BRANCH ACQUISITION

6 Months Ended

Jun. 30, 2023

BRANCH ACQUISITION

BRANCH ACQUISITION

14. BRANCH ACQUISITION

On May 12, 2023, the Company completed the acquisition of a branch office in Spring Run, Pennsylvania. The acquisition included real estate and deposits. The liabilities were recorded on the balance sheet at their estimated fair values as of May 12, 2023, and their results of operations have been included in the Consolidated Statement of Income since such date.

Included in the purchase price of the branch was goodwill and core deposit intangible of $824,000 and $303,000, respectively. The core deposit intangible will be amortized over a ten-year period using a sum of the year’s digit basis. The goodwill will not be amortized but will be measured annually for impairment.

The following table summarizes the estimated fair value of the assets acquired and liabilities assumed:

(Dollars in thousands)
Assets:
Cash received at settlement	$	17,241
Branch cash		170
Fixed assets		250
Goodwill (1)		824
Core deposit intangible (1)		303
Other assets purchased		2
	$	18,790
Liabilities:
Deposits purchased	$	18,736
Other liabilities assumed (1)		54
	$	18,790

(1) The estimated fair values of the assets and liabilities, including identifiable intangible assets, are subject to refinement. Subsequent adjustments to the estimated fair values of assets and liabilities acquired, and the resulting goodwill, is allowed for a period of up to one year after the acquisition date for new information that becomes available reflecting circumstances at the acquisition date.