Umpqua (UMPQ) 20 Jan 222021 Q4 Earnings call transcript

Good morning and welcome to the Umpqua Holdings Corporation Fourth Quarter 2021 Earnings Call. At this time, all participants are in a listen-only mode. After the speaker presentation, there will be a question-and-answer session. [Operator Instructions] Please be advised that today's conference is being recorded. [Operator Instructions] At this time, I would like to introduce Ms. Director to Relations call. the Investor Bohlen, for begin Umpqua conference Jacque Ms. please ahead. Bohlen go

Rands. good Corporation; quarter Thank you morning CEO are Good you, and President the us With this afternoon and on Cort call. O'Haver, our of for Umpqua afternoon we today our XXXX Nixon, earnings fourth your our Holdings Chief Namdar, XXXX Umpqua of me morning Tory and joining Thank Officer; Frank take release earnings Bank; President an results. will Officer. issued Ron prepared After discussing Financial questions. quarter we Farnsworth, Yesterday our Chief fourth remarks, everyone. Credit our

our We section. which this website we in have the our presentation materials remarks slide morning. during prepared also will Both refer on can at Investor a umpquabank.com Relations to these found be

today's provision will we risks the uncertainties and are forward-looking covered federal intended which of Safe securities and statements by call, During be to are Harbor subject to make law.

factors actual presentation SEC as two will the that our the I call and conference For slide to turn a contained over within earnings Cort. disclosures may call three to now differ list results materially well expectations, refer cause filings. of of please from our to as

questions. Thank your and Hi. of then will Frank I'll Ron brief to financials, take our a then recap Jacque. you, provide performance discuss to and pass discuss we'll credit,

the in initiatives, successful enabling X.X% result $XXX in provide of our market in tailwind. brand our organic customers. which significantly during additional favorable the portfolio year, for take X.X% With not net portfolio, offset loan Notably, in year banking of are EPS of reported of and growth increased will the the quarter, continued in Expansion portfolio have total balanced from of our remaining only which fourth normalized fourth last and sustainable loan the net include more we enabling ongoing $XX the balances, of to -- fourth rate fourth again, reported share due period income expansion the multi-year we previously available lower last The This XXXX balances expenses year grew quarter reflects a earnings this quarter net mortgage interest quarter. share quarter's for the would of categories decline to markets, and merger-related seasonal of year, a the quarter, momentum quarter generation recapture. across during annualized fees the contributed growth decline, high point $X.XX as movement reported with XX% per million of to-date linked we in XXXX's in growth, quarterly the X.X% quarter's loan million organic in loan to the primarily drive quarter $XX sizable annualized quarter compared income represents $X.XX any and was us the the expenses. $XXX prior PPP the talent the for provision them declines from mentioned the and or as fourth and growth trends, pipelines continued For given we majority level seen anticipated million and at last utilization, through representing though of the -- $X.XX shareholders a growth in or million. spoke quarter Once XX%. PPP XXXX quarter's growth when the merger-related when current removed. organic and heightened spoke as historical than the Non-PPP PPP-related an which volume well and focal it expect rate are prior value quarter from production margins levels, as was today balances we acquisition in to October, to line

-- announced in capital, on we shareholders we not share given Banking System, previously October any we XXth. dividend we discussed, with consistent And which given Columbia pending payments. November, shares did our as repurchase $X.XX a with of paid any historical per our Regarding combination

has combination, replaced usual our entity. few related provide updates I'm slide information with items. on to update the standalone NextGen continue strides our to we going a quick and a been While notable as to make pending a

store of quarter, early in We four NextGen in one-third stores and to consolidate within consolidated original we moving planned, to us consolidation years. over XX, under As our footprint total our XX NextGen NextGen of XX XX past under the bringing the stores the X X.X, rationalization X.X represents fourth XX our rationalizations goal. which

segment. grown number billion we in launched non-CD that balances up plans Since grown core the number our During has X.X%. billion, the as our banking demand late period, by or $X.X or of NextGen deposit has are our and by XXXX, up balances in non-CD of original improvement driving $X.X X.X% XX% efficiency are accounts accounts XX%,

