Goodwill and Identifiable Intangible Assets

12 Months Ended

Dec. 31, 2021

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Identifiable Intangible Assets

Note 8 – Goodwill and Identifiable Intangible Assets

Goodwill

The table below illustrates goodwill by segment for the years ended December 31, 2021 and 2020 ($ in thousands):

	General
	Banking		Insurance			Total
Balance as of January 1, 2020	$	334,603	$	45,024		$	379,627
Additions during 2020		—		5,643			5,643
Balance as of December 31, 2020		334,603		50,667			385,270
Adjustment during 2021		—		(1,033	)		(1,033	)
Balance as of December 31, 2021	$	334,603	$	49,634		$	384,237

Trustmark’s General Banking Segment delivers a full range of banking services to consumer, corporate, small and middle-market businesses through its extensive branch network. The Insurance Segment includes TNB’s wholly-owned retail insurance subsidiary that

offers a diverse mix of insurance products and services. Trustmark performed goodwill impairment tests for the General Banking and Insurance Segments during 2021, 2020 and 2019. Based on these tests, Trustmark concluded that the fair value of both the General Banking and Insurance Segments exceeded the book value and no impairment charge was required.

Identifiable Intangible Assets

At December 31, 2021 and 2020, identifiable intangible assets consisted of the following ($ in thousands):

	December 31, 2021						December 31, 2020
	Gross Carrying		Accumulated		Net Carrying		Gross Carrying		Accumulated		Net Carrying
	Amount		Amortization		Amount		Amount		Amortization		Amount
Core deposit intangibles	$	87,674	$	86,280	$	1,394	$	87,674	$	84,580	$	3,094
Insurance intangibles		17,272		13,709		3,563		17,272		13,159		4,113
Banking charters		1,325		1,208		117		1,325		1,142		183
Total	$	106,271	$	101,197	$	5,074	$	106,271	$	98,881	$	7,390

Trustmark recorded $2.3 million of amortization of identifiable intangible assets in 2021, $3.1 million in 2020 and $4.1 million in 2019. Trustmark estimates that amortization expense for identifiable intangible assets will be $1.4 million in 2022, $673 thousand in 2023, $471 thousand in 2024, $403 thousand in 2025 and $341 thousand in 2026. Trustmark continually evaluates whether events and circumstances have occurred that indicate that identifiable intangible assets have become impaired. Measurement of any impairment of such identifiable intangible assets is based on the fair values of those assets. There were no impairment losses on identifiable intangible assets recorded during 2021, 2020 or 2019.

The following table illustrates the carrying amounts and remaining weighted-average amortization periods of identifiable intangible assets at December 31, 2021 ($ in thousands):

			Remaining
			Weighted-
			Average
	Net Carrying		Amortization
	Amount		Period in Years
Core deposit intangibles	$	1,394		2.7
Insurance intangibles		3,563		16.5
Banking charters		117		1.8
Total	$	5,074		12.4