UMPQ Umpqua Holdings Corporation

Full-year 2015 operating earnings1 of $1.15 per share, up 6% from $1.08 in 2014

Fourth quarter 2015 operating earnings of $66.6 million, or $0.30 per share

Improved results attributable to strong net interest margin, double-digit revenue and loan growth

Loan and lease growth of 3% for the quarter, 10% for the year

Umpqua Holdings Corporation (NASDAQ:UMPQ) (the “Company”) reported net earnings available to common shareholders of $63.4 million for the fourth quarter of 2015, compared to $57.5 million for the third quarter of 2015 and $52.4 million for the fourth quarter of 2014. Earnings per diluted common share were $0.29 for the fourth quarter of 2015, compared to $0.26 for the third quarter of 2015 and $0.24 for the fourth quarter of 2014.

Operating earnings, which represent earnings available to common shareholders before gains or losses on junior subordinated debentures carried at fair value, net of tax, and merger related expenses, net of tax, were $66.6 million for the fourth quarter of 2015, compared to $62.1 million for the third quarter of 2015 and $59.4 million for the fourth quarter of 2014. Operating earnings per diluted common share were $0.30 for the fourth quarter of 2015, compared to $0.28 for the third quarter of 2015 and $0.27 for the fourth quarter of 2014.

For the twelve months ended December 31, 2015, the Company reported net earnings available to common shareholders of $222.7 million, or $1.01 per diluted common share, compared to $147.2 million, or $0.78 per diluted common share, for the twelve months ended December 31, 2014. For the twelve months ended December 31, 2015, operating earnings were $253.8 million, or $1.15 per diluted common share, compared to $202.5 million, or $1.08 per diluted common share, for the twelve months ended December 31, 2014.

“Umpqua delivered strong financial performance in 2015, despite the continued low interest rate environment,” said Ray Davis, president and CEO of Umpqua Holdings Corporation. “Umpqua’s double digit loan growth and strong net interest margin led to a six percent increase in operating earnings per share, and improvements in our key profitability metrics. In addition, we returned more capital to our shareholders through increased dividends, and continued to invest in technology initiatives to position Umpqua for the future.”

Full-Year 2015 Highlights (compared to prior year):

• Operating earnings of $253.8 million, up from $202.5 million:
  • Revenue growth of 20%, driven primarily by higher net interest income from a larger balance sheet and improvement in asset mix, and an increase in mortgage banking revenue;
  • Efficiency ratio (operating basis)1 improved to 61.90%, from 62.33%;
  • Return on average assets (operating basis)1 of 1.11% and return on average tangible common equity (operating basis)1 of 12.81%, both increased from prior year;
• Gross loan and lease growth of $1.5 billion, or 10%;
• Non-performing assets to total assets decreased to 0.29%, from 0.43%;
• Paid dividends of $0.62 per common share, repurchased 571,000 shares of stock, and grew tangible book value by 4%, or $0.37 per share;

Fourth Quarter 2015 Highlights (compared to prior quarter):

• Operating earnings1 increased to $66.6 million:
  • Net interest income increased by $0.6 million, driven by strong loan growth;
  • Provision for loan and lease losses decreased by $3.6 million, driven by improved credit performance and lower net charge-offs;
  • Non-interest income increased by $8.0 million, driven by a lower loss related to the change in fair value of the mortgage servicing rights ("MSR") asset;
  • Non-interest expense (excluding merger-related expense) increased by $4.2 million, driven primarily by higher marketing, professional services, communications and depreciation expense;
• Strong loan and deposit growth:
  • Gross loan and lease growth of $460.3 million, or 11% annualized;
  • Deposits grew by $240.2 million, or 5% annualized;
• Prudently managed capital:
  • Estimated total risk-based capital ratio of 14.2% and estimated Tier 1 common to risk weighted assets ratio of 11.2%;
  • Paid quarterly dividend of $0.16 per common share; and
  • Repurchased 61,000 shares of common stock for $1.1 million.

Financial Statement Presentation

Please note that the financial statement presentation, and the surrounding narrative, contains certain prior period amounts which have been reclassified to conform with current year presentation.

Balance Sheet

Total consolidated assets increased to $23.4 billion as of December 31, 2015, compared to $23.2 billion as of September 30, 2015 and $22.6 billion as of December 31, 2014. Including secured off-balance sheet lines of credit, the Company had total available liquidity of $7.6 billion as of December 31, 2015, representing 32% of total assets and 43% of total deposits.

Gross loans and leases were $16.8 billion as of December 31, 2015, an increase of $460.3 million from $16.4 billion as of September 30, 2015. This increase was driven by strong loan growth in both the commercial and consumer portfolios.

The Company also sold $27.7 million and $201.1 million of portfolio residential mortgage loans for the fourth quarter and full year of 2015, respectively. Excluding the impact of these sales, gross loan growth for the fourth quarter of 2015 was $488.0 million, or 12% annualized, and gross loan growth for 2015 was $1.7 billion, or 11%.

Total deposits were $17.7 billion as of December 31, 2015, an increase of $240.2 million, or 5% annualized, from $17.5 billion as of September 30, 2015. This increase was primarily attributable to growth in demand, money market and savings deposits, partially offset by a decrease in time deposits.

Net Interest Income

Net interest income was up $0.6 million from the prior quarter, driven primarily by strong quarterly loan growth. This growth was partially offset by a slight decline in core margin and a $1.2 million linked quarter decrease in interest income arising from the accretion of the credit discount recorded on loans acquired from Sterling. Over the same period in the prior year, net interest income decreased by $8.2 million, driven by a lower level of interest income arising from the accretion of the credit discount recorded on loans acquired from Sterling.

The Company’s net interest margin was 4.37% for the fourth quarter of 2015, down from 4.42% for the third quarter of 2015 and from 4.69% for the fourth quarter of 2014. These decreases reflect the lower level of accretion of the credit discount recorded on loans acquired from Sterling, as well as lower average yields on interest-earning assets.

Credit Quality

Under acquisition accounting, loans (including those considered non-performing) acquired from Sterling were recorded at their estimated fair value, and the related allowance for loan losses was eliminated. As a result, the Company wrote down the value of the loan and lease portfolio acquired from Sterling as of the acquisition date. The credit portion of the fair value mark is not reflected in the reported allowance for loan and lease losses, or its related allowance coverage ratios, but we believe should be considered when comparing the current quarter ratios to similar ratios in periods prior to the acquisition of Sterling.

