EXHIBIT 99.1 

Contacts:

Ron Farnsworth	Drew Anderson
EVP/Chief Financial Officer	SVP/Investor Relations Director
Umpqua Holdings Corporation	Umpqua Holdings Corporation
503-727-4108	503-727-4192
ronfarnsworth@umpquabank.com	drewanderson@umpquabank.com

UMPQUA REPORTS THIRD QUARTER 2020 RESULTS

Third quarter 2020 net income of $124.9 million, or $0.57 per common share

Mortgage production volume of $2.2 billion and gain on sale of 5.13%

Loans currently on deferral decreased to 2.3% of total portfolio

Launched Next Gen 2.0 with focus on growth, technology investments, and operational excellence initiatives

PORTLAND, Ore. – October 21, 2020 – Umpqua Holdings Corporation (NASDAQ: UMPQ) (the “Company”) reported net income of $124.9 million for the third quarter of 2020, compared to $52.9 million for the second quarter of 2020 and $84.5 million for the third quarter of 2019. Earnings per diluted common share were $0.57 for the third quarter of 2020, compared to $0.24 for the second quarter of 2020 and $0.38 for the third quarter of 2019.

"Umpqua’s third quarter results represent a record level of net income driven by another outstanding performance by our home lending division who generated production of $2.2 billion this past quarter and by a continued decline in our cost of interest bearing deposits. In addition, we remain confident in the credit quality of our loan portfolio as our current deferral levels decreased to 2.3%.” said Cort O’Haver, president and CEO of Umpqua Holdings Corporation. "We launched Next Gen 2.0 this quarter as a continuation of the great progress we have made these past three years modernizing the bank, advancing technology initiatives and improving operating leverage."

Ongoing impact of COVID-19 on our business operations:

•Operations have been modified to comply with multiple state-level proclamations and Center for Disease Control and Prevention (CDC) guidance and best practices; we continue to:

◦restrict travel.

◦maintain a remote work program for associates other than store associates and small groups of other functions that cannot be completed remotely. About 90% of our non-store associates are operating remotely.

◦transitioned store operations to restrict lobby access and serve customers in-store by appointment only which has allowed over 94% of stores on any given day to remain open throughout the crisis.

◦increased cleaning scope and frequency at our store locations and installed other protective devices for our associates and customers.

•Mobile banking usage trends are up 9% and unique sessions are up 7% year over year in addition to an expected decline in store transactions of over 27%.

•Continue to offer our Umpqua Go-To® application with over 70,000 customers using the application. Go-To usage increased 38% from the prior quarter levels as customers used the platform as a safe and effective way of conducting banking.

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•We enhanced associate benefits, including:

◦supplemental front line associate pay.

◦pandemic pay bank for associates needing additional paid time off due to COVID-19 impacts.

◦flexible work rotations and remote work for higher-risk associates.

•Active participant in PPP, including:

◦over 16,900 PPP loans produced.

◦$2.05 billion in total loans were funded.

◦average loan size was $121,000.

•Addressing other customer needs during pandemic:

◦payment deferrals.

◦waiving deferral associated fees.

◦ATM fee waivers.

•Enhanced community support:

◦announced a total of $3.0 million in combined grants and investments to organizations providing COVID-19 community relief and small business microloans.

◦initiated virtual volunteerism program.

◦activated an associate 3:1 giving match to donations.

Notable items that impacted the third quarter 2020 financial results included:

•Provision for credit losses decreased by $87.4 million as compared to the previous quarter and $23.6 million as compared to the same period of the prior year, due to changes in loan portfolio mix and balances as well as the stabilization of credit quality metrics and economic forecasts used in credit models.

•$12.2 million loss on the fair value change of the mortgage servicing rights (MSR) asset due to changes in model inputs compared to a $6.4 million loss in the prior quarter and a $11.0 million gain in the same period of the prior year.

•$1.8 million gain related to the fair value of the debt capital market swap derivatives, compared to a loss of $0.8 million in the prior quarter and a loss of $4.6 million in the same period of the prior year.

Third Quarter 2020 Highlights (compared to prior quarter):

•Net interest income increased by $4.1 million on a quarter to quarter basis primarily driven by lower costs of interest-bearing deposits;

•Provision for credit losses decreased by $87.4 million due to changes in loan portfolio mix and balances as well as the stabilization of credit quality metrics and economic forecasts used in credit models;

•Net charge-offs decreased by five basis points to 0.24% of average loans and leases (annualized);

•Non-interest income increased by $16.4 million, driven primarily by an increase in net mortgage banking revenue and the sale of three store locations completed during the quarter;

•Non-interest expense increased by $8.3 million, primarily due to an increase in group insurance costs, lower deferred origination costs, higher mortgage commissions due to strong mortgage production, and higher other expenses, partially offset by lower FDIC assessment costs;

•Non-performing assets to total assets increased two basis points to 0.27% from 0.25%;

•Estimated total risk-based capital ratio of 14.9% and estimated Tier 1 common to risk weighted assets ratio of 11.6%;

•Paid a quarterly cash dividend of $0.21 per common share on August 31, 2020 to shareholders of record as of August 20, 2020.

Balance Sheet

Total consolidated assets were $29.4 billionas of September 30, 2020, compared to $29.6 billion as of June 30, 2020 and $28.9 billion as of September 30, 2019. Including secured off-balance sheet lines of credit, total available liquidity was $11.2 billion as of September 30, 2020, representing 38% of total assets and 45% of total deposits.

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Gross loans and leases were $22.4 billion as of September 30, 2020, a decrease of $245.0 million relative to June 30, 2020. The decrease in gross loans and leases is primarily due to the payoffs in commercial real estate that occurred during the quarter as well as a decrease in utilization rates of commercial lines of credit. Please refer to the additional loan tables in the Q3 2020 Earnings Presentation for select underwriting characteristics of the loan portfolio and specific industry concentrations impacted by COVID-19.

Total deposits were $24.7 billion as of September 30, 2020, a decrease of $174.6 million from $24.8 billion as of June 30, 2020. This decrease was attributable to a decline in time deposits of $612.5 million partially offset by growth in non-interest bearing demand deposits of $303.0 million.

Net Interest Income

Net interest income was $216.6 million for the third quarter of 2020, up $4.1 million from the prior quarter. The increase was primarily driven by lower costs of interest bearing deposits compared to the previous quarter.

The Company's net interest margin was 3.08% for the third quarter of 2020, down one basis point from 3.09% for the second quarter of 2020 primarily driven by lower yields on loans held for investment offset by lower costs of interest bearing deposits.

Credit Quality

The allowance for credit losses was $369.4 million, or 1.65% of loans and leases, as of September 30, 2020, which was down from $383.1 million, or 1.69% of loans and leases, as of June 30, 2020. The provision for credit losses decreased by $87.4 million from the prior quarter level primarily due to changes in portfolio mix and balances as well as the stabilization of credit quality metrics and economic forecasts used in credit models.

