Company: WAL-PA
Filing Date: 2025-05-01
Form Type: 10-Q
Source: 0001212545-25-000141
Chunk: 139

Company: WESTERN ALLIANCE BANCORPORATION
Filing Date: 2025-05-01
Form: 10-Q
Item: Part I, Item 1
Chunk 139
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 market value of AFS securities, which were partially offset by an increase in credit carryovers.

The Company had no deferred tax valuation allowance as of March 31, 2025 and December 31, 2024. 

Bank Owned Life Insurance

The carrying value of BOLI totaled $1.0 billion as of March 31, 2025, an increase of $11 million, from December 31, 2024. BOLI is used as a tax efficient method to help offset employee benefit costs.

Deposits

Deposits are the primary source for funding the Company's asset growth. Total deposits increased to $69.3 billion at March 31, 2025, from $66.3 billion at December 31, 2024, an increase of $3.0 billion, or 4.5%. By deposit type, the increase in deposits is attributable to increases of $3.2 billion in non-interest bearing deposits and $520 million in savings and money market accounts, partially offset by decreases of $371 million in interest bearing demand deposits, and $331 million in certificates of deposit.

WAB is a participant in the IntraFi Network, a network that offers deposit placement services such as CDARS and ICS, which offer products that qualify large deposits for FDIC insurance. At March 31, 2025, the Company had $13.3 billion of these reciprocal deposits, compared to $14.0 billion at December 31, 2024. At March 31, 2025 and December 31, 2024, the Company also had wholesale brokered deposits of $6.2 billion and $6.9 billion, respectively.

In addition, deposits for which the Company provides account holders with earnings credits or referral fees totaled $24.1 billion and $20.7 billion at March 31, 2025 and December 31, 2024, respectively. Costs related to these deposits are primarily reported as Deposit costs in non-interest expense. Deposit costs included $129.9 million and $131.2 million in deposit related costs on 

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these deposits for the three months ended March 31, 2025 and 2024, respectively. The decrease in these costs from the prior year is due to a decrease in average ECR related deposits and rates. 

The average balances and weighted average rates paid on deposits are presented below:

Three Months Ended March 31,20252024Average BalanceRateAverage BalanceRate(dollars