A Common Stock $ $ $ $ Class B Common Stock $ $ $ $
Stock Option	Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Antidilutive stock options Average antidilutive stock options

STOCK PLANS AND STOCK BASED C32

STOCK PLANS AND STOCK BASED COMPENSATION (Tables)	6 Months Ended
	Jun. 30, 2015
STOCK PLANS AND STOCK BASED COMPENSATION
Summary of stock option activity	Weighted Weighted Average Options Average Remaining Aggregate Class A Exercise Contractual Intrinsic Shares Price Term Value Outstanding, January 1, 2014 $ Granted Exercised ) Forfeited or expired ) Outstanding, December 31, 2014 $ $ Granted Exercised ) Forfeited or expired — — Outstanding, June 30, 2015 $ $ Fully vested and expected to vest $ $ Exercisable (vested) at June 30, 2015 $ $
Schedule of intrinsic value and cash received from options exercised and weighted average fair value of options granted	Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2015 2014 2015 2014 Intrinsic value of options exercised $ — $ $ $ Cash received from options exercised, net of shares redeemed — Total fair value of options granted — —
Summary of activity for non-vested restricted stock awards	Restricted Stock Awards Weighted-average grant date fair value per share Outstanding, January 1, 2014 $ Granted — Forfeited or expired ) Earned and issued ) Outstanding, December 31, 2014 Granted Forfeited or expired — — Earned and issued — — Outstanding, June 30, 2015 $
Schedule of expenses recorded related to stock options	Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2015 2014 2015 2014 Stock option expense (credit) $ $ ) $ $ Restricted stock award expense $ $ $ $
Schedule of estimated unrecognized stock option and restricted stock award expense related to unvested options and awards (net of estimated forfeitures)	(in thousands) Restricted Stock Awards Options Total 2015 $ $ $ 2016 2017 2018 2019 2020 and after Total $ $ $

SECURITIES SOLD UNDER AGREEME33

SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE (Tables)	6 Months Ended
	Jun. 30, 2015
SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE
Schedule of securities sold under agreements to repurchase	(dollars in thousands) June 30, 2015 December 31, 2014 Outstanding balance at end of period for overninght repurchase agreements accounted for as secured borrowings $ $ Weighted average interest rate at end of period % % Fair value of securities pledged as collateral U.S. Treasury securities and U.S. Government agencies $ $ Mortgage backed securities - residential Collateralized mortgage obligations Total securities pledged $ $ Three Months Ended Six Months Ended June 30, June 30, (dollars in thousands) 2015 2014 2015 2014 Average outstanding balance during the period $ $ $ $ Average interest rate during the period % % % % Maximum outstanding at any month end during the period $ $ $ $

OTHER COMPREHENSIVE INCOME (Tab

OTHER COMPREHENSIVE INCOME (Tables)	6 Months Ended
	Jun. 30, 2015
OTHER COMPREHENSIVE INCOME
Summary of OCI components and related tax effects	Three Months Ended Six Months Ended June 30, June 30, (in thousands) 2015 2014 2015 2014 Available for Sale Securities: Change in unrealized gain (loss) on securities available for sale $ ) $ $ $ Reclassification adjustment for gain on security available for sale recognized in earnings ) — ) — Change in unrealized gain on security available for sale for which a portion of an other-than-temporary impairment has been recognized in earnings ) ) Net unrealized gains (losses) ) Tax effect ) ) ) Net of tax ) Cash Flow Hedges: Change in fair value of derivatives used for cash flow hedges ) ) ) Reclassification amount for derivative losses realized in income Net unrealized gains (losses) ) ) ) Tax effect ) Net of tax ) ) ) Total OCI components, net of tax $ ) $ $ $
Summary of amounts reclassified out of each component of OCI	Amounts Reclassified From Accumulated Other Comprehensive Income Three Months Ended Six Months Ended Affected Line Items in the Consolidated June 30, June 30, (in thousands) Statements of Income 2015 2014 2015 2014 Available for Sale Securities: Reclassification adjustment for gain on security available for sale recognized in earnings Gain on call of security available for sale $ $ — $ $ — Tax effect Income tax expense ) — ) — Net of tax Net income — — Cash Flow Hedges: Interest rate swap on money market deposits Interest expense on deposits ) ) ) ) Interest rate swap on FHLB advance Interest expense on FHLB advances ) ) ) ) Total cash flow hedges Total interest expense ) ) ) ) Tax effect Income tax expense Net of tax Net income ) ) ) ) Net of tax, total all reclassifications Net income $ ) $ ) $ ) $ )
Summary of the accumulated OCI balances, net of tax	(in thousands) Dec. 31, 2014 2015 Change June 30, 2015 Unrealized gain on securities available for sale $ $ $ Unrealized gain on security available for sale for which a portion of an other-than-temporary impairment has been recognized in earnings ) Unrealized loss on cash flow hedge ) ) ) Total unrealized gain $ $ $ (in thousands) Dec. 31, 2013 2014 Change June 30, 2014 Unrealized gain on securities available for sale $ $ $ Unrealized gain on security available for sale for which a portion of an other-than-temporary impairment has been recognized in earnings Unrealized gain (loss) on cash flow hedge ) ) Total unrealized gain $ $ $

SEGMENT INFORMATION (Tables)

SEGMENT INFORMATION (Tables)	6 Months Ended
	Jun. 30, 2015
SEGMENT INFORMATION
Segment Information	Three Months Ended June 30, 2015 Core Banking (dollars in thousands) Traditional Banking Warehouse Lending Mortgage Banking Total Core Banking Republic Processing Group Total Company Net interest income $ $ $ $ $ $ Provision for loan and lease losses — Net refund transfer fees — — — — Mortgage banking income — — — Gain on call of security available for sale — — — Other non interest income Total non interest income Total non interest expenses Income before income tax expense Income tax expense Net income $ $ $ $ $ $ Segment end of period assets $ $ $ $ $ $ Net interest margin % % NM % NM % Three Months Ended June 30, 2014 Core Banking (dollars in thousands) Traditional Banking Warehouse Lending Mortgage Banking Total Core Banking Republic Processing Group Total Company Net interest income $ $ $ $ $ $ Provision for loan and lease losses — ) Net refund transfer fees — — — — Mortgage banking income — — — Other non interest income Total non interest income Total non interest expenses Income (loss) before income tax expense ) Income tax expense (benefit) ) Net income (loss) $ $ $ ) $ $ $ Segment end of period assets $ $ $ $ $ $ Net interest margin % % NM % NM % Segment assets are reported as of the respective period ends while income and margin data are reported for the respective periods. NM — Not Meaningful Six Months Ended June 30, 2015 Core Banking (dollars in thousands) Traditional Banking Warehouse Lending Mortgage Banking Total Core Banking Republic Processing Group Total Company Net interest income $ $ $ $ $ $ Provision for loan and lease losses — ) Net refund transfer fees — — — — Mortgage banking income — — — Gain on call of security available for sale — — — Other non interest income Total non interest income Total non interest expenses Income before income tax expense Income tax expense Net income $ $ $ $ $ $ Segment end of period assets $ $ $ $ $ $ Net interest margin % % NM % NM % Six Months Ended June 30, 2014 Core Banking (dollars in thousands) Traditional Banking Warehouse Lending Mortgage Banking Total Core Banking Republic Processing Group Total Company Net interest income $ $ $ $ $ $ Provision for loan and lease losses — ) ) Net refund transfer fees — — — — Mortgage banking income — — — Other non interest income Total non interest income Total non interest expenses Income (loss) before income tax expense ) Income tax expense (benefit) ) Net income (loss) $ $ $ ) $ $ $ Segment end of period assets $ $ $ $ $ $ Net interest margin % % NM % NM % Segment assets are reported as of the respective period ends while income and margin data are reported for the respective periods. NM — Not Meaningful

BASIS OF PRESENTATION AND SUM36

BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) - Jun. 30, 2015	segmentitem
Basis of Presentation
Number of operating segments | segment	4
Number of banking centers	40
Kentucky
Basis of Presentation
Number of banking centers	32
Metropolitan Louisville
Basis of Presentation
Number of banking centers	19
Central Kentucky
Basis of Presentation
Number of banking centers	8
Elizabethtown
Basis of Presentation
Number of banking centers	1
Frankfort
Basis of Presentation
Number of banking centers	1
Georgetown
Basis of Presentation
Number of banking centers	1
Lexington
Basis of Presentation
Number of banking centers	4
Shelbyville
Basis of Presentation
Number of banking centers	1
Western Kentucky
Basis of Presentation
Number of banking centers	2
Owensboro
Basis of Presentation
Number of banking centers	2
Northern Kentucky
Basis of Presentation
Number of banking centers	3
Covington
Basis of Presentation
Number of banking centers	1
Florence
Basis of Presentation
Number of banking centers	1
Independence
Basis of Presentation
Number of banking centers	1
Southern Indiana
Basis of Presentation
Number of banking centers	3
Floyds Knobs
Basis of Presentation
Number of banking centers	1
Jeffersonville
Basis of Presentation
Number of banking centers	1
New Albany
Basis of Presentation
Number of banking centers	1
Metropolitan Tampa, Florida
Basis of Presentation
Number of banking centers	2
Metropolitan Cincinnati, Ohio
Basis of Presentation
Number of banking centers	1
Metropolitan Nashville, Tennessee
Basis of Presentation
Number of banking centers	2

INVESTMENT SECURITIES (Details)

INVESTMENT SECURITIES (Details) - USD ($)	Jun. 30, 2015	Dec. 31, 2014	Dec. 31, 2008
Securities available for sale:
Gross Amortized Cost	$ 449,418,000	$ 428,785,000
Gross Unrealized Gains	8,175,000	8,378,000
Gross Unrealized Losses	(981,000)	(1,252,000)
Fair Value	456,612,000	435,911,000
U.S. Treasury securities and U.S. Government agencies
Securities available for sale:
Gross Amortized Cost	198,071,000	146,625,000
Gross Unrealized Gains	905,000	312,000
Gross Unrealized Losses	(125,000)	(15,000)
Fair Value	198,851,000	146,922,000
Private label mortgage backed security
Securities available for sale:
Gross Amortized Cost	4,037,000	4,030,000
Gross Unrealized Gains	1,194,000	1,220,000
Fair Value	5,231,000	5,250,000
Mortgage backed securities - residential
Securities available for sale:
Gross Amortized Cost	103,378,000	118,836,000
Gross Unrealized Gains	4,631,000	5,511,000
Gross Unrealized Losses	(129,000)	(91,000)
Fair Value	107,880,000	124,256,000
Collateralized mortgage obligations
Securities available for sale:
Gross Amortized Cost	127,922,000	143,283,000
Gross Unrealized Gains	1,065,000	1,034,000
Gross Unrealized Losses	(727,000)	(1,146,000)
Fair Value	128,260,000	143,171,000
Freddie Mac
Securities available for sale:
Gross Unrealized Gains	231,000	231,000
Fair Value	231,000	231,000	$ 0
Mutual fund
Securities available for sale:
Gross Amortized Cost	1,000,000	1,000,000
Gross Unrealized Gains	15,000	18,000
Fair Value	1,015,000	1,018,000
Corporate bonds
Securities available for sale:
Gross Amortized Cost	15,010,000	15,011,000
Gross Unrealized Gains	134,000	52,000
Fair Value	$ 15,144,000	$ 15,063,000

INVESTMENT SECURITIES (Details

INVESTMENT SECURITIES (Details 2) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Securities held to maturity:
Carrying Value	$ 43,070	$ 45,437
Gross Unrecognized Gains	577	444
Gross Unrecognized Losses	(47)	(74)
Total securities	$ 43,600	45,807
Maximum percentage of holdings of securities of any one issuer, other than the U.S. Government and its agencies	10.00%
U.S. Treasury securities and U.S. Government agencies
Securities held to maturity:
Carrying Value	$ 1,536	1,747
Gross Unrecognized Gains	5	1
Gross Unrecognized Losses	(2)	(7)
Total securities	1,539	1,741
Mortgage backed securities - residential
Securities held to maturity:
Carrying Value	144	147
Gross Unrecognized Gains	18	20
Total securities	162	167
Collateralized mortgage obligations
Securities held to maturity:
Carrying Value	36,390	38,543
Gross Unrecognized Gains	554	423
Gross Unrecognized Losses		(4)
Total securities	36,944	38,962
Corporate bonds
Securities held to maturity:
Carrying Value	5,000	5,000
Gross Unrecognized Losses	(45)	(63)
Total securities	$ 4,955	$ 4,937

INVESTMENT SECURITIES (Detail39

INVESTMENT SECURITIES (Details 3)	3 Months Ended		6 Months Ended
	Jun. 30, 2015USD ($)item	Jun. 30, 2014USD ($)	Jun. 30, 2015USD ($)item	Jun. 30, 2014USD ($)
INVESTMENT SECURITIES
Sales of available for sale securities		$ 0		$ 0
Calls of available for sale securities		$ 0		$ 0
Number of available for securities sold | item	1		1
Gain on the call of available for sale securities	$ 88,000		$ 88,000

INVESTMENT SECURITIES (Detail40

INVESTMENT SECURITIES (Details 4)	1 Months Ended	6 Months Ended	12 Months Ended
	Oct. 31, 2014USD ($)	Jun. 30, 2015USD ($)item	Dec. 31, 2014USD ($)item	Dec. 31, 2008USD ($)item
Securities available for Sale - Amortized Cost
Due in one year or less		$ 10,020,000
Due from one year to five years		193,061,000
Due from five years to ten years		10,000,000
Total securities		449,418,000
Securities available for Sale - Fair Value
Due in one year or less		10,041,000
Due from one year to five years		193,854,000
Due from five years to ten years		10,100,000
Total securities		456,612,000
Securities held to maturity - Carrying Value
Due in one year or less		1,016,000
Due from one year to five years		5,520,000
Total securities		43,070,000	$ 45,437,000
Securities held to maturity - Fair Value
Due in one year or less		1,021,000
Due from one year to five years		5,473,000
Total securities		$ 43,600,000	$ 45,807,000
Number of Securities Held | item		159	157
Private label mortgage backed security
Securities available for Sale - Amortized Cost
Securities not due at a single maturity date		$ 4,037,000
Securities available for Sale - Fair Value
Securities not due at a single maturity date		$ 5,231,000
Securities held to maturity - Fair Value
Number of Securities Held | item		1
Mortgage backed securities - residential
Securities available for Sale - Amortized Cost
Securities not due at a single maturity date		$ 103,378,000
Securities available for Sale - Fair Value
Securities not due at a single maturity date		107,880,000
Securities held to maturity - Carrying Value
Securities not due at a single maturity date		144,000
Total securities		144,000	$ 147,000
Securities held to maturity - Fair Value
Securities not due at a single maturity date		162,000
Total securities		162,000	167,000
Collateralized mortgage obligations
Securities available for Sale - Amortized Cost
Securities not due at a single maturity date		127,922,000
Securities available for Sale - Fair Value
Securities not due at a single maturity date		128,260,000
Securities held to maturity - Carrying Value
Securities not due at a single maturity date		36,390,000
Total securities		36,390,000	38,543,000
Securities held to maturity - Fair Value
Securities not due at a single maturity date		36,944,000
Total securities		36,944,000	38,962,000
Mortgage backed securities and CMOs
Securities available for Sale - Amortized Cost
Available-for-sale Debt Securities, Gross Unrealized Loss		856,000	$ 1,200,000
Freddie Mac
Securities available for Sale - Fair Value
Securities not due at a single maturity date		231,000
Securities held to maturity - Fair Value
Other than Temporary Impairment Losses, Investments, Portion Recognized in Earnings, Net				$ 2,100,000
Number of Securities Held | item				40,000
Total unrealized gain	$ 231,000
Mutual fund
Securities available for Sale - Amortized Cost
Securities not due at a single maturity date		1,000,000
Securities available for Sale - Fair Value
Securities not due at a single maturity date		$ 1,015,000

