Note

– Goodwill and Intangible Assets

Goodwill:

The change in goodwill during the year is as follows:

	2019			2018		2017
Beginning of year	$	7,371		$	7,371	$	7,801
Acquired goodwill		----			----		----
Impairment		----			----		----
Finalization of Milton branch sale		(52	)		----		----
Finalization of Milton acquisition accounting		----			----		(430	)
End of year	$	7,319		$	7,371	$	7,371

Impairment exists when a reporting unit’s carrying value of goodwill exceeds its fair value. At

December 31, 2019

and

2018,

the Company’s reporting unit had positive equity and the Company elected to perform a qualitative assessment to determine if it was more likely than

not

that fair value of the reporting unit exceeded its carrying value, including goodwill. The qualitative assessment indicated that it is more likely than

not

that fair value of goodwill is more than the carrying value, resulting in

impairment. Therefore, the Company did

not

proceed to step

one

of the annual goodwill impairment testing requirement.

Acquired intangible assets:

Acquired intangible assets were as follows at year-end:

	2019				2018
	Gross Carrying Amount		Accumulated Amortization		Gross Carrying Amount		Accumulated Amortization
Amortized intangible assets:
Core deposit intangibles	$	738	$	564	$	738	$	359

Aggregate amortization expense was

$206

for

2019,

$135

for

2018

and

$156

for

2017.

Estimated amortization expense for each of the next

five

years:

2020	$	62
2021		48
2022		35
2023		21
2024		8
Total	$	174