Net charge-offs as a percentage of average loans and leases decreased by five basis points to 0.24% of average loans and leases (annualized) as of September 30, 2020. The decrease in net charge-offs for the quarter was primarily due to continued, stable credit performance of the loan portfolio in addition to a select amount of borrowers using available deferral options. As of September 30, 2020, non-performing assets were 0.27% of total assets, compared to 0.25% as of June 30, 2020 and 0.25% as of September 30, 2019.

Current Expected Credit Loss (CECL)

As described in our first quarter 2020 quarterly report on Form 10-Q filed on May 7, 2020 ("Q1 2020 10-Q"), on January 1, 2020, we adopted Accounting Standards Update No. 2016-13, Financial Instruments —Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments ("CECL"). In applying CECL, our financial results are affected as soon as weak or deteriorating economic conditions are forecasted which alters our expectations for credit losses. In addition, due to the expansion of the time horizon over which we are required to estimate future credit losses under CECL, we may experience increased volatility in our future provisions for credit losses. Specifically, we use credit models that factor in economic forecasts, which at the beginning of the COVID-19 pandemic projected significant, negative COVID-19 impacts to the economy; therefore we recorded significant provisions for credit losses in the first and second quarters of 2020. As those future economic forecasts have stabilized, we recorded a small recapture of the allowance for credit losses in the current period.

Non-interest Income

Non-interest income was $131.9 million for the third quarter of 2020, up $16.4 million from the prior quarter driven primarily by the increase in net mortgage banking revenue and the sale of three store locations completed during the period.

Revenue from the origination and sale of residential mortgages was $98.7 million for the third quarter of 2020, an increase of $11.9 million from the prior quarter. This increase reflects a sequential quarter increase of $96.7 million or 5% in for-sale mortgage origination volume and an increase of 38 basis points in the home lending gain on sale margin to 5.13% for the third quarter of 2020. Of the current quarter's mortgage production, 46% related to purchase activity, compared to 34% for the prior quarter and 60% for the same period of the prior year.

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Non-interest Expense

Non-interest expense was $190.2 million for the third quarter of 2020, up $8.3 million from the prior quarter level. This increase was primarily due to higher group insurance costs, lower deferred origination costs, higher mortgage commissions due to strong mortgage production, and higher other expenses, partially offset by lower FDIC assessment costs.

Goodwill

As described in our Q1 2020 10-Q, the Company completed the analysis of goodwill prior to filing the Q1 2020 10-Q with the Securities and Exchange Commission. The Company updated its goodwill assessment for the Wholesale Bank and Retail Bank reporting units as of March 31, 2020, due to events and circumstances indicating potential impairment. Impairment of goodwill is the condition that exists when the carrying amount of a reporting unit that includes goodwill exceeds its fair value. A goodwill impairment is recognized for the amount that the carrying amount of a reporting unit, including goodwill, exceeds its fair value, limited to the total amount of goodwill allocated to that reporting unit. Upon completing the quantitative impairment analysis, the Company recorded a goodwill impairment of $1.8 billion during the first quarter, which represented the entire amount of goodwill allocated to the Wholesale Bank and Retail Bank reporting units. The remaining goodwill of $2.7 million after the impairment relates to the Wealth Management reporting unit. The goodwill impairment was material to reported earnings in the first quarter, but was a non-cash charge and had no effect on the Company’s cash balances, liquidity or tangible equity. In addition, because goodwill and other intangible assets are not included in the calculation of regulatory capital, the Company’s well-capitalized regulatory capital ratios were not impacted by the impairment.

Capital

As of September 30, 2020, the Company's tangible book value per common share¹ was $11.77, compared to $11.44 in the prior quarter and $11.27 in the same period of the prior year.

The Company's estimated total risk-based capital ratio was 14.9% and its estimated Tier 1 common to risk weighted

assets ratio was 11.6% as of September 30, 2020. The Company remains above current “well-capitalized” regulatory minimums. The regulatory capital ratios as of September 30, 2020 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 these 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.

Management believes tangible common equity and the tangible common equity ratio are useful 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.

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.

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October 21, 2020

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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).

(In thousands, except per share data)	Sep 30, 2020			Jun 30, 2020			Mar 31, 2020			Dec 31, 2019			Sep 30, 2019
Total shareholders' equity	$	2,610,244		$	2,538,339		$	2,507,611		$	4,313,915		$	4,289,516
Subtract:
Goodwill	2,715			2,715			2,715			1,787,651			1,787,651
Other intangible assets, net	14,606			15,853			17,099			18,346			19,750
Tangible common shareholders' equity	$	2,592,923		$	2,519,771		$	2,487,797		$	2,507,918		$	2,482,115
Total assets	$	29,437,441		$	29,645,248		$	27,540,382		$	28,846,809		$	28,930,855
Subtract:
Goodwill	2,715			2,715			2,715			1,787,651			1,787,651
Other intangible assets, net	14,606			15,853			17,099			18,346			19,750
Tangible assets	$	29,420,120		$	29,626,680		$	27,520,568		$	27,040,812		$	27,123,454
Common shares outstanding at period end	220,222			220,219			220,175			220,229			220,212
Total shareholders' equity to total assets ratio	8.87		%	8.56		%	9.11		%	14.95		%	14.83		%
Tangible common equity ratio	8.81		%	8.51		%	9.04		%	9.27		%	9.15		%
Book value per common share	$	11.85		$	11.53		$	11.39		$	19.59		$	19.48
Tangible book value per common share	$	11.77		$	11.44		$	11.30		$	11.39		$	11.27

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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 customer experience, 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 Holdings Corporation is headquartered in Portland, Oregon. For more information, visitumpquabank.com.

Earnings Conference Call Information

The Company will host its third quarter 2020 earnings conference call on October 22, 2020, 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 third quarter 2020 financial results. There will be a live question-and-answer session following the presentation. To join the call, please dial (866) 440-7407 ten minutes prior to the start time and enter conference ID: 4653597. A re-broadcast will be available approximately two hours after the call by dialing (855) 859-2056 and entering conference ID 4653597. The earnings conference call will also be available as an audio cast, which can be accessed on the Company's investor relations page at umpquabank.com.

Forward-Looking Statements

This press release includes 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. Forward-looking statements can be identified by words such as “anticipates,” “intends,” “plans,” “seeks,” “believes,” “estimates,” “expects,” “target,” “projects,” “outlook,” “forecast,” “will,” “may,” “could,” “should,” “can” and similar references to future periods. In this press release we make forward-looking statements about Next Gen 2.0 initiatives, the projected impact on our business operations of the COVID-19 global pandemic and future credit losses under CECL. 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: current and future economic and market conditions, including the effects of declines in housing and commercial real estate prices, high unemployment rates, and any slowdown in economic growth particularly in the western United States; the effect of the COVID-19 pandemic, including on our credit quality, deferral programs, and business operations, as well as its impact on general economic and financial market conditions; economic forecast variables that are either materially worse or better than end of quarter projections and deterioration in the economy that exceeds current consensus estimates; our ability to effectively manage problem credits; our ability to successfully implement efficiency and operational excellence initiatives; our ability to successfully develop and market new products and technology; and changes in laws or regulations. We also caution that the amount and timing of any future common stock dividends or repurchases will depend on the earnings, cash requirements and financial condition of the Company, market conditions, capital requirements, applicable law and regulations (including federal securities laws and federal banking regulations), and other factors deemed relevant by the Company’s Board of Directors, and may be subject to regulatory approval or conditions.

