EARNINGS CALL 2nd Quarter 2025 July 18, 2025
2 This presentation contains forward-looking statements that relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts. Examples of forward-looking statements include, among others, statements we make regarding our expectations with regard to our business, financial and operating results, future economic performance and dividends, including our statements on the slide entitled "Management Outlook." The forward-looking statements contained herein reflect our current views about future events and financial performance and are subject to risks, uncertainties, assumptions and changes in circumstances that may cause our actual results to differ significantly from historical results and those expressed in any forward-looking statement. Some factors that could cause actual results to differ materially from historical or expected results include, among others: the risk factors discussed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024, and the Company’s subsequent Quarterly Reports on Form 10-Q, each as filed with the Securities and Exchange Commission; adverse developments in the financial services industry generally and any related impact on depositor behavior; risks related to the sufficiency of liquidity; changes in international trade policies, tariffs and treaties affecting imports and exports, trade disputes, barriers to trade or the emergence of other trade restrictions, and their related impacts on macroeconomic conditions and customer behavior; the potential adverse effects of unusual and infrequently occurring events and any governmental or societal responses thereto; changes in general economic conditions, either nationally or locally in the areas in which we conduct or will conduct our business; the impact on financial markets from geopolitical conflicts such as the wars in Ukraine and the Middle East; inflation, interest rate, market and monetary fluctuations; increases in competitive pressures among financial institutions and businesses offering similar products and services; higher defaults on our loan portfolio than we expect; increased foreclosures and ownership of real property; changes in management’s estimate of the adequacy of the allowance for credit losses; legislative or regulatory changes or changes in accounting principles, policies or guidelines; supervisory actions by regulatory agencies which may limit our ability to pursue certain growth opportunities, including expansion through acquisitions; additional regulatory requirements resulting from our continued growth; management’s estimates and projections of interest rates and interest rate policy; the execution of our business plan; and other factors affecting the financial services industry generally or the banking industry in particular. Any forward-looking statement made by us in this presentation is based only on information currently available to us and speaks only as of the date on which it is made. We do not intend and disclaim any duty or obligation to update or revise any industry information or forward-looking statements, whether written or oral, that may be made from time to time, set forth in this presentation to reflect new information, future events or otherwise, except to the extent required by federal securities laws. In light of these risks, uncertainties and assumptions, the forward-looking events in this presentation might not occur, and you should not put undue reliance on any forward-looking statements. Non-GAAP Financial Measures This presentation contains both financial measures based on GAAP and non-GAAP based financial measures, which are used where management believes them to be helpful in understanding the Company’s results of operations or financial position. Where non-GAAP financial measures are used, the comparable GAAP financial measure, as well as the reconciliation to the comparable GAAP financial measure, can be found in the Company’s press release as of and for the quarter ended June 30, 2025. These disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies. Forward-Looking Statements
