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SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

FORM 8-K
CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities and Exchange Act of 1934

Date of Report: April 21, 2005
(Date of earliest event reported)

Umpqua Holdings Corporation
(Exact Name of Registrant as Specified in Its Charter)

OREGON    000-25597    93-1261319 
(State or Other Jurisdiction of    (Commission File    (I.R.S. Employer 
Incorporation or Organization)    Number)    Identification Number) 

200 SW Market Street, Suite 1900
Portland, Oregon 97201
(address of Principal Executive Offices)(Zip Code)

(503) 546-2491
(Registrant's Telephone Number, Including Area Code)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

[    ]    Written communications pursuant to Rule 425 under the Securities Act (17 
        CFR 230.425) 
 
[    ]    Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 
        240.14a-12) 
 
[    ]    Pre-commencement communications pursuant to Rule 14d-2(b) under the 
        Exchange Act (17 CFR 240.14d-2(b)) 
 
[    ]    Pre-commencement communications pursuant to Rule 13e-4(c) under the 
        Exchange Act (17 CFR 240.13e-4(c)) 

Item 2.02     Results of Operations and Financial Condition.

        On April 21, 2005, Umpqua Holdings Corporation issued a press release with respect to financial results for the first quarter 2005. A copy of the press release is attached as Exhibit 99.1. Attached as Exhibit 99.2 is a Statistical Supplement that is being provided to shareholders and others who have requested additional financial and statistical information from the Company that is not included in the Company's earnings release. This information is being furnished to satisfy Regulation FD, but is not deemed filed under the Securities Exchange Act of 1934.

Item 9.01     Financial Statements and Exhibits.

  (a)      Not applicable.
  (b)      Not applicable.
  (c)      Exhibits.
    (99.1)  Press Release with Quarterly Earnings
    (99.2)  Statistical Supplement 
  
 

SIGNATURES

        Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this reported to be signed on its behalf of the undersigned hereunto duly authorized.

    UMPQUA HOLDINGS CORPORATION 
    (Registrant) 
 
Dated: April 21, 2005    By: /s/ Kenneth E. Roberts 
   

     Kenneth E. Roberts 

   

     Assistant Secretary 

 

 

FOR IMMEDIATE RELEASE     
 
Contacts:     
Ray Davis    Dan Sullivan 
President/CEO    EVP/CFO 
Umpqua Holdings Corporation    Umpqua Holdings Corporation 
503-546-2490    503-546-2492 
raydavis@umpquabank.com    dansullivan@umpquabank.com 

UMPQUA HOLDINGS REPORTS 13% INCREASE IN OPERATING EARNINGS
Annualized deposit growth of 17%, Net Interest Margin Expansion

PORTLAND, Ore. - April 21, 2005 - Umpqua Holdings Corporation (NASDAQ: UMPQ), parent company of Umpqua Bank and Strand, Atkinson, Williams & York, Inc., today announced first quarter 2005 operating earnings of $15.1 million, or $0.34 per diluted share, compared to $8.5 million, or $0.30 per diluted share for the first quarter of 2004, an increase of 13% on a per share basis.

Operating earnings are defined as the Company's net income before deduction of merger-related expenses, net of tax, which are reported in periods with merger-related costs.

Including merger related expenses, the Company reports first quarter 2005 net income of $15.0 million, or $0.33 per diluted share, compared to $8.4 million, or $0.29 per diluted share, for the first quarter of 2004. These results reflect earnings per share growth of 14% compared to the same period a year ago.

Umpqua Bank's net interest margin increased to 5.06% for the first quarter of 2005, compared to 4.80% for the same quarter one year ago, and 4.96% for the fourth quarter of 2004, principally resulting from recent increases in short-term market interest rates.

Umpqua Bank, Umpqua Holdings' largest subsidiary, reported an efficiency ratio before merger-related expenses of 53.6% for the first quarter of 2005, compared to 58.2% for the same quarter one year ago. The Company incurred approximately $0.4 million in additional professional fee expense during the first quarter of 2005 as compared to the fourth quarter of 2004.

Total consolidated assets of Umpqua Holdings as of March 31, 2005 were $4.98 billion, compared to $4.87 billion at December 31, 2004. Total gross loans and deposits were $3.53 billion and $3.95 billion, respectively, as of March 31, 2005, compared to $3.47 billion and $3.80 billion, respectively, as of December 31, 2004.

Umpqua Holdings Corporation Announces First Quarter 2005 Results
April 21, 2005
Page 2 of 7

Strong loan growth, net of scheduled and accelerated pay-downs, resulted in net loans increasing $64 million during the first quarter of 2005. Deposits increased $155 million during the same period. These represent annualized organic growth rates for loans and deposits of 8% and 17%, respectively. Organic growth is defined as growth excluding the increase related to acquisitions on the Company's balance sheet, with all growth subsequent to the acquisition date included as organic.

"As expected, our net interest margin expanded and our efficiency ratio remained low, which led to a strong quarter for operating earnings per share in spite of additional costs related to Sarbanes-Oxley compliance," said Ray Davis, President and Chief Executive Officer of Umpqua Holdings Corporation. "In addition, we had 17% annualized deposit growth, realized expected synergies from the Humboldt acquisition and continue to experience strong loan production," Davis added.

As previously announced, the Company completed the sale of its merchant card processing portfolio during the fourth quarter of 2004. In accordance with generally accepted accounting principles, the financial results related to the merchant card processing operations, including the gain on sale, have been classified as a discontinued operation.

