WAL Western Alliance Bancorporation

Western Alliance Bancorporation (NYSE:WAL):

FOURTH QUARTER AND FULL YEAR 2024 FINANCIAL RESULTS

Quarter Highlights:

 

 

 

 

 

 

 

 

 

 

 

Net income

 

Earnings per share

 

PPNR1

 

Net interest margin

 

Efficiency ratio

 

Book value per

common share

$216.9 million

 

$1.95

 

$319.4 million

 

3.48%

 

61.2%

 

$58.24

 

 

 

 

51.1%1, adjusted for deposit costs

 

$52.271, excluding

goodwill and intangibles

CEO COMMENTARY:

“Western Alliance’s diversified, national commercial business strategy continued to drive strong momentum in the fourth quarter with healthy earnings growth, sustained operating leverage, and resilient asset quality,” said Dale Gibbons, Interim Chief Executive Officer and Chief Financial Officer. “Overall, we achieved earnings per share of $1.95 for the quarter, 46.6% higher than Q4 2023, which resulted in a return on tangible common equity1 of 14.6%, while tangible book value per share1 rose 11.9% year-over-year to $52.27. As expected, quarterly deposits declined $1.7 billion, driven by seasonal tax escrow deposit outflows in our Mortgage Warehouse Group, which have already reversed since year end." “Western Alliance’s full year results are a direct reflection of the success of our credit and deposit platforms which position us for a sustained earnings trajectory into 2025, while continuing our focus on asset quality. Net charge-offs to average loans were 0.18% for the year, with a non-performing assets to total assets ratio of 0.65%. Our net revenue growth drove an increase in earnings as PPNR1 climbed 14.1% over the prior year to $1.1 billion, with net income of $788 million and earnings per share up 8.4% to $7.09. Finally, our hearts are heavy given the ongoing Southern California wildfires. We have already taken actions and stand ready to further support our people and communities in their rebuilding efforts.”

LINKED-QUARTER BASIS

FULL YEAR

 

FINANCIAL HIGHLIGHTS:

• Net income of $216.9 million and earnings per share of $1.95, up 8.6% and 8.3%, from $199.8 million and $1.80, respectively

• Net income of $787.7 million and earnings per share of $7.09, up 9.0% and 8.4%, from $722.4 million and $6.54, respectively

• Net revenue of $838.4 million, an increase of 1.9%, or $15.3 million, compared to a decrease in non-interest expenses of 3.4%, or $18.4 million

• Net revenue of $3.2 billion, an increase of 20.7%, or $542.5 million, compared to an increase in non-interest expenses of 24.7%, or $401.6 million

• Pre-provision net revenue1 of $319.4 million, up $33.7 million from $285.7 million

• Pre-provision net revenue1 of $1.1 billion, up $140.9 million from $996.2 million

• Effective tax rate of 16.4%, compared to 20.7%

• Effective tax rate of 20.5%, compared to 22.6%

 

 

FINANCIAL POSITION RESULTS:

• HFI loans of $53.7 billion, up $330 million, or 0.6%

• Increase in HFI loans of $3.4 billion, or 6.7%

• Total deposits of $66.3 billion, down $1.7 billion, or 2.5%

• Increase in total deposits of $11.0 billion, or 19.9%

• HFI loan-to-deposit ratio of 80.9%, up from 78.4%

• HFI loan-to-deposit ratio of 80.9%, down from 90.9%

• Stockholders' equity of $6.7 billion, up $30 million

• Increase in stockholders' equity of $629 million

 

 

LOANS AND ASSET QUALITY:

• Nonperforming assets (nonaccrual loans and repossessed assets) to total assets of 0.65%, compared to 0.45%

• Nonperforming assets to total assets of 0.65%, compared to 0.40%

• Annualized net loan charge-offs to average loans outstanding of 0.25%, compared to 0.20%

• Net loan charge-offs to average loans outstanding of 0.18%, compared to 0.06%

 

 

KEY PERFORMANCE METRICS:

• Net interest margin of 3.48%, decreased from 3.61%

• Net interest margin of 3.58%, decreased from 3.63%

• Return on average assets and on tangible common equity1 of 1.04% and 14.6%, compared to 0.96% and 13.8%, respectively

• Return on average assets and on tangible common equity1 of 0.99% and 14.0%, compared to 1.03% and 14.9%, respectively

• Tangible common equity ratio1 of 7.2%, flat from prior quarter

• Tangible common equity ratio1 of 7.2%, decreased from 7.3%

• CET 1 ratio of 11.3%, compared to 11.2%

• CET 1 ratio of 11.3%, compared to 10.8%

• Tangible book value per share1, net of tax, of $52.27, an increase of 0.6% from $51.98

• Tangible book value per share1, net of tax, of $52.27, an increase of 11.9% from $46.72

• Adjusted efficiency ratio1 of 51.1%, compared to 52.7%

• Adjusted efficiency ratio1 of 53.1%, compared to 53.5%

1

See reconciliation of Non-GAAP Financial Measures.

 

Income Statement

Net interest income totaled $666.5 million in the fourth quarter 2024, a decrease of $30.4 million, or 4.4%, from $696.9 million in the third quarter 2024, and an increase of $74.8 million, or 12.6%, compared to the fourth quarter 2023. The decrease in net interest income from the third quarter 2024 is due to decreased yields on interest earning assets, partially offset by a decrease in rates on interest-bearing liabilities. The increase in net interest income from the fourth quarter 2023 was driven by an increase in average interest earning asset balances and a decrease in average short-term borrowings, partially offset by an increase in interest expense from higher deposit balances.

The Company recorded a provision for credit losses of $60.0 million in the fourth quarter 2024, an increase of $26.4 million from $33.6 million in the third quarter 2024, and an increase of $50.7 million from $9.3 million in the fourth quarter 2023. The provision for credit losses during the fourth quarter 2024 is primarily reflective of net charge-offs of $34.1 million and an incremental qualitative adjustment on the CRE portfolio.

The Company’s net interest margin in the fourth quarter 2024 was 3.48%, a decrease from 3.61% in the third quarter 2024, and a decrease from 3.65% in the fourth quarter 2023. The decrease in net interest margin from the third quarter 2024 was driven by lower yields on interest earning assets, partially offset by lower rates on interest-bearing liabilities due to reductions in the federal funds target rate. The decrease in net interest margin from the fourth quarter 2023 was driven primarily by the lower rate environment, resulting in lower yields on interest earning assets.

Non-interest income was $171.9 million for the fourth quarter 2024, compared to $126.2 million for the third quarter 2024, and $90.5 million for the fourth quarter 2023. The $45.7 million increase in non-interest income from the third quarter 2024 was primarily due to increases in net gain on loan origination and sale activities of $21.6 million, net loan servicing revenue of $12.4 million, and other non-interest income of $9.0 million. The $81.4 million increase in non-interest income from the fourth quarter 2023 was primarily driven by increases in net gain on loan origination and sale activities and net loan servicing revenue, as well as, net gain on sales of investment securities and income from bank owned life insurance.

Net revenue totaled $838.4 million for the fourth quarter 2024, an increase of $15.3 million or 1.9%, compared to $823.1 million for the third quarter 2024, and an increase of $156.2 million or 22.9%, compared to $682.2 million for the fourth quarter 2023.

Non-interest expense was $519.0 million for the fourth quarter 2024, compared to $537.4 million for the third quarter 2024, and $461.9 million for the fourth quarter 2023. The Company’s efficiency ratio, adjusted for deposit costs1, was 51.1% for the fourth quarter 2024, compared to 52.7% in the third quarter 2024, and 59.1% for the fourth quarter 2023. The $18.4 million decrease in non-interest expense from the third quarter 2024 is due primarily to a decrease of $33.5 million in deposit costs driven by lower ECR rates, partially offset by an increase in salaries and employee benefits of $7.6 million. The $57.1 million increase in non-interest expense from the fourth quarter 2023 is primarily attributable to an increase in deposit costs of $43.5 million, a non-recurring gain on debt extinguishment of $39.3 million in the fourth quarter of 2023, and increased salaries and employee benefits of $30.8 million. These increases were partially offset by decreased insurance costs of $71.9 million largely related to the FDIC special assessment.

Income tax expense was $42.5 million for the fourth quarter 2024, compared to $52.3 million for the third quarter 2024, and $63.1 million for the fourth quarter 2023. The decrease in income tax expense from the third quarter 2024 is primarily related to increased investment tax credit benefits and tax exempt income. The decrease in income tax expense from the fourth quarter 2023 is primarily related to increased investment tax credit benefits.

Net income was $216.9 million for the fourth quarter 2024, an increase of $17.1 million from $199.8 million for the third quarter 2024, and an increase of $69.0 million from $147.9 million for the fourth quarter 2023. Earnings per share totaled $1.95 for the fourth quarter 2024, compared to $1.80 for the third quarter 2024, and $1.33 for the fourth quarter 2023.

The Company views its pre-provision net revenue1 ("PPNR") as a key metric for assessing the Company’s earnings power, which it defines as net revenue less non-interest expense. For the fourth quarter 2024, the Company’s PPNR1 was $319.4 million, up $33.7 million from $285.7 million in the third quarter 2024, and up $99.1 million from $220.3 million in the fourth quarter 2023.