INVESTMENT SECURITIES (Detail41

INVESTMENT SECURITIES (Details 5) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2015USD ($)item	Dec. 31, 2014USD ($)item
Available for sale
Less than 12 months Fair Value	$ 30,445	$ 55,682
Less than 12 months Unrealized Losses	(391)	(987)
12 months or more Fair Value	29,731	12,534
12 months or more Unrealized Losses	(590)	(265)
Total Fair Value	60,176	68,216
Total Unrealized Losses	(981)	(1,252)
Held to maturity
Less than 12 months Fair Value	5,473	14,498
Less than 12 months Unrealized Losses	(47)	(74)
Total Fair Value	5,473	14,498
Total Unrealized Losses	$ (47)	$ (74)
Number of securities held | item	159	157
Number of securities held in an unrealized loss position | item	19	17
Carrying amount	$ 328,844	$ 409,868
U.S. Treasury securities and U.S. Government agencies
Available for sale
Less than 12 months Fair Value	19,880	2,089
Less than 12 months Unrealized Losses	(120)	(15)
12 months or more Fair Value	995
12 months or more Unrealized Losses	(5)
Total Fair Value	20,875	2,089
Total Unrealized Losses	(125)	(15)
Held to maturity
Less than 12 months Fair Value	518	517
Less than 12 months Unrealized Losses	(2)	(7)
Total Fair Value	518	517
Total Unrealized Losses	(2)	(7)
Mortgage backed securities - residential
Available for sale
Less than 12 months Fair Value	6,602	7,535
Less than 12 months Unrealized Losses	(129)	(91)
Total Fair Value	6,602	7,535
Total Unrealized Losses	(129)	(91)
Collateralized mortgage obligations
Available for sale
Less than 12 months Fair Value	3,963	46,058
Less than 12 months Unrealized Losses	(142)	(881)
12 months or more Fair Value	28,736	12,534
12 months or more Unrealized Losses	(585)	(265)
Total Fair Value	32,699	58,592
Total Unrealized Losses	(727)	(1,146)
Held to maturity
Less than 12 months Fair Value		9,045
Less than 12 months Unrealized Losses		(4)
Total Fair Value		9,045
Total Unrealized Losses		(4)
Corporate bonds
Held to maturity
Less than 12 months Fair Value	4,955	4,936
Less than 12 months Unrealized Losses	(45)	(63)
Total Fair Value	4,955	4,936
Total Unrealized Losses	$ (45)	$ (63)
Private label mortgage backed security
Held to maturity
Number of securities held | item	1
Carrying amount	$ 5,200
Estimated average life	5 years

INVESTMENT SECURITIES (Detail42

INVESTMENT SECURITIES (Details 6) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
INVESTMENT SECURITIES
Carrying amount	$ 328,844	$ 409,868
Fair value of securities pledged	$ 329,417	$ 410,307

LOANS AND ALLOWANCE FOR LOAN 43

LOANS AND ALLOWANCE FOR LOAN AND LEASE LOSSES (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013
Loans disclosures
Total loans	$ 3,323,977		$ 3,040,495
Less: Allowance for loan losses	(25,248)	$ (24,631)	(24,410)	$ (22,772)	$ (22,367)	$ (23,026)
Loans, net	3,298,729		3,016,085
Residential Real Estate - Owner Occupied
Loans disclosures
Total loans	1,100,133		1,118,341
Less: Allowance for loan losses	(8,202)	(8,629)	(8,565)	(8,055)	(7,751)	(7,816)
Owner Occupied - Correspondent
Loans disclosures
Total loans	243,140		226,628
Less: Allowance for loan losses	(608)	(579)	(567)	(60)
Residential Real Estate - Non Owner Occupied
Loans disclosures
Total loans	101,765		96,492
Less: Allowance for loan losses	(904)	(920)	(837)	(839)	(984)	(1,023)
Commercial real estate
Loans disclosures
Total loans	799,158		772,309
Less: Allowance for loan losses	(7,840)	(7,553)	(7,740)	(7,696)	(7,901)	(8,309)
Commercial real estate - purchased whole loans
Loans disclosures
Total loans	35,277		34,898
Less: Allowance for loan losses	(35)	(35)	(34)	(34)	(34)	(34)
Construction & land development
Loans disclosures
Total loans	47,038		38,480
Less: Allowance for loan losses	(1,100)	(958)	(926)	(1,090)	(1,192)	(1,296)
Commercial & Industrial
Loans disclosures
Total loans	202,456		157,339
Less: Allowance for loan losses	(1,191)	(1,157)	(1,167)	(1,152)	(1,080)	(1,089)
Lease Financing Receivables
Loans disclosures
Total loans	7,242		2,530
Less: Allowance for loan losses	(76)	(40)	(25)	(3)
Warehouse lines of credit
Loans disclosures
Total loans	488,905		319,431
Less: Allowance for loan losses	(1,222)	(1,058)	(799)	(610)	(477)	(449)
Home equity lines of credit
Loans disclosures
Total loans	267,570		245,679
Less: Allowance for loan losses	(2,765)	(2,708)	(2,730)	(2,403)	(2,371)	(2,396)
Consumer: Republic Processing Group Loans
Loans disclosures
Total loans	6,467		4,095
Less: Allowance for loan losses	(252)	(44)	(44)	(46)
Consumer: Credit cards
Loans disclosures
Total loans	10,942		9,573
Less: Allowance for loan losses	(399)	(362)	(285)	(286)	(276)	(289)
Consumer: Purchased Whole Loans
Loans disclosures
Total loans	3,607		4,626
Less: Allowance for loan losses	(207)	(184)	(185)
Consumer: Overdrafts
Loans disclosures
Total loans	1,404		1,180
Less: Allowance for loan losses	(286)	(245)	(382)	(280)	(212)	(199)
Consumer: Other consumer
Loans disclosures
Total loans	8,873		8,894
Less: Allowance for loan losses	$ (161)	$ (159)	$ (124)	$ (218)	$ (89)	$ (126)

LOANS AND ALLOWANCE FOR LOAN 44

LOANS AND ALLOWANCE FOR LOAN AND LEASE LOSSES (Details 2) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Disclosures on loans acquired
Carrying value of loans	$ 3,323,977	$ 3,040,495
Loans | As Previously Reported - Contractual Amount
Disclosures on loans acquired
Contractually-required principal	3,329,849	3,050,599
Unearned income	(635)	(174)
Unamortized premiums	4,191	4,490
Accretable and unaccreted discounts	(10,859)	(15,675)
Net unamortized deferred origination fees and costs	1,431	1,255
Carrying value of loans	$ 3,323,977	$ 3,040,495

LOANS AND ALLOWANCE FOR LOAN 45

LOANS AND ALLOWANCE FOR LOAN AND LEASE LOSSES (Details 3) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Loans disclosures
Percentage of collateral in California			83.00%
Total loans			$ 63,163	$ 14,695
Purchased Loan [Member]
Loans disclosures
Total loans	$ 43,632	$ 14,695	63,163	14,695
Owner Occupied - Correspondent | Purchased Loan [Member]
Loans disclosures
Total loans	$ 43,632	12,067	62,802	12,067
Consumer: Purchased Whole Loans | Purchased Loan [Member]
Loans disclosures
Total loans		$ 2,628	$ 361	$ 2,628

LOANS AND ALLOWANCE FOR LOAN 46

LOANS AND ALLOWANCE FOR LOAN AND LEASE LOSSES (Details 4) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Disclosures on loans acquired
Carrying value of loans	$ 3,323,977		$ 3,323,977		$ 3,040,495
PCI loan
Disclosures on loans acquired
Contractually-required principal	20,080		20,080		26,571
Non-accretable amount	(2,076)		(2,076)		(6,784)
Accretable amount	(4,323)		(4,323)		(2,297)
Carrying value of loans	13,681		13,681		$ 17,490
Rollforward of the accretable discount on purchased loans within the scope of ASC Topic 310-30
Balance at the beginning of the period	(2,170)	$ (2,765)	(2,297)	$ (3,457)
Transfers between non-accretable and accretable	(3,378)	(1,029)	(3,354)	(2,340)
Net accretion into interest income on loans, including loan fees	(1,225)	(1,307)	(1,328)	(3,310)
Balance at the end of the period	$ (4,323)	$ (2,487)	$ (4,323)	$ (2,487)

LOANS AND ALLOWANCE FOR LOAN 47

LOANS AND ALLOWANCE FOR LOAN AND LEASE LOSSES (Details 5) - USD ($)	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Risk category of rated loans
Loans	$ 3,323,977,000	$ 3,040,495,000
Maximum loan value for non rated loans	$ 100,000	$ 100,000
Maximum number of days past due for loans to be non rated	80 days	80 days
Residential Real Estate - Owner Occupied
Risk category of rated loans
Loans	$ 1,100,133,000	$ 1,118,341,000
Owner Occupied - Correspondent
Risk category of rated loans
Loans	243,140,000	226,628,000
Residential Real Estate - Non Owner Occupied
Risk category of rated loans
Loans	101,765,000	96,492,000
Commercial real estate
Risk category of rated loans
Loans	799,158,000	772,309,000
Commercial real estate - purchased whole loans
Risk category of rated loans
Loans	35,277,000	34,898,000
Construction & land development
Risk category of rated loans
Loans	47,038,000	38,480,000
Commercial & Industrial
Risk category of rated loans
Loans	202,456,000	157,339,000
Lease Financing Receivables
Risk category of rated loans
Loans	7,242,000	2,530,000
Warehouse lines of credit
Risk category of rated loans
Loans	488,905,000	319,431,000
Home equity lines of credit
Risk category of rated loans
Loans	267,570,000	245,679,000
Consumer: Republic Processing Group Loans
Risk category of rated loans
Loans	6,467,000	4,095,000
Consumer: Credit cards
Risk category of rated loans
Loans	10,942,000	9,573,000
Consumer: Overdrafts
Risk category of rated loans
Loans	1,404,000	1,180,000
Consumer: Purchased Whole Loans
Risk category of rated loans
Loans	3,607,000	4,626,000
Consumer: Other consumer
Risk category of rated loans
Loans	8,873,000	8,894,000
Pass
Risk category of rated loans
Loans	1,545,162,000	1,281,572,000
Pass | Commercial real estate
Risk category of rated loans
Loans	770,583,000	736,012,000
Pass | Commercial real estate - purchased whole loans
Risk category of rated loans
Loans	35,277,000	34,898,000
Pass | Construction & land development
Risk category of rated loans
Loans	44,199,000	35,339,000
Pass | Commercial & Industrial
Risk category of rated loans
Loans	198,956,000	153,362,000
Pass | Lease Financing Receivables
Risk category of rated loans
Loans	7,242,000	2,530,000
Pass | Warehouse lines of credit
Risk category of rated loans
Loans	488,905,000	319,431,000
Special Mention
Risk category of rated loans
Loans	35,659,000	36,268,000
Loans modified by troubled debt restructurings during the period	183,000	443,000
Special Mention | Residential Real Estate - Owner Occupied
Risk category of rated loans
Loans	24,473,000	26,828,000
Special Mention | Residential Real Estate - Non Owner Occupied
Risk category of rated loans
Loans	1,544,000	844,000
Special Mention | Commercial real estate
Risk category of rated loans
Loans	7,455,000	7,838,000
Special Mention | Construction & land development
Risk category of rated loans
Loans	115,000	120,000
Special Mention | Commercial & Industrial
Risk category of rated loans
Loans	2,063,000	625,000
Special Mention | Consumer: Other consumer
Risk category of rated loans
Loans	9,000	13,000
Substandard
Risk category of rated loans
Loans	33,911,000	39,999,000
Loans modified by troubled debt restructurings during the period	4,000,000	6,000,000
Substandard | Residential Real Estate - Owner Occupied
Risk category of rated loans
Loans	15,456,000	14,586,000
Substandard | Residential Real Estate - Non Owner Occupied
Risk category of rated loans
Loans	1,983,000	2,886,000
Substandard | Commercial real estate
Risk category of rated loans
Loans	10,842,000	15,636,000
Substandard | Construction & land development
Risk category of rated loans
Loans	2,687,000	2,525,000
Substandard | Commercial & Industrial
Risk category of rated loans
Loans	201,000	2,108,000
Substandard | Home equity lines of credit
Risk category of rated loans
Loans	2,658,000	2,220,000
Substandard | Consumer: Other consumer
Risk category of rated loans
Loans	84,000	38,000
Purchased Credit Impaired Loans - Group 1
Risk category of rated loans
Loans	13,681,000	17,490,000
Purchased Credit Impaired Loans - Group 1 | Residential Real Estate - Owner Occupied
Risk category of rated loans
Loans	927,000	1,205,000
Purchased Credit Impaired Loans - Group 1 | Residential Real Estate - Non Owner Occupied
Risk category of rated loans
Loans	1,203,000	1,709,000
Purchased Credit Impaired Loans - Group 1 | Commercial real estate
Risk category of rated loans
Loans	10,278,000	12,823,000
Purchased Credit Impaired Loans - Group 1 | Construction & land development
Risk category of rated loans
Loans	37,000	496,000
Purchased Credit Impaired Loans - Group 1 | Commercial & Industrial
Risk category of rated loans
Loans	1,236,000	1,244,000
Purchased Credit Impaired Loans - Group 1 | Consumer: Other consumer
Risk category of rated loans
Loans		13,000
Rated Loans
Risk category of rated loans
Loans	1,628,413,000	1,375,329,000
Rated Loans | Residential Real Estate - Owner Occupied
Risk category of rated loans
Loans	40,856,000	42,619,000
Rated Loans | Residential Real Estate - Non Owner Occupied
Risk category of rated loans
Loans	4,730,000	5,439,000
Rated Loans | Commercial real estate
Risk category of rated loans
Loans	799,158,000	772,309,000
Rated Loans | Commercial real estate - purchased whole loans
Risk category of rated loans
Loans	35,277,000	34,898,000
Rated Loans | Construction & land development
Risk category of rated loans
Loans	47,038,000	38,480,000
Rated Loans | Commercial & Industrial
Risk category of rated loans
Loans	202,456,000	157,339,000
Rated Loans | Lease Financing Receivables
Risk category of rated loans
Loans	7,242,000	2,530,000
Rated Loans | Warehouse lines of credit
Risk category of rated loans
Loans	488,905,000	319,431,000
Rated Loans | Home equity lines of credit
Risk category of rated loans
Loans	2,658,000	2,220,000
Rated Loans | Consumer: Other consumer
Risk category of rated loans
Loans	$ 93,000	$ 64,000

LOANS AND ALLOWANCE FOR LOAN 48

LOANS AND ALLOWANCE FOR LOAN AND LEASE LOSSES (Details 6) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Allowance for loan losses rollforward
Allowance for loan losses at beginning year	$ 24,631	$ 22,367	$ 24,410	$ 23,026
Charge offs	(706)	(715)	(1,203)	(1,627)
Recoveries	419	427	952	1,383
Net loan (charge offs) recoveries	(287)	(288)	(251)	(244)
Provision for loan and lease losses	904	693	1,089	(10)
Allowance for loan losses at end of year	25,248	22,772	25,248	22,772
Consumer: Republic Processing Group Loans
Allowance for loan losses rollforward
Allowance for loan losses at beginning year	44		44
Charge offs	(21)		(26)
Recoveries	42	63	237	526
Net loan (charge offs) recoveries	21	63	211	526
Provision for loan and lease losses	187	(17)	(3)	(480)
Allowance for loan losses at end of year	252	46	252	46
Total Core Banking
Allowance for loan losses rollforward
Charge offs	(685)	(715)	(1,177)	(1,627)
Recoveries	377	364	715	857
Net loan (charge offs) recoveries	(308)	(351)	(462)	(770)
Provision for loan and lease losses	$ 717	$ 710	$ 1,092	$ 470