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Umpqua Holdings Corporation
Consolidated Statements of Operations
(Unaudited)
	Quarter Ended										% Change
(In thousands, except per share data)	Sep 30, 2020		Jun 30, 2020		Mar 31, 2020		Dec 31, 2019		Sep 30, 2019		Seq. Quarter		Year over Year
Interest income:
Loans and leases	$	229,457	$	235,174	$	245,993	$	262,109	$	266,111	(2)	%	(14)	%
Interest and dividends on investments:
Taxable	10,168		9,015		16,605		13,361		12,546		13	%	(19)	%
Exempt from federal income tax	1,490		1,520		1,562		1,638		1,727		(2)	%	(14)	%
Dividends	710		568		678		579		599		25	%	19	%
Temporary investments and interest bearing deposits	474		403		3,331		4,343		4,204		18	%	(89)	%
Total interest income	242,299		246,680		268,169		282,030		285,187		(2)	%	(15)	%
Interest expense:
Deposits	19,121		26,222		40,290		44,380		45,876		(27)	%	(58)	%
Securities sold under agreement to repurchase and federal funds purchased	84		194		395		431		448		(57)	%	(81)	%
Borrowings	3,271		3,839		4,046		5,080		4,238		(15)	%	(23)	%
Junior subordinated debentures	3,249		3,922		4,903		5,325		5,652		(17)	%	(43)	%
Total interest expense	25,725		34,177		49,634		55,216		56,214		(25)	%	(54)	%
Net interest income	216,574		212,503		218,535		226,814		228,973		2	%	(5)	%
(Recapture) provision for credit losses	(338)		87,085		118,085		16,252		23,227		(100)	%	(101)	%
Non-interest income:
Service charges on deposits	14,438		11,831		15,638		16,656		16,627		22	%	(13)	%
Brokerage revenue	3,686		3,805		4,015		4,027		4,060		(3)	%	(9)	%
Residential mortgage banking revenue, net	90,377		83,877		17,540		34,050		47,000		8	%	92	%
Gain (loss) on sale of debt securities, net	—		323		(133)		2		—		(100)	%	nm
(Loss) gain on equity securities, net	(112)		240		814		(84)		257		(147)	%	(144)	%
Gain on loan and lease sales, net	1,092		1,074		1,167		4,603		1,762		2	%	(38)	%
BOLI income	2,087		2,116		2,129		2,078		2,067		(1)	%	1	%
Other income (expense)	20,356		12,214		(525)		22,417		16,739		67	%	22	%
Total non-interest income	131,924		115,480		40,645		83,749		88,512		14	%	49	%
Non-interest expense:
Salaries and employee benefits	120,337		116,676		109,774		108,847		106,819		3	%	13	%
Occupancy and equipment, net	36,720		36,171		37,001		36,513		35,446		2	%	4	%
Intangible amortization	1,247		1,246		1,247		1,404		1,405		0	%	(11)	%
FDIC assessments	2,989		3,971		2,542		2,867		2,587		(25)	%	16	%
Goodwill impairment	—		—		1,784,936		—		—		nm		nm
Other expenses	28,914		23,846		27,158		33,812		37,333		21	%	(23)	%
Total non-interest expense	190,207		181,910		1,962,658		183,443		183,590		5	%	4	%
Income (loss) before provision for income taxes	158,629		58,988		(1,821,563)		110,868		110,668		169	%	43	%
Provision for income taxes	33,758		6,062		30,384		27,118		26,166		457	%	29	%
Net income (loss)	$	124,871	$	52,926	$	(1,851,947)	$	83,750	$	84,502	136	%	48	%
Weighted average basic shares outstanding	220,221		220,210		220,216		220,222		220,285		0	%	0	%
Weighted average diluted shares outstanding	220,418		220,320		220,216		220,671		220,583		0	%	0	%
Earnings (loss) per common share – basic	$	0.57	$	0.24	$	(8.41)	$	0.38	$	0.38	138	%	50	%
Earnings (loss) per common share – diluted	$	0.57	$	0.24	$	(8.41)	$	0.38	$	0.38	138	%	50	%
nm = not meaningful

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Umpqua Holdings Corporation
Consolidated Statements of Operations
(Unaudited)
	Nine Months Ended				% Change
(In thousands, except per share data)	Sep 30, 2020		Sep 30, 2019		Year over Year
Interest income:
Loans and leases	$	710,624	$	788,968	(10)	%
Interest and dividends on investments:
Taxable	35,788		42,789		(16)	%
Exempt from federal income tax	4,572		5,762		(21)	%
Dividends	1,956		1,690		16	%
Temporary investments and interest bearing deposits	4,208		9,837		(57)	%
Total interest income	757,148		849,046		(11)	%
Interest expense:
Deposits	85,633		123,561		(31)	%
Securities sold under agreement to repurchase and federal funds purchased	673		1,661		(59)	%
Borrowings	11,156		12,484		(11)	%
Junior subordinated debentures	12,074		17,520		(31)	%
Total interest expense	109,536		155,226		(29)	%
Net interest income	647,612		693,820		(7)	%
Provision for credit losses	204,832		56,263		264	%
Non-interest income:
Service charges on deposits	41,907		47,858		(12)	%
Brokerage revenue	11,506		11,850		(3)	%
Residential mortgage banking revenue, net	191,794		67,760		183	%
Gain (loss) on sale of debt securities, net	190		(7,186)		(103)	%
Gain on equity securities, net	942		83,559		(99)	%
Gain on loan and lease sales, net	3,333		5,864		(43)	%
BOLI income	6,332		6,328		0	%
Other income	32,045		40,042		(20)	%
Total non-interest income	288,049		256,075		12	%
Non-interest expense:
Salaries and employee benefits	346,787		311,526		11	%
Occupancy and equipment, net	109,892		107,723		2	%
Intangible amortization	3,740		4,214		(11)	%
FDIC assessments	9,502		8,366		14	%
Goodwill impairment	1,784,936		—		nm
Other expenses	79,918		103,768		(23)	%
Total non-interest expense	2,334,775		535,597		336	%
(Loss) income before provision for income taxes	(1,603,946)		358,035		(548)	%
Provision for income taxes	70,204		87,690		(20)	%
Net (loss) income	$	(1,674,150)	$	270,345	(719)	%
Weighted average basic shares outstanding	220,216		220,379		0	%
Weighted average diluted shares outstanding	220,216		220,642		0	%
(Loss) earnings per common share – basic	$	(7.60)	$	1.23	(718)	%
(Loss) earnings per common share – diluted	$	(7.60)	$	1.23	(718)	%
nm = not meaningful

