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 19, 2018

WESTERN ALLIANCE BANCORPORATION

(Exact name of registrant as specified in its charter)

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

One E. Washington Street, Phoenix, Arizona  85004

 (Address of principal executive offices)               (Zip Code)

(602) 389-3500

(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:

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

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

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

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

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ¨

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨

ITEM 2.02. RESULTS OF OPERATIONS AND FINANCIAL CONDITION.

On July 19, 2018, Western Alliance Bancorporation (the “Company”) issued a press release reporting results for the fiscal quarter ended June 30, 2018 and posted on its website its second quarter 2018 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 forth by specific reference in such filing.

ITEM 9.01. FINANCIAL STATEMENTS AND EXHIBITS.

(d) Exhibits.

99.1         Press Release dated July 19, 2018.

99.2         Second Quarter 2018 Earnings Conference Call dated July 20, 2018.

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 19, 2018

EX-99.1

Western Alliance Bancorporation
One East Washington Street
Phoenix, AZ 85004
www.westernalliancebancorporation.com

PHOENIX--(BUSINESS WIRE)--July 19, 2018

SECOND QUARTER 2018 FINANCIAL RESULTS

Net income	Earnings per share	Net interest margin	Efficiency ratio	Book value per common share
$104.7 million	$0.99	4.70%	42.1%	$22.59

CEO COMMENTARY:

“The success of our constructive partnership with customers – helping them succeed helps us succeed – led Western Alliance to another solid quarter of performance,” said Chief Executive Officer, Kenneth Vecchione.

“Deposit growth of $733 million paired with loan growth of $578 million, together drove net interest income to a new high and boosted the interest margin 10 basis points to 4.70 percent. Operating leverage improved as the $11.3 million increase in net operating revenue¹ from the first quarter was more than triple the $3.3 million increase in operating expense¹. Asset quality remained strong with net loan losses of only 0.07 percent of total loans during the quarter and non-performing assets of 0.29 percent of total assets. Net income of $104.7 million and earnings per share of $0.99 were each 30 percent higher than the year ago period. Return on assets exceeded 2 percent for the first time in company history and return on tangible equity¹ was again above 20 percent. Tangible book value per share¹ now stands at $19.78.”

LINKED-QUARTER BASIS	YEAR-OVER-YEAR
FINANCIAL HIGHLIGHTS:

▪ Net income and earnings per share of $104.7 million and $0.99 compared to $100.9 million and $0.96, respectively

▪ Net operating revenue of $238.2 million constituting growth of 5.0%, or $11.3 million, compared to an increase in operating non-interest expenses of 3.4%, or $3.4 million¹

▪ Operating pre-provision net revenue of $135.5 million, up$7.9 million from $127.6 million¹

▪ Effective tax rate of 19.48%, compared to 17.10%, due the cyclical excess tax benefits on share-based payment awards in Q1

▪ Net income of $104.7 million and earnings per share of $0.99, compared to $80.0 million and $0.76, respectively

▪ Net operating revenue of $238.2 million constituting year-over-year growth of 17.1%, or $34.8 million, compared to an increase in operating non-interest expenses of 16.5%, or $14.5 million¹  

▪ Operating pre-provision net revenue of $135.5 million, up $20.3 million from $115.2 million¹ 

▪ Effective tax rate of 19.48%, compared to 28.56%, due to the effect of the Tax Cuts and Jobs Act.

FINANCIAL POSITION RESULTS:

▪ Total loans of $16.14 billion, up $578 million, or 14.3% annualized

▪ Total deposits of $18.09 billion, up $733 million, or 16.9% annualized

▪ Stockholders' equity of $2.39 billion, up $98 million

▪ Increase in total loans of $2.15 billion, or 15.4%

▪ Increase in total deposits of $2.06 billion, or 12.8%

▪ Increase in stockholders' equity of $333 million

LOANS AND ASSET QUALITY:

▪ Nonperforming assets (nonaccrual loans and repossessed assets) to total assets of 0.29%, compared to 0.33%

▪ Annualized net loan charge-offs to average loans outstanding of 0.07%, compared to 0.04%

▪ Nonperforming assets to total assets of 0.29%, compared to 0.32%

▪ Annualized net loan charge-offs (recoveries) to average loans outstanding of 0.07%, compared to (0.03)%

KEY PERFORMANCE METRICS:

▪ Net interest margin of 4.70%, compared to 4.60%

▪ Return on average assets and return on tangible common equity¹ of 2.02% and 20.41%, compared to 1.99% and 20.46%, respectively

▪ Tangible common equity ratio of 9.9%, compared to 9.8%¹ 

▪ Tangible book value per share, net of tax, of $19.78, an increase from $18.86¹ 

▪ Operating efficiency ratio of 42.1%, compared to 42.7%¹ 

▪ Net interest margin of 4.70%, compared to 4.61%

▪ Return on average assets and return on tangible common equity¹ of 2.02% and 20.41%, compared to 1.71% and 18.42%, respectively

▪ Tangible common equity ratio of 9.9%, compared to 9.5%¹ 

▪ Tangible book value per share, net of tax, of $19.78, an increase of 18.4% from $16.71¹ 

▪ Operating efficiency ratio of 42.1%, compared to 41.2%¹ 

¹   See reconciliation of Non-GAAP Financial Measures beginning on page 20.

1

Income Statement

Net interest income was $224.1 million in the second quarter 2018, an increase of $9.9 million from $214.2 million in the first quarter 2018, and an increase of $31.4 million, or 16.3%, compared to the second quarter 2017. As acquired loans are recorded at fair value in an acquisition, purchase discounts on these acquired loans are recorded and accreted into interest income based on expected future cash flows or over the life of the loans and may be accelerated upon prepayment of acquired loans. Net interest income in the second quarter 2018 includes $5.1 million of total accretion income from acquired loans, compared to $5.7 million in the first quarter 2018, and $7.1 million in the second quarter 2017.

The Company’s net interest margin in the second quarter 2018 was 4.70%, an increase from 4.60% in the first quarter 2018, and from 4.61% in the second quarter 2017. Adjusting net interest margin to include the effects of the Tax Cuts and Jobs Act ("TCJA"), which reduced the tax equivalent adjustment from tax-exempt securities and loans, results in adjusted net interest margin¹ of 4.49%for the second quarter 2017.

Operating non-interest income was $14.1 million for the second quarter 2018, compared to $12.7 millionfor thefirst quarter 2018, and $10.6 million for the second quarter 2017.¹ The increase in operating non-interest income for the second quarter 2018 compared to the same quarter in the prior year is due primarily to increases in income from equity securities of $1.2 million, lending related income of $0.8 million, and card income of $0.5 million.

Net operating revenue was $238.2 million for the second quarter 2018, an increase of $11.3 million, compared to $226.9 million for the first quarter 2018, and an increase of $34.8 million, or 17.1%, compared to $203.4 million for the second quarter 2017.¹  

Operating non-interest expense was $102.7 million for the second quarter 2018, compared to $99.4 million for the first quarter 2018, and $88.2 million for the second quarter 2017.¹ The Company’s operating efficiency ratio¹ on a tax equivalent basis was 42.1% for the second quarter 2018, compared to 42.7% for the first quarter 2018, and 41.2% for the second quarter 2017. Adjusting the operating efficiency ratio¹ to include the effects of the lower statutory corporate federal tax rate would result in an operating efficiency ratio of 42.3% for the second quarter 2017.

Income tax expense was $25.3 million for the second quarter 2018, compared to $20.8 million for the first quarter 2018, and $32.0 million for the second quarter 2017. Income tax expense for the first and second quarters of 2018 includes the effect of the TCJA, which lowered the statutory corporate tax rate from 35% to 21%.

Net income was $104.7 million for the second quarter 2018, an increase of $3.8 million from $100.9 million for the first quarter 2018, and an increase of $24.7 million, or 30.9%, from $80.0 million for the second quarter 2017. Earnings per share was $0.99 for the second quarter 2018, compared to $0.96 for the first quarter 2018, and $0.76 for the second quarter 2017.

The Company views its operating pre-provision net revenue ("PPNR") as a key metric for assessing the Company’s earnings power, which it defines as net operating revenue less operating non-interest expense. For the second quarter 2018, the Company’s operating PPNR was $135.5 million, up from $127.6 million in the first quarter 2018, and up17.6% from $115.2 million in the second quarter 2017.¹ The non-operating items¹ for the second quarter 2018 consisted of a net gain on sales and valuations of repossessed and other assets of $0.2 million, offset by net unrealized losses on assets measured at fair value of $0.7 million.

The Company had 1,773 full-time equivalent employees and 47 offices at June 30, 2018, compared to 1,713 employees and 47 offices at March 31, 2018, and 1,628 employees and 46 offices at June 30, 2017.

¹  See reconciliation of Non-GAAP Financial Measures beginning on page 20.

2

Balance Sheet

Gross loans totaled $16.14 billion at June 30, 2018, an increase of $578 million from $15.56 billion at March 31, 2018, and an increase of $2.15 billion from $13.99 billion at June 30, 2017. The increase from the prior quarter was driven by an increase of $334 million in commercial and industrial loans and $127 million in residential real estate loans. From June 30, 2017, loans increased across all loan types, with the largest increase in commercial and industrial loans of $957 million. At June 30, 2018, the allowance for credit losses to gross loans held for investment was 0.91%, compared to 0.93% at March 31, 2018, and 0.94% at June 30, 2017. At June 30, 2018, the allowance for credit losses to total organic loans was 0.99%, compared to 1.02% at March 31, 2018, and 1.08% at June 30, 2017. The Company defines its organic loans as those loans that have not been acquired in a transaction accounted for as a business combination.

Consistent with accounting principles generally accepted in the United States ("GAAP"), the allowance for credit losses is not carried over in an acquisition because acquired loans are recorded at fair value, which discounts the loans based on expected future cash flows. Credit discounts on acquired loans are included as a reduction to gross loans. These discounts totaled $19.7 million at June 30, 2018, compared to $23.1 million at March 31, 2018, and $37.8 million at June 30, 2017.

Deposits totaled $18.09 billion at June 30, 2018, an increase of $733 million from $17.35 billion at March 31, 2018, and an increase of $2.06 billion from $16.03 billion at June 30, 2017. The increase from the prior quarter was driven by an increase of $446 million in non-interest bearing demand deposits and $154 million from savings and money market accounts. From June 30, 2017, deposits increased across all deposit types, with the largest increase in non-interest bearing demand deposits of $1.09 billion. Non-interest bearing deposits were $7.95 billion at June 30, 2018, compared to $7.50 billion at March 31, 2018, and $6.86 billion at June 30, 2017. Non-interest bearing deposits comprised 43.9% of total deposits at June 30, 2018, compared to 43.2% at March 31, 2018, and 42.8% at June 30, 2017. The proportion of savings and money market balances to total deposits was 35.8%, compared to 36.4% at March 31, 2018, and 38.1% at June 30, 2017. Certificates of deposit as a percentage of total deposits were 10.0% at June 30, 2018, compared to 10.1% at March 31, 2018, and 9.9% at June 30, 2017. The Company’s ratio of loans to deposits was 89.2% at June 30, 2018, compared to 89.7% at March 31, 2018, and 87.3% at June 30, 2017.