LOANS AND ALLOWANCE FOR LOAN 49

LOANS AND ALLOWANCE FOR LOAN AND LEASE LOSSES (Details 7) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Allowance for loan losses rollforward
Allowance for loan losses at beginning year	$ 24,631	$ 22,367	$ 24,410	$ 23,026
Provision for loan and lease losses	904	693	1,089	(10)
Loans charged off	(706)	(715)	(1,203)	(1,627)
Recoveries	419	427	952	1,383
Allowance for loan losses at end of year	25,248	22,772	25,248	22,772
Loans	3,298,729		3,298,729		$ 3,016,085
Residential Real Estate - Owner Occupied
Allowance for loan losses rollforward
Allowance for loan losses at beginning year	8,629	7,751	8,565	7,816
Provision for loan and lease losses	(313)	460	(173)	578
Loans charged off	(178)	(202)	(314)	(419)
Recoveries	64	46	124	80
Allowance for loan losses at end of year	8,202	8,055	8,202	8,055
Owner Occupied - Correspondent
Allowance for loan losses rollforward
Allowance for loan losses at beginning year	579		567
Provision for loan and lease losses	29	60	41	60
Allowance for loan losses at end of year	608	60	608	60
Residential Real Estate - Non Owner Occupied
Allowance for loan losses rollforward
Allowance for loan losses at beginning year	920	984	837	1,023
Provision for loan and lease losses	10	(141)	90	(171)
Loans charged off	(29)	(7)	(29)	(22)
Recoveries	3	3	6	9
Allowance for loan losses at end of year	904	839	904	839
Commercial real estate
Allowance for loan losses rollforward
Allowance for loan losses at beginning year	7,553	7,901	7,740	8,309
Provision for loan and lease losses	353	(206)	164	(384)
Loans charged off	(147)	(2)	(154)	(374)
Recoveries	81	3	90	145
Allowance for loan losses at end of year	7,840	7,696	7,840	7,696
Commercial real estate - purchased whole loans
Allowance for loan losses rollforward
Allowance for loan losses at beginning year	35	34	34	34
Provision for loan and lease losses			1
Allowance for loan losses at end of year	35	34	35	34
Construction & land development
Allowance for loan losses rollforward
Allowance for loan losses at beginning year	958	1,192	926	1,296
Provision for loan and lease losses	142	(185)	174	(273)
Loans charged off		(1)		(18)
Recoveries		84		85
Allowance for loan losses at end of year	1,100	1,090	1,100	1,090
Commercial & Industrial
Allowance for loan losses rollforward
Allowance for loan losses at beginning year	1,157	1,080	1,167	1,089
Provision for loan and lease losses	52	70	42	13
Loans charged off	(27)	(20)	(56)	(20)
Recoveries	9	22	38	70
Allowance for loan losses at end of year	1,191	1,152	1,191	1,152
Lease Financing Receivables
Allowance for loan losses rollforward
Allowance for loan losses at beginning year	40		25
Provision for loan and lease losses	36	3	51	3
Allowance for loan losses at end of year	76	3	76	3
Warehouse lines of credit
Allowance for loan losses rollforward
Allowance for loan losses at beginning year	1,058	477	799	449
Provision for loan and lease losses	164	133	423	161
Allowance for loan losses at end of year	1,222	610	1,222	610
Home equity lines of credit
Allowance for loan losses rollforward
Allowance for loan losses at beginning year	2,708	2,371	2,730	2,396
Provision for loan and lease losses	56	235	48	235
Loans charged off	(21)	(217)	(72)	(283)
Recoveries	22	14	59	55
Allowance for loan losses at end of year	2,765	2,403	2,765	2,403
Consumer: Republic Processing Group Loans
Allowance for loan losses rollforward
Allowance for loan losses at beginning year	44		44
Provision for loan and lease losses	187	(17)	(3)	(480)
Loans charged off	(21)		(26)
Recoveries	42	63	237	526
Allowance for loan losses at end of year	252	46	252	46
Consumer: Credit cards
Allowance for loan losses rollforward
Allowance for loan losses at beginning year	362	276	285	289
Provision for loan and lease losses	40	40	144	22
Loans charged off	(31)	(37)	(71)	(42)
Recoveries	28	7	41	17
Allowance for loan losses at end of year	399	286	399	286
Consumer: Overdrafts
Allowance for loan losses rollforward
Allowance for loan losses at beginning year	245	212	382	199
Provision for loan and lease losses	57	113	(22)	160
Loans charged off	(103)	(142)	(249)	(293)
Recoveries	87	97	175	214
Allowance for loan losses at end of year	286	280	286	280
Consumer: Purchased Whole Loans
Allowance for loan losses rollforward
Allowance for loan losses at beginning year	184		185
Provision for loan and lease losses	83		94
Loans charged off	(60)		(72)
Allowance for loan losses at end of year	207		207
Consumer: Other consumer
Allowance for loan losses rollforward
Allowance for loan losses at beginning year	159	89	124	126
Provision for loan and lease losses	8	128	15	66
Loans charged off	(89)	(87)	(160)	(156)
Recoveries	83	88	182	182
Allowance for loan losses at end of year	$ 161	$ 218	$ 161	$ 218

LOANS AND ALLOWANCE FOR LOAN 50

LOANS AND ALLOWANCE FOR LOAN AND LEASE LOSSES (Details 8) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
LOANS AND ALLOWANCE FOR LOAN AND LEASE LOSSES
Loans on non-accrual status	$ 24,624	$ 23,337
Loans past due 90 days or more and still on accrual		322
Total non-performing loans	24,624	23,659
Other real estate owned	2,920	11,243
Total non-performing assets	$ 27,544	$ 34,902
Credit Quality Ratios - Total Company:
Non-performing loans to total loans (as percent)	0.74%	0.78%
Non-performing assets to total loans (including OREO) (as percent)	0.83%	1.14%
Non-performing assets to total assets (as percent)	0.68%	0.93%

LOANS AND ALLOWANCE FOR LOAN 51

LOANS AND ALLOWANCE FOR LOAN AND LEASE LOSSES (Details 9) $ in Thousands	6 Months Ended
	Jun. 30, 2015USD ($)item	Dec. 31, 2014USD ($)
Aging or recorded investments in loans
Non-Accrual Loan	$ 24,624	$ 23,337
Loans Past Due 90 Days or More and Still Accruing Interest		322
Number of consecutive months payments received before non-accrual loans returned to accrual status (in months) | item	6
Residential Real Estate - Owner Occupied
Aging or recorded investments in loans
Non-Accrual Loan	$ 12,972	10,903
Loans Past Due 90 Days or More and Still Accruing Interest		322
Residential Real Estate - Non Owner Occupied
Aging or recorded investments in loans
Non-Accrual Loan	1,344	2,352
Commercial real estate
Aging or recorded investments in loans
Non-Accrual Loan	5,878	6,151
Construction & land development
Aging or recorded investments in loans
Non-Accrual Loan	2,080	1,990
Commercial & Industrial
Aging or recorded investments in loans
Non-Accrual Loan	201	169
Home equity lines of credit
Aging or recorded investments in loans
Non-Accrual Loan	2,065	1,678
Consumer: Other consumer
Aging or recorded investments in loans
Non-Accrual Loan	$ 84	$ 94

LOANS AND ALLOWANCE FOR LOAN 52

LOANS AND ALLOWANCE FOR LOAN AND LEASE LOSSES (Details 10) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Aging or recorded investments in loans
30 - 59 Days Delinquent	$ 2,810	$ 5,036
60 - 89 Days Delinquent	1,810	2,195
90 + Days Delinquent	6,735	8,620
Total Loans Delinquent	11,355	15,851
Total Loans Not Delinquent	3,312,622	3,024,644
Carrying value of loans	$ 3,323,977	$ 3,040,495
30 - 59 days delinquent to total loans (as a percent)	0.08%	0.17%
60 - 89 days delinquent to total loans (as a percent)	0.05%	0.07%
Greater than 90 days delinquent to total loans (as a percent)	0.20%	0.28%
Delinquent acquired bank loans to total acquired bank loans (as a percent)	0.34%	0.52%
Residential Real Estate - Owner Occupied
Aging or recorded investments in loans
30 - 59 Days Delinquent	$ 2,173	$ 3,039
60 - 89 Days Delinquent	1,551	1,329
90 + Days Delinquent	3,803	3,640
Total Loans Delinquent	7,527	8,008
Total Loans Not Delinquent	1,092,606	1,110,333
Carrying value of loans	1,100,133	1,118,341
Owner Occupied - Correspondent
Aging or recorded investments in loans
Total Loans Not Delinquent	243,140	226,628
Carrying value of loans	243,140	226,628
Residential Real Estate - Non Owner Occupied
Aging or recorded investments in loans
30 - 59 Days Delinquent		36
60 - 89 Days Delinquent		635
90 + Days Delinquent		105
Total Loans Delinquent		776
Total Loans Not Delinquent	101,765	95,716
Carrying value of loans	101,765	96,492
Commercial real estate
Aging or recorded investments in loans
30 - 59 Days Delinquent	20	585
90 + Days Delinquent	263	2,387
Total Loans Delinquent	283	2,972
Total Loans Not Delinquent	798,875	769,337
Carrying value of loans	799,158	772,309
Commercial real estate - purchased whole loans
Aging or recorded investments in loans
Total Loans Not Delinquent	35,277	34,898
Carrying value of loans	35,277	34,898
Construction & land development
Aging or recorded investments in loans
90 + Days Delinquent	1,500	1,990
Total Loans Delinquent	1,500	1,990
Total Loans Not Delinquent	45,538	36,490
Carrying value of loans	47,038	38,480
Commercial & Industrial
Aging or recorded investments in loans
30 - 59 Days Delinquent		211
Total Loans Delinquent		211
Total Loans Not Delinquent	202,456	157,128
Carrying value of loans	202,456	157,339
Lease Financing Receivables
Aging or recorded investments in loans
Total Loans Not Delinquent	7,242	2,530
Carrying value of loans	7,242	2,530
Warehouse lines of credit
Aging or recorded investments in loans
Total Loans Not Delinquent	488,905	319,431
Carrying value of loans	488,905	319,431
Home equity lines of credit
Aging or recorded investments in loans
30 - 59 Days Delinquent	202	706
60 - 89 Days Delinquent	183	158
90 + Days Delinquent	1,169	498
Total Loans Delinquent	1,554	1,362
Total Loans Not Delinquent	266,016	244,317
Carrying value of loans	267,570	245,679
Consumer: Republic Processing Group Loans
Aging or recorded investments in loans
30 - 59 Days Delinquent	113	107
60 - 89 Days Delinquent	31	34
Total Loans Delinquent	144	141
Total Loans Not Delinquent	6,323	3,954
Carrying value of loans	6,467	4,095
Consumer: Credit cards
Aging or recorded investments in loans
30 - 59 Days Delinquent	49	124
60 - 89 Days Delinquent	17	10
Total Loans Delinquent	66	134
Total Loans Not Delinquent	10,876	9,439
Carrying value of loans	10,942	9,573
Consumer: Overdrafts
Aging or recorded investments in loans
30 - 59 Days Delinquent	154	178
Total Loans Delinquent	154	178
Total Loans Not Delinquent	1,250	1,002
Carrying value of loans	1,404	1,180
Consumer: Purchased Whole Loans
Aging or recorded investments in loans
30 - 59 Days Delinquent	13	12
60 - 89 Days Delinquent	17
Total Loans Delinquent	30	12
Total Loans Not Delinquent	3,577	4,614
Carrying value of loans	3,607	4,626
Consumer: Other consumer
Aging or recorded investments in loans
30 - 59 Days Delinquent	86	38
60 - 89 Days Delinquent	11	29
Total Loans Delinquent	97	67
Total Loans Not Delinquent	8,776	8,827
Carrying value of loans	$ 8,873	$ 8,894

LOANS AND ALLOWANCE FOR LOAN 53

LOANS AND ALLOWANCE FOR LOAN AND LEASE LOSSES (Details 11) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Impaired loans
Loans with no allocated allowance for loan losses	$ 30,772	$ 32,560
Loans with allocated allowance for loan losses	45,647	53,620
Total impaired loans	76,419	86,180
Amount of the allowance for loan losses allocated	5,757	5,564
PCI loan
Impaired loans
Total impaired loans	7,000	10,000
Impaired Loans
Impaired loans
Total impaired loans	$ 4,000	$ 6,000

LOANS AND ALLOWANCE FOR LOAN 54

LOANS AND ALLOWANCE FOR LOAN AND LEASE LOSSES (Details 12) - USD ($) $ in Thousands	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013
Allowance for loans losses
Individually evaluated for impairment, excluding PCI loans	$ 5,244		$ 5,019
Collectively evaluated for impairment	19,491		18,846
PCI loans with post acquisition impairment	513		545
Total ending allowance for loan losses	25,248	$ 24,631	24,410	$ 22,772	$ 22,367	$ 23,026
Impaired loans individually evaluated, excluding PCI loans	69,889		76,392
Loans collectively evaluated for impairment	3,240,407		2,946,613
PCI loans with post acquisition impairment	6,530		9,788
PCI loans without post acquisition impairment	7,151		7,702
Carrying value of loans	3,323,977		3,040,495
Residential Real Estate - Owner Occupied
Allowance for loans losses
Individually evaluated for impairment, excluding PCI loans	3,874		3,251
Collectively evaluated for impairment	4,258		5,264
PCI loans with post acquisition impairment	70		50
Total ending allowance for loan losses	8,202	8,629	8,565	8,055	7,751	7,816
Impaired loans individually evaluated, excluding PCI loans	39,845		41,265
Loans collectively evaluated for impairment	1,059,362		1,075,871
PCI loans with post acquisition impairment	398		725
PCI loans without post acquisition impairment	528		480
Carrying value of loans	1,100,133		1,118,341
Owner Occupied - Correspondent
Allowance for loans losses
Collectively evaluated for impairment	608		567
Total ending allowance for loan losses	608	579	567	60
Loans collectively evaluated for impairment	243,140		226,628
Carrying value of loans	243,140		226,628
Residential Real Estate - Non Owner Occupied
Allowance for loans losses
Individually evaluated for impairment, excluding PCI loans	129		101
Collectively evaluated for impairment	706		672
PCI loans with post acquisition impairment	69		64
Total ending allowance for loan losses	904	920	837	839	984	1,023
Impaired loans individually evaluated, excluding PCI loans	3,272		3,388
Loans collectively evaluated for impairment	97,291		91,395
PCI loans with post acquisition impairment	1,083		1,554
PCI loans without post acquisition impairment	119		155
Carrying value of loans	101,765		96,492
Commercial real estate
Allowance for loans losses
Individually evaluated for impairment, excluding PCI loans	757		913
Collectively evaluated for impairment	6,849		6,462
PCI loans with post acquisition impairment	234		365
Total ending allowance for loan losses	7,840	7,553	7,740	7,696	7,901	8,309
Impaired loans individually evaluated, excluding PCI loans	17,530		22,521
Loans collectively evaluated for impairment	771,349		736,965
PCI loans with post acquisition impairment	3,882		6,341
PCI loans without post acquisition impairment	6,397		6,482
Carrying value of loans	799,158		772,309
Commercial real estate - purchased whole loans
Allowance for loans losses
Collectively evaluated for impairment	35		34
Total ending allowance for loan losses	35	35	34	34	34	34
Loans collectively evaluated for impairment	35,277		34,898
Carrying value of loans	35,277		34,898
Construction & land development
Allowance for loans losses
Individually evaluated for impairment, excluding PCI loans	166		187
Collectively evaluated for impairment	934		739
Total ending allowance for loan losses	1,100	958	926	1,090	1,192	1,296
Impaired loans individually evaluated, excluding PCI loans	2,787		2,627
Loans collectively evaluated for impairment	44,214		35,357
PCI loans without post acquisition impairment	37		496
Carrying value of loans	47,038		38,480
Commercial & Industrial
Allowance for loans losses
Individually evaluated for impairment, excluding PCI loans	233		302
Collectively evaluated for impairment	818		800
PCI loans with post acquisition impairment	140		65
Total ending allowance for loan losses	1,191	1,157	1,167	1,152	1,080	1,089
Impaired loans individually evaluated, excluding PCI loans	3,702		4,319
Loans collectively evaluated for impairment	197,518		151,776
PCI loans with post acquisition impairment	1,167		1,158
PCI loans without post acquisition impairment	69		86
Carrying value of loans	202,456		157,339
Lease Financing Receivables
Allowance for loans losses
Collectively evaluated for impairment	76		25
Total ending allowance for loan losses	76	40	25	3
Loans collectively evaluated for impairment	7,242		2,530
Carrying value of loans	7,242		2,530
Warehouse lines of credit
Allowance for loans losses
Collectively evaluated for impairment	1,222		799
Total ending allowance for loan losses	1,222	1,058	799	610	477	449
Loans collectively evaluated for impairment	488,905		319,431
Carrying value of loans	488,905		319,431
Home equity lines of credit
Allowance for loans losses
Individually evaluated for impairment, excluding PCI loans	36		225
Collectively evaluated for impairment	2,729		2,505
Total ending allowance for loan losses	2,765	2,708	2,730	2,403	2,371	2,396
Impaired loans individually evaluated, excluding PCI loans	2,658		2,220
Loans collectively evaluated for impairment	264,912		243,459
Carrying value of loans	267,570		245,679
Consumer: Republic Processing Group Loans
Allowance for loans losses
Collectively evaluated for impairment	252		44
Total ending allowance for loan losses	252	44	44	46
Loans collectively evaluated for impairment	6,467		4,095
Carrying value of loans	6,467		4,095
Consumer: Credit cards
Allowance for loans losses
Collectively evaluated for impairment	399		285
Total ending allowance for loan losses	399	362	285	286	276	289
Loans collectively evaluated for impairment	10,942		9,573
Carrying value of loans	10,942		9,573
Consumer: Overdrafts
Allowance for loans losses
Collectively evaluated for impairment	286		382
Total ending allowance for loan losses	286	245	382	280	212	199
Loans collectively evaluated for impairment	1,404		1,180
Carrying value of loans	1,404		1,180
Consumer: Purchased Whole Loans
Allowance for loans losses
Collectively evaluated for impairment	207		185
Total ending allowance for loan losses	207	184	185
Loans collectively evaluated for impairment	3,607		4,626
Carrying value of loans	3,607		4,626
Consumer: Other consumer
Allowance for loans losses
Individually evaluated for impairment, excluding PCI loans	49		40
Collectively evaluated for impairment	112		83
PCI loans with post acquisition impairment			1
Total ending allowance for loan losses	161	$ 159	124	$ 218	$ 89	$ 126
Impaired loans individually evaluated, excluding PCI loans	95		52
Loans collectively evaluated for impairment	8,777		8,829
PCI loans with post acquisition impairment			10
PCI loans without post acquisition impairment	1		3
Carrying value of loans	$ 8,873		$ 8,894

