Western Alliance Reports Third Quarter 2013 Net Income of $28.2 Million, or $0.32 Per Share

  Western Alliance Reports Third Quarter 2013 Net Income of $28.2 Million, or
  $0.32 Per Share

Business Wire

PHOENIX -- October 17, 2013

Western Alliance Bancorporation (NYSE:WAL) announced today its financial
results for the third quarter 2013.

Third Quarter 2013 Highlights:

  *Net income of $28.2 million, compared to $34.0 million for the second
    quarter 2013 (which included the $10.0 million bargain purchase gain from
    the acquisition of Centennial Bank in addition to other non-recurring
    items) and $15.5 million for the third quarter 2012
  *Earnings per share of $0.32, compared to $0.39 per share in the second
    quarter 2013 (which included the effects of the Centennial Bank bargain
    purchase gain and other non-recurring items) and $0.18 per share in the
    third quarter 2012
  *Pre-tax, pre-provision operating earnings of $42.1 million, up 4.9% from
    $40.1 million in second quarter 2013 and up 25.9% from $33.4 million in
    third quarter 2012^1
  *Net interest margin of 4.41%, compared to 4.36% in the second quarter 2013
    and 4.41% in the third quarter 2012
  *Total loans of $6.52 billion, up $104 million from June 30, 2013 and up
    $1.18 billion from September 30, 2012
  *Total deposits of $7.28 billion, up $274 million from June 30, 2013 and up
    $1.11 billion from September 30, 2012
  *Nonperforming assets (nonaccrual loans and repossessed assets) decreased
    to 1.7% of total assets from 1.9% in the second quarter 2013 and from 2.7%
    in the third quarter 2012
  *Net loan recoveries (annualized) to average loans outstanding of 0.10%,
    compared to net loan charge-offs to average loans of 0.17% in the second
    quarter 2013 and 0.70% in the third quarter 2012
  *Tier I Leverage capital of 10.0% and Total Risk-Based Capital ratio of
    12.5%, compared to 9.7% and 12.3%, respectively, a year ago
  *Total equity of $826 million, up $128 million from September 30, 2012

Financial Performance

“Once again, Western Alliance delivered strong financial performance with key
metrics relating to growth, margin, efficiency and asset quality all improving
during the third quarter, resulting in record revenue and operating earnings,”
said Robert Sarver, Chairman and Chief Executive Officer of Western Alliance
Bancorporation. “Net interest income increased 17% from a year ago, while
expense growth was held to 10%. Our asset quality improvement has been notable
as net loan losses swung from a $9 million charge in the third quarter of 2012
to net recoveries of $1.5 million this quarter.”

Sarver continued, “As our performance has improved, we’re also resolved to
maintain a strong risk discipline. During the third quarter, we successfully
completed the conversion of Centennial Bank to our systems, giving us more
real-time oversight of its operations. Pending regulatory approval, we also
anticipate integrating our three subsidiary banks into one charter at the end
of the year, which will enable us to further enhance our risk management
architecture.”

Western Alliance Bancorporation reported net income of $28.2 million, or $0.32
per share, in the third quarter 2013, compared to $15.5 million, or $0.18 per
share, one year ago. Key drivers of performance improvement include sustained
organic balance sheet growth, prudent expense management, and reduced legacy
asset costs against the backdrop of improved economic conditions.

Total loans increased $104 million to $6.52 billion at September 30, 2013 from
$6.41 billion at June 30, 2013. Loans increased $1.18 billion, or 22.2%, from
September 30, 2012. The increase over the past year was primarily driven by
the Western Liberty Bancorp and Centennial Bank acquisitions, as well as
organic growth in commercial and industrial, commercial real estate, and
construction and land development loans.

Total deposits increased $274 million to $7.28 billion at September 30, 2013
from $7.00 billion at June 30, 2013. Deposits increased $1.11 billion from
September 30, 2012. The increases in each of these periods were primarily due
to growth in time certificates and savings and money market deposits.

Income Statement

Net interest income was $84.6 million in the third quarter 2013, an increase
of $2.4 million, or 2.9%, from $82.2 million in the second quarter of 2013 and
an increase of $12.7 million, or 17.5%, compared to the third quarter 2012.
The Company’s net interest margin increased in the third quarter 2013 to
4.41%, compared to 4.36% in the second quarter 2013. It was 4.41% in the third
quarter 2012.

Operating non-interest income was $5.8 million for the third quarter 2013, up
from $5.0 million in the second quarter of 2013 and $5.4 million for the third
quarter of 2012.^1

Net operating revenue was $90.4 million for the third quarter 2013, up from
$87.2 million for the second quarter of 2013 and an increase of 17.0% from
$77.3 million for the third quarter 2012.^1

Operating non-interest expense was $48.3 million for the third quarter 2013,
compared to $47.0 million for the second quarter of 2013 and $43.9 million for
the third quarter of 2012.^1 The Company’s operating efficiency ratio^1 on a
tax equivalent basis was 51.6% for the third quarter 2013, an improvement from
52.2% for the second quarter 2013 and 54.9% for the third quarter 2012 as the
growth rate in revenue continued to outpace that of expense.

The Company had 1,023 full-time equivalent employees and 42 offices at
September 30, 2013, compared to 964 employees and 39 offices one year ago.