Borrowings totaled $75 million at June 30, 2018, a decrease of $225 million from $300 million at March 31, 2018, and an increase of $75 million from zero at June 30, 2017. The change in borrowings from both the prior quarter and the prior year is due to fluctuations in FHLB overnight advances.

Qualifying debt totaled $361 million at June 30, 2018, compared to $364 million at March 31, 2018, and $375 million at June 30, 2017.

Stockholders’ equity at June 30, 2018 was $2.39 billion, compared to $2.29 billion at March 31, 2018, and $2.06 billion at June 30, 2017.

At June 30, 2018, tangible common equity, net of tax, was 9.9% of tangible assets¹ and total capital was 13.4% of risk-weighted assets. The Company’s tangible book value per share¹ was $19.78 at June 30, 2018, up 18.4% from June 30, 2017.

Total assets increased2.9% to $21.37 billion at June 30, 2018, from $20.76 billion at March 31, 2018, and increased13.4% from $18.84 billion at June 30, 2017. The increase in total assets from the prior year relates primarily to organic loan growth and an increase in investment securities resulting from utilized cash from increased deposits.

Asset Quality

The provision for credit losses was $5.0 million for the second quarter 2018, compared to $6.0 millionfor the first quarter 2018, and compared to $3.0 million for the second quarter 2017. Net loan charge-offs (recoveries) in the second quarter 2018 were $2.6 million, or 0.07% of average loans (annualized), compared to $1.4 million, or 0.04%, in the first quarter 2018, and $(1.2) million, or (0.03)%, in the second quarter 2017.

Nonaccrual loans decreased$3.3 million to $34.0 million during the quarter and increased $3.9 million during past twelve months. Loans past due 90 days and still accruing interest totaled zero at June 30, 2018, compared to $37 thousand at March 31, 2018, and $4.0 million at June 30, 2017. Loans past due 30-89 days and still accruing interest totaled $1.5 million at quarter end, a decrease from $6.5 million at March 31, 2018, and a decrease from $4.1 million at June 30, 2017.

Repossessed assets totaled $27.5 million at June 30, 2018, a decrease of $2.7 million from $30.2 million at March 31, 2018, and a decrease of $3.5 million from $31.0 million at June 30, 2017. Adversely graded loans and non-performing assets totaled $368.5 million at June 30, 2018, a decrease of $10.2 million from $378.7 million at March 31, 2018, and an increase of $0.7 million from $367.8 million at June 30, 2017.

As the Company’s capital increased, the ratio of classified assets to Tier I capital plus the allowance for credit losses, a common regulatory measure of asset quality, was 10.1% at June 30, 2018, compared to 9.4% at March 31, 2018, and 12.7% at June 30, 2017.¹ 

¹ See reconciliation of Non-GAAP Financial Measures beginning on page 20.

3

Segment Highlights

The Company's reportable segments are aggregated primarily based on geographic location, services offered, and markets served. The Company's regional segments, which include Arizona, Nevada, Southern California, and Northern California provide full service banking and related services to their respective markets. The operations from the regional segments correspond to the following banking divisions: Alliance Bank of Arizona, Bank of Nevada and First Independent Bank, Torrey Pines Bank, and Bridge Bank.

The Company's National Business Lines ("NBL") segment provides specialized banking services to niche markets. The Company's NBL reportable segments include Homeowner Associations ("HOA") Services, Hotel Franchise Finance ("HFF") Public & Nonprofit Finance, Technology & Innovation, and Other NBLs. These NBLs are managed centrally and are broader in geographic scope than our other segments, though still predominately located within our core market areas.

The Corporate & Other segment consists of corporate-related items, income and expense items not allocated to our other reportable segments, and inter-segment eliminations.

Key management metrics for evaluating the performance of the Company's Arizona, Nevada, Southern California, Northern California, and NBL segments include loan and deposit growth, asset quality, and pre-tax income.

The regional segments reported gross loan balances of $8.72 billion at June 30, 2018, an increase of $144 million during the quarter, and an increase of $891 million during the last twelve months. The growth in loans during the quarter was driven primarily by increases of $85 million in Arizona and $31 million in Nevada. The growth in loans during the last twelve months was driven by increases in all regional segments. The largest increases were $468 million in Arizona and $189 million in Southern California, followed by Nevada and Northern California with increases of $121 million and $113 million, respectively. Total deposits for the regional segments were $13.12 billion, an increase of $212 million during the quarter, and an increase of $616 million during the last twelve months. During the quarter, Arizona and Nevada had increases in deposits of $249 million and $114 million, respectively. These increases were partially offset by decreases of $121 million and $30 million in Southern California and Northern California, respectively. During the last twelve months, Arizona, Northern California, and Southern California had increased deposits of $491 million, $237 million, and $52 million, respectively. These increases were partially offset by a decrease in deposits of $163 million in Nevada.

Pre-tax income for the regional segments was $86.0 million for the three months ended June 30, 2018, an increase of $0.1 million from the three months ended March 31, 2018, and an increase of $1.3 million from the three months ended June 30, 2017. Arizona and Northern California had increases in pre-tax income of $4.3 million and $1.2 million, respectively, compared to the three months ended March 31, 2018. These increases were partially offset by a decrease of $5.4 million in Nevada. Arizona and Northern California had increases in pre-tax income from the three months ended June 30, 2017 of $5.1 million and $3.2 million, respectively. These increases were partially offset by decreases of $4.5 million and $2.6 million in Nevada and Southern California, respectively. For the six months ended June 30, 2018, the regional segments reported total pre-tax income of $171.8 million, an increase of $14.8 million compared to the six months ended June 30, 2017. Arizona, Northern California, and Nevada each had increases of $11.8 million, $2.9 million, and $1.4 million, respectively. These increases were partially offset by a decrease of $1.3 million in Southern California.

The NBL segments reported gross loan balances of $7.41 billion at June 30, 2018, an increase of $432 million during the quarter, and an increase of $1.26 billion during the last twelve months. There were increases in loans across all of the NBL segments compared to the prior quarter. The largest increases relate to the Other NBLs, HFF, and Technology & Innovation segments, which increased by $297 million, $53 million, and $37 million, respectively. During the last twelve months, each of the NBL segments have had increases in loans. The largest drivers of the increase were Other NBLs, HFF, and Technology & Innovation segments with increases of $849 million, $193 million, and $161 million, respectively. Total deposits for the NBL segments were $4.51 billion, an increase of $300 million during the quarter, and an increase of $1.05 billion during the last twelve months. The Technology & Innovation and HOA services segments each had increases of $260 million and $40 million, respectively. The increase of $1.05 billion during the last twelve months is the result of growth in the Technology & Innovation and HOA Services of $721 million and $328 million, respectively.

Pre-tax income for the NBL segments was $48.7 million for the three months ended June 30, 2018, an increase of $2.0 million from the three months ended March 31, 2018, and an increase of $6.1 million from the three months ended June 30, 2017. The increase in pre-tax income from the prior quarter relates primarily to the Technology & Innovation, HOA Services, and HFF segments, which increased by $1.6 million, $0.4 million, and $0.4 million, respectively. These increases were partially offset by a decrease in pre-tax income from the Other NBLs segment which had a decrease of $0.3 million. The primary drivers of the increase in pre-tax income from the same period in the prior year were the Other NBLs, Technology & Innovation, HFF, and HOA Services segments. These segments had increases of $2.8 million, $2.7 million, $2.6 million, and $1.6 million, respectively. These increases were partially offset by a decrease of $3.6 million in pre-tax income in the Public & Nonprofit segment. Pre-tax income for the NBL segments for the six months ended June 30, 2018 totaled $95.4 million, an increase of $15.3 million compared to the six months ended June 30, 2017. The largest increases in pre-tax income compared to the six months ended June 30, 2017 were in the Other NBLs, Technology & Innovation, HOA Services, and HFF segments. These segments had increases of $8.3 million, $6.2 million, $3.6 million, and $2.7 million, respectively. These increases were partially offset by a decrease of $5.5 million in the Public & Nonprofit segment.

4

Conference Call and Webcast

Western Alliance Bancorporation will host a conference call and live webcast to discuss its second quarter 2018 financial results at 12:00 p.m. ET on Friday, July 20, 2018. Participants may access the call by dialing 1-888-317-6003 and using passcode 5174586 or via live audio webcast using the website link https://services.choruscall.com/links/wal180720.html. The webcast is also available via the Company’s website at www.westernalliancebancorporation.com. Participants should log in at least 15 minutes early to receive instructions. The call will be recorded and made available for replay after 2:00 p.m. ET July 20th through 9:00 a.m. ET August 20th by dialing 1-877-344-7529 passcode: 10121936.

Reclassifications

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

Use of Non-GAAP Financial Information

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

Adoption of Accounting Standards

During the first quarter 2018, the Company adopted Accounting Standards Update ("ASU") 2014-09, Revenue from Contracts with Customers, ASU 2016-01, Recognition and Measurement of Financial Assets and Financial Liabilities and ASU 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income.

The amendments in ASU 2014-09 create a common revenue standard and clarify the principles for recognizing revenue that can be applied consistently across various transactions, industries, and capital markets. Although this new accounting guidance brings considerable changes to how many companies account for revenue and disclose revenue-related information, the effect on the Company has not been significant as substantially all of the Company's revenue is generated from interest income related to loans and investment securities, which are not within the scope of this guidance. For the Company's revenue streams that are within the scope of this guidance, the guidance was adopted on January 1, 2018 using the modified retrospective method. Upon adoption, the Company's accounting policies did not change materially as the principles of revenue recognition in the ASU are largely consistent with current practices applied by the Company.

The amendments in ASU 2016-01 require that equity investments be measured at fair value with changes in fair value recognized in net income, rather than accumulated other comprehensive income. Upon adoption of the new accounting guidance, on January 1, 2018, the Company recorded a cumulative-effect adjustment of $0.4 million to decrease accumulated other comprehensive income with a corresponding increase to opening retained earnings. During the six months ended June 30, 2018, the Company recognized a loss of $1.8 million related to fair value changes in equity securities.

The amendments in ASU 2018-02 allow a reclassification from accumulated other comprehensive income to retained earnings from tax effects resulting from the TCJA so that tax effects of items within other comprehensive income reflect the current tax rate. Previously, the effect of a change in tax laws or rates on deferred tax liabilities and assets were included in income from continuing operations even in situations in which the related income tax effects of items in accumulated other comprehensive income were originally recognized in comprehensive income. Upon adoption of the new accounting guidance, on January 1, 2018, the Company recorded a cumulative-effect adjustment of $0.6 million to decrease accumulated other comprehensive income with a corresponding increase to opening retained earnings.

