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Note 10 - Goodwill and Other Intangible Assets, Net
 12 Months Ended
Dec. 31, 2019
Notes to Financial Statements  
Intangible Assets Disclosure [Text Block]
10.
GOODWILL AND OTHER INTANGIBLE ASSETS, NE
T
 
Information related to the core deposit intangibles is as follows:
 
 
(In Thousands)
  
December 31,
  
   
2019
    
2018
  
Gross amount
   $
3,495
     $
2,034
  
Accumulated amortization
    
(2,248
 )    
(2,025
 )
Net
   $
1,247
     $
9
  
 
Amortization expense was
$223,000
in
2019,
including
$214,000
related to the Monument transaction described in Note
3,
and
$3,000
in
2018.
The amount of amortization expense to be recognized in each of the ensuing
five
years is as follows:
 
(In Thousands)
  
 
 
 
2020
   $
249
  
2021
    
193
  
2022
    
160
  
2023
    
133
  
2024
    
125
  
 
Changes in the carrying amount of goodwill are summarized in the following table:
 
(In Thousands)
  
December 31,
  
   
2019
    
2018
  
Balance, beginning of period
   $
11,942
     $
11,942
  
Goodwill arising in business combination
    
16,446
      
0
  
Balance, end of period
   $
28,388
     $
11,942
  
 
In testing goodwill for impairment as of
December 31, 2019,
the Corporation by-passed performing a qualitative assessment and performed a quantitative assessment based on comparison of the Corporation’s market capitalization to its stockholders’ equity, resulting in the determination that the fair value of its reporting unit, its community banking operation, exceeded its carrying value. Accordingly, there was
no
goodwill impairment at
December 31, 2019.
 
The Corporation’s assessment of goodwill for impairment at
December 31, 2018
was based on assessment of qualitative factors to determine whether it was more likely than
not
that the fair value of its community banking operation was less than its carrying amount. The qualitative factors assessed included the Corporation’s recent financial performance, economic conditions in the Corporation’s market area, macroeconomic conditions and other factors. Based on the assessment of qualitative factors, the Corporation determined that it was
not
more likely than
not
that the fair value of the community banking operation had fallen below its carrying value, and therefore, the Corporation did
not
perform a more detailed,
two
-step goodwill impairment test and concluded there was
no
goodwill impairment as of
December 31, 2018.