At March 31, 2005 total shareholders equity was $697 million, and tangible book value per share was $6.51.

About Umpqua Holdings Corporation
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 93 locations between Sacramento, Calif. and Vancouver, Wash., along the Oregon and Northern California Coast and in Central Oregon. In 2004, Umpqua Bank launched the Connect Volunteer Network, an innovative, paid volunteer program focused on youth and education. Bank associates volunteered at more than 100 organizations in the program's first year. Umpqua Holdings also owns retail brokerage subsidiary Strand, Atkinson, Williams & York, Inc., which has locations in Umpqua Bank stores and in dedicated offices throughout Oregon and Southwest Washington. Umpqua Bank's Private Client Services Division provides tailored financial services and products to individual customers. Umpqua Holdings Corporation is headquartered in Portland, Oregon. For more information, visit www.umpquaholdingscorp.com.

Umpqua Holdings Corporation will conduct a quarterly earnings conference call Thursday, April 21, 2005, at 10:00 a.m. PDT where management will discuss operating results for the first quarter of 2005. There will be a question-and-answer session following the presentation. Shareholders, analysts and other interested parties are invited to join the call by dialing 888-791-5525 a few minutes before 10:00 a.m. The password is "UMPQUA." Information to be discussed in the teleconference will be available on the Company's website prior to the call at www.umpquaholdingscorp.com. A rebroadcast can be found approximately one hour after the conference call by dialing 866-361-4938, or by visiting that website.

Umpqua Holdings Corporation Announces First Quarter 2005 Results     
April 21, 2005             
Page 3 of 7             
 
 
 
Umpqua Holdings Corporation     
 
Consolidated Statements of Income     
    (Unaudited)         
        Quarter ended:     
Dollars in thousands, except per share data    March 31, 2005    December 31, 2004    March 31, 2004 
Interest income             
 Loans and leases    $56,936    $55,261    $31,865 
 Investments taxable    6,549    6,892    4,590 
 Investments tax exempt    713    768    413 
 Temporary investments    233    296    23 
 Other interest and dividends    43    23    16 
   Total interest income    64,474    63,240    36,907 
 
Interest expense             
 Deposits    11,324    10,383    5,889 
 Repurchase agreements and             
   fed funds purchased    501    266    139 
 Trust preferred securities    2,394    2,333    1,123 
 Other borrowings    405    584    241 
   Total interest expense    14,624    13,566    7,392 
Net interest income    49,850    49,674    29,515 
Provision for loan losses    1,000    3,667    1,075 
Non-interest income             
 Service charges    4,822    5,434    3,127 
 Brokerage fees    3,129    3,188    2,891 
 Mortgage banking revenue    1,350    1,665    1,649 
 Other income    1,301    2,197    545 
Total non-interest income    10,602    12,484    8,212 
 
Non-interest expense             
 Salaries and benefits    20,279    20,248    13,665 
 Occupancy and equipment    6,133    5,809    4,115 
 Other    8,922    9,820    5,946 
 Merger related expenses    101    2,656    216 
Total non-interest expense    35,435    38,533    23,942 
Income before income taxes and discontinued             
operations    24,017    19,958    12,710 
 Provision for income tax    8,998    7,170    4,463 
Income from continuing operations    15,019    12,788    8,247 
 Gain on sale of discontinued operation, net of tax    --    3,375    -- 
 Income from discontinued operation, net of tax    --    106    151 
Net income    $15,019    $16,269    $8,398 
 
Weighted average shares outstanding    44,330,626    44,121,546    28,445,316 
Weighted average diluted shares outstanding    44,962,502    44,870,939    28,819,200 
 
Earnings per share - Basic:             
 Continuing operations    $0.34    $0.29    $0.29 
 Discontinued operations    $0.00    $0.08    $0.01 
   Net income    $0.34    $0.37    $0.30 
 
Earnings per share - Diluted:             
 Continuing operations    $0.33    $0.28    $0.29 
 Discontinued operations    $0.00    $0.08    $0.00 
   Net income    $0.33    $0.36    $0.29 

Umpqua Holdings Corporation Announces First Quarter 2005 Results         
April 21, 2005             
Page 4 of 7             
 
Umpqua Holdings Corporation
 
Consolidated Balance Sheets
(Unaudited)
 
Dollars in thousands, except per share data    March 31, 2005    December 31, 2004    March 31, 2004 
Assets:             
 Cash and cash equivalents    $203,501    $118,207    $105,913 
 Trading account securities    1,350    1,577    1,094 
 Investments available for sale    639,706    675,984    502,807 
 Investments held to maturity    11,793    11,807    14,594 
 Loans held for sale    12,398    20,791    31,526 
 Loans and leases    3,532,061    3,467,904    2,073,875 
 Less: Allowance for loan losses   

(45,360) 

 

(44,229) 

  (26,287) 
     Loans and leases, net    3,486,701    3,423,675    2,047,588 
 Federal Home Loan Bank stock    14,220    14,218    7,239 
 Premises and equipment, net    87,073    85,681    67,504 
 Other real estate owned    213    979    1,711 
 Mortgage servicing rights, net    11,081    11,154    10,959 
 Goodwill and other intangibles    407,788    408,460    159,661 
 Other assets    105,830    100,502    47,186 
 
