Company: WAL-PA
Filing Date: 2025-02-25
Form Type: 10-K
Source: 0001212545-25-000090
Chunk: 100

Company: WESTERN ALLIANCE BANCORPORATION
Filing Date: 2025-02-25
Form: 10-K
Item: Item 7
Chunk 100
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 credit-related issues. The Company has reviewed its securities on which there is an unrealized loss in accordance with its ACL policy described in "Note 1. Summary of Significant Accounting Policies" in Item 8 of this Form 10-K. Based on the analysis performed, management determined an ACL of $0.4 million on the Company's AFS securities was required at December 31, 2024.

The credit loss model applicable to HTM securities requires recognition of lifetime expected credit losses through an allowance account at the time the security is purchased. For the year ended December 31, 2024, the Company recognized a provision for credit losses on HTM securities of $8.6 million, compared to $2.6 million for the same period in 2023, resulting in a total allowance of $16.4 million and $7.8 million as of December 31, 2024 and 2023, respectively.

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Loans HFS

The Company purchases and originates residential mortgage loans through its AmeriHome mortgage banking business channel that are held for sale or securitization. At December 31, 2024, the loans HFS balance totaled $2.3 billion, compared to $1.4 billion at December 31, 2023. The increase in loans HFS from December 31, 2023 relates primarily to agency conforming loans.

Loans HFI

The table below summarizes the distribution of the Company’s held for investment loan portfolio: 

December 31,Increase(Decrease)20242023(in millions)Warehouse lending$8,207 $6,618 $1,589 Municipal & nonprofit1,620 1,554 66 Tech & innovation3,383 2,808 575 Equity fund resources884 845 39 Other commercial and industrial9,175 7,452 1,723 CRE - owner occupied1,675 1,658 17 Hotel franchise finance3,815 3,855 (40)Other CRE - non-owner occupied6,342 5,974 368 Residential12,961 13,287 (326)Residential - EBO972 1,223 (251)Construction and land development4,468 4,862 (394)Other174 161 13 Total loans HFI53,676 50,297 3,379 Allowance for credit losses(374)(337)(