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Umpqua Holdings Corporation Consolidated Balance Sheets
(Unaudited)
																% Change
(In thousands, except per share data)	Sep 30, 2020			Jun 30, 2020			Mar 31, 2020			Dec 31, 2019			Sep 30, 2019			Seq. Quarter		Year over Year
Assets:
Cash and due from banks	$	370,595		$	410,769		$	406,426		$	382,598		$	433,620		(10)	%	(15)	%
Interest bearing cash and temporary investments	1,849,132			1,853,505			1,251,290			980,158			757,824			0	%	144	%
Investment securities:
Equity and other, at fair value	82,769			81,958			80,797			80,165			64,764			1	%	28	%
Available for sale, at fair value	2,898,700			2,865,690			2,890,475			2,814,682			2,842,076			1	%	2	%
Held to maturity, at amortized cost	3,088			3,143			3,200			3,260			3,320			(2)	%	(7)	%
Loans held for sale, at fair value	683,960			605,399			481,541			513,431			355,022			13	%	93	%
Loans and leases	22,426,473			22,671,455			21,251,478			21,195,684			21,520,794			(1)	%	4	%
Allowance for credit losses on loans and leases	(345,049)			(356,745)			(291,420)			(157,629)			(156,288)			(3)	%	121	%
Net loans and leases	22,081,424			22,314,710			20,960,058			21,038,055			21,364,506			(1)	%	3	%
Restricted equity securities	50,062			54,062			58,062			46,463			54,463			(7)	%	(8)	%
Premises and equipment, net	185,104			192,041			195,390			201,460			203,391			(4)	%	(9)	%
Operating lease right-of-use assets	107,321			111,487			115,485			110,718			108,187			(4)	%	(1)	%
Goodwill	2,715			2,715			2,715			1,787,651			1,787,651			0	%	(100)	%
Other intangible assets, net	14,606			15,853			17,099			18,346			19,750			(8)	%	(26)	%
Residential mortgage servicing rights, at fair value	93,248			96,356			94,346			115,010			151,383			(3)	%	(38)	%
Bank owned life insurance	326,120			324,873			322,717			320,611			318,533			0	%	2	%
Other assets	688,597			712,687			660,781			434,201			466,365			(3)	%	48	%
Total assets	$	29,437,441		$	29,645,248		$	27,540,382		$	28,846,809		$	28,930,855		(1)	%	2	%
Liabilities:
Deposits	$	24,669,783		$	24,844,378		$	22,699,375		$	22,481,504		$	22,434,734		(1)	%	10	%
Securities sold under agreements to repurchase	388,028			398,414			346,245			311,308			296,717			(3)	%	31	%
Borrowings	996,520			1,096,559			1,196,597			906,635			1,106,674			(9)	%	(10)	%
Junior subordinated debentures, at fair value	247,045			232,936			195,521			274,812			267,798			6	%	(8)	%
Junior subordinated debentures, at amortized cost	88,325			88,382			88,439			88,496			88,553			0	%	0	%
Operating lease liabilities	115,790			119,885			123,962			119,429			116,924			(3)	%	(1)	%
Deferred tax liability, net	13,239			21,439			51,061			52,928			67,055			(38)	%	(80)	%
Other liabilities	308,467			304,916			331,571			297,782			262,884			1	%	17	%
Total liabilities	26,827,197			27,106,909			25,032,771			24,532,894			24,641,339			(1)	%	9	%
Shareholders' equity:
Common stock	3,512,153			3,510,145			3,507,680			3,514,000			3,511,493			0	%	0	%
(Accumulated deficit) retained earnings	(1,036,931)			(1,115,414)			(1,168,340)			770,366			733,059			(7)	%	(241)	%
Accumulated other comprehensive income	135,022			143,608			168,271			29,549			44,964			(6)	%	200	%
Total shareholders' equity	2,610,244			2,538,339			2,507,611			4,313,915			4,289,516			3	%	(39)	%
Total liabilities and shareholders' equity	$	29,437,441		$	29,645,248		$	27,540,382		$	28,846,809		$	28,930,855		(1)	%	2	%
Common shares outstanding at period end	220,222			220,219			220,175			220,229			220,212			0	%	0	%
Book value per common share	$	11.85		$	11.53		$	11.39		$	19.59		$	19.48		3	%	(39)	%
Tangible book value per common share	$	11.77		$	11.44		$	11.30		$	11.39		$	11.27		3	%	4	%
Tangible equity - common	$	2,592,923		$	2,519,771		$	2,487,797		$	2,507,918		$	2,482,115		3	%	4	%
Tangible common equity to tangible assets	8.81		%	8.51		%	9.04		%	9.27		%	9.15		%	0.30		(0.34)

Umpqua Reports Third Quarter 2020 Results

October 21, 2020

Page 10

Umpqua Holdings Corporation
Loan and Lease Portfolio
(Unaudited)
	Sep 30, 2020			Jun 30, 2020			Mar 31, 2020			Dec 31, 2019			Sep 30, 2019			% Change
(Dollars in thousands)	Amount			Amount			Amount			Amount			Amount			Seq. Quarter		Year over Year
Loans and leases:
Commercial real estate:
Non-owner occupied term, net	$	3,533,776		$	3,589,484		$	3,613,420		$	3,545,566		$	3,495,555		(2)	%	1	%
Owner occupied term, net	2,411,098			2,459,954			2,472,187			2,496,088			2,566,299			(2)	%	(6)	%
Multifamily, net	3,389,034			3,466,829			3,464,217			3,514,774			3,479,986			(2)	%	(3)	%
Construction & development, net	757,462			662,703			667,975			678,740			771,214			14	%	(2)	%
Residential development, net	163,400			164,180			187,594			189,010			191,500			0	%	(15)	%
Commercial:
Term, net (1)	4,246,229			4,265,092			2,317,573			2,232,817			2,310,759			0	%	84	%
Lines of credit & other, net	894,782			940,443			1,208,051			1,212,393			1,254,755			(5)	%	(29)	%
Leases & equipment finance, net	1,496,650			1,522,369			1,492,762			1,465,489			1,485,753			(2)	%	1	%
Residential:
Mortgage, net	4,042,416			4,056,588			4,193,908			4,215,424			4,245,674			0	%	(5)	%
Home equity loans & lines, net	1,172,697			1,189,428			1,249,152			1,237,512			1,224,578			(1)	%	(4)	%
Consumer & other, net	318,929			354,385			384,639			407,871			494,721			(10)	%	(36)	%
Total loans, net of deferred fees and costs	$	22,426,473		$	22,671,455		$	21,251,478		$	21,195,684		$	21,520,794		(1)	%	4	%
(1)The Bank participates in the Payroll Protection Program ("PPP") to originate SBA loans designated to help businesses maintain their workforce and cover other working capital needs during the COVID-19 pandemic. The Commercial Term loans in the table above include 16,900 PPP loans, totaling $2.0 billion, net of deferred fees and costs as of September 30, 2020.
Loan and leases mix:
Commercial real estate:
Non-owner occupied term, net	16		%	16		%	17		%	17		%	16		%
Owner occupied term, net	11		%	11		%	12		%	12		%	12		%
Multifamily, net	15		%	15		%	16		%	16		%	16		%
Construction & development, net	3		%	3		%	3		%	3		%	4		%
Residential development, net	1		%	1		%	1		%	1		%	1		%
Commercial:
Term, net	19		%	19		%	11		%	10		%	11		%
Lines of credit & other, net	4		%	4		%	5		%	6		%	6		%
Leases & equipment finance, net	7		%	7		%	7		%	7		%	7		%
Residential:
Mortgage, net	18		%	18		%	20		%	20		%	20		%
Home equity loans & lines, net	5		%	5		%	6		%	6		%	5		%
Consumer & other, net	1		%	1		%	2		%	2		%	2		%
Total	100		%	100		%	100		%	100		%	100		%