our digital long-term Notable a pace quarter continued XX% up for to with as the initiatives channels transactions, increase pace. include human digital accelerated of critical Zelle customers in were and through an which to for our here X% at remain strategy the Our us steady year. achievements engage up

the for growth tremendous of in the our all remarks. a these months' One before Umpqua production intentional passing quarters been ahead and we I've of The combination pending successful few to activities growth crossed our number more Ron. is Columbia. continued integration initiatives strong it irrigation is it go-to planning related quarter but our noteworthy the provides in Additionally, past a own about opportunities pass talking for we with from users the the with accomplishment for final right, the milestone as fourth demonstrates XXX,XXX in -- to a performance as quarter. separation new mark comment its our support and

bankers deliver prospects IMO lead long-term. disclosed, management highly both remain growth have includes Colombia. Ron, generating to IMO Umpqua's continued over and integration drive us shareholder integration XXXX on value and from with the As the I take we within enables team that, banking was And to momentum office previously the will and and focused executive leadership and the undisturbed have our that established markets leadership senior that away. the serving business to Umpqua enthusiastic our it our in from teams enables growth customers The

those summary XX you certain on call, Cort I'll from and to thank our contains presentation to our the quarterly Well, want numbers who for page Page slide referring the follow earnings along. presentation. P&L. be of

$X.XX. GAAP share were for earnings Our per QX

per MSR Excluding disposal costs, CVA, value quarter. this and with along were expense fair the adjustments other adjusted earnings merger and input, share $X.XX ex our

growth, by expense prior income the rates more longer required fair the decline new merger reflecting in recapture PPP the included fees, provision less the million QX, lifting banking offset cost the decline less value recapture. as For growth forecasts down to-date the expense $X funds. the by loss to million income for revenue, compared the moving X%, reduction from loan with reflected parts than decreased ex seasonal expected provision $XX interest for and organic combination. period offsetting recognized loan a than We mostly loan million, a non-interest term prior for economic of the net Columbia our in MSR, MSR offset continued $X Non-interest with in had mortgage of in increase interest than improving and

growth into $X.X As this billion decreased quarter. loans, the for slide XX, record remix non-PPP the on quarter the interest asset driven with this balance sheet bearing to by cash

loans growth. million the on PPP bond longer $X.X $XXX future $XXX of in increased. added remaining million as also us future with for forgiveness expected cash ongoing payoff quarter term loan portfolio We the The significant the to optionality will later billion funding yields along in and give

available $XX.X balance and Our assets liquidity billion, XX% sheet sources total including XX% ended the of year off representing total total deposits. of at

The basis in and XX total we on to NIM decreased discount presentation, impact on NIM, offsetting flat, rate and excluding a which the the PPP six right was impact reprice page margin to loans the present X.XX% QX of of the lower impact and is points great the the the continued see the Moving loan growth environment. continued to of change waterfall to of non-PPP our low of deposits in accretion page.

Our the Fed is the XX interest-bearing The points include in investors for information two in which basis funds of in rate increases cost market QX. may slides as helpful XXXX. deposits pricing potential was next find

and slide the expanded provided have First, we our detail of repricing characteristics loan XX, maturity on on portfolio.

are The first loans, above rates [ph] are on noting floating XX% left down drivers year-end the table The rate the loan upper shows the the portfolio total And breaks time. over or have floor adjustable their pricing XX% table in as shows floating of category. at by upper XX% for adjustable right is the on meaning and of X% rate, fixed, the remaining or combined lower and PPP XX% noting floor rate no is table of in XX% the left floor, is in loans, buckets schedule it. maturity balances,

investors loans assessing rate beneficial in will find Hopefully, required for rate potential along floor. the useful move hikes. and adjustable of floating interest loans change For the their balances the above the weighted net and band, information $X.X at analysts down right their on rate in breaks rate average lower table with by these this to the change impact billion floor, income future

on XX. Next, page

balance deposit test a our remix and net XX% deposits. and change. in here. sheet. we'll on Ideally, with is we've to The net absent simulation will asset assumes simulation over two down continue our sensitivity range bonds the not shock any see included flowing ramp loans, a interest cash from interest future for But On an scenarios and in this the quarterly which income benefit run skipping this projected static is rate included used betas and both XX% This changes interest-bearing back rate left, income to years. we

shows results, basis model beta table or rate effect. running XXXX to X.X% through XXXX on the shock sensitivity rising For plus on QX cycle the our points starting is change plus deposit minus the the and our XXX lag the on XX% right last QX in results. from catch every beta The