Total assets    $4,981,654    $4,873,035    $2,997,782 
 
Liabilities:             
 Deposits    $3,953,670    $3,799,107    $2,428,926 
 Securities sold under agreements             
     to repurchase and fed funds purchased    55,712    88,267    58,906 
 Borrowings    63,373    88,451    55,620 
 Notes payable for Trust preferred             
     securities    166,134    166,256    97,941 
 Other liabilities    45,818    43,341    26,152 
     Total liabilities    4,284,707    4,185,422    2,667,545 
 
Shareholders' equity:             
 Common stock    563,319    560,611    232,118 
 Retained earnings    140,462    128,112    96,317 
 Accumulated other comprehensive             
     Income (loss)    (6,834)    (1,110)    1,802 
     Total shareholders' equity    696,947    687,613    330,237 
 
Total liabilities and shareholders' equity    $4,981,654    $4,873,035    $2,997,782 
 
 
Common shares outstanding at period end    44,434,655    44,211,075    28,489,267 
Book value per share    $15.68    $15.55    $11.59 
Tangible book value per share    $6.51    $6.31    $5.99 
Tangible equity    $289,159    $279,153    $170,576 

Umpqua Holdings Corporation Announces First Quarter 2005 Results     
April 21, 2005             
Page 5 of 7             
 
Umpqua Holdings Corporation
 
Loan Portfolio
(Unaudited)
 
Dollars in thousands    March 31, 2005    December 31, 2004    March 31, 2004 
Loans and leases by purpose:             
 
 Commercial real estate    $1,897,234    $1,874,646    $1,121,008 
 Residential real estate    219,951    217,990    94,479 
 Construction    486,277    461,096    230,674 
   
     Total real estate    2,603,462    2,553,732    1,446,161 
 Commercial    842,999    823,364    578,823 
 Leases    17,423    18,357    10,214 
 Consumer    66,916    71,174    37,131 
 Other    1,261    1,277    1,546 
   
 Total loans and leases    $3,532,061    $3,467,904    $2,073,875 
 
    Quarter Ended    Quarter Ended    Quarter Ended 
Dollars in thousands    March 31, 2005    December 31, 2004    March 31, 2004 
Allowance for credit losses             
 Balance beginning of period    $44,229    $43,374    $25,352 
Provision for credit losses    1,000    3,667    1,075 
 
Charge-offs    (612)    (3,443)    (447) 
Less: recoveries    743    631    307 
Net recoveries (charge-offs)    131    (2,812)    (140) 
 
 Total Allowance for loan losses    45,360    44,229    26,287 
 
Reserve for unfunded commitments    1,368    1,338    -- 
   
   Total Allowance for credit losses    $46,728    $45,567    $26,287 
 
Net (recoveries) charge-offs to average             
 loans and leases (annualized)    (0.02)%    0.33%    0.03% 
Recoveries to gross charge-offs    121%    18%    69% 
Allowance for credit losses to             
 loans and leases    1.32%    1.31%    1.27% 
Allowance for credit losses to             
 nonperforming loans and leases    197%    202%    223% 
Nonperforming loans and leases             
 To total loans and leases    0.67%    0.65%    0.57% 
 
Nonperforming assets             
 Nonperforming loans and leases    $23,660    $22,573    $11,800 
 Real estate owned    213    979    1,711 
   
Total nonperforming assets    $23,873    $23,552    $13,511 

Umpqua Holdings Corporation Announces First Quarter 2005 Results         
April 21, 2005             
Page 6 of 7             
 
 
 
Umpqua Holdings Corporation
 
Selected Ratios
(Unaudited)
 
        Quarter ended:     
    March 31, 2005    December 31, 2004    March 31, 2004 
Net Interest Spread:             
 Yield on loans and leases    6.62%    6.44%    6.23% 
 Yield on taxable investments    4.29%    4.10%    3.87% 
 Yield on tax-exempt investments (1)    6.49%    7.29%    6.71% 
 Yield on temporary investments    2.48%    1.92%    0.91% 
Total yield on earning assets    6.24%    6.02%    5.78% 
 
 Cost of interest bearing deposits    1.57%    1.41%    1.31% 
 Cost of securities sold under agreements             
       to repurchase and fed funds purchased    2.32%    1.32%    1.02% 
 Cost of borrowings    1.99%    2.63%    1.77% 
 Cost of trust preferred    5.84%    5.58%    4.61% 
Total cost of interest bearing liabilities    1.82%    1.66%    1.47% 
 
 
Net interest spread    4.42%    4.36%    4.31% 
 
Net interest margin    4.83%    4.74%    4.63% 
 
Before Merger Related Expenses: (2)             
Return on average assets    1.25%    1.45%    1.17% 
Return on average tangible assets    1.36%    1.58%    1.23% 
Return on average equity    8.82%    10.52%    10.58% 
Return on average tangible equity    21.43%    26.46%    20.84% 
 
After Merger Related Expenses: (2)             
Return on average assets    1.24%    1.32%    1.15% 
Return on average tangible assets    1.35%    1.44%    1.21% 
Return on average equity    8.78%    9.53%    10.42% 
Return on average tangible equity    21.34%    23.96%    20.52% 
 
Bank Only Ratios:             
Umpqua Bank efficiency ratio before merger             
expenses (2)    53.62%    48.40%    58.16% 
Umpqua Bank net interest margin    5.06%    4.96%    4.80% 
 
