CASH 2018 Annual Report

124 The Company has included the financial results of Crestmark in its Consolidated Financial Statements as of the acquisition date. The Crestmark Acquisition has been accounted for under the acquisition method of accounting. The assets and liabilities, both tangible and intangible, were recorded at their estimated fair values as of the acquisition date. The Company made significant estimates and exercised judgment in estimating fair values and accounting for the acquired assets and liabilities. The Company recognized $9.0 million in transaction-related expenses during fiscal 2018. The transaction expenses are reflected on the Consolidated Statements of Operations primarily under legal and consulting. The following table represents the approximate fair value of the assets acquired and liabilities assumed of Crestmark on the Consolidated Statements of Financial Condition as of August 1, 2018: As of August 1, 2018 (Dollars in Thousands) Fair value of consideration paid Cash paid $ 6 Stock issued 295,767 Total consideration paid 295,773 Fair value of assets acquired Cash and cash equivalents 58,858 Investment & MBS securities 25,349 Loan and lease receivables held for sale 17,494 Loan and lease receivables held for investment 1,046,010 Federal Home Loan Bank stock, at cost 33 Accrued interest receivable 5,381 Premises, furniture, and equipment 18,458 Rental equipment 98,977 Foreclosed real estate and repossessed assets 1,209 Intangible assets 28,253 Other assets 22,170 Total assets 1,322,192 Fair value of liabilities assumed Time certificates of deposits 295,590 Wholesale certificates of deposits 825,076 Total deposits 1,120,666 Short-term debt 11,642 Long-term debt 3,609 Accrued interest payable 3,581 Accrued expenses and other liabilities 88,301 Total liabilities assumed 1,227,799 Fair value of non-controlling interest assumed Non-controlling interest 3,167 Total non-controlling interest 3,167 Fair value of net assets acquired 91,226 Goodwill resulting from acquisition 204,547