Segment Information

The Company reports four primary segments: Commercial Bank, Wealth Management, Retail Bank, and Home Lending with the remainder as Corporate and other.

The Commercial Bank segment includes lending, treasury and cash management services and customer risk management products to small businesses, middle market and larger commercial customers and includes the operations of Financial Pacific Leasing Inc., a commercial leasing company. The Wealth Management segment consists of the operations of Umpqua Investments, which offers a full range of retail brokerage and investment advisory services and products to its clients who consist primarily of individual investors, and Umpqua Private Bank, which serves high net worth individuals with liquid investable assets and provides customized financial solutions and offerings. The Retail Bank segment includes retail lending and deposit services for customers served through the Bank's store network. The Home Lending segment originates, sells and services residential mortgage loans. The Corporate and other segment includes activities that are not directly attributable to one of the four principal lines of business and includes the operations of Pivotus Ventures, Inc. and the parent company, eliminations and the economic impact of certain assets, capital and support functions not specifically identifiable within the other lines of business.

Management monitors the Company's results using an internal performance measurement accounting system, which provides line of business results and key performance measures. The application and development of these management reporting methodologies is a dynamic process and is subject to periodic enhancements. As these enhancements are made, financial results presented by each reportable segment may be periodically revised retrospectively, if material.

The provision for income taxes is allocated to business segments using a 25% effective tax rate for 2018 and 37% for 2017. The residual income tax expense or benefit arising from tax planning strategies or other tax attributes to arrive at the consolidated effective tax rate is retained in Corporate and Other.

Summarized financial information concerning the Company's reportable segments and the reconciliation to the consolidated financial results is shown in the following tables:



(in thousands)	Three Months Ended March 31, 2018
	Commercial Bank		Wealth Management		Retail Bank		Home Lending		Corporate & Other			Consolidated
Net interest income	$	111,735	$	6,003	$	79,852	$	8,845	$	16,796		$	223,231
Provision (recapture) for loan and lease losses	13,368		167		361		492		(732		)	13,656
Non-interest income	15,729		4,896		15,193		38,408		4,341			78,567
Non-interest expense	54,574		8,768		71,143		32,297		19,331			186,113
Income before income taxes	59,522		1,964		23,541		14,464		2,538			102,029
Provision (benefit) for income taxes	14,880		491		5,885		3,616		(512		)	24,360
Net income	$	44,642	$	1,473	$	17,656	$	10,848	$	3,050		$	77,669



(in thousands)	Three Months Ended March 31, 2017
	Commercial Bank		Wealth Management		Retail Bank		Home Lending			Corporate & Other		Consolidated
Net interest income	$	102,497	$	4,429	$	68,044	$	9,498		$	22,257	$	206,725
Provision for loan and lease losses	9,109		200		1,816		27			520		11,672
Non-interest income	12,474		4,748		14,831		26,880			1,292		60,225
Non-interest expense	49,857		8,369		73,670		40,986			9,832		182,714
Income (loss) before income taxes	56,005		608		7,389		(4,635		)	13,197		72,564
Provision (benefit) for income taxes	20,722		225		2,734		(1,715		)	4,595		26,561
Net income (loss)	$	35,283	$	383	$	4,655	$	(2,920	)	$	8,602	$	46,003



(in thousands)	March 31, 2018
	Commercial Bank		Wealth Management		Retail Bank		Home Lending		Corporate & Other			Consolidated
Total assets	$	14,066,932	$	465,097	$	2,075,472	$	3,487,936	$	5,780,206		$	25,875,643
Total loans and leases	$	13,896,561	$	452,537	$	1,991,976	$	3,001,719	$	(28,204	)	$	19,314,589
Total deposits	$	3,747,374	$	998,332	$	12,807,253	$	277,678	$	2,276,219		$	20,106,856



(in thousands)	December 31, 2017
	Commercial Bank		Wealth Management		Retail Bank		Home Lending		Corporate & Other			Consolidated
Total assets	$	13,856,963	$	437,873	$	2,143,830	$	3,355,189	$	5,947,584		$	25,741,439
Total loans and leases	$	13,683,264	$	423,813	$	2,054,058	$	2,921,897	$	(2,848	)	$	19,080,184
Total deposits	$	3,776,080	$	993,559	$	12,449,568	$	222,494	$	2,506,599		$	19,948,300