(1)      Tax exempt interest has been adjusted to a taxable equivalent basis using a 35% tax rate.
(2)      Includes the impact of the gain on sale of, and income from, discontinued operations recognized in 2004.
Umpqua Holdings Corporation Announces First Quarter 2005 Results             
April 21, 2005                             
Page 7 of 7                             
 
Deposits by Type
(Unaudited)
 
     March 31, 2005    December 31, 2004   

March 31, 2004 

 
Dollars in thousands   

Amount 

  Mix   

Amount 

  Mix   

Amount 

 

Mix 

Demand, non interest bearing        $962,912    24.4%    $891,731    23.5%    $592,762    24.4% 
Demand, interest bearing    1,563,394    39.5%    1,504,396    39.6%    1,069,064    44.0% 
Savings        451,733    11.4%    452,684    11.9%    166,481    6.9% 
Time        975,631    24.7%    950,296    25.0%    600,619    24.7% 
Total Deposits    $3,953,670    100.0%    $3,799,107    100.0%     $2,428,926   100.0% 
   
 
 
 
 
 
Umpqua Holdings Corporation
 
Mortgage Banking Statistical Analysis
(unaudited)
 
                Quarter ended:         
        March 31, 2005               December 31, 2004    March 31, 2004 
Dollars in thousands                             
Mortgage Servicing Rights (MSR):                     
Mortgage loans serviced for others    $1,052,910    $1,066,905    $1,151,714 
 
MSR Asset (gross)           

$12,157 

      $11,946        $12,266 
Less: Valuation reserve           

   (1,076) 

             (792)        (1,307) 
MSR Asset (net of reserve)           

$11,081 

      $11,154        $10,959 
 
MSR as % of serviced portfolio           

1.05% 

             1.05%        0.95% 
 
 
Mortgage Banking Revenue:                             
Origination and sale            $1,397        $1,447        $1,273 
Servicing            237        250        (224) 
MSR valuation reserve change            (284)        (32)        600 
   Total Mortgage Banking Revenue        $1,350        $1,665        $1,649 
 
 
Diluted earnings per share                             
contribution of Mortgage Group            $0.00        $0.00        $0.01 
 
 
 
# # #

EXHIBIT 99.2
UMPQUA HOLDINGS CORPORATION
Statistical Supplement
(in thousands, except share data and ratios: unaudited)
 
