Quarterly report pursuant to Section 13 or 15(d)

GOODWILL AND INTANGIBLE ASSETS

v3.24.2.u1
GOODWILL AND INTANGIBLE ASSETS
6 Months Ended
Jun. 30, 2024
Goodwill and Intangible Assets Disclosure [Abstract]  
GOODWILL AND INTANGIBLE ASSETS

5. GOODWILL AND INTANGIBLE ASSETS

The Company’s intangible assets consist of core deposits, goodwill, and other intangibles arising from previous acquisitions. The Company has determined that CDI have finite lives and amortizes them over their estimated useful lives. CDI are being amortized over the period of expected benefit, which ranges from four years to ten years, using an accelerated method. Other amortizable intangible assets are being amortized over the period of expected benefit, which ranges from four years to ten years, using various methods. The Company concluded that there was no impairment to the goodwill or intangible assets as of the balance sheet date. In the normal course of business, the Company routinely monitors the impact of the changes in the financial markets and includes these assessments in the Company’s impairment process.

The following table provides information on the significant components of goodwill and other acquired intangible assets as of the periods ended (dollars in thousands).

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Gross

    

Additions:

    

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Net

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Carrying

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American National

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Accumulated

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Carrying

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Value

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Acquisition

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Amortization

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Value

June 30, 2024

 

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Goodwill

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$

925,211

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$

282,273

​

$

—

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$

1,207,484

CDI

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​

85,491

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​

74,410

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​

(75,698)

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​

84,203

Other amortizable intangibles

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​

3,977

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​

10,277

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​

(2,477)

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​

11,777

December 31, 2023

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​

 

  

​

 

  

​

 

  

Goodwill

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$

925,211

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$

—

​

$

—

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$

925,211

CDI

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​

85,491

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​

—

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(68,599)

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​

16,892

Other amortizable intangibles

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3,977

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—

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(1,686)

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2,291

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The following table presents the Company’s goodwill and intangible assets by operating segment as of the periods ended (dollars in thousands):

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Wholesale Banking

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Consumer Banking

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Corporate Other

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Total

June 30, 2024

 

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Goodwill (1)

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$

845,239

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$

362,245

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$

—

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$

1,207,484

Intangible Assets (2)

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9,349

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883

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85,748

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95,980

December 31, 2023

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​

 

  

​

 

  

​

 

  

Goodwill

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$

639,180

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$

286,031

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$

—

​

$

925,211

Intangible Assets

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1,302

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989

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16,892

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19,183

(1) Wholesale Banking and Consumer Banking includes $206.1 million and $76.2 million, respectively, related to the American National acquisition. Refer to Note 2 “Acquisitions” for more information.

(2) Wholesale Banking and Corporate Other includes $8.4 million and $76.3 million, respectively, related to the American National acquisition. Refer to Note 2 “Acquisitions” for more information.

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Amortization expense of intangibles for the three months ended June 30, 2024 and 2023 totaled $6.0 million and $2.2 million, respectively. Amortization expense of intangibles for the six months ended June 30, 2024 and 2023 totaled $7.9 million and $4.5 million, respectively. As of June 30, 2024, the estimated remaining amortization expense of intangibles is as follows for the years ending (dollars in thousands):

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For the remaining six months of 2024

    

$

11,419

2025

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​

19,950

2026

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16,245

2027

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​

12,936

2028

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10,151

Thereafter

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25,279

Total estimated amortization expense

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$

95,980

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