The Company had 3,524 full-time equivalent employees and 56 offices at December 31, 2024, compared to 3,426 full-time equivalent employees and 56 offices at September 30, 2024, and 3,260 full-time equivalent employees and 57 offices at December 31, 2023.

1

See reconciliation of Non-GAAP Financial Measures.

 

Balance Sheet

HFI loans, net of deferred fees, totaled $53.7 billion at December 31, 2024, compared to $53.3 billion at September 30, 2024, and $50.3 billion at December 31, 2023. The increase in HFI loans of $330 million from the prior quarter was primarily driven by an increase of $577 million in commercial and industrial loans, partially offset by a decrease of $248 million in construction and land development loans. The increase in HFI loans of $3.4 billion from December 31, 2023 was primarily driven by increases of $4.0 billion and $218 million in commercial and industrial and commercial real estate non-owner occupied loans, respectively, partially offset by decreases of $452 million and $410 million in residential real estate and construction and land development loans, respectively. HFS loans totaled $2.3 billion at December 31, 2024 and September 30, 2024, compared to $1.4 billion at December 31, 2023.

The Company's allowance for credit losses on HFI loans consists of an allowance for funded HFI loans and an allowance for unfunded loan commitments. The allowance for loan losses to funded HFI loans ratio was 0.70%, 0.67%, and 0.67% at December 31, 2024, September 30, 2024, and December 31, 2023, respectively. The allowance for credit losses, which includes the allowance for unfunded loan commitments, to funded HFI loans ratio was 0.77% at December 31, 2024, 0.74% at September 30, 2024, and 0.73% at December 31, 2023. The Company is a party to credit linked note transactions which effectively transfer a portion of the risk of losses on reference pools of loans to the purchasers of the notes. The Company is protected from first credit losses on reference pools of loans totaling $8.6 billion, $8.8 billion, and $9.1 billion as of December 31, 2024, September 30, 2024, and December 31, 2023, respectively, under these transactions. However, as these note transactions are considered to be free standing credit enhancements, the allowance for credit losses cannot be reduced by the expected credit losses that may be mitigated by these notes. Accordingly, the allowance for loan and credit losses ratios include an allowance related to these pools of loans of $11.4 million as of December 31, 2024, $11.8 million as of September 30, 2024, and $14.7 million as of December 31, 2023. The allowance for credit losses to funded HFI loans ratio, adjusted to reduce the HFI loan balance by the amount of loans in covered reference pools, was 0.92% at December 31, 2024, 0.88% at September 30, 2024, and 0.89% at December 31, 2023.

Deposits totaled $66.3 billion at December 31, 2024, a decrease of $1.7 billion from $68.0 billion at September 30, 2024, and an increase of $11.0 billion from $55.3 billion at December 31, 2023. By deposit type, the decrease from the prior quarter is attributable to a decrease of $6.1 billion from non-interest bearing deposits due to seasonality in mortgage warehouse deposits, partially offset by increases of $2.0 billion from interest-bearing demand deposits, $1.6 billion from savings and money market deposits, and $755 million from certificates of deposits. From December 31, 2023, savings and money market deposits increased $6.4 billion, non-interest bearing deposits increased $4.3 billion, and certificates of deposit increased $303 million. Non-interest bearing deposits were $18.8 billion at December 31, 2024, compared to $25.0 billion at September 30, 2024, and $14.5 billion at December 31, 2023.

The table below shows the Company's deposit types as a percentage of total deposits:

 

 

Dec 31, 2024

 

Sep 30, 2024

 

Dec 31, 2023

Non-interest bearing

 

28.4

%

 

36.7

%

 

26.2

%

Interest-bearing demand

 

23.9

 

 

20.3

 

 

28.8

 

Savings and money market

 

32.0

 

 

28.8

 

 

26.7

 

Certificates of deposit

 

15.7

 

 

14.2

 

 

18.3

 

The Company’s ratio of HFI loans to deposits was 80.9% at December 31, 2024, compared to 78.4% at September 30, 2024, and 90.9% at December 31, 2023.

Borrowings were $5.6 billion at December 31, 2024, $3.0 billion at September 30, 2024, and $7.2 billion at December 31, 2023. Borrowings increased $2.6 billion from September 30, 2024 primarily due to an increase of $1.6 billion in short-term borrowings and a $993 million increase in long-term borrowings. The decrease in borrowings from December 31, 2023 is primarily due to a decrease in short-term borrowings of $3.6 billion and payoff of the AmeriHome senior notes as part of the Company's balance sheet repositioning, partially offset by an increase in long term borrowings of $2.0 billion.

Stockholders’ equity was $6.7 billion at December 31, 2024 and September 30, 2024, compared to $6.1 billion at December 31, 2023. Stockholders’ equity from the prior quarter was relatively flat as net income of $213.7 million was offset by net unrealized fair value losses of $152 million on the Company's available-for-sale securities, which are recorded in other comprehensive loss, net of tax, and dividends to shareholders. Cash dividends of $41.8 million ($0.38 per common share) and $3.2 million ($0.27 per depository share) were paid to stockholders during the fourth quarter 2024. The increase in stockholders' equity from December 31, 2023 is primarily a function of net income, partially offset by dividends to stockholders and net unrealized fair value losses on available-for-sale securities.

The Company's common equity tier 1 capital ratio was 11.3% at December 31, 2024, compared to 11.2% and 10.8% at September 30, 2024 and December 31, 2023, respectively. At December 31, 2024, tangible common equity, net of tax1, was 7.2% of tangible assets1 and total capital was 14.1% of risk-weighted assets. The Company’s tangible book value per share1 was $52.27 at December 31, 2024, an increase of 0.6% from $51.98 at September 30, 2024, and an increase of 11.9% from $46.72 at December 31, 2023. The increase in tangible book value per share from September 30, 2024 and December 31, 2023 is primarily attributable to net income.

Total assets increased $854 million, or 1.1%, to $80.9 billion at December 31, 2024 from $80.1 billion at September 30, 2024, and increased 14.2% from $70.9 billion at December 31, 2023. The increase in total assets from September 30, 2024 was primarily driven by increases in cash and due from banks and HFI loans, partially offset by a decrease in investment securities. The increase in total assets from December 31, 2023 was primarily driven by increases in HFI loans, cash and due from banks, and investment securities.

1

See reconciliation of Non-GAAP Financial Measures.

 

Asset Quality

Provision for credit losses totaled $60.0 million for the fourth quarter 2024, compared to $33.6 million for the third quarter 2024, and $9.3 million for the fourth quarter 2023. Net loan charge-offs in the fourth quarter 2024 totaled $34.1 million, or 0.25% of average loans (annualized), compared to $26.6 million, or 0.20%, in the third quarter 2024, and $8.5 million, or 0.07%, in the fourth quarter 2023.

Nonaccrual loans increased $127 million to $476 million during the quarter and increased $203 million from December 31, 2023. Loans past due 90 days and still accruing interest totaled zero at December 31, 2024, $4 million at September 30, 2024, and $42 million at December 31, 2023 (excluding government guaranteed loans of $326 million, $313 million, and $399 million, respectively). Loans past due 30-89 days and still accruing interest totaled $92 million at December 31, 2024, a decrease from $110 million at September 30, 2024, and from $164 million at December 31, 2023 (excluding government guaranteed loans of $183 million, $203 million, and $279 million, respectively).

Repossessed assets totaled $52 million at December 31, 2024, compared to $8 million at September 30, 2024 and December 31, 2023. Classified assets totaled $1.0 billion at December 31, 2024, an increase of $171 million from $838 million at September 30, 2024, and an increase of $336 million from $673 million at December 31, 2023.

The ratio of classified assets to Tier 1 capital plus the allowance for credit losses2, a common regulatory measure of asset quality, was 14.2% at December 31, 2024, compared to 12.2% at September 30, 2024, and 10.5% at December 31, 2023.

2

The allowance for credit losses used in this ratio is calculated in accordance with regulatory capital rules.

 

Conference Call and Webcast

Western Alliance Bancorporation will host a conference call and live webcast to discuss its fourth quarter 2024 financial results at 12:00 p.m. ET on Tuesday, January 28, 2025. Participants may access the call by dialing 1-833-470-1428 and using access code 383154 or via live audio webcast using the website link https://events.q4inc.com/attendee/798283184. The webcast is also available via the Company’s website at www.westernalliancebancorporation.com. Participants should log in at least 15 minutes early to receive instructions. The call will be recorded and made available for replay after 3:00 p.m. ET January 28th through 1:00 p.m. ET February 27th by dialing 1-866-813-9403, using access code 574248.

Reclassifications

Certain amounts in the Consolidated Income Statements for the prior periods have been reclassified to conform to the current presentation. The reclassifications have no effect on net income or stockholders’ equity as previously reported.

Use of Non-GAAP Financial Information

This press release contains both financial measures based on GAAP and non-GAAP based financial measures, which are used where management believes them to be helpful in understanding the Company’s results of operations or financial position. Where non-GAAP financial measures are used, the comparable GAAP financial measure, as well as the reconciliation to the comparable GAAP financial measure, can be found in this press release. These disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies.