3 2nd Quarter 2025 | Financial Highlights Earnings & Profitability Q2 2025 Q1 2025 Q2 2024 Earnings per Share $ 2.07 $ 1.79 $ 1.75 Net Income 237.8 199.1 193.6 Net Income Available to Common Stockholders 227.2 195.9 190.4 Net Revenue 845.9 778.0 771.8 Pre-Provision Net Revenue1 331.2 277.6 285.0 Net Interest Margin 3.53% 3.47% 3.63% Efficiency Ratio, Adjusted for Deposit Costs1 51.8 55.8 51.5 ROAA 1.10 0.97 0.99 ROTCE1 14.9 13.4 14.3 Balance Sheet & Capital Total Loans $ 55,939 $ 54,761 $ 52,430 Total Deposits 71,107 69,322 66,244 CET1 Ratio 11.2% 11.1% 11.0% TCE Ratio1 7.2 7.2 6.7 Tangible Book Value per Share1 $ 55.87 $ 54.10 $ 48.79 Asset Quality Provision for Credit Losses $ 39.9 $ 31.2 $ 37.1 Net Loan Charge-Offs 29.6 25.8 22.8 Net Loan Charge-Offs/Avg. Loans 0.22% 0.20% 0.18% Total Loan ACL/Funded HFI Loans2 0.78 0.77 0.74 NPLs/Funded HFI Loans 0.76 0.82 0.76 Dollars in millions, except EPS Net Income EPS $237.8 million $2.07 22.8% Y-o-Y PPNR1 ROTCE1 Q2: $331.2 million 14.9% 16.2% Y-o-Y Loan Growth Capital Q2: $1.2 billion CET1 Ratio: 11.2% 6.7% Y-o-Y TCE Ratio1: 7.2% Tangible Book Value PER SHARE1 NPLs / Total Loans $55.87 0.76% 14.5% Y-o-Y 1) Refer to slide 2 for further discussion of non-GAAP financial measures. 2) Ratio includes an allowance for credit losses of $11.8 million as of June 30, 2025 related to a pool of loans covered under 3 separate credit linked notes. Q2 2025 Highlights
4 Q2-25 Q1-25 Q2-24 Interest Income $ 1,154.4 $ 1,095.6 $ 1,147.5 Interest Expense (456.8) (445.0) (490.9) Net Interest Income $ 697.6 $ 650.6 $ 656.6 Service Charges and Loan Fees 36.9 37.2 17.8 Mortgage Banking Revenue 77.7 71.3 84.9 Gains on Securities Sales and FV Adj., Net 11.5 3.1 3.0 Other 22.2 15.8 9.5 Non-Interest Income $ 148.3 $ 127.4 $ 115.2 Net Revenue $ 845.9 $ 778.0 $ 771.8 Salaries and Employee Benefits (179.9) (182.4) (153.0) Deposit Costs (147.4) (136.8) (173.7) Insurance (37.4) (37.9) (33.8) Other (150.0) (143.3) (126.3) Non-Interest Expense $ (514.7) $ (500.4) $ (486.8) Pre-Provision Net Revenue1 $ 331.2 $ 277.6 $ 285.0 Provision for Credit Losses (39.9) (31.2) (37.1) Pre-Tax Income $ 291.3 $ 246.4 $ 247.9 Income Tax (53.5) (47.3) (54.3) Net Income $ 237.8 $ 199.1 $ 193.6 Net Income Available to Common Stockholders $ 227.2 $ 195.9 $ 190.4 Diluted Shares 109.6 109.6 109.1 Earnings Per Share $ 2.07 $ 1.79 $ 1.75 Net Interest Income increased $47.0 million over the prior quarter primarily due to a higher average earning asset balance Non-Interest Income increased $20.9 million from Q1 primarily driven by the following: • Investment Securities gains realized as part of a mitigation strategy to offset tariff-related volatility Mortgage Banking Metrics • $13.8 billion mortgage loan production in Q2 (79% purchase / 21% refinance), up 14% compared to Q1 and up 25% to Q2-24 • $14.1 billion interest rate lock commitment volume in Q2, up 12% compared to Q1 and up 17% to Q2-24 • Gain on Sale margin2 of 20 bps in Q2, compared to 19 bps in Q1 and 26 bps in Q2-24 • $59.4 billion in servicing portfolio UPB Provision for Credit Losses of $39.9 million due to net charge-offs of $29.6 million and loan growth 1) Refer to slide 2 for further discussion of non-GAAP financial measures. 2) Gain on Sale margin represents spread as of the interest rate lock commitment date. Quarterly Income Statement Q2 2025 Highlights 1 2 3 1 2 3 Dollars in millions, except EPS