Cautionary Note Regarding Forward-Looking Statements

This release contains forward-looking statements that relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts. Examples of forward-looking statements include, among others, statements we make regarding our expectations with regard to our business, financial and operating results, and future economic performance, including our recent domestic select-service hotel franchise finance loan portfolio acquisition. The forward-looking statements contained herein reflect our current views about future events and financial performance and are subject to risks, uncertainties, assumptions and changes in circumstances that may cause our actual results to differ significantly from historical results and those expressed in any forward-looking statement. Some factors that could cause actual results to differ materially from historical or expected results include, among others: the risk factors discussed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2017 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, including expansion through acquisitions; additional regulatory requirements resulting from our continued growth; management’s estimates and projections of interest rates and interest rate policy; the execution of our business plan; and other factors affecting the financial services industry generally or the banking industry in particular.

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

5

About Western Alliance Bancorporation

With more than $20 billion in assets, Western Alliance Bancorporation (NYSE:WAL) is one of the country’s top-performing banking companies and is ranked #2 on the Forbes 2018 “Best Banks in America” list. Its primary subsidiary, Western Alliance Bank, Member FDIC, is the go-to bank for business and succeeds with local teams of experienced bankers who deliver superior service and a full spectrum of customized loan, deposit and treasury management capabilities. Business clients also benefit from a powerful array of specialized financial services that provide strong expertise and tailored solutions for a wide variety of industries and sectors. A national presence with a regional footprint, Western Alliance Bank operates individually branded, full-service banking divisions with offices inkey markets nationwide. For more information, visit westernalliancebank.com

6

Western Alliance Bancorporation and Subsidiaries
Summary Consolidated Financial Data
Unaudited
Selected Balance Sheet Data:
							As of June 30,
							2018		2017		Change %
							(in millions)
Total assets							$	21,367.5	$	18,844.7	13.4	%
Gross loans, net of deferred fees							16,138.3		13,989.9		15.4
Securities and money market investments							3,688.7		3,283.0		12.4
Total deposits							18,087.5		16,031.1		12.8
Borrowings							75.0		—		NM
Qualifying debt							361.1		375.4		(3.8	)
Stockholders' equity							2,391.7		2,058.7		16.2
Tangible common equity, net of tax (1)							2,094.3		1,761.6		18.9
Selected Income Statement Data:
	For the Three Months Ended June 30,						For the Six Months Ended June 30,
	2018		2017		Change %		2018		2017		Change %
	(in thousands, except per share data)						(in thousands, except per share data)
Interest income	$	251,602	$	206,953	21.6	%	$	486,299	$	399,218	21.8	%
Interest expense	27,494		14,210		93.5		47,971		27,166		76.6
Net interest income	224,108		192,743		16.3		438,328		372,052		17.8
Provision for credit losses	5,000		3,000		66.7		11,000		7,250		51.7
Net interest income after provision for credit losses	219,108		189,743		15.5		427,328		364,802		17.1
Non-interest income	13,444		10,601		26.8		25,087		21,200		18.3
Non-interest expense	102,548		88,420		16.0		200,697		176,247		13.9
Income before income taxes	130,004		111,924		16.2		251,718		209,755		20.0
Income tax expense	25,325		31,964		(20.8	)	46,139		56,453		(18.3	)
Net income	$	104,679	$	79,960	30.9		$	205,579	$	153,302	34.1
Diluted earnings per share	$	0.99	$	0.76	30.3		$	1.95	$	1.46	33.6

(1)    See Reconciliation of Non-GAAP Financial Measures.

NM    Changes +/- 100% are not meaningful.

7

Western Alliance Bancorporation and Subsidiaries
Summary Consolidated Financial Data
Unaudited
Common Share Data:
	At or For the Three Months Ended June 30,						For the Six Months Ended June 30,
	2018		2017		Change %		2018		2017		Change %
Diluted earnings per share	$	0.99	$	0.76	30.3	%	$	1.95	$	1.46	33.6	%
Book value per common share	22.59		19.53		15.7
Tangible book value per share, net of tax (1)	19.78		16.71		18.4
Average shares outstanding (in thousands):
Basic	104,691		104,162		0.5		104,611		104,075		0.5
Diluted	105,420		105,045		0.4		105,372		104,941		0.4
Common shares outstanding	105,876		105,429		0.4

Selected Performance Ratios:
Return on average assets (2)	2.02	%	1.71	%	18.1	%	2.00	%	1.70	%	17.6	%
Return on average tangible common equity (1, 2)	20.41		18.42		10.8		20.43		18.14		12.6
Net interest margin (2)	4.70		4.61		2.0		4.65		4.62		0.6
Operating efficiency ratio - tax equivalent basis (1)	42.1		41.2		2.0		42.4		42.8		(0.9	)
Loan to deposit ratio	89.22		87.27		2.2
Asset Quality Ratios:
Net charge-offs (recoveries) to average loans outstanding (2)	0.07	%	(0.03	)%	NM		0.05	%	0.00	%	NM
Nonaccrual loans to gross loans	0.21		0.22		(4.5	)
Nonaccrual loans and repossessed assets to total assets	0.29		0.32		(9.4	)
Loans past due 90 days and still accruing to gross loans	—		0.03		NM
Allowance for credit losses to gross loans	0.91		0.94		(3.2	)
Allowance for credit losses to nonaccrual loans	432.38		438.33		(1.4	)

Capital Ratios (1):
	Jun 30, 2018		Mar 31, 2018		Jun 30, 2017
Tangible common equity (1)	9.9	%	9.8	%	9.5	%
Common Equity Tier 1 (1), (3)	10.7		10.5		10.3
Tier 1 Leverage ratio (1), (3)	10.8		10.5		9.9
Tier 1 Capital (1), (3)	11.1		10.9		10.8
Total Capital (1), (3)	13.4		13.2		13.4

(1)    See Reconciliation of Non-GAAP Financial Measures.

(2)    Annualized for the three and six months ended June 30, 2018 and 2017.

(3)    Capital ratios for June 30, 2018 are preliminary until the Call Report is filed.

NM    Changes +/- 100% are not meaningful.

8

Western Alliance Bancorporation and Subsidiaries
Condensed Consolidated Income Statements
Unaudited
	Three Months Ended June 30,						Six Months Ended June 30,
	2018			2017			2018			2017
	(dollars in thousands, except per share data)
Interest income:
Loans	$	222,035		$	183,657		$	427,994		$	356,210
Investment securities	27,445			20,629			54,066			38,743
Other	2,122			2,667			4,239			4,265
Total interest income	251,602			206,953			486,299			399,218
Interest expense:
Deposits	19,849			9,645			34,022			18,057
Qualifying debt	5,695			4,493			10,664			8,831
Borrowings	1,950			72			3,285			278
Total interest expense	27,494			14,210			47,971			27,166
Net interest income	224,108			192,743			438,328			372,052
Provision for credit losses	5,000			3,000			11,000			7,250
Net interest income after provision for credit losses	219,108			189,743			427,328			364,802
Non-interest income:
Service charges and fees	5,672			5,203			11,417			9,941
Income from equity investments	2,517			1,318			3,977			2,010
Card income	2,033			1,516			4,005			3,008
Income from bank owned life insurance	1,167			973			2,095			1,921
Foreign currency income	1,181			832			2,383			1,874
Lending related income and gains (losses) on sale of loans, net	1,047			227			2,025			649
Gain (loss) on sales of investment securities, net	—			(47		)	—			588
Unrealized (losses) gains on assets measured at fair value, net	(685		)	—			(1,759		)	(1		)
Other	512			579			944			1,210
Total non-interest income	13,444			10,601			25,087			21,200
Non-interest expenses:
Salaries and employee benefits	61,785			52,273			123,918			103,893
Legal, professional, and directors' fees	7,946			8,483			13,949			17,286
Occupancy	7,401			6,927			14,265			13,821
Data processing	5,586			4,375			10,793			9,639
Deposit costs	4,114			2,133			7,040			3,874
Insurance	3,885			3,589			7,754			6,817
Business development	1,414			1,447			3,142			3,510
Marketing	1,146			1,131			1,742			1,852
Card expense	1,081			861			2,023			1,592
Loan and repossessed asset expenses	1,017			1,098			1,600			2,376
Intangible amortization	399			488			797			1,177
Net (gain) loss on sales and valuations of repossessed and other assets	(179		)	231			(1,407		)	(312		)
Other	6,953			5,384			15,081			10,722
Total non-interest expense	102,548			88,420			200,697			176,247
Income before income taxes	130,004			111,924			251,718			209,755
Income tax expense	25,325			31,964			46,139			56,453
Net income	$	104,679		$	79,960		$	205,579		$	153,302
Earnings per share:
Diluted shares	105,420			105,045			105,372			104,941
Diluted earnings per share	$	0.99		$	0.76		$	1.95		$	1.46

9

Western Alliance Bancorporation and Subsidiaries
Five Quarter Condensed Consolidated Income Statements
Unaudited
	Three Months Ended
	Jun 30, 2018			Mar 31, 2018			Dec 31, 2017			Sep 30, 2017		Jun 30, 2017
	(in thousands, except per share data)
Interest income:
Loans	$	222,035		$	205,959		$	200,204		$	191,096	$	183,657
Investment securities	27,445			26,621			26,312			23,584		20,629
Other	2,122			2,117			1,943			3,156		2,667
Total interest income	251,602			234,697			228,459			217,836		206,953
Interest expense:
Deposits	19,849			14,173			12,459			11,449		9,645
Qualifying debt	5,695			4,969			4,734			4,708		4,493
Borrowings	1,950			1,335			237			96		72
Total interest expense	27,494			20,477			17,430			16,253		14,210
Net interest income	224,108			214,220			211,029			201,583		192,743
Provision for credit losses	5,000			6,000			5,000			5,000		3,000
Net interest income after provision for credit losses	219,108			208,220			206,029			196,583		189,743
Non-interest income:
Service charges and fees	5,672			5,745			5,157			5,248		5,203
Income from equity investments	2,517			1,460			1,519			967		1,318
Card income	2,033			1,972			1,796			1,509		1,516
Income from bank owned life insurance	1,167			928			965			975		973
Foreign currency income	1,181			1,202			906			756		832
Lending related income and gains (losses) on sale of loans, net	1,047			978			1,466			97		227
Gain (loss) on sales of investment securities, net	—			—			1,436			319		(47		)
Unrealized (losses) gains on assets measured at fair value, net	(685		)	(1,074		)	—			—		—
Other	512			432			443			585		579
Total non-interest income	13,444			11,643			13,688			10,456		10,601
Non-interest expenses:
Salaries and employee benefits	61,785			62,133			57,704			52,747		52,273
Legal, professional, and directors' fees	7,946			6,003			6,490			6,038		8,483
Occupancy	7,401			6,864			6,532			7,507		6,927
Data processing	5,586			5,207			5,062			4,524		4,375
Deposit costs	4,114			2,926			2,953			2,904		2,133
Insurance	3,885			3,869			3,687			3,538		3,589
Business development	1,414			1,728			1,179			1,439		1,447
Marketing	1,146			596			1,176			776		1,131
Card expense	1,081			942			855			966		861
Loan and repossessed asset expenses	1,017			583			978			1,263		1,098
Intangible amortization	399			398			408			489		488
Net (gain) loss on sales and valuations of repossessed and other assets	(179		)	(1,228		)	(34		)	266		231
Other	6,953			8,128			8,408			6,839		5,384
Total non-interest expense	102,548			98,149			95,398			89,296		88,420
Income before income taxes	130,004			121,714			124,319			117,743		111,924
Income tax expense	25,325			20,814			34,973			34,899		31,964
Net income	$	104,679		$	100,900		$	89,346		$	82,844	$	79,960
Earnings per share:
Diluted shares	105,420			105,324			105,164			104,942		105,045
Diluted earnings per share	$	0.99		$	0.96		$	0.85		$	0.79	$	0.76