Loans acquired with significant deteriorated credit quality are accounted for as purchased credit impaired pools. Accordingly, loans included in the purchased credit impaired pools are not reported as non-performing loans based upon their individual performance status.

During the fourth quarter of 2015, the Company reported $13.1 million of accretion related to the Sterling credit discount in interest income, as compared to $14.3 million in the prior quarter. As of December 31, 2015, the purchased non-credit impaired loans had approximately $72.8 million of remaining credit discount that will accrete into interest income over the life of the loans, and the purchased credit impaired loan pools had approximately $44.4 million of remaining total discount.

The allowance for loan and lease losses was $130.3 million, or 0.77% of loans and leases, as of December 31, 2015. To provide better comparability to prior periods, this pro-forma ratio would have been approximately 1.5% after grossing up the allowance for loan and lease losses and the loans and leases by the amount of the credit discount remaining as of quarter-end. This compares to a pro-forma ratio of approximately 1.6% as of September 30, 2015.

The provision for loan and lease losses decreased by $3.6 million from the prior quarter, driven primarily by continued improvement in credit performance within the loan and lease portfolio and a linked quarter decline in net charge-offs.

Charge-offs, net of recoveries, were $4.4 million for the fourth quarter of 2015, compared to $5.1 million for the third quarter of 2015.

As of December 31, 2015, non-performing assets represented 0.29% of total assets, compared to 0.28% as of September 30, 2015 and 0.43% as of December 31, 2014.

Non-interest Income

Total non-interest income was up $8.0 million from the prior quarter, driven primarily by increased mortgage banking revenue and increased income related to debt capital market activities, partially offset by lower brokerage revenue and income from portfolio loans sales. Over the same period in the prior year, non-interest income increased by $19.0 million primarily reflecting stronger mortgage banking revenues.

The largest component of non-interest income is mortgage banking revenue, which includes revenue from the origination and sale of residential mortgage loans, revenue from the servicing of residential mortgage loans and changes to the fair value of the residential MSR asset. The linked quarter increase in mortgage banking revenue was driven primarily by a lower loss related to the change in fair value of the MSR asset, which decreased to a loss of $0.5 million, from a loss of $10.1 million in the prior quarter. This change reflected the linked quarter increase in interest rates and its impact on the prepayment speed assumption for the MSR asset.

Revenue from the origination and sale of residential mortgages decreased slightly from the prior quarter, reflecting a 6% linked quarter decline in for sale mortgage originations. Home lending gain on sale margin remained flat at 3.19%. Of the current quarter’s mortgage production, 63% related to purchase activity, as compared to 70% for the prior quarter and 63% for the same period in the prior year.

Revenue related to the servicing of residential mortgage loans increased by 4% from the prior quarter, and has increased by 20% from the same period in the prior year, consistent with the growth in residential mortgage loans serviced for others.

Non-interest Expense

Non-interest expense was $185.1 million for the fourth quarter of 2015, which included $3.7 million of merger-related expenses. This compares to $183.2 million, including $6.0 million of merger-related expenses for the third quarter of 2015, and $190.9 million, including $10.2 million of merger-related expenses, for the fourth quarter of 2014.

Excluding merger-related expenses, non-interest expense increased by $4.2 million from the prior quarter. This increase from the prior quarter was driven primarily by higher marketing and professional service expense, as well as higher costs associated with communications and depreciation.

Capital

As of December 31, 2015, the Company’s tangible book value per common share1 increased to $9.16, from $9.08 in the prior quarter and from $8.79 in the same period of the prior year. During the fourth quarter of 2015, the Company repurchased 61,000 shares of common stock for $1.1 million. For 2015, the Company repurchased 571,000 shares for $10.0 million.

The Company’s estimated total risk-based capital ratio was 14.2% and its estimated Tier 1 common to risk weighted assets ratio was 11.2% as of December 31, 2015, compared to 14.5% and 11.5%, respectively, as of September 30, 2015. The Company remains above current “well-capitalized” regulatory minimums. The regulatory capital ratios as of December 31, 2015 are estimates, pending completion and filing of the Company’s regulatory reports.

Non-GAAP Financial Measures

In addition to results presented in accordance with generally accepted accounting principles in the United States of America (GAAP), this press release contains certain non-GAAP financial measures. The Company believes that certain non-GAAP financial measures provide investors with information useful in understanding the Company’s financial performance; however, readers of this document are urged to review these non-GAAP financial measures in conjunction with the GAAP results as reported.

The Company recognizes gains or losses on its junior subordinated debentures carried at fair value resulting from changes in interest rates and the estimated market credit risk adjusted spread that do not directly correlate with the Company’s operating performance. Also, the Company incurs significant expenses related to the completion and integration of mergers and acquisitions. Additionally, it may recognize goodwill impairment losses that have no direct effect on the Company’s or the Bank’s cash balances, liquidity, or regulatory capital ratios. Lastly, the Company may recognize one-time bargain purchase gains on certain acquisitions that are not reflective of the Company’s on-going earnings power. Accordingly, management believes that our operating results are best measured on a comparative basis excluding the impact of gains or losses on junior subordinated debentures measured at fair value, net of tax, merger-related expenses, net of tax, and other charges related to business combinations such as goodwill impairment charges or bargain purchase gains, net of tax. The Company defines operating earnings as earnings available to common shareholders before gains or losses on junior subordinated debentures carried at fair value, net of tax, bargain purchase gains on acquisitions, net of tax, merger related expenses, net of tax, and goodwill impairment, and we calculate operating earnings per diluted share by dividing operating earnings by the same diluted share total used in determining diluted earnings per common share.

The following table provides the reconciliation of earnings available to common shareholders (GAAP) to operating earnings (non-GAAP), and earnings per diluted common share (GAAP) to operating earnings per diluted share (non-GAAP) for the periods presented:

  Quarter Ended   % Change (Dollars in thousands, except per share data) Dec 31, 2015  

Sep 30, 2015

 

Jun 30, 2015

  Mar 31, 2015   Dec 31, 2014 Seq. Quarter   Year over Year Net earnings available to common shareholders $ 63,434   $ 57,523   $ 54,691   $ 47,045   $ 52,436 10 %   21 % Adjustments: Net loss on junior subordinated debentures carried at fair value, net of tax (1) 953 954 943 933 953 0 % 0 % Merger related expenses, net of tax (1) 2,227     3,595     13,078     8,449     6,038   (38 )% (63 )% Operating earnings $ 66,614     $ 62,072     $ 68,712     $ 56,427     $ 59,427   7 % 12 %  

Earnings per diluted share:

Earnings available to common shareholders $ 0.29 $ 0.26 $ 0.25 $ 0.21 $ 0.24 12 % 21 % Operating earnings $ 0.30 $ 0.28 $ 0.31 $ 0.26 $ 0.27 7 % 11 %   Year Ended % Change Dec 31, 2015   Dec 31, 2014 Year over Year   Net earnings available to common shareholders $ 222,693 $ 147,174 51 % Adjustments: Net loss on junior subordinated debentures carried at fair value, net of tax (1) 3,783 3,054 24 % Merger related expenses, net of tax (1) 27,349     52,311   (48 )% Operating earnings $ 253,825     $ 202,539   25 %  

Earnings per diluted share:

Earnings available to common shareholders $ 1.01 $ 0.78 29 % Operating earnings $ 1.15 $ 1.08 6 %   (1) Income tax effect of pro forma operating earnings adjustments at 40% for tax-deductible items.

