GOODWILL AND INTANGIBLE ASSETS

12 Months Ended

Dec. 31, 2019

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL AND INTANGIBLE ASSETS

7.          GOODWILL AND INTANGIBLE ASSETS

Goodwill

Southern National has recorded $101.9 million of goodwill at December 31, 2019 and 2018. Goodwill is primarily related to the acquisition of EVBS, which increased goodwill by $90.1 million in 2017. During 2018, as part of recognition of all measurement period adjustments, we recognized additional goodwill of $1.3 million related to the 2017 acquisition of EVBS.

Goodwill is evaluated for impairment on an annual basis or more frequently if events or circumstances warrant. Our annual assessment timing is during the third calendar quarter. For the 2019 assessment, we performed a qualitative assessment to determine if it was more likely than not that the fair value of our single reporting unit is less than its carrying amount. We concluded that the fair value of our single reporting unit exceeded its carrying amount and that it was not necessary to perform the quantitative impairment test pursuant to ASC 350-20. Our qualitative assessment considered many factors including, but not limited to, our actual and projected operating performance and profitability, as well as consideration of recent bank merger and acquisition transaction metrics. No impairment was indicated in 2019, 2018 or 2017.

Intangible Assets

Intangible assets were as follows at year end (in thousands):

	December 31, 2019
	Gross Carrying		Accumulated		Net Carrying
	Value		Amortization		Value
Amortizable core deposit intangibles	$	17,503	$	(10,312)	$	7,191

	December 31, 2018
	Gross Carrying		Accumulated		Net Carrying
	Value		Amortization		Value
Amortizable core deposit intangibles	$	17,503	$	(8,894)	$	8,609

Estimated amortization expense of intangibles for the years ended December 31 were as follows (in thousands):

2020	$	1,365
2021		1,365
2022		1,325
2023		1,269
2024		1,265
Thereafter		602
Total	$	7,191