The Company views its pre-tax, pre-provision operating earnings as a key
metric for assessing the Company’s earning power, which it defines as net
operating revenue less operating non-interest expense. For the third quarter
2013, the Company’s pre-tax, pre-provision operating earnings were $42.1
million, up from $40.1 million in the second quarter 2013 and up 25.9% from
$33.4 million in the third quarter 2012.

There was no provision for credit losses for the third quarter 2013, compared
to $3.5 million for the second quarter 2013. The provision for the third
quarter of 2012 was $8.9 million. Net loan recoveries in the third quarter
2013 were $1.5 million, or 0.10% of average loans (annualized), compared to
0.17% of net loan charge-offs to average loans (annualized) for the second
quarter 2013. Net charge-offs for the third quarter 2012 were $9.0 million or
0.70% of average loans (annualized).

Nonaccrual loans decreased $6.3 million to $76.6 million during the quarter.
Loans past due 90 days and still accruing interest totaled $5.5 million at
September 30, 2013, compared to $3.9 million at June 30, 2013 and $1.7 million
at September 30, 2012. Loans past due 30-89 days, still accruing interest
totaled $8.7 million at quarter end, up from $7.3 million at June 30, 2013 and
down from $10.2 million at September 30, 2012.

As the Company’s asset quality improved and its capital increased, the ratio
of classified assets to Tier I capital plus the allowance for credit losses, a
common regulatory measure of asset quality, improved to 31% at September 30,
2013 from 39% at September 30, 2012.^1

Net loss on sales and valuation of repossessed assets (primarily other real
estate) was $0.4 million for the third quarter 2013, compared to a $1.1
million net gain in the second quarter 2013 and a $0.1 million loss in the
third quarter 2012. At September 30, 2013 and June 30, 2013, other repossessed
assets totaled $77 million, compared to $78 million one year ago.

Balance Sheet

Gross loans totaled $6.52 billion at September 30, 2013, an increase of $104
million from June 30, 2013 and an increase of $1.18 billion from $5.33 billion
at September 30, 2012. At September 30, 2013 and June 30, 2013, the allowance
for credit losses was 1.50% of total loans, compared to 1.83% at September 30,
2012, reflecting an improvement in the Company’s asset quality.

Deposits totaled $7.28 billion at September 30, 2013, an increase of $274
million from $7.00 billion at June 30, 2013 and an increase of $1.11 billion
from $6.16 billion at September 30, 2012. Non-interest bearing deposits were
$1.97 billion at September 30, 2013, compared to $1.92 billion at June 30,
2013 and $1.84 billion at September 30, 2012. Non-interest bearing deposits
comprised 27.1% of total deposits at September 30, 2013, compared to 29.9% a
year ago, while the proportion of savings and money market accounts increased
to 41.9% from 41.2% during the same period. Certificates of deposit as a
percent of total deposits were 21.7% at September 30, 2013. The Company’s
ratio of loans to deposits was 89.6% at September 30, 2013 compared to 91.2%
at June 30, 2013 and 86.5% at September 30, 2012.

Stockholders’ equity at September 30, 2013 increased to $826 million from $800
million at June 30, 2013. At September 30, 2013, tangible common equity was
7.4% of tangible assets^1 and total risk-based capital was 12.5% of
risk-weighted assets. The Company’s tangible book value per share^1 was $7.57
at September 30, 2013, up 19.2% during the past year.

Total assets increased to $8.92 billion at September 30, 2013 from $8.59
billion at June 30, 2013, and increased 20.5% from $7.40 billion at September
30, 2012.

Operating Unit Highlights

Western Alliance Bank (doing business as Alliance Bank of Arizona and First
Independent Bank in Nevada) reported loan growth of $135 million during the
third quarter 2013 and $718 million during the last 12 months to $2.59
billion. Third quarter loan growth came primarily from commercial and
industrial, commercial real estate and construction and land development
loans. Deposits increased $183 million in the third quarter and $681 million
during the last 12 months to $2.83 billion. Net income for Western Alliance
Bank was $9.8 million during the third quarter 2013 compared with net income
of $20.5 million during the second quarter of 2013 (which includes a bargain
purchase gain of $10.0 million from the acquisition of Centennial Bank) and
net income of $8.8 million during the third quarter 2012.

Bank of Nevada, which was the recipient of net affiliate loan sales and
participations, reported that loans decreased by $29 million during the third
quarter of 2013 and increased $326 million during the last 12 months to $2.39
billion at September 30, 2013. The decline in third quarter loans came
primarily from a decrease in commercial leases, construction and land
development and residential real estate loans. Deposits decreased by $6
million in the third quarter of 2013 and increased $205 million over the last
twelve months to $2.61 billion. Net income for Bank of Nevada was $16.3
million for the third quarter 2013, compared with net income of $12.7 million
for the second quarter of 2013 and net income of $5.8 million during the third
quarter 2012.

The Torrey Pines Bank segment, which excludes the discontinued operations of
PartnersFirst, reported that loans increased $2 million during the third
quarter 2013 and increased $94 million during the last 12 months to $1.52
billion. The slight third quarter increase in the loan balances were primarily
attributable to an increase in construction and land development loans, which
were largely offset by a decrease in commercial real estate and commercial and
industrial loans. Deposits increased $95 million in the third quarter 2013 and
$231 million over the last 12 months to $1.84 billion. Net income for Torrey
Pines Bank was $4.6 million during the third quarter 2013, compared with net
income of $5.8 million for the second quarter of 2013 and net income of $6.4
million during the third quarter 2012.

