Core Deposits and Other Intangible Assets

3 Months Ended

Mar. 31, 2021

Core Deposits and Other Intangible Assets

Core Deposits and Other Intangible Assets

Note 9:           Core Deposits and Other Intangible Assets

The following table shows the changes in the carrying amount of goodwill for March 31, 2021 and December 31, 2020 (in thousands):

	March 31,		December 31,
	2021		2020
Balance beginning of year	$	682	$	682
Additions from acquisition		—		—
Balance, end of period	$	682	$	682

Intangible assets in the consolidated balance sheets at March 31, 2021 and December 31, 2020 were as follows (in thousands):

	Three Months Ended March 31, 2021				Year Ended December 31, 2020
	Gross			Net	Gross		Net
	Intangible		Accumulated	Intangible	Intangible	Accumulated	Intangible
	Assets		Amortization	Assets	Assets	Amortization	Assets
Core deposit intangibles	$	1,041	368	673	1,041	331	710

The estimated aggregate future amortization expense for each of the next five years for intangible assets remaining as of March 31, 2021 is as follows (in thousands):

2021	$	116
2022		150
2023		150
2024		150
2025		110

At each reporting date between annual goodwill impairment tests, the Company considers potential indicators of impairment. Given the current economic uncertainty and volatility surrounding COVID-19, the Company assessed whether the events and circumstances resulted in it being more likely than not that the fair value of any reporting unit was less than its carrying value. Impairment indicators considered comprised the condition of the economy and banking industry; government intervention and regulatory updates; the impact of recent events to financial performance and cost factors of the reporting unit; performance of the Company’s stock and other relevant events. The Company further considered the amount by which fair value exceeded book value in the most recent quantitative analysis and sensitivities performed.   At the conclusion of the assessment, the Company determined that as of March 31, 2021 it was more likely than not that the fair value exceeded its carrying values.  The Company will continue to monitor developments regarding the COVID-19 pandemic and measures implemented in response to the pandemic, market capitalization, overall economic conditions and any other triggering events or circumstances that may indicate an impairment of goodwill in the future.