Goodwill and Other Intangible Assets

12 Months Ended

Dec. 31, 2013

GOODWILL AND OTHER INTANGIBLE ASSETS [Abstract]

Goodwill and Intangible Assets Disclosure [Text Block]

GOODWILL AND OTHER INTANGIBLE ASSETS

Goodwill

The following tables details the carrying value of goodwill by segment at December 31, 2013 and 2012. There were no changes in the carrying value of goodwill during 2013 or 2012.



	Balance at December 31, 2013		Balance at December 31, 2012
	(In thousands)
Goodwill
Private Banking	$	2,403	$	2,403
Investment Management	66,955		66,955
Wealth Advisory	40,822		40,822
Total goodwill	$	110,180	$	110,180

The following tables detail total goodwill and the cumulative impairment charges thereon as of December 31, 2013 and 2012:



	Goodwill prior to impairment		Cumulative goodwill impairment			Goodwill
	(In thousands)
Private Banking (1)	$	36,684	$	(34,281	)	$	2,403
Investment Management	117,216		(50,261		)	66,955
Wealth Advisory	40,822		—			40,822
Total goodwill at December 31, 2013	$	194,722	$	(84,542	)	$	110,180

Private Banking	$	86,581	$	(84,178	)	$	2,403
Investment Management	117,216		(50,261		)	66,955
Wealth Advisory	40,822		—			40,822
Total goodwill at December 31, 2012	$	244,619	$	(134,439	)	$	110,180

_____________________


(1)	Private Banking goodwill and cumulative goodwill impairment related to the three Pacific Northwest offices was derecognized in 2013 due to the sale of those offices in May 2013.

In 2013 and 2012, the Company recognized no additional goodwill.

ASC 350, Intangibles - Goodwill and Other, requires the Company to test goodwill and intangible assets for impairment on an annual basis and in between annual dates if events or circumstances change that would more likely than not reduce the fair value of the reporting unit below its carrying value.

Management performed its annual goodwill and intangibles impairment testing during the fourth quarters of 2013 and 2012. The estimated fair value for all reporting units exceeded the carrying value, which resulted in no goodwill or intangible asset impairment charges. AUM is a significant factor in the assessment of goodwill impairment at the non-banking affiliates. Should net outflows continue or accelerate, and/or the market experiences a significant decline in value, the risk of goodwill impairment at an investment management affiliate would increase.

Intangible assets

The following table shows the gross and net carrying amounts of identifiable intangible assets at December 31, 2013 and 2012:



	2013						2012
	Gross Carrying Amount		Accumulated Amortization		Net		Gross Carrying Amount		Accumulated Amortization		Net
	(In thousands)
Advisory contracts	$	51,063	$	33,059	$	18,004	$	51,525	$	29,572	$	21,953
Employment agreements	3,247		3,247		—		3,607		3,505		102
Trade names and other	2,040		—		2,040		2,040		—		2,040
Mortgage servicing rights	1,379		819		560		1,322		543		779
Total	$	57,729	$	37,125	$	20,604	$	58,494	$	33,620	$	24,874

The Company recognized additional identifiable intangible assets related to mortgage servicing rights of less than $0.1 million and $0.7 million in 2013 and 2012, respectively.

Consolidated expense related to intangible assets subject to amortization was $4.3 million, $4.4 million, and $4.8 million for 2013, 2012, and 2011, respectively.

Management reviews, and adjusts if necessary, intangible asset amortization schedules to ensure that the remaining life on the amortization schedule accurately reflects the useful life of the intangible asset. The weighted average amortization period of these intangible assets is 3.16 years.

The estimated annual amortization expense for these identifiable intangibles over the next five years is:



	Estimated intangible amortization expense
	(In thousands)
2014	$	4,160
2015	4,124
2016	3,475
2017	2,800
2018	1,664

- 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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