Attached to this press release is summarized financial information for the
quarter ended September 30, 2013.

Subsequent Event

On October 1, 2013, the Company completed the sale of certain receivables
related to its discontinued affinity credit card business, PartnersFirst.
These receivables were classified as loans held for sale and totaled $25.4
million as of September 30, 2013.

Conference Call and Webcast

Western Alliance Bancorporation will host a conference call and live webcast
to discuss its third quarter 2013 financial results at 12:00 p.m. ET on
Friday, October 18, 2013. Participants may access the call by dialing
1-888-317-6003 and using passcode: 9765434 or via live audio webcast using the
website link: https://services.choruscall.com/links/wal131018.html. The
webcast is also available via the Company’s website at
www.westernalliancebancorp.com. Participants should log in at least 15 minutes
early to receive instructions. The call will be recorded and made available
for replay after 2:00 p.m. ET October 18^th through November 1^st at 9:00 a.m.
ET by dialing 1-877-344-7529 passcode: 10034832.

About Western Alliance Bancorporation

Western Alliance Bancorporation is the parent company of Bank of Nevada,
Western Alliance Bank doing business as Alliance Bank of Arizona and First
Independent Bank, and Torrey Pines Bank. These organizations provide a broad
array of deposit and credit services to clients in Nevada, Arizona and
California. Staffed with experienced financial professionals, these
organizations deliver a broader product array and larger credit capacity than
community banks, yet are empowered to be more responsive to customers' needs
than larger institutions. Additional investor information can be accessed on
the Investor Relations page of the Company's website,
www.westernalliancebancorp.com.

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 guidance or expectations relating to balance
sheet growth, interest margin, operating efficiency, asset quality, and
regulatory capital. 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: factors discussed in the Company’s Annual Report on
Form 10-K for the year ended December 31, 2012 as filed with the Securities
and Exchange Commission; changes in general economic conditions, either
nationally or locally in the areas in which we conduct or will conduct our
business; 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; 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.

This press release contains both financial measures based on accounting
principles generally accepted in the United States (“GAAP”) and non-GAAP based
financial measures, which are used where management believes it to be helpful
in understanding Western Alliance Bancorporation’s results of operations or
financial position. Where non-GAAP financial measures are used, the comparable
GAAP financial measure, as well as the reconcilement 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.

^1 See Reconciliation of Non-GAAP Financial Measures beginning on page 16

                                                                                        
Western Alliance Bancorporation and Subsidiaries
Summary Consolidated Financial Data
Unaudited

                    At or for the Three Months                         For the Nine Months
                    Ended September 30,                                Ended September 30,
                    2013              2012              Change %       2013              2012              Change
                                                                                                           %
                                                                                                           
Selected
Balance Sheet
Data:
(dollars in
millions)
Total assets        $ 8,921.4         $ 7,403.6         20.5   % 
Loans, net of         6,516.3           5,332.9         22.2
deferred fees
Securities
and money             1,370.8           1,338.9         2.4
market
investments
Securities
purchased
under                 128.1             139.8           (8.4   )
agreement to
resell
Total                 7,275.3           6,162.0         18.1
deposits
Borrowings            394.1             223.6           76.3
Junior
subordinated          39.4              36.2            8.8
debt
Stockholders'         826.3             698.0           18.4
equity
                                                                                                           
Selected
Income
Statement
Data:
(dollars in
thousands)
Interest            $ 92,680          $ 78,669          17.8   %      $ 265,073         $ 233,952         13.3  %
income
Interest             8,121           6,723          20.8            22,159          21,144         4.8
expense
Net interest          84,559            71,946          17.5             242,914           212,808         14.1
income
Provision for        -               8,932          (100.0 )        8,920           35,343         (74.8 )
loan losses
Net interest
income after          84,559            63,014          34.2             233,994           177,465         31.9
provision for
credit losses
Non-interest          2,625             6,982           (62.4  )         17,386            20,263          (14.2 )
income
Non-interest         49,675          47,543         4.5             145,135         139,871        3.8
expense
Income from
continuing
operations,           37,509            22,453          67.1             106,245           57,857          83.6
before income
tax expense
Income tax           9,288           6,752          37.6            22,913          16,452         39.3
expense
Income from
continuing            28,221            15,701          79.7             83,332            41,405          101.3
operations
Loss on
discontinued         (29     )        (243    )       88.1            (160    )        (686    )       (76.7 )
operations,
net
Net income          $ 28,192         $ 15,458         82.4   %      $ 83,172         $ 40,719         104.3 %
Diluted net
income per
common share        $ 0.32           $ 0.19           71.0   %      $ 0.95           $ 0.46           105.6 %
from
continuing
operations
Diluted net
loss per
common share
from                $ -              $ (0.01   )                      $ -              $ (0.01   )
discontinued
operations,
net of tax
Diluted net
income per          $ 0.32           $ 0.18           77.8   %      $ 0.95           $ 0.45           109.4 %
common share
                                                                                                           
