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Goodwill and Intangible Assets | 9 Months Ended
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Sep. 30, 2021
Goodwill and Intangible Assets Disclosure [Abstract] |
Goodwill and Intangible Assets | Note 6. Goodwill and Intangible Assets In accordance with FASB ASC 350, Goodwill and Other, regarding testing goodwill for impairment provides an entity the option to first perform a qualitative assessment to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount. The Company performs its annual goodwill impairment test as of December 31 of each year. Considering the recent economic conditions resulting from the COVID-19 pandemic the Company performed a Step 1 goodwill impairment test (which compares the fair value of a reporting unit with its carrying amount, including goodwill) at December 31, 2020, the results indicated that there was no impairment. Management will continue to evaluate the economic conditions at future reporting periods for applicable changes. On September 30, 2021, the Company entered into a Purchase and Assumption Agreement and completed the sale of a portfolio of loans and certain assets associated (the “Sale”) with its branch office located in Richmond, Virginia to Strasburg, Virginia-based First Bank. In accordance with GAAP, the Company allocated a proportionate share of its goodwill balance to the Sale on a relative fair value basis. Based on a relative fair value analysis performed through the date of the sale, goodwill adjustment in the amount of $2.5 million related to the Sale was recorded during the third quarter of 2021. ​ The Company’s other intangible assets consist of core deposit, customer relationships and tradename. They are initially recognized based on a valuation performed as of the consummation date. The core deposit intangible is amortized over the average remaining life of the acquired customer deposits, the customer relationships are amortized over a weighted average of 8.6 years and the tradename is amortized over five years. The carrying amount of goodwill and other intangible assets as of the dates indicated is summarized below (in thousands): ​
​ | ​ | ​ | ​ | ​ | ​ | ​
​ |  | September 30, |  | December 31,
​ | ​ | 2021 | ​ | 2020
Goodwill: |  | ​ |  |  | ​ |
Balance, beginning of period | ​ | $ | 74,135 | ​ | $ | 65,614
Acquisition of PFG | ​ |  | 323 | ​ |  | 8,521
Acquisition of Fountain | ​ |  | 2,400 | ​ |  | —
Acquisition of SCB | ​ | ​ | 15,589 | ​ | ​ | —
Adjustment, due to Sale | ​ | ​ | (2,463) | ​ | ​ | —
Balance, end of the period | ​ | $ | 89,984 | ​ | $ | 74,135
​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | Core Deposit |  | Customer Relationships |  | Tradename | ​ | ​ |
Amortized other intangible assets: | ​ | Intangibles | ​ | Intangibles | ​ | Intangibles | ​ | Total | ​
Beginning balance January 1, 2021, gross | ​ | $ | 15,920 | ​ | $ | 1,064 | ​ | $ | 63 | ​ | $ | 17,047 | ​
Acquisition of Fountain | ​ | ​ | - | ​ | ​ | 2,658 | ​ | ​ | - | ​ | ​ | 2,658 | ​
Acquisition of SCB | ​ | ​ | 1,550 | ​ | ​ | - | ​ | ​ | - | ​ | ​ | 1,550 | ​
Balance, September 30, 2021, other intangible assets, gross | ​ | ​ | 17,470 | ​ | ​ | 3,722 | ​ | ​ | 63 | ​ | ​ | 21,255 | ​
Less: accumulated amortization | ​ | ​ | (5,748) | ​ | ​ | (541) | ​ | ​ | (20) | ​ | ​ | (6,309) | ​
Balance, September 30, 2021, other intangible assets, net | ​ | $ | 11,722 | ​ | $ | 3,181 | ​ | $ | 43 | ​ | $ | 14,946 | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Beginning balance January 1, 2020, gross | ​ | $ | 14,550 | ​ | $ | - | ​ | $ | - | ​ | $ | 14,550 | ​
Acquisition of PFG | ​ | ​ | 1,370 | ​ | ​ | 1,064 | ​ | ​ | 63 | ​ | ​ | 2,497 | ​
Balance, December 31, 2020, other intangible assets, gross | ​ | ​ | 15,920 | ​ | ​ | 1,064 | ​ | ​ | 63 | ​ | ​ | 17,047 | ​
Less: accumulated amortization | ​ | ​ | (4,540) | ​ | ​ | (161) | ​ | ​ | (10) | ​ | ​ | (4,711) | ​
Balance, December 31, 2020, other intangible assets, net | ​ | $ | 11,380 | ​ | $ | 903 | ​ | $ | 53 | ​ | $ | 12,336 | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ The aggregate amortization expense for other intangible assets for the three and nine months ended September 30, 2021, was $711 thousand and $1.6 million, respectively, and for the three and nine months ended September 30, 2020, was $402 thousand and $1.2 million, respectively. The estimated aggregate amortization expense for future periods for intangibles is as follows (in thousands): ​
​ | ​ | ​ | ​
Remainder of 2021 |  | $ | 660
2022 | ​ |  | 2,521
2023 | ​ |  | 2,356
2024 | ​ |  | 2,203
2025 | ​ | ​ | 2,041
Thereafter | ​ |  | 5,165
Total | ​ | $ | 14,946
​

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- Definition The entire disclosure for goodwill and intangible assets. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -URI http://asc.fasb.org/topic&trid=2144416 + Details
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