Note 9—Goodwill

The changes in the carrying amount of goodwill, allocated by reportable segments, were as follows (See Note 22):


(Dollar amounts in thousands)	Merchant acquiring, net		Payment processing			Business solutions			Total
Balance at December 31, 2012	$	138,121	$	187,028		$	47,158		$	372,307
Foreign currency translation adjustments		—		594			218			812

Balance at December 31, 2013		138,121		187,622			47,376			373,119
Foreign currency translation adjustments		—		(3,394	)		(888	)		(4,282	)

Balance at December 31, 2014		138,121		184,228			46,488			368,837
Foreign currency translation adjustments		—		(732	)		28			(704	)

Balance at December 31, 2015	$	138,121	$	183,496		$	46,516		$	368,133

Goodwill is tested for impairment on an annual basis, or more often if events or changes in circumstances indicate there may be impairment. The goodwill impairment test is a two-step process at each reporting unit level. The first step (“Step 1”) compares the estimated fair value of the reporting units to their carrying values, including goodwill. If the fair value of a reporting unit exceeds its carrying amount, goodwill of the reporting unit is not considered impaired and the second step of the impairment test was unnecessary. If needed, the second step (“Step 2”) consists of comparing the implied fair value of the reporting units with the carrying amount of that goodwill.

During the third quarter of 2015, the Company performed Step 1 of the goodwill impairment analysis for each of the Company’s reporting units, using fair value as of August 31, 2015. Given that the estimated fair values of the reporting units exceeded their carrying value, goodwill is not considered impaired. Accordingly, no impairment losses for the period were recognized.

For 2014, the Company used a “qualitative assessment” option or “step zero” for the goodwill impairment test for all of its reporting units. With this process, the Company first assesses whether it is “more likely than not” that the fair value of a reporting unit is less than its carrying amount. If the answer is no, then the fair value of the reporting unit does not need to be measured, and step one and step two are bypassed. In assessing the fair value of a reporting unit, which is based on the nature of the business and reporting unit’s current and expected financial performance, the Company uses a combination of factors such as industry and market conditions, overall financial performance and the entity and reporting unit specific events.