EXHIBIT 99.1

FOR IMMEDIATE RELEASE
CONTACTS
Ray Davis	Dan Sullivan
President & CEO	EVP & CFO
Umpqua Holdings Corporation	Umpqua Holdings Corporation
503-727-4101	503-727-4103
raydavis@umpquabank.com	dansullivan@umpquabank.com

     UMPQUA HOLDINGS ANNOUNCES QUARTERLY DIVIDEND Quarterly earnings conference call scheduled for April 20, 2006

PORTLAND, Ore. - March 21, 2006 - Umpqua Holdings Corporation (NASDAQ: UMPQ), parent company of Umpqua Bank and Strand, Atkinson, Williams & York, Inc.,today announced that its board of directors approved a quarterly cash dividend of $0.12 per common share. The dividend is payable on April 14, 2006 to shareholders of record as of March 31, 2006.

"Today's announcement reflects the confidence the board of directors has in Umpqua's ability to deliver on our stated business strategy," said Ray Davis, president and chief executive officer of Umpqua Holdings Corporation. "We are pleased to offer our shareholders, in the form of this cash dividend, the benefits of consistent earnings growth and maintenance of a strong capital position."

Umpqua Holdings Corporation will conduct a quarterly earnings conference call Thursday, April 20, 2006 at 10:00 a.m. PST (1:00 p.m. EST) where the Company will discuss first quarter results and provide an update on recent activities. 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 888-795-2173 a few minutes before 10:00 a.m. The password is "UMPQUA." A rebroadcast will be available approximately one hour after the conference call by dialing 800-945-1674, or by visiting www.umpquaholdingscorp.com. Information to be discussed in the teleconference will be available on the company's website prior to the call.

About Umpqua Holdings Corporation

Umpqua Holdings Corporation 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 95 locations between Sacramento, Calif. and Bellevue, 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.

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