LOANS AND ALLOWANCE FOR LOAN 55

LOANS AND ALLOWANCE FOR LOAN AND LEASE LOSSES (Details 13) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Impaired loans with no related allowance recorded:
Recorded Investment	$ 30,772		$ 30,772		$ 32,560
Impaired loans with allowance recorded:
Recorded Investment	45,647		45,647		53,620
Allowance for Loan Losses Allocated	5,757		5,757		5,564
Total impaired loans
Unpaid Principal Balance	78,620		78,620		88,604
Recorded Investment	76,419		76,419		86,180
Allowance for Loan Losses Allocated	5,757		5,757		5,564
Average Recorded Investment	79,718	$ 96,609	83,990	$ 100,401
Interest Income Recognized	945	962	1,904	1,698
Residential Real Estate - Owner Occupied
Impaired loans with no related allowance recorded:
Unpaid Principal Balance	13,604		13,604		6,598
Recorded Investment	12,738		12,738		6,196
Average Recorded Investment	9,152	7,104	7,769	6,925
Interest Income Recognized	192	78	387	125
Impaired loans with allowance recorded:
Unpaid Principal Balance	27,646		27,646		36,361
Recorded Investment	27,505		27,505		35,794
Allowance for Loan Losses Allocated	3,944		3,944		3,301
Average Recorded Investment	31,677	35,048	33,436	34,731
Interest Income Recognized	243	253	487	493
Total impaired loans
Allowance for Loan Losses Allocated	3,944		3,944		3,301
Residential Real Estate - Non Owner Occupied
Impaired loans with no related allowance recorded:
Unpaid Principal Balance	2,520		2,520		2,368
Recorded Investment	2,399		2,399		2,215
Average Recorded Investment	2,494	1,474	2,268	1,401
Interest Income Recognized	45	15	90	25
Impaired loans with allowance recorded:
Unpaid Principal Balance	1,956		1,956		2,755
Recorded Investment	1,956		1,956		2,727
Allowance for Loan Losses Allocated	198		198		165
Average Recorded Investment	2,435	5,791	3,007	6,123
Interest Income Recognized	24	122	48	175
Total impaired loans
Allowance for Loan Losses Allocated	198		198		165
Commercial real estate
Impaired loans with no related allowance recorded:
Unpaid Principal Balance	10,157		10,157		17,282
Recorded Investment	9,403		9,403		16,248
Average Recorded Investment	11,697	17,236	14,039	18,475
Interest Income Recognized	136	150	277	290
Impaired loans with allowance recorded:
Unpaid Principal Balance	12,051		12,051		12,653
Recorded Investment	12,009		12,009		12,614
Allowance for Loan Losses Allocated	991		991		1,278
Average Recorded Investment	11,804	19,078	13,085	21,744
Interest Income Recognized	143	207	287	374
Total impaired loans
Allowance for Loan Losses Allocated	991		991		1,278
Construction & land development
Impaired loans with no related allowance recorded:
Unpaid Principal Balance	2,120		2,120		2,144
Recorded Investment	2,120		2,120		2,144
Average Recorded Investment	2,122	2,081	2,138	2,083
Interest Income Recognized	33	1	67	2
Impaired loans with allowance recorded:
Unpaid Principal Balance	667		667		483
Recorded Investment	667		667		483
Allowance for Loan Losses Allocated	166		166		187
Average Recorded Investment	673	508	580	563
Interest Income Recognized	10	6	20	11
Total impaired loans
Allowance for Loan Losses Allocated	166		166		187
Commercial & Industrial
Impaired loans with no related allowance recorded:
Unpaid Principal Balance	1,559		1,559		3,943
Recorded Investment	1,559		1,559		3,943
Average Recorded Investment	2,589	4,181	3,251	4,206
Interest Income Recognized	25	61	51	121
Impaired loans with allowance recorded:
Unpaid Principal Balance	3,310		3,310		1,534
Recorded Investment	3,310		3,310		1,534
Allowance for Loan Losses Allocated	373		373		367
Average Recorded Investment	2,331	1,540	1,890	1,651
Interest Income Recognized	50	58	101	60
Total impaired loans
Allowance for Loan Losses Allocated	373		373		367
Home equity lines of credit
Impaired loans with no related allowance recorded:
Unpaid Principal Balance	2,788		2,788		1,969
Recorded Investment	2,515		2,515		1,814
Average Recorded Investment	2,285	1,903	2,030	1,794
Interest Income Recognized	41	11	83	21
Impaired loans with allowance recorded:
Unpaid Principal Balance	147		147		452
Recorded Investment	143		143		406
Allowance for Loan Losses Allocated	36		36		225
Average Recorded Investment	389	586	419	620
Interest Income Recognized	2		4
Total impaired loans
Allowance for Loan Losses Allocated	36		36		225
Consumer: Other consumer
Impaired loans with no related allowance recorded:
Unpaid Principal Balance	38		38
Recorded Investment	38		38
Average Recorded Investment	19		19	6
Interest Income Recognized	1		2
Impaired loans with allowance recorded:
Unpaid Principal Balance	57		57		62
Recorded Investment	57		57		62
Allowance for Loan Losses Allocated	49		49		41
Average Recorded Investment	51	$ 79	59	79
Interest Income Recognized				$ 1
Total impaired loans
Allowance for Loan Losses Allocated	$ 49		$ 49		$ 41

LOANS AND ALLOWANCE FOR LOAN 56

LOANS AND ALLOWANCE FOR LOAN AND LEASE LOSSES (Details 14) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2015USD ($)item	Dec. 31, 2014USD ($)item
Troubled Debt Restructurings disclosures
Number of Loans | item	365	378
Recorded Investment	$ 61,002	$ 65,266
Residential Real Estate
Troubled Debt Restructurings disclosures
Number of Loans | item	314	324
Recorded Investment	$ 37,510	$ 39,132
Commercial real estate
Troubled Debt Restructurings disclosures
Number of Loans | item	32	38
Recorded Investment	$ 17,004	$ 19,532
Construction & land development
Troubled Debt Restructurings disclosures
Number of Loans | item	9	8
Recorded Investment	$ 2,786	$ 2,627
Commercial & Industrial
Troubled Debt Restructurings disclosures
Number of Loans | item	10	8
Recorded Investment	$ 3,702	$ 3,975
Loans on non-accrual status
Troubled Debt Restructurings disclosures
Number of Loans | item	95	84
Recorded Investment	$ 15,891	$ 14,186
Minimum period for which TDRs continue to be reported as non-performing loans	6 months
Loans on non-accrual status | Residential Real Estate
Troubled Debt Restructurings disclosures
Number of Loans | item	81	74
Recorded Investment	$ 8,043	$ 7,166
Loans on non-accrual status | Commercial real estate
Troubled Debt Restructurings disclosures
Number of Loans | item	10	8
Recorded Investment	$ 5,567	$ 5,030
Loans on non-accrual status | Construction & land development
Troubled Debt Restructurings disclosures
Number of Loans | item	3	2
Recorded Investment	$ 2,080	$ 1,990
Loans on non-accrual status | Commercial & Industrial
Troubled Debt Restructurings disclosures
Number of Loans | item	1
Recorded Investment	$ 201
Accrual Loans
Troubled Debt Restructurings disclosures
Number of Loans | item	270	294
Recorded Investment	$ 45,111	$ 51,080
Accrual Loans | Residential Real Estate
Troubled Debt Restructurings disclosures
Number of Loans | item	233	250
Recorded Investment	$ 29,467	$ 31,966
Accrual Loans | Commercial real estate
Troubled Debt Restructurings disclosures
Number of Loans | item	22	30
Recorded Investment	$ 11,437	$ 14,502
Accrual Loans | Construction & land development
Troubled Debt Restructurings disclosures
Number of Loans | item	6	6
Recorded Investment	$ 706	$ 637
Accrual Loans | Commercial & Industrial
Troubled Debt Restructurings disclosures
Number of Loans | item	9	8
Recorded Investment	$ 3,501	$ 3,975

LOANS AND ALLOWANCE FOR LOAN 57

LOANS AND ALLOWANCE FOR LOAN AND LEASE LOSSES (Details 15)	3 Months Ended			6 Months Ended	12 Months Ended
	Jun. 30, 2015USD ($)	Jun. 30, 2014USD ($)	Mar. 31, 2014USD ($)	Jun. 30, 2015USD ($)item	Dec. 31, 2014USD ($)item
Troubled Debt Restructurings disclosures
Number of Loans | item				365	378
Recorded Investment				$ 61,002,000	$ 65,266,000
Specific reserve allocations made to customers whose loan terms were modified in TDRs during period			$ 142,000	$ 635,000
Residential Real Estate
Troubled Debt Restructurings disclosures
Number of Loans | item				314	324
Recorded Investment				$ 37,510,000	$ 39,132,000
Residential Real Estate | Interest only payments
Troubled Debt Restructurings disclosures
Number of Loans | item				7	6
Recorded Investment				$ 1,052,000	$ 607,000
Residential Real Estate | Rate reduction
Troubled Debt Restructurings disclosures
Number of Loans | item				227	234
Recorded Investment				$ 30,640,000	$ 32,456,000
Residential Real Estate | Principal deferral
Troubled Debt Restructurings disclosures
Number of Loans | item				17	17
Recorded Investment				$ 1,632,000	$ 1,757,000
Residential Real Estate | Legal modifications
Troubled Debt Restructurings disclosures
Number of Loans | item				63	67
Recorded Investment				$ 4,186,000	$ 4,312,000
Commercial Real Estate and Commercial Construction
Troubled Debt Restructurings disclosures
Number of Loans | item				51	54
Recorded Investment				$ 23,492,000	$ 26,134,000
Commercial Real Estate and Commercial Construction | Interest only payments
Troubled Debt Restructurings disclosures
Number of Loans | item				11	12
Recorded Investment				$ 4,065,000	$ 5,096,000
Commercial Real Estate and Commercial Construction | Rate reduction
Troubled Debt Restructurings disclosures
Number of Loans | item				18	22
Recorded Investment				$ 9,228,000	$ 10,958,000
Commercial Real Estate and Commercial Construction | Principal deferral
Troubled Debt Restructurings disclosures
Number of Loans | item				22	20
Recorded Investment				$ 10,199,000	$ 10,080,000
Performing Financing Receivable
Troubled Debt Restructurings disclosures
Number of Loans | item				263	263
Recorded Investment				$ 44,633,000	$ 48,414,000
Percentage of troubled debt restructurings performing as per terms of modifications during the period.	74.00%	44.00%		73.00%	74.00%
Specific reserve allocations made to customers	$ 221,000	$ 54,000		$ 5,000,000	$ 4,000,000
Percentage of Bank's TDRs that occurred during period, which were performing according to their modified terms			39.00%	53.00%
Performing Financing Receivable | Residential Real Estate
Troubled Debt Restructurings disclosures
Number of Loans | item				226	220
Recorded Investment				$ 28,989,000	$ 29,381,000
Performing Financing Receivable | Residential Real Estate | Interest only payments
Troubled Debt Restructurings disclosures
Number of Loans | item				2	2
Recorded Investment				$ 637,000	$ 218,000
Performing Financing Receivable | Residential Real Estate | Rate reduction
Troubled Debt Restructurings disclosures
Number of Loans | item				183	173
Recorded Investment				$ 24,911,000	$ 25,080,000
Performing Financing Receivable | Residential Real Estate | Principal deferral
Troubled Debt Restructurings disclosures
Number of Loans | item				10	12
Recorded Investment				$ 843,000	$ 1,408,000
Performing Financing Receivable | Residential Real Estate | Legal modifications
Troubled Debt Restructurings disclosures
Number of Loans | item				31	33
Recorded Investment				$ 2,598,000	$ 2,675,000
Performing Financing Receivable | Commercial Real Estate and Commercial Construction
Troubled Debt Restructurings disclosures
Number of Loans | item				37	43
Recorded Investment				$ 15,644,000	$ 19,033,000
Performing Financing Receivable | Commercial Real Estate and Commercial Construction | Interest only payments
Troubled Debt Restructurings disclosures
Number of Loans | item				9	10
Recorded Investment				$ 3,189,000	$ 4,170,000
Performing Financing Receivable | Commercial Real Estate and Commercial Construction | Rate reduction
Troubled Debt Restructurings disclosures
Number of Loans | item				13	19
Recorded Investment				$ 6,664,000	$ 9,043,000
Performing Financing Receivable | Commercial Real Estate and Commercial Construction | Principal deferral
Troubled Debt Restructurings disclosures
Number of Loans | item				15	14
Recorded Investment				$ 5,791,000	$ 5,820,000
Nonperforming Financing Receivable
Troubled Debt Restructurings disclosures
Number of Loans | item				102	115
Recorded Investment				$ 16,369,000	$ 16,852,000
Nonperforming Financing Receivable | Residential Real Estate
Troubled Debt Restructurings disclosures
Number of Loans | item				88	104
Recorded Investment				$ 8,521,000	$ 9,751,000
Nonperforming Financing Receivable | Residential Real Estate | Interest only payments
Troubled Debt Restructurings disclosures
Number of Loans | item				5	4
Recorded Investment				$ 415,000	$ 389,000
Nonperforming Financing Receivable | Residential Real Estate | Rate reduction
Troubled Debt Restructurings disclosures
Number of Loans | item				44	61
Recorded Investment				$ 5,729,000	$ 7,376,000
Nonperforming Financing Receivable | Residential Real Estate | Principal deferral
Troubled Debt Restructurings disclosures
Number of Loans | item				7	5
Recorded Investment				$ 789,000	$ 349,000
Nonperforming Financing Receivable | Residential Real Estate | Legal modifications
Troubled Debt Restructurings disclosures
Number of Loans | item				32	34
Recorded Investment				$ 1,588,000	$ 1,637,000
Nonperforming Financing Receivable | Commercial Real Estate and Commercial Construction
Troubled Debt Restructurings disclosures
Number of Loans | item				14	11
Recorded Investment				$ 7,848,000	$ 7,101,000
Nonperforming Financing Receivable | Commercial Real Estate and Commercial Construction | Interest only payments
Troubled Debt Restructurings disclosures
Number of Loans | item				2	2
Recorded Investment				$ 876,000	$ 926,000
Nonperforming Financing Receivable | Commercial Real Estate and Commercial Construction | Rate reduction
Troubled Debt Restructurings disclosures
Number of Loans | item				5	3
Recorded Investment				$ 2,564,000	$ 1,915,000
Nonperforming Financing Receivable | Commercial Real Estate and Commercial Construction | Principal deferral
Troubled Debt Restructurings disclosures
Number of Loans | item				7	6
Recorded Investment				$ 4,408,000	$ 4,260,000