Umpqua Reports Third Quarter 2020 Results

October 21, 2020

Page 11

Umpqua Holdings Corporation
Deposits by Type/Core Deposits
(Unaudited)
	Sep 30, 2020			Jun 30, 2020			Mar 31, 2020			Dec 31, 2019			Sep 30, 2019			% Change
(Dollars in thousands)	Amount			Amount			Amount			Amount			Amount			Seq. Quarter		Year over Year
Deposits:
Demand, non-interest bearing	$	9,475,244		$	9,172,210		$	7,169,907		$	6,913,375		$	7,123,180		3	%	33	%
Demand, interest bearing	2,931,990			2,813,722			2,482,908			2,524,534			2,406,404			4	%	22	%
Money market	7,160,838			7,262,777			7,082,011			6,930,815			6,646,383			(1)	%	8	%
Savings	1,848,639			1,730,051			1,486,909			1,471,475			1,469,302			7	%	26	%
Time	3,253,072			3,865,618			4,477,640			4,641,305			4,789,465			(16)	%	(32)	%
Total	$	24,669,783		$	24,844,378		$	22,699,375		$	22,481,504		$	22,434,734		(1)	%	10	%
Total core deposits (1)	$	22,439,241		$	22,095,314		$	19,434,228		$	19,061,058		$	18,845,328		2	%	19	%
Deposit mix:
Demand, non-interest bearing	38		%	37		%	32		%	31		%	32		%
Demand, interest bearing	12		%	11		%	11		%	11		%	11		%
Money market	29		%	29		%	31		%	31		%	30		%
Savings	8		%	7		%	7		%	6		%	6		%
Time	13		%	16		%	19		%	21		%	21		%
Total	100		%	100		%	100		%	100		%	100		%
Number of open accounts:
Demand, non-interest bearing	423,658			423,456			416,270			415,254			413,633
Demand, interest bearing	73,812			74,813			75,514			75,900			76,390
Money market	59,083			59,445			59,203			58,888			58,796
Savings	162,234			161,710			159,870			159,948			160,673
Time	52,572			57,501			62,515			62,952			62,122
Total	771,359			776,925			773,372			772,942			771,614
Average balance per account:
Demand, non-interest bearing	$	22.4		$	21.7		$	17.2		$	16.6		$	17.2
Demand, interest bearing	39.7			37.6			32.9			33.3			31.5
Money market	121.2			122.2			119.6			117.7			113.0
Savings	11.4			10.7			9.3			9.2			9.1
Time	61.9			67.2			71.6			73.7			77.1
Total	$	32.0		$	32.0		$	29.4		$	29.1		$	29.1

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

Umpqua Reports Third Quarter 2020 Results

October 21, 2020

Page 12

Umpqua Holdings Corporation
Credit Quality – Non-performing Assets
(Unaudited)
	Quarter Ended															% Change
(Dollars in thousands)	Sep 30, 2020			Jun 30, 2020			Mar 31, 2020			Dec 31, 2019			Sep 30, 2019			Seq. Quarter		Year over Year
Non-performing assets:
Loans and leases on non-accrual status	$	26,425		$	32,412		$	39,128		$	26,244		$	31,636		(18)	%	(16)	%
Loans and leases past due 90+ days and accruing (1)	50,269			39,818			47,185			37,969			35,745			26	%	41	%
Total non-performing loans and leases	76,694			72,230			86,313			64,213			67,381			6	%	14	%
Other real estate owned	2,369			2,578			3,020			3,295			4,026			(8)	%	(41)	%
Total non-performing assets	$	79,063		$	74,808		$	89,333		$	67,508		$	71,407		6	%	11	%
Performing restructured loans and leases	$	15,819		$	15,032		$	20,541		$	18,576		$	14,309		5	%	11	%
Loans and leases past due 31-89 days	$	66,155		$	40,583		$	59,962		$	41,882		$	44,390		63	%	49	%
Loans and leases past due 31-89 days to total loans and leases	0.29		%	0.18		%	0.28		%	0.20		%	0.21		%
Non-performing loans and leases to total loans and leases (1)	0.34		%	0.32		%	0.41		%	0.30		%	0.31		%
Non-performing assets to total assets(1)	0.27		%	0.25		%	0.32		%	0.23		%	0.25		%

(1)Excludes certain mortgage loans guaranteed by Ginnie Mae, which Umpqua has the unilateral right to repurchase but has not done so, totaling $20.0 million, $2.6 million, $5.3 million, $4.3 million, and $5.2 million at September 30, 2020, June 30, 2020, March 31, 2020, December 31, 2019, and September 30, 2019, respectively.

Umpqua Reports Third Quarter 2020 Results

October 21, 2020

Page 13

Umpqua Holdings Corporation
Credit Quality – Allowance for Credit Losses
(Unaudited)
	Quarter Ended															% Change
(Dollars in thousands)	Sep 30, 2020			Jun 30, 2020			Mar 31, 2020			Dec 31, 2019			Sep 30, 2019			Seq. Quarter		Year over Year
Allowance for credit losses on loans and leases (ACLLL)
Balance, beginning of period	$	356,745		$	291,420		$	157,629		$	156,288		$	151,069		22	%	136	%
Impact of adoption of CECL	—			—			49,999			—			—			nm		nm
Adjusted balance, beginning of period	356,745			291,420			207,628			156,288			151,069			22	%	136	%
Provision for credit losses on loans and leases (1)	1,785			81,484			105,502			16,252			23,227			(98)	%	(92)	%
Charge-offs	(16,646)			(19,453)			(24,455)			(18,734)			(23,112)			(14)	%	(28)	%
Recoveries	3,165			3,294			2,745			3,823			5,104			(4)	%	(38)	%
Net charge-offs	(13,481)			(16,159)			(21,710)			(14,911)			(18,008)			(17)	%	(25)	%
Balance, end of period	$	345,049		$	356,745		$	291,420		$	157,629		$	156,288		(3)	%	121	%
Reserve for unfunded commitments
Balance, beginning of period	$	26,368		$	20,927		$	5,106		$	5,085		$	4,857		26	%	443	%
Impact of adoption of CECL	—			—			3,238			—			—			nm		nm
Adjusted balance, beginning of period	26,368			20,927			8,344			5,085			4,857			26	%	443	%
(Recapture) provision for credit losses on unfunded commitments (1)	(2,062)			5,441			12,583			21			228			(138)	%	nm
Balance, end of period	24,306			26,368			20,927			5,106			5,085			(8)	%	378	%
Total Allowance for credit losses (ACL)	$	369,355		$	383,113		$	312,347		$	162,735		$	161,373		(4)	%	129	%
Net charge-offs to average loans and leases (annualized)	0.24		%	0.29		%	0.41		%	0.28		%	0.34		%
Recoveries to gross charge-offs	19.01		%	16.93		%	11.22		%	20.41		%	22.08		%
ACLLL to loans and leases	1.54		%	1.57		%	1.37		%	0.74		%	0.73		%
ACL to loans and leases	1.65		%	1.69		%	1.47		%	0.77		%	0.75		%
nm = not meaningful

⁽¹⁾ The total provision for credit losses as disclosed in the income statement includes a recapture of $61,000 related to the provision for accrued interest on loans deferred due to COVID-19, for the three months ended September 30, 2020 and an additional provision of $160,000 for the three months ended June 30, 2020, which are not included in the table above.

