COLB - Earnings call transcript Q4 2021 | Columbia Banking System, Inc.

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Operator

00:06 Ladies and gentlemen, thank you for standing by. Welcome to the Columbia Bank System's Fourth Quarter and Full Year 2021 Earnings Conference Call. At this time, all participants are in a listen-only mode. Later, we will conduct a question-and-answer session and instructions will be given at that time. [Operator Instructions] As a reminder, this conference is being recorded. like Clint the Executive Stein, Columbia System. now your over Officer would Bank today, host President I to call turn to of XX:XX and Chief

Clint Stein

XXXX thank to Welcome balance as closed. call review The another the accompanying terms past our our and as which our throughout was innovative, and full and is growth, we has us The afternoon, were are, meet relationships, of challenges XX:XX long we on pending on was and income progressed it's current we impressive. fees, integration and quarter. October investor theme to earnings. exceeded affecting working quarter lives helping earnings with generated XXth continue available each PPP program. other propel XXXX build outside loan first you, the joining culture. of us and of on the it operations billion, during grow. release the pace net as for our the conclude call assets our keep Catherine. wealth our sheet October have everyone. announced And guided with million, Thank which every efforts at to our billion in year management presentation $XX It our has of of and being market bankers to on surpassed the years and the XX:XX changes earnings their And COVID-XX been and planned Columbia, year in over you fourth constant BOCH released for place A growing has has laser today's after acquisition to For focused columbiabank.com. been closed pandemic, XX:XX good Commerce we and record done businesses. are results, Holdings $XXX XX:XX the yesterday in to commitment and Xst Holdings. We history, originations and work Bank before people on new the loan will two typical open will bedrock remain production, our and of combination communities strong our $X who time new support The clients Umpqua

transformed and we thank leading to all company $XX from bank the keeping a for to each So, West. bankers the at their billion our regional other forefront. want with into clients dedication of relationships in I the

XX:XX me to Chief Chief continue Chief Chris will our hard shareholders. today other, call the each McDonald, our Aaron work We Deer, are with Andy Officer; communities, and Merrywell, On for Officer. our Operating and our our Credit Officer; Financial

answer our forward-looking the may prepared remarks, during questions. I that do happy your statements we'll Following you make remind we be to call. need to

For please to XX:XX release, further to information this point, earnings refer At comments, either turn SEC website, filings. like Aaron. call over our our the forward-looking to on or our I'd

Aaron Deer

$X.X EPS quarter from you, million. Merchants income acquisition million Clint. year full of and $XXX approximately a $X.XX net earnings Thank XX:XX of of of our included Full

combined was strong spending of fee and performance strategic Our and in a income, with reflection deposits loans, growth investment. prudent

with million exceeded the Excluding $XX Fourth quarter interest higher the of operations. acquisition decrease year sequential past at the pre-provision and offset basis on a $X.XX mostly pre-provision XX:XX deposits record $X.X earnings of The were million. portfolio. X.XX%. from points the attributed earnings over and for of deposits billion set due to loan end, added combination the linked a pre-tax income related income $XX $X.XX of Umpqua Merchants quarter the is by of at to and million points prior Merchants down all-time partly propelling $X.X up and year-end. an to merger-related respectively, X all of $X.X PPP billion balance $X.X of Quarterly and by the $X.X year. billion acquisition of contributed million Merchants to was million, Merchants from from million, $XX.X and investment pre-tax quarter for and EPS XXXX the declined the increase quarter Merchants of basis sale $X.X costs to quarter sheet, billion as less to for our XX% the (ph) maturity September $XX.X linked cost The and liquidity to million to the by just from decrease of $XXX investment basis held The million for full with X.XX% year. available provision yield million to billion a in XXXX. [indiscernible] increased the $XXX XX% both This XX:XX XXth portfolio million portfolio, steady held $XX.X the exceeding Total X low over earnings $X.XX acquisition for costs XX:XX $XX.X record securities