Our was on beta interest-bearing then deposits. XX%

and the fee consolidations with interest commercial the forecasts segment segment our rows non-PPP detail initiatives of from driven economic $X the decline. non-interest income of of And disposal primarily quarter, $XX.X related non-interest with change record million this on growth and loans this gains offsetting earlier. merger the expense, increased higher return execute lease CECL loss as noting a to the merger you'll million long-term last related million $X.X the talk the see this XX recognized merger the decline few fair The in in in related value to exit the the discussed here under will ex quarters. increased but given our Non-interest and production we work we direct core core XX% and cost the most the provision advance. ratio see flat QX, XX% quarter on on interest PPP be quarter core of value growth our as and incentives loan you'll exit two and in to page over QX disposal an about expense fair at expense increases the down recent fair presentation. segment banking value increased asset primarily on carried four banking along at revenue store The this loan to impairment here costs. reflective lease plan. strong efficiency of rates the from for and recapture higher a in section, of of improving on XX% had compared to exits as starting costs right-of-use syndication combination, a swap I'll expense Net to-date to the continued was now as income fee funds, sequentially by minutes, Okay, disclosures,

as revenue the QX. XX was to this had $XX.X of as margin To five-quarter seasonally expected page down the The origination left on XX% QX and items banking we the resulted X.XX%, the down pipeline. market $XXX the million million total from we mortgage decline sell towards quarter, of held-for-sale noted sale the gain now again a Turning start, segment in presentation, show trends. volume expected from mortgage of in slowing top page. log given in These two

Frank. revenue and to the the of passage for time is increase in servicing to a change slightly in page, the inputs million fair over the Our the for second due the final as of items quarter. stable change of was quarterly million servicing production quarter. by volume, balance held-for-sale was few non-PPP of record in to in The represents expense direct points gain offset costs, the piece $XX.X payoffs. roll new this billion On from along loan was loan allocated for and side the record noted with $X.X included of volume. increased The of the MSR originations last basis slightly component turn we've long-term slide interest costs, forward. in a right valuation billion $X.X $XX.X value, quarters this in origination new administrative the due representing Again, million on driven quarterly with a up X.XX% XX, Couple costs. lower growth $XX.X the totaled Non-interest rates by while half expense

attention Next, let me CECL for and allowance to take credit XX loss. your slide our on

hedge economic to three-year a the through forecast million pandemic. As than We Overall, process strong use for the within included providing $XX XXXX PPP several the a loans, portfolios last majority suggested loan C&I, all reminder, $X forecasts or consensus variant. was net to loan reasonable ACL the any economic Noting including to the we these through much the the less slowdown in XX-month The models million a and near-term of in small mean, overlay, QX for latest incorporates low of recapture which portfolios $X loss. ticket quarter for ratio from period. period quarter forecasts and uses recognized remain works negative than gradually year output our is November. the or a reverting period at with revert beyond as the government the thereafter. X.XX%, with excluding this this for various showed charges and mean at potential updated guaranteed forecasts charge-offs against and CRE loan the the overlay X.XX%. XX to growth, exception key basis most million incorporated loans. and areas We forecast of provisions CECL to life for the Hence, lease as recovery portfolio. related quarter of points Net two prior economic turns economy improvement supportable reasonable for end economic of supportable this lower this the a Net

overestimated given economic As modeled. have passage these charge-offs at if will to today, lag six forecasts net models see quarters. the of simply are the follow the But simply driving least time reserve, actual the charge-offs it a take as of net

