Company: ASB
Filing Date: 2025-02-12
Form Type: 10-K
Source: 0000007789-25-000013
Chunk: 57

Company: ASSOCIATED BANC-CORP
Filing Date: 2025-02-12
Form: 10-K
Item: Item 8
Chunk 57
---
,021 (8,758)14,805 94,613 0.86 %Total loans$351,496 $(58,768)$10,142 $(48,626)$83,000 $385,870 1.32 %

Note 4 Goodwill and Other Intangible Assets 

GoodwillGoodwill is not amortized but is instead subject to impairment tests on at least an annual basis, and more frequently if an event occurs or circumstances change that would more likely than not reduce the fair value of a reporting unit below its carrying amount. See Note 1 for the Corporation’s accounting policy for goodwill and other intangible assets.The Corporation conducted its most recent annual impairment testing in May 2024, utilizing a qualitative assessment. Based on this assessment, management concluded that it is more likely than not that the estimated fair value exceeded the carrying value 

111

(including goodwill) for each reporting unit. Therefore, a step one quantitative analysis was not required. There have been no events since the May 2024 impairment test that have changed the Corporation's impairment assessment conclusion. There were no impairment charges recorded in 2024, 2023, or 2022.The Corporation had goodwill of $1.1 billion at both December 31, 2024 and 2023. Core Deposit IntangiblesThe Corporation has CDIs which are amortized. Changes in the gross carrying amount, accumulated amortization, and net book value for CDIs were as follows:($ in thousands)202420232022Core deposit intangiblesGross carrying amount at the beginning of the year$88,109 $88,109 $88,109 Accumulated amortization(56,449)(47,638)(38,827)Net book value$31,660 $40,471 $49,282 Amortization during the year$8,811 $8,811 $8,811 Mortgage Servicing Rights The Corporation sells residential mortgage loans in the secondary market and typically retains the right to service the loans sold. MSRs are not traded in active markets. As a result, a cash flow model is used to determine fair value. Key assumptions and estimates, including projected prepayment speeds, assumed servicing costs, ancillary income, costs to service delinquent loans, costs of foreclosure, and discount rates with option-adjusted spreads, are used in measuring the fair value of the MSRs asset. These assumptions are considered significant unobservable inputs