Goodwill and Other Intangible Assets

The Corporation has core deposit and customer-related intangibles and servicing rights, which are not deemed to have an indefinite life and therefore will continue to be amortized over their useful life using the present value of projected cash flows. The Corporation also has goodwill which is deemed to be an indefinite intangible asset and is not amortized.

Changes in the carrying amount of the Corporation's goodwill by business segment for the nine months ended September 30, 2018 were as follows:



(Dollars in thousands)	Banking		Wealth Management		Insurance		Consolidated
Balance at December 31, 2017	$	138,476	$	15,434	$	18,649	$	172,559
Addition to goodwill from acquisitions	—		—		—		—
Balance at September 30, 2018	$	138,476	$	15,434	$	18,649	$	172,559

The following table reflects the components of intangible assets at the dates indicated:



	At September 30, 2018						At December 31, 2017
(Dollars in thousands)	Gross Carrying Amount		Accumulated Amortization and Fair Value Adjustments		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization and Fair Value Adjustments		Net Carrying Amount
Amortized intangible assets:
Covenants not to compete	$	710	$	710	$	—	$	710	$	580	$	130
Core deposit intangibles	6,788		2,903		3,885		6,788		2,135		4,653
Customer related intangibles	12,381		10,576		1,805		12,381		9,828		2,553
Servicing rights	16,949		10,234		6,715		15,855		9,282		6,573
Total amortized intangible assets	$	36,828	$	24,423	$	12,405	$	35,734	$	21,825	$	13,909

The estimated aggregate amortization expense for core deposit and customer related intangibles for the remainder of 2018 and the succeeding fiscal years is as follows:



Year	(Dollars in thousands)	Amount
Remainder of 2018		$	468
2019		1,565
2020		1,200
2021		923
2022		666
Thereafter		868

The Corporation has originated mortgage servicing rights, which are included in other intangible assets on the consolidated balance sheets. Mortgage servicing rights are amortized in proportion to, and over the period of, estimated net servicing income on a basis similar to the interest method and an accelerated amortization method for loan payoffs. Mortgage servicing rights are subject to impairment testing on a quarterly basis. The aggregate fair value of these rights was $11.9 million at September 30, 2018 and $10.0 million at December 31, 2017. The fair value of mortgage servicing rights was determined using a discount rate of 10.0% at September 30, 2018 and December 31, 2017. The Corporation also records servicing rights on small business administration (SBA) loans. The value of these servicing rights was $32 thousand and $21 thousand at September 30, 2018 and December 31, 2017, respectively.

Changes in the servicing rights balance are summarized as follows:



	Three Months Ended September 30,						Nine Months Ended September 30,
(Dollars in thousands)	2018			2017			2018			2017
Beginning of period	$	6,650		$	6,548		$	6,573		$	6,485
Servicing rights capitalized	406			376			1,093			1,106
Amortization of servicing rights	(341		)	(368		)	(951		)	(1,035		)
End of period	$	6,715		$	6,556		$	6,715		$	6,556
Residential mortgage and SBA loans serviced for others	$	1,024,229		$	997,169		$	1,024,229		$	997,169

The estimated amortization expense of servicing rights for the remainder of 2018 and the succeeding fiscal years is as follows:



Year	(Dollars in thousands)	Amount
Remainder of 2018		$	858
2019		770
2020		682
2021		603
2022		533
Thereafter		3,269