at credit. the future about ACL day periods ratio capital Our to that million will that, common will in ACL want this discuss risk remain we excess our continue tell. the forecast CECL ACL, And ratio page risk-based $XX right X% well-capitalized which bank Namdar currently. if are was And or all call The capital of equal, over and at economic total of with charged lower XX.X% excess growth total highlight I models to is non-PPP level XX. either one and/or is XX.X%. proven X Knowing ratios was for Tier if is used regulatory be on on to Time level in I XX.X%. now loans correct based the future turn the on to recaptured ratio are eventually will lastly, levels, All off our be loan Frank for providing capital improve. our the for else

I Ron. you, follow be will those XX from our page to to quality also credit numbers certain our earnings who referring statistics. reflects want presentation along. Thank Slide for

classified our loans loans X.XX%. declined assets assets X.XX% XX ratio basis by points non-performing to total held at and ratio steady Our total

reflective FinPac charge-off XX portfolio. came net in in portfolio's below quarter, at annualized FinPac charge-off and net favorable consecutive of improving impact of economies, leases in of to implemented X.X% notably tightening Our loans the average strategic for customer levels percentage last year. reflecting activity higher the ratio was X.XX%, the X% points the basis average below and to second credit quarter The liquidity, range historical its

with annualized you, continued two growth. high metrics, book, charge-offs basis pleased quality to our credit confident we were Obviously, Cort. FinPac quality net just forward to in points. Excluding very we and quality the look we're Back our remain of loan

and questions. Rands, comments. we Frank your will for thanks, now Okay, take Ron,

[Operator Thank have might with We time, the go ahead. first this us Jeff you Please we have line of Instructions] question today. D.A. take our like to you, for Davidson. questions At Rulis would sir. any from

down bank for and for makes combining morning. of to production But bit, get you Good to we're XXXX here just you that another approach given just related that Cort, news outlook. And officer little of quarter, had take growth of merger? pipeline narrow sense XXXX kind you. a a changes Do recruitment the a expectations and you as Thanks. on do a Thank with the strong want mentioned kind do how you pending the sense then view loan hiring? the you the hey, then question, process that the any? down you would that if how as hires

Jeff. Hey

answer the Let Tory C&I Estate to been in Tory our Columbia. last created have asked get been been talked billion. lenders. here the of -- give you Real as we since with we now then out people detail, see today before, compete kind I great combination that have I just Tory choice historical prior over over I me a after $XX shop Group, attracting of I'll the global of maybe And kind to you've been looking and banks bank by we've banks, when bigger with all gotten let -- me about, certainly We've a we've of, a of for to don't be me has think changing a as -- we've bankers answer.

talent flee to attract. that historical detail, I from changing our a about QX, my able the from I historical probably and in perspective think and gracious, off of I had a more fact, a are $XX would to through see over talked give Clint last going a merger. [ph] it to we're to to about, just I'll in We seem be been here, talk just more that as we've here employer from we're of choice, an to we going Pacific opportunity goodness, not great let but heard I And and in you think people Tory see In to opposed great being on to as that it go where behemoth a -- -- grow. XX don't the hats tier. place has people the a organization a that it's the down to talent, be the combined detail, years, that greater try fabulous me to existed lenders for continuing job. to us Northwest pipeline And let attract XX, But did answer flee and Tory opposed billion because little

Tory? So

Thanks Sure. this is Jeff, Tory. Cort.