Management believes tangible common equity and the tangible common equity ratio are meaningful measures of capital adequacy because they provide a meaningful base for period-to-period and company-to-company comparisons, which management believes will assist investors in assessing the capital of the Company and the ability to absorb potential losses. Tangible common equity is calculated as total shareholders' equity less goodwill and other intangible assets, net (excluding MSRs). Tangible assets are total assets less goodwill and other intangible assets, net (excluding MSRs). The tangible common equity ratio is calculated as tangible common shareholders’ equity divided by tangible assets.

The following table provides reconciliations of ending shareholders’ equity (GAAP) to ending tangible common equity (non-GAAP), and ending assets (GAAP) to ending tangible assets (non-GAAP).

(Dollars in thousands, except per share data)   Dec 31, 2015   Sep 30, 2015   Jun 30, 2015   Mar 31, 2015   Dec 31, 2014 Total shareholders' equity $ 3,849,846   $ 3,835,552   $ 3,804,179   $ 3,800,970   $ 3,777,626 Subtract: Goodwill and other intangible assets, net 1,833,301     1,836,954     1,839,760     1,842,567     1,842,958   Tangible common shareholders' equity $ 2,016,545     $ 1,998,598     $ 1,964,419     $ 1,958,403     $ 1,934,668   Total assets $ 23,387,717 $ 23,162,304 $ 22,793,331 $ 22,953,158 $ 22,609,903 Subtract: Goodwill and other intangible assets, net 1,833,301     1,836,954     1,839,760     1,842,567     1,842,958   Tangible assets $ 21,554,416     $ 21,325,350     $ 20,953,571     $ 21,110,591     $ 20,766,945   Common shares outstanding at period end 220,171 220,217 220,280 220,454 220,161 Tangible common equity ratio 9.36 % 9.37 % 9.38 % 9.28 % 9.32 % Tangible book value per common share $ 9.16 $ 9.08 $ 8.92 $ 8.88 $ 8.79

About Umpqua Holdings Corporation

Umpqua Holdings Corporation (NASDAQ: UMPQ) is the parent company of Umpqua Bank, an Oregon-based community bank recognized for its entrepreneurial approach, innovative use of technology, and distinctive banking solutions. Umpqua Bank has locations across Oregon, Washington, California, Idaho and Nevada. Umpqua Holdings also owns a retail brokerage subsidiary, Umpqua Investments, Inc., which has locations in Umpqua Bank stores and in dedicated offices in Oregon. Umpqua Private Bank serves high net worth individuals and nonprofits, providing trust and investment services. Umpqua Holdings Corporation is headquartered in Portland, Oregon. For more information, visit www.umpquaholdingscorp.com.

Earnings Conference Call Information

The Company will host its fourth quarter 2015 earnings conference call on Thursday, January 28, 2016, at 10:00 a.m. PT (1:00 p.m. ET). During the call, the Company will provide an update on recent activities and discuss its fourth quarter and full-year 2015 financial results. There will be a live question-and-answer session following the presentation. To join the call, please dial (877) 718-5095 ten minutes prior to the start time and enter conference ID: 641424. A re-broadcast will be available approximately two hours after the call by dialing (888) 203-1112 and entering conference ID 641424. The earnings conference call will also be available as an audiocast, which can be accessed on the Company’s investor relations page at www.umpquaholdingscorp.com. A slide presentation to accompany the call will also be posted on the website before the call.

Forward-Looking Statements

This press release and our earnings call and related slide presentation include forward-looking statements within the meaning of the “Safe-Harbor” provisions of the Private Securities Litigation Reform Act of 1995, which management believes are a benefit to shareholders. These statements are necessarily subject to risk and uncertainty and actual results could differ materially due to various risk factors, including those set forth from time to time in our filings with the SEC. You should not place undue reliance on forward-looking statements and we undertake no obligation to update any such statements. We make forward-looking statements about the integration of the merger with Sterling Financial Corporation; timing and amount of merger-related synergies; credit discount accretion related to the merger, and planned investments and initiatives. Specific risks that could cause results to differ from these forward looking statements are Umpqua’s ability to promptly and effectively integrate the businesses of Sterling and Umpqua and achieve the synergies and earnings accretion contemplated by the Sterling merger. Additional risks that could cause results to differ from forward-looking statements we make are set forth in our filings with the SEC and include, without limitation, changes in the discounted cash flow model used to determine the fair value of subordinated debentures; prolonged low interest rate environment; unanticipated weakness in loan demand or loan pricing; deterioration in the economy; material reductions in revenue or material increases in expenses; lack of strategic growth opportunities or our failure to execute on those opportunities; our inability to effectively manage problem credits; certain loan assets becoming ineligible for loss sharing; unanticipated increases in the cost of deposits; the consequences of a phase-out of junior subordinated debentures from Tier 1 capital; the diversion of management time on issues related to merger integration; changes in laws or regulations; and changes in general economic conditions.

