Goodwill and Intangible Assets

12 Months Ended

Dec. 31, 2014

Goodwill And Intangible Assets Disclosure [Abstract]

NOTE 7 - GOODWILL AND INTANGIBLE ASSETS

Goodwill and intangible assets consist of the following:

	December 31		December 31,
(Dollars in thousands)	2014		2013
Goodwill	$	15,968	$	14,047
Core deposit intangibles		11,218		14,471
Other intangible assets		1,871		—
	$	29,057	$	28,518

The changes in goodwill and intangible assets by operating segment during the year are as follows:

	December 31, 2014									December 31, 2013								December 31, 2012
(Dollars in thousands)	Factoring			Banking			Total			Factoring		Banking			Total			Factoring			Banking		Total
Beginning balance	$	8,846		$	19,672		$	28,518		$	8,846	$	5,201		$	14,047		$	—		$	5,201	$	5,201
Acquired goodwill		—			1,921			1,921			—		—			—			8,846			—		8,846
Acquired intangibles		26			2,029			2,055			—		15,091			15,091			948			—		948
Divestiture		—			(514	)		(514	)		—		—			—			—			—		—
Amortization of intangibles		(2	)		(2,921	)		(2,923	)		—		(620	)		(620	)		(948	)		—		(948	)
Ending balance	$	8,870		$	20,187		$	29,057		$	8,846	$	19,672		$	28,518		$	8,846		$	5,201	$	14,047

No goodwill or intangibles have been assigned to the Corporate operating segment.

Impairment exists when a reporting unit’s carrying value of goodwill exceeds its fair value. The Company assesses goodwill for impairment at each reporting unit, Factoring and Banking. At the measurement date, these reporting units had positive equity and the Company elected to perform qualitative assessments to determine if it was more likely than not that the fair value of the reporting units exceeded their carrying values, including goodwill. The qualitative assessment indicated that it was more likely than not that the fair value of the reporting unit exceeded its carrying value, resulting in no impairment.

Acquired intangible assets are being amortized utilizing an accelerated method over 10 years. The future amortization schedule for the Company’s intangible assets is as follows:

(Dollars in thousands)
2015	$	2,708
2016		2,392
2017		2,076
2018		1,761
2019		1,445
Thereafter		2,707
	$	13,089

- 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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