       1st Qtr       4th Qtr       3rd Qtr       2nd Qtr         1st Qtr       4th Qtr       3rd Qtr       2nd Qtr       1st Qtr       4th Qtr       3rd Qtr       2nd Qtr       1st Qtr        Years Ended December 31, 
         2005         2004         2004         2004           2004        2003         2003         2003         2003         2002         2002         2002         2002           2004           2003           2002 
Income Statement Data                                                                                                                                 
Interest income    $ 64,474    $ 63,240    $ 59,265    $ 38,646    $ 36,907    $    36,608    $ 35,927    $    34,281    $ 35,317    $ 30,058    $ 24,052    $ 23,149    $ 23,065    $    198,058    $    142,132    $    100,325 
Interest expense    14,624    13,566    11,856        7,557        7,392        6,804        6,839        7,480        7,738        6,935        5,739        5,428        5,695        40,371        28,860        23,797 
Net interest income    49,850    49,674    47,409    31,089    29,515        29,804    29,088        26,801    27,579    23,123    18,313    17,721    17,370        157,687        113,272        76,528 
Provision for credit losses        1,000        3,667        1,479        1,100        1,075        1,075        1,050        950        1,475        1,384        900        600        1,004        7,321        4,550        3,888 
Net interest income after provision for credit losses    48,850    46,007    45,930    29,989    28,440        28,729    28,038        25,851    26,104    21,739    17,413    17,121    16,366        150,367        108,722        72,640 
Service fees        4,822        5,434        5,570        3,273        3,127        3,188        3,256        3,198        2,914        2,541        2,138        1,877        2,084        17,404        12,556        8,640 
Brokerage fees & commissions        3,129        3,188        2,736        3,014        2,891        2,554        2,635        2,370        1,939        2,208        2,299        2,331        2,174        11,829        9,498        9,012 
Mortgage banking revenue, net        1,350        1,665        1,942        2,399        1,649        1,200        3,160        2,834        4,279        3,989        1,190        2,216        1,679        7,655        11,473        9,073 
Gain (loss) on sale of securities        -        -        13        6        -        2        10        2,136        7        6        396        (901)        2        19        2,155        (497) 
Other income (4)        1,301        7,930        1,412        716        793        760        455        1,100        1,045        412        682        478        541        10,851        3,361        2,113 
Total noninterest income    10,602    18,217    11,673        9,408        8,460        7,704        9,516        11,638    10,184        9,156        6,705        6,001        6,480        47,758        39,043        28,341 
Salaries and employee benefits    20,279    20,248    19,685    13,753    13,665        13,583    13,438        13,171    12,899    10,877        8,963        8,568        8,709        67,351        53,090        37,117 
Premises and equipment        6,133        5,809        5,688        4,153        4,115        3,770        3,534        3,947        3,582        2,936        2,348        2,213        2,099        19,765        14,834        9,596 
Other non interest expense        8,922        9,820    10,150        6,550        5,946        6,077        6,332        6,760        6,093        5,221        3,810        4,108        4,109        32,466        25,263        17,249 
Total noninterest expense    35,334    35,877    35,523    24,456    23,726        23,430    23,304        23,878    22,574    19,034    15,121    14,889    14,917        119,582        93,187        63,962 
Income before income tax & merger expense    24,118    28,347    22,080    14,941    13,174        13,003    14,250        13,611    13,714    11,861        8,997        8,233        7,929        78,542        54,578        37,020 
Provision for income taxes        9,038    10,383        7,301        5,464        4,645        4,412        4,983        4,807        4,925        4,398        2,987        2,951        2,995        27,793        19,127        13,332 
Net income before merger expenses    $ 15,080    $ 17,964    $ 14,779    $    9,477    $    8,529    $    8,591    $    9,267    $    8,804    $    8,789    $    7,463    $    6,010    $    5,282    $    4,934    $    50,749    $    35,451    $    23,689 
Merger expenses net of tax benefit        61        1,695        1,411        346        131        -        251        672        409        748        -        -        973        3,583        1,332        1,721 
Net income    $ 15,019    $ 16,269    $ 13,368    $    9,131    $    8,398    $    8,591    $    9,016    $    8,132    $    8,380    $    6,715    $    6,010    $    5,282    $    3,961    $    47,166    $    34,119    $    21,968 
Share Data(1)                                                                                                                                 
Before Merger Expenses:                                                                                                                                 
Basic earnings per common share    $    0.34    $    0.41    $    0.35    $    0.33    $    0.30    $    0.30    $    0.33    $    0.31    $    0.31    $    0.31    $    0.30    $    0.26    $    0.25    $    1.42    $    1.25    $    1.13 
Diluted earnings per common share    $    0.34    $    0.40    $    0.34    $    0.33    $    0.30    $    0.30    $    0.32    $    0.31    $    0.31    $    0.31    $    0.29    $    0.26    $    0.24    $    1.40    $    1.24    $    1.11 
After Merger Expenses:                                                                                                                                 
Basic earnings per common share    $    0.34    $    0.37    $    0.32    $    0.32    $    0.30    $    0.30    $    0.32    $    0.29    $    0.30    $    0.28    $    0.30    $    0.26    $    0.20    $    1.32    $    1.21    $    1.04 
Diluted earnings per common share    $    0.33    $    0.36    $    0.31    $    0.32    $    0.29    $    0.30    $    0.31    $    0.28    $    0.29    $    0.28    $    0.29    $    0.26    $    0.20    $    1.30    $    1.19    $    1.03 
Tangible book value per common share    $    6.51    $    6.31    $    5.97    $    5.76    $    5.99    $    5.61    $    5.36    $    5.10    $    4.86    $    4.55    $    6.21    $    5.93    $    5.60    $    6.31    $    5.61    $    4.55 
Book value per common share    $    15.68    $    15.55    $    15.28    $    11.41    $    11.59    $    11.23    $    11.00    $    10.77    $    10.57    $    10.30    $    7.51    $    7.23    $    6.91    $    15.55    $    11.23    $    10.30 
Cash dividends per common share    $    0.06    $    0.06    $    0.06    $    0.06    $    0.04    $    0.04    $    0.04    $    0.04    $    0.04    $    0.04    $    0.04    $    0.04    $    0.04    $    0.22    $    0.16    $    0.16 
