8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the

Securities Exchange Act of 1934

Date of Report (Date of earliest event reported):  July 22, 2010

WESTERN ALLIANCE BANCORPORATION

(Exact name of registrant as specified in its charter)

Nevada	001-32550	88-0365922
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification No.)

2700 West Sahara Avenue, Las Vegas, Nevada  89102

 (Address of principal executive offices)                   (Zip Code)

(702)248-4200

(Registrant's telephone number, including area code)

Not Applicable

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

ITEM 2.02. RESULTS OF OPERATIONS AND FINANCIAL CONDITION.

On July 22, 2010, Western Alliance Bancorporation issued a press release reporting results for the fiscal quarter and year to date ended June 30, 2010 and posted on its website its second quarter 2010 Earnings Conference Call Presentation, which contains certain additional historical and forward-looking information relating to the Company.  Copies of the press release and presentation slides are attached hereto as Exhibits 99.1 and 99.2, respectively.  

The information in this report (including exhibits 99.1 and 99.2 hereto) is being “furnished” and shall not be deemed “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, is not subject to the liabilities of that section and is not deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Securities Exchange Act of 1934, as amended, except as shall be expressly set for the by specific reference in such filing.

ITEM 9.01. FINANCIAL STATEMENTS AND EXHIBITS.

(d) Exhibits.

            99.1         Press Release dated July 22, 2010.

            99.2         Second Quarter 2010 Earnings Conference Call Presentation dated July 23, 2010

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	WESTERN ALLIANCE BANCORPORATION
	(Registrant)
	/s/ Dale Gibbons
	Dale Gibbons
	Executive Vice President and
	Chief Financial Officer
Date: July 22, 2010

EX-99.1

Exhibit 99.1

FOR IMMEDIATE RELEASE	CONTACT:	Dale Gibbons
July 22, 2010		CFO
		702-252-6236

Western Alliance Reports Results for the Second Quarter 2010

 ●      Breakeven Performance, Improving Credit Trends

 ●      Loan Growth: $71 million, Deposit Growth: $40 million

Las Vegas – July 22, 2010 -- Western Alliance Bancorporation (NYSE:WAL) announced today its financial results for the second quarter 2010.

Second Quarter 2010 Highlights:

●     Pre-tax, pre-provision operating earnings rise 19.0% to $22.7 million compared to first quarter 20101

●     Record net interest income of $57.5 million, up 5% compared to prior quarter

●     Net interest margin of 4.16% compared to 4.17% in first quarter

●     Non-accrual loans and repossessed assets decline 6% to $239 million from the first quarter

●     Classified assets and watch loans declined 9.6% and 13.9%, respectively, during the quarter

●     Provision for credit losses declined to $23.1 million from $28.7 million for the first quarter

●     Net loan charge-offs of $25.8 million, up slightly from $24.6 million for the first quarter

●     Net income of $1.2 million, including net gains of $15.4 million, net loss on repossessed asset valuations/sales of $12 million, and loss on discontinued operations of $0.8 million

●     Diluted net loss per common share of $0.02 compared to net loss of $0.03 for the first quarter of 2010 and $0.31 net loss for the second quarter 2009

●     Tangible common equity of $405 million, or 6.8% of tangible assets1

●     Tier I Leverage capital of 9.1% and Total Risk-Based Capital ratio of 13%, both significantly above “Well Capitalized” thresholds

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

Financial Performance

“The second quarter of 2010 continues the corporation’s focus on improving our stated 2010 financial objectives.  Namely, increase pre-tax pre-provision income, increase our local market share, and improve our asset quality. Nearly all business and financial metrics for the quarter showed considerable improvement,” said Robert Sarver, Chairman and Chief Executive Officer of Western Alliance Bancorporation.  “Growth in deposits and loans, along with improving asset quality, will continue to increase WAL’s franchise value in the quarters to come.  In the near term, however, we may continue to see volatility in our business and financial metrics due to the uneven pace of improving market conditions in each region.”

Ken Vecchione, President and Chief Operating Officer, added, “The WAL team continues to execute upon our corporate objectives while improving enterprise risk management systems and removing regulatory issues that will restore the company to profitability and increase shareholder value. During the last year we eliminated our reliance on wholesale funding and reduced the risk in our balance sheet.”

Western Alliance Bancorporation reported net income of $1.2 million in the second quarter 2010, including a net loss from sales/valuation of repossessed assets of $12.0 million, a loss on discontinued operations net of tax of $0.8 million, net gain from securities sales of $6.1 million, net gain on fair value measurements of $6.3 million and gain on debt extinguishment of $3.0 million.

Net of preferred dividends and accretion of discount on preferred stock, the Company reported net loss per common share of $0.02 in the second quarter 2010, including $0.11 loss from sales/valuations of repossessed assets, loss from discontinued affinity credit card operations held for sale net of tax of $0.01, net gain from securities activities of $0.04, net gain on fair value measurements of $0.06 and gain on debt extinguishment of $0.03.

Net gains for the second quarter consisted of $6.1 million net gains primarily from sales of adjustable rate preferred stock, $6.3 million from fair value changes related to the Company’s junior subordinated debt as a result of interest rate spreads widening and a $3.0 million gain from repayment of the $60.0 million in subordinated debt at a discount.

Total loans increased $71 million to $4.13 billion at June 30, 2010 from $4.06 billion on March 31, 2010.  This increase was primarily driven by growth in loans to businesses including commercial and industrial and owner occupied commercial real estate loans. Geographically, loans in Nevada decreased by $29 million and increased by $100 million in Arizona and California during the second quarter 2010.

Total deposits increased $40 million to $5.23 billion at June 30, 2010 from $5.19 billion at March 31, 2010, with significant growth in interest bearing demand and money market accounts, partially offset by a decline in certificates of deposit. Deposits increased $838 million from June 30, 2009.

Income Statement

Net interest income increased 5 percent to $57.5 million in the second quarter 2010 from $54.7 in the first quarter 2010 and 13.1 percent compared to the second quarter 2009 propelled by both reductions in cost of funds and increases in interest income. The net interest margin in the second quarter 2010 was 4.16 percent compared to 4.17 percent in the first quarter 2010 and 4.12 percent in the second quarter of last year.

The provision for credit losses was $23.1 million for the second quarter 2010 compared to $28.7 million for the first quarter 2010 and $37.6 million for the second quarter 2009. Nonaccrual loans and repossessed assets were $239 million or 4 percent of total assets at June 30, 2010, compared with $254 million or 4.17 percent of total assets at March 31, 2010 and $159 million or 2.78 percent of total assets at June 30, 2009. Net loan charge-offs in the second quarter 2010 were $25.8 million or 2.53 percent of average loans (annualized), compared to net charge-offs of $24.6 million or 2.43 percent of average loans (annualized) for the first quarter 2010 and $30.6 million or 3 percent of average loans (annualized) for the second quarter 2009.  Loans past due 90 days and still accruing totaled $8.2 million at June 30, 2010, flat t o $8.4 million at March 31, 2010 and down from $36.1 million at June 30, 2009. Loans past due 30-89 days totaled $20.3 million at quarter end, down from $38.6 million at March 31, 2010 and down from $75.5 million at June 30, 2009.

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Operating non-interest income was $6.5 million for the second quarter 2010.1 This performance was a slight decrease from $6.7 million for the same period in 2009 and slight increase from $6.2 million for the first quarter of 2010.