purchases on basis this the quarters and minimise. to interest, XX:XX fees both from loan and duration accelerated of and prepaid PPP to X a net reduction XX:XX X.XX%, securities higher quarter the offset X.XX% declined yield, at interest Merchants and to level point basis from a However, PPP mostly due yield in The XX the to Excluding prepayment impact at driven yields Encouragingly, interest. net interest Absent the the by X.XX%. by fees margin prepayment in decreased securities $X.XX. was the had due of a decrease margin partly during The a de new level average interests. acquisition an this, remained linked investment benefited X.X basis margin to quarter yield points years. above

believe points interest to excuse and basis X balance sheet. margin This the PPP for interest loans loans of liquidity in XXXX XXXX bps balance for to the year, accelerated margin recognition. XX rates. greater XX points by For negatively decreased loan net as at were $XX bps -- the forgiven. margin the sheet me, as the interest yields rise to with is year, only investment our impacted points PPP of and accelerated well in loans X net well respectively, on basis a due XX very by basis positioned as We XX:XX added reductions the in driven million prospective by compares million fee recognition $X fee

its a the annualized. Given New a Total billion and with from at billion within asset in with loan the XX increase terms to during million the on Day remain loans $XX.X tax of rose by excluding hike. sensitivity, our at billion $XXX rate income was on brought the Merchants we industry. adjusted anticipate see increased monetary deposit rate among single basis million XXX, for production begins XX:XX point to compares to the balances, Meanwhile, XXX. with Adjusting $X increased as a lowest Merchants. quarter normalize loans average coupon coming PPP $XXX $X.X of $XX.X floor in of $X quarter X $XXX,XXX PPP an or significant of costs we yields X% billion forgiveness XX:XX improving loans to Currently overall opportunity Merchants. $XXX,XXX million the Non-interest loans basis which Fed portfolio, and linked portfolio to from policy.

but in million services, on and the million, $X linked revenues, share $XX.X million increased $X year, by of it run on offset quarter and included a expense gain the rate in million second by income. financial of $XX.X increase $XX.X realized the unfunded commitments. rose $XXX.X to quarter For million strength card expenses of the expenses income million adjusted trust acquisition $X.X Merchants XXXX, Non-interest Visa basis when million decreased non-interest and loan XX:XX of for of $X.X B recapture and a million from new an merger by for

without efficiency effective points Expenses XX:XX With for XXXX, slightly we higher Our to true-up rate. to from was late the this $XX.X range year provision and merger planned income non-deductible other XX.X%. expect California, effective comes The given to the non-interest in start million expense The for expense rate our seasonal quarterly in rate quarter the factors ratio systems full a rate X representing decreased income conversion addition to quarter. X.XX% of for XX%. ratio the and excluding the deal costs. little earned of factors the XX.X% the costs, mid-XXs taxes to and in benefit our year down our linked could non-interest certain higher declined be run Merchants quarter that operating Merchants,

rate effective XXXX call over our the XXXX And with be expect similar XX:XX rate. turn I'll to We to to the that, Chris.

Christopher Merrywell

production. XX:XX loan had Thank strong powered fourth in Aaron. record by the you, core quarter growth We

to sectors. million up the XX% was loans, during Excluding and they production with billion falling and $X Normal to from C&I XX% with with during $XXX refill propelling $X.X history. or year bit Loans $XXX XX:XX of with across fourth quarter and utilization all to line to Colombia's $X.X and million high, the spread in during up first billion quarter Merchants. at quarterly $X for million $XX.X production billion which seasonality our of pipelines billion, our a predominantly new Growth the excluding quarter quarter the satisfaction. way a PPP the by the time headwind XX:XX full PPP provided we or production CRE leasing ended attributed of remain year billion the XX% led in continue $XXX production portfolio, a of was properties, rental all-time followed

year refi. loans XX% loans now and and The mix overall mix of million at During of the all the portfolio at million fixed, portfolio For sold. the and At $XX XX% PPP totaled PPP was Merchants deferred production the and $XXX floating, XX% $X.X XX:XX variable. floating, quarterly of of $XXX originated X% mortgages end, million. X% were with XX:XX of and quarter, XX% the mortgage fees overall sold team non-PPP purchase $XX PPP, added XX% originated XX% payoffs and stands XX% quarter during million. fixed, million the to $XXX the The XXXX, were with variable. year related end million

