Goodwill and Core Deposit Intangible Assets

12 Months Ended

Dec. 31, 2020

GOODWILL AND CORE DEPOSIT INTANGIBLE ASSETS

Goodwill

At December 31, 2020 and 2019, the carrying value of goodwill was $94.7 million. There were no changes in the carrying value of goodwill for the year ended December 31, 2020 or 2019.

The Company performs its annual goodwill impairment assessment as of November 30th, and at interim periods if indicators of potential impairment exist. In the second quarter of 2020, the Company determined that the COVID-19 pandemic and its impact on global, national and local markets and economy, as well as its impact on the Company's year-to-date consolidated financial results, was a "triggering event" in accordance with ASC 350-20, Goodwill, and an interim goodwill impairment assessment was completed. A quantitative assessment was performed using various valuation methodologies as of May 31, 2020. Through its assessment, the Company concluded that the indicated fair value of its single reporting unit exceeded its carrying value, and, thus goodwill was not impaired as of May 31, 2020. Later in the year, the Company performed its annual goodwill impairment test as of November 30, 2020, using a qualitative analysis and determined goodwill was not impaired.

The Company completed its annual goodwill impairment test as of November 30, 2019 and 2018 and determined goodwill was not impaired.

Accumulated goodwill impairment was $3.6 million as of December 31, 2020, 2019 and 2018.

Core Deposit Intangible Assets

The gross carrying amount and accumulated amortization of core deposit intangible assets were as follows at the periods indicated:


	December 31,
	2020						2019
(In thousands)	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Core deposit intangible assets	$	6,451	$	(3,608)	$	2,843	$	6,451	$	(2,926)	$	3,525

For the year ended December 31, 2020, 2019 and 2018, the Company recorded amortization expense of $682,000, $705,000 and $725,000, respectively.

The following table reflects the amortization expense for core deposit intangible assets over the period of estimated economic benefit:


(In thousands)	Core Deposit Intangible
2021	$	655
2022	625
2023	592
2024	556
2025	415
Thereafter	—
Total	$	2,843