Hanmi Financial Corporation Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Intangible Assets

Intangible Assets

12 Months Ended

Dec. 31, 2016

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and other intangibles

The third-party originators intangible of $483,000 and goodwill of $11.0 million was recorded as a result of the acquisition of the leasing portfolio on October 27, 2016. The core deposit intangible ("CDI") of $2.2 million was recognized for the core deposits acquired from CBI merger at August 31, 2014. Company's intangible assets were as follows for the periods indicated:



		December 31, 2016							December 31, 2015
	Amortization Period	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
		(In thousands)
Core deposit intangible	10 years	$	2,213	$	(838	)	$	1,375	$	2,213	$	(512	)	$	1,701
Third-party originators intangible	7 years	$	483	$	—		$	483	$	—	$	—		$	—
Goodwill	N/A	$	11,031	$	—		$	11,031	$	—	$	—		$	—
Total intangible assets		$	13,727	$	(838	)	$	12,889	$	2,213	$	(512	)	$	1,701

Intangibles amortization expense for the years ended December 31, 2016, 2015 and 2014 was $326,000, $379,000 and $132,000, respectively, and estimated future amortization expense related to CDI and the third-party originators intangible for each of the next five years is as follows:



Year Ending December 31,	Amount
	(In thousands)
2017	$	337
2018	362
2019	310
2020	261
2021	216
Thereafter	365

As of December 31, 2016 management was not aware of any circumstances that would indicate impairment of goodwill or other intangible assets. There were no impairment charges related to intangible assets recorded through earnings in 2016 or 2015.