10

Western Alliance Bancorporation and Subsidiaries
Five Quarter Condensed Consolidated Balance Sheets
Unaudited
	Jun 30, 2018			Mar 31, 2018			Dec 31, 2017			Sep 30, 2017			Jun 30, 2017
	(in millions, except per share data)
Assets:
Cash and due from banks	$	506.8		$	439.4		$	416.8		$	650.4		$	606.7
Securities and money market investments	3,688.7			3,734.3			3,820.4			3,773.6			3,283.0
Loans held for sale	—			—			—			16.3			16.7
Loans held for investment:
Commercial	7,278.4			6,944.4			6,841.4			6,735.9			6,318.5
Commercial real estate - non-owner occupied	4,010.6			3,925.3			3,904.0			3,628.4			3,649.1
Commercial real estate - owner occupied	2,270.5			2,264.6			2,241.6			2,047.5			2,021.2
Construction and land development	1,978.3			1,957.5			1,632.2			1,666.4			1,601.7
Residential real estate	545.3			418.1			425.9			376.7			334.8
Consumer	55.2			50.5			48.8			50.7			47.9
Gross loans, net of deferred fees	16,138.3			15,560.4			15,093.9			14,505.6			13,973.2
Allowance for credit losses	(147.1		)	(144.7		)	(140.0		)	(136.4		)	(131.8		)
Loans, net	15,991.2			15,415.7			14,953.9			14,369.2			13,841.4
Premises and equipment, net	115.4			116.7			118.7			120.1			120.5
Other assets acquired through foreclosure, net	27.5			30.2			28.5			29.0			31.0
Bank owned life insurance	168.7			168.6			167.8			166.8			166.4
Goodwill and other intangibles, net	300.0			300.4			300.7			301.2			301.6
Other assets	569.2			555.4			522.3			495.6			477.4
Total assets	$	21,367.5		$	20,760.7		$	20,329.1		$	19,922.2		$	18,844.7
Liabilities and Stockholders' Equity:
Liabilities:
Deposits
Non-interest bearing demand deposits	$	7,947.9		$	7,502.0		$	7,434.0		$	7,608.7		$	6,859.4
Interest bearing:
Demand	1,864.6			1,776.3			1,586.2			1,406.4			1,480.8
Savings and money market	6,468.8			6,314.9			6,330.9			6,300.2			6,104.0
Time certificates	1,806.2			1,761.3			1,621.4			1,589.5			1,586.9
Total deposits	18,087.5			17,354.5			16,972.5			16,904.8			16,031.1
Customer repurchase agreements	18.0			21.7			26.0			26.1			32.7
Total customer funds	18,105.5			17,376.2			16,998.5			16,930.9			16,063.8
Borrowings	75.0			300.0			390.0			—			—
Qualifying debt	361.1			363.9			376.9			372.9			375.4
Accrued interest payable and other liabilities	434.2			426.9			333.9			472.8			346.8
Total liabilities	18,975.8			18,467.0			18,099.3			17,776.6			16,786.0
Stockholders' Equity:
Common stock and additional paid-in capital	1,387.9			1,385.0			1,384.4			1,378.8			1,376.4
Retained earnings	1,055.1			950.4			848.5			758.6			675.8
Accumulated other comprehensive (loss) income	(51.3		)	(41.7		)	(3.1		)	8.2			6.5
Total stockholders' equity	2,391.7			2,293.7			2,229.8			2,145.6			2,058.7
Total liabilities and stockholders' equity	$	21,367.5		$	20,760.7		$	20,329.1		$	19,922.2		$	18,844.7

11

Western Alliance Bancorporation and Subsidiaries
Changes in the Allowance For Credit Losses
Unaudited
	Three Months Ended
	Jun 30, 2018			Mar 31, 2018			Dec 31, 2017			Sep 30, 2017			Jun 30, 2017
	(in thousands)
Balance, beginning of period	$	144,659		$	140,050		$	136,421		$	131,811		$	127,649
Provision for credit losses	5,000			6,000			5,000			5,000			3,000
Recoveries of loans previously charged-off:
Commercial and industrial	916			459			406			619			1,759
Commercial real estate - non-owner occupied	15			105			58			1,168			360
Commercial real estate - owner occupied	231			21			119			613			46
Construction and land development	8			1,388			218			226			508
Residential real estate	141			250			120			108			1,299
Consumer	14			10			3			33			—
Total recoveries	1,325			2,233			924			2,767			3,972
Loans charged-off:
Commercial and industrial	2,778			3,517			2,019			2,921			651
Commercial real estate - non-owner occupied	232			—			275			175			1,808
Commercial real estate - owner occupied	—			—			—			—			11
Construction and land development	1			—			—			—			—
Residential real estate	885			107			—			—			332
Consumer	5			—			1			61			8
Total loans charged-off	3,901			3,624			2,295			3,157			2,810
Net loan charge-offs (recoveries)	2,576			1,391			1,371			390			(1,162		)
Balance, end of period	$	147,083		$	144,659		$	140,050		$	136,421		$	131,811
Net charge-offs (recoveries) to average loans- annualized	0.07		%	0.04		%	0.04		%	0.01		%	(0.03		)%
Allowance for credit losses to gross loans	0.91		%	0.93		%	0.93		%	0.94		%	0.94		%
Allowance for credit losses to gross organic loans	0.99			1.02			1.03			1.06			1.08
Allowance for credit losses to nonaccrual loans	432.38			387.86			318.84			248.07			438.33
Nonaccrual loans	$	34,017		$	37,297		$	43,925		$	54,994		$	30,071
Nonaccrual loans to gross loans	0.21		%	0.24		%	0.29		%	0.38		%	0.22		%
Repossessed assets	$	27,541		$	30,194		$	28,540		$	28,973		$	30,988
Nonaccrual loans and repossessed assets to total assets	0.29		%	0.33		%	0.36		%	0.42		%	0.32		%
Loans past due 90 days, still accruing	$	—		$	37		$	43		$	44		$	4,021
Loans past due 90 days and still accruing to gross loans	—		%	0.00		%	0.00		%	0.00		%	0.03		%
Loans past due 30 to 89 days, still accruing	$	1,545		$	6,479		$	10,142		$	5,179		$	4,071
Loans past due 30 to 89 days, still accruing to gross loans	0.01		%	0.04		%	0.07		%	0.04		%	0.03		%
Special mention loans	$	150,278		$	184,702		$	155,032		$	199,965		$	141,036
Special mention loans to gross loans	0.93		%	1.19		%	1.03		%	1.38		%	1.01		%
Classified loans on accrual	$	156,659		$	126,538		$	127,681		$	122,264		$	165,715
Classified loans on accrual to gross loans	0.97		%	0.81		%	0.85		%	0.84		%	1.19		%
Classified assets	$	240,063		$	213,482		$	222,004		$	221,803		$	249,491
Classified assets to total assets	1.12		%	1.03		%	1.09		%	1.11		%	1.32		%

12

Western Alliance Bancorporation and Subsidiaries
Analysis of Average Balances, Yields and Rates
Unaudited
	Three Months Ended
	June 30, 2018							March 31, 2018
	Average Balance			Interest		Average Yield / Cost		Average Balance			Interest		Average Yield / Cost
	($ in millions)			($ in thousands)				($ in millions)			($ in thousands)
Interest earning assets
Loans:
Commercial	$	6,902.5		$	94,243	5.64	%	$	6,580.9		$	85,547	5.38	%
CRE - non-owner occupied	3,964.2			59,373		6.01		3,920.8			56,285		5.76
CRE - owner occupied	2,242.6			28,698		5.23		2,241.8			28,551		5.21
Construction and land development	1,952.0			33,567		6.89		1,789.4			29,619		6.63
Residential real estate	433.4			5,414		5.00		425.3			5,280		4.97
Consumer	52.4			740		5.65		47.9			677		5.65
Total loans (1), (2), (3)	15,547.1			222,035		5.81		15,006.1			205,959		5.59
Securities:
Securities - taxable	2,802.9			19,274		2.75		2,875.3			19,149		2.66
Securities - tax-exempt	848.7			8,171		4.81		836.9			7,472		4.47
Total securities (1)	3,651.6			27,445		3.23		3,712.2			26,621		3.07
Cash and other	382.5			2,122		2.22		425.7			2,117		1.99
Total interest earning assets	19,581.2			251,602		5.26		19,144.0			234,697		5.02
Non-interest earning assets
Cash and due from banks	145.0							142.3
Allowance for credit losses	(145.6		)					(141.0		)
Bank owned life insurance	168.3							168.1
Other assets	1,010.7							990.8
Total assets	$	20,759.6						$	20,304.2
Interest-bearing liabilities
Interest-bearing deposits:
Interest-bearing transaction accounts	$	1,824.7		$	2,360	0.52	%	$	1,654.7		$	1,380	0.33	%
Savings and money market	6,126.3			12,324		0.80		6,226.7			8,915		0.57
Time certificates of deposit	1,714.8			5,165		1.20		1,579.9			3,878		0.98
Total interest-bearing deposits	9,665.8			19,849		0.82		9,461.3			14,173		0.60
Short-term borrowings	413.2			1,950		1.89		351.6			1,335		1.52
Qualifying debt	362.8			5,695		6.28		368.8			4,969		5.39
Total interest-bearing liabilities	10,441.8			27,494		1.05		10,181.7			20,477		0.80
Non-interest-bearing liabilities
Non-interest-bearing demand deposits	7,612.0							7,510.6
Other liabilities	354.0							338.5
Stockholders’ equity	2,351.8							2,273.4
Total liabilities and stockholders' equity	$	20,759.6						$	20,304.2
Net interest income and margin (4)				$	224,108	4.70	%				$	214,220	4.60	%

(1) Yields on loans and securities have been adjusted to a tax equivalent basis. The tax equivalent adjustment was $5.9 million and $5.7 million for the three months ended June 30, 2018 and March 31, 2018, respectively.