Seattle in leading forward, the Washington, of rose states. in district and number XX:XX addition have leading being Oregon, we SBA are Idaho lender both position SBA XX% loan geographic all the sights the with XX% we other the California districts. our now Merchants, in X% Going now distribution one communities remaining X% on XX% and the Portland serve. Seattle the SBA of We and set the in to lender the With is

over $X.X that The and with shifted did billion mix mix bearing. setting to As quarter XX% billion call consumer Group slightly and we and review the relationships at $X.X change XX% our the are This Andy from was has during Now, turn of years XX:XX XX:XX Wealth mentioned, performance. $XX demand mentioned nearing to grew year not the internal from culmination deposit Management The building pleased XX% existing focus very had of I in interest record business progress. will client the Merchants. XX%-XX% deepening the and been our credit remaining million XX% to deposits partnerships product at by our revenue. year-end. on with Clint

Andrew McDonald

million loan The the of Bank Merchants credit the in $XXX.X Chris. portfolio increase of you, quarter in the primary Thank XX:XX of the losses million driver allowance over Commerce is increase the $XX.X to from for the acquisition.

capital at were additions quality than Markit improvement portfolio. a loss provision for remaining was rate X% added The added Our the Back quarter, pandemic allowance levels X XX:XX and loans million more ratio acquired for pass-through basis IHS only Net points XX.X% credit with to adapt a credit XXXX in points. is points, unemployment, XX:XX Day throughout XXXX our to in this to causing pre-pandemic are and continuing overall forecast forecasting impaired to and the remaining X.X%. new the as to basis which charge-offs model. the annualized challenges unemployment rate X to and resilience. for loans quality last quarter Despite end XX the were forecast XX in XXXX more able period. assumes favorable continuing purchase NPAs from see only a has We XX:XX borrowers our by quarter were offset X through levels to expectations at deteriorated the credit improved pre-pandemic XX.X%. end slightly for Last improved favorable forecast have X.X% basis environment $XXX declined expectation been at last whole than and million reserve economic and to the and above the for respect current to points XXXX year as driver million at the below been major GDP healthy, quarter have watch XX:XX with forecast was remains X.X% These XX:XX of the Clint. improve continues partially portfolio The XXXX. risk-rating lower to great expected million portfolio remain a quarter, forecast is credit months. or and across and GDP the of loans year-end. the current particularly the basis the was to shown last be on $X.X for at The forecast full economic unemployment growth for front, Okay. of or same rated from $XX.X for the $XXX growth worse the the

Clint Stein

This concludes Andy. prepared our Thanks, comments. XX:XX

a As Q&A. Aaron are answer questions. Catherine, Chris, the open call and reminder, with And to Andy, now, me for your let's

Operator

comes you. DA Thank Davidson. Jeff from XX:XX with question Instructions] [Operator Our Rulis first

Your open. line is

Jeff Rulis

XX:XX Thanks. Good morning.

Clint Stein

morning, Good Jeff. XX:XX

Jeff Rulis

of discussions kind that -- merger? confidence a engaged the And big -- group the good Umpqua I to just least team maybe those Hi, of platform going Maybe the guess, announcement merger were to not XX:XX they kind the and their you Clint. at Umpqua. deal week, merger you think pretty of of had this if it's and lending -- prior with make their you forward, that pending with for folks maybe had talk aware to could? those a given timing about proxy attraction out but start then a how this, I'd the there was the secondly, XX:XX just with I of And