Ratio of dividends declared to net income    17.77%    16.30%    19.74%    18.54%    13.57%        13.23%    12.59%        13.92%    13.50%    16.68%    13.39%    15.22%           20.32%    17.22%    13.29%    16.09% 
Shares outstanding    44,434,655    44,211,075    43,979,674    28,219,677    28,489,267    28,411,816    28,365,814    28,331,279    28,234,620    27,980,591    20,137,343    20,108,342    19,970,763        44,211,075        28,411,816        27,980,591 
Basic weighted average shares of common stock outstanding    44,330,626    44,121,546    42,149,082    28,339,080    28,445,316    28,389,064    28,343,696    28,283,843    28,157,475    24,054,398    20,125,583    20,041,973    19,960,668        35,804,038        28,294,291        21,054,351 
Common stock equivalents    631,877    749,393    740,631    325,199    373,883        413,101    359,195        384,083    412,669    309,762    273,213    276,731    243,474        541,405        371,779        251,686 
Fully diluted weighted average shares of common stock outstanding    44,962,503    44,870,939    42,889,713    28,664,279    28,819,200    28,802,165    28,702,891    28,667,926    28,570,144    24,364,160    20,398,796    20,318,704    20,204,142        36,345,443        28,666,070        21,306,037 
Net Income Before Merger Expense - Diluted Earnings Per Share Contribution                                                                                                                                 
Core company (excluding mortgage group and gain (loss) on sale of securities)    $    0.34    $    0.32    $    0.33    $    0.31    $    0.28    $    0.30    $    0.26    $    0.22    $    0.25    $    0.24    $    0.25    $    0.24    $    0.20    $    1.26    $    1.06    $    0.93 
Mortgage group    $    -    $    -    $    0.01    $    0.02    $    0.01    $         (0.01) $    0.05    $    0.03    $    0.05    $    0.06    $    0.02    $    0.05    $    0.04    $    0.04    $    0.11    $    0.17 
Gain (loss) on sale of securities    $    -    $    -    $    0.00    $    0.00    $    -    $    0.00    $    0.00    $    0.05    $    0.00    $    0.00    $    0.01    $    (0.03) $    0.00    $    0.00    $    0.05    $    (0.01) 
Gain on sale of discontinued operation    $    -    $    0.08    $    -    $    -    $    -    $    -    $    -    $    -    $    -    $    -    $    -    $    -    $    -    $    0.09    $    -    $    - 
Income from discontinued operation    $    -    $    0.00    $    0.00    $    0.00    $    0.01    $    0.01    $    0.01    $    0.01    $    0.01    $    0.01    $    0.01    $    0.00    $    0.00    $    0.01    $    0.02    $    0.02 
Net income before merger expense per diluted share    $    0.34    $    0.40    $    0.34    $    0.33    $    0.30    $    0.30    $    0.32    $    0.31    $    0.31    $    0.31    $    0.29    $    0.26    $    0.24    $    1.40    $    1.24    $    1.11 
Balance Sheet Data (at period end)                                                                                                                                 
Investment securities    $ 652,849    $ 689,368    $ 752,417    $ 574,009    $ 518,496    $    517,781    $ 422,973    $    370,878    $ 374,000    $ 349,615    $ 272,007    $ 197,320    $ 191,189    $    689,368    $    517,781    $    349,615 
Loans & leases, gross (excl held-for-sale)    3,532,061    3,467,904    3,323,137    2,152,417    2,073,875    2,003,587    1,935,482    1,877,238    1,823,311    1,778,315    1,076,521    1,051,008    1,041,553        3,467,904        2,003,587        1,778,315 
Less: Allowance for credit losses    45,360    44,229    43,374    27,319    26,287        25,352    25,312        25,316    24,538    24,731    15,038    14,698    14,271        44,229        25,352        24,731 
Loans & leases, net (excl held-for-sale)    3,486,701    3,423,675    3,279,763    2,125,098    2,047,588    1,978,235    1,910,170    1,851,922    1,798,773    1,753,584    1,061,483    1,036,310    1,027,282        3,423,675        1,978,235        1,753,584 
Intangible assets    407,788    408,460    409,516    159,575    159,661        159,585    160,012        160,547    161,181    160,967    26,105    26,117    26,169        408,460        159,585        160,967 
Total assets    4,981,654    4,873,035    4,944,340    3,153,291    2,997,782    2,963,815    2,811,195    2,747,057    2,645,915    2,555,964    1,586,955    1,489,711    1,437,172        4,873,035        2,963,815        2,555,964 
Total deposits    3,953,670    3,799,107    3,919,271    2,479,115    2,428,926    2,378,192    2,263,211    2,282,909    2,178,769    2,103,790    1,347,494    1,278,086    1,207,513        3,799,107        2,378,192        2,103,790 
Total shareholders' equity    696,947    687,613    671,977    322,039    330,237        318,969    311,987        305,104    298,469    288,159    151,214    145,377    137,913        687,613        318,969        288,159 
Balance Sheet Data (averages)                                                                                                                                 
Loans & leases, gross (excl held-for-sale)    $ 3,475,172    $ 3,388,503    $ 3,158,363    $ 2,125,031    $ 2,033,357    $ 1,945,568    $ 1,900,862    $ 1,827,360    $ 1,796,875    $ 1,410,341    $ 1,063,939    $ 1,041,251    $ 1,020,288    $    2,679,576    $    1,868,165    $    1,134,832 
Loans held for sale    13,735    22,831    29,915    29,245    25,100        39,868    72,831        40,678    34,298    38,708    21,727    16,816    12,841        26,770        47,005        22,592 
Earning assets    4,215,935    4,205,698    4,015,604    2,751,467    2,581,349    2,499,933    2,412,628    2,296,639    2,223,745    1,827,954    1,406,355    1,286,450    1,269,304        3,392,475        2,359,142        1,449,250 
Total assets    4,908,401    4,918,386    4,693,725    3,106,392    2,941,964    2,863,045    2,759,590    2,636,203    2,579,051    2,071,194    1,539,335    1,431,889    1,410,246        3,919,985        2,710,388        1,614,775 
Non interest bearing demand deposits    894,916    935,648    875,741    607,543    571,131        585,655    583,422        531,779    473,501    400,737    302,983    275,125    257,663        748,380        544,006        309,502 
Interest bearing deposits    2,927,914    2,920,903    2,761,381    1,861,619    1,813,598    1,737,365    1,658,570    1,644,151    1,631,155    1,317,153    1,022,508    943,012    933,151        2,342,117        1,688,076        1,054,922 
Interest bearing liabilities    3,264,258    3,255,602    3,143,938    2,145,309    2,021,049    1,937,556    1,843,889    1,772,521    1,760,894    1,433,604    1,074,087    991,649    995,415        2,644,525        1,829,240        1,124,753 
Total shareholders' equity    693,551    679,387    628,667    327,064    324,191        314,184    305,751        301,314    292,767    215,557    149,350    143,008    138,473        490,724        303,569        161,774 
 