5 • Securities Portfolio yields increased 18 bps, primarily due to liquidity deployment into higher yielding, floating rate securities • Loan yields decreased 3 bps primarily due to loan growth weighted towards the end of the quarter at lower variable rates • Cost of interest-bearing deposits decreased 7 bps, while total cost of funds decreased 5 bps to 2.37%, primarily driven by a reduction in deposit rates and repricing of $616 million in CDs • Cost of liability funding decreased 5 bps primarily due to lower rates on deposits, short-term borrowings and qualifying debt Interest Bearing Deposits and Cost Loans and HFI Yield Deposits, Borrowings, and Cost of Liability Funding Securities Portfolio and Yield $17.3 $16.4 $15.1 $15.9 $18.6 4.87% 4.89% 4.67% 4.63% 4.81% Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 $52.4 $53.3 $53.7 $54.8 $55.9$2.0 $2.3 $2.3 $3.2 $3.0 6.79% 6.65% 6.34% 6.20% 6.17% Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 $44.7 $43.1 $47.5 $47.3 $48.1 3.73% 3.76% 3.49% 3.26% 3.19% Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 $44.7 $43.1 $47.5 $47.3 $48.1 $21.5 $25.0 $18.8 $22.0 $23.0 $6.5 $3.9 $6.5 $5.0 $6.7 2.79% 2.67% 2.52% 2.42% 2.37% Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 Non-Interest Bearing Deposits Total Borrowings Q2 2025 Highlights Net Interest Drivers Dollars in billions, unless otherwise indicated Interest Bearing DepositsInterest Bearing Deposits Total Investments HFI Loans HFS Loans
6 • Net Interest Income increased $47.0 million, or 7.2%, primarily due to a higher average balance of interest earning assets (AEA) • AEA increased $3.3 billion, or 4.3%, primarily from growth in investment securities and loans • NIM increased 6 bps, primarily driven by higher yields on securities and lower rates on deposits Net Interest Income and Net Interest Margin $656.6 $696.9 $666.5 $650.6 $697.6 3.63% 3.61% 3.48% 3.47% 3.53% Net Interest Margin Net Interest Income Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 $73.9 $77.8 $77.3 $77.2 $80.5 $50.8 $52.8 $53.5 $53.5 $54.9 $2.9 $4.3 $4.5 $4.3 $4.9 $16.2 $16.5 $15.8 $15.3 $17.3 $4.0 $4.2 $3.5 $4.1 $3.5 6.30% 6.19% 5.91% 5.81% 5.80% Loans Loans HFS Securities Cash & Other Average Yield Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 Average Earning Assets & Average Yield Dollars in millions Dollars in billions Net Interest Income Q2 2025 Highlights 5% 22% 4% 5% 20% 6% 4% 22% 6% 69% 69% 68%
7 • Adjusted efficiency ratio1 (excluding deposit costs) decreased 400 bps to 51.8%, but increased 30 bps from the same period last year – Total Non-Interest Expenses (Ex. Deposit Costs) increased $3.7 million to $367.3 million • Efficiency ratio1 decreased 340 bps to 60.1%, and decreased 220 bps from the same period last year • Deposit Costs increased $10.6 million to $147.4 million from higher average ECR-related deposit balances – Total ECR-related deposit balances of $25.0 billion in Q2-25 – Average ECR-related deposits of $25.6 billion in Q2-25 compared to $24.2 billion in Q1-25 and $24.7 billion in Q2-24 $486.8 $537.4 $519.0 $500.4 $514.7 62.3% 64.5% 61.2% 63.5% 60.1% 51.5% 52.7% 51.1% 55.8% 51.8% Non-Interest Expenses Efficiency Ratio Adj. Efficiency