Common Share
Data:
Diluted net
income per          $ 0.32            $ 0.18            77.8   %      $ 0.95            $ 0.45            109.4 %
common share
Book value
per common          $ 7.87            $ 6.67            18.0   % 
share
Tangible book
value per           $ 7.57            $ 6.35            19.1   % 
share, net of
tax (1)
Average
shares
outstanding
(in
thousands):
Basic                 85,799            81,712          5.0              85,596            81,555          5.0
Diluted               86,769            82,254          5.5              86,428            82,000          5.4
Common shares         87,099            83,455          4.4
outstanding
                                                                                                           
(1) See Reconciliation of Non-GAAP Financial Measures
                                                                                                           
                                                                                                           

                                                                         
Western Alliance Bancorporation and Subsidiaries
Summary Consolidated Financial Data (continued)
Unaudited

                  At or for the Three Months                    For the Nine Months
                  Ended September 30,                           Ended September 30,
                  2013            2012          Change %        2013          2012          Change %
                  (in thousands, except per share data)
Selected
Performance
Ratios:
Return on
average           1.30   %       0.85  %      52.9   %       2.03  %      0.77  %      163.6 %
assets (1)
Return on
tangible          17.06           11.65         46.4            25.52         15.55         64.1
common
equity (2)
Net
interest          4.41            4.41          0.0             4.38          4.47          (2.0  )
margin (1)
Net
interest          4.25            4.24          0.2             4.22          4.29          (1.6  )
spread
Efficiency
ratio - tax       51.56           54.87         (6.0   )
equivalent
basis (2)
Loan to
deposit           89.57           86.54         3.5
ratio
                                                                                            
Capital
Ratios:
Tangible          9.0    %       9.1   %      (1.0   )% 
equity (2)
Tangible
common            7.4             7.2           3.2
equity (2)
Tier 1
common            8.8             8.1           8.2
equity (2)
Tier 1
Leverage          10.0            9.7           2.6
ratio (3)
Tier 1 Risk
Based             11.2            11.0          2.1
Capital (3)
Total Risk
Based             12.5            12.3          1.4
Capital (3)
                                                                                            
Asset
Quality
Ratios:
Net
charge-offs
to average        (0.10  )%      0.70  %      (114.3 )%      0.04  %      0.99  %      (96.0 )%
loans
outstanding
(1)
Nonaccrual
loans to          1.20            2.27          (47.1  )
gross loans
Nonaccrual
loans and
repossessed       1.72            2.69          (36.1  )
assets to
total
assets
Loans past
due 90 days
and still         0.08            0.03          166.7
accruing to
total loans
Allowance
for credit        1.50            1.83          (18.0  )
losses to
loans
Allowance
for credit
losses to         127.67          80.35         58.9
nonaccrual
loans
                                                                                            
(1) Annualized for the three and nine month periods ended September 30, 2013 and 2012.
(2) See Reconciliation of Non-GAAP Financial Measures.
(3) Capital ratios are preliminary until Call Reports are filed.
                                                                                            
                                                                                            

                                                                
Western Alliance Bancorporation and Subsidiaries
Condensed Consolidated Income Statements
Unaudited
                                                                             
                        Three Months Ended                Nine Months Ended
                         September 30,                     September 30,
                         2013             2012             2013              2012
                         (dollars in thousands)
Interest income:         
Loans                    $ 83,994         $ 69,580         $ 239,812         $ 205,682
Investment                 8,286            9,034            24,266            28,008
securities
Federal funds sold        400            55             995             262     
and other
Total interest            92,680         78,669         265,073         233,952 
income
Interest expense:
Deposits                   4,232            3,974            11,893            12,904
Borrowings                 3,429            2,262            8,885             6,782
Junior                    460            487            1,381           1,458   
subordinated debt
Total interest            8,121          6,723          22,159          21,144  
expense
Net interest               84,559           71,946           242,914           212,808
income
Provision for             -              8,932          8,920           35,343  
credit losses
Net interest
income after              84,559         63,014         233,994         177,465 
provision for
credit losses
Non-interest
income
Service charges            2,425            2,412            7,408             7,014
Bank owned life            1,832            1,116            3,904             3,359
insurance
Amortization of
affordable housing         (1,504 )         (651   )         (3,304  )         (710    )
investments
(Losses) Gains on
sales of                   (1,679 )         1,031            (1,537  )         2,502
investment
securities, net
Unrealized
(losses) gains on
assets/liabilities         (7     )         470              (3,768  )         701
measured at fair
value, net
Bargain purchase
gain from                  -                -                10,044            -
acquisition
Other                     1,558          2,604          4,639           7,397   
Total non-interest        2,625          6,982          17,386          20,263  
income
Non-interest
expenses:
Salaries and               28,689           25,500           83,363            78,159
employee benefits
Occupancy                  4,901            4,655            14,500            14,046
Legal,
professional and           3,006            2,291            8,017             6,380
directors' fees
Insurance                  1,884            2,121            6,350             6,323
Data Processing            1,872            1,390            5,912             3,678
Marketing                  1,599            1,231            4,970             4,061
Loan and
repossessed asset          1,136            1,236            3,453             4,573
expenses
Customer service           677              653              2,037             1,926
Net loss (gain) on
sales and                  371              126              (234    )         3,678
valuations of
repossessed assets
Intangible                 597              880              1,791             2,660
amortization
Merger /
restructure                1,018            113              3,833             113
expense
Goodwill and
intangible                 -                3,435            -                 3,435
impairment
Other                     3,925          3,912          11,143          10,839  
Total non-interest        49,675         47,543         145,135         139,871 
expense
Income from
continuing                 37,509           22,453           106,245           57,857
operations before
income taxes
Income tax expense        9,288          6,752          22,913          16,452  
Income from
continuing                 28,221           15,701           83,332            41,405
operations
Loss from
discontinued              (29    )        (243   )        (160    )        (686    )
operations net of
tax benefit
Net income                 28,192           15,458           83,172            40,719
Preferred stock           353            352            1,059           3,440   
dividends
Net income
available to             $ 27,839        $ 15,106        $ 82,113         $ 37,279  
common
stockholders
Diluted net income       $ 0.32          $ 0.18          $ 0.95           $ 0.45    
per share
                                                                             