UMPQUA HOLDINGS CORPORATION
Statistical Supplement
(in thousands, except share data and ratios: unaudited)
 
    1st Qtr    4th Qtr    3rd Qtr    2nd Qtr    1st Qtr    4th Qtr    3rd Qtr    2nd Qtr    1st Qtr    4th Qtr    3rd Qtr    2nd Qtr        1st Qtr         Years Ended December 31, 
    2005    2004    2004    2004    2004    2003    2003    2003    2003    2002    2002    2002          2002    2004    2003    2002 
Other Financial Data                                                                 
Total loan charge-offs   

$ 612

  

     $3,443

  

     $2,124

   $415  

$ 447

  

     $1,591

  

     $2,045

   $466  

     $1,975

  

     $1,760

   $669  

         $234

  

         $129

  

   $6,429

  

   $6,077

   $2,792
Total loan recoveries    743    631    659    347    307    556    991    294    307    212    109    61    176    1,944    2,148    558 
Net loan charge-offs (recoveries)    (131)    2,812    1,465    68    140    1,035    1,054    172    1,668    1,548    560    173    (47)    4,485    3,929    2,234 
Loans 90 days past due and still accruing    2,240    737    497    704    1,246    927    533    1,112    963    3,243    520    2,559    2,166    737    927    3,243 
Non-accrual loans    21,420    21,836    27,299    11,648    10,554    10,498    12,861    20,767    16,853    15,152    4,803    4,140    2,527    21,836    10,498    15,152 
Total nonperforming loans    23,660    22,573    27,796    12,352    11,800    11,425    13,394    21,879    17,816    18,395    5,323    6,699    4,693    22,573    11,425    18,395 
Other real estate owned    213    979    641    724    1,711    2,529    2,452    2,504    3,430    2,209    756    1,384    1,430    979    2,529    2,209 
Nonperforming assets    23,873    23,552    28,437    13,076    13,511    13,954    15,846    24,383    21,246    20,604    6,079    8,083    6,123    23,552    13,954    20,604 
Selected Ratios                                                                 
Net Income Before Merger Expenses:                                                                 
Return on average total assets (annualized)    1.25%    1.45%    1.25%    1.23%    1.17%    1.19%    1.33%    1.34%    1.38%    1.43%    1.55%    1.48%    1.42%    1.29%    1.31%    1.47% 
Return on average tangible assets (annualized)    1.36%    1.58%    1.36%    1.29%    1.23%    1.28%    1.43%    1.43%    1.46%    1.52%    1.60%    1.51%    1.43%    1.39%    1.39%    1.51% 
Return on average total shareholders' equity (annualized)    8.82%    10.52%    9.35%    11.65%    10.58%    10.85%    12.02%    11.72%    12.17%    13.74%    15.97%    14.82%    14.45%    10.34%    11.68%    14.64% 
Return on average tangible shareholders' equity (annualized)    21.43%    26.46%    24.11%    22.76%    20.84%    22.10%    25.31%    25.19%    27.04%    23.76%    19.35%    17.98%    17.62%    23.97%    24.80%    19.76% 
Efficiency ratio (3) - Umpqua Bank only    53.62%    48.40%    55.43%    55.11%    58.16%    56.89%    55.94%    57.51%    54.98%    52.88%    55.08%    57.22%    58.35%    53.51%    56.32%    55.58% 
Efficiency ratio (3)    58.11%    52.55%    59.74%    60.09%    62.14%    62.10%    59.98%    61.55%    59.16%    58.23%    59.58%    61.83%    61.64%    57.88%    60.70%    60.15% 
Non interest revenue to Total revenue (TE)    17.44%    26.68%    19.63%    23.12%    22.16%    20.42%    24.49%    30.00%    26.69%    28.01%    26.42%    24.92%    26.78%    23.11%    25.43%    26.65% 
Effective tax rate    37.47%    36.63%    33.07%    36.57%    35.26%    33.93%    34.97%    35.32%    35.91%    37.08%    33.20%    35.84%    37.77%    35.39%    35.05%    36.01% 
Net Income After Merger Expenses:                                                                 
Return on average total assets (annualized)    1.24%    1.32%    1.13%    1.18%    1.15%    1.19%    1.30%    1.24%    1.32%    1.29%    1.55%    1.48%    1.14%    1.20%    1.26%    1.36% 
Return on average tangible assets (annualized)    1.35%    1.44%    1.23%    1.25%    1.21%    1.28%    1.40%    1.32%    1.39%    1.36%    1.60%    1.51%    1.15%    1.30%    1.34%    1.40% 
Return on average total shareholders' equity (annualized)    8.78%    9.53%    8.46%    11.23%    10.42%    10.85%    11.70%    10.83%    11.61%    12.36%    15.97%    14.82%    11.60%    9.61%    11.24%    13.58% 
Return on average tangible shareholders' equity (annualized)    21.34%    23.96%    21.81%    21.93%    20.52%    22.10%    24.63%    23.27%    25.78%    21.38%    19.35%    17.98%    14.14%    22.27%    23.87%    18.33% 
Average yield on earning assets (2) (annualized)    6.24%    6.02%    5.91%    5.68%    5.78%    5.85%    5.95%    6.05%    6.51%    6.61%    6.89%    7.33%    7.48%    5.87%    6.08%    7.02% 
Interest expense to interest bearing liabilities(2)(annualized)    1.82%    1.66%    1.50%    1.42%    1.47%    1.39%    1.47%    1.69%    1.78%    1.92%    2.12%    2.19%    2.32%    1.53%    1.58%    2.12% 