Net revenue was $64.0 million for the second quarter 2010, an increase of 5 percent from $60.9 million for the first quarter of 2010 and 11.2 percent from net revenue of $57.5 million for the second quarter 2009.1

Operating non-interest expense was $41.3 million for the second quarter 2010, down 10.7 percent from operating non-interest expense of $46.2 million for the same period in 2009.1 For the first quarter 2010, operating non-interest expense was $41.9 million. The Company had 961 full-time equivalent employees at June 30, 2010, compared to 948 at March 31, 2010 and 1,076 one year ago.

A key performance metric for the Company is its pre-tax, pre-provision operating earning power, which it defines as net revenue less its operating non-interest expense.1 For the second quarter 2010, the Company’s performance was $22.7 million, compared to $19.1 million in the first quarter 2010 and $11.3 million in the second quarter 2009.

Balance Sheet

Gross loans totaled $4.13 billion at June 30, 2010, an increase of $71 million from March 31, 2010 and an increase of $101 million from $4.03 billion at June 30, 2009. At June 30, 2010 the allowance for credit losses was 2.66 percent of total loans down from 2.78 percent at March 31, 2010 and up from 2.09 percent at June 30, 2009.

Deposits totaled $5.23 billion at June 30, 2010, an increase of $40 million from $5.19 billion at March 31, 2010 and an increase of $838 million from $4.39 billion at June 30, 2009.

Non-interest bearing deposits decreased by $18 million to $1.33 billion at June 30, 2010 from March 31, 2010 and increased $222 million from $1.11 billion at June 30, 2009. Non-interest bearing deposits comprised 25.4 percent of total deposits at June 30, 2010.

At June 30, 2010 the Company’s loans were 79 percent of deposits, compared to 91.7 percent one year earlier and 78.2 percent at March 31, 2010. Borrowings, including junior debt totaled $36 million at June 30, 2010, down $320 million from $356 million one year earlier, and down $86 million from $122 million at March 31, 2010.

Stockholders’ equity decreased to $576 million at June 30, 2010 essentially flat from March 31, 2010.  Accumulated other comprehensive income totaled $3.3 million at June 30, 2010, compared to $4.7 million at March 31, 2010. At June 30, 2010 tangible common equity was 6.8 percent of tangible assets and total risk-based capital was 13.0 percent of risk-weighted assets.

Total assets increased 4.5 percent to $5.96 billion at June 30, 2010 from $5.70 billion at June 30, 2009 and decreased 2.2 percent from $6.10 billion at March 31, 2010.

Operating Unit Highlights

Our Nevada banking operations, which are comprised of Bank of Nevada and First Independent Bank of Nevada, reported that loans declined $29 million during the second quarter and declined $219 million during the last 12 months to $2.36 billion at June 30, 2010. Deposits increased $170 million since March 31, 2010 and $361 million over the last twelve months to $2.91 billion. Net loss for our Nevada banks was $9.6 million during the second quarter 2010, compared with a net loss of $2.7 million for the first quarter of 2010 and $3.0 million during the second quarter 2009.

Our California banking operations, which are comprised of Torrey Pines Bank and Alta Alliance Bank, reported that loans increased $46 million during the second quarter 2010 and increased $171 million during the last 12 months to $981 million. Deposits decreased $123 million and increased $46 million to $1.09 billion during the same periods, respectively. Net income for our California banks was $2.6 million during the second quarter 2010 compared with a net income of $0.5 million for the first quarter of 2010 and net income of $4.4 million during the second quarter 2009.

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

3

Our Arizona banking operations, which consists of Alliance Bank of Arizona, reported loan growth of $54 million during the second quarter 2010 and an increase of $149 million during the last 12 months to $837 million. Deposits declined $6 million in the second quarter and increased $427 million during the last 12 months to $1.23 billion. Net income for our Arizona bank was $2.7 million during the second quarter 2010 compared with net income of $0.8 million during the first quarter of 2010 and a net loss of $0.6 million during the second quarter 2009.

Our Asset Management business line, which includes Shine Investments Advisory Services and Premier Trust, had assets under management of $903 million at June 30, 2010, compared to $872 million at March 31, 2010. Net income for the Asset Management segment for the second quarter of 2010 was $0.1 million as well as first quarter 2010 and second quarter of 2009.

Attached to this press release is summarized financial information for the quarter and year to date ended June 30, 2010.

Conference Call and Webcast

Western Alliance Bancorporation will host a conference call and live audio webcast to discuss its second quarter 2010 financial results at 11.00 a.m. ET on Friday, July 23, 2010. Participants may access the call by dialing 1-866-843-0890 and using passcode: 8035139 or via live audio webcast using the website link: http://www.talkpoint.com/viewer/starthere.asp?Pres=131646. The webcast is also available via our 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 July 23 until 9 a.m. ET August 6 th by dialing 1-877-344-7529 using the pass code 442490.

About Western Alliance Bancorporation

Western Alliance Bancorporation is the parent company of Bank of Nevada, First Independent Bank of Nevada, Alliance Bank of Arizona, Torrey Pines Bank, Alta Alliance Bank, and Shine Investment Advisory Services. These dynamic organizations provide a broad array of deposit and credit services to clients in Nevada, Arizona and California, and investment services in Colorado. 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. 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: factors listed in the Form 10-K 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; 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.

4

We do not intend and disclaim any duty or obligation to update or revise any industry information or forward-looking statements 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.

5

Western Alliance Bancorporation and Subsidiaries
Summary Consolidated Financial Data
Unaudited	At or for the Three Months Ended June 30,										For the Six Months Ended June 30,
	2010			2009			Change			%	2010			2009			Change			%
	(in thousands, except per share data)
Selected Balance Sheet Data:
(dollars in millions)
Total assets	$	5,959.5		$	5,701.5			4.5		%
Loans, net of deferred fees		4,130.0			4,028.9			2.5
Securities and money market investments		848.6			725.7			16.9
Federal funds sold and other		-			20.3			(100.0	)
Customer funds		5,317.3			4,692.6			13.3
Borrowings		-			254.4			(100.0	)
Junior subordinated and subordinated debt		36.3			102.3			(64.5	)
Stockholders' equity		575.9			621.6			(7.4	)
Selected Income Statement Data:
(dollars in thousands)
Interest income	$	70,000		$	70,296			(0.4	)	%	$	138,734		$	140,464			(1.2	)	%
Interest expense		12,544			19,495			(35.7	)			26,560			38,933			(31.8	)
Net interest income		57,456			50,801			13.1				112,174			101,531			10.5
Provision for loan losses		23,115			37,573			(38.5	)			51,862			57,557			(9.9	)
Net interest income after provision for credit losses		34,341			13,228			159.6				60,312			43,974			37.2
Non-interest income		20,760			15,447			34.4				35,389			(12,381	)		(385.8	)
Non-interest expense		53,262			50,173			6.2				94,103			141,209			(33.4	)
Income (loss) from continuing operations
before income taxes		1,839			(21,498	)		(108.6	)			1,598			(109,616	)		(101.5	)
Income tax benefit		(190	)		(8,427	)		(97.7	)			(1,751	)		(11,471	)		(84.7	)
Income (loss) from continuing operations		2,029			(13,071	)		(115.5	)			3,349			(98,145	)		(103.4	)	%
Loss on discontinued operations, net		(802	)		(1,066	)		(24.8	)			(1,737	)		(2,434	)
Net income (loss)	$	1,227		$	(14,137	)		(108.7	)	%	$	1,612		$	(100,579	)
Intangible asset amortization, net of tax	$	590		$	614			(4.0	)	%	$	1,178		$	1,229			(4.1	)	%
Diluted net loss from continuing operations	$	(0.01	)	$	(0.29	)					$	(0.02	)	$	(2.25	)
Diluted net loss from discontinued operations, net of tax	$	(0.01	)	$	(0.02	)					$	(0.02	)	$	(0.05	)
Diluted net loss per common share	$	(0.02	)	$	(0.31	)		(93.5	)	%	$	(0.05	)	$	(2.31	)		(98.0	)	%
Common Share Data:
Diluted net income (loss) per common share	$	(0.02	)	$	(0.31	)		(93.5	)	%	$	(0.05	)	$	(2.31	)		(98.0	)	%
Book value per common share	$	6.09		$	6.83			(10.8	)	%
Tangible book value per share, net of tax (1)	$	5.60		$	6.19			(9.6	)	%
Average shares outstanding (in thousands):
Basic		72,160			53,252			35.5				72,063			45,716			57.6
Diluted		72,931			53,252			37.0				72,451			45,716			58.5
Common shares outstanding		73,344			72,435			1.3
(1) See Reconciliation of Non-GAAP Financial Measures