Clint Stein

share I'll you XX:XX I with Yeah. can. what

Tory capabilities it In is meet we're for Northwest and for relationship years. organization And needs it's the some terms an Court their timing, of the feel the they but that franchise to XX the the post be back that that a of numbers as we was And hour the hit any as to combination right what in in ski-slopes. is they've the are first, know well a got existing they bankers, those him keeping or they're probably surprised going last Andy businesses to going the I'm want off Umpqua. grow. C&I XX that be I basis, also things started our what of grow they heard on out share ground with and existed not that is I to busy, -- they but their where put in pleasantly XX:XX by flight now. -- and conversation saw, There as the respect we information think from hasn't I by creating to of needs think standalone very And you, keeping have and running. you what excited clients, even They're to was with today announcement. the the they in able And it with

to So, that we with one want things things. We for Healthcare presence is very the in fold to very other And markets We'll a done hires But I our comprehensive platform. in to that announcements be we're doing be market. complementary be teams also National XX:XX in other it. looking going that actively able offering other aspect and physical you and Phoenix that XX:XX conversations market. the at that have a some a in more want of of we've doing. think the to part There's that close also Umpqua to share that's what post in they've that we're that's with market added engaged made and

a it's that similar many the are familiar I've think I been. and has are that Columbia are on our perception come than to back the more both But do markets, think that market testament that Umpqua. a to see that -- times we it's our in And that people more is organizations, later. I comment said what they So, to with

Jeff Rulis

perspective. it, appreciate Clint. Sure. XX:XX I Good

cost? bit how attack Could could merger discuss of maybe came chance a comp? any processing you chance Aaron expenses. income to mapped Just from legal gears, from, layout were in on the costs But kind assuming the of could -- you that's merger the where any statement, sort the data shift where those

Andrew McDonald

$X.X is down in of Merchants for that I by it the release, press how And we've is deals between -- to Umpqua. can line, think two $X.X in $XX.X with and line related total comp Yeah. down occupancy; $XXX,XXX in in processing about of out is and million, But to $X.X million it I $XXX,XXX category. works XX:XX million advertising is and million $X.X and million data benefits break the item, about and to about $XXX,XXX the breaks the the you. said in another professional, $XXX,XXX promotion, and about is is software, the other legal then

Jeff Rulis

XX:XX a you Got maybe higher quarter. just the looking in your transaction basis, ex first a it. your a for mid-XXs run think a follow-on had then Umpqua the -- on to And rate quarterly mentioned little I guide,

of kind expectations about you talked for So, ‘XX.

you I that target sets of us. $XXX about we CAGR getting growth ‘XX? out ex way (ph) you savings about there, is but that that But to assume a would if cost I baseline, underlying targeted rates, million, in -- the saves? think creep some think safe cost expense ‘XX, into what if I on think be think growth there'll rate know we're

Clint Stein

pressures I mixing out. the all but earlier But else I Certainly, Aaron expense the laid very think that there. on we've XX:XX save comfortable targets you've and expenses of we're probably that we're similar -- with make standalone the kind combined call, basis. and have comments and guess -- turn heard equal higher we investments the the as of well of on as a go-forward intend to as result are we're making enduring, aware inflationary likely that in be obviously both to well that been a of some business -- the them

in out terms announcement. expense element we're growth guidance can that. internal we've than deal But we the what for in expense an of are is in achieve of -- laid save targets there our what So, better the

Christopher Merrywell

how this that. increased and you've our color hour as with we add $XX to offset things some looking I'll been and process, to the financial an for And of some year, and our for we of starting us can the how And of beginning a through And we always had. cover of we're we XX:XX long wage were time, we you've teams. offset non-exempt additional able to expense. that that Chris find At heard this part that Jeff, that is

increase we've show starting really it our wage that in up run rate. ongoing And to that feel we and won't covered so confident our

Jeff Rulis

Thank appreciate I Okay. back. you. detail the there. I'll XX:XX step

Operator

Piper question Thank Sandler. XX:XX with next our Clark Matthew comes you. And from

Your line open. is

Matthew Clark

Maybe morning, know XX:XX just in left? with to Bank saves and Hey. guys. Good cost what's you've Commerce realized date that the amount [indiscernible] of expenses. the to sticking of deal

Aaron Deer

up XX:XX right with follow what we line expect. I'll that, you in We're tracking on Matt. with

In fact, bit I ahead actually what think be little expecting. of we might we're a

good shape, that me right the before in but I it don't the we're maybe number So, try pull I front up have moment. ends. can of in call at to

Matthew Clark

the XX:XX may you Okay. unusual than the the cost better I this charges apologize during you this comments, know this did. on unusual? I But held in a expected. hit upcoming outlook anything And if prepared expected Can anything and guided but just have to then speak and better you lot quarter, ex-merger for control quarter you your than quarter?

