Company: WAL-PA
Filing Date: 2025-04-23
Form Type: DEF 14A
Source: 0000950170-25-057334
Chunk: 40

Company: WESTERN ALLIANCE BANCORPORATION
Filing Date: 2025-04-23
Form: DEF 14A
Chunk 40
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 performance assessment approach takes into account factors such as macroeconomic conditions, industry trends and elements beyond the control of management. Consequently, the Company’s Annual Bonus Plan permits a modest adjustment of up to 15% to the final award payouts. When considering overall performance, the Company recognized that 2024 was a year marked by elevated interest rates, which continued to exert pressure on profitability within the banking industry. Furthermore, regional banks are still experiencing the lingering effects of the 2023 regional banking events. As a result, in 2024 the Company focused on maintaining a balance between capital and liquidity. This focus was reflected in increased targets for CET1, which can affect earnings. With high interest rates reducing loan demand and increasing CET1 ratios impacting earnings, the goals set for EPS were particularly challenging. Despite these headwinds, the Company successfully achieved an 8% year-over-year growth in EPS, while our peers experienced a decrease of -2% and -8% at the 75th and 50th percentiles, respectively. In addition to EPS growth, the Company’s ROE, ROA, and ROCE were at the 75th, 47th, and 75th percentiles, respectively. Other contributing factors included the NEO's leadership toward LFI readiness by building critical teams and developing a comprehensive LFI readiness plan. A further contributing factor was the work towards formulating a unified brand strategy, aligned with the Company's national objectives, that is being deployed in 2025. Taking these factors into account, the Compensation Committee deemed a modest increase of 5-10% in bonuses to be justified. In determining this adjustment, the Compensation Committee considered the missed EPS goals and provided a payout reflecting the Company’s partial achievement of the threshold. In setting the Company’s goals for 2024, the Company also had to consider the impact of elevated interest rates on budget planning, with a focus on balancing capital and liquidity, which can influence earnings.

| Name      |     | Target        
 (% of Salary) |     |   |     | 2024 Bonus 
 Target     
 ($)        |           |     | 2024 Bonus 
 Paid       
 ($)        |           |     | 2024 Bonus           
 Paid                 
 (as % of Target) (1) |     |   |
| Vecchione |     |               | 150 | % |     |            | 2,250,000 |     |            | 2,745,000 |     |                      | 122 | % |
| Gibbons