6

Western Alliance Bancorporation and Subsidiaries
Summary Consolidated Financial Data (continued)
Unaudited
	At or for the Three Months											For the Six Months
	Ended June 30,											Ended June 30,
	2010			2009				Change			%	2010			2009				Change			%
	(in thousands, except per share data)
Selected Performance Ratios:
Return on average assets (1)		0.08	%		(1.07	)	%		(107.5	)	%		0.11	%		(3.81	)	%		(102.9	)	%
Return on average stockholders' equity (1)		0.84			(10.94	)			(107.7	)			1.15			(40.33	)			(102.9	)
Net interest margin (1)		4.16			4.12				1.0				4.16			4.24				(1.9	)
Net interest spread		3.84			3.64				5.5				3.84			3.80				1.1
Efficiency ratio - tax equivalent basis (2)		64.37			79.94				(19.5	)
Loan to deposit ratio		78.96			91.73				(13.9	)
Capital Ratios:
Tangible equity (2)		9.0	%		10.1		%		(10.7	)	%
Tangible common equity (2)		6.8			7.8				(12.3	)
Tier 1 Leverage ratio		9.1			11.5				(20.9	)
Tier 1 Risk Based Capital		11.7			13.2				(11.4	)
Total Risk Based Capital		13.0			15.8				(17.7	)
Asset Quality Ratios:
Net charge-offs to average loans outstanding (1)		2.53	%		3.00		%		(15.7	)	%		2.86	%		2.38		%		20.2		%
Nonaccrual loans to gross loans		3.25			2.89				12.5
Nonaccrual loans and repossessed assets to total assets		4.00			2.78				43.9
Loans past due 90 days and still accruing to total loans		0.20			0.90				(77.8	)
Allowance for credit losses to loans		2.66			2.09				27.3
Allowance for credit losses to nonaccrual loans		81.94			72.30				13.3
(1) Annualized for the three and six month periods ended June 30, 2010 and 2009.
(2) See Reconciliation of Non-GAAP Financial Measures

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Western Alliance Bancorporation and Subsidiaries
Condensed Consolidated Statements of Operations
Unaudited	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2010			2009			2010			2009
Interest income:	(dollars in thousands)
Loans	$	64,201		$	63,268		$	126,368		$	126,521
Investment securities		5,327			6,822			11,631			13,714
Federal funds sold and other		472			206			735			229
Total interest income		70,000			70,296			138,734			140,464
Interest expense:
Deposits		11,067			16,413			23,146			32,063
Customer repurchase agreements		114			1,046			397			2,296
Borrowings		369			837			819			2,112
Junior subordinated and subordinated debt		994			1,199			2,198			2,462
Total interest expense		12,544			19,495			26,560			38,933
Net interest income		57,456			50,801			112,174			101,531
Provision for credit losses		23,115			37,573			51,862			57,557
Net interest income after provision for credit losses		34,341			13,228			60,312			43,974
Non-interest income
Unrealized gains (losses) on assets
and liabilities measured at fair value, net		6,250			(449	)		6,551			3,622
Securities impairment charges		(1,071	)		(1,674	)		(1,174	)		(40,079	)
Gains on sales of investment securities, net		6,079			10,867			14,297			10,874
Gain on extinguishment of debt		3,000			-			3,000			-
Trust and investment advisory services		1,181			2,361			2,394			4,598
Service charges		2,319			1,980			4,515			3,662
Operating lease income		967			894			1,931			1,897
Bank owned life insurance		780			435			1,499			949
Other		1,255			1,033			2,376			2,096
		20,760			15,447			35,389			(12,381	)
Non-interest expenses:
Salaries and employee benefits		22,161			23,384			43,601			47,003
Occupancy		4,828			5,196			9,615			10,416
Insurance		3,759			5,061			7,251			6,708
Net loss (gain) on sales and valuations of repossessed assets		11,994			3,974			10,980			8,910
Repossessed asset and loan expenses		1,564			2,078			3,928			3,155
Legal, professional and director's fees		2,139			1,821			4,007			3,185
Customer service		1,154			1,127			2,219			2,144
Marketing		1,045			1,368			2,201			2,579
Intangible amortization		907			945			1,813			1,890
Data Processing		793			1,215			1,584			2,352
Operating lease depreciation		647			838			1,336			1,757
Goodwill impairment		-			-			-			45,000
Other		2,271			3,166			5,568			6,110
		53,262			50,173			94,103			141,209
Income (loss) from continuning operations before income taxes		1,839			(21,498	)		1,598			(109,616	)
Income tax benefit		(190	)		(8,427	)		(1,751	)		(11,471	)
Income (loss) from continuing operations		2,029			(13,071	)		3,349			(98,145	)
Loss from discontined operations net of tax benefit		(802	)		(1,066	)		(1,737	)		(2,434	)
Net income (loss)		1,227			(14,137	)		1,612			(100,579	)
Preferred stock dividends		1,750			1,750			3,500			3,500
Accretion on preferred stock discount		716			674			1,433			1,356
Net loss available to common stockholders	$	(1,239	)	$	(16,561	)	$	(3,321	)	$	(105,435	)
Loss per share	$	(0.02	)	$	(0.31	)	$	(0.05	)	$	(2.31	)