Umpqua Holdings Corporation Consolidated Statements of Income (Unaudited)           Quarter Ended % Change (In thousands, except per share data) Dec 31, 2015   Sep 30, 2015   Jun 30, 2015   Mar 31, 2015   Dec 31, 2014 Seq. Quarter   Year over Year Interest income:     Loans and leases $ 219,440 $ 218,975 $ 217,143 $ 213,875 $ 226,853 0 % (3 )% Interest and dividends on investments: Taxable 12,654 11,882 11,517 11,789 11,629 6 % 9 % Exempt from federal income tax 2,363 2,393 2,410 2,481 2,746 (1 )% (14 )% Dividends 326 112 169 101 66 191 % 394 % Temporary investments & interest bearing deposits 422     440     549     825     857   (4 )% (51 )% Total interest income 235,205 233,802 231,788 229,071 242,151 1 % (3 )% Interest expense: Deposits 7,905 7,450 7,381 7,103 7,119 6 % 11 % Repurchase agreements 39 43 43 48 48 (9 )% (19 )% Term debt 3,885 3,629 3,492 3,464 3,570 7 % 9 % Junior subordinated debentures 3,542     3,465     3,406     3,337     3,399   2 % 4 % Total interest expense 15,371 14,587 14,322 13,952 14,136 5 % 9 % Net interest income 219,834 219,215 217,466 215,119 228,015 0 % (4 )% Provision for loan and lease losses 4,545 8,153 11,254 12,637 5,241 (44 )% (13 )% Non-interest income: Service charges on deposits 15,039 15,616 14,811 14,274 15,472 (4 )% (3 )% Brokerage revenue 4,061 5,003 4,648 4,769 4,960 (19 )% (18 )% Residential mortgage banking revenue, net 32,440 24,041 40,014 28,227 16,489 35 % 97 % Gain on investment securities, net 2,567 220 19 116 1,026 1,067 % 150 % Gain on loan sales 1,729 5,212 8,711 6,728 5,730 (67 )% (70 )% Loss on junior subordinated debentures carried at fair value (1,589 ) (1,590 ) (1,572 ) (1,555 ) (1,589 ) 0 % 0 % Change in FDIC indemnification asset 200 1,432 (1,199 ) (1,286 ) (1,982 ) (86 )% (110 )% BOLI income 1,841 2,165 2,043 2,302 1,971 (15 )% (7 )% Other income 13,057     9,273     13,627     10,330     8,228   41 % 59 % Total non-interest income 69,345 61,372 81,102 63,905 50,305 13 % 38 % Non-interest expense: Salaries and employee benefits 106,203 106,482 110,807 107,444 104,039 0 % 2 % Occupancy and equipment, net 38,722 37,235 34,868 32,150 32,987 4 % 17 % Intangible amortization 2,806 2,806 2,807 2,806 3,102 0 % (10 )% FDIC assessments 3,742 3,369 3,155 3,214 3,522 11 % 6 % (Gain) loss on other real estate owned, net (242 ) (158 ) 480 1,814 3,609 53 % (107 )% Merger related expenses 3,712 5,991 21,797 14,082 10,171 (38 )% (64 )% Other expense 30,134     27,469     28,004     31,109     33,426   10 % (10 )% Total non-interest expense 185,077 183,194 201,918 192,619 190,856 1 % (3 )% Income before provision for income taxes 99,557 89,240 85,396 73,768 82,223 12 % 21 % Provision for income taxes 36,027     31,633     30,612     26,639     29,641   14 % 22 % Net income 63,530 57,607 54,784 47,129 52,582 10 % 21 % Dividends and undistributed earnings allocated to participating securities 96     84     93     84     146   14 % (34 )% Net earnings available to common shareholders $ 63,434     $ 57,523     $ 54,691     $ 47,045     $ 52,436   10 % 21 %   Weighted average basic shares outstanding 220,202 220,297 220,463 220,349 218,963 0 % 1 % Weighted average diluted shares outstanding 220,930 220,904 221,150 221,051 219,974 0 % 0 % Earnings per common share – basic $ 0.29 $ 0.26 $ 0.25 $ 0.21 $ 0.24 12 % 21 % Earnings per common share – diluted $ 0.29 $ 0.26 $ 0.25 $ 0.21 $ 0.24 12 % 21 %   Umpqua Holdings Corporation Consolidated Statements of Income (Unaudited)     Year Ended % Change (In thousands, except per share data) Dec 31, 2015   Dec 31, 2014 Year over Year Interest income:   Loans and leases $ 869,433 $ 763,803 14 % Interest and dividends on investments: Taxable 47,842 45,784 4 % Exempt from federal income tax 9,647 10,345 (7 )% Dividends 708 325 118 % Temporary investments & interest bearing deposits 2,236     2,264   (1 )% Total interest income 929,866 822,521 13 % Interest expense: Deposits 29,839 23,815 25 % Repurchase agreements 173 346 (50 )% Term debt 14,470 12,793 13 % Junior subordinated debentures 13,750     11,739   17 % Total interest expense 58,232 48,693 20 % Net interest income 871,634 773,828 13 % Provision for loan and lease losses 36,589 40,241 (9 )% Non-interest income: Service charges on deposits 59,740 54,700 9 % Brokerage revenue 18,481 18,133 2 % Residential mortgage banking revenue, net 124,722 77,265 61 % Gain on investment securities, net 2,922 2,904 1 % Gain on loan sales 22,380 15,113 48 % Loss on junior subordinated debentures carried at fair value (6,306 ) (5,090 ) 24 % Change in FDIC indemnification asset (853 ) (15,151 ) (94 )% BOLI income 8,351 6,835 22 % Other income 46,287     26,465   75 % Total non-interest income 275,724 181,174 52 % Non-interest expense: Salaries and employee benefits 430,936 355,379 21 % Occupancy and equipment, net 142,975 111,263 29 % Intangible amortization 11,225 10,207 10 % FDIC assessments 13,480 10,998 23 % Loss on other real estate owned, net 1,894 4,116 (54 )% Merger related expenses 45,582 82,317 (45 )% Other expense 116,716     109,783   6 % Total non-interest expense 762,808 684,063 12 % Income before provision for income taxes 347,961 230,698 51 % Provision for income taxes 124,911     83,040   50 % Net income 223,050 147,658 51 % Dividends and undistributed earnings allocated to participating securities 357     484   (26 )% Net earnings available to common shareholders $ 222,693     $ 147,174   51 %   Weighted average basic shares outstanding 220,327 186,550 18 % Weighted average diluted shares outstanding 221,045 187,544 18 % Earnings per common share – basic $ 1.01 $ 0.79 28 % Earnings per common share – diluted $ 1.01 $ 0.78 29 %   Umpqua Holdings Corporation