Cautionary Note Regarding Forward-Looking Statements

This release contains forward-looking statements that relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts. Examples of forward-looking statements include, among others, statements we make regarding our expectations with regard to our business, financial and operating results, future economic performance and dividends. The forward-looking statements contained herein reflect our current views about future events and financial performance and are subject to risks, uncertainties, assumptions and changes in circumstances that may cause our actual results to differ significantly from historical results and those expressed in any forward-looking statement. Some factors that could cause actual results to differ materially from historical or expected results include, among others: the risk factors discussed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023 and the Company's subsequent Quarterly Reports on Form 10-Q, each as filed with the Securities and Exchange Commission; adverse developments in the financial services industry generally such as the bank failures in 2023 and any related impact on depositor behavior; risks related to the sufficiency of liquidity; the potential adverse effects of unusual and infrequently occurring events and any governmental or societal responses thereto; changes in general economic conditions, either nationally or locally in the areas in which we conduct or will conduct our business; the impact on financial markets from geopolitical conflicts such as the wars in Ukraine and the Middle East; inflation, interest rate, market and monetary fluctuations; increases in competitive pressures among financial institutions and businesses offering similar products and services; higher defaults on our loan portfolio than we expect; changes in management’s estimate of the adequacy of the allowance for credit losses; legislative or regulatory changes or changes in accounting principles, policies or guidelines; supervisory actions by regulatory agencies which may limit our ability to pursue certain growth opportunities, including expansion through acquisitions; additional regulatory requirements resulting from our continued growth; management’s estimates and projections of interest rates and interest rate policy; the execution of our business plan; and other factors affecting the financial services industry generally or the banking industry in particular.

Any forward-looking statement made by us in this release is based only on information currently available to us and speaks only as of the date on which it is made. We do not intend and disclaim any duty or obligation to update or revise any industry information or forward-looking statements, whether written or oral, that may be made from time to time, set forth in this press release to reflect new information, future events or otherwise.

About Western Alliance Bancorporation

With more than $80 billion in assets, Western Alliance Bancorporation (NYSE:WAL) is one of the country’s top-performing banking companies. Through its primary subsidiary, Western Alliance Bank, Member FDIC, clients benefit from a full spectrum of tailored commercial banking solutions and consumer products, all delivered with outstanding service by industry experts who put customers first. Major accolades include being ranked as a top U.S. bank in 2024 by American Banker and Bank Director and receiving #1 rankings on Extel’s (previously Institutional Investor’s) All-America Executive Team Midcap 2024 for Best CEO, Best CFO and Best Company Board of Directors. Serving clients across the country wherever business happens, Western Alliance Bank operates individual, full-service banking and financial brands with offices in key markets nationwide. For more information, visit westernalliancebank.com.

 

Western Alliance Bancorporation and Subsidiaries

Summary Consolidated Financial Data

Unaudited

 

 

 

 

 

 

 

Selected Balance Sheet Data:

 

 

 

 

As of December 31,

 

2024

2023

Change %

 

(in millions)

 

Total assets

$

80,934

 

$

70,862

 

14.2

%

Loans held for sale

 

2,286

 

 

1,402

 

63.1

 

HFI loans, net of deferred fees

 

53,676

 

 

50,297

 

6.7

 

Investment securities

 

15,095

 

 

12,712

 

18.7

 

Total deposits

 

66,341

 

 

55,333

 

19.9

 

Borrowings

 

5,573

 

 

7,230

 

(22.9

)

Qualifying debt

 

899

 

 

895

 

0.4

 

Stockholders' equity

 

6,707

 

 

6,078

 

10.3

 

Tangible common equity, net of tax (1)

 

5,755

 

 

5,116

 

12.5

 

Common equity Tier 1 capital

 

6,311

 

 

5,659

 

11.5

 

Selected Income Statement Data:

 

 

 

 

 

 

 

For the Three Months Ended December 31,

 

For the Year Ended December 31,

 

2024

 

2023

 

Change %

 

2024

 

2023

 

Change %

 

(in millions, except per share data)

 

 

 

(in millions, except per share data)

 

 

Interest income

$

1,138.6

 

$

1,039.0

 

9.6

%

$

4,541.1

 

$

4,035.3

 

12.5

%

Interest expense

 

472.1

 

 

447.3

 

5.5

 

 

1,922.2

 

 

1,696.4

 

13.3

 

Net interest income

 

666.5

 

 

591.7

 

12.6

 

 

2,618.9

 

 

2,338.9

 

12.0

 

Provision for credit losses

 

60.0

 

 

9.3

 

NM

 

 

145.9

 

 

62.6

 

NM

 

Net interest income after provision for credit losses

 

606.5

 

 

582.4

 

4.1

 

 

2,473.0

 

 

2,276.3

 

8.6

 

Non-interest income

 

171.9

 

 

90.5

 

89.9

 

 

543.2

 

 

280.7

 

93.5

 

Non-interest expense

 

519.0

 

 

461.9

 

12.4

 

 

2,025.0

 

 

1,623.4

 

24.7

 

Income before income taxes

 

259.4

 

 

211.0

 

22.9

 

 

991.2

 

 

933.6

 

6.2

 

Income tax expense

 

42.5

 

 

63.1

 

(32.6

)

 

203.5

 

 

211.2

 

(3.6

)

Net income

 

216.9

 

 

147.9

 

46.7

 

 

787.7

 

 

722.4

 

9.0

 

Dividends on preferred stock

 

3.2

 

 

3.2

 

—

 

 

12.8

 

 

12.8

 

—

 

Net income available to common stockholders

$

213.7

 

$

144.7

 

47.7

 

$

774.9

 

$

709.6

 

9.2

 

Diluted earnings per common share

$

1.95

 

$

1.33

 

46.6

 

$

7.09

 

$

6.54

 

8.4

 

(1)

See Reconciliation of Non-GAAP Financial Measures.

NM

Changes +/- 100% are not meaningful.

 

Western Alliance Bancorporation and Subsidiaries

Summary Consolidated Financial Data

Unaudited

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Common Share Data:

 

 

 

 

 

 

 

At or For the Three Months Ended December 31,

 

For the Year Ended December 31,

 

2024

 

2023

 

Change %

 

2024

 

2023

 

Change %

Diluted earnings per common share

$

1.95

 

$

1.33

 

46.6

%

$

7.09

 

$

6.54

 

8.4

%

Book value per common share

 

58.24

 

 

52.81

 

10.3

 

 

 

 

Tangible book value per common share, net of tax (1)

 

52.27

 

 

46.72

 

11.9

 

 

 

 

Average common shares outstanding

(in millions):

 

 

 

 

 

 

Basic

 

108.7

 

 

108.4

 

0.3

 

 

108.6

 

 

108.3

 

0.3

 

Diluted

 

109.6

 

 

108.7

 

0.8

 

 

109.3

 

 

108.5

 

0.7

 

Common shares outstanding

 

110.1

 

 

109.5

 

0.5

 

 

 

 

 

Selected Performance Ratios:

 

 

 

 

 

 

Return on average assets (2)

 

1.04

%

 

0.84

%

23.8

%

 

0.99

%

 

1.03

%

(3.9

)%

Return on average tangible common equity (1, 2)

 

14.6

 

 

11.9

 

22.7

 

 

14.0

 

 

14.9

 

(6.0

)

Net interest margin (2)

 

3.48

 

 

3.65

 

(4.7

)

 

3.58

 

 

3.63

 

(1.4

)

Efficiency ratio, adjusted for deposit costs (1)

 

51.1

 

 

59.1

 

(13.5

)

 

53.1

 

 

53.5

 

(0.7

)

HFI loan to deposit ratio

 

80.9

 

 

90.9

 

(11.0

)

 

 

 

 

 

 

 

 

 

 

Asset Quality Ratios:

 

 

 

 

 

 

Net charge-offs to average loans outstanding (2)

 

0.25

%

 

0.07

%

NM

 

 

0.18

%

 

0.06

%

NM

 

Nonaccrual loans to funded HFI loans

 

0.89

 

 

0.54

 

64.8

 

 

 

 

Nonaccrual loans and repossessed assets to total assets

 

0.65

 

 

0.40

 

62.5

 

 

 

 

Allowance for loan losses to funded HFI loans

 

0.70

 

 

0.67

 

4.5

 

 

 

 

Allowance for loan losses to nonaccrual HFI loans

 

79

 

 

123

 

(35.8

)

 

 

 

Capital Ratios:

 

 

 

 

 

 

 

 

Dec 31, 2024

 

Sep 30, 2024

 

Dec 31, 2023

Tangible common equity (1)

 

7.2

%

 

7.2

%

 

7.3

%

Common Equity Tier 1 (3)

 

11.3

 

 

11.2

 

 

10.8

 

Tier 1 Leverage ratio (3)

 

8.1

 

 

7.8

 

 

8.6

 

Tier 1 Capital (3)

 

11.9

 

 

11.9

 

 

11.5

 

Total Capital (3)

 

14.1

 

 

14.1

 

 

13.7

 

(1)

See Reconciliation of Non-GAAP Financial Measures.

(2)

Annualized on an actual/actual basis for periods less than 12 months.

(3)

Capital ratios for December 31, 2024 are preliminary.

NM

Changes +/- 100% are not meaningful.