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Western Alliance Bancorporation and Subsidiaries
Five Quarter Condensed Consolidated Statements of Operations
Unaudited
	Three Months Ended
	June 30,			Mar. 31,			Dec. 31,			Sept. 30,			June 30,
	2010			2010			2009			2009			2009
Interest income:	(in thousands, except per share data)
Loans	$	64,201		$	62,167		$	60,532		$	61,380		$	63,268
Investment securities		5,327			6,304			6,621			5,891			6,822
Federal funds sold and other		472			263			660			475			206
Total interest income		70,000			68,734			67,813			67,746			70,296
Interest expense:
Deposits		11,067			12,079			13,785			16,067			16,413
Borrowings		483			733			992			1,452			1,883
Junior subordinated and subordinated debt		994			1,204			1,248			1,257			1,199
Total interest expense		12,544			14,016			16,025			18,776			19,495
Net interest income		57,456			54,718			51,788			48,970			50,801
Provision for credit losses		23,115			28,747			40,792			50,750			37,573
Net interest income after provision for credit losses		34,341			25,971			10,996			(1,780	)		13,228
Non-interest income
Mark-to-market (losses) gains, net		6,250			301			(1,874	)		1,987			(449	)
Gains on sales of investment securities, net		6,079			8,218			167			4,146			10,867
Gain on extinguishment of debt		3,000			-			-			-			-
Securities impairment charges		(1,071	)		(103	)		(1,748	)		(1,044	)		(1,674	)
Trust and investment advisory services		1,181			1,213			2,320			2,369			2,361
Service charges		2,319			2,197			2,298			2,212			1,980
Operating lease income		967			964			1,091			1,079			894
Bank owned life insurance		780			719			669			574			435
Other		1,255			1,120			1,346			1,224			1,033
		20,760			14,629			4,269			12,547			15,447
Non-interest expenses:
Salaries and employee benefits		22,161			21,440			20,807			23,694			23,384
Occupancy		4,828			4,787			5,040			5,346			5,196
Insurance		3,759			3,492			2,991			2,326			5,061
Repossessed asset and loan expenses		1,564			2,364			1,779			1,430			2,078
Net loss (gain) on sales and valuations of repossessed assets		11,994			(1,014	)		5,081			7,283			3,974
Legal, professional and director's fees		2,139			1,868			3,978			1,810			1,821
Marketing		1,045			1,156			1,185			543			1,368
Intangible amortization		907			907			945			945			945
Customer service		1,154			1,065			1,145			1,001			1,127
Data Processing		793			791			971			951			1,215
Operating lease depreciation		647			689			750			722			838
Goodwill impairment		-			-			4,095			576			-
Other		2,271			3,298			2,553			3,821			3,166
		53,262			40,843			51,320			50,448			50,173
Income (loss) from continuing operations before income taxes		1,839			(243	)		(36,055	)		(39,681	)		(21,498	)
Income tax benefit		(190	)		(1,562	)		(10,258	)		(16,724	)		(8,427	)
Income (loss) from continuing operations	$	2,029		$	1,319		$	(25,797	)	$	(22,957	)	$	(13,071	)
Loss from discontinued operations, net of tax		(802	)		(935	)		(1,115	)		(958	)		(1,066	)
Net income (loss)	$	1,227		$	384		$	(26,912	)	$	(23,915	)	$	(14,137	)
Preferred stock dividends		1,750			1,750			1,750			1,750			1,750
Accretion on preferred stock		716			716			697			689			674
Net loss available to common stockholders	$	(1,239	)	$	(2,082	)	$	(29,359	)	$	(26,354	)	$	(16,561	)
Loss per share	$	(0.02	)	$	(0.03	)	$	(0.41	)	$	(0.37	)	$	(0.31	)

9

Western Alliance Bancorporation and Subsidiaries
Five Quarter Condensed Consolidated Balance Sheets
Unaudited
	June 30,			March 31,			Dec. 31,			Sept. 30,			June 30,
	2010			2010			2009			2009			2009
Assets:	(in millions)
Cash and due from banks	$	560.6		$	827.6		$	393.3		$	752.9		$	548.6
Federal funds sold and other		-			2.4			3.5			5.0			20.3
Cash and cash equivalents		560.6			830.0			396.8			757.9			568.9
Securities and money market investments		848.6			781.1			864.8			727.8			725.7
Loans:
Construction and land development		532.4			556.9			623.2			685.2			727.4
Commercial real estate - owner occupied		1,234.1			1,209.3			1,091.4			1,095.3			1,071.1
Commercial real estate - non-owner occupied		926.0			902.9			933.2			830.4			794.9
Residential real estate		536.1			560.2			568.3			600.4			595.0
Commercial		832.8			757.9			802.2			687.7			768.9
Consumer		74.6			77.6			80.3			77.3			80.5
Deferred fees, net		(6.0	)		(5.7	)		(19.0	)		(8.3	)		(8.9	)
		4,130.0			4,059.1			4,079.6			3,968.0			4,028.9
Allowance for credit losses		(110.0	)		(112.7	)		(108.6	)		(104.2	)		(84.1	)
Loans, net		4,020.0			3,946.4			3,971.0			3,863.8			3,944.8
Premises and equipment, net		118.7			121.2			125.9			128.6			136.7
Other repossessed assets		104.4			105.6			83.3			72.8			42.1
Bank owned life insurance		94.0			93.2			92.5			91.8			91.3
Goodwill and other intangibles		41.3			42.2			43.1			51.6			53.1
Other assets		171.9			176.5			175.9			137.0			138.9
Total assets	$	5,959.5		$	6,096.2		$	5,753.3		$	5,831.3		$	5,701.5
Liabilities and Stockholders' Equity:
Liabilities:
Deposits:
Non-interest bearing demand deposits	$	1,330.4		$	1,348.7		$	1,157.0		$	1,154.8		$	1,108.6
Interest bearing
Demand		611.4			510.2			362.7			339.4			296.3
Savings and money market		1,845.9			1,798.5			1,752.5			1,802.5			1,704.2
Time certificates		1,442.5			1,532.7			1,449.9			1,455.5			1,283.1
Total deposits		5,230.2			5,190.1			4,722.1			4,752.2			4,392.2
Customer repurchase agreements		87.1			169.1			223.3			264.1			300.4
Total customer funds		5,317.3			5,359.2			4,945.4			5,016.3			4,692.6
Borrowings		-			20.0			29.4			79.4			254.4
Junior subordinated and subordinated debt		36.3			102.3			102.4			101.9			102.3
Accrued interest payable and other liabilities		30.0			39.0			100.4			30.8			30.6
Total liabilities		5,383.6			5,520.5			5,177.6			5,228.4			5,079.9
Stockholders' Equity
Common stock and additional paid-in capital		688.2			686.0			684.1			682.0			680.1
Preferred Stock		129.4			128.7			127.9			127.3			126.6
Retained earnings (deficit)		(245.0	)		(243.7	)		(241.7	)		(212.4	)		(186.0	)
Accumulated other comprehensive income (loss)		3.3			4.7			5.4			6.0			0.9
Total stockholders' equity		575.9			575.7			575.7			602.9			621.6
Total liabilities and stockholders' equity	$	5,959.5		$	6,096.2		$	5,753.3		$	5,831.3		$	5,701.5

10

Western Alliance Bancorporation and Subsidiaries
Changes in the Allowance For Credit Losses
Unaudited
	Three Months Ended
	June 30,			March 31,			Dec. 31,			Sept. 30,			June. 30,
	2010			2010			2009			2009			2009
	(in thousands)
Balance, beginning of period	$	112,724		$	108,623		$	104,181		$	84,143		$	77,184
Provision for credit losses		23,115			28,747			40,792			50,750			37,573
Recoveries of loans previously charged-off:
Construction and land development		1,801			409			888			608			212
Commercial real estate		808			22			91			139			-
Residential real estate		295			231			340			11			143
Commercial and industrial		573			1,238			216			442			501
Consumer		14			67			42			6			96
Total recoveries		3,491			1,967			1,577			1,206			952
Loans charged-off:
Construction and land development		7,921			8,638			9,859			13,717			10,381
Commercial real estate		7,827			5,884			6,204			3,125			6,310
Residential real estate		7,835			5,855			5,909			5,619			6,427
Commercial and industrial		4,602			4,757			14,924			8,329			7,355
Consumer		1,132			1,479			1,031			1,128			1,093
Total loans charged-off		29,317			26,613			37,927			31,918			31,566
Net loans charged-off		25,826			24,646			36,350			30,712			30,614
Balance, end of period	$	110,013		$	112,724		$	108,623		$	104,181		$	84,143
Net charge-offs (annualized) to average loans outstanding		2.53	%		2.43	%		3.68	%		3.05	%		3.00	%
Allowance for credit losses to gross loans		2.66			2.78			2.66			2.62			2.09
Nonaccrual loans	$	134,264		$	148,760		$	153,702		$	166,286		$	116,377
Repossessed assets		104,365			105,637			83,347			72,807			42,147
Loans past due 90 days, still accruing		8,233			8,437			5,538			2,538			36,060
Loans past due 30 to 89 days, still accruing		20,343			38,611			50,376			43,980			75,480