start banker I'll So, with question. the

and to -- we bankers, have I seen strong for think we company very talent value that will have I proposition into -- think the not several over believe I years, Cort's we a we last and point, -- believe we come this will Arizona aggressively Oregon, good lot to bankers We're We're California, continue we are of hiring in team. throughout our a bankers. searching our footprint, continuing folks to and success. have to that. do -- Phoenix for quality for Washington, And hiring

will that. we So, do will continue to we

On of QX, be thought continuing some pipeline QX strong we a because the would it's won't in is healthy And was, outstanding that's pulled getting originally where and grow. lines certainly We and still QX reasons. obvious expectation business. from just kind but quarter production what will ago, bit had to little up business a pipeline, had we just down as QX all were the still but a into that my mentioned, of is and for be we an ended QX that

great to least, to there a for feel see lot at and loan talking strong that the single-digits, in to to the customers, a building bank. XXXX year us, bankers to be I prospects, So, and will high very growth mid confident we've out got of progress excited pipeline. talking continue

guys Jeff, ask knew this. one were last you to comment. I going

growth. as got December I know saying I earnings. and evidenced by I I this the productions growth accountable mean, I Clint and sheet attracting quarter to hold And were you to want think what in talent, December, So as growth in question look in out how see retaining and -- and at we're accountable talking, we've That's hold fourth our asked exactly we when way it. late the if us quite for think the the bit and for a us balance why. and been

I people the lose in the people and we we will look retain grow should we But retention should form our to it's want people balance of ultimately, our for retain our the lose efforts, talent quality continue how with where to you efforts And think customers. we and true retain. growth We come sheet. to that that's

Got bit. Switching you. little it. Thank gears a

you it the off, that. updates side, sounds expense little slide back to the maybe going are the but NextGen not to backburner like of maybe On a kind bit, disclosure of that

a -- a I just think stakes you in expense exit range cost million to milepost detail if run get if in costs, to checking of $XXX I the low we're it XXX And had even take on perhaps, So, for left rate this XX merger that. on tailwind wanted what's initiative? could of the ex

Hey are this I'd are Ron. say $XXX of our expense, looking prior hasn't million change to targets. no for million internal at that those guidance changed $XXX still and to Jeff is XXXX,

lease wildcard time-to-time amounts with held-for-sale are consolidated guidance in consolidations which say incorporates QX cetera, the impairments, from back volumes, rates. overall a to the going around Now mortgage overall lease which with expense. the is incorporated here decline that office more tail, around that the for from post recently But also smaller right-of-use stores depending in of be the year can aggregate be a that, in impact benefits really that I'd et happens in what

Okay.

housekeeping. one, specifically? quarter quick the down were in those one $X.X I The fees, And think Ron, Okay. mentioned Fair what enough. million, you PPP then just fourth

couple $XX hundred there's to $X.X was round left that going going is to QX in only a left XX% forward. Yes, of related a million, thousand one. million over little be two, around it round

back. step I'll Thank Okay, you.

Thanks Yes. Jeff.

Thank you.

Matthew of ahead. the with Sadler. line go from Please is Clark question next Our Piper

Hi, good morning.

Hey Matt.

sense coming a the the quantify quarter us just out on comparison for of reasons? pipeline a specifically give -- you to comparison loan Can

Sure.

and of last I $X.X last So, it's feel so mark that range. QX, so pipeline Matt $X.X billion, end that's the a booked about Again, in billion and in very that -- of -- Tory. had pipeline the -- we we in that build and a to at feel business QX, somewhere this had $X.X us today, And loan strong total its I The and billion successful terms quarter was for momentum growth. about a QX lot have the good of about between in very phenomenal to quarter. the growth. prospects XXXX and loan

give sounds your it taking a measure Okay. there's with producers producers up lot the or given What quantify for to place, you are west, of that's And a like you opportunities to disruption however what or percentage then sense of want it? but can hire all deal? locked out percentage us the

Its mean-- [indiscernible] locked up, Matt. I

With the acquisition.

