BANNER CORPORATION AND SUBSIDIARIES - CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (USD $) In Thousands	9 Months Ended
	Sep. 30, 2011		Sep. 30, 2010
OPERATING ACTIVITIES:
Net income (loss)	$ 387		$ (49,205)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation	6,509		6,963
Deferred income and expense, net of amortization	1,207		105
Amortization of core deposit and other intangibles	1,722		1,860
Other-than-temporary impairment losses	(3,000)		4,231
Net change in valuation of financial instruments carried at fair value	(1,163)		(2,453)
Purchases of securities-trading			(3,266)
Principal repayments and maturities of securities-trading	11,305		50,048
Deferred taxes			14,193
Equity-based compensation	91		47
Increase in cash surrender value of bank-owned life insurance	(1,405)		(1,545)
Gain on sale of loans, excluding capitalized servicing rights	(1,992)		(2,994)
Loss (gain) on disposal of real estate held for sale and property and equipment, net	1,254		1,382
Provision for losses on loans and real estate held for sale	42,407		59,923
Origination of loans held for sale	(186,341)		(235,084)
Proceeds from sales of loans held for sale	187,830		236,036
Net Increase/(Decrease) in Other assets	16,307		10,922
Net (Increase)/Decrease in Other liabilities	(677)		529
Net cash provided from operating activities	74,441		91,692
INVESTING ACTIVITIES:
Purchases of securities available for sale	(420,910)		(161,516)
Principal repayments and maturities of securities available for sale	224,716		102,704
Proceeds from sales of securities available for sale	13,179		1,965
Purchases of securities held to maturity	(11,303)		(1,158)
Principal repayments and maturities of securities held to maturity	7,066		6,020
Principal repayments (originations) of loans, net	92,156		174,900
Purchases of loans and participating interest in loans	(620)		(286)
Purchases of property and equipment, net	(2,486)		(1,741)
Proceeds from sale of repossessed assets and REO held for sale, net	66,653		30,306
Other investing activities	(169)		(108)
Net cash provided from (used by) investing activities	(31,718)		151,086
FINANCING ACTIVITIES:
Decrease in deposits, net	(53,764)		(105,064)
Repayment of FHLB advances	(32,804)		(142,504)
Increase (decrease) in other borrowings, net	(36,109)		1,285
Cash dividends paid	(7,107)		(6,212)
Cash proceeds from issuance of stock for stockholder reinvestment program	13,736	[1]	13,198
Cash proceeds from issuance of stock in secondary offering, net of offering costs			161,637
Net cash used by financing activities	(116,048)		(77,660)
NET INCREASE (DECREASE) IN CASH AND DUE FROM BANKS	(73,325)		165,118
CASH AND DUE FROM BANKS, BEGINNING OF PERIOD	361,652		323,005
CASH AND DUE FROM BANKS, END OF PERIOD	288,327		488,123
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
Interest paid in cash	28,231		52,132
Taxes received in cash	(13,048)		(561)
NON-CASH INVESTING AND FINANCING TRANSACTIONS:
Loans, net of discounts, specific loss allowances and unearned income, transferred to real estate owned and other repossessed assets	$ 45,880		$ 71,102

[1] Net of reverse stock split fractional share repurchases.