                                                                             

                                                                             
Western Alliance Bancorporation and Subsidiaries
Five Quarter Condensed Consolidated Income Statements
Unaudited
                                                                                             
                        Three Months Ended
                         September        June 30,         March 31,        December         September
                         30,                                                31,              30,
                         2013             2013             2013             2012             2012
                        (in thousands, except per share data)
Interest income:
Loans                    $ 83,994         $ 81,093         $ 74,725         $ 75,303         $ 69,580
Investment                 8,286            7,822            8,158            8,794            9,034
securities
Federal funds sold        400            370            225            246            55     
and other
Total interest            92,680         89,285         83,108         84,343         78,669 
income
Interest expense:
Deposits                   4,232            3,929            3,732            3,890            3,974
Borrowings                 3,429            2,749            2,707            2,528            2,262
Junior                    460            455            466            470            487    
subordinated debt
Total interest            8,121          7,133          6,905          6,888          6,723  
expense
Net interest               84,559           82,152           76,203           77,455           71,946
income
Provision for             -              3,481          5,439          11,501         8,932  
credit losses
Net interest
income after              84,559         78,671         70,764         65,954         63,014 
provision for
credit losses
Non-interest
income
Service charges            2,425            2,449            2,534            2,438            2,412
Bank owned life            1,832            1,036            1,036            1,080            1,116
insurance
Amortization of
affordable housing         (1,504 )         (900   )         (900   )         (1,069 )         (651   )
investments
(Losses) Gains on
sales of                   (1,679 )         (5     )         147              1,447            1,031
investment
securities, net
Unrealized
(losses) gains on
assets/liabilities         (7     )         (3,290 )         (471   )         (48    )         470
measured at fair
value, net
Bargain purchase
gain from                  -                10,044           -                17,562           -
acquisition
Other                     1,558          1,528          1,553          3,053          2,604  
Total non-interest        2,625          10,862         3,899          24,463         6,982  
income
Non-interest
expenses:
Salaries and               28,689           28,100           26,574           26,885           25,500
employee benefits
Occupancy                  4,901            4,753            4,846            4,769            4,655
Legal,
professional and           3,006            2,227            2,784            1,849            2,291
directors' fees
Insurance                  1,884            2,096            2,370            2,188            2,121
Data Processing            1,872            2,175            1,865            2,071            1,390
Marketing                  1,599            1,607            1,764            1,546            1,231
Loan and
repossessed asset          1,136            721              1,596            2,102            1,236
expenses
Customer service           677              717              643              678              653
Net loss (gain) on
sales and                  371              (1,124 )         519              529              126
valuations of
repossessed assets
Intangible                 597              597              597              596              880
amortization
Merger /
restructure                1,018            2,620            195              2,706            113
expense
Goodwill and
intangible                 -                -                -                -                3,435
impairment
Other                     3,925          4,042          3,176          3,070          3,912  
Total non-interest        49,675         48,531         46,929         48,989         47,543 
expense
Income from
continuing                 37,509           41,002           27,734           41,428           22,453
operations before
income taxes
Income tax expense        9,288          6,817          6,808          7,509          6,752  
Income from
continuing               $ 28,221         $ 34,185         $ 20,926         $ 33,919         $ 15,701
operations
(Loss) Income from
discontinued              (29    )        (169   )        38             (1,804 )        (243   )
operations, net of
tax
Net income               $ 28,192        $ 34,016        $ 20,964        $ 32,115        $ 15,458 
Preferred stock           353            353            353            353            352    
dividends
Net Income
available to             $ 27,839        $ 33,663        $ 20,611        $ 31,762        $ 15,106 
common
stockholders
Diluted net income       $ 0.32          $ 0.39          $ 0.24          $ 0.37          $ 0.18   
per share
                                                                                             
                                                                                             

                                                                             
Western Alliance Bancorporation and Subsidiaries
Five Quarter Condensed Consolidated Balance Sheets
Unaudited
                  
                    September         June 30,          March 31,         December          September
                    30,                                                   31,               30,
                    2013              2013              2012              2012              2012
                    (in millions)
Assets:             
Cash and due        $ 380.9           $ 248.9           $ 422.3           $ 204.6           $ 168.1
from banks
Securities
purchased
under                128.1           134.0           134.0           -               139.8   
agreement to
resell
Cash and cash         509.0             382.9             556.3             204.6            307.9
equivalents
                                                                                            
