GOODWILL AND OTHER INTANGIBLE ASSETS

12 Months Ended

Dec. 31, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

The changes in the carrying amount of goodwill attributable to operating segments are reflected in the table below. The activity during 2022 reflects the sale on December 31, 2022 of OFG’s retirement plan administration business. Refer to Note 28 – Business Segments for additional information on OFG’s reportable business segments.


	Banking		Wealth Management		Treasury		Total
	(In thousands)
December 31, 2021	$	84,063	$	2,006	$	—	$	86,069
Goodwill written off related to sale of business unit	—		(1,828)		—		(1,828)
December 31, 2022	$	84,063	$	178	$	—	$	84,241

There were no changes in the carrying amount of goodwill as of December 31, 2021 and 2020. There were no accumulated impairment losses during 2022, 2021 and 2020.

Relevant events and circumstances for evaluating whether it is more likely than not that the fair value of a reporting segment is less than its carrying amount may include macroeconomic conditions (such as deterioration of the Puerto Rico economy or the liquidity for Puerto Rico securities or loans secured by assets in Puerto Rico), adverse changes in legal factors or in the business climate, adverse actions by a regulator, unanticipated competition, the loss of key employees, natural disasters, or similar events.

OFG performed its annual impairment review of goodwill during the fourth quarter of 2022 and 2021 using October 31, 2022 and 2021, respectively, as the annual evaluation date and concluded that there was no impairment at December 31, 2022 and 2021.

The following table reflects the components of other intangible assets subject to amortization at December 31, 2022 and 2021:


	Gross Carrying Amount		Accumulated Amortization		Net Carrying Value
	(In thousands)
December 31, 2022
Core deposit intangibles	$	41,507	$	20,376	$	21,131
Customer relationship intangibles	12,693		6,231		6,462

Total other intangible assets	$	54,200	$	26,607	$	27,593
December 31, 2021
Core deposit intangibles	$	51,402	$	23,772	$	27,630
Customer relationship intangibles	17,753		9,385		8,368
Other intangibles	567		472		95
Total other intangible assets	$	69,722	$	33,629	$	36,093

In connection with previous acquisitions, OFG recorded a core deposit intangible representing the value of checking and savings deposits acquired. In addition, OFG recorded a customer relationship intangible representing the value of customer relationships acquired with the acquisitions of insurance agencies. During 2022, the core deposit intangible and customer relationship intangible recorded during the BBVAPR acquisition was fully amortized.

Other intangible assets have a definite useful life. Amortization of other intangible assets for 2022, 2021 and 2020 was $8.5 million, $9.8 million, and $11.1 million, respectively.

The following table presents the estimated amortization of other intangible assets for each of the following periods.


Year Ending December 31,	(In thousands)
2023	$	6,898
2024	5,913
2025	4,927
2026	3,942
2027	2,956
Thereafter	2,957