Page 1

Western Alliance Bancorporation One East Washington Street Phoenix , AZ 85004 www.westernalliancebancorporation.com PHOENIX -- ( BUSINESS WIRE ) -- October 21 , 2021 THIRD QUARTER 2021 FINANCIAL RESULTS Net income . $ 236.9 million ■ Earnings per share $ 2.28 $ 2.30 , excluding acquisition and restructure expenses I LINKED - QUARTER BASIS FINANCIAL HIGHLIGHTS : Net income of $ 236.9 million and earnings per share of $ 2.28 , compared to $ 223.8 million and $ 2.17 , respectively Net revenue of $ 548.5 million , an increase of 8.3 % , or $ 42.0 million , compared to a decrease in non - interest expenses of ( 4.5 ) % , or $ ( 11.0 ) million Pre - provision net revenue of $ 317.1 million , up $ 39.7 million from $ 277.4 million Effective tax rate of 21.7 % , compared to 19.0 % FINANCIAL POSITION RESULTS : HFI loans of $ 34.8 billion , up $ 4.8 billion , or 63.1 % annualized Total deposits of $ 45.3 billion , up $ 3.4 billion , or 31.8 % annualized Stockholders ' equity of $ 4.5 billion , up $ 480 million PPNR¹ $ 317.1 million CEO COMMENTARY : " Western Alliance continued to deliver exceptional balance sheet growth in the third quarter , surpassing the $ 50 billion asset milestone , while generating record revenues , PPNR¹ and earnings , " said Kenneth A. Vecchione , President and Chief Executive Officer . " Our unique national commercial business strategy produced our highest ever quarterly organic loan growth of $ 4.8 billion ( 63 % annualized ) , with deposits also up $ 3.4 billion ( 32 % annualized ) , driving a 14.3 % increase in PPNR¹ during the quarter to $ 317.1 million . Further , our ability to thoughtfully deploy liquidity into earning assets produced record net income of $ 236.9 million and earnings per share of $ 2.28 ( or $ 2.30 , excluding merger and restructure costs ) . Asset quality remained stable with nonperforming assets to total assets of 0.17 % and annualized net charge - offs to average loans outstanding at a modest 0.04 % for the quarter . " Acquisition of AmeriHome Mortgage Company : On April 7 , 2021 , the Company completed its previously announced acquisition of Aris Mortgage Holding Company , LLC , the parent company of AmeriHome Mortgage Company , LLC ( " AmeriHome " ) . The Company's results include the financial results of AmeriHome beginning on April 7 , 2021. Pursuant to accounting guidance , acquired assets and liabilities are recorded estimated fair value as of the acquisition date . The estimated fair value of certain net assets are preliminary and are subject to measurement period adjustments . Based on AmeriHome's closing balance sheet and a $ 275 million premium , cash consideration was approximately $ 1.22 billion . LOANS AND ASSET QUALITY : Nonperforming assets ( nonaccrual loans and repossessed assets ) to total assets of 0.17 % , compared to 0.20 % Annualized net loan charge - offs to average loans outstanding of 0.04 % , compared to approximately 0.00 % KEY PERFORMANCE METRICS : 1 See reconciliation of Non - GAAP Financial Measures on page 18 . ■ Net interest margin of 3.43 % , compared to 3.51 % . Return on average assets and on tangible common equity¹ of 1.83 % and 26.6 % , compared to 1.86 % and 28.1 % , respectively I Tangible common equity ratio¹ of 6.9 % , compared to 7.1 % Tangible book value per share¹ , net of tax , of $ 34.67 , an increase of 5.5 % from $ 32.86 Efficiency ratio¹ of 41.5 % , compared to 44.5 % Net interest margin 3.43 % . Western Alliance WA Bancorporation Efficiency ratio¹ 41.5 % YEAR - OVER - YEAR Increase in HFI loans of $ 8.8 billion , or 33.9 % Increase in total deposits of $ 16.4 billion , or 57.0 % Increase in stockholders ' equity of $ 1.3 billion Book value per common share $ 40.49 Pre - provision net revenue of $ 317.1 million , up $ 135.9 million from $ 181.2 million Effective tax rate of 21.7 % , compared to 18.5 % $ 34.67¹ , excluding goodwill and intangibles Net income of $ 236.9 million and earnings per share of $ 2.28 , up 74.4 % and 67.6 % , from $ 135.8 million and $ 1.36 , respectively Net revenue of $ 548.5 million , an increase of 79.7 % , or $ 243.2 million , compared to an increase in non - interest expenses of 88.4 % , or $ 109,7 million Nonperforming assets to total assets of 0.17 % , compared to 0.47 % Annualized net loan charge - offs to average loans outstanding of 0.04 % , compared to 0.13 % Net interest margin of 3.43 % , compared to 3.71 % Return on average assets and on tangible common equity¹ of 1.83 % and 26.6 % , compared to 1.66 % and 18.7 % , respectively Tangible common equity ratio¹ of 6.9 % , compared to 8.9 % Tangible book value per share¹ , net of tax , of $ 34.67 , an increase of 19.4 % from $ 29.03 Efficiency ratio¹ of 41.5 % , compared to 39.7 %