Umpqua Reports Third Quarter 2020 Results

October 21, 2020

Page 14

Umpqua Holdings Corporation
Credit Quality – Allowance for Credit Losses
(Unaudited)
	Nine Months Ended						% Change
(Dollars in thousands)	Sep 30, 2020			Sep 30, 2019			Year over Year
Allowance for credit losses on loans and leases (ACLLL)
Balance, beginning of period	$	157,629		$	144,871		9	%
Impact of adoption of CECL	49,999			—			nm
Adjusted balance, beginning of period	207,628			144,871			43	%
Provision for credit losses on loans and leases (1)	188,771			56,263			236	%
Charge-offs	(60,554)			(56,971)			6	%
Recoveries	9,204			12,125			(24)	%
Net charge-offs	(51,350)			(44,846)			15	%
Balance, end of period	$	345,049		$	156,288		121	%
Reserve for unfunded commitments
Balance, beginning of period	$	5,106		$	4,523		13	%
Impact of adoption of CECL	3,238			—			nm
Adjusted balance, beginning of period	8,344			4,523			84	%
Provision for credit losses on unfunded commitments (1)	15,962			562			nm
Balance, end of period	24,306			5,085			378	%
Total Allowance for credit losses (ACL)	$	369,355		$	161,373		129	%
Net charge-offs to average loans and leases (annualized)	0.31		%	0.29		%
Recoveries to gross charge-offs	15.20		%	21.28		%
nm = not meaningful

⁽¹⁾ The total provision for credit losses for the nine months ended September 30, 2020, as disclosed on the income statement includes an additional $99,000 of provision related to accrued interest on loans deferred due to COVID-19, not included in the table above.

Umpqua Reports Third Quarter 2020 Results

October 21, 2020

Page 15

Umpqua Holdings Corporation
Selected Ratios
(Unaudited)
	Quarter Ended										% Change
	Sep 30, 2020		Jun 30, 2020		Mar 31, 2020		Dec 31, 2019		Sep 30, 2019		Seq. Quarter	Year over Year
Average Rates:
Yield on loans held for sale	3.13	%	3.77	%	4.20	%	4.25	%	4.82	%	(0.64)	(1.69)
Yield on loans and leases	3.96	%	4.11	%	4.58	%	4.80	%	4.93	%	(0.15)	(0.97)
Yield on taxable investments	1.56	%	1.38	%	2.50	%	2.05	%	1.99	%	0.18	(0.43)
Yield on tax-exempt investments (1)	3.11	%	3.17	%	3.14	%	3.23	%	3.30	%	(0.06)	(0.19)
Yield on interest bearing cash and temporary investments	0.10	%	0.10	%	1.23	%	1.65	%	2.20	%	—	(2.10)
Total yield on earning assets (1)	3.45	%	3.59	%	4.19	%	4.36	%	4.52	%	(0.14)	(1.07)
Cost of interest bearing deposits	0.49	%	0.67	%	1.03	%	1.13	%	1.19	%	(0.18)	(0.70)
Cost of securities sold under agreements
to repurchase and fed funds purchased	0.09	%	0.21	%	0.47	%	0.56	%	0.57	%	(0.12)	(0.48)
Cost of borrowings	1.23	%	1.33	%	1.79	%	1.96	%	1.95	%	(0.10)	(0.72)
Cost of junior subordinated debentures	4.03	%	5.55	%	5.45	%	5.92	%	6.14	%	(1.52)	(2.11)
Total cost of interest bearing liabilities	0.59	%	0.78	%	1.15	%	1.27	%	1.33	%	(0.19)	(0.74)
Net interest spread (1)	2.85	%	2.81	%	3.04	%	3.09	%	3.19	%	0.04	(0.34)
Net interest margin (1)	3.08	%	3.09	%	3.41	%	3.51	%	3.63	%	(0.01)	(0.55)
Performance Ratios:
Return on average assets	1.68	%	0.73	%	(25.82)	%	1.15	%	1.18	%	0.95	0.50
Return on average tangible assets	1.68	%	0.73	%	(27.53)	%	1.22	%	1.26	%	0.95	0.42
Return on average common equity	19.48	%	8.46	%	(174.94)	%	7.70	%	7.87	%	11.02	11.61
Return on average tangible common equity	19.62	%	8.53	%	(301.30)	%	13.24	%	13.67	%	11.09	5.95
Efficiency ratio – Consolidated	54.52	%	55.40	%	756.29	%	59.00	%	57.76	%	(0.88)	(3.24)
Efficiency ratio – Bank	53.41	%	54.17	%	752.92	%	57.56	%	56.22	%	(0.76)	(2.81)

⁽¹⁾ Tax exempt interest has been adjusted to a taxable equivalent basis using a 21% tax rate.

Umpqua Reports Third Quarter 2020 Results

October 21, 2020

Page 16

Umpqua Holdings Corporation
Selected Ratios
(Unaudited)
	Nine Months Ended				% Change
	Sep 30, 2020		Sep 30, 2019		Year over Year
Average Rates:
Yield on loans held for sale	3.61	%	5.15	%	(1.54)
Yield on loans and leases	4.21	%	5.02	%	(0.81)
Yield on taxable investments	1.81	%	2.20	%	(0.39)
Yield on tax-exempt investments (1)	3.14	%	3.45	%	(0.31)
Yield on interest bearing cash and temporary investments	0.38	%	2.32	%	(1.94)
Total yield on earning assets (1)	3.73	%	4.63	%	(0.90)
Cost of interest bearing deposits	0.73	%	1.11	%	(0.38)
Cost of securities sold under agreements
to repurchase and fed funds purchased	0.25	%	0.68	%	(0.43)
Cost of borrowings	1.43	%	1.96	%	(0.53)
Cost of junior subordinated debentures	5.00	%	6.18	%	(1.18)
Total cost of interest bearing liabilities	0.84	%	1.26	%	(0.42)
Net interest spread (1)	2.89	%	3.37	%	(0.48)
Net interest margin (1)	3.19	%	3.78	%	(0.59)
Performance Ratios:
Return on average assets	(7.67)	%	1.31	%	(8.98)
Return on average tangible assets	(7.83)	%	1.40	%	(9.23)
Return on average common equity	(72.01)	%	8.67	%	(80.68)
Return on average tangible common equity	(89.45)	%	15.32	%	(104.77)
Efficiency ratio – Consolidated	249.26	%	56.31	%	192.95
Efficiency ratio – Bank	247.93	%	54.70	%	193.23

⁽¹⁾ Tax exempt interest has been adjusted to a taxable equivalent basis using a 21% tax rate.