Securities
and money             1,370.8           1,313.1           1,302.4           1,236.6           1,338.9
market
investments
Loans held            25.4              27.6              27.9              31.1              -
for sale
Loans held
for
investment
Commercial            2,234.9           2,174.1           2,084.9           1,947.8           1,756.0
Commercial
real estate -         1,864.3           1,839.7           1,538.4           1,505.6           1,407.1
non-owner
occupied
Commercial
real estate -         1,551.2           1,550.0           1,414.3           1,396.8           1,331.3
owner
occupied
Construction
and land              459.8             416.7             381.1             394.3             379.8
development
Residential           359.0             381.7             388.7             407.9             408.4
real estate
Consumer              29.8              28.5              26.0              31.8              56.6
Deferred             (8.1    )        (6.8    )        (6.0    )        (6.0    )        (6.3    )
fees, net
Gross loans
and deferred          6,490.9           6,383.9           5,827.4           5,678.2           5,332.9
fees, net
Allowance for        (97.9   )        (96.3   )        (95.5   )        (95.4   )        (97.4   )
credit losses
Loans, net           6,393.0         6,287.6         5,731.9         5,582.8         5,235.5 
                                                                                            
Premises and
equipment,            105.9             106.1             107.1             107.9             106.9
net
Other
repossessed           76.5              76.5              77.9              77.2              78.2
assets
Bank owned
life                  139.7             140.4             139.4             138.3             137.3
insurance
Goodwill and
other                 27.9              28.5              29.2              29.8              29.0
intangibles
Other assets         273.2           231.0           202.0           214.3           169.9   
Total assets        $ 8,921.4        $ 8,593.7        $ 8,174.1        $ 7,622.6        $ 7,403.6 
                                                                                                      
Liabilities
and
Stockholders'
Equity:
Liabilities:
Deposits:
Non-interest
bearing             $ 1,972.5         $ 1,919.6         $ 1,930.4         $ 1,933.2         $ 1,840.8
demand
deposits
Interest
bearing
Demand                673.7             631.3             619.7             582.3             514.7
Savings and           3,050.0           2,945.1           2,826.7           2,573.5           2,541.2
money market
Time                 1,579.1         1,505.3         1,358.1         1,366.2         1,265.3 
certificates
Total                 7,275.3           7,001.3           6,734.9           6,455.2           6,162.0
deposits
Customer
repurchase           55.5            51.9            64.7            79.0            73.1    
agreements
Total
customer              7,330.8           7,053.2           6,799.6           6,534.2           6,235.1
funds
Securities            126.6             129.5             132.6             -                 138.3
sold short
Borrowings            394.1             418.6             293.8             193.7             223.6
Junior
subordinated          39.4              39.9              36.7              36.2              36.2
debt
Accrued
interest
payable and          204.2           153.0           130.1           98.9            72.4    
other
liabilities
Total                8,095.1         7,794.2         7,392.8         6,863.0         6,705.6 
liabilities
Stockholders'
Equity
Common stock
and
additional            792.2             789.5             786.9             784.9             751.1
paid-in
capital
Preferred             141.0             141.0             141.0             141.0             141.0
Stock
Accumulated           (92.4   )         (120.2  )         (153.8  )         (174.5  )         (206.2  )
deficit
Accumulated
other                (14.5   )        (10.8   )        7.2             8.2             12.1    
comprehensive
(loss) income
Total
stockholders'        826.3           799.5           781.3           759.6           698.0   
equity
Total
liabilities
and                 $ 8,921.4        $ 8,593.7        $ 8,174.1        $ 7,622.6        $ 7,403.6 
stockholders'
equity
                                                                                            
                                                                                            

                                                                            
Western Alliance Bancorporation and Subsidiaries
Changes in the Allowance For Credit Losses
Unaudited
                                                                                            
                   Three Months Ended
                   September          June 30,          March 31,         December          September
                   30,                                                    31,               30,
                   2013               2013              2013              2012              2012
                   (in thousands)
                                                                                            
Balance,
beginning of       $ 96,323           $ 95,494          $ 95,427          $ 97,410          $ 97,512
period
Provision
for credit           -                  3,481             5,439             11,501            8,932
losses
Recoveries
of loans
previously
charged-off:
Commercial
and                  2,242              1,757             441               372               501
industrial
Commercial
real estate          273                154               440               288               27
- non-owner
occupied
Commercial
real estate          149                479               502               109               606
- owner
occupied
Construction
and land             966                120               701               2,033             567
development
Residential          430                549               569               313               153
real estate
Consumer            15               11              14              63              38      
Total                4,075              3,070             2,667             3,178             1,892
recoveries
Loans
charged-off:
Commercial
and                  544                1,065             1,770             4,654             4,100
industrial
Commercial
real estate          466                1,000             1,908             2,673             998
- non-owner
occupied
Commercial
real estate          399                1,391             979               4,470             472
- owner
occupied
Construction
and land             -                  238               614               405               2,315
development
Residential          1,138              2,010             2,493             1,307             2,242
real estate
Consumer            -                18              275             3,153           799     
Total loans          2,547              5,722             8,039             16,662            10,926
charged-off
Net loan
(recoveries)        (1,528  )         2,652           5,372           13,484          9,034   
charge-offs
Balance, end       $ 97,851          $ 96,323         $ 95,494         $ 95,427         $ 97,410  
of period
                                                                                            