Ratio Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 Dollars in millions Non-Interest Expenses and Efficiency $153.0 $157.8 $165.4 $182.4 $179.9 $126.3 $136.2 $142.4 $143.3 $150.0 $33.8 $35.4 $36.7 $37.9 $37.4 $173.7 $208.0 $174.5 $136.8 $147.4 Deposit Costs Insurance Other Operating Expenses Salaries & Employee Benefits Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 Q2 2025 Highlights Non-Interest Expenses and Efficiency Ratio1 1) Refer to slide 2 for further discussion of non-GAAP financial measures. Breakdown of Non-Interest Expenses Non-Interest Expenses (Ex. Deposit Costs) $ 313.1 $ 329.4 $ 344.5 $ 363.6 $ 367.3
8 Interest Rate Sensitivity Q2 2025 Highlights • A Ramp Scenario assumes a dynamic balance sheet and reflects an asset sensitive position on NII and a relatively neutral position on EaR – WAL estimates a -100 bps ramp to reduce NII by (2.8)% • EaR is relatively interest rate neutral, with (0.6)% impact to earnings2 from a -100 bps ramp – The reduction in asset sensitivity from NII to EaR is driven by the estimated decrease in ECR-related deposit costs and increase in Mortgage Banking Revenue • Of total earning assets, 63% are variable with 50% repricing to SOFR • Variable liabilities represent 84% of total earning assets and are primarily modeled to changes in Fed Funds – Non-Maturity Deposit rates, including ECRs, are estimated to have a 63% beta (2.8)% 3.5% Down 100 Up 100 (0.6)% 1.6% Down 100 Up 100 1) Projected using a simulation model that calculates the difference between a baseline forecast using forward yield curves, compared to forecasted results from a gradual, parallel increase in rates over a 12-month period (“Ramp”). 2) Earnings defined as pre-tax net interest income adjusted for rate-sensitive non-interest income and expense accounts. NII Sensitivity - Ramp Scenario1 Earnings-at-Risk - Ramp Scenario1
9 Q2-25 Q1-25 Q2-24 Securities and Cash $ 21,368 $ 19,147 $ 21,345 Loans, HFS 3,022 3,238 2,007 Loans, HFI 55,939 54,761 52,430 Allowance for Loan Losses (395) (389) (352) Mortgage Servicing Rights 1,044 1,241 1,145 Goodwill and Intangibles 653 656 664 Other Assets 5,094 4,389 3,342 Total Assets $ 86,725 $ 83,043 $ 80,581 Deposits $ 71,107 $ 69,322 $ 66,244 Borrowings 6,052 4,151 5,587 Qualifying Debt 678 898 897 Other Liabilities 1,481 1,457 1,519 Total Liabilities $ 79,318 $ 75,828 $ 74,247 Total Equity 7,407 7,215 6,334 Total Liabilities and Equity $ 86,725 $ 83,043 $ 80,581 Tangible Book Value Per Share1 $ 55.87 $ 54.10 $ 48.79 Dollars in millions, except per share data Consolidated Balance Sheet Q2 2025 Highlights 1 2 3 4 5 Securities and Cash increased $2.2 billion, or 11.6%, to $21.4 billion and flat compared to the prior year Loans, HFI increased $1.2 billion, or 2.2%, and increased $3.5 billion, or 6.7%, over prior year Deposits increased $1.8 billion, or 2.6%, and increased $4.9 billion, or 7.3%, over prior year Borrowings increased $1.9 billion due to higher average HFS loans and investment securities balances in excess of deposits Qualifying debt decreased $220 million primarily due to repayment of $225 million of subordinated debt Equity increased $192 million primarily due to net income, partially offset by dividends Tangible Book Value/Share1 increased $1.77, or 3.3%, and increased $7.08, or 14.5%, over prior year 1) Refer to slide 2 for further discussion of non-GAAP financial measures. 6 1 2 3 4 6 7 7 5