(2) Included in the yield computation are net loan fees of $11.0 million and accretion on acquired loans of $5.1 million for the three months ended June 30, 2018, compared to $10.0 million and $5.7 million for the three months ended March 31, 2018, respectively.

(3) Includes non-accrual loans.

(4) Net interest margin is computed by dividing net interest income by total average earning assets.

13

Western Alliance Bancorporation and Subsidiaries
Analysis of Average Balances, Yields and Rates
Unaudited
	Three Months Ended June 30,
	2018							2017
	Average Balance			Interest		Average Yield / Cost		Average Balance			Interest		Average Yield / Cost
	($ in millions)			($ in thousands)				($ in millions)			($ in thousands)
Interest earning assets
Loans:
Commercial	$	6,902.5		$	94,243	5.64	%	$	6,071.6		$	76,000	5.39	%
CRE - non-owner occupied	3,964.2			59,373		6.01		3,606.8			52,416		5.84
CRE - owner occupied	2,242.6			28,698		5.23		2,019.5			25,931		5.43
Construction and land development	1,952.0			33,567		6.89		1,605.6			24,965		6.24
Residential real estate	433.4			5,414		5.00		322.2			3,950		4.90
Consumer	52.4			740		5.65		44.7			395		3.53
Total loans (1), (2), (3)	15,547.1			222,035		5.81		13,670.4			183,657		5.60
Securities:
Securities - taxable	2,802.9			19,274		2.75		2,446.5			14,847		2.43
Securities - tax-exempt	848.7			8,171		4.81		628.0			5,782		5.48
Total securities (1)	3,651.6			27,445		3.23		3,074.5			20,629		3.05
Cash and other	382.6			2,122		2.22		903.3			2,667		1.18
Total interest earning assets	19,581.3			251,602		5.26		17,648.2			206,953		4.93
Non-interest earning assets
Cash and due from banks	145.0							140.3
Allowance for credit losses	(145.6		)					(130.0		)
Bank owned life insurance	168.3							165.8
Other assets	1,010.6							919.6
Total assets	$	20,759.6						$	18,743.9
Interest-bearing liabilities
Interest-bearing deposits:
Interest-bearing transaction accounts	$	1,824.7		$	2,360	0.52	%	$	1,492.7		$	986	0.26	%
Savings and money market	6,126.3			12,324		0.80		6,155.8			5,831		0.38
Time certificates of deposit	1,714.8			5,165		1.20		1,576.0			2,828		0.72
Total interest-bearing deposits	9,665.8			19,849		0.82		9,224.5			9,645		0.42
Short-term borrowings	413.2			1,950		1.89		34.6			72		0.83
Qualifying debt	362.8			5,695		6.28		359.3			4,493		5.00
Total interest-bearing liabilities	10,441.8			27,494		1.05		9,618.4			14,210		0.59
Non-interest-bearing liabilities
Non-interest-bearing demand deposits	7,612.0							6,735.3
Other liabilities	354.0							351.7
Stockholders’ equity	2,351.8							2,038.5
Total liabilities and stockholders' equity	$	20,759.6						$	18,743.9
Net interest income and margin (4)				$	224,108	4.70	%				$	192,743	4.61	%
Net interest margin, adjusted (5)													4.49	%

(1) Yields on loans and securities have been adjusted to a tax equivalent basis. The tax equivalent adjustment was $5.9 million and $10.4 million for the three months ended June 30, 2018 and 2017, respectively.

(2) Included in the yield computation are net loan fees of $11.0 million and accretion on acquired loans of $5.1 million for the three months ended June 30, 2018, compared to $10.0 million and $7.1 million for the three months ended June 30, 2017, respectively.

(3) Includes non-accrual loans.

(4) Net interest margin is computed by dividing net interest income by total average earning assets.

(5) Prior period net interest margin is adjusted to include the effects from the TCJA of the lower statutory corporate federal tax rate on the calculation of the tax equivalent adjustment in order to be comparable to the current period.

14

Western Alliance Bancorporation and Subsidiaries
Analysis of Average Balances, Yields and Rates
Unaudited
	Six Months Ended June 30,
	2018							2017
	Average Balance			Interest		Average Yield / Cost		Average Balance			Interest		Average Yield / Cost
	($ in millions)			($ in thousands)				($ in millions)			($ in thousands)
Interest earning assets
Loans:
Commercial	$	6,742.6		$	179,789	5.51	%	$	5,908.0		$	144,346	5.28	%
CRE - non-owner occupied	3,942.6			115,659		5.88		3,585.9			106,277		5.95
CRE - owner occupied	2,242.2			57,249		5.22		2,008.8			50,658		5.28
Construction and land development	1,871.1			63,186		6.76		1,558.5			47,067		6.05
Residential real estate	429.4			10,694		4.98		297.2			6,974		4.69
Consumer	50.2			1,417		5.65		41.6			888		4.27
Total loans (1), (2), (3)	15,278.1			427,994		5.70		13,400.0			356,210		5.53
Securities:
Securities - taxable	2,838.9			38,423		2.71		2,276.8			27,285		2.40
Securities - tax-exempt	842.8			15,643		4.64		616.2			11,458		5.52
Total securities (1)	3,681.7			54,066		3.15		2,893.0			38,743		3.06
Cash and other	404.0			4,239		2.10		693.8			4,265		1.23
Total interest earning assets	19,363.8			486,299		5.14		16,986.8			399,218		4.94
Non-interest earning assets
Cash and due from banks	143.7							141.5
Allowance for credit losses	(143.3		)					(127.9		)
Bank owned life insurance	168.2							165.3
Other assets	1,000.8							910.1
Total assets	$	20,533.2						$	18,075.8
Interest-bearing liabilities
Interest-bearing deposits:
Interest-bearing transaction accounts	$	1,740.2		$	3,741	0.43	%	$	1,463.9		$	1,791	0.24	%
Savings and money market	6,176.2			21,238		0.69		6,112.7			11,143		0.36
Time certificates of deposit	1,647.7			9,043		1.10		1,530.7			5,123		0.67
Total interest-bearing deposits	9,564.1			34,022		0.71		9,107.3			18,057		0.40
Short-term borrowings	382.6			3,285		1.72		72.5			278		0.77
Qualifying debt	365.8			10,664		5.83		356.6			8,831		4.95
Total interest-bearing liabilities	10,312.5			47,971		0.93		9,536.4			27,166		0.57
Non-interest-bearing liabilities
Non-interest-bearing demand deposits	7,561.6							6,230.1
Other liabilities	346.3							316.4
Stockholders’ equity	2,312.8							1,992.9
Total liabilities and stockholders' equity	$	20,533.2						$	18,075.8
Net interest income and margin (4)				$	438,328	4.65	%				$	372,052	4.62	%
Net interest margin, adjusted (5)													4.50	%

(1) Yields on loans and securities have been adjusted to a tax equivalent basis. The tax equivalent adjustment was $11.7 million and $20.1 million for the six months ended June 30, 2018 and 2017, respectively.

(2) Included in the yield computation are net loan fees of $20.9 million and accretion on acquired loans of $10.8 million for the six months ended June 30, 2018, compared to $16.6 million and $13.5 million for the six months ended June 30, 2017, respectively.

(3) Includes non-accrual loans.

(4) Net interest margin is computed by dividing net interest income by total average earning assets.

(5) Prior period net interest margin is adjusted to include the effects from the TCJA of the lower statutory corporate federal tax rate on the calculation of the tax equivalent adjustment in order to be comparable to the current period.

15

Western Alliance Bancorporation and Subsidiaries
Operating Segment Results
Unaudited
Balance Sheet:				Regional Segments
	Consolidated Company			Arizona			Nevada			Southern California			Northern California
At June 30, 2018:	(dollars in millions)
Assets:
Cash, cash equivalents, and investment securities	$	4,195.5		$	1.8		$	8.3		$	2.2		$	2.0
Loans, net of deferred loan fees and costs	16,138.3			3,557.6			1,850.7			2,027.8			1,285.4
Less: allowance for credit losses	(147.1		)	(33.4		)	(17.8		)	(20.4		)	(10.9		)
Total loans	15,991.2			3,524.2			1,832.9			2,007.4			1,274.5
Other assets acquired through foreclosure, net	27.5			2.3			14.1			—			—
Goodwill and other intangible assets, net	300.0			—			23.2			—			156.1
Other assets	853.3			45.8			58.0			14.5			18.2
Total assets	$	21,367.5		$	3,574.1		$	1,936.5		$	2,024.1		$	1,450.8
Liabilities:
Deposits	$	18,087.5		$	5,269.3		$	3,762.3		$	2,303.2		$	1,784.3
Borrowings and qualifying debt	436.1			—			—			—			—
Other liabilities	452.2			9.0			14.8			1.7			11.6
Total liabilities	18,975.8			5,278.3			3,777.1			2,304.9			1,795.9
Allocated equity:	2,391.7			434.7			261.3			228.8			301.7
Total liabilities and stockholders' equity	$	21,367.5		$	5,713.0		$	4,038.4		$	2,533.7		$	2,097.6
Excess funds provided (used)	—			2,138.9			2,101.9			509.6			646.8
No. of offices	47			10			16			9			3
No. of full-time equivalent employees	1,773			124			98			116			130
Income Statement:
Three Months Ended June 30, 2018:	(in thousands)
Net interest income	$	224,108		$	57,977		$	35,276		$	27,664		$	23,001
Provision for (recovery) credit losses	5,000			518			(243		)	(276		)	13
Net interest income after provision for credit losses	219,108			57,459			35,519			27,940			22,988
Non-interest income	13,444			2,256			2,679			966			2,421
Non-interest expense	(102,548		)	(22,419		)	(15,931		)	(14,491		)	(13,429		)
Income (loss) before income taxes	130,004			37,296			22,267			14,415			11,980
Income tax expense (benefit)	25,325			9,324			4,676			4,036			3,355
Net income	$	104,679		$	27,972		$	17,591		$	10,379		$	8,625
Six Months Ended June 30, 2018:	(in thousands)
Net interest income	$	438,328		$	112,532		$	71,966		$	55,466		$	45,256
Provision for (recovery of) credit losses	11,000			1,952			(1,967		)	454			1,561
Net interest income after provision for credit losses	427,328			110,580			73,933			55,012			43,695
Non-interest income	25,087			3,672			6,012			1,967			4,969
Non-interest expense	(200,697		)	(43,923		)	(30,015		)	(28,137		)	(25,932		)
Income (loss) before income taxes	251,718			70,329			49,930			28,842			22,732
Income tax expense (benefit)	46,139			17,645			10,579			8,171			6,452
Net income	$	205,579		$	52,684		$	39,351		$	20,671		$	16,280