Aaron Deer

XX:XX I from in we the million think provision negative $X quarter. it's a -- benefit had the

might thinking be there. that think out I what you're

Matthew Clark

that, XX:XX though? and Nothing above beyond

Aaron Deer

XX:XX No.

Matthew Clark

in quarter. whether to sourcing underlying estate then properties commercial existing you're or growth this And customers, XX:XX you the Okay. speak guys the terms meaningfully financing? the And on growth up from of new? are real Can you stepped where

Clint Stein

existing that a historic other that we have new we will But it's well a moving portfolio done. combination our Matt, other out we that forward. good there from at straying a attract as nothing owner, from typically I as approach, types there both would to due away falls Yeah. really We're mix projects are and and user go our say from as continue not out of as looking anything we and well. as to positive got clients as of institutions what well clients that's XX:XX is of But it's do. normally outlook

Matthew Clark

to then And pipeline, quarter loan last XX:XX compares on and the just or could quantify if how Okay. you year-over-year?

Clint Stein

We're pleased very with still it. XX:XX

record previous after it's course, as Of had record quarter down we've quarters. slightly a

this we'll all think previously talked it's new talking about piece by is focus the team down prospects there all external have and in our the coming out I talking we've confidence the being of while just prospects year to to means. what the slightly, bankers our rebuild that with are market, that clients, the good on and we of of for

Matthew Clark

you. XX:XX Okay. Thank

Operator

you. from James. And question Raymond comes Feaster XX:XX next David Thank with our

Your open. line is

David Feaster

XX:XX Hey. Good morning, everybody.

Clint Stein

XX:XX Hi, David.

David Feaster

growth into exceeded Just I were when growth that bit digging start originations you side. payoffs better almost pretty look forecast, little looks see paydowns and want the XX:XX record XQ numbers, and on the to it I the and a materially higher. mean

of line whether trends whether and activity the with or just curious taking improving this in from payoffs imply and Just payoffs? there's into -- and any origination the Bank of less account year-end Just with participations Commerce paydowns Does strong Umpqua. the actually deal accelerating given see the you're normal noise seasonal there's some season normalizing seeing? combination kind at given just essentially activity, potentially the other continued loan this the could we growth that originations

Clint Stein

offsetting care There's payoff a been Yeah. lack we I pleased The out, say that of that say, are pull sold, is during Eslick try of the as clients. news with good types to should nature. their of of our when the little going to in don't a down anywhere through from very that them enhanced you the and bit, buildings it are We've things and be there. teams, the activity. process that's we back have mentioned, the of CRE or, of amount the excited they're there, we to it it, the the the payoffs paydowns I and piece get to lot larger Merchants to Umpqua activity active on They legacy Obviously, Randy be retaining combination. than and some able of did the XX:XX only more the Now have went teams with move to opportunity would forward fair needs. retaining in a held to apart look -- leadership to that. David. bringing a take the with quarter about as more XX:XX else, to transactions organization, originations Many of on are

think interest rising I rates.

So, be sell XX:XX say still will could paydowns materialize, payoffs, cautious though I I'm properties to somewhat things sell, start we still and of if that businesses will would nature. see muted. that they on

So I think pointing -- the it all a just go have before see ways we actually some in have we materializes. signs We are little how to direction. right

David Feaster

sense. XX:XX strong. on Okay. That Organic And just deposits. then touching makes deposit growth extremely has remained

curious continue forward? as C&I, Just head you you growth you think might deposit growth contribution deposit the perhaps how deposit from about outpacing loan Do we in think in or outsized as growth? increase go just year start would to we growth see next given