10 $3.5 Billion Year-over-Year Growth $21.7 $22.6 $23.1 $24.1 $24.9 $1.9 $1.8 $1.8 $1.8 $1.7 $9.6 $9.8 $9.9 $10.1 $10.3 $4.7 $4.7 $4.5 $4.5 $4.5 $14.5 $14.4 $14.4 $14.3 $14.5 Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 27.6% 3.6% 18.4% 41.4% 9.0% 25.9% 3.1% 18.3% 44.6% 8.1% Residential & Consumer Construction & Land CRE, Non-Owner Occupied CRE, Owner Occupied Commercial & Industrial $52.4 +$1.7 $53.3 +$0.9 $53.7 +$0.3 $54.8 +$1.1 $55.9 +$1.2 Dollars in billions, unless otherwise indicated Total Loans, HFI Qtr Change Loan Composition Q2 2025 Highlights Increase (Decrease) by Loan Type: (in millions) QoQ YoY C&I $ 803 $ 3,230 CRE, Non-OO 215 608 Residential & Consumer 176 (6) Construction & Land 22 (186) CRE, OO (38) (137) Total $ 1,178 $ 3,509 26.1% 3.3% 18.4% 44.0% 8.2% 4.19% 6.11% 7.12% 6.58% 8.29% Q2-25 Avg. Yields1 Total Yield 6.17% 1) Average yields on loans have been adjusted to a tax equivalent basis. Loan growth from C&I businesses within Regional Banking and National Business Lines 50% 25% 25% Regional Banking National Business Lines Residential Loan Composition
11 Diversified deposit growth across Specialty Escrow Services and National Business Lines Q2 2025 Highlights $21.5 $25.0 $18.8 $22.0 $23.0 $17.3 $13.8 $15.9 $15.5 $15.7 $17.1 $19.6 $21.2 $21.7 $22.2 $10.3 $9.6 $10.4 $10.1 $10.2 Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 26.0% 15.7% 32.5% 25.8% 22.0% 14.4% 32.3% 31.3% $4.9 Billion Year-over-Year Growth CDs Savings and MMA Interest Bearing DDA Non-Interest Bearing $68.0 +$1.8 $66.2 +$4.0 $69.3 +$3.0 $71.1 +$1.8 Increase (Decrease) by Deposit Type: (in millions) QoQ YoY Non-Interest Bearing $ 988 $ 1,475 Savings and MMA 503 5,144 Interest-Bearing DDA 167 (1,593) CDs 127 (163) Total $ 1,785 $ 4,863 $66.3 $(1.7) Total Deposits Qtr Change Deposit Composition Q2-25 Avg. Costs Total Cost 2.13% Dollars in billions, unless otherwise indicated 4.38% 2.48% N/A 3.15% 22.4% 14.6% 31.7% 31.3% Deposit Composition • 32% of total deposits are non-interest bearing – Approximately 34% have no ECRs 32% 39% 12% 8% 9% Regional Banking National Business Lines Specialty Escrow Svcs¹ Consumer Digital Other 1) Specialty Escrow Services includes: Business Escrow Services, Corporate Trust, Juris Banking, and other deposit initiatives.
12 0.93% 1.05% 1.25% 1.44% 1.45% 0.51% 0.45% 0.65% 0.60% 0.74% 0.76% 0.65% 0.89% 0.82% 0.76% Classified Assets / Total Assets NPLs + OREO / Total Assets NPLs / Funded HFI Loans Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 $748 $838 $1,009 $1,195 $1,261 $8 $8 $52 $51 $218 $401 $349 $476 $451 $427$339 $481 $481 $693 $616 OREO Non-Performing Loans Classified Accruing Assets Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 Dollars in millions Asset Quality RatiosSpecial Mention Loans • Criticized Loans decreased $118 million quarterly to $1.5 billion – Special Mention Loans decreased $16 million to $444 million (79 bps to Funded Loans) – Total Classified Accruing Loans decreased $78 million to $615 million (110 bps to Funded Loans) – Non-Performing Loans decreased $24 million to $427 million (76 bps to Funded HFI Loans) ▪ OREO increased $167 million to $218 million (25 bps to Total Assets) – Supported by 'as-is' valuations and aggregate operating revenues in excess of expenses • Over the last 10+ years, only ~2% of Special Mention loans have migrated to loss Classified Assets $532 $502 $392 $460 $444 1.01% 0.94% 0.73% 0.84% 0.79% Special Mention Loans SM / Funded Loans Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 Q2 2025 Highlights Classified Assets Mix 28% 4% 12% 2% CRE Investor C&I Resi Construction CRE OO 5% Other 42% Office Asset Quality 7% Hotel