16

Western Alliance Bancorporation and Subsidiaries
Operating Segment Results
Unaudited
Balance Sheet:	National Business Lines
	HOA Services			Public & Nonprofit Finance			Technology & Innovation			Hotel Franchise Finance			Other NBLs			Corporate & Other
At June 30, 2018:	(dollars in millions)
Assets:
Cash, cash equivalents, and investment securities	$	—		$	—		$	—		$	—		$	—		$	4,181.2
Loans, net of deferred loan fees and costs	186.5			1,566.1			1,205.4			1,431.9			3,022.1			4.8
Less: allowance for credit losses	(1.8		)	(15.2		)	(11.2		)	(7.1		)	(29.2		)	(0.1		)
Total loans	184.7			1,550.9			1,194.2			1,424.8			2,992.9			4.7
Other assets acquired through foreclosure, net	—			—			—			—			—			11.1
Goodwill and other intangible assets, net	—			—			120.6			0.1			—			—
Other assets	0.9			21.0			5.3			6.5			13.8			669.3
Total assets	$	185.6		$	1,571.9		$	1,320.1		$	1,431.4		$	3,006.7		$	4,866.3
Liabilities:
Deposits	$	2,514.9		$	—		$	1,993.5		$	—		$	—		$	460.0
Borrowings and qualifying debt	—			—			—			—			—			436.1
Other liabilities	2.1			17.7			0.1			(0.4		)	103.0			292.6
Total liabilities	2,517.0			17.7			1,993.6			(0.4		)	103.0			1,188.7
Allocated equity:	67.1			125.3			257.8			117.8			248.0			349.2
Total liabilities and stockholders' equity	$	2,584.1		$	143.0		$	2,251.4		$	117.4		$	351.0		$	1,537.9
Excess funds provided (used)	2,398.5			(1,428.9		)	931.3			(1,314.0		)	(2,655.7		)	(3,328.4		)
No. of offices	1			1			9			1			4			(7		)
No. of full-time equivalent employees	65			11			56			17			42			1,114
Income Statement:
Three Months Ended June 30, 2018:	(in thousands)
Net interest income	$	16,046		$	3,794		$	24,562		$	13,874		$	19,672		$	2,242
Provision for (recovery) credit losses	135			(27		)	2,256			548			2,074			2
Net interest income after provision for credit losses	15,911			3,821			22,306			13,326			17,598			2,240
Non-interest income	179			—			3,630			—			409			904
Non-interest expense	(8,033		)	(2,080		)	(9,899		)	(2,200		)	(6,250		)	(7,816		)
Income (loss) before income taxes	8,057			1,741			16,037			11,126			11,757			(4,672		)
Income tax expense (benefit)	1,853			401			3,688			2,559			2,704			(7,271		)
Net income	$	6,204		$	1,340		$	12,349		$	8,567		$	9,053		$	2,599
Six Months Ended June 30, 2018:	(in thousands)
Net interest income	$	31,405		$	7,539		$	47,383		$	28,060		$	38,484		$	237
Provision for (recovery of) credit losses	182			(233		)	3,907			1,783			3,359			2
Net interest income after provision for credit losses	31,223			7,772			43,476			26,277			35,125			235
Non-interest income	328			—			6,681			13			633			812
Non-interest expense	(15,836		)	(4,254		)	(19,733		)	(4,405		)	(11,912		)	(16,550		)
Income (loss) before income taxes	15,715			3,518			30,424			21,885			23,846			(15,503		)
Income tax expense (benefit)	3,615			809			6,998			5,033			5,484			(18,647		)
Net income	$	12,100		$	2,709		$	23,426		$	16,852		$	18,362		$	3,144

17

Western Alliance Bancorporation and Subsidiaries
Operating Segment Results
Unaudited
Balance Sheet:				Regional Segments
	Consolidated Company			Arizona			Nevada			Southern California			Northern California
At December 31, 2017:	(dollars in millions)
Assets:
Cash, cash equivalents, and investment securities	$	4,237.1		$	2.1		$	8.2		$	2.1		$	1.7
Loans, net of deferred loan fees and costs	15,093.9			3,323.7			1,844.8			1,934.7			1,275.5
Less: allowance for credit losses	(140.0		)	(31.5		)	(18.1		)	(19.5		)	(13.2		)
Total loans	14,953.9			3,292.2			1,826.7			1,915.2			1,262.3
Other assets acquired through foreclosure, net	28.5			2.3			13.3			—			0.2
Goodwill and other intangible assets, net	300.7			—			23.2			—			156.5
Other assets	808.9			46.3			58.8			14.4			15.1
Total assets	$	20,329.1		$	3,342.9		$	1,930.2		$	1,931.7		$	1,435.8
Liabilities:
Deposits	$	16,972.5		$	4,841.3		$	3,951.4		$	2,461.1		$	1,681.7
Borrowings and qualifying debt	766.9			—			—			—			—
Other liabilities	360.0			11.6			20.9			3.2			11.9
Total liabilities	18,099.4			4,852.9			3,972.3			2,464.3			1,693.6
Allocated equity:	2,229.7			396.5			263.7			221.8			303.1
Total liabilities and stockholders' equity	$	20,329.1		$	5,249.4		$	4,236.0		$	2,686.1		$	1,996.7
Excess funds provided (used)	—			1,906.5			2,305.8			754.4			560.9
No. of offices	47			10			16			9			3
No. of full-time equivalent employees	1,725			110			91			111			123
Income Statements:
Three Months Ended June 30, 2017:	(in thousands)
Net interest income (expense)	$	192,743		$	49,295		$	36,422		$	29,058		$	19,719
Provision for (recovery of) credit losses	3,000			384			(3,123		)	(53		)	698
Net interest income (expense) after provision for credit losses	189,743			48,911			39,545			29,111			19,021
Non-interest income	10,601			1,189			2,313			888			1,930
Non-interest expense	(88,420		)	(17,922		)	(15,115		)	(13,020		)	(12,162		)
Income (loss) before income taxes	111,924			32,178			26,743			16,979			8,789
Income tax expense (benefit)	31,964			12,624			9,360			7,140			3,696
Net income	$	79,960		$	19,554		$	17,383		$	9,839		$	5,093
Six Months Ended June 30, 2017:	(in thousands)
Net interest income (expense)	$	372,052		$	93,202		$	71,718		$	54,276		$	41,754
Provision for (recovery of) credit losses	7,250			398			(3,334		)	38			1,094
Net interest income (expense) after provision for credit losses	364,802			92,804			75,052			54,238			40,660
Non-interest income	21,200			2,302			4,446			1,631			4,043
Non-interest expense	(176,247		)	(36,544		)	(30,985		)	(25,723		)	(24,871		)
Income (loss) before income taxes	209,755			58,562			48,513			30,146			19,832
Income tax expense (benefit)	56,453			22,974			16,980			12,677			8,339
Net income	$	153,302		$	35,588		$	31,533		$	17,469		$	11,493

18

Western Alliance Bancorporation and Subsidiaries
Operating Segment Results
Unaudited
Balance Sheet:	National Business Lines
	HOA Services			Public & Nonprofit Finance			Technology & Innovation			Hotel Franchise Finance			Other NBLs			Corporate & Other
At December 31, 2017:	(dollars in millions)
Assets:
Cash, cash equivalents, and investment securities	$	—		$	—		$	—		$	—		$	—		$	4,223.0
Loans, net of deferred loan fees and costs	162.1			1,580.4			1,097.9			1,327.7			2,543.0			4.1
Less: allowance for credit losses	(1.6		)	(15.6		)	(11.4		)	(4.0		)	(25.0		)	(0.1		)
Total loans	160.5			1,564.8			1,086.5			1,323.7			2,518.0			4.0
Other assets acquired through foreclosure, net	—			—			—			—			—			12.7
Goodwill and other intangible assets, net	—			—			120.9			0.1			—			—
Other assets	0.9			17.9			6.0			5.9			15.5			628.1
Total assets	$	161.4		$	1,582.7		$	1,213.4		$	1,329.7		$	2,533.5		$	4,867.8
Liabilities:
Deposits	$	2,230.4		$	—		$	1,737.6		$	—		$	—		$	69.0
Borrowings and qualifying debt	—			—			—			—			—			766.9
Other liabilities	1.2			42.4			0.8			0.4			5.5			262.1
Total liabilities	2,231.6			42.4			1,738.4			0.4			5.5			1,098.0
Allocated equity:	59.4			126.5			244.1			108.3			206.0			300.3
Total liabilities and stockholders' equity	$	2,291.0		$	168.9		$	1,982.5		$	108.7		$	211.5		$	1,398.3
Excess funds provided (used)	2,129.6			(1,413.8		)	769.1			(1,221.0		)	(2,322.0		)	(3,469.5		)
No. of offices	1			1			9			1			4			(7		)
No. of full-time equivalent employees	65			10			62			12			38			1,103
Income Statement:
Three Months Ended June 30, 2017:	(in thousands)
Net interest income (expense)	$	13,781		$	7,488		$	21,029		$	13,410		$	15,304		$	(12,763	)
Provision for (recovery of) credit losses	165			196			603			1,808			2,322			—
Net interest income (expense) after provision for credit losses	13,616			7,292			20,426			11,602			12,982			(12,763		)
Non-interest income	140			162			1,961			—			532			1,486
Non-interest expense	(7,258		)	(2,146		)	(9,082		)	(3,056		)	(4,566		)	(4,093		)
Income (loss) before income taxes	6,498			5,308			13,305			8,546			8,948			(15,370		)
Income tax expense (benefit)	2,436			1,994			4,989			3,205			3,356			(16,836		)
Net income	$	4,062		$	3,314		$	8,316		$	5,341		$	5,592		$	1,466
Six Months Ended June 30, 2017:	(in thousands)
Net interest income (expense)	$	26,529		$	13,973		$	39,195		$	26,991		$	29,447		$	(25,033	)
Provision for (recovery of) credit losses	292			705			899			1,808			5,849			(499		)
Net interest income (expense) after provision for credit losses	26,237			13,268			38,296			25,183			23,598			(24,534		)
Non-interest income	281			232			3,834			—			1,253			3,178
Non-interest expense	(14,405		)	(4,469		)	(17,861		)	(6,044		)	(9,287		)	(6,058		)
Income (loss) before income taxes	12,113			9,031			24,269			19,139			15,564			(27,414		)
Income tax expense (benefit)	4,542			3,396			9,100			7,177			5,837			(34,569		)
Net income	$	7,571		$	5,635		$	15,169		$	11,962		$	9,727		$	7,155

19

Western Alliance Bancorporation and Subsidiaries
Reconciliation of Non-GAAP Financial Measures
Unaudited
Operating Pre-Provision Net Revenue by Quarter:
	Three Months Ended
	Jun 30, 2018			Mar 31, 2018			Dec 31, 2017			Sep 30, 2017		Jun 30, 2017
	(in thousands)
Total non-interest income	$	13,444		$	11,643		$	13,688		$	10,456	$	10,601
Less:
Gains (losses) on sales of investment securities, net	—			—			1,436			319		(47		)
Unrealized (losses) gains on assets measured at fair value, net	(685		)	(1,074		)	—			—		—
Total operating non-interest income	14,129			12,717			12,252			10,137		10,648
Plus: net interest income	224,108			214,220			211,029			201,583		192,743
Net operating revenue (1)	$	238,237		$	226,937		$	223,281		$	211,720	$	203,391
Total non-interest expense	$	102,548		$	98,149		$	95,398		$	89,296	$	88,420
Less:
Net (gain) loss on sales and valuations of repossessed and other assets	(179		)	(1,228		)	(34		)	266		231
Total operating non-interest expense (1)	$	102,727		$	99,377		$	95,432		$	89,030	$	88,189
Operating pre-provision net revenue (2)	$	135,510		$	127,560		$	127,849		$	122,690	$	115,202
Plus:
Non-operating revenue adjustments	(685		)	(1,074		)	1,436			319		(47		)
Less:
Provision for credit losses	5,000			6,000			5,000			5,000		3,000
Non-operating expense adjustments	(179		)	(1,228		)	(34		)	266		231
Income tax expense	25,325			20,814			34,973			34,899		31,964
Net income	$	104,679		$	100,900		$	89,346		$	82,844	$	79,960

^{(1), (2)} See Non-GAAP Financial Measures footnotes on page 23.

