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Goodwill and other intangible assets

6 Months Ended

Jun. 30, 2013

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill And Intangible Assets Disclosure [Text Block]

Note 13 – Goodwill and other intangible assets

The changes in the carrying amount of goodwill for the six months ended June 30, 2013 and 2012, allocated by reportable segments, were as follows (refer to Note 33 for the definition of the Corporation's reportable segments):

2013
					Purchase
	Balance at		Goodwill on		accounting				Balance at
(In thousands)	January 1, 2013		acquisition		adjustments		Other		June 30,2013
Banco Popular de Puerto Rico	$	245,679	$	-	$	-	$	-	$	245,679
Banco Popular North America		402,078		-		-		-		402,078
Total Popular, Inc.	$	647,757	$	-	$	-	$	-	$	647,757

2012
					Purchase
	Balance at		Goodwill on		accounting				Balance at
(In thousands)	January 1, 2012		acquisition		adjustments		Other		June 30, 2012
Banco Popular de Puerto Rico	$	246,272	$	-	$	(439)	$	(154)	$	245,679
Banco Popular North America		402,078		-		-		-		402,078
Total Popular, Inc.	$	648,350	$	-	$	(439)	$	(154)	$	647,757

Purchase accounting adjustments consists of adjustments to the value of the assets acquired and liabilities assumed resulting from the completion of appraisals or other valuations, adjustments to initial estimates recorded for transaction costs, if any, and contingent consideration paid during a contractual contingency period.

The following table presents the gross amount of goodwill and accumulated impairment losses by reportable segments.

June 30, 2013

	Balance at				Balance at		Balance at				Balance at
	January 1,		Accumulated		January 1,		June 30,		Accumulated		June 30,
	2013		impairment		2013		2013		impairment		2013
(In thousands)	(gross amounts)		losses		(net amounts)		(gross amounts)		losses		(net amounts)
Banco Popular de Puerto Rico	$	245,679	$	-	$	245,679	$	245,679	$	-	$	245,679
Banco Popular North America		566,489		164,411		402,078		566,489		164,411		402,078
Total Popular, Inc.	$	812,168	$	164,411	$	647,757	$	812,168	$	164,411	$	647,757

December 31, 2012

	Balance at				Balance at		Balance at				Balance at
	January 1,		Accumulated		January 1,		December 31,		Accumulated		December 31,
	2012		impairment		2012		2012		impairment		2012
(In thousands)	(gross amounts)		losses		(net amounts)		(gross amounts)		losses		(net amounts)
Banco Popular de Puerto Rico	$	246,272	$	-	$	246,272	$	245,679	$	-	$	245,679
Banco Popular North America		566,489		164,411		402,078		566,489		164,411		402,078
Total Popular, Inc.	$	812,761	$	164,411	$	648,350	$	812,168	$	164,411	$	647,757

At June 30, 2013 and December 31, 2012, the Corporation had $ 6 million of identifiable intangible assets, with indefinite useful lives, mostly associated with E-LOAN's trademark.

The following table reflects the components of other intangible assets subject to amortization:

		Gross				Net
		Carrying		Accumulated		Carrying
(In thousands)		Amount		Amortization		Value
June 30, 2013
	Core deposits	$	77,885	$	47,682	$	30,203
	Other customer relationships		16,835		3,837		12,998
	Other intangibles		135		90		45
Total other intangible assets		$	94,855	$	51,609	$	43,246
December 31, 2012
	Core deposits	$	77,885	$	43,627	$	34,258
	Other customer relationships		16,835		2,974		13,861
	Other intangibles		135		73		62
Total other intangible assets		$	94,855	$	46,674	$	48,181

During the quarter ended June 30, 2013, the Corporation recognized $ 2.5 million in amortization expense related to other intangible assets with definite useful lives (June 30, 2012 - $ 2.5 million). During the six months ended June 30, 2013, the Corporation recognized $ 4.9 million in amortization related to other intangible assets with definite useful lives (June 30, 2012 - $ 5.1 million).

The following table presents the estimated amortization of the intangible assets with definite useful lives for each of the following periods:

(In thousands)
Remaining 2013	$	4,935
Year 2014		9,227
Year 2015		7,084
Year 2016		6,799
Year 2017		4,050
Year 2018		3,970

- 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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