13 $22.9 $27.8 $34.4 $27.5 $35.3 $(0.1) $(1.2) $(0.3) $(1.7) $(5.7) Gross Charge-Offs Recoveries Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 $352 $357 $374 $389 $395 $36 $38 $40 $35 $39 $10 $10 $17 $12 $12 Loan Losses Unfunded Loan Commits. HTM and AFS Securities Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 0.74% 0.74% 0.77% 0.77% 0.78% 97% 113% 87% 94% 102% Total Loan ACL / Funded Loans Total Loan ACL / Non-Performing Loans Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 Dollars in millions • Provision Expense of $39.9 million, primarily reflective of net charge-offs and loan growth • Net Loan Charge-Offs of $29.6 million, 22 bps, compared to $25.8 million, 20 bps, in Q1 • Total Loan ACL / Funded Loans3 relatively flat from the prior quarter at 0.78% – Total Loan ACL / Funded Loans3 less loans covered by CLNs is 0.91% • 17% of loan portfolio is credit protected, consisting of government guaranteed, CLN protected4, and cash secured assets Credit Losses and ACL Ratios Q2 2025 Highlights Gross Loan Charge-offs and RecoveriesAllowance for Credit Losses Loan ACL Adequacy Ratios2,3 1) Included as a component of other liabilities on the balance sheet. 2) Total Loan ACL includes allowance for unfunded commitments. 3) Ratio includes an allowance for credit losses of $11.8 million as of June 30, 2025 related to a pool of loans covered under 3 separate credit linked notes. 4) As of June 30, 2025, CLNs cover a substantial portion of Residential ($8.4 billion) loans outstanding. 1
14 • Reserve levels enhanced by credit protection and no-to-low-loss loan categories (Fund Banking, Residential & Mortgage Warehouse) • Total Loan ACL / Funded Loans of 0.78% – CLNs offer credit protection from first losses on covered reference pools in historically low loss loan categories – Total Loan ACL / Funded Loans less loans covered by CLNs is 0.91% – Total Loan ACL / Funded Loans less loans covered by CLNs & select no-to-low-loss loan categories is 1.35% • >5x historical maximum annual loss rate4 • Reserves are a multiple of average losses times portfolio duration – Est. weighted average duration of loan portfolio is <4 years – Adj. Total ACL covers >10x historical average annual loss rate4 x duration Q2 2025 Highlights Adjusted Total Loan ACL / Funded Loans: Q2-25 1) Total Loan ACL includes allowance for unfunded commitments. 2) Ratio includes an allowance for credit losses of $11.8 million as of June 30, 2025 related to a pool of loans covered under 3 separate credit linked notes. 3) Early Buyout Loans are government guaranteed. 4) Loss rates are based on the period from Q1-14 to Q2-25. 5) Q2-25 for WAL and Q1-25 for peers. Source: S&P Global Market Intelligence. Peers consist of the other 24 major exchange-traded US banks with total assets between $50 and $250 billion as of March 31, 2025. Key Reserve Level Ratios Concentration in low-loss loan categories skews ACL lower relative to peers 0.78% 0.91% 0.93% 1.07% 1.35% 0.13% 0.02% 0.28% Total Loan ACL / Funded Loans Loans Covered by CLNs Fund Banking Loans Residential Loans Mortgage Warehouse Loans 1 2 3 4 5 0.12% Resi 1,2 Embedded Losses WAL vs. Peer Loan Composition5 (in millions) WAL Peer Median ~0 Mtg. Warehouse $8,574 15 % $160 — % Low Residential 14,465 26 % 8,698 18 % High Consumer 24 — % 2,805 6 % Typical Other Commercial 32,876 59 % 37,339 76 % Total $55,939 $49,003 Loan mix matters for reserves due to embedded loss content Normalizing for Loan Composition = Loan ACL > 1% 1.07% 0.02% EBOs3 Dollars in millions