20

Western Alliance Bancorporation and Subsidiaries

Reconciliation of Non-GAAP Financial Measures

Unaudited

Tangible Common Equity:
	Jun 30, 2018			Mar 31, 2018			Dec 31, 2017			Sep 30, 2017			Jun 30, 2017
	(dollars and shares in thousands)
Total stockholders' equity	$	2,391,684		$	2,293,763		$	2,229,698		$	2,145,627		$	2,058,674
Less: goodwill and intangible assets	299,951			300,350			300,748			301,157			301,645
Total tangible common equity	2,091,733			1,993,413			1,928,950			1,844,470			1,757,029
Plus: deferred tax - attributed to intangible assets	2,555			2,773			2,698			4,341			4,550
Total tangible common equity, net of tax	$	2,094,288		$	1,996,186		$	1,931,648		$	1,848,811		$	1,761,579
Total assets	$	21,367,452		$	20,760,731		$	20,329,085		$	19,922,221		$	18,844,745
Less: goodwill and intangible assets, net	299,951			300,350			300,748			301,157			301,645
Tangible assets	21,067,501			20,460,381			20,028,337			19,621,064			18,543,100
Plus: deferred tax - attributed to intangible assets	2,555			2,773			2,698			4,341			4,550
Total tangible assets, net of tax	$	21,070,056		$	20,463,154		$	20,031,035		$	19,625,405		$	18,547,650
Tangible common equity ratio (3)	9.9		%	9.8		%	9.6		%	9.4		%	9.5		%
Common shares outstanding	105,876			105,861			105,487			105,493			105,429
Tangible book value per share, net of tax (4)	$	19.78		$	18.86		$	18.31		$	17.53		$	16.71
(1), (2), (3), (4) See Non-GAAP Financial Measures footnotes on page 23.

Western Alliance Bancorporation and Subsidiaries

Reconciliation of Non-GAAP Financial Measures

Unaudited

Operating Efficiency Ratio by Quarter:
	Three Months Ended
	Jun 30, 2018			Mar 31, 2018			Dec 31, 2017			Sep 30, 2017			Jun 30, 2017
	(in thousands)
Total operating non-interest expense	$	102,727		$	99,377		$	95,432		$	89,030		$	88,189
Divided by:
Total net interest income	224,108			214,220			211,029			201,583			192,743
Plus:
Tax equivalent interest adjustment	5,939			5,727			11,023			10,837			10,453
Operating non-interest income	14,129			12,717			12,252			10,137			10,648
	$	244,176		$	232,664		$	234,304		$	222,557		$	213,844
Operating efficiency ratio - tax equivalent basis (5)	42.1		%	42.7		%	40.7		%	40.0		%	41.2		%
Operating efficiency ratio - adjusted *							41.7		%	41.0		%	42.3		%

⁽⁵⁾  See Non-GAAP Financial Measures footnotes on page 23.

* The prior period operating efficiency ratios are adjusted to include the effects from the TCJA of the lower statutory corporate federal tax rate on the calculation of the tax equivalent adjustment in order to be comparable to the current reporting periods.

21

Western Alliance Bancorporation and Subsidiaries

Reconciliation of Non-GAAP Financial Measures

Unaudited

Regulatory Capital:

	Jun 30, 2018			Dec 31, 2017
	(in thousands)
Common Equity Tier 1:
Common equity	$	2,391,684		$	2,229,698
Less:
Non-qualifying goodwill and intangibles	297,281			296,421
Disallowed deferred tax asset	845			638
AOCI related adjustments	(61,268		)	(9,496		)
Unrealized gain on changes in fair value liabilities	13,958			7,785
Common equity Tier 1 (6) (9)	$	2,140,868		$	1,934,350
Divided by: estimated risk-weighted assets (7) (9)	$	19,976,546		$	18,569,608
Common equity Tier 1 ratio (7) (9)	10.7		%	10.4		%
Common equity Tier 1 (6)(9)	2,140,868			1,934,350
Plus:
Trust preferred securities	81,500			81,500
Less:
Disallowed deferred tax asset	—			159
Unrealized gain on changes in fair value of liabilities	—			1,947
Tier 1 capital (7) (9)	$	2,222,368		$	2,013,744
Divided by: Tangible average assets	$	20,540,076		$	19,624,517
Tier 1 leverage ratio	10.8		%	10.3		%
Total Capital:
Tier 1 capital (6) (9)	$	2,222,368		$	2,013,744
Plus:
Subordinated debt	299,447			301,020
Qualifying allowance for credit losses	147,083			140,050
Other	7,567			6,174
Less: Tier 2 qualifying capital deductions	—			—
Tier 2 capital	$	454,097		$	447,244
Total capital	$	2,676,465		$	2,460,988
Total capital ratio	13.4		%	13.3		%
Classified assets to Tier 1 capital plus allowance for credit losses:
Classified assets	$	240,063		$	222,004
Divided by:
Tier 1 capital (7) (9)	2,222,368			2,013,744
Plus: Allowance for credit losses	147,083			140,050
Total Tier 1 capital plus allowance for credit losses	$	2,369,451		$	2,153,794
Classified assets to Tier 1 capital plus allowance (8) (9)	10.1		%	10.3		%
(6), (7), (8), (9) See Non-GAAP Financial Measures footnotes on page 23.

22

Non-GAAP Financial Measures Footnotes
(1)	We believe these non-GAAP measurements provide a useful indication of the cash generating capacity of the Company.
(2)	We believe this non-GAAP measurement is a key indicator of the earnings power of the Company.
(3)	We believe this non-GAAP ratio provides an important metric with which to analyze and evaluate financial condition and capital strength.
(4)	We believe this non-GAAP measurement improves the comparability to other institutions that have not engaged in acquisitions that resulted in recorded goodwill and other intangibles.
(5)	We believe this non-GAAP ratio provides a useful metric to measure the operating efficiency of the Company.
(6)	Under the current guidelines of the Federal Reserve and the Federal Deposit Insurance Corporation, common equity Tier 1 capital consists of common stock, retained earnings, and minority interests in certain subsidiaries, less most other intangible assets.
(7)	Common equity Tier 1 is often expressed as a percentage of risk-weighted assets. Under the risk-based capital framework, a bank's balance sheet assets and credit equivalent amounts of off-balance sheet items are assigned to one of the risk categories defined under new capital guidelines. The aggregated dollar amount in each category is then multiplied by the risk weighting assigned to that category. The resulting weighted values from each category are added together and this sum is the risk-weighted assets total that, as adjusted, comprises the denominator (risk-weighted assets) of the common equity Tier 1 ratio. Common equity Tier 1 is divided by the risk-weighted assets to determine the common equity Tier 1 ratio. We believe this non-GAAP ratio provides an important metric with which to analyze and evaluate financial condition and capital strength.
(8)	We believe this non-GAAP ratio provides an important regulatory metric to analyze asset quality.
(9)	Current quarter is preliminary until Call Report is filed.

CONTACT:

Western Alliance Bancorporation

Dale Gibbons, 602-952-5476

23

EX-99.2

EARNINGS CALL 2nd QUARTER 2018 July 20, 2018

2nd Quarter 2018 | Financial Highlights ▪ Net income of $104.7 million ($0.99 per share), compared to $100.9 million ($0.96 per share) for Q1 2018, and $80.0 million ($0.76 per share) for Q2 2017 ▪ Net interest margin of 4.70%, compared to 4.60% in Q1 2018, and 4.61% in Q2 2017 ▪ Operating efficiency ratio of 42.1%, compared to 42.7% in Q1 2018, and 41.2% in Q2 2017 ▪ Total loans of $16.14 billion, up $578 million from prior quarter and total deposits of $18.09 billion, up $733 million from prior quarter ▪ Nonperforming assets (nonaccrual loans and repossessed assets) to total assets of 0.29%, compared to 0.33% at March 31, 2018, and 0.32% at June 30, 2017 ▪ Net loan charge-offs (recoveries) to average loans outstanding of 0.07%, compared to 0.04% in Q1 2018, and (0.03)% in Q2 2017 ▪ Tangible common equity ratio of 9.9% and tangible book value per share, net of tax, of $19.78, compared to 9.8% and $18.86, respectively, at March 31, 2018 2 2

Quarterly Consolidated Financial Results $ in millions, except EPS Q2-18 Q1-18 Q2-17 Q2 2018 Highlights Net Interest Income $ 224.1 $ 214.2 $ 192.7 ▪ Net Interest Income increased Operating Non-Interest Income 14.1 12.7 10.6 $9.9 million as a result of loan Net Operating Revenue $ 238.2 $ 226.9 $ 203.4 growth, partially offset by higher Operating Non-Interest Expense (102.7) (99.4) (88.2) rates on deposits and interest Operating Pre-Provision Net Revenue $ 135.5 $ 127.6 $ 115.2 expense on borrowings Provision for Credit Losses (5.0) (6.0) (3.0) ▪ Operating Non-Interest Expense Gains (Losses) on OREO and Other Assets 0.2 1.2 (0.2) increased $3.3 million primarily Fair Market Value Adjustments (0.7) (1.1) — from deposit growth and Pre-tax Income $ 130.0 $ 121.7 $ 112.0 consulting fees Income Tax (25.3) (20.8) (32.0) ▪ Income tax expense increased Net Income $ 104.7 $ 100.9 $ 80.0 due to the cyclical excess tax benefits on share-based Average Diluted Shares Outstanding 105.4 105.3 105.0 payment awards in Q1 Earnings Per Share $ 0.99 $ 0.96 $ 0.76 3 3

