Western Alliance Bancorporation (NYSE:WAL) Q2 2019 Earnings Conference Call - Final Transcript

Jul 19, 2019 • 12:00 pm ET

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Western Alliance Bancorporation (NYSE:WAL) Q2 2019 Earnings Conference Call - Final Transcript

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Q & A
Executive
Kenneth A. Vecchione

there with an LTV of 58% and that sponsor has put the hotel up for sale and they have enough cash on their balance sheet to carry it for another 17 months. And then we had a few smaller deals, which were all in tech and innovation, where we're just waiting for the infusion of equity capital to come in, but the remaining months of liquidity are now drop below six. So when something drops below six, it's our standard practice to put that on special mention.

So Dale kind of quoted in his prepared remarks, there's nothing that's across the Company that's giving us concern, but we watch all those things. And when it goes on special mention, it gets more attention, actually gets attention even before it gets there. But these are the things that we've put on special mention this quarter.

Analyst
David Chiaverini

That's good color. Thanks very much.

Operator
Operator

The next question comes from Aaron Saganovich [Phonetic] with Citi. Please go ahead.

Analyst
Aaron Saganovich

Thanks. I was just curious if you could talk about the deposit growth. How much came from new customers versus existing?

Executive
Dale Gibbons

It was about 40% from new customers with the largest customer, just coincidentally, as Ken was alluding to, was approximately the same size as the one that we walked away from in the fourth quarter.

Analyst
Aaron Saganovich

Okay. All right. Thank you.

Operator
Operator

This concludes our question-and-answer session, I would like to turn the --

Executive
Kenneth A. Vecchione

Operator?

Operator
Operator

Yes.

Executive
Kenneth A. Vecchione

Thank you. I was going to say, just turn it over to me. Just before we go, one question that wasn't asked that hugely is asked is what does the M&A landscape look like? So let me throw that out to Robert and have him give a few comments on it.

Executive
Robert G. Sarver

Yeah, sure. I mean, we have always preferred organic growth to acquired growth. And as we said before, any deal we would do would have to be both financially and strategically accretive. But at this point, looking out at the landscape, and looking where we're at, we're really more focused internally. We think our organic growth, our operating leverage and share buybacks provide enough levers for really strong EPS growth and tangible book value growth. And that's where our focus is today.

Executive
Kenneth A. Vecchione

Thank you all for attending the call. And we look forward to talking to you about our Q3 results. Have a great day, everyone.

Operator
Operator

[Operator Closing Remarks]