 

Western Alliance Bancorporation and Subsidiaries

Condensed Consolidated Income Statements

Unaudited

 

 

 

 

 

 

 

Three Months Ended December 31,

 

Year Ended December 31,

 

2024

 

2023

 

2024

 

2023

 

(dollars in millions, except per share data)

Interest income:

 

 

 

 

Loans

$

915.2

 

$

859.0

 

$

3,629.1

 

$

3,409.7

 

Investment securities

 

179.4

 

 

136.2

 

 

711.0

 

 

467.5

 

Other

 

44.0

 

 

43.8

 

 

201.0

 

 

158.1

 

Total interest income

 

1,138.6

 

 

1,039.0

 

 

4,541.1

 

 

4,035.3

 

Interest expense:

 

 

 

 

Deposits

 

387.2

 

 

343.7

 

 

1,600.2

 

 

1,142.6

 

Qualifying debt

 

9.4

 

 

9.6

 

 

38.0

 

 

37.9

 

Borrowings

 

75.5

 

 

94.0

 

 

284.0

 

 

515.9

 

Total interest expense

 

472.1

 

 

447.3

 

 

1,922.2

 

 

1,696.4

 

Net interest income

 

666.5

 

 

591.7

 

 

2,618.9

 

 

2,338.9

 

Provision for credit losses

 

60.0

 

 

9.3

 

 

145.9

 

 

62.6

 

Net interest income after provision for credit losses

 

606.5

 

 

582.4

 

 

2,473.0

 

 

2,276.3

 

Non-interest income:

 

 

 

 

Service charges and loan fees

 

31.7

 

 

28.7

 

 

96.0

 

 

101.0

 

Net gain on loan origination and sale activities

 

67.9

 

 

47.8

 

 

206.3

 

 

193.5

 

Net loan servicing revenue

 

24.7

 

 

9.1

 

 

121.5

 

 

102.3

 

Income from bank owned life insurance

 

12.1

 

 

1.0

 

 

27.8

 

 

4.5

 

Income from equity investments

 

11.1

 

 

13.1

 

 

38.2

 

 

15.7

 

Gain (loss) on sales of investment securities

 

7.2

 

 

(14.8

)

 

17.4

 

 

(40.8

)

Fair value gain (loss) adjustments, net

 

2.4

 

 

1.3

 

 

7.5

 

 

(116.0

)

Other

 

14.8

 

 

4.3

 

 

28.5

 

 

20.5

 

Total non-interest income

 

171.9

 

 

90.5

 

 

543.2

 

 

280.7

 

Non-interest expenses:

 

 

 

 

Salaries and employee benefits

 

165.4

 

 

134.6

 

 

631.1

 

 

566.3

 

Deposit costs

 

174.5

 

 

131.0

 

 

693.2

 

 

436.7

 

Data processing

 

39.3

 

 

33.1

 

 

149.7

 

 

122.0

 

Insurance

 

36.7

 

 

108.6

 

 

164.8

 

 

190.4

 

Legal, professional, and directors' fees

 

28.7

 

 

29.4

 

 

109.4

 

 

107.2

 

Occupancy

 

19.6

 

 

16.9

 

 

73.1

 

 

65.6

 

Loan servicing expenses

 

17.8

 

 

14.7

 

 

68.1

 

 

58.8

 

Business development and marketing

 

11.1

 

 

6.7

 

 

32.7

 

 

21.8

 

Loan acquisition and origination expenses

 

5.7

 

 

4.8

 

 

21.5

 

 

20.4

 

Gain on extinguishment of debt

 

—

 

 

(39.3

)

 

—

 

 

(52.7

)

Other

 

20.2

 

 

21.4

 

 

81.4

 

 

86.9

 

Total non-interest expense

 

519.0

 

 

461.9

 

 

2,025.0

 

 

1,623.4

 

Income before income taxes

 

259.4

 

 

211.0

 

 

991.2

 

 

933.6

 

Income tax expense

 

42.5

 

 

63.1

 

 

203.5

 

 

211.2

 

Net income

 

216.9

 

 

147.9

 

 

787.7

 

 

722.4

 

Dividends on preferred stock

 

3.2

 

 

3.2

 

 

12.8

 

 

12.8

 

Net income available to common stockholders

$

213.7

 

$

144.7

 

$

774.9

 

$

709.6

 

 

 

 

 

 

Earnings per common share:

 

 

 

 

Diluted shares

 

109.6

 

 

108.7

 

 

109.3

 

 

108.5

 

Diluted earnings per share

$

1.95

 

$

1.33

 

$

7.09

 

$

6.54

 

 

Western Alliance Bancorporation and Subsidiaries

Five Quarter Condensed Consolidated Income Statements

Unaudited

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

Dec 31, 2024

 

Sep 30, 2024

 

Jun 30, 2024

 

Mar 31, 2024

 

Dec 31, 2023

 

(in millions, except per share data)

Interest income:

 

 

 

 

 

Loans

$

915.2

 

$

945.3

 

$

896.7

 

$

871.9

 

$

859.0

 

Investment securities

 

179.4

 

 

197.1

 

 

190.5

 

 

144.0

 

 

136.2

 

Other

 

44.0

 

 

57.6

 

 

60.3

 

 

39.1

 

 

43.8

 

Total interest income

 

1,138.6

 

 

1,200.0

 

 

1,147.5

 

 

1,055.0

 

 

1,039.0

 

Interest expense:

 

 

 

 

 

Deposits

 

387.2

 

 

422.1

 

 

410.3

 

 

380.6

 

 

343.7

 

Qualifying debt

 

9.4

 

 

9.5

 

 

9.6

 

 

9.5

 

 

9.6

 

Borrowings

 

75.5

 

 

71.5

 

 

71.0

 

 

66.0

 

 

94.0

 

Total interest expense

 

472.1

 

 

503.1

 

 

490.9

 

 

456.1

 

 

447.3

 

Net interest income

 

666.5

 

 

696.9

 

 

656.6

 

 

598.9

 

 

591.7

 

Provision for credit losses

 

60.0

 

 

33.6

 

 

37.1

 

 

15.2

 

 

9.3

 

Net interest income after provision for credit losses

 

606.5

 

 

663.3

 

 

619.5

 

 

583.7

 

 

582.4

 

Non-interest income:

 

 

 

 

 

Service charges and loan fees

 

31.7

 

 

30.1

 

 

17.8

 

 

16.4

 

 

28.7

 

Net gain on loan origination and sale activities

 

67.9

 

 

46.3

 

 

46.8

 

 

45.3

 

 

47.8

 

Net loan servicing revenue

 

24.7

 

 

12.3

 

 

38.1

 

 

46.4

 

 

9.1

 

Income from bank owned life insurance

 

12.1

 

 

13.0

 

 

1.7

 

 

1.0

 

 

1.0

 

Income from equity investments

 

11.1

 

 

5.8

 

 

4.2

 

 

17.1

 

 

13.1

 

Gain (loss) on sales of investment securities

 

7.2

 

 

8.8

 

 

2.3

 

 

(0.9

)

 

(14.8

)

Fair value gain (loss) adjustments, net

 

2.4

 

 

4.1

 

 

0.7

 

 

0.3

 

 

1.3

 

Other

 

14.8

 

 

5.8

 

 

3.6

 

 

4.3

 

 

4.3

 

Total non-interest income

 

171.9

 

 

126.2

 

 

115.2

 

 

129.9

 

 

90.5

 

Non-interest expenses:

 

 

 

 

 

Salaries and employee benefits

 

165.4

 

 

157.8

 

 

153.0

 

 

154.9

 

 

134.6

 

Deposit costs

 

174.5

 

 

208.0

 

 

173.7

 

 

137.0

 

 

131.0

 

Data processing

 

39.3

 

 

38.7

 

 

35.7

 

 

36.0

 

 

33.1

 

Insurance

 

36.7

 

 

35.4

 

 

33.8

 

 

58.9

 

 

108.6

 

Legal, professional, and directors' fees

 

28.7

 

 

24.8

 

 

25.8

 

 

30.1

 

 

29.4

 

Occupancy

 

19.6

 

 

17.6

 

 

18.4

 

 

17.5

 

 

16.9

 

Loan servicing expenses

 

17.8

 

 

18.7

 

 

16.6

 

 

15.0

 

 

14.7

 

Business development and marketing

 

11.1

 

 

9.7

 

 

6.4

 

 

5.5

 

 

6.7

 

Loan acquisition and origination expenses

 

5.7

 

 

5.9

 

 

5.1

 

 

4.8

 

 

4.8

 

Gain on extinguishment of debt

 

—

 

 

—

 

 

—

 

 

—

 

 

(39.3

)

Other

 

20.2

 

 

20.8

 

 

18.3

 

 

22.1

 

 

21.4

 

Total non-interest expense

 

519.0

 

 

537.4

 

 

486.8

 

 

481.8

 

 

461.9

 

Income before income taxes

 

259.4

 

 

252.1

 

 

247.9

 

 

231.8

 

 

211.0

 

Income tax expense

 

42.5

 

 

52.3

 

 

54.3

 

 

54.4

 

 

63.1

 

Net income

 

216.9

 

 

199.8

 

 

193.6

 

 

177.4

 

 

147.9

 

Dividends on preferred stock

 

3.2

 

 

3.2

 

 

3.2

 

 

3.2

 

 

3.2

 

Net income available to common stockholders

$

213.7

 

$

196.6

 

$

190.4

 

$

174.2

 

$

144.7

 

 

 

 

 

 

 

Earnings per common share:

 

 

 