Umpqua Reports Third Quarter 2020 Results

October 21, 2020

Page 17

Umpqua Holdings Corporation Average Balances
(Unaudited)
	Quarter Ended										% Change
(Dollars in thousands)	Sep 30, 2020		Jun 30, 2020		Mar 31, 2020		Dec 31, 2019		Sep 30, 2019		Seq. Quarter		Year over Year
Temporary investments and interest bearing cash	$	1,827,818	$	1,563,753	$	1,084,854	$	1,045,975	$	759,416	17	%	141	%
Investment securities, taxable	2,797,547		2,777,154		2,760,461		2,719,089		2,648,092		1	%	6	%
Investment securities, tax-exempt	237,165		235,934		241,105		244,895		252,765		1	%	(6)	%
Loans held for sale	669,646		577,773		406,434		415,169		328,155		16	%	104	%
Loans and leases	22,560,076		22,428,142		21,196,989		21,379,239		21,170,915		1	%	7	%
Total interest earning assets	28,092,252		27,582,756		25,689,843		25,804,367		25,159,343		2	%	12	%
Goodwill and other intangible assets, net	18,021		19,253		1,785,608		1,806,791		1,808,191		(6)	%	(99)	%
Total assets	29,533,871		29,066,775		28,844,773		28,981,387		28,356,982		2	%	4	%
Non-interest bearing demand deposits	9,335,350		8,484,684		6,880,457		7,037,320		6,880,093		10	%	36	%
Interest bearing deposits	15,451,816		15,803,595		15,695,309		15,550,483		15,289,464		(2)	%	1	%
Total deposits	24,787,166		24,288,279		22,575,766		22,587,803		22,169,557		2	%	12	%
Interest bearing liabilities	17,205,775		17,625,888		17,301,712		17,237,770		16,827,917		(2)	%	2	%
Shareholders' equity - common	2,549,703		2,514,754		4,257,711		4,317,277		4,260,810		1	%	(40)	%
Tangible common equity (1)	2,531,682		2,495,501		2,472,103		2,510,486		2,452,619		1	%	3	%

Umpqua Holdings Corporation Average Balances
(Unaudited)
	Nine Months Ended				% Change
(Dollars in thousands)	Sep 30, 2020		Sep 30, 2019		Year over Year
Temporary investments and interest bearing cash	$	1,493,352	$	567,709	163	%
Investment securities, taxable	2,778,460		2,696,001		3	%
Investment securities, tax-exempt	238,059		270,461		(12)	%
Loans held for sale	551,583		260,600		112	%
Loans and leases	22,063,582		20,724,820		6	%
Total interest earning assets	27,125,036		24,519,591		11	%
Goodwill and other intangible assets, net	605,548		1,809,583		(67)	%
Total assets	29,149,758		27,631,632		5	%
Non-interest bearing demand deposits	8,237,095		6,648,638		24	%
Interest bearing deposits	15,649,765		14,891,271		5	%
Total deposits	23,886,860		21,539,909		11	%
Interest bearing liabilities	17,377,259		16,448,027		6	%
Shareholders’ equity - common	3,105,611		4,169,008		(26)	%
Tangible common equity (1)	2,500,063		2,359,425		6	%

⁽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 Reports Third Quarter 2020 Results

October 21, 2020

Page 18

Umpqua Holdings Corporation Average Rates and Balances
(Unaudited)
	Quarter Ended
	September 30, 2020						June 30, 2020						September 30, 2019
(Dollars in thousands)	Average Balance		Interest Income or Expense		Average Yields or Rates		Average Balance		Interest Income or Expense		Average Yields or Rates		Average Balance		Interest Income or Expense		Average Yields or Rates
INTEREST-EARNING ASSETS:
Loans held for sale	$	669,646	$	5,248	3.13	%	$	577,773	$	5,443	3.77	%	$	328,155	$	3,953	4.82	%
Loans and leases (1)	22,560,076		224,209		3.96	%	22,428,142		229,731		4.11	%	21,170,915		262,158		4.93	%
Taxable securities	2,797,547		10,878		1.56	%	2,777,154		9,583		1.38	%	2,648,092		13,145		1.99	%
Non-taxable securities (2)	237,165		1,845		3.11	%	235,934		1,868		3.17	%	252,765		2,086		3.30	%
Temporary investments and interest-bearing cash	1,827,818		474		0.10	%	1,563,753		403		0.10	%	759,416		4,204		2.20	%
Total interest-earning assets	28,092,252		$	242,654	3.45	%	27,582,756		$	247,028	3.59	%	25,159,343		$	285,546	4.52	%
Other assets	1,441,619						1,484,019						3,197,639
Total assets	$	29,533,871					$	29,066,775					$	28,356,982
INTEREST-BEARING LIABILITIES:
Interest-bearing demand deposits	$	2,878,529	$	573	0.08	%	$	2,649,331	$	1,148	0.17	%	$	2,363,626	$	3,117	0.52	%
Money market deposits	7,179,705		2,284		0.13	%	7,275,041		4,037		0.22	%	6,962,370		16,575		0.94	%
Savings deposits	1,790,055		179		0.04	%	1,628,276		198		0.05	%	1,462,198		557		0.15	%
Time deposits	3,603,527		16,085		1.78	%	4,250,947		20,839		1.97	%	4,501,270		25,627		2.26	%
Total interest-bearing deposits	15,451,816		19,121		0.49	%	15,803,595		26,222		0.67	%	15,289,464		45,876		1.19	%
Repurchase agreements and federal funds purchased	378,844		84		0.09	%	375,098		194		0.21	%	313,089		448		0.57	%
Borrowings	1,054,153		3,271		1.23	%	1,163,065		3,839		1.33	%	860,285		4,238		1.95	%
Junior subordinated debentures	320,962		3,249		4.03	%	284,130		3,922		5.55	%	365,079		5,652		6.14	%
Total interest-bearing liabilities	17,205,775		$	25,725	0.59	%	17,625,888		$	34,177	0.78	%	16,827,917		$	56,214	1.33	%
Non-interest-bearing deposits	9,335,350						8,484,684						6,880,093
Other liabilities	443,043						441,449						388,162
Total liabilities	26,984,168						26,552,021						24,096,172
Common equity	2,549,703						2,514,754						4,260,810
Total liabilities and shareholders' equity	$	29,533,871					$	29,066,775					$	28,356,982
NET INTEREST INCOME			$	216,929					$	212,851					$	229,332
NET INTEREST SPREAD					2.85	%					2.81	%					3.19	%
NET INTEREST INCOME TO EARNING ASSETS OR NET INTEREST MARGIN (1), (2)					3.08	%					3.09	%					3.63	%

(1)Non-accrual loans and leases are included in the average balance.   

(2)Tax-exempt income has been adjusted to a tax equivalent basis at a 21% tax rate. The amount of such adjustment was an addition to recorded income of approximately $355,000 for the three months ended September 30, 2020, as compared to $348,000 for June 30, 2020 and $359,000 for September 30, 2019. 