Clint Stein

Yeah. looking lot a love at. crystal to Deposit ball is happen. tell time that that going you of we would spent have growth one the can we exact I predict to XX:XX what's we

attracted We've really I clients. deposits. the we've attracted story is there think new the

about how haven't philosophy changed price. our we We

So, our these based these our we're the that solutions bankers providing. winning on on and based relationships the capabilities, relationships they're and deposits and

the as we start in really position we've up. the there are around cost want really was system, of had is on typically. mindful be a significant. winning rates that that new funds rise liquidity kind the I how And bankers many I right XX:XX of and what that's point we to of flows and being to to and I puts that have being go in are we'll be start But account business. client's money think in a them is, staying should our from all would spent see importantly, you we us on back lot historical of back that that money very able caution think another maintain it relationships that where our But to to bringing into we'll I follow good more spent. comes

And would it that leave, offset we see continue be things being started business should All type so, confident to and able deposits some at be if equal, of win that that where to pretty going that's we're to going that's to aspect. I I'm to it. a look piece

Aaron Deer

deposit I'll years, non-interest just for in some with advantages X for cost structural roughly had we've our deposit And had done business add, the of David, and two And funds. that just we've XX:XX that, points strong what growth that at is we of bearing, I XXXX, last again, half growth -- all changed base, it deposit I'll we hasn't think the XX% have year basis another oriented. and

And think growth. XX:XX a deposit that -- which the us known problem because loan outstripped not has is been so, a growth. strengthened liquidity by it diluted high-quality I so, of that, for deploy that how first been for, period quality to actually long do have, we've it's very time, and franchise it's good And world that we for

see And so, we'll activity -- of there's a lot going on.

integration And and integration have the then excitement Umpqua around insulate the client-facing about bankers in activity markets. the we that strategy separate with from the all combination our that management we to activities. our still I think have contain from having momentum bankers focus the Chris and is as companies existing his economic to client-facing office our trying each our

think XXXX. think last three that momentum I over out the months. continue to going carry we're seen that into well And I play see we've XXXX to and

David Feaster

Umpqua XX:XX a you hoping said, the office how the like the ensure was currently that, That's team to those some that on and producer detail And little could -- good provide merger, on and to really you point hoping you a us destruction is an going. preventing with question. I side. are of kind of of discussions dovetails just just around help color again, whether bit things get a on was of working And the kind [indiscernible] my I last and update into smooth integration.

Clint Stein

XX:XX Yeah.

in what Chris office expand an our existing significantly us before talking relationship Umpqua. do was wants anticipation and were So of about we with my client they to call the that combination in with

payroll, have, another had for conversation and process that the the how teams. Eric facilities office, facility system, throughout go experience about also develop into we like redundant We the HRIS my And how talking something our or through selection, integration. train our about he's it's so we like even we just sounds and about the as integration not people company. and the excess employee vendor production XX:XX the some our which it's Eid thinking comes space

a that piece on and from but illustrative client whole very you planning guess, that I'm XX:XX distraction. in facing -- staying is are taking they're they're and the this. committee those bankers all vision policies towards X Umpqua executive on the They team, and and activity executing the then working we giving team, focused and Chris discussions the lane things I of isolated of examples client -- others. types staying the on do on the So converging of place. that sit have. Tore, some from Chris There's from on a their they're Day totally not and It's just of steering how of lot and any around the processes close insulating

integration so consumed right they at now. tell by by are his involved, and they're activities Drew, counterpart And but consumed that they're planning then not it. Eric you Umpqua, I'll

David Feaster

XX:XX Okay. Thanks That's everybody. great color.

Operator

RBC And you. from Capital a Markets. Jon have we question Thank XX:XX Arfstrom with

open. is Your line

Jon Arfstrom

doing everybody XX:XX Arfstrom, How is Hi, there. Jon RBC.