 

 

Diluted shares

 

109.6

 

 

109.5

 

 

109.1

 

 

109.0

 

 

108.7

 

Diluted earnings per share

$

1.95

 

$

1.80

 

$

1.75

 

$

1.60

 

$

1.33

 

 

Western Alliance Bancorporation and Subsidiaries

Five Quarter Condensed Consolidated Balance Sheets

Unaudited

 

 

 

 

 

 

 

 

 

 

 

 

Dec 31, 2024

 

Sep 30, 2024

 

Jun 30, 2024

 

Mar 31, 2024

 

Dec 31, 2023

 

 

(in millions)

Assets:

 

 

 

 

 

 

 

 

 

 

Cash and due from banks

 

$

4,096

 

 

$

2,592

 

 

$

4,077

 

 

$

3,550

 

 

$

1,576

 

Investment securities

 

 

15,095

 

 

 

16,382

 

 

 

17,268

 

 

 

16,092

 

 

 

12,712

 

Loans held for sale

 

 

2,286

 

 

 

2,327

 

 

 

2,007

 

 

 

1,841

 

 

 

1,402

 

Loans held for investment:

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

 

23,128

 

 

 

22,551

 

 

 

21,690

 

 

 

19,749

 

 

 

19,103

 

Commercial real estate - non-owner occupied

 

 

9,868

 

 

 

9,801

 

 

 

9,647

 

 

 

9,637

 

 

 

9,650

 

Commercial real estate - owner occupied

 

 

1,825

 

 

 

1,817

 

 

 

1,886

 

 

 

1,859

 

 

 

1,810

 

Construction and land development

 

 

4,479

 

 

 

4,727

 

 

 

4,712

 

 

 

4,781

 

 

 

4,889

 

Residential real estate

 

 

14,326

 

 

 

14,395

 

 

 

14,445

 

 

 

14,624

 

 

 

14,778

 

Consumer

 

 

50

 

 

 

55

 

 

 

50

 

 

 

50

 

 

 

67

 

Loans HFI, net of deferred fees

 

 

53,676

 

 

 

53,346

 

 

 

52,430

 

 

 

50,700

 

 

 

50,297

 

Allowance for loan losses

 

 

(374

)

 

 

(357

)

 

 

(352

)

 

 

(340

)

 

 

(337

)

Loans HFI, net of deferred fees and allowance

 

 

53,302

 

 

 

52,989

 

 

 

52,078

 

 

 

50,360

 

 

 

49,960

 

Mortgage servicing rights

 

 

1,127

 

 

 

1,011

 

 

 

1,145

 

 

 

1,178

 

 

 

1,124

 

Premises and equipment, net

 

 

361

 

 

 

354

 

 

 

351

 

 

 

344

 

 

 

339

 

Operating lease right-of-use asset

 

 

128

 

 

 

127

 

 

 

133

 

 

 

139

 

 

 

145

 

Other assets acquired through foreclosure, net

 

 

52

 

 

 

8

 

 

 

8

 

 

 

8

 

 

 

8

 

Bank owned life insurance

 

 

1,011

 

 

 

1,000

 

 

 

187

 

 

 

187

 

 

 

186

 

Goodwill and other intangibles, net

 

 

659

 

 

 

661

 

 

 

664

 

 

 

666

 

 

 

669

 

Other assets

 

 

2,817

 

 

 

2,629

 

 

 

2,663

 

 

 

2,624

 

 

 

2,741

 

Total assets

 

$

80,934

 

 

$

80,080

 

 

$

80,581

 

 

$

76,989

 

 

$

70,862

 

Liabilities and Stockholders' Equity:

 

 

 

 

 

 

 

 

 

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

Deposits

 

 

 

 

 

 

 

 

 

 

Non-interest bearing deposits

 

$

18,846

 

 

$

24,965

 

 

$

21,522

 

 

$

18,399

 

 

$

14,520

 

Interest bearing:

 

 

 

 

 

 

 

 

 

 

Demand

 

 

15,878

 

 

 

13,846

 

 

 

17,267

 

 

 

16,965

 

 

 

15,916

 

Savings and money market

 

 

21,208

 

 

 

19,575

 

 

 

17,087

 

 

 

16,194

 

 

 

14,791

 

Certificates of deposit

 

 

10,409

 

 

 

9,654

 

 

 

10,368

 

 

 

10,670

 

 

 

10,106

 

Total deposits

 

 

66,341

 

 

 

68,040

 

 

 

66,244

 

 

 

62,228

 

 

 

55,333

 

Borrowings

 

 

5,573

 

 

 

2,995

 

 

 

5,587

 

 

 

6,221

 

 

 

7,230

 

Qualifying debt

 

 

899

 

 

 

898

 

 

 

897

 

 

 

896

 

 

 

895

 

Operating lease liability

 

 

159

 

 

 

159

 

 

 

165

 

 

 

172

 

 

 

179

 

Accrued interest payable and other liabilities

 

 

1,255

 

 

 

1,311

 

 

 

1,354

 

 

 

1,300

 

 

 

1,147

 

Total liabilities

 

 

74,227

 

 

 

73,403

 

 

 

74,247

 

 

 

70,817

 

 

 

64,784

 

Stockholders' Equity:

 

 

 

 

 

 

 

 

 

 

Preferred stock

 

 

295

 

 

 

295

 

 

 

295

 

 

 

295

 

 

 

295

 

Common stock and additional paid-in capital

 

 

2,120

 

 

 

2,110

 

 

 

2,099

 

 

 

2,087

 

 

 

2,081

 

Retained earnings

 

 

4,826

 

 

 

4,654

 

 

 

4,498

 

 

 

4,348

 

 

 

4,215

 

Accumulated other comprehensive loss

 

 

(534

)

 

 

(382

)

 

 

(558

)

 

 

(558

)

 

 

(513

)

Total stockholders' equity

 

 

6,707

 

 

 

6,677

 

 

 

6,334

 

 

 

6,172

 

 

 

6,078

 

Total liabilities and stockholders' equity

 

$

80,934

 

 

$

80,080

 

 

$

80,581

 

 

$

76,989

 

 

$

70,862

 

 

Western Alliance Bancorporation and Subsidiaries

Changes in the Allowance For Credit Losses on Loans

Unaudited

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

 

Dec 31, 2024

 

Sep 30, 2024

 

Jun 30, 2024

 

Mar 31, 2024

 

Dec 31, 2023

 

 

(in millions)

Allowance for loan losses

 

 

 

 

 

 

 

 

 

 

Balance, beginning of period

 

$

356.6

 

 

$

351.8

 

 

$

340.3

 

 

$

336.7

 

 

$

327.4

 

Provision for credit losses (1)

 

 

51.3

 

 

 

31.4

 

 

 

34.3

 

 

 

13.4

 

 

 

17.8

 

Recoveries of loans previously charged-off:

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

 

0.1

 

 

 

0.5

 

 

 

0.1

 

 

 

0.4

 

 

 

0.7

 

Commercial real estate - non-owner occupied

 

 

—

 

 

 

0.7

 

 

 

—

 

 

 

—

 

 

 

—

 

Commercial real estate - owner occupied

 

 

0.2

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

0.1

 

Construction and land development

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Residential real estate

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Consumer

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total recoveries

 

 

0.3

 

 

 

1.2

 

 

 

0.1

 

 

 

0.4

 

 

 

0.8

 

Loans charged-off:

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

 

24.8

 

 

 

4.3

 

 

 

5.3

 

 

 

2.3

 

 

 

9.3

 

Commercial real estate - non-owner occupied

 

 

9.6

 

 

 

21.7

 

 

 

17.6

 

 

 

7.9

 

 

 

—

 

Commercial real estate - owner occupied

 

 

—

 

 

 

0.3

 

 

 

—

 

 

 

—

 

 

 

—

 

Construction and land development

 

 

—

 

 

 

1.5

 

 

 

—

 

 

 

—

 

 

 

—

 

Residential real estate

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Consumer

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total loans charged-off

 

 

34.4

 

 

 

27.8

 

 

 

22.9

 

 

 

10.2

 

 

 

9.3

 

Net loan charge-offs

 

 

34.1

 

 

 

26.6

 

 

 

22.8

 

 

 

9.8

 

 

 

8.5

 

Balance, end of period

 

$

373.8

 

 

$

356.6

 

 

$

351.8

 

 

$

340.3

 

 

$

336.7

 

 

 

 

 

 

 

 

 

 

 

 

Allowance for unfunded loan commitments

 

 

 

 

 

 

 

 

 

 

Balance, beginning of period

 

$

37.6

 

 

$

35.9

 

 

$

33.1

 

 

$

31.6

 

 

$

37.9

 

Provision for (recovery of) credit losses (1)

 

 

1.9

 

 

 

1.7

 

 

 

2.8

 

 

 

1.5

 

 

 

(6.3

)

Balance, end of period (2)

 

$

39.5

 

 

$

37.6

 

 

$

35.9

 

 

$

33.1

 

 

$

31.6

 

 

 

 

 

 

 

 

 

 

 

 

Components of the allowance for credit losses on loans

 

 

 

 

 

 

 

 

 

 

Allowance for loan losses

 

$

373.8

 

 

$

356.6

 

 

$

351.8

 

 

$

340.3

 

 

$

336.7

 

