Goodwill and Intangible Assets

12 Months Ended

Dec. 31, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL AND INTANGIBLE ASSETS

Goodwill and intangible assets consist of the following:


(Dollars in thousands)	December 31, 2022		December 31, 2021
Goodwill	$	233,709	$	233,727


	December 31, 2022						December 31, 2021
(Dollars in thousands)	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Core deposit intangibles	$	43,578	$	(35,347)	$	8,231	$	43,578	$	(31,800)	$	11,778
Software intangible asset	16,932		(6,702)		10,230		16,932		(2,469)		14,463
Other intangible assets	30,410		(16,813)		13,597		29,560		(12,672)		16,888
	$	90,920	$	(58,862)	$	32,058	$	90,070	$	(46,941)	$	43,129

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


(Dollars in thousands)
December 31, 2022	Banking		Factoring		Payments		Corporate		Total
Beginning balance	$	119,306	$	63,275	$	94,275	$	—	$	276,856
Acquired goodwill	—		—		—		—		—
Acquired goodwill - measurement period adjustment	—		—		(18)		—		(18)
Acquired intangibles	751		—		—		100		851
Amortization of intangibles	(3,761)		(2,293)		(5,868)		—		(11,922)
Ending balance	$	116,296	$	60,982	$	88,389	$	100	$	265,767


(Dollars in thousands)
December 31, 2021	Banking		Factoring		Payments		Corporate		Total
Beginning balance	$	123,882	$	66,040	$	—	$	—	$	189,922
Acquired goodwill	—		—		73,697		—		73,697
Acquired goodwill - measurement period adjustment	—		59		(3,238)		—		(3,179)
Acquired intangibles	—		—		27,292		—		27,292
Amortization of intangibles	(4,576)		(2,824)		(3,476)		—		(10,876)
Ending balance	$	119,306	$	63,275	$	94,275	$	—	$	276,856


(Dollars in thousands)
December 31, 2020	Banking		Factoring		Payments		Corporate		Total
Beginning balance	$	129,272	$	61,014	$	—	$	—	$	190,286
Acquired goodwill	—		4,466		—		—		4,466
Acquired intangibles	—		3,500		—		—		3,500
Amortization of intangibles	(5,390)		(2,940)		—		—		(8,330)
Ending balance	$	123,882	$	66,040	$	—	$	—	$	189,922

Impairment exists when a reporting unit’s carrying value of goodwill exceeds its fair value. The Company assesses goodwill for impairment at its reporting units that contain goodwill, Banking, Factoring, and Payments. A goodwill impairment test was performed on the Company's reporting units as of October 1, 2022. At the measurement date 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.

After performing an impairment test of intangible assets during the years ended December 31, 2022, 2021, and 2020, it was determined that the fair value of the intangible assets exceeded their carrying amount and thus no intangible asset impairment was recorded.

Except for software intangible assets that are amortized utilizing a straight line method, material acquired intangible assets are being amortized utilizing an accelerated method over their estimated useful lives, which range from 4 to 11 years.

The future amortization schedule for the Company’s intangible assets with finite lives is as follows:


(Dollars in thousands)
2023	$	10,482
2024	9,159
2025	5,400
2026	2,480
2027	1,571
Thereafter	2,115
	$	31,207

Amortization schedule excludes $851,000 of indefinite lived intangible assets.