Columbia Banking System Inc. reported unaudited consolidated earnings results for the fourth quarter and year ended December 31, 2012. The company announced fourth quarter earnings of $13.5 million, or $0.34 per share. This compares to the $14.8 million for the same quarter of 2011, or $0.37 per share. The reported earnings decreased moderately from the same quarter last year due to the substantial positive impact acquisition accounting entries had on the fourth quarter 2011 earnings. For the quarter, net interest income was $54,898,000 and income before income taxes was $18,804,000 against net interest income of $72,124,000 and income before income taxes of $20,418,000 for the same period a year ago. Return on average assets was 1.09% against 1.23% a year ago. Return on average common equity was 6.98% against 7.73% a year ago. Net interest income for the fourth quarter of 2012 decreased primarily due to the accretion income recorded during the fourth quarter of 2011 related to acquired loan portfolios.

For the full year, net interest income was $238,927,000 and income before income taxes was $63,705,000 against net interest income of $236,736,000 and income before income taxes of $65,942,000 for the same period a year ago. Net income was $46,143,000 or $1.16 per diluted share against net income of $48,037,000 or $1.21 per diluted share a year ago.

For the quarter ended December 31, 2012, net loan charge-offs were $1.6 million, compared to $2.1 million for the same period a year ago, and $3.5 million last quarter. Net charge-offs during the current quarter were primarily centered in commercial business loans.