Consolidated Balance Sheets

(Unaudited)             % Change (In thousands, except per share data) Dec 31, 2015   Sep 30, 2015   Jun 30, 2015   Mar 31, 2015   Dec 31, 2014 Seq. Quarter   Year over Year Assets:   Noninterest bearing cash $ 277,645 $ 283,773 $ 364,256 $ 292,558 $ 282,455 (2 )% (2 )% Interest bearing deposits and temporary investments 496,080 673,843 515,691 1,088,316 1,322,716 (26 )% (62 )% Investment securities: Trading, at fair value 9,586 9,509 10,005 10,452 9,999 1 % (4 )% Available for sale, at fair value 2,522,539 2,482,478 2,557,245 2,535,121 2,298,555 2 % 10 % Held to maturity, at amortized cost 4,609 4,699 4,807 4,953 5,211 (2 )% (12 )% Loans held for sale 363,275 398,015 419,704 406,487 286,802 (9 )% 27 % Loans and leases 16,848,195 16,387,934 15,974,197 15,548,957 15,327,732 3 % 10 % Allowance for loan and lease losses (130,322 )   (130,133 )   (127,071 )   (120,104 )   (116,167 ) 0 % 12 % Loans and leases, net 16,717,873 16,257,801 15,847,126 15,428,853 15,211,565 3 % 10 % Restricted equity securities 46,949 46,904 46,917 117,218 119,334 0 % (61 )% Premises and equipment, net 328,734 330,306 331,208 322,925 317,834 0 % 3 % Goodwill 1,787,793 1,788,640 1,788,640 1,788,640 1,786,225 0 % 0 % Other intangible assets, net 45,508 48,314 51,120 53,927 56,733 (6 )% (20 )% Residential mortgage servicing rights, at fair value 131,817 124,814 127,206 116,365 117,259 6 % 12 % Other real estate owned 22,307 23,892 23,038 32,064 37,942 (7 )% (41 )% FDIC indemnification asset 855 892 432 1,861 4,417 (4 )% (81 )% Bank owned life insurance 291,892 297,321 295,551 294,697 294,296 (2 )% (1 )% Deferred tax assets, net 137,545 149,320 181,245 198,778 230,442 (8 )% (40 )% Other assets 202,710     241,783     229,140     259,943     228,118   (16 )% (11 )% Total assets $ 23,387,717     $ 23,162,304     $ 22,793,331     $ 22,953,158     $ 22,609,903   1 % 3 % Liabilities: Deposits $ 17,707,189 $ 17,467,024 $ 17,145,046 $ 17,222,566 $ 16,892,099 1 % 5 % Securities sold under agreements to repurchase 304,560 323,722 325,711 321,202 313,321 (6 )% (3 )% Term debt 888,769 889,358 889,997 965,675 1,006,395 0 % (12 )% Junior subordinated debentures, at fair value 255,457 253,665 252,214 250,652 249,294 1 % 2 % Junior subordinated debentures, at amortized cost 101,254 101,334 101,415 101,496 101,576 0 % 0 % Other liabilities 280,642     291,649     274,769     290,597     269,592   (4 )% 4 % Total liabilities 19,537,871 19,326,752 18,989,152 19,152,188 18,832,277 1 % 4 % Shareholders' equity: Common stock 3,520,591 3,517,751 3,517,557 3,521,201 3,519,316 0 % 0 % Retained earnings 331,813 303,729 281,573 260,128 246,242 9 % 35 % Accumulated other comprehensive (loss) income (2,558 )   14,072     5,049     19,641     12,068   (118 )% (121 )% Total shareholders' equity 3,849,846     3,835,552     3,804,179     3,800,970     3,777,626   0 % 2 % Total liabilities and shareholders' equity $ 23,387,717     $ 23,162,304     $ 22,793,331     $ 22,953,158     $ 22,609,903   1 % 3 %   Common shares outstanding at period end 220,171 220,217 220,280 220,454 220,161 0 % 0 % Book value per common share $ 17.49 $ 17.42 $ 17.27 $ 17.24 $ 17.16 0 % 2 % Tangible book value per common share $ 9.16 $ 9.08 $ 8.92 $ 8.88 $ 8.79 1 % 4 % Tangible equity - common $ 2,016,545 $ 1,998,598 $ 1,964,419 $ 1,958,403 $ 1,934,668 1 % 4 % Tangible common equity to tangible assets 9.36 % 9.37 % 9.38 % 9.28 % 9.32 % (0.01 ) 0.04   Umpqua Holdings Corporation Loan & Lease Portfolio (Unaudited)               (Dollars in thousands) Dec 31, 2015   Sep 30, 2015   Jun 30, 2015   Mar 31, 2015   Dec 31, 2014 % Change Amount   Amount   Amount   Amount   Amount Seq. Quarter   Year over Year

Loans & leases:

Commercial real estate: Non-owner occupied term, net $ 3,141,680 $ 3,148,288 $ 3,294,359 $ 3,303,629 $ 3,290,610 0 % (5 )% Owner occupied term, net 2,691,921 2,655,340 2,636,800 2,577,484 2,633,864 1 % 2 % Multifamily, net 3,074,918 2,961,609 2,859,884 2,764,403 2,638,618 4 % 17 % Commercial construction, net 301,892 287,757 244,354 238,303 258,722 5 % 17 % Residential development, net 99,459 94,380 76,734 81,160 81,846 5 % 22 % Commercial: Term, net 1,425,009 1,398,346 1,374,528 1,411,043 1,396,089 2 % 2 % Lines of credit & other, net 1,043,076 1,014,523 981,897 993,814 1,029,620 3 % 1 % Leases & equipment finance, net 729,161 679,033 630,695 570,492 523,114 7 % 39 % Residential real estate: Mortgage, net 2,890,223 2,740,228 2,533,042 2,330,325 2,233,735 5 % 29 % Home equity lines & loans, net 923,667 910,287 882,596 863,269 852,478 1 % 8 % Consumer & other, net 527,189     498,143     459,308     415,035     389,036   6 % 36 % Total, net of deferred fees and costs $ 16,848,195     $ 16,387,934     $ 15,974,197     $ 15,548,957     $ 15,327,732   3 % 10 %  

Loan & leases mix:

Commercial real estate: Non-owner occupied term, net 19 % 19 % 20 % 20 % 20 % Owner occupied term, net 16 % 16 % 17 % 17 % 17 % Multifamily, net 18 % 17 % 17 % 17 % 17 % Commercial construction, net 2 % 2 % 2 % 2 % 2 % Residential development, net 1 % 1 % — % 1 % 1 % Commercial: Term, net 9 % 9 % 9 % 9 % 9 % Lines of credit & other, net 6 % 6 % 6 % 6 % 7 % Leases & equipment finance, net 4 % 4 % 4 % 4 % 3 % Residential real estate: Mortgage, net 17 % 17 % 16 % 15 % 15 % Home equity lines & loans, net 5 % 6 % 6 % 6 % 6 % Consumer & other, net 3 %   3 %   3 %   3 %   3 % Total 100 %   100 %   100 %   100 %   100 %   Umpqua Holdings Corporation Deposits by Type/Core Deposits (Unaudited)               (Dollars in thousands) Dec 31, 2015   Sep 30, 2015   Jun 30, 2015   Mar 31, 2015   Dec 31, 2014 % Change Amount   Amount   Amount   Amount   Amount Seq. Quarter   Year over Year