LOANS AND ALLOWANCE FOR LOAN 58

LOANS AND ALLOWANCE FOR LOAN AND LEASE LOSSES (Details 16)	3 Months Ended			6 Months Ended		12 Months Ended
	Jun. 30, 2015USD ($)item	Jun. 30, 2014USD ($)item	Mar. 31, 2014USD ($)	Jun. 30, 2015USD ($)item	Jun. 30, 2014USD ($)item	Dec. 31, 2014USD ($)item
Troubled Debt Restructurings disclosures
Number of Loans | item				365		378
Recorded Investment				$ 61,002,000		$ 65,266,000
Specific reserve allocations made to customers whose loan terms were modified in TDRs during period			$ 142,000	$ 635,000
Residential Real Estate
Troubled Debt Restructurings disclosures
Number of Loans | item				314		324
Recorded Investment				$ 37,510,000		$ 39,132,000
Residential Real Estate | Interest only payments
Troubled Debt Restructurings disclosures
Number of Loans | item				7		6
Recorded Investment				$ 1,052,000		$ 607,000
Residential Real Estate | Rate reduction
Troubled Debt Restructurings disclosures
Number of Loans | item				227		234
Recorded Investment				$ 30,640,000		$ 32,456,000
Residential Real Estate | Principal deferral
Troubled Debt Restructurings disclosures
Number of Loans | item				17		17
Recorded Investment				$ 1,632,000		$ 1,757,000
Residential Real Estate | Legal modifications
Troubled Debt Restructurings disclosures
Number of Loans | item				63		67
Recorded Investment				$ 4,186,000		$ 4,312,000
Commercial Real Estate and Commercial Construction
Troubled Debt Restructurings disclosures
Number of Loans | item				51		54
Recorded Investment				$ 23,492,000		$ 26,134,000
Commercial Real Estate and Commercial Construction | Interest only payments
Troubled Debt Restructurings disclosures
Number of Loans | item				11		12
Recorded Investment				$ 4,065,000		$ 5,096,000
Commercial Real Estate and Commercial Construction | Rate reduction
Troubled Debt Restructurings disclosures
Number of Loans | item				18		22
Recorded Investment				$ 9,228,000		$ 10,958,000
Commercial Real Estate and Commercial Construction | Principal deferral
Troubled Debt Restructurings disclosures
Number of Loans | item				22		20
Recorded Investment				$ 10,199,000		$ 10,080,000
Modified During The Period
Troubled Debt Restructurings disclosures
Number of Loans | item	14	19		31
Recorded Investment	$ 2,454,000	$ 1,633,000		$ 6,038,000
Modified During The Period | Residential Real Estate
Troubled Debt Restructurings disclosures
Number of Loans | item	5	18		17	57
Recorded Investment	$ 387,000	$ 1,190,000		$ 1,828,000	$ 5,771,000
Modified During The Period | Residential Real Estate | Interest only payments
Troubled Debt Restructurings disclosures
Number of Loans | item				1
Recorded Investment				$ 622,000
Modified During The Period | Residential Real Estate | Rate reduction
Troubled Debt Restructurings disclosures
Number of Loans | item	2	7		9	20
Recorded Investment	$ 308,000	$ 545,000		$ 868,000	$ 2,512,000
Modified During The Period | Residential Real Estate | Principal deferral
Troubled Debt Restructurings disclosures
Number of Loans | item	1	4		2	4
Recorded Investment	$ 24,000	$ 390,000		$ 48,000	$ 390,000
Modified During The Period | Residential Real Estate | Legal modifications
Troubled Debt Restructurings disclosures
Number of Loans | item	2	7		5	33
Recorded Investment	$ 55,000	$ 255,000		$ 290,000	$ 2,869,000
Modified During The Period | Commercial Real Estate and Commercial Construction
Troubled Debt Restructurings disclosures
Number of Loans | item	9	1		14	61
Recorded Investment	$ 2,067,000	$ 443,000		$ 4,210,000	$ 9,307,000
Modified During The Period | Commercial Real Estate and Commercial Construction | Interest only payments
Troubled Debt Restructurings disclosures
Number of Loans | item	1	1		3	1
Recorded Investment	$ 92,000	$ 443,000		$ 467,000	$ 443,000
Modified During The Period | Commercial Real Estate and Commercial Construction | Rate reduction
Troubled Debt Restructurings disclosures
Number of Loans | item	3			4	1
Recorded Investment	$ 890,000			$ 2,658,000	$ 1,103,000
Modified During The Period | Commercial Real Estate and Commercial Construction | Principal deferral
Troubled Debt Restructurings disclosures
Number of Loans | item	5			7	2
Recorded Investment	$ 1,085,000			$ 1,085,000	$ 1,990,000
Modified During The Period | Commercial Real Estate and Commercial Construction | Legal modifications
Troubled Debt Restructurings disclosures
Number of Loans | item					4
Recorded Investment					$ 3,536,000
Performing Financing Receivable
Troubled Debt Restructurings disclosures
Number of Loans | item				263		263
Recorded Investment				$ 44,633,000		$ 48,414,000
Percentage of troubled debt restructurings performing as per terms of modifications during the period.	74.00%	44.00%		73.00%		74.00%
Specific reserve allocations made to customers	$ 221,000	$ 54,000		$ 5,000,000		$ 4,000,000
Percentage of Bank's TDRs that occurred during period, which were performing according to their modified terms			39.00%	53.00%
Performing Financing Receivable | Residential Real Estate
Troubled Debt Restructurings disclosures
Number of Loans | item				226		220
Recorded Investment				$ 28,989,000		$ 29,381,000
Performing Financing Receivable | Residential Real Estate | Interest only payments
Troubled Debt Restructurings disclosures
Number of Loans | item				2		2
Recorded Investment				$ 637,000		$ 218,000
Performing Financing Receivable | Residential Real Estate | Rate reduction
Troubled Debt Restructurings disclosures
Number of Loans | item				183		173
Recorded Investment				$ 24,911,000		$ 25,080,000
Performing Financing Receivable | Residential Real Estate | Principal deferral
Troubled Debt Restructurings disclosures
Number of Loans | item				10		12
Recorded Investment				$ 843,000		$ 1,408,000
Performing Financing Receivable | Residential Real Estate | Legal modifications
Troubled Debt Restructurings disclosures
Number of Loans | item				31		33
Recorded Investment				$ 2,598,000		$ 2,675,000
Performing Financing Receivable | Commercial Real Estate and Commercial Construction
Troubled Debt Restructurings disclosures
Number of Loans | item				37		43
Recorded Investment				$ 15,644,000		$ 19,033,000
Performing Financing Receivable | Commercial Real Estate and Commercial Construction | Interest only payments
Troubled Debt Restructurings disclosures
Number of Loans | item				9		10
Recorded Investment				$ 3,189,000		$ 4,170,000
Performing Financing Receivable | Commercial Real Estate and Commercial Construction | Rate reduction
Troubled Debt Restructurings disclosures
Number of Loans | item				13		19
Recorded Investment				$ 6,664,000		$ 9,043,000
Performing Financing Receivable | Commercial Real Estate and Commercial Construction | Principal deferral
Troubled Debt Restructurings disclosures
Number of Loans | item				15		14
Recorded Investment				$ 5,791,000		$ 5,820,000
Performing Financing Receivable | Modified During The Period
Troubled Debt Restructurings disclosures
Number of Loans | item	7	10		16
Recorded Investment	$ 1,809,000	$ 714,000		$ 3,209,000
Performing Financing Receivable | Modified During The Period | Residential Real Estate
Troubled Debt Restructurings disclosures
Number of Loans | item		10		5	38
Recorded Investment		$ 714,000		$ 1,025,000	$ 3,594,000
Performing Financing Receivable | Modified During The Period | Residential Real Estate | Interest only payments
Troubled Debt Restructurings disclosures
Number of Loans | item				1
Recorded Investment				$ 622,000
Performing Financing Receivable | Modified During The Period | Residential Real Estate | Rate reduction
Troubled Debt Restructurings disclosures
Number of Loans | item		3		4	13
Recorded Investment		$ 194,000		$ 403,000	$ 1,042,000
Performing Financing Receivable | Modified During The Period | Residential Real Estate | Principal deferral
Troubled Debt Restructurings disclosures
Number of Loans | item		3			3
Recorded Investment		$ 360,000			$ 360,000
Performing Financing Receivable | Modified During The Period | Residential Real Estate | Legal modifications
Troubled Debt Restructurings disclosures
Number of Loans | item		4			22
Recorded Investment		$ 160,000			$ 2,192,000
Performing Financing Receivable | Modified During The Period | Commercial Real Estate and Commercial Construction
Troubled Debt Restructurings disclosures
Number of Loans | item	7			11	38
Recorded Investment	$ 1,809,000			$ 2,184,000	$ 3,594,000
Performing Financing Receivable | Modified During The Period | Commercial Real Estate and Commercial Construction | Interest only payments
Troubled Debt Restructurings disclosures
Number of Loans | item	1			3
Recorded Investment	$ 92,000			$ 467,000
Performing Financing Receivable | Modified During The Period | Commercial Real Estate and Commercial Construction | Rate reduction
Troubled Debt Restructurings disclosures
Number of Loans | item	2			2
Recorded Investment	$ 833,000			$ 833,000
Performing Financing Receivable | Modified During The Period | Commercial Real Estate and Commercial Construction | Principal deferral
Troubled Debt Restructurings disclosures
Number of Loans | item	4			6
Recorded Investment	$ 884,000			$ 884,000
Nonperforming Financing Receivable
Troubled Debt Restructurings disclosures
Number of Loans | item				102		115
Recorded Investment				$ 16,369,000		$ 16,852,000
Nonperforming Financing Receivable | Residential Real Estate
Troubled Debt Restructurings disclosures
Number of Loans | item				88		104
Recorded Investment				$ 8,521,000		$ 9,751,000
Nonperforming Financing Receivable | Residential Real Estate | Interest only payments
Troubled Debt Restructurings disclosures
Number of Loans | item				5		4
Recorded Investment				$ 415,000		$ 389,000
Nonperforming Financing Receivable | Residential Real Estate | Rate reduction
Troubled Debt Restructurings disclosures
Number of Loans | item				44		61
Recorded Investment				$ 5,729,000		$ 7,376,000
Nonperforming Financing Receivable | Residential Real Estate | Principal deferral
Troubled Debt Restructurings disclosures
Number of Loans | item				7		5
Recorded Investment				$ 789,000		$ 349,000
Nonperforming Financing Receivable | Residential Real Estate | Legal modifications
Troubled Debt Restructurings disclosures
Number of Loans | item				32		34
Recorded Investment				$ 1,588,000		$ 1,637,000
Nonperforming Financing Receivable | Commercial Real Estate and Commercial Construction
Troubled Debt Restructurings disclosures
Number of Loans | item				14		11
Recorded Investment				$ 7,848,000		$ 7,101,000
Nonperforming Financing Receivable | Commercial Real Estate and Commercial Construction | Interest only payments
Troubled Debt Restructurings disclosures
Number of Loans | item				2		2
Recorded Investment				$ 876,000		$ 926,000
Nonperforming Financing Receivable | Commercial Real Estate and Commercial Construction | Rate reduction
Troubled Debt Restructurings disclosures
Number of Loans | item				5		3
Recorded Investment				$ 2,564,000		$ 1,915,000
Nonperforming Financing Receivable | Commercial Real Estate and Commercial Construction | Principal deferral
Troubled Debt Restructurings disclosures
Number of Loans | item				7		6
Recorded Investment				$ 4,408,000		$ 4,260,000
Nonperforming Financing Receivable | Modified During The Period
Troubled Debt Restructurings disclosures
Number of Loans | item	7	9		15
Recorded Investment	$ 645,000	$ 919,000		$ 2,829,000
Nonperforming Financing Receivable | Modified During The Period | Residential Real Estate
Troubled Debt Restructurings disclosures
Number of Loans | item	5	8		12	19
Recorded Investment	$ 387,000	$ 476,000		$ 803,000	$ 2,177,000
Nonperforming Financing Receivable | Modified During The Period | Residential Real Estate | Rate reduction
Troubled Debt Restructurings disclosures
Number of Loans | item	2	4		5	7
Recorded Investment	$ 308,000	$ 351,000		$ 465,000	$ 1,470,000
Nonperforming Financing Receivable | Modified During The Period | Residential Real Estate | Principal deferral
Troubled Debt Restructurings disclosures
Number of Loans | item	1	1		2	1
Recorded Investment	$ 24,000	$ 30,000		$ 48,000	$ 30,000
Nonperforming Financing Receivable | Modified During The Period | Residential Real Estate | Legal modifications
Troubled Debt Restructurings disclosures
Number of Loans | item	2	3		5	11
Recorded Investment	$ 55,000	$ 95,000		$ 290,000	$ 677,000
Nonperforming Financing Receivable | Modified During The Period | Commercial Real Estate and Commercial Construction
Troubled Debt Restructurings disclosures
Number of Loans | item	2	1		3	23
Recorded Investment	$ 258,000	$ 443,000		$ 2,026,000	$ 5,713,000
Nonperforming Financing Receivable | Modified During The Period | Commercial Real Estate and Commercial Construction | Interest only payments
Troubled Debt Restructurings disclosures
Number of Loans | item		1			1
Recorded Investment		$ 443,000			$ 443,000
Nonperforming Financing Receivable | Modified During The Period | Commercial Real Estate and Commercial Construction | Rate reduction
Troubled Debt Restructurings disclosures
Number of Loans | item	1			2	1
Recorded Investment	$ 57,000			$ 1,825,000	$ 1,103,000
Nonperforming Financing Receivable | Modified During The Period | Commercial Real Estate and Commercial Construction | Principal deferral
Troubled Debt Restructurings disclosures
Number of Loans | item	1			1	2
Recorded Investment	$ 201,000			$ 201,000	$ 1,990,000
Nonperforming Financing Receivable | Modified During The Period | Commercial Real Estate and Commercial Construction | Legal modifications
Troubled Debt Restructurings disclosures
Number of Loans | item					4
Recorded Investment					$ 3,536,000