15 Peer 1 Peer 2 Peer 3 Peer 4 Peer 5 Peer 6 Peer 7 Peer 8 Peer 9 Peer 1 0 Peer 1 1 Peer 1 2 WAL Peer 1 3 Peer 1 4 Peer 1 5 Peer 1 6 Peer 1 7 Peer 1 8 Peer 1 9 Peer 2 0 Peer 2 1 Peer 2 2 Peer 2 3 Peer 2 4 5% 6% 7% 8% 9% 10% 11% 12% 13% 14% 15% Source: S&P Global Market Intelligence. Peers consist of the other 24 major exchange-traded US banks with total assets between $50 and $250 billion as of March 31, 2025. 1) Assumes CET1 capital of $6.6 billion and risk-weighted assets of $58.8 billion, adjusted for AOCI of $(482) million and allowance for loan losses of $395 million. 11.0%: Median 11.7%: 75th pctl 10.1%: 25th pctl Adjusted CET11 (incl. of AOCI Unrealized Securities Marks & Loan Loss Reserves) Fortified Adjusted Capital CET1 capital adjusted for AOCI securities marks & reserves remains solidly above peer median levels Q2 11.0% WAL Q1 11.0%
16 Regulatory Capital Ratios • Continue to exceed “well-capitalized” levels with CET1 of 11.2% Tangible Common Equity / Tangible Assets1 • TCE/TA remained flat at 7.2% Capital Accretion • Increase in CET1 quarter-over-quarter due to organic earnings strength • Total regulatory capital declined slightly due to repayment of subordinated debt, prefunded with our REIT preferred issuance proceeds 11.0% 11.2% 11.3% 11.1% 11.2% 6.7% 7.2% 7.2% 7.2% 7.2% CET1 TCE/TA Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 1) Refer to slide 2 for further discussion of non-GAAP financial measures. 13.9% 14.1% 14.1% 14.5% 14.1% 11.7% 11.9% 11.9% 12.3% 12.3% 8.0% 7.8% 8.1% 8.6% 8.4% Tier 1 Leverage Tier 1 Capital Total RBC Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 Q2 2025 Highlights Common Capital Ratios Capital Accumulation Regulatory Capital Ratios 1
17 448% 522% 57% 112% 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 MRQ 0x 1x 2x 3x 4x 5x 6x Tangible Book Value per Share1 • TBVPS increased $1.77 to $55.87 from organic earnings – Increased 3.3% quarter-over-quarter, non- annualized – Increased 14.5% year-over-year – 17.6% CAGR since year end 2014 • TBVPS has increased more than 7.5x that of peers – Quarterly common stock cash dividend of $0.38 per share 1) Refer to slide 2 for further discussion of non-GAAP financial measures. 2) MRQ is Q2-25 for WAL and Q1-25 for peers. Source: S&P Global Market Intelligence. Peers consist of the other 24 major exchange-traded US banks with total assets between $50 and $250 billion as of March 31, 2025. Q2 2025 Highlights Tangible Book Value Growth Long-Term Growth in TBV per Share1 WAL Peer Median with Dividends Added Back Peer Median WAL with Dividends Added Back 2
18 • Growth-oriented business model, focused on low risk, high return loan composition, has produced consistent, superior financial results • Above peer median profitability has bolstered TBVPS accumulation, a key driver of long-term total shareholder returns Highlights Source: S&P Global Market Intelligence. Peers consist of the other 24 major exchange-traded US banks with total assets between $50 and $250 billion as of March 31, 2025. 1) Period from 6/30/2015 to 6/30/2025. 2) FY2014 to FY2024. 3) Through Q2-25 for WAL and Q1-25 for peers. WAL's Industry-Leading Growth Superior total shareholder returns driven by top-tier balance sheet growth and profitability 10-Year TSR1 10-Year EPS Growth2 10-Year TBVPS Growth2 162% 160% 116% 74% WAL Top Quartile Median Bottom Quartile 15% 11% 8% 6% WAL Top Quartile Median Bottom Quartile 18% 7% 5% 3% WAL Top Quartile Median Bottom Quartile 20% 14% 8% 5% WAL Top Quartile Median Bottom Quartile 22% 14% 10% 6% WAL Top Quartile Median Bottom Quartile 22% 11% 7% 4% WAL Top Quartile Median Bottom Quartile 14.2% 16.2% 12.9% 11.9% WAL Top Quartile Median Bottom Quartile 62.3% 55.0% 58.7% 65.2% WAL Top Quartile Median Bottom Quartile 3.52% 3.52% 3.25% 2.90% WAL Top Quartile Median Bottom Quartile 10-Year Loan Growth2 10-Year Deposit Growth2 10-Year Revenue Growth2 LTM NIM3 LTM Efficiency3 LTM ROATCE3