11

Western Alliance Bancorporation and Subsidiaries
Analysis of Average Balances, Yields and Rates
Unaudited
	Three Months Ended June 30,
	2010								2009
	Average Balance			Interest		Average Yield/ Cost			Average Balance			Interest		Average Yield/ Cost
Interest earning assets		($ in millions)			($ in thousands)								($ in millions)		($ in thousands)
Investment securities (1)	$	808.1		$	5,327		2.72	%	$	580.1		$	6,639		4.79	%
Federal funds sold and other		22.9			51		0.89	%		20.5			206		4.03	%
Loans (1)		4,080.0			64,201		6.31	%		4,083.8			63,268		6.21	%
Short term investments		607.0			380		0.25	%		247.2			167		0.27	%
Investment in restricted stock		41.0			41		0.40	%		41.0			16		0.16	%
Total interest earning assets		5,559.0			70,000		5.06	%		4,972.6			70,296		5.69	%
Non-interest earning assets
Cash and due from banks		110.5								95.1
Allowance for credit losses		(115.4	)							(77.5	)
Bank owned life insurance		93.5								91.0
Other assets		405.2								299.5
Total assets	$	6,052.8							$	5,380.7
Interest-bearing liabilities
Interest-bearing deposits:
Interest-bearing transaction accounts	$	579.6		$	732		0.51	%	$	288.7		$	835		1.16	%
Savings and money market		1,838.0			4,186		0.91	%		1,630.1			7,148		1.76	%
Time certificates of deposit		1,518.3			6,149		1.62	%		1,220.6			8,430		2.77	%
		3,935.9			11,067		1.13	%		3,139.4			16,413		2.10	%
Borrowings		126.0			483		1.54	%		573.7			1,883		1.32	%
Junior subordinated and subordinated debt		75.3			994		5.29	%		104.0			1,199		4.62	%
Total interest-bearing liabilities		4,137.2			12,544		1.22	%		3,817.1			19,495		2.05	%
Noninterest-bearing liabilities
Noninterest-bearing demand deposits		1,279.2								1,013.0
Other liabilities		51.8								26.3
Stockholders’ equity		584.6								524.3
Total liabilities and stockholders' equity	$	6,052.8							$	5,380.7
Net interest income and margin				$	57,456		4.16	%				$	50,801		4.12	%
Net interest spread							3.84	%							3.64	%
(1) Yields on loans and securities have been adjusted to a tax equivalent basis. The taxable-equivalent adjustment was $149 and $289 for the second quarter ended 2010 and 2009, respectively.

12

Western Alliance Bancorporation and Subsidiaries
Analysis of Average Balances, Yields and Rates
Unaudited
	Six Months Ended June 30,
	2010							2009
		Average Balance			Interest	Average Yield/ Cost			Average Balance			Interest	Average Yield/ Cost
Earning Assets		($ in millions)			($ in thousands)				($ in millions)			($ in thousands)
Securities (1)	$	815.7		$	11,631	2.97	%	$	578.5		$	13,513	4.95	%
Federal funds sold & other		27.8			104	0.75	%		16.4			229	2.82	%
Loans (1) (2)		4,066.8			126,368	6.27	%		4,086.0			126,521	6.24	%
Short term investments		499.5			563	0.23	%		137.7			185	0.00	%
Restricted stock		41.2			68	0.33	%		41.0			16	0.08	%
Total earnings assets (1)		5,451.0			138,734	5.15	%		4,859.6			140,464	5.86	%
Non-earning Assets
Cash and due from banks		103.8							111.4
Allowance for credit losses		(116.5	)						(77.4	)
Bank owned life insurance		93.1							90.9
Other assets		401.1							333.6
Total assets	$	5,932.5						$	5,318.1
Interest-bearing liabilities
Sources of Funds
Interest-bearing deposits:
Interest checking	$	515.1		$	1,515	0.59	%	$	268.6		$	1,536	1.15	%
Savings and money market		1,811.2			8,862	0.99	%		1,554.0			14,261	1.85	%
Time deposits		1,500.6			12,769	1.72	%		1,165.4			16,266	2.81	%
Total interest-bearing deposits		3,826.9			23,146	1.22	%		2,988.0			32,063	2.16	%
Borrowings		177.6			1,216	1.38	%		720.6			4,408	1.23	%
Junior subordinated and subordinated debt (3)		88.8			2,198	4.99	%		104.0			2,462	4.77	%
Total interest-bearing liabilities	$	4,093.3			26,560	1.31	%	$	3,812.6			38,933	2.06	%
Noninterest-bearing liabilities
Noninterest-bearing demand deposits		1,215.1							984.4
Other liabilities		38.3							18.2
Stockholders’ equity		585.8							502.9
Total liabilities and stockholders' equity	$	5,932.5						$	5,318.1
Net interest income and margin				$	112,174	4.16	%				$	101,531	4.24	%
Net interest spread						3.84	%						3.80	%
(1) Yields on loans and securities have been adjusted to a tax equivalent basis. The taxable-equivalent adjustment was $393 and $689 for the six months ended June 30, 2010 and 2009, respectively.

13

Western Alliance Bancorporation and Subsidiaries
Operating Segment Results																Inter-
Unaudited																segment			Consoli-
										Asset						Elimi-			dated
	Nevada			California			Arizona			Management			Other			nations			Company
At June 30, 2010	(in millions)
Assets	$	3,326.5		$	1,265.0		$	1,361.8		$	5.7		$	613.3		$	(612.8	)	$	5,959.5
Gross loans and deferred fees, net		2,355.2			980.7			837.1			-			-			(43.0	)		4,130.0
Less: Allowance for credit losses		(75.9	)		(16.9	)		(17.2	)		-			-			-			(110.0	)
Net loans		2,279.3			963.8			819.9			-			-			(43.0	)		4,020.0
Goodwill		23.2			-			-			2.7			-			-			25.9
Deposits		2,910.9			1,092.4			1,231.0			-			-			(4.1	)		5,230.2
Stockholders' equity		339.6			130.9			86.9			5.4			575.6			(562.5	)		575.9
No. of branches		19			9			10			-			-			-			38
No. of FTE		534			207			147			25			48			-			961
Three Months Ended  June 30,  2010:
	(in thousands)
Net interest income	$	31,370		$	15,257		$	11,253		$	2		$	(426	)	$	-		$	57,456
Provision for credit losses		19,288			2,827			1,000			-			-			-			23,115
Net interest income (loss)  after
provision for credit losses		12,082			12,430			10,253			2			(426	)		-			34,341
Non-interest income		6,497			1,393			2,012			1,182			6,294			3,382			20,760
Non-interest expense		(33,678	)		(9,413	)		(7,883	)		(1,003	)		(3,000	)		1,715			(53,262	)
Income (loss) from continuing
operations before income taxes		(15,099	)		4,410			4,382			181			2,868			5,097			1,839
Income tax expense (benefit)		(5,470	)		1,841			1,720			78			1,641			-			(190	)
Income(loss) from continuing
operations		(9,629	)		2,569			2,662			103			1,227			5,097			2,029
Loss from discontinued operations, net		-			-			-			-			(802	)		-			(802	)
Net income (loss)	$	(9,629	)	$	2,569		$	2,662		$	103		$	425		$	5,097		$	1,227
Six Months Ended  June 30,  2010:
	(in thousands)
Net interest income	$	62,349		$	29,571		$	20,817		$	4		$	(567	)	$	-		$	112,174
Provision for credit losses		43,277			5,552			3,033			-			-			-			51,862
Net interest income (loss)  after
provision for credit losses		19,072			24,019			17,784			4			(567	)		-			60,312
Non-interest income		14,722			2,298			3,616			2,398			8,521			3,834			35,389
Non-interest expense		(53,014	)		(20,789	)		(15,478	)		(1,945	)		(6,301	)		3,424			(94,103	)
Income (loss) from continuing
operations before income taxes		(19,220	)		5,528			5,922			457			1,653			7,258			1,598
Income tax expense (benefit)		(6,895	)		2,471			2,423			210			40			-			(1,751	)
Income(loss) from continuing
operations		(12,325	)		3,057			3,499			247			1,613			7,258			3,349
Loss from discontinued operations, net		-			-			-			-			(1,737	)		-			(1,737	)
Net income (loss)	$	(12,325	)	$	3,057		$	3,499		$	247		$	(124	)	$	7,258		$	1,612