LOANS AND ALLOWANCE FOR LOAN 59

LOANS AND ALLOWANCE FOR LOAN AND LEASE LOSSES (Details 17) $ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2015USD ($)item	Jun. 30, 2014USD ($)item	Jun. 30, 2015USD ($)item	Jun. 30, 2014USD ($)item	Dec. 31, 2014USD ($)item
Troubled Debt Restructurings disclosures
Number of Loans | item			365		378
Recorded Investment			$ 61,002		$ 65,266
Loans on non-accrual status
Troubled Debt Restructurings disclosures
Number of Loans | item			95		84
Recorded Investment			$ 15,891		$ 14,186
Accrual Loans
Troubled Debt Restructurings disclosures
Number of Loans | item			270		294
Recorded Investment			$ 45,111		$ 51,080
Payment Default
Troubled Debt Restructurings disclosures
Number of Loans | item	6	4	11	9
Recorded Investment	$ 432	$ 592	$ 753	$ 4,265
Payment Default | Residential Real Estate - Owner Occupied
Troubled Debt Restructurings disclosures
Number of Loans | item	6	3	11	6
Recorded Investment	$ 432	$ 149	$ 753	$ 1,219
Payment Default | Commercial real estate
Troubled Debt Restructurings disclosures
Number of Loans | item		1		2
Recorded Investment		$ 443		$ 1,546
Payment Default | Construction & land development
Troubled Debt Restructurings disclosures
Number of Loans | item				1
Recorded Investment				$ 1,500

LOANS AND ALLOWANCE FOR LOAN 60

LOANS AND ALLOWANCE FOR LOAN AND LEASE LOSSES (Details 18) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Troubled Debt Restructurings disclosures
Carrying Amount of Foreclosed Properties	$ 2,920	$ 11,243
Residential Real Estate - Owner Occupied
Troubled Debt Restructurings disclosures
Carrying Amount of Foreclosed Properties	405	3,209
Commercial real estate
Troubled Debt Restructurings disclosures
Carrying Amount of Foreclosed Properties	1,765	3,324
Construction & land development
Troubled Debt Restructurings disclosures
Carrying Amount of Foreclosed Properties	$ 750	$ 4,710

LOANS AND ALLOWANCE FOR LOAN 61

LOANS AND ALLOWANCE FOR LOAN AND LEASE LOSSES (Details 19) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Recorded investment in residential and consumer loans based on payment activity
Recorded Investment	$ 3,323,977	$ 3,040,495
Residential Real Estate - Owner Occupied
Recorded investment in residential and consumer loans based on payment activity
Recorded Investment	1,100,133	1,118,341
Residential Real Estate - Owner Occupied | Foreclosure Proceedings In Process
Recorded investment in residential and consumer loans based on payment activity
Recorded Investment	$ 3,453	$ 2,466

DEPOSITS (Details)

DEPOSITS (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Deposit Liabilities
Demand	$ 720,517	$ 691,787
Savings	104,532	91,625
Total interest-bearing deposits	1,681,038	1,555,613
Total non interest-bearing deposits	598,572	502,569
Total deposits	2,279,610	2,058,182
Brokered Deposits
Deposit Liabilities
Money market accounts	120,379	35,649
Certificates of deposit	47,660	75,876
Individual Deposits
Deposit Liabilities
Money market accounts	489,440	471,339
Individual retirement accounts	35,113	28,771
Time deposits, $250,000 and over	42,493	56,556
Other certificates of deposit	$ 120,904	$ 104,010

FEDERAL HOME LOAN BANK (FHLB) A

FEDERAL HOME LOAN BANK (FHLB) ADVANCES (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014	Jun. 30, 2014
FHLB advances
Total FHLB advances	$ 916,500	$ 707,500
Weighted average interest rate (as percent)	1.32%
Additional collateralized advances available	$ 254,000	452,000
Average interest rate during the period (as percent)	0.15%		0.25%
Overnight advance with an interest rate of 0.15% due on April 1, 2015
FHLB advances
Total FHLB advances	$ 387,000	198,000
Weighted average interest rate (as percent)	0.15%
Variable interest rate advance indexed to 3-Month Libor plus 0.14% due on December 19, 2015
FHLB advances
Total FHLB advances	$ 10,000	$ 10,000
Variable interest rate advance indexed to 3-Month Libor plus 0.14% due on December 19, 2015 | London Interbank Offered Rate (LIBOR) [Member]
FHLB advances
Variable interest rate basis	3-Month LIBOR	3-Month LIBOR
Applicable margin (as a percent)	0.14%	0.14%
Fixed interest rate advances with a weighted average interest rate of 1.68% due through 2023
FHLB advances
Total FHLB advances	$ 419,500	$ 399,500
Weighted average interest rate (as percent)	1.68%	1.68%
Putable fixed interest rate advances with a weighted average interest rate of 4.39% due through 2017
FHLB advances
Total FHLB advances	$ 100,000	$ 100,000
Weighted average interest rate (as percent)	4.39%	4.39%
Putable fixed interest rate advances with a weighted average interest rate of 4.39% due through 2017 | Minimum
FHLB advances
Original fixed rate periods	1 year
Original maturities	3 years
Putable fixed interest rate advances with a weighted average interest rate of 4.39% due through 2017 | Maximum
FHLB advances
Original fixed rate periods	5 years
Original maturities	10 years
Various other unsecured lines of credit
FHLB advances
Unsecured lines of credit	$ 166,000	$ 166,000
Federal Home Loan Bank overnight advances
FHLB advances
Total FHLB advances	$ 387,000	$ 198,000
Weighted average interest rate (as percent)	0.15%	0.14%

FEDERAL HOME LOAN BANK (FHLB)64

FEDERAL HOME LOAN BANK (FHLB) ADVANCES (Details 2) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
FEDERAL HOME LOAN BANK ADVANCES
2015 (Overnight)	$ 387,000
2,015	10,000
2,016	82,000
2,017	145,000
2,018	117,500
2,019	100,000
2,020	45,000
Thereafter	30,000
Total	$ 916,500	$ 707,500
Weighted Average Rate
2015 (Overnight)	0.15%
2,015	0.41%
2,016	1.74%
2,017	3.44%
2,018	1.53%
2,019	1.80%
2,020	1.84%
Thereafter	1.95%
Total	1.32%

FEDERAL HOME LOAN BANK (FHLB)65

FEDERAL HOME LOAN BANK (FHLB) ADVANCES (Details 3) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
FHLB advances
Total FHLB advances	$ 916,500		$ 916,500		$ 707,500
Weighted average interest rate (as percent)	1.32%		1.32%
Average outstanding balance during the period	$ 111,193	$ 11,047	$ 73,783	$ 3,199
Average interest rate during the period (as percent)	0.15%	0.25%	0.15%	0.25%
Maximum outstanding at any month end during the period	$ 387,000	$ 93,000	$ 387,000	$ 93,000
Federal Home Loan Bank overnight advances
FHLB advances
Total FHLB advances	$ 387,000		$ 387,000		$ 198,000
Weighted average interest rate (as percent)	0.15%		0.15%		0.14%

FEDERAL HOME LOAN BANK (FHLB)66

FEDERAL HOME LOAN BANK (FHLB) ADVANCES (Details 4) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
First lien, single family residential real estate
Real estate loans pledged to collateralize advances and letters of credit with the FHLB
Real estate loans pledged to collateralize advances and letters of credit with FHLB	$ 1,338,184	$ 1,333,811
Home equity lines of credit
Real estate loans pledged to collateralize advances and letters of credit with the FHLB
Real estate loans pledged to collateralize advances and letters of credit with FHLB	105,112	103,064
Multi-family commercial real estate
Real estate loans pledged to collateralize advances and letters of credit with the FHLB
Real estate loans pledged to collateralize advances and letters of credit with FHLB	$ 19,786	$ 12,682

FAIR VALUE (Details)

FAIR VALUE (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014	Dec. 31, 2008
Financial assets:
Securities available for sale	$ 456,612,000		$ 456,612,000		$ 435,911,000
Financial Liabilities:
Transfers between Level 1, 2 or 3	0	$ 0	0	$ 0
U.S. Treasury securities and U.S. Government agencies
Financial assets:
Securities available for sale	198,851,000		198,851,000		146,922,000
Private label mortgage backed security
Financial assets:
Securities available for sale	5,231,000		5,231,000		5,250,000
Mortgage backed securities - residential
Financial assets:
Securities available for sale	107,880,000		107,880,000		124,256,000
Collateralized mortgage obligations
Financial assets:
Securities available for sale	128,260,000		128,260,000		143,171,000
Freddie Mac
Financial assets:
Securities available for sale	231,000		231,000		231,000	$ 0
Mutual fund
Financial assets:
Securities available for sale	1,015,000		1,015,000		1,018,000
Corporate bonds
Financial assets:
Securities available for sale	15,144,000		15,144,000		15,063,000
Fair Value, Inputs, Level 1
Financial assets:
Securities available for sale	1,015,000		1,015,000		1,018,000
Fair Value, Inputs, Level 2
Financial assets:
Securities available for sale	450,366,000		450,366,000		429,643,000
Fair Value, Inputs, Level 3
Financial assets:
Securities available for sale	5,231,000		5,231,000		5,250,000
Recurring basis | Fair Value, Inputs, Level 1
Financial assets:
Securities available for sale	1,015,000		1,015,000		1,018,000
Recurring basis | Fair Value, Inputs, Level 1 | Mutual fund
Financial assets:
Securities available for sale	1,015,000		1,015,000		1,018,000
Recurring basis | Fair Value, Inputs, Level 2
Financial assets:
Securities available for sale	450,366,000		450,366,000		429,643,000
Mortgage loans held for sale	10,277,000		10,277,000		6,388,000
Rate lock loan commitments	376,000		376,000		250,000
Financial Liabilities:
Mandatory forward contracts	1,000		1,000		33,000
Interest rate swap agreements	505,000		505,000		488,000
Recurring basis | Fair Value, Inputs, Level 2 | U.S. Treasury securities and U.S. Government agencies
Financial assets:
Securities available for sale	198,851,000		198,851,000		146,922,000
Recurring basis | Fair Value, Inputs, Level 2 | Mortgage backed securities - residential
Financial assets:
Securities available for sale	107,880,000		107,880,000		124,256,000
Recurring basis | Fair Value, Inputs, Level 2 | Collateralized mortgage obligations
Financial assets:
Securities available for sale	128,260,000		128,260,000		143,171,000
Recurring basis | Fair Value, Inputs, Level 2 | Freddie Mac
Financial assets:
Securities available for sale	231,000		231,000		231,000
Recurring basis | Fair Value, Inputs, Level 2 | Corporate bonds
Financial assets:
Securities available for sale	15,144,000		15,144,000		15,063,000
Recurring basis | Fair Value, Inputs, Level 3
Financial assets:
Securities available for sale	5,231,000		5,231,000		5,250,000
Recurring basis | Fair Value, Inputs, Level 3 | Private label mortgage backed security
Financial assets:
Securities available for sale	5,231,000		5,231,000		5,250,000
Recurring basis | Total Fair Value
Financial assets:
Securities available for sale	456,612,000		456,612,000		435,911,000
Mortgage loans held for sale	10,277,000		10,277,000		6,388,000
Rate lock loan commitments	376,000		376,000		250,000
Financial Liabilities:
Mandatory forward contracts	1,000		1,000		33,000
Interest rate swap agreements	505,000		505,000		488,000
Recurring basis | Total Fair Value | U.S. Treasury securities and U.S. Government agencies
Financial assets:
Securities available for sale	198,851,000		198,851,000		146,922,000
Recurring basis | Total Fair Value | Private label mortgage backed security
Financial assets:
Securities available for sale	5,231,000		5,231,000		5,250,000
Recurring basis | Total Fair Value | Mortgage backed securities - residential
Financial assets:
Securities available for sale	107,880,000		107,880,000		124,256,000
Recurring basis | Total Fair Value | Collateralized mortgage obligations
Financial assets:
Securities available for sale	128,260,000		128,260,000		143,171,000
Recurring basis | Total Fair Value | Freddie Mac
Financial assets:
Securities available for sale	231,000		231,000		231,000
Recurring basis | Total Fair Value | Mutual fund
Financial assets:
Securities available for sale	1,015,000		1,015,000		1,018,000
Recurring basis | Total Fair Value | Corporate bonds
Financial assets:
Securities available for sale	$ 15,144,000		$ 15,144,000		$ 15,063,000

FAIR VALUE (Details 2)

FAIR VALUE (Details 2) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
FAIR VALUE
Balance, beginning of year	$ 5,235	$ 5,270	$ 5,250	$ 5,485
Net change in unrealized gain	(4)	315	(26)	369
Recovery of actual losses previously recorded		34	35	66
Principal paydowns		(158)	(28)	(459)
Balance, end of year	$ 5,231	$ 5,461	$ 5,231	$ 5,461

FAIR VALUE (Details 3)

FAIR VALUE (Details 3) - Private label mortgage backed security - Recurring basis - Fair Value, Inputs, Level 3 - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Fair value inputs quantitative information
Mortgage backed security fair value	$ 5,231	$ 5,250
Discounted cash flow | Minimum
Fair value inputs quantitative information
Constant prepayment rate (as a percent)	(4.00%)	0.50%
Probability of default (as a percent)	3.00%	3.00%
Loss severity (as a percent)	60.00%	60.00%
Discounted cash flow | Maximum
Fair value inputs quantitative information
Constant prepayment rate (as a percent)	6.50%	6.50%
Probability of default (as a percent)	13.00%	6.20%
Loss severity (as a percent)	90.00%	75.00%

FAIR VALUE (Details 4)

FAIR VALUE (Details 4) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014	Mar. 31, 2015	Mar. 31, 2014	Dec. 31, 2013
Fair value gain loss change in fair value
Aggregate fair value	$ 10,277		$ 10,277		$ 6,388
Gain			2,353	$ 1,166
Interest income	31,058	$ 27,550	60,080	54,854
Mortgage loans held for sale
Fair value gain loss change in fair value
Aggregate fair value	10,277	6,809	10,277	6,809	6,388	$ 12,748	$ 2,414	$ 3,506
Gain	1,131	668	2,353	1,166
Interest income	57	49	113	95
Change in fair value	(81)	159	97	124
Total included in earnings	(24)	$ 208	210	$ 219
Mortgage loans held for sale | Total Fair Value
Fair value gain loss change in fair value
Aggregate fair value	10,277		10,277		6,388
Contractual balance	10,057		$ 10,057		6,265
Gain	$ 220				$ 123

FAIR VALUE (Details 5)

FAIR VALUE (Details 5) - Nonrecurring basis - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Fair Value Disclosures
Impaired loan on non-recurring basis	$ 8,900	$ 9,848
Other real estate owned	1,174	9,188
Residential Real Estate
Fair Value Disclosures
Other real estate owned	143	1,916
Residential Real Estate - Owner Occupied
Fair Value Disclosures
Impaired loan on non-recurring basis	3,371	1,678
Residential Real Estate - Non Owner Occupied
Fair Value Disclosures
Impaired loan on non-recurring basis	435	702
Commercial real estate
Fair Value Disclosures
Impaired loan on non-recurring basis	3,828	6,122
Other real estate owned	1,031	2,845
Construction & land development
Fair Value Disclosures
Other real estate owned		4,427
Home equity lines of credit
Fair Value Disclosures
Impaired loan on non-recurring basis	1,266	1,346
Premises, held for sale
Fair Value Disclosures
Other real estate owned	1,251	1,317
Fair Value, Inputs, Level 3
Fair Value Disclosures
Impaired loan on non-recurring basis	8,900	9,848
Other real estate owned	1,174	9,188
Fair Value, Inputs, Level 3 | Residential Real Estate
Fair Value Disclosures
Other real estate owned	143	1,916
Fair Value, Inputs, Level 3 | Residential Real Estate - Owner Occupied
Fair Value Disclosures
Impaired loan on non-recurring basis	3,371	1,678
Fair Value, Inputs, Level 3 | Residential Real Estate - Non Owner Occupied
Fair Value Disclosures
Impaired loan on non-recurring basis	435	702
Fair Value, Inputs, Level 3 | Commercial real estate
Fair Value Disclosures
Impaired loan on non-recurring basis	3,828	6,122
Other real estate owned	1,031	2,845
Fair Value, Inputs, Level 3 | Construction & land development
Fair Value Disclosures
Other real estate owned		4,427
Fair Value, Inputs, Level 3 | Home equity lines of credit
Fair Value Disclosures
Impaired loan on non-recurring basis	1,266	1,346
Fair Value, Inputs, Level 3 | Premises, held for sale
Fair Value Disclosures
Other real estate owned	$ 1,251	$ 1,317

