14. Segment Results

The financial performance of the Company is also monitored by an internal funds transfer pricing profitability measurement system which produces line of business results and key performance measures. The Company's major business units include retail banking, commercial lending, trust, and investment/parent. The reported results reflect the underlying economics of the business segments. Expenses for centrally provided services are allocated based upon the cost and estimated usage of those services. The businesses are match-funded and interest rate risk is centrally managed and accounted for within the investment/parent business segment. The key performance measure the Company focuses on for each business segment is net income contribution.

Retail banking includes the deposit-gathering branch franchise and lending to both individuals and small businesses. Lending activities include residential mortgage loans, direct consumer loans, and small business commercial loans. Commercial banking to businesses includes commercial loans, and commercial real-estate loans. The trust segment contains our wealth management businesses which include the Trust Company, West Chester Capital Advisors (WCCA), our registered investment advisory firm and financial services. Wealth management includes personal trust products and services such as personal portfolio investment management, estate planning and administration, custodial services and pre-need trusts. Also, institutional trust products and services such as 401(k) plans, defined benefit and defined contribution employee benefit plans, and individual retirement accounts are included in this segment. Financial services include the sale of mutual funds, annuities, and insurance products. The Wealth management businesses also includes the union collective investment funds, namely the ERECT and BUILD funds which are designed to use union pension dollars in construction projects that utilize union labor. The company recognized goodwill in connection with the acquisition of WCCA in 2007. In the third quarter of 2014, the Company performed a goodwill impairment test and determined that the fair value of WCCA was less than its carrying value and, accordingly, recorded an impairment charge of $669,000 which is included in net income (loss) for the Trust segment in the table below. The goodwill impairment charge was the result of a reduction in earnings power caused by the departure of WCCA's former CEO and subsequent loss of a meaningful number of clients. The investment/parent includes the net results of investment securities and borrowing activities, general corporate expenses not allocated to the business segments, interest expense on guaranteed junior subordinated deferrable interest debentures, and centralized interest rate risk management. Inter-segment revenues were not material.

The contribution of the major business segments to the Consolidated Statements of Operations for the three and nine months ended September 30, 2014 and 2013 were as follows (in thousands):


	Three months ended September 30, 2014						Nine months ended September 30, 2014						September 30, 2014
	Total revenue			Net income (loss)			Total revenue			Net income (loss)			Total assets
Retail banking	$	6,651		$	706		$	19,238		$	1,671		$	359,932
Commercial banking		4,279			1,141			12,691			3,267			557,909
Trust		1,907			(432	)		6,062			232			4,457
Investment/Parent		(841	)		(1,050	)		(1,916	)		(2,896	)		148,133
Total	$	11,996		$	365		$	36,075		$	2,274		$	1,070,431


	Three months ended September 30, 2013						Nine months ended September 30, 2013						December 31, 2013
	Total revenue			Net income (loss)			Total revenue			Net income (loss)			Total assets
Retail banking	$	6,775		$	729		$	20,285		$	2,339		$	347,823
Commercial banking		4,075			1,136			11,943			3,189			545,556
Trust		2,048			310			6,216			816			4,722
Investment/Parent		(712	)		(949	)		(2,304	)		(2,992	)		157,935
Total	$	12,186		$	1,226		$	36,140		$	3,352		$	1,056,036