Allowance for unfunded loan commitments

 

 

39.5

 

 

 

37.6

 

 

 

35.9

 

 

 

33.1

 

 

 

31.6

 

Total allowance for credit losses on loans

 

$

413.3

 

 

$

394.2

 

 

$

387.7

 

 

$

373.4

 

 

$

368.3

 

 

 

 

 

 

 

 

 

 

 

 

Net charge-offs to average loans - annualized

 

 

0.25

%

 

 

0.20

%

 

 

0.18

%

 

 

0.08

%

 

 

0.07

%

 

 

 

 

 

 

 

 

 

 

 

Allowance ratios

 

 

 

 

 

 

 

 

 

 

Allowance for loan losses to funded HFI loans (3)

 

 

0.70

%

 

 

0.67

%

 

 

0.67

%

 

 

0.67

%

 

 

0.67

%

Allowance for credit losses to funded HFI loans (3)

 

 

0.77

 

 

 

0.74

 

 

 

0.74

 

 

 

0.74

 

 

 

0.73

 

Allowance for loan losses to nonaccrual HFI loans

 

 

79

 

 

 

102

 

 

 

88

 

 

 

85

 

 

 

123

 

Allowance for credit losses to nonaccrual HFI loans

 

 

87

 

 

 

113

 

 

 

97

 

 

 

94

 

 

 

135

 

(1)

The above tables reflect the provision for credit losses on funded and unfunded loans. There was no provision on AFS investment securities and a $6.8 million provision for credit losses on HTM investment securities for the three months ended December 31, 2024. The allowance for credit losses on AFS and HTM investment securities totaled $0.4 million and $16.4 million, respectively, as of December 31, 2024.

(2)

The allowance for unfunded loan commitments is included as part of accrued interest payable and other liabilities on the balance sheet.

(3)

Ratio includes an allowance for credit losses of $11.4 million as of December 31, 2024 related to a pool of loans covered under three separate credit linked note transactions.

 

Western Alliance Bancorporation and Subsidiaries

Asset Quality Metrics

Unaudited

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

 

Dec 31, 2024

 

Sep 30, 2024

 

Jun 30, 2024

 

Mar 31, 2024

 

Dec 31, 2023

 

 

(in millions)

Nonaccrual loans and repossessed assets

 

 

 

 

 

 

 

 

 

 

Nonaccrual loans

 

$

476

 

 

$

349

 

 

$

401

 

 

$

399

 

 

$

273

 

Nonaccrual loans to funded HFI loans

 

 

0.89

%

 

 

0.65

%

 

 

0.76

%

 

 

0.79

%

 

 

0.54

%

Repossessed assets

 

$

52

 

 

$

8

 

 

$

8

 

 

$

8

 

 

$

8

 

Nonaccrual loans and repossessed assets to total assets

 

 

0.65

%

 

 

0.45

%

 

 

0.51

%

 

 

0.53

%

 

 

0.40

%

 

 

 

 

 

 

 

 

 

 

 

Loans Past Due

 

 

 

 

 

 

 

 

 

 

Loans past due 90 days, still accruing (1)

 

$

—

 

 

$

4

 

 

$

—

 

 

$

6

 

 

$

42

 

Loans past due 90 days, still accruing to funded HFI loans

 

 

—

%

 

 

0.01

%

 

 

—

%

 

 

0.01

%

 

 

0.08

%

Loans past due 30 to 89 days, still accruing (2)

 

$

92

 

 

$

110

 

 

$

83

 

 

$

117

 

 

$

164

 

Loans past due 30 to 89 days, still accruing to funded HFI loans

 

 

0.17

%

 

 

0.21

%

 

 

0.16

%

 

 

0.23

%

 

 

0.33

%

 

 

 

 

 

 

 

 

 

 

 

Other credit quality metrics

 

 

 

 

 

 

 

 

 

 

Special mention loans

 

$

392

 

 

$

502

 

 

$

532

 

 

$

394

 

 

$

641

 

Special mention loans to funded HFI loans

 

 

0.73

%

 

 

0.94

%

 

 

1.01

%

 

 

0.78

%

 

 

1.27

%

 

 

 

 

 

 

 

 

 

 

 

Classified loans on accrual

 

$

480

 

 

$

479

 

 

$

328

 

 

$

361

 

 

$

379

 

Classified loans on accrual to funded HFI loans

 

 

0.89

%

 

 

0.90

%

 

 

0.63

%

 

 

0.71

%

 

 

0.75

%

Classified assets

 

$

1,009

 

 

$

838

 

 

$

748

 

 

$

781

 

 

$

673

 

Classified assets to total assets

 

 

1.25

%

 

 

1.05

%

 

 

0.93

%

 

 

1.01

%

 

 

0.95

%

(1)

Excludes government guaranteed residential mortgage loans of $326 million, $313 million, $330 million, $349 million, and $399 million as of each respective date in the table above.

(2)

Excludes government guaranteed residential mortgage loans of $183 million, $203 million, $221 million, $224 million, and $279 million as of each respective date in the table above.

 

Western Alliance Bancorporation and Subsidiaries

Analysis of Average Balances, Yields and Rates

Unaudited

 

 

 

 

 

 

 

 

 

Three Months Ended

 

December 31, 2024

 

September 30, 2024

 

Average

Balance

 

Interest

 

Average Yield /

Cost

 

Average

Balance

 

Interest

 

Average Yield /

Cost

 

($ in millions)

Interest earning assets

 

 

 

 

 

 

Loans HFS

$

4,542

 

$

67.3

 

5.90

%

$

4,288

 

$

66.9

 

6.21

%

Loans held for investment:

 

 

 

 

 

 

Commercial and industrial

 

22,708

 

 

382.8

 

6.76

 

 

21,982

 

 

392.0

 

7.15

 

CRE - non-owner occupied

 

9,883

 

 

184.1

 

7.42

 

 

9,689

 

 

190.4

 

7.82

 

CRE - owner occupied

 

1,826

 

 

27.7

 

6.14

 

 

1,833

 

 

28.2

 

6.23

 

Construction and land development

 

4,571

 

 

100.1

 

8.72

 

 

4,757

 

 

110.7

 

9.26

 

Residential real estate

 

14,424

 

 

152.3

 

4.20

 

 

14,441

 

 

156.1

 

4.30

 

Consumer

 

52

 

 

0.9

 

6.57

 

 

53

 

 

1.0

 

7.28

 

Total HFI loans (1), (2), (3)

 

53,464

 

 

847.9

 

6.34

 

 

52,755

 

 

878.4

 

6.65

 

Investment securities:

 

 

 

 

 

 

Taxable

 

13,550

 

 

155.0

 

4.55

 

 

14,321

 

 

173.4

 

4.82

 

Tax-exempt

 

2,269

 

 

24.4

 

5.36

 

 

2,225

 

 

23.7

 

5.33

 

Total investment securities (1)

 

15,819

 

 

179.4

 

4.67

 

 

16,546

 

 

197.1

 

4.89

 

Cash and other

 

3,481

 

 

44.0

 

5.03

 

 

4,206

 

 

57.6

 

5.44

 

Total interest earning assets

 

77,306

 

 

1,138.6

 

5.91

 

 

77,795

 

 

1,200.0

 

6.19

 

Non-interest earning assets

 

 

 

 

 

 

Cash and due from banks

 

316

 

 

 

 

278

 

 

 

Allowance for credit losses

 

(364

)

 

 

 

(366

)

 

 

Bank owned life insurance

 

1,003

 

 

 

 

973

 

 

 

Other assets

 

4,427

 

 

 

 

4,409

 

 

 

Total assets

$

82,688

 

 

 

$

83,089

 

 

 

Interest-bearing liabilities

 

 

 

 

 

 

Interest-bearing deposits:

 

 

 

 

 

 

Interest-bearing demand accounts

$

14,555

 

$

101.3

 

2.77

%

$

16,456

 

$

126.2

 

3.05

%

Savings and money market

 

19,895

 

 

167.8

 

3.36

 

 

18,092

 

 

166.3

 

3.66

 

Certificates of deposit

 

9,654

 

 

118.1

 

4.87

 

 

10,134

 

 

129.6

 

5.09

 

Total interest-bearing deposits

 

44,104

 

 

387.2

 

3.49

 

 

44,682

 

 

422.1

 

3.76

 

Short-term borrowings

 

3,480

 

 

45.8

 

5.24

 

 

4,214

 

 

57.8

 

5.46

 

Long-term debt

 

1,861

 

 

29.7

 

6.34

 

 

569

 

 

13.7

 

9.57

 

Qualifying debt

 

898

 

 

9.4

 

4.19

 

 

897

 

 

9.5

 

4.23

 

Total interest-bearing liabilities

 

50,343

 

 

472.1

 

3.73

 

 

50,362

 

 

503.1

 

3.97

 

Interest cost of funding earning assets

 

2.43

 

 

 

2.58

 

Non-interest-bearing liabilities

 

 

 

 

 

 

Non-interest-bearing deposits

 

24,200

 

 

 

 

24,638

 

 

 

Other liabilities

 

1,380

 

 

 

 

1,457

 

 

 

Stockholders’ equity

 

6,765

 

 

 

 

6,632

 

 

 

Total liabilities and stockholders' equity

$

82,688

 

 

 

$

83,089

 

 

 

Net interest income and margin (4)

 

$

666.5

 

3.48

%

 

$

696.9

 

3.61

%

(1)

Yields on loans and securities have been adjusted to a tax equivalent basis. The tax equivalent adjustment was $10.0 million for each of the three months ended December 31, 2024 and September 30, 2024.