Net
charge-offs
(recoveries)
to average           (0.10   )%        0.17    %         0.38    %         0.99    %         0.70    %
loans
outstanding
- annualized
Allowance
for credit           1.50               1.50              1.63              1.67              1.83
losses to
gross loans
Nonaccrual         $ 76,641           $ 82,899          $ 93,748          $ 104,716         $ 121,238
loans
Repossessed          76,475             76,499            77,921            77,247            78,234
assets
Loans past
due 90 days,         5,456              3,893             1,640             1,388             1,710
still
accruing
Loans past
due 30 to 89         8,689              7,341             14,795            16,565            10,181
days, still
accruing
Classified
loans on             144,041            140,192           97,351            112,637           116,841
accrual
Special
mention              137,247            162,482           125,660           103,550           97,681
loans
                                                                                            
                                                                                            

                                                                                      
Western Alliance Bancorporation and Subsidiaries
Analysis of Average Balances, Yields and Rates
Unaudited
                                                                                                    
                          Three Months Ended September 30,
                          2013                                       2012
                          Average                        Average     Average                        Average
                                          Interest       Yield/                      Interest       Yield/
                          Balance                                    Balance
                                                         Cost                                       Cost
                         ($ in           ($ in                      ($ in           ($ in
                          millions)       thousands)                 millions)       thousands)
Interest earning
assets
Loans (1)                 $ 6,306.4       $  83,994      5.44  %     $ 5,191.2       $  69,580      5.42  %
Investment                  1,303.4          8,286       3.01  %       1,372.4          9,034       3.17  %
securities (1)
Federal funds sold         364.6          400         0.44  %      195.4          55          0.11  %
and other
Total interest              7,974.4          92,680      4.81  %       6,759.0          78,669      4.81  %
earning assets
Non-interest
earning assets
Cash and due from           145.0                                      120.1
banks
Allowance for               (98.2   )                                  (98.2   )
credit losses
Bank owned life             140.6                                      136.5
insurance
Other assets               466.9                                    356.6   
Total assets              $ 8,628.6                                 $ 7,274.0 
Interest-bearing
liabilities
Interest-bearing
deposits:
Interest-bearing
transaction               $ 641.7         $  376         0.23  %     $ 510.5         $  296         0.23  %
accounts
Savings and money           2,828.1          2,172       0.31  %       2,414.2          1,990       0.33  %
market
Time certificates          1,675.5        1,685       0.40  %      1,286.5        1,688       0.52  %
of deposit
Total
interest-bearing            5,145.3          4,232       0.33  %       4,211.2          3,974       0.38  %
deposits
Borrowings                  574.8            3,429       2.39  %       455.6            2,262       1.99  %
Junior subordinated        39.9           460         4.61  %      36.7           487         5.31  %
debt
Total
interest-bearing            5,760.0          8,121       0.56  %       4,703.5          6,723       0.57  %
liabilities
Noninterest-bearing
liabilities
Noninterest-bearing         1,931.1                                    1,813.0
demand deposits
Other liabilities           114.7                                      70.7
Stockholders’              822.8                                    686.8   
equity
Total liabilities
and stockholders'         $ 8,628.6                                 $ 7,274.0 
equity
Net interest income                       $  84,559      4.41  %                     $  71,946      4.41  %
and margin
Net interest spread                                      4.25  %                                    4.24  %
                                                                                                    
(1) Yields on loans and securities have been adjusted to a tax equivalent basis. The taxable-equivalent
adjustment was $3,272 and $2,655 for the third quarter ended 2013 and 2012, respectively.

                                                                                                    

                                                                                         
Western Alliance Bancorporation and Subsidiaries
Analysis of Average Balances, Yields and Rates
Unaudited
                      
                          Nine Months Ended September 30,
                          2013                                       2012
                          Average                        Average     Average                        Average
                                          Interest       Yield/                      Interest       Yield/
                          Balance                                    Balance
                                                         Cost                                       Cost
                         ($ in           ($ in                      ($ in           ($ in
                          millions)       thousands)                 millions)       thousands)
Interest earning
Assets
Loans (1)                 $ 6,008.4       $  239,812     5.42  %     $ 4,996.8       $  205,682     5.53  %
Investment                  1,294.3          24,266      3.05  %       1,404.2          28,008      3.15  %
securities (1)
Federal funds sold         392.2          995         0.34  %      153.5          262         0.23  %
& other
Total interest              7,694.9          265,073     4.76  %       6,554.5          233,952     4.90  %
earnings assets
Non-interest
earning assets
Cash and due from           130.3                                      115.7
banks
Allowance for               (97.2   )                                  (98.8   )
credit losses
Bank owned life             139.7                                      135.4
insurance
Other assets               440.6                                    353.7   
Total assets              $ 8,308.3                                 $ 7,060.5 
Interest-bearing
liabilities
Interest-bearing
deposits:
Interest bearing
transaction               $ 625.8         $  1,047       0.22  %     $ 511.0         $  920         0.24  %
accounts
Savings and money           2,740.0          6,090       0.30  %       2,314.9          6,114       0.35  %
market
Time certificates          1,570.5        4,756       0.40  %      1,343.7        5,870       0.58  %
of deposits
Total
interest-bearing            4,936.3          11,893      0.32  %       4,169.6          12,904      0.42  %
deposits
Borrowings                  526.0            8,885       2.25  %       392.3            6,782       2.31  %
Junior subordinated        37.6           1,381       4.90  %      37.0           1,458       5.26  %
debt
Total
interest-bearing          $ 5,499.9       $  22,159      0.54  %     $ 4,598.9       $  21,144      0.61  %
liabilities
Noninterest-bearing
liabilities
Noninterest-bearing         1,895.1                                    1,734.6
demand deposits
Other liabilities           110.8                                      56.1
Stockholders’              802.5                                    670.9   
equity
Total liabilities
and stockholders'         $ 8,308.3                                 $ 7,060.5 
equity
Net interest income                       $  242,914     4.38  %                     $  212,808     4.47  %
and margin
Net interest spread                                      4.22  %                                    4.29  %
                                                                                                    