Net interest spread (2)    4.42%    4.36%    4.41%    4.26%    4.31%    4.45%    4.48%    4.36%    4.73%    4.69%    4.77%    5.14%    5.16%    4.34%    4.50%    4.91% 
Interest expense to earning assets (annualized)    1.41%    1.28%    1.17%    1.10%    1.15%    1.08%    1.12%    1.31%    1.41%    1.51%    1.62%    1.69%    1.82%    1.19%    1.22%    1.64% 
Net interest margin (2) (annualized)    4.83%    4.74%    4.73%    4.57%    4.63%    4.77%    4.82%    4.74%    5.10%    5.10%    5.27%    5.63%    5.66%    4.68%    4.85%    5.38% 
Net interest margin (2) (annualized) - Umpqua Bank only    5.06%    4.96%    4.93%    4.74%    4.80%    4.91%    4.98%    4.90%    5.27%    5.28%    5.27%    5.63%    5.66%    4.88%    5.01%    5.44% 
Asset Quality Ratios                                                                 
Allowance for credit losses to ending total loans and leases    1.32%    1.31%    1.34%    1.27%    1.27%    1.27%    1.31%    1.35%    1.35%    1.39%    1.40%    1.40%    1.37%    1.31%    1.27%    1.39% 
Nonperforming loans to ending total loans and leases    0.67%    0.65%    0.84%    0.57%    0.57%    0.57%    0.69%    1.17%    0.98%    1.03%    0.49%    0.64%    0.45%    0.65%    0.57%    1.03% 
Nonperforming assets to ending total assets    0.48%    0.48%    0.58%    0.41%    0.45%    0.47%    0.56%    0.89%    0.80%    0.81%    0.38%    0.54%    0.43%    0.48%    0.47%    0.81% 
Net loan charge-offs (recoveries) to avg loans and leases (annualized)    -0.02%    0.33%    0.18%    0.01%    0.03%    0.21%    0.22%    0.04%    0.38%    0.44%    0.21%    0.07%    -0.02%    0.17%    0.21%    0.20% 
Capital Ratio                                                                 
Average shareholders' equity to average assets    14.13%    13.81%    13.39%    10.53%    11.02%    10.97%    11.08%    11.43%    11.35%    10.41%    9.70%    9.99%    9.82%    12.52%    11.20%    10.02% 
Year to Date Growth                                                                 
Loans & leases, gross (excl held-for-sale)    1.85%    73.08%    65.86%    7.43%    3.51%    12.67%    8.84%    5.56%    2.53%    75.01%    5.94%    3.43%    2.50%    73.08%    12.67%    75.01% 
Deposits    4.07%    59.75%    64.80%    4.24%    2.13%    13.04%    7.58%    8.51%    3.56%    74.60%    11.84%    6.07%    0.22%    59.75%    13.04%    74.60% 
Total assets    2.23%    64.42%    66.82%    6.39%    1.15%    15.96%    9.99%    7.48%    3.52%    78.90%    11.08%    4.27%    0.59%    64.42%    15.96%    78.90% 
Mortgage Banking Revenue                                                                 
Gain (loss) on origination and sale    1,397    1,447    2,065    1,903    1,273    1,208    2,424    4,867    4,985    4,904    2,377    1,892    1,662    6,688    13,484    10,834 
Servicing income before accelerated amortization    683    693    703    314    307    299    318    323    253    227    207    193    177    2,017    1,193    804 
Accelerated servicing right amortization    (446)    (443)    (507)    (684)    (531)    (527)    (1,222)    (1,056)    (709)    (670)    (343)    (169)    (160)    (2,165)    (3,514)    (1,342) 
Sub total before mortgage servicing right (MSR) valuation change    1,634    1,697    2,261    1,533    1,049    980    1,520    4,134    4,529    4,461    2,241    1,916    1,679    6,540    11,163    10,296 
MSR valuation change    (284)    (32)    (319)    866    600    220    1,640    (1,700)    (250)    (471)    (1,050)    300    -    1,115    (90)    (1,221) 
Total Mortgage Banking Revenue    1,350    1,665    1,942    2,399    1,649    1,200    3,160    2,434    4,279    3,990    1,191    2,216    1,679    7,655    11,073    9,075 
Mortrgage Servicing Right Asset                                                                 
Gross Mortgage Servicing Right Asset    12,157    11,946    11,900    11,832    12,266    12,515    12,859    13,041    12,646    11,533    8,789    7,764    6,987    11,946    12,515    11,533 
less: valuation reserve    (1,076)    (792)    (760)    (441)    (1,307)    (1,907)    (2,127)    (3,767)    (2,467)    (2,217)    (1,746)    (696)    (996)    (792)    (1,907)    (2,217) 
Net Mortgage Servicing Right Asset    11,081    11,154    11,140    11,391    10,959    10,608    10,732    9,274    10,179    9,316    7,043    7,068    5,991    11,154    10,608    9,316 
Net Mortgage Servicing Right Asset as % of serviced loan portfolio    1.05%    1.05%    1.02%    1.02%    0.95%    0.91%    0.91%    0.77%    0.90%    0.91%    0.87%    0.98%    0.94%    1.05%    0.91%    0.91% 
 
(1)      Per share data has been adjusted for subsequent stock dividends and stock splits.
(2)      Tax exempt interest income has been adjusted to a tax equivalent basis at a 35% effective tax rate.
(3)      Efficiency ratio is noninterest expense divided by the sum of net interest income (tax equivalent basis) plus noninterest income.
(4)      The gain on sale of, and income from, the merchant bankcard operation, which is disclosed as a discontinued operation on the Company's financial statements, is included in other non-interest income above.