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Intangible Assets (Tables)

12 Months Ended

Dec. 31, 2017

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Intangible Assets and Goodwill

Intangible assets are included in the Consolidated Balance Sheets as a separate line item, net of accumulated amortization and consist of the following items:

	Gross							Net
	Intangible				Accumulated			Intangible
(dollars in thousands)	Assets		Additions		Amortization			Assets

December 31, 2017
Goodwill (1)	$	104,168	$	—	$	—		$	104,168
Core deposit (2)	7,070		—		(5,355		)	1,715
Excess servicing (3)	472		993		(481		)	984
Non-compete agreements (4)	—		345		—			345
	$	111,710	$	1,338	$	(5,836	)	$	107,212

December 31, 2016
Goodwill (1)	$	104,168	$	—	$	—		$	104,168
Core deposit (2)	7,070		—		(4,291		)	2,779
Excess servicing (3)	387		602		(517		)	472
	$	111,625	$	602	$	(4,808	)	$	107,419

The aggregate amortization expense was $1.5 million, $1.7 million, and $1.5 million for the years ended December 31, 2017, 2016 and 2015, respectively.

(1) The Company recorded an initial amount of unidentified intangible (goodwill) incident to the acquisition of Fidelity of approximately $360 thousand. Based on allowable adjustments through August 31, 2009, the unidentified intangible (goodwill) amounted to approximately $2.2 million. The Company recorded an initial amount of unidentified intangible (goodwill) incident to the acquisition of Virginia Heritage of approximately $102 million.

(2) In connection with the Fidelity and Virginia Heritage acquisitions, the Company made an allocation of the purchase price to core deposit intangibles which were $2.3 million and $4.6 million, respectively, based off of an independent evaluation and are included in intangible assets, net of accumulated amortization on the Consolidated Balance Sheets. The initial amount recorded for the Fidelity acquisition was $2.3 million. The amount of the core deposit intangible relating to the Fidelity acquisition at December 31, 2017 was $58 thousand, which is being amortized over its remaining economic life through 2018 as a component of other noninterest expense. The initial amount recorded for the Virginia Heritage acquisition was $4.6 million. The amount of the core deposit intangible relating to the Virginia Heritage acquisition at December 31, 2017 was $1.7 million, which is being amortized over its remaining economic life through 2020 as a component of other noninterest expense.

(3) The Company recognizes a servicing asset for the computed value of servicing fees on the sale of multifamily FHA loans and the sale of the guaranteed portion of SBA loans. Assumptions related to loan terms and amortization are made to arrive at the initial recorded values, which are included in other assets.

(4) The Company entered into a non-compete agreement for three years with its former Vice Chairman of the Bank. The amount of the non-compete intangible was $345 thousand, which is being amortized over its remaining term through 2020 as a component of professional fees.