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Acquisition | 3 Months Ended
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Mar. 31, 2019
Business Combinations [Abstract] |
Acquisitions | Acquisition On December 20, 2017, LCNB and Columbus First Bancorp, Inc. (“CFB”) entered into an Agreement and Plan of Merger (“Merger Agreement”) pursuant to which CFB merged with and into LCNB on May 31, 2018. Immediately following the merger of CFB into LCNB, Columbus First Bank, a wholly-owned subsidiary of CFB, merged into the Bank. Columbus First Bank operated from one full-service office located in Worthington, Ohio. That office became a branch of the Bank after the merger. Under the terms of the Merger Agreement, the shareholders of CFB received two shares of LCNB common stock for each outstanding CFB common share. Unexercised stock options of CFB were canceled in exchange for a cash payment. The merger with CFB was accounted for using the acquisition method of accounting and, accordingly, assets acquired, liabilities assumed, and consideration paid were recorded at their estimated fair values as of the merger date. The estimated fair values reported in LCNB's Form 10-Q for the quarterly period ended June 30, 2018 were preliminary, as the pricing study had not been finalized at that time. The following table summarizes the preliminary balances at June 30, 2018, revisions to the preliminary balances, and the balances at December 31, 2018 (in thousands):
| June 30, 2018 |  | Fair Value Adjustments |  | December 31, 2018
Consideration Paid: |  |  |  |  |
Common shares issued (3,253,060 shares issued at $19.55 per share) | $ | 63,598 |  |  | — |  |  | 63,598 |
Cash paid to cancel share based payment awards | 783 |  |  | — |  |  | 783 |
| 64,381 |  |  | — |  |  | 64,381 |
Identifiable Assets Acquired: |  |  |  |  |
Cash and cash equivalents | 13,679 |  |  | — |  |  | 13,679 |
Interest-bearing time deposits | 10,350 |  |  | — |  |  | 10,350 |
Federal Home Loan Bank stock | 1,207 |  |  | — |  |  | 1,207 |
Loans, net | 282,748 |  |  | (615 | ) |  | 282,133 |
Loans held for sale, net | 1,819 |  |  | — |  |  | 1,819 |
Premises and equipment | 102 |  |  | — |  |  | 102 |
Core deposit intangible | 2,089 |  |  | 88 |  |  | 2,177 |
Other real estate owned | 35 |  |  | — |  |  | 35 |
Deferred income taxes | — |  |  | 352 |  |  | 352 |
Other assets | 2,022 |  |  | (658 | ) |  | 1,364 |
Total identifiable assets acquired | 314,051 |  |  | (833 | ) |  | 313,218 |
Liabilities Assumed: |  |  |  |  |
Deposits | 245,036 |  |  | (606 | ) |  | 244,430 |
Short-term borrowings | 10,000 |  |  | — |  |  | 10,000 |
Long-term debt | 22,920 |  |  | 23 |  |  | 22,943 |
Deferred income taxes | 200 |  |  | (200 | ) |  | — |
Other liabilities | 491 |  |  | 11 |  |  | 502 |
Total liabilities assumed | 278,647 |  |  | (772 | ) |  | 277,875 |
Total Identifiable Net Assets Acquired | 35,404 |  |  | (61 | ) |  | 35,343 |
Goodwill resulting from merger | $ | 28,977 |  |  | 61 |  |  | 29,038 |
As permitted by ASC No. 805-10-25, Business Combinations, the above estimated amounts may be adjusted up to one year after the closing date of the acquisition to reflect any new information obtained about facts and circumstances existing at the acquisition date. Any changes in the estimated fair values will be recognized in the period the adjustment is identified. There were no revisions during the first quarter 2019. The amount of goodwill recorded reflects LCNB's expansion in the Columbus market and related synergies that are expected to result from the acquisition and represents the excess purchase price over the estimated fair value of the net assets acquired. The goodwill will not be amortizable on LCNB's financial records and will not be deductible for tax purposes. Goodwill will be subject to an annual test for impairment and the amount impaired, if any, will be charged to expense at the time of impairment. The core deposit intangible will be amortized over the estimated weighted average economic life of the various core deposit types. Direct costs related to the acquisition were expensed as incurred and are recorded as a merger-related expense in the consolidated condensed statements of income. CFB's results of operations are included in the consolidated condensed statements of income from May 31, 2018, the date of the merger.

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- Definition The entire disclosure for a business combination (or series of individually immaterial business combinations) completed during the period, including background, timing, and recognized assets and liabilities. The disclosure may include leverage buyout transactions (as applicable). + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 805 -URI http://asc.fasb.org/topic&trid=2303972 + Details
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