19 • Pipelines are healthy. Remain flexible based on environment.Balance Sheet Growth Capital (CET1) Net Interest Income Non-interest Income Non-interest Expense Net Charge-Offs Effective Tax Rate 2024 Baseline 2025 Outlook Loans (HFI): $53.7 bn Deposits: $66.3 bn L (HFI): +$5.0 bn D: +$8.0 bn 11.3% > 11% $2.62 bn Up 8% - 10% $543 mm Up 8% - 10% $2.025 bn 18 bps Up 1% - 4% ~ 20 bps ~ 21% ~ 20% NIE (Ex. Deposit Costs) ECR-Related Deposit Costs $1,495 - $1,515 mm $550 - $590 mm $1,332 mm $693 mm Management Outlook Commentary • ECR Deposit Costs (Q3-25E): $170 - $180 mm • Prudent to maintain excess capital in uncertain environment. • Assumes 2 25 bps rate cuts • Prior: Up 6% - 8% • Prior: Down 0% - 5% • Prior: Up 6% - 8%
Questions & Answers
Appendix
22 Commercial Real Estate Investor Statistics CRE Investor Portfolio (At Origination or Most Recent Appraisal) Note: LTV data assumes all loans are fully funded; based on most recent appraisals or appraisals at origination and utilizing, in most cases, “as stabilized” values for income producing properties. Underwriting Criteria and Mitigating Factors Distribution by LTV • Low LTV & LTC (50% to low 60%) range underwriting in areas minimizes tail risk • Simple capital structure - no junior liens or mezzanine debt permitted within our structures • Majority of CRE Investor (bulk of total CRE) is located in our core footprint states • Early elevation, proactive and comprehensive review of CRE portfolio and re-margin discussions with sponsors where sweep/re-margin provisions have been triggered 26% 25% 31% 12% 2% 4% <=40% 41-50% 51-60% 61-70% 71-80% >80% 42% 21% 8% 7% 7% 4% 1% 1% 1% 1% 7% 51% 59% 52% 39% 45% 38% 63% 41% 18% 45% 49% Outstanding LTV Hotel Offi ce Retail Multif amily Industr ial Tim e Share Medical Senior C are Data Center Mini-S torage Other Low uncovered risk with re-margin provisions • Only $683 million of Multi-Family, concentrated in western regional markets • No exposure to NYC area Multi-Family Limited Multi-Family Exposure $10.3 billion; 18% of Total Loans
23 Commercial Real Estate Investor: Office Distribution by LTV (At Origination or Most Recent Appraisal) 5% 20% 20% 24% 11% 20% <=40% 41-50% 51-60% 61-70% 71-80% >80% Key MSA Exposures $2.1 Billion; 21% of Total CRE Investor; 4% of Total Loans Underwriting Criteria and Mitigating Factors • Primarily shorter-term bridge loans for repositioning or redevelopment projects • Strong sponsorship from institutional equity and large regional and national developers – All direct relationships generated by WAL – Significant up-front cash equity required from sponsors • Conservative loan-to-cost underwriting – Average LTV < 55%; Average LTC < 65% – No junior debt / mezzanine • Largely suburban exposure in “Work From Home” MSAs – Negligible exposure in CBD, 1% in Small City/Town, 11% in Midtown and 88% in Suburban MSAs • Focused on B+ properties accompanied by attractive amenities or those in core locations with appropriate business plans to reposition – Class A: 57%, Class B: 38%, Class C: 5% • Dispersed maturities – 40% to mature in 2025, 31% to mature in 2026 and 29% to mature in 2027+ 88% 11% 1% Suburban Midtown Small City/Town Note: LTV data assumes all loans are fully funded; based on most recent appraisals or, in most cases, appraisals at origination and utilizing “as stabilized” values for income producing properties.