Goodwill and Other Intangibles and Mortgage Servicing Rights (Tables)

3 Months Ended

Mar. 31, 2020

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of goodwill and intangible assets

A summary of goodwill and other intangibles was as follows.

	Three Months Ended		Year Ended
(in thousands)	March 31, 2020		December 31, 2019
Goodwill	$	151,198	$	151,198
Core deposit intangibles	10,031		10,897
Customer list intangibles	3,745		3,872
Other intangibles	13,776		14,769
Goodwill and other intangibles, net	$	164,974	$	165,967

Schedule of goodwill

A summary of goodwill was as follows. During 2019, goodwill increased due to the Choice acquisition. See Note 2 for additional information on the Company's acquisitions.

	Three Months Ended		Year Ended
(in thousands)	March 31, 2020		December 31, 2019
Goodwill:
Goodwill at beginning of year	$	151,198	$	107,366
Acquisition	—		44,594
Impairment	—		(762		)
Goodwill at end of period	$	151,198	$	151,198

Schedule of other intangible assets

	Three Months Ended			Year Ended
(in thousands)	March 31, 2020			December 31, 2019
Core deposit intangibles:
Gross carrying amount	$	30,715		$	30,715
Accumulated amortization	(20,684		)	(19,818		)
Net book value	$	10,031		$	10,897
Additions during the period	$	—		$	1,700
Amortization during the period	$	866		$	3,365
Customer list intangibles:
Gross carrying amount	$	5,523		$	5,523
Accumulated amortization	(1,778		)	(1,651		)
Net book value	$	3,745		$	3,872
Additions during the period	$	—		$	—
Amortization during the period	$	127		$	507

Schedule of mortgage servicing rights

A summary of the changes in the mortgage servicing rights asset was as follows.

	Three Months Ended			Year Ended
(in thousands)	March 31, 2020			December 31, 2019
Mortgage servicing rights ("MSR") asset:
MSR asset at beginning of year	$	5,919		$	3,749
Capitalized MSR	559			2,876
MSR asset acquired	—			160
Amortization during the period	(284		)	(866		)
MSR asset at end of period	$	6,194		$	5,919
Valuation allowance at beginning of year	$	—		$	—
Additions	(175		)	—
Valuation allowance at end of period	$	(175	)	$	—
MSR asset, net	$	6,019		$	5,919
Fair value of MSR asset at end of period	$	8,807		$	8,420
Residential mortgage loans serviced for others	$	890,162		$	847,756
Net book value of MSR asset to loans serviced for others	0.68		%	0.70		%

Schedule of estimated future amortization expense for amortizing intangible assets and the MSR asset

The following table shows the estimated future amortization expense for amortizing intangible assets and the MSR asset. The projections are based on existing asset balances, the current interest rate environment and prepayment speeds as of March 31, 2020. The actual amortization expense the Company recognizes in any given period may be significantly different depending upon acquisition or sale activities, changes in interest rates, prepayment speeds, market conditions, regulatory requirements and events or circumstances that indicate the carrying amount of an asset may not be recoverable.

(in thousands)	Core deposit intangibles		Customer list intangibles		MSR asset
Year ending December 31,
2020 (remaining nine months)	$	2,127	$	380	$	829
2021	2,453		507		937
2022	1,987		507		930
2023	1,490		483		962
2024	1,010		449		541
2025	573		449		541
Thereafter	391		970		1,454
Total	$	10,031	$	3,745	$	6,194