14

Western Alliance Bancorporation and Subsidiaries
Operating Segment Results
Unaudited																Inter-
																segment			Consoli-
										Asset						Elimi-			dated
	Nevada			California			Arizona			Management			Other			nations			Company
At June 30, 2009	(in millions)
Assets	$	3,418.6		$	1,199.5		$	964.4		$	19.5		$	192.2		$	(92.7	)	$	5,701.5
Gross loans and deferred fees		2,573.7			809.9			688.2			-			-			(43.0	)		4,028.8
Less: Allowance for credit losses		(60.4	)		(10.3	)		(13.4	)		-			-			-			(84.1	)
Net loans		2,513.3			799.6			674.8			-			-			(43.0	)		3,944.7
Goodwill		23.2			-			-			10.7			-			-			33.9
Deposits		2,550.0			1,046.4			804.0			-			-			(8.2	)		4,392.2
Stockholders' equity		283.5			100.4			74.5			17.3			152.7			(6.8	)		621.6
No. of branches		21			9			11			-			-			-			41
No. of FTE		624			217			149			45			41			-			1,076
Three Months Ended June 30, 2009
	(in thousands)
Net interest income	$	31,621		$	11,169		$	8,637		$	16		$	(642	)	$	-		$	50,801
Provision for credit losses		33,889			952			2,732			-			-			-			37,573
Net interest income after provision
for credit losses		(2,268	)		10,217			5,905			16			(642	)		-			13,228
Non-interest income		15,439			4,778			1,943			2,370			5,023			(14,106	)		15,447
Goodwill impairment charge		-			-			-			-			-			-			-
Non-interest expense		(28,968	)		(12,246	)		(9,239	)		(2,095	)		(768	)		3,143			(50,173	)
Loss from continuing operations
before income taxes		(15,797	)		2,749			(1,391	)		291			3,613			(10,963	)		(21,498	)
Income tax expense (benefit)		(12,827	)		(1,603	)		(821	)		157			(192	)		6,859			(8,427	)
Income(loss) from continuing
operations		(2,970	)		4,352			(570	)		134			3,805			(17,822	)		(13,071	)
Loss from discontinued operations, net		-			-			-			-			(1,066	)		-			(1,066	)
Net income (loss)	$	(2,970	)	$	4,352		$	(570	)	$	134		$	2,739		$	(17,822	)	$	(14,137	)
Six Months Ended June 30, 2009
	(in thousands)
Net interest income	$	64,268		$	22,345		$	16,365		$	31		$	(1,478	)	$	-		$	101,531
Provision for credit losses		44,649			4,693			8,215			-			-			-			57,557
Net interest income after provision
for credit losses		19,619			17,652			8,150			31			(1,478	)		-			43,974
Non-interest income		(337	)		2,395			2,750			4,614			(283	)		(21,520	)		(12,381	)
Goodwill impairment charge		(45,000	)		-			-			-			-			-			(45,000	)
Non-interest expense		(52,770	)		(21,211	)		(18,170	)		(4,313	)		(3,846	)		4,101			(96,209	)
Loss from continuing operations
before income taxes		(78,488	)		(1,164	)		(7,270	)		332			(5,607	)		(17,419	)		(109,616	)
Income tax expense (benefit)		(11,381	)		(64	)		(2,728	)		242			(2,139	)		4,599			(11,471	)
Income(loss) from continuing
operations		(67,107	)		(1,100	)		(4,542	)		90			(3,468	)		(22,018	)		(98,145	)
Loss from discontinued operations, net		-			-			-			-			(2,434	)		-			(2,434	)
Net income (loss)	$	(67,107	)	$	(1,100	)	$	(4,542	)	$	90		$	(5,902	)	$	(22,018	)	$	(100,579	)

15

Western Alliance Bancorporation and Subsidiaries
Reconciliation of Non-GAAP Financial Measures (Unaudited)
	June 30,			Mar. 31,			Dec. 31,			Sept. 30,			June 30,
	2010			2010			2009			2009			2009
	(dollars in thousands)
Total stockholder's equity	$	575,858		$	575,779		$	575,725		$	602,967		$	621,637
Less:
Goodwill and intangible assets		41,307			42,214			43,121			51,589			53,110
Total tangible stockholders' equity		534,551			533,565			532,604			551,378			568,527
Less:
Preferred stock		129,378			128,661			127,945			127,248			126,559
Total tangible common equity		405,173			404,904			404,659			424,130			441,968
Add:
Deferred tax		5,400			5,713			6,026			6,339			6,652
Total tangible common equity, net of tax	$	410,573		$	410,617		$	410,685		$	430,469		$	448,620
Total assets	$	5,959,479		$	6,096,238		$	5,753,279		$	5,831,317		$	5,701,536
Less:
Goodwill and intangible assets		41,307			42,214			43,121			51,589			53,110
Tangible assets		5,918,172			6,054,024			5,710,158			5,779,728			5,648,426
Add:
Deferred tax		5,400			5,713			6,026			6,339			6,652
Total tangible assets, net of tax	$	5,923,572		$	6,059,737		$	5,716,184		$	5,786,067		$	5,655,078
Tangible equity ratio (1)		9.0	%		8.8	%		9.3	%		9.5	%		10.1	%
Tangible common equity ratio (2)		6.8	%		6.7	%		7.1	%		7.3	%		7.8	%
Quarter to date shares		73,344			73,031			72,504			72,489			72,435
Tangible book value per share, net of tax (3)	$	5.60		$	5.62		$	5.66		$	5.94		$	6.19
	Three Months Ended
	June 30,			Mar. 31,			Dec. 31,			Sept. 30,			June 30,
	2010			2010			2009			2009			2009
	(in thousands)
Total non-interest income	$	20,760		$	14,629		$	4,269		$	12,547		$	15,447
Less:
Mark-to-market (losses) gains, net		6,250			301			(1,874	)		1,987			(449	)
Securities impairment charges		(1,071	)		(103	)		(1,748	)		(1,044	)		(1,674	)
Gains on sales of investment securities, net		6,079			8,218			167			4,146			10,867
Gain on extinguishment of debt		3,000			-			-			-			-
Total operating non-interest income		6,502			6,213			7,724			7,458			6,703
Add: net interest income		57,456			54,718			51,788			48,970			50,801
Net revenue (4)	$	63,958		$	60,931		$	59,512		$	56,428		$	57,504
Total non-interest expense	$	53,262		$	40,843		$	51,320		$	50,448		$	50,173
Less:
Net loss (gain) on sales/valuations of
repossessed assets		11,994			(1,014	)		5,081			7,283			3,974
Goodwill impairment		-			-			4,095			576			-
Total operating non-interest expense (4)	$	41,268		$	41,857		$	42,144		$	42,589		$	46,199
Net revenue	$	63,958		$	60,931		$	59,512			56,428		$	57,504
Less:
Operating non-interest expense		41,268			41,857			42,144			42,589			46,199
Pre-tax, pre-provision operating earnings (5)	$	22,690		$	19,074		$	17,368		$	13,839		$	11,305