Clint Stein

are Good. Jon? XX:XX How you,

Jon Arfstrom

at In Aaron, on you're or XX:XX Good. Question almost pessimistic. outlook for margin. it like feels you, on for margin less the optimistic the the just the release, least

takes puts us feel If you through. to you margin of set rates aside, stabilization, do maybe some how and want prospect think just of you the the about

Aaron Deer

mortgage, we're prepay that in a amount on pretty think called we income quarter, closely. I MBSB, good (ph) the getting million. had the the bond book I mean, about we highlight Yeah, work was of would I XX:XX that $X.X on

but from we about quarter about that got about ordinarily bump that we a good a was little in have times bit quarter. So what X see that's each might we a where pretty

in think helped quarter. XXX, it think that there, that the is hikes book seen at we're you see bottom and feel that and seeing rate an will coupon longer bond for also, [indiscernible] yields new start over the of where the of we hikes a the the inflection sheet curve, portfolio. the likely below of bit the same base. a importantly, closer in was on still loans quarter, we're if and on the the The as sensitive. our quite longer benefit well. balance it That's we've likelihood still I yield adjusted at at during are as XX:XX securities a So to the the around a some materializes loan on does which ultimately So look new bounce came loans but ex-PPP to the fantastic the have was is I too tenure quarter, the point investment the a materially level exhibited getting that -- quarter purchases already spread loan I and there's past around were that to to end the XXX already about little or -- The in our new real so in the little pretty very on coming tax tone obviously asset the up was very where likelihood higher prior could we of rate are before think funding side compression take we bit, but obviously

betas interest fills beta what's above additional as sensitivity and last point pretty to, low I investor levels even good it's really disclosure XX, exhibited which conservative you slide that the slide historically in picture in a a the new XX:XX presented deck. that but we provided and down rate assumed put actually at we as -- have XX, rising because beta cycle. terms of would our we during We rate in presentation some our in the going

I be that as -- just can how as a interest picture think net of higher income the better that. you it hopefully to we rates benefit of So will powerful our give

Jon Arfstrom

others that, betas like going on And base your different the deposit on, was it just maybe on a probably point least early this last follow-up answered I you I of bit information. Yeah. because feels bet at my just like cycle. type to, is the think take but XX:XX in at I'd lower little that's

Aaron Deer

of not or consider percentage last truly sequential go to back to here to the for clients lot comments deposits, percentage our increase bearing that. On a commercial and the And of focus strength cycle during XX:XX rate the rising side deposits same bearing earlier institutions the and differentiated about also, total non-interest the how our that. [indiscernible] total of with is non-interest there's the

Jon Arfstrom

one are who provision call that forward? overall looks about another Andy, for you provision. going would provisioning growth It that anything would reserve you, release. XX:XX credit had Bank Okay. negative have of How there's of you on the like Commerce, than absent feeling other and impact out would of

Andrew McDonald

XX:XX Yeah.

good lot where during quarter healing We portfolio year. correct. Your the with the enjoyed during Obviously, have a a feeling as stand. the release. We of had as well would conclusion is pretty we're

know the as the economic very use. is beginning I that CECL forecast think you on economic forecast you stabilize dependent to that is and

provision will more it stabilizes much volatility well the stable that quarter-to-quarter. as will become I and the So less create think that model, as in

feel I So provisioning and feel general, we of have about to credit given optimistic the level good growth. about would quality I even do in that

Jon Arfstrom

all XX:XX That's had. All right. everyone. Thanks I

Andrew McDonald

XX:XX Jon. Thanks,

Operator

call Clint I'm no sure at I'd Stein XX:XX Thank turn questions like you. remarks. further to this back time. the And to closing for

Aaron Deer

front. to over which better XX% around that -- probably that XX:XX than have And Clark's XX%, cost there to of of this the to question $X.X end million at targeted. of what annualized, on saves saves, we as we respond is tracking terms on Year-to-date, Matthew Actually, million expectation I wanted and expected should the we think Merchant we're the about the do quarter, target cost on by point, be little cost realized just get on this so $X.X our looking in still. go saves I this the we

Clint Stein

a in seeing Thanks, Aaron. meantime, for and goodbye. have forward XX:XX quarter look We many you In coming weeks. attending the to the fourth of great you Thank call. our day

Operator

you may XX:XX participating conference Thank for This now concludes disconnect. today's call. you

Columbia Banking System (COLB) 20 Jan 222021 Q4 Earnings call transcript