Note 8. Goodwill and Intangible Assets

The following table summarizes the changes in goodwill:


	For the years ended December 31
(Amounts in thousands)	2011		2010
Beginning balance	$	9,016	$	9,159
Goodwill acquired		—		—
Adjustment to goodwill		—		(143	)
Ending balance	$	9,016	$	9,016

The following table summarizes the other intangible assets at December 31:


	Core Deposit					Customer List
	2011		2010			2011		2010
Gross carrying amount	$	3,252	$	3,252		$	589	$	589
Accumulated amortization		(1,987)		(1,626	)		(296)		(211	)
Net carrying amount	$	1,265	$	1,626		$	293	$	378

The following table shows the amortization expense for the years ended December 31:


(Amounts in thousands)	2011		2010		2009
Amortization expense	$	446	$	457	$	468

Core deposit intangibles are amortized over the estimated life of the acquired core deposits. At December 31, 2011 the remaining life was 3.5 years. The customer list intangible is amortized over the estimated life of the acquired customer list. At December 31, 2011, the remaining life was 6.9 years.

The following table shows the expected amortization expense for intangible assets:


	(Amounts in thousands)
2012	$	435
2013		424
2014		414
2015		223
2016		31
2017 – 2018		30

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

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