Deposits:

Demand, non-interest bearing $ 5,318,591 $ 5,207,129 $ 4,927,526 $ 4,930,642 $ 4,744,804 2 % 12 % Demand, interest bearing 2,157,376 2,098,223 2,090,595 2,085,368 2,054,994 3 % 5 % Money market 6,599,516 6,514,174 6,374,624 6,287,165 6,113,138 1 % 8 % Savings 1,136,809 1,102,611 1,058,337 1,022,829 971,185 3 % 17 % Time 2,494,897     2,544,887     2,693,964     2,896,562     3,007,978   (2 )% (17 )% Total $ 17,707,189     $ 17,467,024     $ 17,145,046     $ 17,222,566     $ 16,892,099   1 % 5 %   Total core deposits (1) $ 16,102,743 $ 15,940,229 $ 15,529,997 $ 15,304,001 $ 15,126,378 1 % 6 %  

Deposit mix:

Demand, non-interest bearing 30 % 30 % 29 % 29 % 28 % Demand, interest bearing 12 % 12 % 12 % 12 % 12 % Money market 37 % 37 % 37 % 36 % 36 % Savings 6 % 6 % 6 % 6 % 6 % Time 15 %   15 %   16 %   17 %   18 % Total 100 %   100 %   100 %   100 %   100 %  

Number of open accounts:

Demand, non-interest bearing 371,745 370,128 367,086 368,701 367,854 Demand, interest bearing 86,745 88,171 90,021 85,082 86,135 Money market 57,194 57,622 58,156 61,991 63,095 Savings 154,176 153,534 152,404 150,989 150,548 Time 47,672     48,168     49,983     52,179     53,530   Total 717,532     717,623     717,650     718,942     721,162    

Average balance per account:

Demand, non-interest bearing $ 14.3 $ 14.1 $ 13.4 $ 13.4 $ 12.9 Demand, interest bearing 24.9 23.8 23.2 24.5 23.9 Money market 115.4 113.1 109.6 101.4 96.9 Savings 7.4 7.2 6.9 6.8 6.5 Time 52.3 52.8 53.9 55.5 56.2 Total $ 24.7 $ 24.3 $ 23.9 $ 24.0 $ 23.4

(1) Core deposits are defined as total deposits less time deposits greater than $100,000.

  Umpqua Holdings Corporation Credit Quality – Non-performing Assets (Unaudited)               Quarter Ended % Change (Dollars in thousands) Dec 31, 2015   Sep 30, 2015   Jun 30, 2015   Mar 31, 2015   Dec 31, 2014 Seq. Quarter   Year over Year

Non-performing assets:

Loans and leases on non-accrual status $ 29,215 $ 30,989 $ 33,572 $ 40,246 $ 52,041 (6 )% (44 )% Loans and leases past due 90+ days & accruing 15,169     9,967     13,529     10,416     7,512   52 % 102 % Total non-performing loans and leases 44,384 40,956 47,101 50,662 59,553 8 % (25 )% Other real estate owned 22,307     23,892     23,038     32,064     37,942   (7 )% (41 )% Total $ 66,691     $ 64,848     $ 70,139     $ 82,726     $ 97,495   3 % (32 )%   Performing restructured loans and leases $ 31,355 $ 35,706 $ 37,023 $ 60,896 $ 54,836 (12 )% (43 )% Loans and leases past due 31-89 days $ 28,423 $ 28,919 $ 25,553 $ 20,488 $ 24,659 (2 )% 15 % Loans and leases past due 31-89 days to total loans and leases 0.17 % 0.18 % 0.16 % 0.13 % 0.16 % Non-performing loans and leases to total loans and leases 0.26 % 0.25 % 0.29 % 0.33 % 0.39 % Non-performing assets to total assets 0.29 % 0.28 % 0.31 % 0.36 % 0.43 %   Umpqua Holdings Corporation Credit Quality – Allowance for Loan and Lease Losses (Unaudited)             Quarter Ended % Change (Dollars in thousands) Dec 31, 2015   Sep 30, 2015   Jun 30, 2015   Mar 31, 2015   Dec 31, 2014 Seq. Quarter   Year over Year

Allowance for loan and lease losses:

Balance beginning of period $ 130,133 $ 127,071 $ 120,104 $ 116,167 $ 115,635 Provision for loan and lease losses 4,545 8,153 11,254 12,637 5,241 (44 )% (13 )% Charge-offs (7,108 ) (8,476 ) (7,442 ) (12,545 ) (9,088 ) (16 )% (22 )% Recoveries 2,752     3,385     3,155     3,845     4,379   (19 )% (37 )% Net charge-offs (4,356 )   (5,091 )   (4,287 )   (8,700 )   (4,709 ) (14 )% (7 )% Total allowance for loan and lease losses 130,322 130,133 127,071 120,104 116,167 0 % 12 % Reserve for unfunded commitments 3,574     3,081     2,864     3,194     3,539   16 % 1 % Total allowance for credit losses $ 133,896     $ 133,214     $ 129,935     $ 123,298     $ 119,706   1 % 12 %   Net charge-offs to average loans and leases (annualized) 0.10 % 0.13 % 0.11 % 0.23 % 0.12 % Recoveries to gross charge-offs 38.72 % 39.94 % 42.39 % 30.65 % 48.18 % Allowance for loan and lease losses to loans and leases 0.77 % 0.79 % 0.80 % 0.77 % 0.76 % Allowance for credit losses to loans and leases 0.79 % 0.81 % 0.81 % 0.79 % 0.78 %   Umpqua Holdings Corporation Credit Quality – Allowance for Loan and Lease Losses (Unaudited)   Year Ended   % Change (Dollars in thousands) Dec 31, 2015   Dec 31, 2014 Year over Year

Allowance for credit losses:

  Balance beginning of period $ 116,167 $ 95,085 Provision for loan and lease losses 36,589 40,241 (9 )% Charge-offs (35,571 ) (30,178 ) 18 % Recoveries 13,137     11,019   19 % Net charge-offs (22,434 )   (19,159 ) 17 % Total allowance for loan and lease losses 130,322 116,167 12 % Reserve for unfunded commitments 3,574     3,539   1 % Total allowance for credit losses $ 133,896     $ 119,706   12 %   Net charge-offs to average loans and leases 0.14 % 0.15 % Recoveries to gross charge-offs 36.93 % 36.51 %   Umpqua Holdings Corporation Selected Ratios (Unaudited)           Quarter Ended % Change Dec 31, 2015   Sep 30, 2015   Jun 30, 2015   Mar 31, 2015   Dec 31, 2014 Seq. Quarter   Year over Year

Average Rates:

    Yield on loans and leases 5.19 % 5.29 % 5.46 % 5.59 % 5.82 % (0.10 ) (0.63 ) Yield on loans held for sale 3.80 % 4.07 % 3.24 % 3.81 % 4.01 % (0.27 ) (0.21 ) Yield on taxable investments 2.25 % 2.09 % 2.03 % 2.17 % 2.16 % 0.16 0.09 Yield on tax-exempt investments (1) 4.72 % 4.69 % 4.69 % 4.81 % 5.09 % 0.03 (0.37 ) Yield on temporary investments & interest bearing cash 0.28 % 0.25 % 0.26 % 0.25 % 0.25 % 0.03 0.03 Total yield on earning assets (1) 4.68 % 4.71 % 4.77 % 4.80 % 4.98 % (0.03 ) (0.30 )   Cost of interest bearing deposits 0.26 % 0.24 % 0.24 % 0.24 % 0.23 % 0.02 0.03

Cost of securities sold under agreements to repurchase and fed funds purchased

0.05 % 0.05 % 0.05 % 0.06 % 0.06 % — (0.01 ) Cost of term debt 1.73 % 1.62 % 1.51 % 1.42 % 1.41 % 0.11 0.32 Cost of junior subordinated debentures 3.96 % 3.89 % 3.88 % 3.86 % 3.86 % 0.07 0.10 Total cost of interest bearing liabilities 0.44 % 0.42 % 0.41 % 0.41 % 0.41 % 0.02 0.03   Net interest spread (1) 4.24 % 4.29 % 4.36 % 4.39 % 4.57 % (0.05 ) (0.33 ) Net interest margin – Consolidated (1) 4.37 % 4.42 % 4.48 % 4.51 % 4.69 % (0.05 ) (0.32 ) Net interest margin – Bank (1) 4.44 % 4.49 % 4.55 % 4.57 % 4.75 % (0.05 ) (0.31 )  

As reported (GAAP):

Return on average assets 1.08 % 0.99 % 0.96 % 0.84 % 0.92 % 0.09 0.16 Return on average tangible assets 1.18 % 1.08 % 1.05 % 0.92 % 1.00 % 0.10 0.18 Return on average common equity 6.54 % 5.98 % 5.77 % 5.02 % 5.59 % 0.56 0.95 Return on average tangible common equity 12.51 % 11.52 % 11.18 % 9.76 % 11.08 % 0.99 1.43 Efficiency ratio – Consolidated 63.73 % 65.00 % 67.35 % 68.71 % 68.23 % (1.27 ) (4.50 ) Efficiency ratio – Bank 62.11 % 63.08 % 65.74 % 67.07 % 66.23 % (0.97 ) (4.12 )  

Operating basis (non-GAAP): (2)

Return on average assets 1.14 % 1.07 % 1.21 % 1.01 % 1.04 % 0.07 0.10 Return on average tangible assets 1.24 % 1.17 % 1.32 % 1.10 % 1.13 % 0.07 0.11 Return on average common equity 6.87 % 6.45 % 7.25 % 6.03 % 6.34 % 0.42 0.53 Return on average tangible common equity 13.14 % 12.43 % 14.05 % 11.71 % 12.56 % 0.71 0.58 Efficiency ratio – Consolidated 62.11 % 62.52 % 59.76 % 63.34 % 64.23 % (0.41 ) (2.12 ) Efficiency ratio – Bank 60.84 % 61.15 % 58.49 % 62.05 % 62.61 % (0.31 ) (1.77 )

(1) Tax exempt interest has been adjusted to a taxable equivalent basis using a 35% tax rate.

(2) Operating earnings is calculated as earnings available to common shareholders excluding gain (loss) on junior subordinated debentures carried at fair value, net of tax, bargain purchase gain on acquisitions, net of tax, goodwill impairment, and merger related expenses, net of tax.

  Umpqua Holdings Corporation Selected Ratios (Unaudited)     Year Ended % Change Dec 31, 2015   Dec 31, 2014 Year over Year

Average Rates:

  Yield on loans and leases 5.38 % 5.81 % (0.43 ) Yield on loans held for sale 3.72 % 4.06 % (0.34 ) Yield on taxable investments 2.13 % 2.22 % (0.09 ) Yield on tax-exempt investments (1) 4.73 % 5.20 % (0.47 ) Yield on temporary investments & interest bearing cash 0.26 % 0.25 % 0.01 Total yield on earning assets (1) 4.74 % 5.02 % (0.28 )   Cost of interest bearing deposits 0.24 % 0.23 % 0.01

Cost of securities sold under agreements to repurchase and fed funds purchased

0.05 % 0.11 % (0.06 ) Cost of term debt 1.57 % 1.57 % — Cost of junior subordinated debentures 3.90 % 3.89 % 0.01 Total cost of interest bearing liabilities 0.42 % 0.41 % 0.01   Net interest spread (1) 4.32 % 4.61 % (0.29 ) Net interest margin – Consolidated (1) 4.44 % 4.73 % (0.29 ) Net interest margin – Bank (1) 4.51 % 4.79 % (0.28 )  

As reported (GAAP):

Return on average assets 0.97 % 0.77 % 0.20 Return on average tangible assets 1.06 % 0.83 % 0.23 Return on average common equity 5.83 % 4.69 % 1.14 Return on average tangible common equity 11.24 % 9.17 % 2.07 Efficiency ratio – Consolidated 66.19 % 71.23 % (5.04 ) Efficiency ratio – Bank 64.50 % 69.64 % (5.14 )  

Operating basis (non-GAAP): (2)

Return on average assets 1.11 % 1.06 % 0.05 Return on average tangible assets 1.20 % 1.15 % 0.05 Return on average common equity 6.64 % 6.45 % 0.19 Return on average tangible common equity 12.81 % 12.62 % 0.19 Efficiency ratio – Consolidated 61.90 % 62.33 % (0.43 ) Efficiency ratio – Bank 60.60 % 61.07 % (0.47 )

(1) Tax exempt interest has been adjusted to a taxable equivalent basis using a 35% tax rate.