(1) Yields on loans and securities have been adjusted to a tax equivalent basis. The taxable-equivalent
adjustment was $9,583 and $6,726 for the nine months September 30, 2013 and 2012, respectively.

                                                                                                    

                                                                                         
Western Alliance Bancorporation and Subsidiaries
Operating Segment Results
Unaudited
                
                                                                                   Inter-
                                                                                    segment         Consoli-
                    Western         Bank            Torrey                          elimi-          dated
                    Alliance        of Nevada       Pines Bank*     Other           nations         Company
                    Bank
                    (dollars in millions)
At September        
30, 2013
Assets              $ 3,346.7       $ 3,288.1       $ 2,076.2       $ 1,127.8       $ (917.4  )     $ 8,921.4
Held for sale         -               -               25.4            -               -               25.4
loans
Gross loans
and deferred          2,589.2         2,387.1         1,498.7         58.9            (43.0   )       6,490.9
fees, net
Less:
Allowance for        (28.0   )      (51.0   )      (18.3   )      (0.6    )      -             (97.9    )
credit losses
Loans, net           2,561.2       2,336.1       1,480.4       58.3          (43.0   )      6,393.0  
Goodwill and
intangible            2.8             25.1            -               -               -               27.9
assets
Deposits              2,832.0         2,613.5         1,844.7         -               (14.9   )       7,275.3
Borrowings            81.4            203.0           3.2             106.5           -               394.1
Stockholders'         291.5           373.7           171.8           844.7           (855.4  )       826.3
equity
                                                                                                    
                                                                                                    
No. of                18              12              12              -               -               42
branches
No. of FTE            294             392             228             109             -               1,023
                                                                                                    
                    (in thousands)
Three Months
Ended               
September 30,
2013:
Net interest
income              $ 33,755        $ 31,888        $ 21,055        $ (2,139  )     $ -             $ 84,559
(expense)
Provision for
(recovery of)        6,277         (6,918  )      2,387         (1,746  )      -             -        
credit losses
Net interest
income
(expense)
after
provision for         27,478          38,806          18,668          (393    )       -               84,559
credit losses
Non-interest          1,816           2,314           108             2,914           (4,527  )       2,625
income
Non-interest         (15,520 )      (18,799 )      (11,949 )      (7,934  )      4,527         (49,675  )
expense
Income (loss)
from
continuing
operations
before income         13,774          22,321          6,827           (5,413  )       -               37,509
taxes
Income tax
expense              3,977         6,027         2,230         (2,946  )      -             9,288    
(benefit)
Income (loss)
from                  9,797           16,294          4,597           (2,467  )       -               28,221
continuing
operations
Loss from
discontinued         -             -             -             (29     )      -             (29      )
operations,
net
Net income          $ 9,797        $ 16,294       $ 4,597        $ (2,496  )     $ -            $ 28,192   
(loss)
                                                                                                    
                    (in thousands)
Nine Months
Ended               
September 30,
2013:
Net interest
income              $ 92,920        $ 91,821        $ 62,435        $ (4,262  )     $ -             $ 242,914
(expense)
Provision for
(recovery of)        9,921         (5,514  )      3,219         1,294         -             8,920    
credit losses
Net interest
income
(expense)
after
provision for         82,999          97,335          59,216          (5,556  )       -               233,994
credit losses
Non-interest          14,520          9,383           1,312           4,325           (12,154 )       17,386
income
Non-interest         (45,688 )      (52,724 )      (35,876 )      (23,001 )      12,154        (145,135 )
expense
Income (loss)
from
continuing
operations
before income         51,831          53,994          24,652          (24,232 )       -               106,245
taxes
Income tax
expense              13,066        14,292        7,898         (12,343 )      -             22,913   
(benefit)
Income (loss)
from                  38,765          39,702          16,754          (11,889 )       -               83,332
continuing
operations
Loss from
discontinued         -             -             -             (160    )      -             (160     )
operations,
net
Net income          $ 38,765       $ 39,702       $ 16,754       $ (12,049 )     $ -            $ 83,172   
(loss)
                                                                                                    
* Excludes discontinued operations
                                                                                                    
                                                                                                    

*Story too large*
                                                              
Western Alliance Bancorporation and Subsidiaries
Operating Segment Results
Unaudited
            
                                                            Inter-
                                                             segment     Consoli-
                Western      Bank       Torrey               elimi-      dated
                Alliance     of         Pines      Other     nations     Company
                Bank         Nevada     Bank*
                (dollars in millions)
At
September       
30, 2012

[TRUNCATED]
 
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