FAIR VALUE (Details 6)

FAIR VALUE (Details 6) - Fair Value, Inputs, Level 3 - Nonrecurring basis - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Premises, held for sale | Sale comparison approach
Fair value inputs quantitative information
Fair Value	$ 1,251	$ 1,317
Adjustments determined by management for differences (as a percent)	5.00%	1.00%
Premises, held for sale | Sale comparison approach | Weighted Average
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)	5.00%	1.00%
Impaired Loans | Commercial real estate | Sale comparison approach
Fair value inputs quantitative information
Fair Value	$ 1,884	$ 2,615
Impaired Loans | Commercial real estate | Sale comparison approach | Minimum
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)	0.00%	0.00%
Impaired Loans | Commercial real estate | Sale comparison approach | Maximum
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)	22.00%	9.00%
Impaired Loans | Commercial real estate | Sale comparison approach | Weighted Average
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)	4.00%	2.00%
Impaired Loans | Commercial real estate | Income approach
Fair value inputs quantitative information
Fair Value	$ 1,944	$ 3,507
Adjustments determined by management for differences (as a percent)	42.00%
Impaired Loans | Commercial real estate | Income approach | Minimum
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)		3.00%
Impaired Loans | Commercial real estate | Income approach | Maximum
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)		37.00%
Impaired Loans | Commercial real estate | Income approach | Weighted Average
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)	42.00%	22.00%
Impaired Loans | Residential Real Estate - Owner Occupied | Sale comparison approach
Fair value inputs quantitative information
Fair Value	$ 3,371	$ 1,678
Impaired Loans | Residential Real Estate - Owner Occupied | Sale comparison approach | Minimum
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)	0.00%	0.00%
Impaired Loans | Residential Real Estate - Owner Occupied | Sale comparison approach | Maximum
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)	38.00%	33.00%
Impaired Loans | Residential Real Estate - Owner Occupied | Sale comparison approach | Weighted Average
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)	10.00%	7.00%
Impaired Loans | Residential Real Estate - Non Owner Occupied | Sale comparison approach
Fair value inputs quantitative information
Fair Value	$ 435	$ 702
Impaired Loans | Residential Real Estate - Non Owner Occupied | Sale comparison approach | Minimum
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)	0.00%	0.00%
Impaired Loans | Residential Real Estate - Non Owner Occupied | Sale comparison approach | Maximum
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)	33.00%	33.00%
Impaired Loans | Residential Real Estate - Non Owner Occupied | Sale comparison approach | Weighted Average
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)	14.00%	18.00%
Impaired Loans | Home equity lines of credit | Sale comparison approach
Fair value inputs quantitative information
Fair Value	$ 1,266	$ 1,346
Impaired Loans | Home equity lines of credit | Sale comparison approach | Minimum
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)	2.00%	0.00%
Impaired Loans | Home equity lines of credit | Sale comparison approach | Maximum
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)	37.00%	35.00%
Impaired Loans | Home equity lines of credit | Sale comparison approach | Weighted Average
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)	19.00%	12.00%
Other Real Estate Owned | Commercial real estate | Sale comparison approach
Fair value inputs quantitative information
Fair Value	$ 1,031	$ 1,378
Adjustments determined by management for differences (as a percent)	33.00%
Other Real Estate Owned | Commercial real estate | Sale comparison approach | Minimum
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)		11.00%
Other Real Estate Owned | Commercial real estate | Sale comparison approach | Maximum
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)		14.00%
Other Real Estate Owned | Commercial real estate | Sale comparison approach | Weighted Average
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)	33.00%	13.00%
Other Real Estate Owned | Commercial real estate | Income approach
Fair value inputs quantitative information
Fair Value		$ 1,467
Adjustments determined by management for differences (as a percent)		19.00%
Other Real Estate Owned | Commercial real estate | Income approach | Weighted Average
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)		19.00%
Other Real Estate Owned | Construction & land development | Sale comparison approach
Fair value inputs quantitative information
Fair Value		$ 2,000
Other Real Estate Owned | Construction & land development | Sale comparison approach | Minimum
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)		13.00%
Other Real Estate Owned | Construction & land development | Sale comparison approach | Maximum
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)		70.00%
Other Real Estate Owned | Construction & land development | Sale comparison approach | Weighted Average
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)		38.00%
Other Real Estate Owned | Construction & land development | Income approach
Fair value inputs quantitative information
Fair Value		$ 2,427
Other Real Estate Owned | Construction & land development | Income approach | Minimum
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)		8.00%
Other Real Estate Owned | Construction & land development | Income approach | Maximum
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)		9.00%
Other Real Estate Owned | Construction & land development | Income approach | Weighted Average
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)		8.00%
Other Real Estate Owned | Residential Real Estate | Sale comparison approach
Fair value inputs quantitative information
Fair Value	$ 143	$ 1,916
Other Real Estate Owned | Residential Real Estate | Sale comparison approach | Minimum
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)	10.00%	9.00%
Other Real Estate Owned | Residential Real Estate | Sale comparison approach | Maximum
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)	80.00%	23.00%
Other Real Estate Owned | Residential Real Estate | Sale comparison approach | Weighted Average
Fair value inputs quantitative information
Adjustments determined by management for differences (as a percent)	14.00%	19.00%

FAIR VALUE (Details 7)

FAIR VALUE (Details 7) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Impaired loans
Carrying amount of loans measured at fair value	$ 45,647	$ 53,620
Impaired Financing Receivable, Related Allowance	5,757	5,564
Nonrecurring basis
Impaired loans
Total fair value	8,900	9,848
Fair Value, Inputs, Level 3 | Nonrecurring basis
Impaired loans
Carrying amount of loans measured at fair value	7,727	8,343
Estimated selling costs considered in carrying amount	1,173	1,505
Total fair value	$ 8,900	$ 9,848

FAIR VALUE (Details 8)

FAIR VALUE (Details 8) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Real Estate, Write-down or Reserve
Carrying value of other real estate owned	$ 2,920,000		$ 2,920,000		$ 11,243,000
Other real estate owned writedowns			704,000	$ 1,217,000
Mortgage Servicing Rights
Premises, Held for Sale
Fair value of assets held for sale	0		0		0
Other Real Estate Owned
Real Estate, Write-down or Reserve
Other real estate carried at fair value	1,174,000		1,174,000		9,188,000
Other real estate carried at cost	1,746,000		1,746,000		2,055,000
Other Real Estate	2,920,000		2,920,000		11,243,000
Other real estate owned writedowns	220,000	$ 333,000	704,000	1,217,000
Hudson, Florida banking center
Premises, Held for Sale
Fair value of assets held for sale	1,000,000		1,000,000		$ 1,000,000
Written down value of assets	33,000,000	$ 0	66,000	$ 0
Elizabethtown
Premises, Held for Sale
Fair value of assets held for sale	$ 1,000,000		$ 1,000,000

FAIR VALUE (Details 9)

FAIR VALUE (Details 9) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Assets:
Securities available for sale	$ 456,612	$ 435,911
Securities to be held to maturity	43,600	45,807
Fair Value, Inputs, Level 1
Assets:
Cash and cash equivalents	92,766	72,878
Securities available for sale	1,015	1,018
Fair Value, Inputs, Level 2
Assets:
Securities available for sale	450,366	429,643
Securities to be held to maturity	43,600	45,807
Mortgage loans held for sale, at fair value	10,277	6,388
Other loans held for sale, at the lower of cost or fair vlaue	1,542
Accrued interest receivable	8,938	8,807
Other assets	376	250
Liabilities:
Securities sold under agreements to repurchase and other short-term borrowings	229,825	356,108
Federal Home Loan Bank advances	929,972	721,346
Subordinated note	40,874	41,198
Accrued interest payable	1,207	1,262
Other liabilities	506	521
Fair Value, Inputs, Level 2 | Non Interest Bearing Deposits
Liabilities:
Deposit liabilities, fair value	598,572	502,569
Fair Value, Inputs, Level 2 | Transaction deposits
Liabilities:
Deposit liabilities, fair value	1,434,868	1,290,400
Fair Value, Inputs, Level 2 | Time deposits
Liabilities:
Deposit liabilities, fair value	246,670	265,858
Fair Value, Inputs, Level 3
Assets:
Securities available for sale	5,231	5,250
Loans, net of Allowance	3,332,960	3,045,443
Carrying Value
Assets:
Cash and cash equivalents	92,766	72,878
Securities available for sale	456,612	435,911
Securities to be held to maturity	43,070	45,437
Mortgage loans held for sale, at fair value	10,277	6,388
Other loans held for sale, at the lower of cost or fair vlaue	1,542
Loans, net of Allowance	3,298,729	3,016,085
Federal Home Loan Bank stock	28,208	28,208
Accrued interest receivable	8,938	8,807
Other assets	376	250
Liabilities:
Securities sold under agreements to repurchase and other short-term borrowings	229,825	356,108
Federal Home Loan Bank advances	916,500	707,500
Subordinated note	41,240	41,240
Accrued interest payable	1,207	1,262
Other liabilities	506	521
Carrying Value | Non Interest Bearing Deposits
Liabilities:
Deposit liabilities, fair value	598,572	502,569
Carrying Value | Transaction deposits
Liabilities:
Deposit liabilities, fair value	1,434,868	1,290,400
Carrying Value | Time deposits
Liabilities:
Deposit liabilities, fair value	246,170	265,213
Total Fair Value
Assets:
Cash and cash equivalents	92,766	72,878
Securities available for sale	456,612	435,911
Securities to be held to maturity	43,600	45,807
Mortgage loans held for sale, at fair value	10,277	6,388
Other loans held for sale, at the lower of cost or fair vlaue	1,542
Loans, net of Allowance	3,332,960	3,045,443
Accrued interest receivable	8,938	8,807
Other assets	376	250
Liabilities:
Securities sold under agreements to repurchase and other short-term borrowings	229,825	356,108
Federal Home Loan Bank advances	929,972	721,346
Subordinated note	40,874	41,198
Accrued interest payable	1,207	1,262
Other liabilities	506	521
Total Fair Value | Non Interest Bearing Deposits
Liabilities:
Deposit liabilities, fair value	598,572	502,569
Total Fair Value | Transaction deposits
Liabilities:
Deposit liabilities, fair value	1,434,868	1,290,400
Total Fair Value | Time deposits
Liabilities:
Deposit liabilities, fair value	$ 246,670	$ 265,858

MORTGAGE BANKING ACTIVITIES (De

MORTGAGE BANKING ACTIVITIES (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Activity for mortgage loans held for sale
Balance, beginning of year			$ 6,388
Origination of mortgage loans held for sale			96,008	$ 33,284
Proceeds from the sale of mortgage loans held for sale			(94,472)	(31,147)
Net gain on sale of mortgage loans held for sale			2,353	1,166
Balance, end of year	$ 10,277		10,277		$ 6,388
Mortgage loans held for sale
Activity for mortgage loans held for sale
Balance, beginning of year	12,748	$ 2,414	6,388	3,506	3,506
Origination of mortgage loans held for sale	50,173	19,174	96,008	33,284
Proceeds from the sale of mortgage loans held for sale	(53,775)	(15,447)	(94,472)	(31,147)
Net gain on sale of mortgage loans held for sale	1,131	668	2,353	1,166
Balance, end of year	$ 10,277	$ 6,809	$ 10,277	$ 6,809	$ 6,388

MORTGAGE BANKING ACTIVITIES (77

MORTGAGE BANKING ACTIVITIES (Details 2) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Mortgage servicing rights
Net gain realized on sale of mortgage loans held for sale	$ 1,209	$ 460	$ 2,098	$ 918
Net gain recognized	1,131	668	2,353	1,166
Loan servicing income	471	492	940	794
Amortization of mortgage servicing rights	(378)	(348)	(716)	(662)
Net servicing income recognized	93	144	224	132
Total Mortgage Banking income	1,224	812	2,577	1,298
Mortgage loans held for sale
Mortgage servicing rights
Net change in fair value	(81)	159	97	124
Rate lock loan commitments
Mortgage servicing rights
Net change in fair value	(121)	99	126	179
Mandatory forward contracts
Mortgage servicing rights
Net change in fair value	$ 124	$ (50)	$ 32	$ (55)

MORTGAGE BANKING ACTIVITIES (78

MORTGAGE BANKING ACTIVITIES (Details 3) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
MORTGAGE BANKING ACTIVITIES
Balance, beginning of year	$ 4,864	$ 5,227	$ 4,813	$ 5,409
Additions	485	130	874	262
Amortized to expense	(378)	(348)	(716)	(662)
Balance, end of year	$ 4,971	$ 5,009	$ 4,971	$ 5,009

MORTGAGE BANKING ACTIVITIES (79

MORTGAGE BANKING ACTIVITIES (Details 4) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Mortgage Servicing Rights
Fair value of mortgage servicing rights portfolio	$ 6,922	$ 6,651
Discount rate (as percent)	12.00%	10.00%
Weighted average default rate (as percent)	1.50%	1.50%
Weighted average life in years	6 years 5 months 1 day	5 years 8 months 12 days
Minimum
Mortgage Servicing Rights
Monthly prepayment rate of unpaid principle balance (as percent)	105.00%	95.00%
Maximum
Mortgage Servicing Rights
Monthly prepayment rate of unpaid principle balance (as percent)	462.00%	462.00%

MORTGAGE BANKING ACTIVITIES (80

MORTGAGE BANKING ACTIVITIES (Details 5) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
MORTGAGE BANKING ACTIVITIES
Derivative instruments expiration period	90 days
Other Assets
Information about derivatives and swaps
Notional Amount, Assets	$ 23,261	$ 12,866
Fair Value, Assets	376	250
Other Liabilities
Information about derivatives and swaps
Notional Amount, Liabilities	26,186	13,181
Fair Value, Liabilities	1	33
Mortgage loans held for sale
Information about derivatives and swaps
Notional Amount, Assets	10,057	6,265
Fair Value, Assets	$ 10,277	$ 6,388

INTEREST RATE SWAPS (Details)

INTEREST RATE SWAPS (Details) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2015USD ($)	Dec. 31, 2014USD ($)	Dec. 31, 2013item
Summary information about interest rate swaps
Notional amount	$ 38,554
Interest rate swap | Cash flow hedge
Derivative [Line Items]
Number of derivative agreements | item			2
Summary information about interest rate swaps
Notional amount	20,000
(Liabilities)	(505)	$ (488)
Unrealized gain (loss) in accumulated OCI	(328)	(316)
Interest rate swap | Cash flow hedge | 1-month LIBOR
Summary information about interest rate swaps
Notional amount	$ 10,000
Pay rate (as a percent)	2.17%
(Liabilities)	$ (239)	(232)
Unrealized gain (loss) in accumulated OCI	(155)	(150)
Interest rate swap | Cash flow hedge | 3-month LIBOR
Summary information about interest rate swaps
Notional amount	$ 10,000
Pay rate (as a percent)	2.33%
(Liabilities)	$ (266)	(256)
Unrealized gain (loss) in accumulated OCI	$ (173)	$ (166)

INTEREST RATE SWAPS (Details 2)

INTEREST RATE SWAPS (Details 2) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
INTEREST RATE SWAPS
Interest expense on deposits related to money market swap transaction	$ 50	$ 51	$ 99	$ 100
Interest expense on FHLB Advances related to FHLB swap transaction	53	48	105	99
Total interest expense on swap transaction	$ 103	$ 99	$ 204	$ 199

INTEREST RATE SWAPS (Details 3)

INTEREST RATE SWAPS (Details 3) - Interest rate swap - Cash flow hedge - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Derivative [Line Items]
Amount of Gain (Loss) Recognized in Other Comprehensive Income on Derivative (Effective Portion)	$ 175,000	$ (364,000)	$ (221,000)	$ (704,000)
Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income on Derivative (Effective Portion)	$ (103,000)	$ (99,000)	(204,000)	$ (199,000)
Expected reclassification amount for derivative losses realized in income			$ 369,000

INTEREST RATE SWAPS (Details 4)