leave, yes. of them to so hurt it can't terms producers, -- retaining would they In

yada, our retention we And prospects very feel our ability like tell just pay we percent if attract. very, good Percentage-wise, or to stock, the to mentioned all a know, yada. continue of the current with way incentives, I out look and staff, opportunities, types key you, head, got it's at I'll the before, whether I top I with cash don't or obviously off my we about of yada, retention employees,

four we talent last our lot shown been calls on we've I a competitors, attract the know been in because have more here, some the think years to or value larger a in since years, Matt, able Tory's tumultuous proposition. five we've ago, mentioned you've hiring I of on the there been of banks, Tory have minutes like of few a been some great

naive there's to $XX Clearly, with potentially merger. I'm aren't not again, generalist of banks. But I'm disruption, question. lot at are there commercial we So, once a -- not being your billion, a

felt hold the that, about Pacific there's use have will we to tools me again, once we pocket yes, good between do. able then that back in very we we do our hold the Northwest will and accountable accountable. none ability fact, me and to retention In what in for do our very, And retain growth, be

outlook, was yield expectation And thank kind the rate quarter? average of quarter any fairly And stable, on think on Great, then new it Ron, on outlook? you. which this I your the thoughts into core update the maybe are was. the asset What NIM the on weighted coming loans

Yes, good question.

terms looking sell cash a into asset growth term I'd prepayment So, QX, going are that of continued on function be it's assumptions really and waterfall rates, just I'd slowing to the bond loans, them yields say remixing say and speed, the skipping and with longer in of off loan bonds. overall side, into down.

in be amortization. could terms So, there some lower lift of

loans, Looking looking forward, that QX aside well. just on as that was to And our slightly, so up from December into rates. side, bodes occur five ex-PPP as well the compared in those yield things higher to with of yield extend you'd on four, expect that QX, loan bps the month

Thank you. Okay.

You bet.

line have The King you. we Securities. of with Thank one, next Truist the Brandon

is line open. Your

I gone pressures savings could any even wondering kind if the inflationary remain execution And Hey, the was confident number? that of you But in achieving affect costs those it savings? touch call that or that into of has amount. first I that on seems what of merger wanted $XXX to potential that million, achieving of above

Good Brandon morning good and question.

back So, overall, this half But it's I -- than the internally the -- of a year the not target. $XXX we're remains inflation with been number we pandemic. and higher million for the last on our a inflation, this new year, this, it's on quarter, targeting we've end say dealing We that. month,

So, to we that target think towards balance do of we're over see one benefits math, future internal continued et the when I the into in if model, offset working the of ahead cetera, help the we're inflation, about having I and that look estimates year. and and outsized the accretion would of higher be

see declined to I touch anticipate the deposit that related to you deposits And outflows. to the amount part of of And know also Umpqua I growth. if deposits wanted on you And Okay. investment? wanted were then could first the then quantify I to can question, inflow please trend outflow you be and of going do overall, rates the where deposits? to XQ, the off XQ. from of in Fed, then, a deposits get here hiking of seasonal sense the And there'll based could seasonal impact a that what particularly of in

Kind loaded Brandon. parts but take it in of a me question, let

that be timing a under just been ACH point end in of XX/XX. of there quarter that was fell just month there January first was years The component would be in have about then the terms million, there quarter, also or timing, probably little into terms million that $XXX any UI out balances. in might of end I'll and prior $XXX given might it

So, rising function on calendar move you're that's over presence deposit obviously, that not XXXX. drop point-to-point have we four or expectations past balance in do is benefit balances very more the build be I of our to occurs a raises deposit wildcard just as the number. Fed Umpqua banks, just loan confident what still commercial to into will DDA XXXX, all in about for -- exceed to is and just when rates, back the the aim at When growth are do into internally the look looking mixes growth overall going out? last potential a interest-bearing deposits what say done larger larger years. five rate on core team based or our has compared book cycles I'd we front the flow of growth,

offset and in traditionally, nuances. growth over we've of seasonal fluctuations a little tax QX. other public of well, maybe year QX in fund tax But in QX, curve inflows timing as time been long the a less in there's horizon, more bell QX, QX, time there QX -- just by in mostly So, stronger or QX those during with terms

Okay. Thank you.

just thing on me this the let the is kind banker one front. Brandon, Tory, add of Hey,

us. those incentives all are of mean important scorecard think distributed you balanced lot in are important loans, it's fee we have we I those lending mean different things If it's very income group, or bankers but deposit lot a about, a things growth. and the and their are about they're between banking how very equally real of growth whether a of it's them lines compensated. talk And estate -- their to community business, all and retail, are market, and all are and goals that it's middle whether

and we so on lending just growth all monitor in and successful three in obviously, not continue So, push to side. the are areas,

for up loans? will what of following expect you I the with when get and guess, grow, be a instance, is loans, Okay. what that, coming ratio ratio internally sense. those deposits to C&I the on C&I you Just

is This Tory.