(2) Operating earnings is calculated as earnings available to common shareholders excluding gain (loss) on junior subordinated debentures carried at fair value, net of tax, bargain purchase gain on acquisitions, net of tax, goodwill impairment, and merger related expenses, net of tax.

  Umpqua Holdings Corporation

Average Balances

(Unaudited)       Quarter Ended % Change (Dollars in thousands) Dec 31, 2015   Sep 30, 2015   Jun 30, 2015   Mar 31, 2015   Dec 31, 2014 Seq. Quarter   Year over Year Temporary investments & interest bearing cash $ 608,250   $ 693,114   $ 861,775   $ 1,323,671   $ 1,368,726 (12 )% (56 )% Investment securities, taxable 2,293,429 2,272,676 2,300,123 2,222,174 2,169,504 1 % 6 % Investment securities, tax-exempt 302,443 311,984 317,655 323,852 326,858 (3 )% (7 )% Loans held for sale 334,428 357,905 368,112 262,777 255,830 (7 )% 31 % Loans and leases 16,514,740     16,155,792     15,731,298     15,334,555     15,300,425   2 % 8 % Total interest earning assets 20,053,290 19,791,471 19,578,963 19,467,029 19,421,343 1 % 3 % Goodwill & other intangible assets, net 1,835,821 1,838,740 1,841,535 1,842,390 1,844,084 0 % 0 % Total assets 23,196,213 22,943,563 22,777,421 22,687,515 22,625,461 1 % 3 %   Non-interest bearing demand deposits 5,285,992 5,109,047 4,852,989 4,808,062 4,836,517 3 % 9 % Interest bearing deposits 12,249,333     12,225,691     12,274,814   12,187,132     12,153,481   0 % 1 % Total deposits 17,535,325 17,334,738 17,127,803 16,995,194 16,989,998 1 % 3 % Interest bearing liabilities 13,812,644 13,798,350 13,880,474 13,838,515 13,833,126 0 % 0 %   Shareholders’ equity - common 3,847,587 3,819,303 3,803,634 3,797,108 3,721,003 1 % 3 % Tangible common equity (1) 2,011,766 1,980,563 1,962,099 1,954,718 1,876,919 2 % 7 %   Umpqua Holdings Corporation

Average Balances

(Unaudited)   Year Ended % Change (Dollars in thousands) Dec 31, 2015   Dec 31, 2014 Year over Year Temporary investments & interest bearing cash $ 869,253 $ 900,851 (4 )% Investment securities, taxable 2,275,512 2,072,936 10 % Investment securities, tax-exempt 310,684 301,535 3 % Loans held for sale 333,461 205,580 62 % Loans and leases 15,938,120   13,003,762   23 % Total interest earning assets 19,727,030 16,484,664 20 % Goodwill & other intangible assets, net 1,839,601 1,533,403 20 % Total assets 22,905,582 19,169,098 19 %   Non-interest bearing demand deposits 5,015,508 3,951,429 27 % Interest bearing deposits 12,235,302   10,455,902   17 % Total deposits 17,250,810 14,407,331 20 % Interest bearing liabilities 13,833,245 11,875,802 16 %   Shareholders’ equity - common 3,820,506 3,137,858 22 % Tangible common equity (1) 1,980,905 1,604,455 23 %

(1) Average tangible common equity is a non-GAAP financial measure. Average tangible common equity is calculated as average common shareholders’ equity less average goodwill and other intangible assets, net (excluding MSRs).

  Umpqua Holdings Corporation

Residential Mortgage Banking Activity

(unaudited)       Quarter Ended % Change (Dollars in thousands) Dec 31, 2015   Sep 30, 2015   Jun 30, 2015   Mar 31, 2015   Dec 31, 2014 Seq. Quarter   Year over Year

Residential mortgage servicing rights:

        Residential mortgage loans serviced for others $ 13,047,266 $ 12,693,451 $ 12,302,866 $ 11,874,910 $ 11,590,310 3 % 13 % MSR asset, at fair value 131,817 124,814 127,206 116,365 117,259 6 % 12 % MSR as % of serviced portfolio 1.01 % 0.98 % 1.03 % 0.98 % 1.01 %

Residential mortgage banking revenue:

Origination and sale $ 25,363 $ 26,904 $ 33,667 $ 31,498 $ 18,378 (6 )% 38 % Servicing 7,546 7,240 6,770 6,457 6,306 4 % 20 % Change in fair value of MSR asset (469 )   (10,103 )   (423 )   (9,728 )   (8,195 ) (95 )% (94 )% Total $ 32,440     $ 24,041     $ 40,014     $ 28,227     $ 16,489   35 % 97 %  

Closed loan volume:

Closed loan volume - portfolio $ 352,465 $ 446,088 $ 446,712 $ 311,149 $ 319,779 (21 )% 10 % Closed loan volume - for-sale 794,820   843,720   997,225   862,155   622,133   (6 )% 28 % Closed loan volume - total $ 1,147,285   $ 1,289,808   1,443,937   1,173,304   $ 941,912   (11 )% 22 %  

Gain on sale margin:

Based on for-sale volume 3.19 % 3.19 % 3.38 % 3.65 % 2.95 % — 0.24   Year Ended % Change Dec 31, 2015   Dec 31, 2014 Year over Year

Residential mortgage banking revenue:

Origination and sale $ 117,432 $ 73,038 61 % Servicing 28,013 20,813 35 % Change in fair value of MSR asset (20,723 )   (16,586 ) 25 % Total $ 124,722     $ 77,265   61 %  

Closed loan volume:

Closed loan volume - portfolio $ 1,556,414 $ 971,245 60 % Closed loan volume - for-sale 3,497,920   2,146,828   63 % Closed loan volume - total $ 5,054,334   $ 3,118,073   62 %  

Gain on sale margin:

Based on for-sale volume 3.36 % 3.40 % (0.04 )  

1 "Non-GAAP" financial measure. More information regarding this measurement and a reconciliation to the comparable GAAP measurement is provided under the heading Non-GAAP Financial Measures below.

View source version on businesswire.com: http://www.businesswire.com/news/home/20160127005418/en/

Umpqua Holdings CorporationEVP/Chief Financial OfficerRon Farnsworth, 503-727-4108ronfarnsworth@umpquabank.comorUmpqua Holdings CorporationSVP/Director of Investor RelationsBradley Howes, 503-727-4226bradhowes@umpquabank.com