Company: WAL-PA
Filing Date: 2025-11-03
Form Type: 10-Q
Source: 0001628280-25-047883
Chunk: 269

Company: WESTERN ALLIANCE BANCORPORATION
Filing Date: 2025-11-03
Form: 10-Q
Item: Part I, Item 8
Chunk 269
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 prices derived from an appraisal or evaluation, which are considered to be Level 2. However, certain assumptions and unobservable inputs are often used by the appraiser, therefore qualifying the assets as Level 3 in the fair value hierarchy. When significant adjustments are based on unobservable inputs, such as when a current appraised value is not available or management determines the fair value of the collateral is further impaired below the appraised value and there is no observable market price, the resulting fair value measurement has been categorized as a Level 3 measurement. The Company had $130 million and $52 million of such assets at September 30, 2025 and December 31, 2024, respectively. 

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Fair Value of Financial InstrumentsThe estimated fair value of the Company’s financial instruments is as follows:September 30, 2025Carrying AmountFair ValueLevel 1Level 2Level 3Total(in millions)Financial assets:Investment securities:HTM$1,532 $— $1,367 $— $1,367 AFS17,230 5,416 11,814 — 17,230 Equity91 91 — — 91 Derivative assets (1)134 — 86 48 134 Loans HFS3,502 — 3,308 194 3,502 Loans HFI, net56,206 — — 56,440 56,440 Mortgage servicing rights1,213 — — 1,213 1,213 Accrued interest receivable434 — 434 — 434 Financial liabilities:Deposits$77,247 $— $77,287 $— $77,287 Other borrowings3,862 — 3,864 — 3,864 Qualifying debt681 — 584 86 670 Derivative liabilities (1)182 — 181 1 182 Accrued interest payable139 — 139 — 139 (1)    Derivative assets and liabilities exclude margin of $378 million and $(43) million, respectively.December 31, 2024Carrying AmountFair ValueLevel 1Level 2Level 3Total(in millions)Financial assets:Investment securities:HTM$1,526 $— $1,309 $— $1,