INTEREST RATE SWAPS (Details 4) - USD ($)	6 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Information about derivatives and swaps
Notional amount	$ 38,554,000
Security Owned and Pledged as Collateral, Fair Value	329,417,000	$ 410,307,000
Counterparty
Information about derivatives and swaps
Security Owned and Pledged as Collateral, Fair Value	974,000	$ 734,000
Counterparty | Minimum
Information about derivatives and swaps
Unrealized Gain (Loss) on Derivatives	250,000
Interest rate swap | Non-Hedge | Bank Clients
Information about derivatives and swaps
Notional amount	19,277,000
Fair Value	(69,000)
Interest rate swap | Non-Hedge | Counterparty
Information about derivatives and swaps
Notional amount	19,277,000
Fair Value	$ 69,000

OFF BALANCE SHEET RISKS, COMM85

OFF BALANCE SHEET RISKS, COMMITMENTS AND CONTINGENT LIABILITIES (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Commitments and letters of credit
Loan commitment, line credit	$ 746,948	$ 694,178
Unused warehouse lines of credit
Commitments and letters of credit
Loan commitment, line credit	156,095	208,069
Unused home equity lines of credit
Commitments and letters of credit
Loan commitment, line credit	266,886	240,372
Unused loan commitments - other
Commitments and letters of credit
Loan commitment, line credit	289,756	216,806
Commitments to purchase laons
Commitments and letters of credit
Loan commitment, line credit	20,751	15,798
Standby letters of credit
Commitments and letters of credit
Loan commitment, line credit	$ 13,460	12,383
FHLB letters of credit
Commitments and letters of credit
Loan commitment, line credit		$ 750

EARNINGS PER SHARE (Details)

EARNINGS PER SHARE (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
EARNINGS PER SHARE
Net income	$ 8,320	$ 6,322	$ 22,108	$ 18,306
Weighted average shares outstanding	20,860,000	20,793,000	20,859,000	20,795,000
Effect of dilutive securities (in shares)	81,000	95,000	80,000	96,000
Average shares outstanding including dilutive securities	20,941,000	20,888,000	20,939,000	20,891,000
Diluted earnings per share:
Antidilutive stock options (in shares)	330,150	15,500	332,150	15,500
Average antidilutive stock options (in shares)	237,118	15,500	126,684	15,500
Class A Common Stock
EARNINGS PER SHARE
Cash dividend premium per share (as a percent)			10.00%
Basic earnings per share:
Basic earnings per share	$ 0.40	$ 0.31	$ 1.07	$ 0.88
Diluted earnings per share:
Diluted earnings per share	0.40	0.30	1.07	0.88
Class B Common Stock
Basic earnings per share:
Basic earnings per share	0.37	0.29	0.97	0.85
Diluted earnings per share:
Diluted earnings per share	$ 0.36	$ 0.29	$ 0.97	$ 0.85

STOCK PLANS AND STOCK BASED C87

STOCK PLANS AND STOCK BASED COMPENSATION (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014	Dec. 31, 2014
STOCK PLANS AND STOCK BASED COMPENSATION
Number of shares available for grant permitted by plan	3,000,000
Information related to the stock option plan
Intrinsic value of options exercised		$ 7	$ 54	$ 26
Cash received from options exercised, net of shares redeemed		97	119	$ 117
Total fair value of options granted	$ 1,140		$ 1,140
Estimated unrecognized stock option and restricted stock award expense related to unvested options and awards (net of estimated forfeitures)
2,015	292
2,016	577
2,017	547
2,018	389
2,019	159
2,020	41
Total	$ 2,005
Class B Common Stock
STOCK PLANS AND STOCK BASED COMPENSATION
Number of shares available for grant permitted by plan	0
Class A Common Stock
STOCK PLANS AND STOCK BASED COMPENSATION
Number of options outstanding (in shares)	461,900		155,000	327,500	327,500	155,000
Options
Outstanding, beginning of year (in shares)			155,000	327,500	327,500
Granted (in shares)			317,900		1,000
Exercised (in shares)			(11,000)		(90,500)
Forfeited or expired (in shares)					(83,000)
Outstanding, end of year (in shares)	461,900		461,900		155,000
Fully vested and expected to vest (in shares)	461,900
Exercisable (vested) at end of year (in shares)	128,000
Weighted Average Exercise Price
Outstanding, beginning of year (in dollars per share)			$ 20.15	$ 20.03	$ 20.03
Granted (in dollars per share)			24.50		23.50
Exercised (in dollars per share)			18.99		19.78
Forfeited or expired (in dollars per share)					20.09
Outstanding, end of year (in dollars per share)	$ 23.18		$ 23.18		$ 20.15
Fully vested and expected to vest (in dollars per share)	23.18
Exercisable (vested) at end of year (in dollars per share)	$ 19.91
Weighted Average Remaining Contractual Term
Outstanding, end of year			3 years 10 months 24 days		1 year 1 month 21 days
Fully vested and expected to vest			3 years 10 months 24 days
Exercisable (vested) at end of year			5 months 1 day
Aggregate Intrinsic Value
Outstanding, end of year	$ 1,204,000					$ 710,000
Fully vested and expected to vest	1,204,000
Exercisable (vested) at end of year	753,000
Minimum
STOCK PLANS AND STOCK BASED COMPENSATION
Vesting period			3 years
Exercisable period			5 years
Maximum
STOCK PLANS AND STOCK BASED COMPENSATION
Exercisable period			6 years
Stock option
STOCK PLANS AND STOCK BASED COMPENSATION
Exercisable period			1 year
Information related to restricted stock awards granted
Expenses	51	(18)	$ 56	$ 13
Estimated unrecognized stock option and restricted stock award expense related to unvested options and awards (net of estimated forfeitures)
2,015	140
2,016	273
2,017	269
2,018	266
2,019	147
2,020	30
Total	$ 1,125
Restricted Stock Awards
Weighted Average Exercise Price
Outstanding, beginning of year (in dollars per share)			$ 19.85	$ 19.85	$ 19.85
Granted (in dollars per share)			25.19
Forfeited or expired (in dollars per share)					19.85
Outstanding, end of year (in dollars per share)	$ 20.01		$ 20.01		$ 19.85
Information related to restricted stock awards granted
Shares granted			2,500
Expenses	$ 74	$ 180	$ 147	$ 255
Shares
Outstanding, beginning of year (in shares)			80,500	87,000	87,000
Granted (in shares)			2,500
Outstanding, end of year (in shares)	83,000		83,000		80,500
Forfeited or expired (in shares)					(1,500)
Earned and issued (in shares)					(5,000)
Estimated unrecognized stock option and restricted stock award expense related to unvested options and awards (net of estimated forfeitures)
2,015	$ 152
2,016	304
2,017	278
2,018	123
2,019	12
2,020	11
Total	$ 880

SECURITIES SOLD UNDER AGREEME88

SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Securities sold under agreements to repurchase
Outstanding balance at end of year	$ 229,825		$ 229,825		$ 356,108
Securities sold under agreements to repurchase
Securities sold under agreements to repurchase
Outstanding balance at end of year	$ 229,825		$ 229,825		$ 356,108
Weighted average interest rate at end of period (as a percent)	0.02%		0.02%		0.04%
Fair Value of securities pledged	$ 300,540		$ 300,540		$ 378,478
Average outstanding balance during the period	$ 335,530	$ 259,132	$ 363,321	$ 241,205
Average interest rate during the period (as a percent)	0.02%	0.03%	0.03%	0.04%
Maximum outstanding at any month end during the period	$ 340,196	$ 265,526	$ 408,955	$ 265,526
Securities sold under agreements to repurchase | U.S. Treasury securities and U.S. Government agencies
Securities sold under agreements to repurchase
Fair Value of securities pledged	87,912		87,912		121,378
Securities sold under agreements to repurchase | Mortgage backed securities - residential
Securities sold under agreements to repurchase
Fair Value of securities pledged	91,591		91,591		105,144
Securities sold under agreements to repurchase | Collateralized mortgage obligations
Securities sold under agreements to repurchase
Fair Value of securities pledged	$ 121,037		$ 121,037		$ 151,956

OTHER COMPREHENSIVE INCOME (Det

OTHER COMPREHENSIVE INCOME (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Available for Sale Securities:
Reclassification adjustment for gain on security available for sale recognized in earnings	$ (88)		$ (88)
Net unrealized gains (losses)	1,148	$ (2,941)	(68)	$ (2,997)
Tax effect	401	(1,029)	(23)	(1,049)
Net of tax	(747)	1,912	45	1,948
Cash Flow Hedges:
Change in fair value of derivatives used for cash flow hedges	175	(364)	(221)	(704)
Reclassification adjustment for derivative losses realized in income	103	99	204	199
Net unrealized gains	278	(265)	(17)	(505)
Tax effect	(97)	92	5	176
Net of tax	181	(173)	(12)	(329)
Other Comprehensive Income (Loss), Net of Tax	(566)	1,739	33	1,619
Beginning balance			4,315	3,121
Current Year Change	(566)	1,739	33	1,619
Ending balance	4,348	4,740	4,348	4,740
Unrealized gains (losses) on securities available for sale
Available for Sale Securities:
Change in unrealized gain (loss) on securities available for sale	(1,056)	2,626	182	2,628
Cash Flow Hedges:
Other Comprehensive Income (Loss), Net of Tax			61	1,708
Beginning balance			3,839	2,526
Current Year Change			61	1,708
Ending balance	3,900	4,234	3,900	4,234
Unrealized gain on security available for sale for which a portion of an other-than-temporary impairment has been recognized in earnings
Available for Sale Securities:
Change in unrealized gain (losses) on securities available for sale for which a portion of an other-than-temporary impairment has been recognized in earnings	(4)	315	(26)	369
Cash Flow Hedges:
Other Comprehensive Income (Loss), Net of Tax			(16)	240
Beginning balance			792	484
Current Year Change			(16)	240
Ending balance	776	724	776	724
Unrealized gain (loss) on cash flow hedge
Cash Flow Hedges:
Other Comprehensive Income (Loss), Net of Tax			(12)	(329)
Beginning balance			(316)	111
Current Year Change			(12)	(329)
Ending balance	$ (328)	$ (218)	$ (328)	$ (218)

OTHER COMPREHENSIVE INCOME (D90

OTHER COMPREHENSIVE INCOME (Details2) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Net of tax , total all reclassification amounts	$ (10)	$ (64)	$ (76)	$ (129)
Available for Sale Securities:
Tax effect	401	(1,029)	(23)	(1,049)
Net of tax	(747)	1,912	45	1,948
Cash Flow Hedges:
Derivative losses	278	(265)	(17)	(505)
Tax effect	(97)	92	5	176
Net of tax	181	(173)	(12)	(329)
Gain on call of security available for sale
Available for Sale Securities:
Change in unrealized gain (loss) on securities available for sale	(88)		(88)
Income tax expense
Available for Sale Securities:
Tax effect	(31)		(31)
Cash Flow Hedges:
Tax effect	36	35	71	70
Total interest expense
Cash Flow Hedges:
Derivative losses	(103)	(99)	(204)	(199)
Interest expense on deposits
Cash Flow Hedges:
Derivative losses	(50)	(51)	(99)	(100)
Interest expense on Federal Home Loan Bank advances
Cash Flow Hedges:
Derivative losses	(53)	(48)	(105)	(99)
Net income
Available for Sale Securities:
Net of tax	57		57
Cash Flow Hedges:
Net of tax	$ (67)	$ (64)	$ (133)	$ (129)

SEGMENT INFORMATION (Details)

SEGMENT INFORMATION (Details) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015USD ($)	Jun. 30, 2014USD ($)	Jun. 30, 2015USD ($)segment	Jun. 30, 2014USD ($)	Dec. 31, 2014USD ($)
SEGMENT INFORMATION
Number of operating segments | segment			4
SEGMENT INFORMATION
Net interest income	$ 31,058	$ 27,550	$ 60,080	$ 54,854
Provision for loan and lease losses	904	693	1,089	(10)
Net refund transfer fees	1,907	1,836	17,242	16,224
Mortgage banking income	1,224	812	2,577	1,298
Gain on call of security available for sale	88		88
Other non interest income	6,266	6,433	12,564	12,274
Total non-interest income	9,485	9,081	32,471	29,796
Total non interest expenses	27,165	26,284	58,239	56,483
Income before income tax expense	12,474	9,654	33,223	28,177
Income tax expense	4,154	3,332	11,115	9,871
Net income	8,320	6,322	22,108	18,306
Segment end of period total assets	$ 4,066,219	$ 3,465,324	$ 4,066,219	$ 3,465,324	$ 3,747,013
Net interest margin (as percent)	3.32%	3.35%	3.23%	3.29%
Traditional Banking
SEGMENT INFORMATION
Net interest income	$ 26,999	$ 25,752	$ 52,757	$ 51,706
Provision for loan and lease losses	553	577	669	309
Gain on call of security available for sale	88		88
Other non interest income	5,774	5,927	11,171	10,999
Total non-interest income	5,862	5,927	11,259	10,999
Total non interest expenses	23,835	23,050	47,242	46,532
Income before income tax expense	8,473	8,052	16,105	15,864
Income tax expense	2,648	2,821	4,934	5,341
Net income	5,825	5,231	11,171	10,523
Segment end of period total assets	$ 3,520,996	$ 3,190,809	$ 3,520,996	$ 3,190,809
Net interest margin (as percent)	3.24%	3.32%	3.17%	3.29%
Warehouse Lending
SEGMENT INFORMATION
Net interest income	$ 3,505	$ 1,689	$ 6,046	$ 2,848
Provision for loan and lease losses	164	133	423	161
Other non interest income	6	3	11	5
Total non-interest income	6	3	11	5
Total non interest expenses	610	448	1,183	828
Income before income tax expense	2,737	1,111	4,451	1,864
Income tax expense	958	389	1,558	653
Net income	1,779	722	2,893	1,211
Segment end of period total assets	$ 488,356	$ 243,907	$ 488,356	$ 243,907
Net interest margin (as percent)	3.53%	3.89%	3.56%	3.92%
Mortgage Banking
SEGMENT INFORMATION
Net interest income	$ 57	$ 49	$ 113	$ 95
Mortgage banking income	1,224	812	2,577	1,298
Other non interest income	71	71	155	145
Total non-interest income	1,295	883	2,732	1,443
Total non interest expenses	1,274	1,013	2,559	2,223
Income before income tax expense	78	(81)	286	(685)
Income tax expense	27	(29)	100	(240)
Net income	51	(52)	186	(445)
Segment end of period total assets	15,635	12,231	15,635	12,231
Total Core Banking
SEGMENT INFORMATION
Net interest income	30,561	27,490	58,916	54,649
Provision for loan and lease losses	717	710	1,092	470
Mortgage banking income	1,224	812	2,577	1,298
Gain on call of security available for sale	88		88
Other non interest income	5,851	6,001	11,337	11,149
Total non-interest income	7,163	6,813	14,002	12,447
Total non interest expenses	25,719	24,511	50,984	49,583
Income before income tax expense	11,288	9,082	20,842	17,043
Income tax expense	3,633	3,181	6,592	5,754
Net income	7,655	5,901	14,250	11,289
Segment end of period total assets	$ 4,024,987	$ 3,446,947	$ 4,024,987	$ 3,446,947
Net interest margin (as percent)	3.28%	3.35%	3.21%	3.32%
Republic Processing Group
SEGMENT INFORMATION
Net interest income	$ 497	$ 60	$ 1,164	$ 205
Provision for loan and lease losses	187	(17)	(3)	(480)
Net refund transfer fees	1,907	1,836	17,242	16,224
Other non interest income	415	432	1,227	1,125
Total non-interest income	2,322	2,268	18,469	17,349
Total non interest expenses	1,446	1,773	7,255	6,900
Income before income tax expense	1,186	572	12,381	11,134
Income tax expense	521	151	4,523	4,117
Net income	665	421	7,858	7,017
Segment end of period total assets	$ 41,232	$ 18,377	$ 41,232	$ 18,377