Umpqua Reports Third Quarter 2020 Results

October 21, 2020

Page 19

Umpqua Holdings Corporation Average Rates and Balances
(Unaudited)
(dollars in thousands)	Nine Months Ended
	September 30, 2020						September 30, 2019
	Average Balance		Interest Income or Expense		Average Yields or Rates		Average Balance		Interest Income or Expense		Average Yields or Rates
INTEREST-EARNING ASSETS:
Loans held for sale	$	551,583	$	14,955	3.61	%	$	260,600	$	10,069	5.15	%
Loans and leases (1)	22,063,582		695,669		4.21	%	20,724,820		778,899		5.02	%
Taxable securities	2,778,460		37,744		1.81	%	2,696,001		44,479		2.20	%
Non-taxable securities (2)	238,059		5,608		3.14	%	270,461		6,991		3.45	%
Temporary investments and interest-bearing cash	1,493,352		4,208		0.38	%	567,709		9,837		2.32	%
Total interest-earning assets	27,125,036		$	758,184	3.73	%	24,519,591		$	850,275	4.63	%
Other assets	2,024,722						3,112,041
Total assets	$	29,149,758					$	27,631,632
INTEREST-BEARING LIABILITIES:
Interest-bearing demand deposits	$	2,667,160	$	5,264	0.26	%	$	2,338,787	$	8,555	0.49	%
Money market deposits	7,187,615		18,080		0.34	%	6,702,551		42,943		0.86	%
Savings deposits	1,635,064		618		0.05	%	1,468,449		1,237		0.11	%
Time deposits	4,159,926		61,671		1.98	%	4,381,484		70,826		2.16	%
Total interest-bearing deposits	15,649,765		85,633		0.73	%	14,891,271		123,561		1.11	%
Repurchase agreements and federal funds purchased	363,957		673		0.25	%	325,281		1,661		0.68	%
Borrowings	1,041,181		11,156		1.43	%	852,659		12,484		1.96	%
Junior subordinated debentures	322,356		12,074		5.00	%	378,816		17,520		6.18	%
Total interest-bearing liabilities	17,377,259		$	109,536	0.84	%	16,448,027		$	155,226	1.26	%
Non-interest-bearing deposits	8,237,095						6,648,638
Other liabilities	429,793						365,959
Total liabilities	26,044,147						23,462,624
Common equity	3,105,611						4,169,008
Total liabilities and shareholders' equity	$	29,149,758					$	27,631,632
NET INTEREST INCOME			$	648,648					$	695,049
NET INTEREST SPREAD					2.89	%					3.37	%
NET INTEREST INCOME TO EARNING ASSETS OR NET INTEREST MARGIN (1), (2)					3.19	%					3.78	%

(1)Non-accrual loans and leases are included in the average balance.   

(2)Tax-exempt income has been adjusted to a tax equivalent basis at a 21% tax rate. The amount of such adjustment was an addition to recorded income of approximately $1.0 million for the nine months ended September 30, 2020, as compared to $1.2 million for the same period in 2019. 

Umpqua Reports Third Quarter 2020 Results

October 21, 2020

Page 20

Umpqua Holdings Corporation Residential Mortgage Banking Activity
(Unaudited)
	Quarter Ended															% Change
(Dollars in thousands)	Sep 30, 2020			Jun 30, 2020			Mar 31, 2020			Dec 31, 2019			Sep 30, 2019			Seq. Quarter		Year over Year
Residential mortgage banking revenue:
Origination and sale	$	98,703		$	86,781		$	39,347		$	35,438		$	31,432		14	%	214	%
Servicing	8,796			8,533			8,880			8,981			11,358			3	%	(23)	%
Change in fair value of MSR asset:
Changes due to collection/realization of expected cash flows over time	(4,878)			(5,042)			(5,329)			(5,237)			(6,835)			(3)	%	(29)	%
Changes due to valuation inputs or assumptions	(12,244)			(6,395)			(25,358)			(5,132)			11,045			91	%	(211)	%
Total	$	90,377		$	83,877		$	17,540		$	34,050		$	47,000		8	%	92	%
Closed loan volume:
Portfolio	$	245,550		$	276,247		$	252,329		$	335,511		$	611,022		(11)	%	(60)	%
For-sale	1,922,789			1,826,095			1,148,184			1,060,016			844,442			5	%	128	%
Total	$	2,168,339		$	2,102,342		$	1,400,513		$	1,395,527		$	1,455,464		3	%	49	%
Gain on sale margin:
Based on for-sale volume	5.13		%	4.75		%	3.43		%	3.34		%	3.72		%	0.38		1.41
Residential mortgage servicing rights:
Balance, beginning of period	$	96,356		$	94,346		$	115,010		$	151,383		$	139,780		2	%	(31)	%
Additions for new MSR capitalized	14,014			13,447			10,023			8,397			7,393			4	%	90	%
Sale of MSR assets	—			—			—			(34,401)			—			0	%	0	%
Changes in fair value of MSR asset:
Changes due to collection/realization of expected cash flows over time	(4,878)			(5,042)			(5,329)			(5,237)			(6,835)			(3)	%	(29)	%
Changes due to valuation inputs or assumptions	(12,244)			(6,395)			(25,358)			(5,132)			11,045			91	%	(211)	%
Balance, end of period	$	93,248		$	96,356		$	94,346		$	115,010		$	151,383		(3)	%	(38)	%
Residential mortgage loans serviced for others	$	12,964,361		$	12,746,125		$	12,533,045		$	12,276,943		$	15,707,519		2	%	(17)	%
MSR as % of serviced portfolio	0.72		%	0.76		%	0.75		%	0.94		%	0.96		%	(0.04)		(0.24)

Umpqua Reports Third Quarter 2020 Results

October 21, 2020

Page 21

Umpqua Holdings Corporation Residential Mortgage Banking Activity
(Unaudited)
	Nine Months Ended						% Change
(Dollars in thousands)	Sep 30, 2020			Sep 30, 2019			Year over Year
Residential mortgage banking revenue:
Origination and sale	$	224,831		$	68,956		226	%
Servicing	26,209			33,218			(21)	%
Change in fair value of MSR asset:
Changes due to collection/realization of expected cash flows over time	(15,249)			(20,171)			(24)	%
Changes due to valuation inputs or assumptions	(43,997)			(14,243)			209	%
Total	$	191,794		$	67,760		183	%
Closed loan volume:
Portfolio	$	774,126		$	1,411,512		(45)	%
For-sale	4,897,068			2,029,682			141	%
Total	$	5,671,194		$	3,441,194		65	%
Gain on sale margin:
Based on for-sale volume	4.59		%	3.40		%	1.19
Residential mortgage servicing rights:
Balance, beginning of period	$	115,010		$	169,025		(32)	%
Additions for new MSR capitalized	37,484			16,772			123	%
Changes in fair value of MSR asset:
Changes due to collection/realization of expected cash flows over time	(15,249)			(20,171)			(24)	%
Changes due to valuation inputs or assumptions	(43,997)			(14,243)			209	%
Balance, end of period	$	93,248		$	151,383		(38)	%

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