I depends the flush on industry cash. think just in, type for, borrowing that what with customer, they're and answer the how they it impossible of they're that's kind because are to of

about has businesses, if look loan ratio and I balances. you a the business banking So, community think outstandings X:X at deposit of different our

on middle market the business has the a side. on more Our side lending little does than it deposit

than is Our to for lending deposits. business going real be more sure it estate is

the predominantly But can't be kind cuff we just this my retail bank so is for point, of some really off but company, Our comments. -- maybe, a probably that'd really could detail depends. in base so that. and deposit any more go dig I the information answer At than out

Okay. Thanks answers. for the all

you. Thank

Instructions] line [Operator next Thank with Our from Please question is Mr. of Fargo. Wells ahead. go Shaw Jared the you.

assume think see you line be doesn't rate. much that normalization utilization Maybe, a the you'd outlook of of How there? the that happens normalization utilization growth morning, utilization could good mentioned type impact What to an any Hey, if do -- of everyone. balances? I of

this is hi, Jared, Tory again.

look back of today, if that end got years, businesses in for couple a at -- of historical rate, million we we the about the kind outstanding about a XXXX, million, -- $XXX to QX $XXX kind more if XX%. it's company. going I an of, -- level, outstandings, back about to XX% in level, That's about XX%. So, the QX C&I utilization our And at in if its the

margin? then expectation great. sale of into the what banking on And side, potentially Thanks. end obviously, sort of gain that's the we what's go the the at through year? -- Where mortgage the gain as margin, on And was quarter on the that sort of on sale Okay, declined rates first higher and quarter. the

loan I is real was also log right X%. At still that this drop in in the point around firing off pipeline. the Jared, level, QX out Hey, Ron, a it's impact the

QX of had effect QX, that be fair QX, to edge the So, we've size pipeline that the log at on a again, would the trajectory value in year in be, X.XX% fact of my depending the of market QX, given the fluctuate roughly that but during could lower out higher would the year, that assumption X% and dynamics just change.

that's just And integration? goalposts as indicate integration Okay. for or some events for a All are looking office, your me, whether and analysts we at the finally integration metrics investors, then Thanks. good. That's we look timelines right. as and be sort of to we as what have and timeline should successful you

be got we anticipate opening guide of still great approval, feel still and we'd -- First hey, given. quarter. with obviously, are given I late Jared, guidance quarter The second comment, if guidelines quarter. great mean, you. companies that posts, we've shareholder the mid regulatory I with changes, I both would then the is one I mean, my second closing That tell the our the comfortable we're the we think -- for going than we announcement, regulators, of second week. the in ultimately, comfortable vote And the by and we've getting of like Cort. the deal, We've more things all, next anything made -- middle deal with closed timeline when guidance relationships

like I guess guess or I'm in targets or closing maybe of -- terms whether even thanks the I that, thinking franchises, something after integrating growth that? things retention targets it's for

that would mergers, MDR guidance. provide at we other of conversion we and things sort or we'd Yes, would first in -- type great question. earnings but close, normal that are a whether we of I that after core the call, or that a be some think is roadshow have Clearly, milepost

are We on that. working

deal. some we that providing be of will clarity we close after So, the

lot. Okay, great. Thanks a

Yes.

Thank you. continue. Bohlen, further are time. questions Ms. please this at [Operator There Instructions] no

you. bye. feel in of any me Thank Good items like will like our conclude for materials. the thank on if call. our on Again, Umpqua clarification earnings and our discussed contact to Holdings and quarter XXXX this your interest Corporation participation fourth presentation is free to in you'd Please Bohlen provided call. we Jacque would This you today or

This concludes call. participating. you conference for Thank today's

disconnect. may You now