Columbia Banking System(US:COLB)2023-02-23 16:00Credit Losses and Allowances - The allowance for credit losses (ACL) was $158.4 million as of December 31, 2022, with a hypothetical sensitivity analysis indicating that a 100 basis point increase in the unemployment rate would increase the ACL estimate by $2.9 million[217]. - The company considers various qualitative factors in calculating expected losses in the loan portfolio, including economic conditions and trends in problem loans[214]. Goodwill and Assets - Goodwill represented $823.2 million of the total assets amounting to $20.27 billion as of December 31, 2022[220]. - No goodwill impairment charges were required as the fair value of the reporting unit exceeded its carrying amount as of December 31, 2022[222]. - The company reported total assets of $20.27 billion in 2022, down from $20.95 billion in 2021[557]. Financial Ratios and Performance - The tangible common equity to tangible assets ratio decreased to 7.03% in 2022 from 8.62% in 2021[557]. - The risk-weighted assets increased to $14.65 billion in 2022 from $13.15 billion in 2021[557]. Interest Rate Sensitivity - A 200 basis point increase in interest rates is projected to increase net interest income by $18.971 million, representing a 2.93% change[562]. - The company experienced a net interest margin sensitivity of -3.01% with a 100 basis point decrease in interest rates, resulting in a decrease of $19.518 million in net interest income[562]. Business Combinations - The company applies the acquisition method for business combinations, recognizing assets and liabilities at their fair values at the acquisition date[219].