Company: WAL-PA
Filing Date: 2025-11-03
Form Type: 10-Q
Source: 0001628280-25-047883
Chunk: 311

Company: WESTERN ALLIANCE BANCORPORATION
Filing Date: 2025-11-03
Form: 10-Q
Item: Part I, Item 8
Chunk 311
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 of properties acquired as a result of, or in-lieu-of, foreclosure. At September 30, 2025 and December 31, 2024, these assets totaled $130 million and $52 million, respectively, net of a valuation allowance of $14 million and $5 million, as of each respective date. The Company held 14 properties at September 30, 2025 compared to five at December 31, 2024, which consisted primarily of office properties. The increase in other assets acquired through foreclosure from December 31, 2024 was mainly due to the addition of five CRE office properties during the nine months ended September 30, 2025 as the Company advanced nonperforming loans through its standard credit resolution process, with the goal of stabilizing leasing and occupancy, improving rental rates, and funding improvements from the net operating income generated by these properties prior to sale. This increase was partially offset by the sale of one CRE office property and the transfer of another property to Premises and equipment due to a change in management intent during the three and nine months ended September 30, 2025.

Refer to “Recent Market and Banking Industry Developments” in Part I, Item 2 of this Form 10-Q for additional discussion of other assets acquired through foreclosure.

Goodwill and Other Intangible Assets

Goodwill represents the excess consideration paid for net assets acquired in a business combination over their fair value. Goodwill and other intangible assets acquired in a business combination that are determined to have an indefinite useful life are not subject to amortization, but are subsequently evaluated for impairment at least annually. The Company has goodwill and intangible assets totaling $651 million and $659 million at September 30, 2025 and December 31, 2024, respectively. 

The Company performs its annual goodwill and intangible assets impairment tests as of October 1 each year, or more often if events or circumstances indicate the carrying value may not be recoverable. During the three and nine months ended September 30, 2025 and 2024, there were no events or circumstances that indicated an interim impairment test of goodwill or other intangible assets was necessary.

80

Deferred Tax Assets

As of September 30, 2025, the net DTA balance totaled $341 million, an increase of $60 million from $281 million at December 31, 2024. The overall increase in the net DTA was primarily the result of an increase in credit carryovers, partially offset by an