Company: WAL-PA
Filing Date: 2025-04-23
Form Type: DEF 14A
Source: 0000950170-25-057334
Chunk: 38

Company: WESTERN ALLIANCE BANCORPORATION
Filing Date: 2025-04-23
Form: DEF 14A
Chunk 38
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 level of growth that is aggressive for each performance criterion at the distinguished level payout. Prior year performance for each measure is typically set at achieves or underachieves to ensure the Company drives toward excels and distinguished results as compared to our peers. Additionally, the Annual Bonus Plan restricts excessive risk-taking by not providing uncapped payouts and putting a ceiling on potential bonus payments.

The Compensation Committee annually reviews and analyzes the Annual Bonus Plan performance factors and believes that the year over year results prove the Company’s demonstrable history of pay for performance. The Annual Bonus Plan has historically kept the Company focused on growing its loan portfolio, being its own source of funding through deposit growth, maintaining constant attention to credit quality, and delivering stockholder value. Based on the Company's priorities, the Compensation Committee recalibrated the Annual Bonus Plan metrics for 2024 towards liquidity and efficient use of capital. Metrics in 2024 are designed to balance capital, liquidity risk management, and revenue diversification, with earnings and balance sheet growth. Measures adjusted in 2024 include EPS weighting decreased from 40% to 30%, Loans Held for Investment Growth weighting decreased from 10% to 5%, while Non‐Brokered Deposit Growth weighting increased from 10% to 15%. To further diversify revenue streams, the Company prioritized the deepening of current and new client relationships through the treasury management solutions as part of the broader regional banking strategy. As such, management recommended, and the Compensation Committee agreed, to include a noninterest income component to the Annual Bonus Plan weighted at 10%. The Compensation Committee believes these metrics further align management performance with client and stockholders’ best interests and address regulatory expectations.

2024 Annual Bonus Determination

NEO award opportunities are set at the beginning of the performance year and are based on quantifiable metrics with targets that consider corporate strategy, operational objectives, competitive landscape and performance relative to peers.

In 2024 the Company focused on capital and liquidity growth and balance sheet management. This focus resulted in management recommending, and the Compensation Committee approving, updated 2024 Corporate Bonus metrics that emphasized capital and liquidity growth over adjusted EPS performance relative the prior year’s plan metrics. This reprioritization ensured that management incentives are closely tied to corporate goals that emphasize stability and balanced growth objectives.

| 44 | 2025 PROXY STATEMENT |

| EXECUTIVE COMPENSATION |

The recommended 2024 performance targets were set in alignment with the Company’s 2024 Board-approved budget and, in most cases, reflected industry leading performance