Annual report pursuant to Section 13 and 15(d)

Goodwill and Other Intangibles

v3.8.0.1
Goodwill and Other Intangibles
 12 Months Ended
Dec. 31, 2017
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Other Intangibles
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 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, 2017
 
December 31, 2016
 
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

 
$
(1,119
)
 
$
1,094

 
$
2,213

 
$
(838
)
 
$
1,375

Third-party originators intangible
7 years
 
$
483

 
$
(64
)
 
$
419

 
$
483

 
$
—

 
$
483

Goodwill
N/A
 
$
11,031

 
$
—

 
$
11,031

 
$
11,031

 
$
—

 
$
11,031

Total intangible assets
 
 
$
13,727


$
(1,183
)

$
12,544


$
13,727


$
(838
)

$
12,889


Intangibles amortization expense for the years ended December 31, 2017, 2016 and 2015 was $345,000, $326,000 and $379,000, 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)
2018
$
362

2019
309

2020
261

2021
216

2022
171

Thereafter
194


The Company performed its annual goodwill impairment test in the fourth quarter of 2017 and determined no impairment existed as of December 31, 2017. As of December 31, 2017, 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 2017 or 2016.