(2)

Included in the yield computation are net loan fees of $22.1 million and $21.7 million for the three months ended December 31, 2024 and September 30, 2024, respectively.

(3)

Includes non-accrual loans.

(4)

Net interest margin is computed by dividing net interest income by total average earning assets, annualized on an actual/actual basis.

 

Western Alliance Bancorporation and Subsidiaries

Analysis of Average Balances, Yields and Rates

Unaudited

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

 

December 31, 2024

 

December 31, 2023

 

 

Average

Balance

 

Interest

 

Average Yield /

Cost

 

Average

Balance

 

Interest

 

Average Yield /

Cost

 

 

($ in millions)

Interest earning assets

 

 

 

 

 

 

 

 

 

 

 

 

Loans held for sale

 

$

4,542

 

 

$

67.3

 

 

5.90

%

 

$

1,830

 

 

$

29.6

 

 

6.42

%

Loans HFI:

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

 

22,708

 

 

 

382.8

 

 

6.76

 

 

 

18,530

 

 

 

343.2

 

 

7.40

 

CRE - non-owner occupied

 

 

9,883

 

 

 

184.1

 

 

7.42

 

 

 

9,715

 

 

 

188.7

 

 

7.71

 

CRE - owner occupied

 

 

1,826

 

 

 

27.7

 

 

6.14

 

 

 

1,786

 

 

 

26.0

 

 

5.88

 

Construction and land development

 

 

4,571

 

 

 

100.1

 

 

8.72

 

 

 

4,789

 

 

 

112.6

 

 

9.33

 

Residential real estate

 

 

14,424

 

 

 

152.3

 

 

4.20

 

 

 

14,758

 

 

 

157.6

 

 

4.24

 

Consumer

 

 

52

 

 

 

0.9

 

 

6.57

 

 

 

71

 

 

 

1.3

 

 

7.52

 

Total loans HFI (1), (2), (3)

 

 

53,464

 

 

 

847.9

 

 

6.34

 

 

 

49,649

 

 

 

829.4

 

 

6.65

 

Investment securities:

 

 

 

 

 

 

 

 

 

 

 

 

Taxable

 

 

13,550

 

 

 

155.0

 

 

4.55

 

 

 

9,168

 

 

 

113.5

 

 

4.91

 

Tax-exempt

 

 

2,269

 

 

 

24.4

 

 

5.36

 

 

 

2,106

 

 

 

22.7

 

 

5.35

 

Total investment securities (1)

 

 

15,819

 

 

 

179.4

 

 

4.67

 

 

 

11,274

 

 

 

136.2

 

 

4.99

 

Cash and other

 

 

3,481

 

 

 

44.0

 

 

5.03

 

 

 

2,572

 

 

 

43.8

 

 

6.75

 

Total interest earning assets

 

 

77,306

 

 

 

1,138.6

 

 

5.91

 

 

 

65,325

 

 

 

1,039.0

 

 

6.37

 

Non-interest earning assets

 

 

 

 

 

 

 

 

 

 

 

 

Cash and due from banks

 

 

316

 

 

 

 

 

 

 

287

 

 

 

 

 

Allowance for credit losses

 

 

(364

)

 

 

 

 

 

 

(340

)

 

 

 

 

Bank owned life insurance

 

 

1,003

 

 

 

 

 

 

 

185

 

 

 

 

 

Other assets

 

 

4,427

 

 

 

 

 

 

 

4,525

 

 

 

 

 

Total assets

 

$

82,688

 

 

 

 

 

 

$

69,982

 

 

 

 

 

Interest bearing liabilities

 

 

 

 

 

 

 

 

 

 

 

 

Interest bearing deposits:

 

 

 

 

 

 

 

 

 

 

 

 

Interest bearing demand accounts

 

$

14,555

 

 

$

101.3

 

 

2.77

%

 

$

14,268

 

 

$

104.6

 

 

2.91

%

Savings and money market accounts

 

 

19,895

 

 

 

167.8

 

 

3.36

 

 

 

14,595

 

 

 

119.1

 

 

3.24

 

Certificates of deposit

 

 

9,654

 

 

 

118.1

 

 

4.87

 

 

 

9,453

 

 

 

120.0

 

 

5.03

 

Total interest bearing deposits

 

 

44,104

 

 

 

387.2

 

 

3.49

 

 

 

38,316

 

 

 

343.7

 

 

3.56

 

Short-term borrowings

 

 

3,480

 

 

 

45.8

 

 

5.24

 

 

 

5,492

 

 

 

79.4

 

 

5.74

 

Long-term debt

 

 

1,861

 

 

 

29.7

 

 

6.34

 

 

 

594

 

 

 

14.6

 

 

9.73

 

Qualifying debt

 

 

898

 

 

 

9.4

 

 

4.19

 

 

 

891

 

 

 

9.6

 

 

4.26

 

Total interest bearing liabilities

 

 

50,343

 

 

 

472.1

 

 

3.73

 

 

 

45,293

 

 

 

447.3

 

 

3.92

 

Interest cost of funding earning assets

 

 

 

2.43

 

 

 

 

 

 

2.72

 

Non-interest bearing liabilities

 

 

 

 

 

 

 

 

 

 

 

 

Non-interest bearing deposits

 

 

24,200

 

 

 

 

 

 

 

17,579

 

 

 

 

 

Other liabilities

 

 

1,380

 

 

 

 

 

 

 

1,330

 

 

 

 

 

Stockholders’ equity

 

 

6,765

 

 

 

 

 

 

 

5,780

 

 

 

 

 

Total liabilities and stockholders' equity

 

$

82,688

 

 

 

 

 

 

$

69,982

 

 

 

 

 

Net interest income and margin (4)

 

 

 

$

666.5

 

 

3.48

%

 

 

 

$

591.7

 

 

3.65

%

(1)

Yields on loans and securities have been adjusted to a tax equivalent basis. The tax equivalent adjustment was $10.0 million and $9.1 million for the three months ended December 31, 2024 and 2023, respectively.

(2)

Included in the yield computation are net loan fees of $22.1 million and $30.8 million for the three months ended December 31, 2024 and 2023, respectively.

(3)

Includes non-accrual loans.

(4)

Net interest margin is computed by dividing net interest income by total average earning assets, annualized on an actual/actual basis.

 

Western Alliance Bancorporation and Subsidiaries

Analysis of Average Balances, Yields and Rates

Unaudited

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Year Ended

 

 

December 31, 2024

 

December 31, 2023

 

 

Average

Balance

 

Interest

 

Average Yield /

Cost

 

Average

Balance

 

Interest

 

Average Yield /

Cost

 

 

($ in millions)

Interest earning assets

 

 

 

 

 

 

 

 

 

 

 

 

Loans HFS

 

$

3,531

 

 

$

216.4

 

 

6.13

%

 

$

3,347

 

 

$

213.4

 

 

6.38

%

Loans HFI:

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

 

20,845

 

 

 

1,490.6

 

 

7.21

 

 

 

17,886

 

 

 

1,337.9

 

 

7.54

 

CRE - non-owner occupied

 

 

9,681

 

 

 

744.7

 

 

7.70

 

 

 

9,736

 

 

 

734.8

 

 

7.56

 

CRE - owner occupied

 

 

1,833

 

 

 

111.2

 

 

6.17

 

 

 

1,800

 

 

 

102.3

 

 

5.79

 

Construction and land development

 

 

4,747

 

 

 

440.1

 

 

9.28

 

 

 

4,498

 

 

 

419.7

 

 

9.33

 

Residential real estate

 

 

14,529

 

 

 

622.3

 

 

4.28

 

 

 

15,126

 

 

 

596.4

 

 

3.94

 

Consumer

 

 

54

 

 

 

3.8

 

 

7.00

 

 

 

72

 

 

 

5.2

 

 

7.23

 

Total loans HFI (1), (2), (3)

 

 

51,689

 

 

 

3,412.7

 

 

6.63

 

 

 

49,118

 

 

 

3,196.3

 

 

6.53

 

Investment securities:

 

 

 

 

 

 

 

 

 

 

 

 

Taxable

 

 

13,159

 

 

 

616.0

 

 

4.68

 

 

 

8,002

 

 

 

381.3

 

 

4.76

 

Tax-exempt

 

 

2,230

 

 

 

95.0

 

 

5.34

 

 

 

2,097

 

 

 

86.2

 

 

5.15

 

Total investment securities (1)

 

 

15,389

 

 

 

711.0

 

 

4.78

 

 

 

10,099

 

 

 

467.5

 

 

4.84

 

Cash and other

 

 

3,656

 

 

 

201.0

 

 

5.50

 

 

 

2,848

 

 

 

158.1

 

 

5.55

 

Total interest earning assets

 

 

74,265

 

 

 

4,541.1

 

 

6.17

 

 

 

65,412

 

 

 

4,035.3

 

 

6.22

 

Non-interest earning assets

 

 

 

 

 

 

 

 

 

 

 

 

Cash and due from banks

 

 

293

 

 

 

 

 

 

 

273

 

 

 

 

