Note 6 - Goodwill and Intangibles

12 Months Ended

Dec. 31, 2016

Goodwill and Intangible Assets Disclosure [Text Block]

Note

Goodwill and Intangibles

The following table presents the changes in the carrying amount of goodwill as of

December

31,

2016

and

2015:

	2016		2015
Balance at the beginning of period	$	3,222,688	$	3,222,688
Goodwill from acquisition of CSB		9,888,225		-
Balance at the end of period	$	13,110,913	$	3,222,688

See Note

to the Consolidated Financial Statements for additional information regarding the acquisition of CSB and the related goodwill.

The Company has other intangible assets consisting of core deposit intangibles. The Company recognized a core deposit intangible that related to the acquisition of CNB in

2013.

2016,

the Company added a core deposit related to the acquisition of CSB, which totaled

$6.4

million. See Note

to the Consolidated Financial Statements for additional information regarding the acquisition of CSB.

The following table presents the changes in the carrying amount of core deposit intangibles, gross carrying amount, accumulated amortization, and net book value as of

December

31,

2016

and

2015:

	2016			2015
Balance at the beginning of the period	$	1,471,409		$	1,670,921
Core deposit intangibles from acquisition of CSB		6,352,653			-
Amortization expense		(442,849	)		(199,512	)
Balance at the end of the period	$	7,381,213		$	1,471,409


Gross carrying amount	$	8,347,780		$	1,995,127
Accumulated amortization		(966,567	)		(523,718	)
Net book value	$	7,381,213		$	1,471,409

The following presents the estimated amortization expense of the core deposit intangible:

Years ending December 31,	Amount
2017	$	923,467
2018		910,263
2019		893,886
2020		874,331
2021		851,600
Thereafter		2,927,666
	$	7,381,213

- 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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