16

	Three Months Ended
	June 30,		Mar. 31,		Dec. 31,		Sept. 30,		June 30,
	2010		2010		2009		2009		2009
	(in thousands)
Total operating non-interest expense	$	41,268	$	41,857	$	42,144	$	42,589	$	46,199
Divided by:
Total net interest income	$	57,456	$	54,718	$	51,788	$	48,970	$	50,801
Add:
Tax equivalent interest adjustment		149		244		265		141		289
Operating non-interest income		6,502		6,213		7,724		7,458		6,703
	$	64,107	$	61,175	$	59,777	$	56,569	$	57,793
Efficiency ratio - tax equivalent basis (6)	64%		68%		71%		75%		80%
(1) We believe this non-GAAP ratio provides a critical metric with which to analyze and evaluate financial condition and capital strength.
(2) We believe this non-GAAP ratio provides critical metrics with which to analyze and evaluate financial condition and capital strength.
(3) We believe this non-GAAP ratio improves the comparability to other institutions that have not engaged in acquisitions that resulted   in recorded goodwill and other intangibles.
(4) We believe this non-GAAP measurement is better indicative of the cash generating capacity of the Company.
(5) We believe this non-GAAP measurement is a key indicator of the earnings power of the Company which is otherwise obscured by   the asset quality issues.
(6) We believe this non-GAAP ratio provides understanding of the operating efficiency of the Company.

17

EX-99.2

Robert Sarver Chairman & CEO Ken Vecchione President & COO Dale Gibbons Executive Vice President & CFO 2ndQuarter 2010 Earnings Conference Call Western Alliance Bancorporation July 23, 2010 Exhibit 99.2

This presentation 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. 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: factors listed in the Company’s annual report on Form 10-K as filed with the Securities and Exchange Commission; changes in general economic cond itions, 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 loan 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. We do not intend and disclaim any duty or obligation to update or revise any industry information or forward-looking statements set forth in this presentation to reflect new information, future events or otherwise.

Achieving Strategic Initiatives Focus on core banking operations Partners First Letter of Intent signed July 14, 2010 Reduce Non-Performing Assets Non-accrual loans continue to decline since September 2009 Delinquency improvement since year end Increase Market Share Loan growth of $71 million, sixth consecutive quarterly decline in construction and land Deposit growth of $40 million, includes decline of $90 million in higher cost CDs Strengthen Risk Management Chief Risk Officer hired, ERM program being implemented

2nd Qtr 2010 Financial Highlights Increase pre-tax, pre-credit income* Up 19% or $3.6 million to $22.7 million from 1stquarterFourth consecutive quarterly increase Net interest income: $57.5 million$2.7 million or 5% increase over Q1 performance Interest margin of 4.16% Net income of $1.2 million $23.1 million additional provision for loan and lease losses $12.0 million net write-down of repossessed and other assets $11.2 million net gain from securities activities and mark-to-market valuation $3.0 million gain from extinguishment of debt * For definition, see table on page 6.

2nd Qtr 2010 Financial Highlights (cont’d.) $40 million total deposit growth in 2ndquarter$838 million total deposit growth since June 2009 o$71 million total loan growth in 2ndquarter$101 million total loan growth since June 2009 Asset quality metrics from 1stquarter mostly improved Non-accrual loans down $14 million to $134 million  Repossessed assets down $1 million to $104 million Classified assets down $44 million to $417 million Watch loans down $37 million However, accruing TDRs up $29 million to $70 million Strong capital position(1) Tangible common equity of 6.8% compared to 6.7% at March 31stTier 1 capital of $546.5 million; leverage ratio of 9.12% Total capital of 13% down from March 31st due to early retirement of sub-de bt (1)Regulatory capital figures are estimates until Call Reports are filed.

Strong Pre-Tax, Pre Credit Income Growth (in thousands) Q2-2009 Q3-2009 Q4-2009 Q1-2010 Q2-2010 Net Interest Income 50,801  48,970  51,788  54,718  57,456  Non-Interest Income*  6,703  7,458  7,724  6,213  6,502  Non-Interest Expense* 46,199  42,589  42,144  41,857  41,268  Pre-Tax, Pre-Credit Income $11,305  $13,839  $17,368  $19,074  $22,690  * Excludes securities and goodwill impairment, mark-to-market gains/losses, and gains/losses on sale of  investment securities and repossessed assets, and gain on extinguishment of debt. 0.84% 0.94% 1.18% 1.33% 1.50% 0.50% 0.70% 0.90% 1.10% 1.30% 1.50% 1.70% Q2-2009 Q3- 2009 Q4-2009 Q1-2010 Q2-2010 Pre-tax, pre-credit income  continues to climb toward goal  of 2% of average total assets. % of Average Total Assets19% growth in pre-tax, pre-credit income in 2ndqtr 2010

Consecutive Profitable Quarters Four banks profitable in 2nd  quarter Two banks profitable for two  consecutive quarters Continued volatility in OREO and  other asset valuation Lower provision expense: $5.6  million less than 1stqtr Charge offs increased marginally:  $1.2 million over 1stquarter (from  $24.6 to $25.8 million) Securities and mark-to-market  gains offset asset valuation losses (in thousands) Q1-2010 Q2-2010 Pre-Tax, Pre-Credit Income  $19,074  $22,690 Securities gains (losses)  8,218  6,079 Securities impairment (103) (1,071) Mark-to market gains (losses)  301  6,250 Gain on extinguishment of debt 0 3,000 Provision for loan and lease losses  (28,747) (23,115) Repossessed &a mp; other asset valuation  1,014  (11,994) Net Non-Operating Income  (19,317) (20,851) Pre-tax Income  (243) 1,839 Income tax expense (benefit)  (1,562) (190) Income from disc. operations (935) (802) Net Income  $384  $1,227

Net-Interest Margin 1.57% 1.07%0.90% 4.12% 4.17% 4.16% 5.69% 5.24% 5.06% 0.50% 1.50% 2.50% 3.50% 4.50% 5.50% 6.50% Q2-09Q3-09Q4-09 Q1-10 Q2-10 Cost of Funding Earning Assets Net Int Margin* Yield on Int Earning Assets Reduced Cost of Funds Interest expense dropped $1.5  million from 1st qtr Redeemed $60 million sub-debt  and $20 million repo in 2ndqtr Continued deposit repricing  Strategy Stable NIM Interest revenue increased $1.3  million over 1stqtr 56% increase to $607 million in  average balances of funds held in  lower yielding Fed Reserve account  during 2ndqtr *Net Interest Margin is reported on a tax-equivalent basis

0 1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000 9,000 Q2-09 Q3-09Q4-09 Q1-10 Q2-10 Trust and investment advisory services Service charges Operating lease income Bank owned life insurance Other income* Non-Interest Income Service charge revenue  increased by $122k or 5.5% in  2ndqtr Trust and advisory service  revenue to continue to decline Miller/Russell sold in  4thqtr 2009 Premier Trust to close in 3rdqtr * Excludes securities and mark-to-market gains/losses, and gains/losses on sale of investment securities. 35% 15% $6,502 18% 20% 12% 30% 15% 35% 6% 13% $6,703 35% $6,21320% 16% 12% 18%