Net Interest Drivers $ in billions, unless otherwise indicated Total Investments and Yield Loans and Yield Q2 2018 Highlights 5.81% 5.68% 5.72% ▪ Loan yield increased 22 basis 5.60% 5.59% points due to rising interest rates 3.15% 3.23% 5.62% across all loan types 3.05% 3.10% 3.07% © 5.49% 5.57% © 2.97% ▪ Cost of interest-bearing deposits 2.87% 2.92% $16.1 $14.0 $14.5 $15.1 $15.6 increased 22 basis points due to $3.3 $3.8 $3.8 $3.7 $3.7 higher rates across all deposit accounts Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 ▪ Cost of funds for total deposits and © Adjusted yield includes the effects of the decrease in the tax equivalent adjustment ("TEA") from borrowings increased 15 basis the Tax Cuts and Jobs Act ("TCJA") points to 0.61% Interest Bearing Deposits and Deposits, Borrowings, and Cost of Funds Cost of Liability Funding 0.61% 0.35% 0.38% 0.40% 0.46% $0.4 $0.8 $0.7 $0.5 0.82% $0.4 0.60% $7.9 0.42% 0.49% 0.53% $6.9 $7.6 $7.4 $7.5 Investments Loans $9.2 $9.3 $9.5 $9.9 $10.1 $9.2 $9.3 $9.5 $9.9 $10.1 Interest Bearing Deposits Non-Interest Bearing Deposits Total Borrowings Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 4 4

Net Interest Income and Accretion $ in millions Net Interest Income, NIM, and Q2 2018 Highlights Average Interest Earnings Assets $224.1 $211.0 $214.2 $201.6 ▪ NIM increased 10 basis points to 4.70% quarter- $192.7 4.73% 4.65% 4.70% over-quarter due to favorable impacts of rising 4.61% 4.60% short-term interest rates for securities and loans, 4.61% © 4.49% 4.53% partially offset by higher rates on deposit accounts $17,648 $18,291 $18,792 $19,144 $19,581 Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 NIM Net Interest Income Avg Interest Earning Assets © Adjusted NIM includes the effects of the decrease in the TEA from the TCJA Acquired Loan Accretion Scheduled Acquisition Loan Accretion * $2.7 $3.2 $2.7 $1.5 $3.0 $0.2 $0.2 $0.2 $0.2 $4.4 $4.3 $4.4 $4.2 $2.1 $1.8 $1.8 $1.7 $1.7 Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Q3-18 Q4-18 Q1-19 Q2-19 PCI Accretion PCI Rate Accretion Non-PCINon-PCI AccretionAccretion PCI Accretion Non-PCI Rate and Credit Accretion 5 Ending rate and credit marks on all acquired loans at 6/30/2018 is $29 million * Amounts do not include early loan payoffs 5

Operating Expenses and Efficiency $ in millions Operating Expenses and Efficiency Ratio Q2 2018 Highlights © 42.3% 41.0% 41.7% 42.7% 42.1% ▪ The operating efficiency ratio decreased from 41.2% 40.0% 40.7% 42.7% in Q1 2018 to 42.1% as revenue growth outpaced expense growth ▪ Operating expenses increased from the prior $88.2 $89.0 $95.4 $99.4 $102.7 quarter primarily due to deposit growth and consulting fees Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Efficiency Ratio Operating Expenses © Includes the effects of the decrease in the TEA from the TCJA Breakdown of Operating Expenses $16.1 $16.0 $15.3 $12.5 $14.7 $13.5 Other $11.6 $11.2 $12.9 $10.6 $10.7 $11.3 Professional Fees + Data Processing $10.5 $11.0 $10.2 Occupancy + Insurance $52.3 $52.7 $57.7 $62.1 $61.8 Compensation Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 6 6 6

Operating Pre-Provision Net Revenue, Net Income, and ROA $ in millions Operating Pre-Provision Net Revenue and Operating PPNR ROA Net Income and ROA 2.61% 2.57% 2.53% 2.51% 2.46% 1.99% 2.02% 1.79% 1.71% 1.71% $135.5 $122.7 $127.8 $127.6 $115.2 $100.9 $104.7 $89.3 $80.0 $82.8 Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 7 7

Consolidated Balance Sheet $ in millions Q2-18 Q1-18 Q2-17 Q2 2018 Highlights Investments & Cash $ 4,196 $ 4,174 $ 3,890 ▪ Loans increased $578 million (3.7%) Loans 16,138 15,560 13,990 over prior quarter and $2.15 billion Allowance for Credit Losses (147) (145) (132) (15.4%) over prior year Other Assets 1,180 1,172 1,097 ▪ Deposits increased $733 million (4.2%) Total Assets $ 21,367 $ 20,761 $ 18,845 over prior quarter and $2.06 billion (12.7%) over prior year Deposits $ 18,088 $ 17,355 $ 16,031 ▪ Shareholders' Equity increased Borrowings 454 685 407 $98 million over prior quarter and $333 Other Liabilities 434 427 347 million over prior year as a function of Net Income Total Liabilities $ 18,976 $ 18,467 $ 16,785 Shareholders' Equity 2,391 2,294 2,059 ▪ Tangible Book Value/Share increased $0.92 over prior quarter and $3.07 Total Liabilities and Equity $ 21,367 $ 20,761 $ 18,845 (18.4%) over prior year Tangible Book Value Per Share $ 19.78 $ 18.86 $ 16.71 8 8

5 Quarter Loan Growth and Portfolio Composition $ in millions Highlights $2.15 Billion Year Over Year Growth $16,138 Quarter-over-quarter loan growth $15,560 $15,094 +578 driven by: +466 ¡ $14,522 +572 C&I $ 334 million $13,990 $600 3.7% ¡ +532 $469 Residential & Consumer 131 million +781 $475 Residential & $1,978 12.3% $428 $1,957 Consumer $383 2.7% $1,632 $1,666 Year-over-year loan growth across all $1,602 11.5% loan types: Construction & ¡ C&I $ 957 million Land $4,011 24.8% ¡ $3,904 $3,925 Construction & Land 376 million $3,628 ¡ $3,649 26.1% CRE, Non-OO 362 million CRE, Non-Owner ¡ Occupied CRE, OO 236 million ¡ $2,271 14.1% Residential & Consumer 217 million $2,265 CRE, Owner $2,062 $2,242 $2,035 14.5% Occupied Commercial & Industrial $6,944 $7,278 45.1% $6,321 45.2% $6,738 $6,841 Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 9 9

5 Quarter Deposit Growth and Composition $ in millions $2.06 Billion Year Over Year Growth Highlights $18,088 Quarter-over-quarter deposit growth $17,355 $16,905 $16,973 +733 driven by: +382 ¡ $16,031 +874 +68 Non-Interest Bearing $ 446 million +675 $1,806 10.0% DDA $1,590 $1,622 $1,762 ¡ Savings and MMDA 154 million $1,587 9.9% Year-over-year deposit growth across $6,469 35.8% all deposit types: CDs ¡ $6,300 $6,331 $6,315 Non-Interest Bearing $ 1.09 billion $6,104 38.1% DDA Savings and ¡ MMDA Interest-Bearing DDA 384 million ¡ Savings and MMDA 365 million $1,865 10.3% $1,776 ¡ Interest Bearing $1,406 $1,586 CDs 219 million $1,481 9.2% DDA Non-Interest Bearing DDA $7,609 $7,502 $7,948 43.9% $6,859 42.8% $7,434 Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 10 10

Adversely Graded Loans and Non-Performing Assets * $ in millions $406 $368 $379 $369 $355 $200 $141 $150 $155 $185 Adversely Graded Loans 2.12% $166 $122 2.04% 1.92% $128 $127 $157 1.85% 1.83% $55 $30 $44 $37 $34 0.32% 0.42% 0.36% 0.33% 0.29% NPAs $31 $29 $28 $30 $28 Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Special Mention Loans Non-Performing Loans Adversely Graded Assets to Total Assets Classified Accruing Loans OREO NPAs to Total Assets Accruing TDRs total $42.4 million as of 6/30/2018 * Amounts are net of total PCI credit and interest rate discounts of $9.3 million as of 6/30/2018 11 11

Charge-Offs, Recoveries, ALLL, and Provision $ in millions Gross Charge-Offs, Recoveries and Rate ALLL and ALLL to Organic Loans Ratio $145 $147 $132 $136 $140 $3.9 $2.8 $3.2 $2.3 $3.6 1.08% 1.06% 1.03% 1.02% $(2.2) $(1.3) 0.99% $(4.0) $(2.8) $(0.9) Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Gross Charge-Offs Recoveries ALLL ALLL/Total Organic Loans Provision for Credit Losses Credit Discounts and Credit Discounts to Acquired Loans Ratio $37.8 $32.7 $6.0 $27.0 $5.0 $5.0 $5.0 $23.1 $19.7 $3.0 2.19% 2.02% 1.86% 1.73% 1.50% Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Provision for Credit Losses Credit Discounts CD/Acquired Loans 12 12

Capital Capital Ratios ROTCE and TBV/Share 20.5% 20.4% 13.4% 13.4% 13.3% 13.3% 13.2% 18.8% 18.4% 18.2% 10.8% 10.5% 10.3% 10.4% 10.4% $19.78 10.7% $18.86 10.5% $18.31 10.3% 9.9% 10.1% $17.53 9.8% 9.9% $16.71 9.6% 9.5% 9.4% Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Total Capital Common Equity Tier 1 ROTCE TBV/Share Tier 1 Leverage Tangible Common Equity 13 13

Management Outlook ▪ Financial Position ▪ Margin ▪ Operating Leverage ▪ Asset Quality 14 14

Questions and Answers 15

Forward-Looking Statements 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. Examples of forward-looking statements include, among others, statements we make regarding our expectations with regard to our business, financial and operating results, and future economic performance. The forward-looking statements contained herein reflect our current views about future events and financial performance and are subject to risks, uncertainties, assumptions, and changes in circumstances that may cause our actual results to differ significantly from historical results and those expressed in any forward-looking statement. Some factors that could cause actual results to differ materially from historical or expected results include, among others: the risk factors discussed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2017 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, including expansion through acquisitions; additional regulatory requirements resulting from our continued growth; management’s estimates and projections of interest rates and interest rate policy; the execution of our business plan; and other factors affecting the financial services industry generally or the banking industry in particular. Any forward-looking statement made by us in this presentation 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 to have 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 presentation to reflect new information, future events or otherwise. This presentation contains both financial measures based on GAAP and non-GAAP based financial measures, which are used where management believes them to be helpful in understanding the Company’s results of operations or financial position. Where non-GAAP financial measures are used, the comparable GAAP financial measure, as well as the reconciliation to the comparable GAAP financial measure, can be found in the Company's press release as of and for the quarter ended June 30, 2018. 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. 16 16 16