 

Allowance for credit losses

 

 

(357

)

 

 

 

 

 

 

(326

)

 

 

 

 

Bank owned life insurance

 

 

589

 

 

 

 

 

 

 

183

 

 

 

 

 

Other assets

 

 

4,483

 

 

 

 

 

 

 

4,581

 

 

 

 

 

Total assets

 

$

79,273

 

 

 

 

 

 

$

70,123

 

 

 

 

 

Interest bearing liabilities

 

 

 

 

 

 

 

 

 

 

 

 

Interest bearing deposits:

 

 

 

 

 

 

 

 

 

 

 

 

Interest bearing demand accounts

 

$

16,155

 

 

$

480.7

 

 

2.98

%

 

$

12,422

 

 

$

352.0

 

 

2.83

%

Savings and money market accounts

 

 

17,462

 

 

 

610.2

 

 

3.49

 

 

 

14,903

 

 

 

428.1

 

 

2.87

 

Certificates of deposit

 

 

10,085

 

 

 

509.3

 

 

5.05

 

 

 

7,945

 

 

 

362.5

 

 

4.56

 

Total interest bearing deposits

 

 

43,702

 

 

 

1,600.2

 

 

3.66

 

 

 

35,270

 

 

 

1,142.6

 

 

3.24

 

Short-term borrowings

 

 

3,893

 

 

 

216.3

 

 

5.56

 

 

 

7,800

 

 

 

434.6

 

 

5.57

 

Long-term debt

 

 

830

 

 

 

67.7

 

 

8.16

 

 

 

862

 

 

 

81.3

 

 

9.43

 

Qualifying debt

 

 

896

 

 

 

38.0

 

 

4.25

 

 

 

892

 

 

 

37.9

 

 

4.25

 

Total interest bearing liabilities

 

 

49,321

 

 

 

1,922.2

 

 

3.90

 

 

 

44,824

 

 

 

1,696.4

 

 

3.78

 

Interest cost of funding earning assets

 

 

 

2.59

 

 

 

 

 

 

2.59

 

Non-interest bearing liabilities

 

 

 

 

 

 

 

 

 

 

 

 

Non-interest bearing deposits

 

 

22,017

 

 

 

 

 

 

 

18,293

 

 

 

 

 

Other liabilities

 

 

1,455

 

 

 

 

 

 

 

1,287

 

 

 

 

 

Stockholders’ equity

 

 

6,480

 

 

 

 

 

 

 

5,719

 

 

 

 

 

Total liabilities and stockholders' equity

 

$

79,273

 

 

 

 

 

 

$

70,123

 

 

 

 

 

Net interest income and margin (4)

 

 

 

$

2,618.9

 

 

3.58

%

 

 

 

$

2,338.9

 

 

3.63

%

(1)

Yields on loans and securities have been adjusted to a tax equivalent basis. The tax equivalent adjustment was $39.5 million and $35.5 million for the year ended December 31, 2024 and 2023, respectively.

(2)

Included in the yield computation are net loan fees of $109.0 million and $131.2 million for the year ended December 31, 2024 and 2023, respectively.

(3)

Includes non-accrual loans.

(4)

Net interest margin is computed by dividing net interest income by total average earning assets, annualized on an actual/actual basis.

  Western Alliance Bancorporation and Subsidiaries

Reconciliation of Non-GAAP Financial Measures

Unaudited

 

 

 

 

 

 

Pre-Provision Net Revenue by Quarter:

 

 

 

 

 

 

Three Months Ended

 

Dec 31, 2024

Sep 30, 2024

Jun 30, 2024

Mar 31, 2024

Dec 31, 2023

 

(in millions)

Net interest income

$

666.5

 

$

696.9

 

$

656.6

 

$

598.9

 

$

591.7

 

Total non-interest income

 

171.9

 

 

126.2

 

 

115.2

 

 

129.9

 

 

90.5

 

Net revenue

$

838.4

 

$

823.1

 

$

771.8

 

$

728.8

 

$

682.2

 

Total non-interest expense

 

519.0

 

 

537.4

 

 

486.8

 

 

481.8

 

 

461.9

 

Pre-provision net revenue (1)

$

319.4

 

$

285.7

 

$

285.0

 

$

247.0

 

$

220.3

 

Adjusted for:

 

 

 

 

 

Provision for credit losses

 

60.0

 

 

33.6

 

 

37.1

 

 

15.2

 

 

9.3

 

Income tax expense

 

42.5

 

 

52.3

 

 

54.3

 

 

54.4

 

 

63.1

 

Net income

$

216.9

 

$

199.8

 

$

193.6

 

$

177.4

 

$

147.9

 

 

Efficiency Ratio (Tax Equivalent Basis) by Quarter:

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

Dec 31, 2024

 

Sep 30, 2024

 

Jun 30, 2024

 

Mar 31, 2024

 

Dec 31, 2023

 

(dollars in millions)

Total non-interest expense

$

519.0

 

 

$

537.4

 

 

$

486.8

 

 

$

481.8

 

 

$

461.9

 

Less: Deposit costs

 

174.5

 

 

 

208.0

 

 

 

173.7

 

 

 

137.0

 

 

 

131.0

 

Total non-interest expense, excluding deposit costs

 

344.5

 

 

 

329.4

 

 

 

313.1

 

 

 

344.8

 

 

 

330.9

 

Divided by:

 

 

 

 

 

 

 

 

 

Total net interest income

 

666.5

 

 

 

696.9

 

 

 

656.6

 

 

 

598.9

 

 

 

591.7

 

Plus:

 

 

 

 

 

 

 

 

 

Tax equivalent interest adjustment

 

10.0

 

 

 

10.0

 

 

 

9.9

 

 

 

9.6

 

 

 

9.1

 

Total non-interest income

 

171.9

 

 

 

126.2

 

 

 

115.2

 

 

 

129.9

 

 

 

90.5

 

Less: Deposit costs

 

174.5

 

 

 

208.0

 

 

 

173.7

 

 

 

137.0

 

 

 

131.0

 

 

$

673.9

 

 

$

625.1

 

 

$

608.0

 

 

$

601.4

 

 

$

560.3

 

Efficiency ratio (2)

 

61.2

%

 

 

64.5

%

 

 

62.3

%

 

 

65.2

%

 

 

66.8

%

Efficiency ratio, adjusted for deposit costs (2)

 

51.1

%

 

 

52.7

%

 

 

51.5

%

 

 

57.3

%

 

 

59.1

%

 

Tangible Common Equity:

 

 

 

 

 

 

 

 

 

 

Dec 31, 2024

 

Sep 30, 2024

 

Jun 30, 2024

 

Mar 31, 2024

 

Dec 31, 2023

 

(dollars and shares in millions, except per share data)

Total stockholders' equity

$

6,707

 

 

$

6,677

 

 

$

6,334

 

 

$

6,172

 

 

$

6,078

 

Less:

 

 

 

 

 

 

 

 

 

Goodwill and intangible assets

 

659

 

 

 

661

 

 

 

664

 

 

 

666

 

 

 

669

 

Preferred stock

 

295

 

 

 

295

 

 

 

295

 

 

 

295

 

 

 

295

 

Total tangible common equity

 

5,753

 

 

 

5,721

 

 

 

5,375

 

 

 

5,211

 

 

 

5,114

 

Plus: deferred tax - attributed to intangible assets

 

2

 

 

 

2

 

 

 

2

 

 

 

2

 

 

 

2

 

Total tangible common equity, net of tax

$

5,755

 

 

$

5,723

 

 

$

5,377

 

 

$

5,213

 

 

$

5,116

 

Total assets

$

80,934

 

 

$

80,080

 

 

$

80,581

 

 

$

76,989

 

 

$

70,862

 

Less: goodwill and intangible assets, net

 

659

 

 

 

661

 

 

 

664

 

 

 

666

 

 

 

669

 

Tangible assets

 

80,275

 

 

 

79,419

 

 

 

79,917

 

 

 

76,323

 

 

 

70,193

 

Plus: deferred tax - attributed to intangible assets

 

2

 

 

 

2

 

 

 

2

 

 

 

2

 

 

 

2

 

Total tangible assets, net of tax

$

80,277

 

 

$

79,421

 

 

$

79,919

 

 

$

76,325

 

 

$

70,195

 

Tangible common equity ratio (3)

 

7.2

%

 

 

7.2

%

 

 

6.7

%

 

 

6.8

%

 

 

7.3

%

Common shares outstanding

 

110.1

 

 

 

110.1

 

 

 

110.2

 

 

 

110.2

 

 

 

109.5

 

Tangible book value per share, net of tax (3)

$

52.27

 

 

$

51.98

 

 

$

48.79

 

 

$

47.30

 

 

$

46.72

 

Non-GAAP Financial Measures Footnotes

 

 

(1)

We believe this non-GAAP measurement is a key indicator of the earnings power of the Company.

(2)

We believe this non-GAAP ratio provides a useful metric to measure the efficiency of the Company.

(3)

We believe this non-GAAP metric provides an important metric with which to analyze and evaluate the financial condition and capital strength of the Company.

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20250124028217/en/

Investors: Miles Pondelik, 602-346-7462 Email: MPondelik@westernalliancebank.com Media: Stephanie Whitlow, 480-998-6547 Email: SWhitlow@westernalliancebank.com