Controlling Operating Expenses 0 5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 45,000 50,000 Q2-09 Q3-09 Q4-09 Q1-10 Q2-10 Salaries & benefits Occupancy Legal, professional & director's fees Marketing & customer service Insurance Data processing Other expenses* $41,857(in millions) $41,268$46,199 * Excludes good will impairment and gains/losses on sale of repossessed assets. Operating expenses down 1.4%  from 1stqtr and 10.7% since  2ndqtr 2009 Efficiency ratio steadily  improving 79.9% 75.3% 70.5% 68.4% 64.4% 55% 60% 65% 70% 75% 80% 85% Q2-09 Q3-09 Q4-09Q1-10 Q2-10

Strong, Stable Deposit Growth 0 500 1,000 1,500 2,000 2,500 3,000 3,500 4,000 4,500 5,000 5,500 Q2-09 Q3-09 Q4-09 Q1-10Q2-10 Non-Int Bearing DDA MMDA and Savings NOWCDs* 25.4%25.4%25.4% (in millions) 29% 39% 7% 25% $4,392 * Includes brokered and CDARS deposits. 28% 35% 12% 25% $5,230 Total deposits have  grown over 19% from 2ndqtr 2009 DDA maintained at 25%  of total deposits Lower cost NOW  accounts have grown  over 5% from 2ndqtr  2009 $5,190 $4,722 $4,752

Slide: 12 Title: Loan Portfolio Composition  $71 million loan growth in 2nd qtr with steady improvement in portfolio composition Owner-occupied commercial real estate and commercial loans increasing Construction & land loans decreasing  (in millions)  41,233  $4,080  $3,968  $4,059 (Gp:) $4,130 (Gp:) 20% (Gp:) 22% (Gp:) 30% (Gp:) 13% (Gp:) 13%  (Gp:) $4,029 (Gp:) 27% (Gp:) 19% (Gp:) 20% (Gp:) 15% (Gp:) 18% 2% 2% 029 27%

Composition of Liquid Assets (in millions) Liquid Assets Q2-09 Q3-09 Q4-09 Q1-10 Q2-10 Cash and Due From Banks 548.6 752.9 393.3 827.6 560.6 Fed Funds Sold 20.3 5.0 3.5 2.4 - Money Market Cash Account 167.7 77.5 75.1 35.3 - Non-Pledged Marketable Securities 25.8 88.3 281.3 313.6 434.8 Total Liquid Assets 762.5 923.7 753.2 1,178.9 995.4 Total Assets 5,701.5 5,831.3 5,753.3 6,096.2 5,959.5 Primary Liquidity Ratio 13.4% 15.8% 13.1% 19.3% 16.7% Minimum Liquidity Guideline 342.1 349.9 345.2 365.8 357.6 Excess Liquidity 420.4 573.8 408.0 813.1 637.8

Capital Position Remains Strong (in millions) Q2-2009 Q1-2010 Q2-2010 Tangible Common Equity $441.7 $404.5 $404.9 Tier I Capital $613.0 $547.9 $546.5 Total Risk Based Capital $731.3 $665.8 $605.3 Ratios: Q2-2009 Q1-2010 Q2-2010 Tangible Common Equity 7.82% 6.68% 6.84% Tier I Leverage 11.49% 9.53% 9.12% Total Risk Based Capital 15.77% 14.55% 13.02% $60 million in sub-debt  redeemed during 2ndqtr $4.5 million in deferred tax  asset recaptured: $23.7  million deferred tax asset  disallowed in 2ndqtr vs. $28.2  million in 1stqtr *Q2-2010 capital ratios are estimates until Call Reports are filed.

Recent Asset Quality Trends 3.00% 3.68% 2.53%2.09% 2.66% 2.66% 2.0% 2.5% 3.0% 3.5% 4.0% Q2-09 Q3-09 Q4-09Q1-10Q2-10 Net Charge Offs/Total Loans Reserve/Total Loans 59.4% 68.4% 74.0% 69.9% 63.58% 55% 60% 65% 70% 75% 80% Q2-09Q3-09Q4-09 Q1-10 Q2-10 Classified Assets/ ALLL + Tie r 1 Capital Charge-Offs & Reserves Classified loans declined by $32.4  million, classified securities declined  by $10.8 million from Q1-2010.

National Real Estate Values100125150 175 200 Dec-00 May-01 Oct-01 Mar-02 Aug-02 Jan-03 Jun-03 Nov-03 Apr-04 Sep-04 Feb-05 Jul-05 Dec-05 May-06 Oct-06 Mar-07Aug-07 Jan-08 Jun-08 Nov-08 Apr-09 Sep-09 Feb-10 Change in Value to 12/31/00 Par  Commerical -Moody's REAL CPPI Residential -S&P/Case-Shiller *S&P/Case-Shiller parvalue as of 12/31/00. Moody’s/ REAL CPPI data normalized to par as of 12/31/00. National real estate  valuations for commercial  and residential property  peaked from 2005 to 2007,  we believe similar valuation  metrics were more  pronounced in our markets.

Charge-Offs by Vintage & Loan Type - 5,000  10,000  15,000  20,000  25,000  30,000  35,000  1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Construction & Land Residential RE CRE, Non-Owner Occupied CRE, Owner Occupied Commercial Consumer Cumulative Charge-Offs Jan 2000 -June 2010 Year Originated 75% of cumulative charge-offs  during the period were from  loans originated between 2005  and 2007, the “Bubble Years”

Loan Composition by Year of Origination20% 80% Loan Portfolio as of 12/31/2007 Originated Before 2005 Originated in "Bubble Years" (2005-2007) $2.9 Billion 11% 41% 48% Loan Portfolio as of 6/30/2010 Originated Before 2005Originated in "Bubble Years" (2005-2007) Originated After 2007$1.7 Billion Total Gross  Loans$3.63 Billion Total Gross  Loans$4.13 Billion

“Bubble Years” Loan Reductions 76% 10% 14% Composition of “Bubble Years” Loan Reductions New Funding/Payment Repossessed Charged Off •$1.2 billion in reductions between  12/31/07 and 6/30/10 for loans  originated during 2005 and 2007 •$169 million charged off •$122 million repossessed •$919 million in net payments* *Net payments includes additional funds drawn on certain types of loans.

Composition of Remaining “Bubble Years” Loans Breakdown by Type Breakdown by Rating Total Bubble Years Loans $1.7 Billion 2% 14% 12% 18% 8% 11% 0.53% 20% 35% $1.3 Billion 79% 9% Commercial Construction & Land Consumer CRE, Non-Owner Occupied CRE Residential Pass Watch Substandard Doubtful Pg. 20

2nd Quarter OREO Valuation 13% 54% 33% New OREO Added During 2Q-10 OREO Appraised 2Q-10 OREO To Be Appraised 3Q-10 $103 million in OREO outstanding as  of 6/30/10 Valuation adjustments amounted to  $12 million (net) during 2ndqtr* Incurred $0.3 million net loss on sale  on OREO sold during 2ndqtr Total OREO$103 Million *Includes OREO and other repossessed assets.

Slide: 22 Title: Composition of OREO Breakdown by Type Location by State  Total OREO $103 Million

Composition of OREO 1.1% 0.8% 5% 71% 1.2% 17% 3% 0.9% Commercial Condo Industrial Land Multi-Family Office 3% 16% 81% Arizona California Nevada Breakdown by Type Location by State Total OREO $103 Million

Strategic Outlook Focus on core banking operations Reduce non-performing assets Increase market share Strengthen risk management Impacts of regulatory changes