Goodwill and Core Deposit Intangibles

12 Months Ended

Dec. 31, 2017

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL AND CORE DEPOSIT INTANGIBLES

Goodwill

	Year Ended December 31,
	2017		2016		2015
Net carrying value at beginning of period	$	212.8	$	204.5	$	205.6
Acquisitions and measurement period adjustments	231.9		8.3		(1.1		)
Net carrying value at end of period	$	444.7	$	212.8	$	204.5

Goodwill increased $231.9 million, or 109.0%, to $444.7 million as of December 31, 2017, from $212.8 million as of December 31, 2016, attributable to the provisional goodwill recorded in conjunction with the acquisition of BOTC. Goodwill increased $8.3 million to $212.8 million as of December 31, 2016, from $204.5 million as of December 31, 2015, attributable to the goodwill recorded in conjunction with the Flathead acquisition. In 2015, goodwill decreased $1.1 million primarily due to the decrease in recorded goodwill resulting from the finalization of the fair valuation of deferred tax assets acquired in the Mountain West Financial Corp, or MWFC, acquisition. The Company performed an impairment assessment as of July 1, 2017, 2016, and 2015 and concluded that there was no impairment to goodwill.

The following table sets forth activity for identifiable core deposit intangibles subject to amortization:

Core deposit intangibles ("CDI")

	Year Ended December 31,
	2017			2016		2015
CDI, net, beginning of period	$	9.7		$	10.6	$	13.3
Established through acquisitions	48.0			2.5		0.7
Reductions due to sale of accounts	(3.2		)	—		—
Current period amortization	5.4			3.4		3.4
Total CDI, net, at end of period	$	49.1		$	9.7	$	10.6

Core deposit intangibles are evaluated for impairment if events and circumstances indicate a possible impairment. The CDI are amortized using an accelerated method based on the estimated weighted average useful lives of the related deposits, which is generally ten years.

The Company sold the custodial rights to our Health Savings Account ("HSA") portfolio to HealthEquity, Inc. for $6.2 million, of which $3.2 million was attributable to BOTC acquired deposits which were sold at fair market value.

The following table provides estimated future CDI amortization expense:



Years ending December 31,
2018	$	6.9
2019	6.6
2020	6.2
2021	5.7
2022	5.3
Thereafter	18.4
Total	$	49.1

- 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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