Western Alliance Bancorporation shares fell in premarket trading on Wednesday after the US regional lender noted an increase in its total insured deposit compared to the year-end period.
The firm told investors that its available liquidity for the quarter was more than its uninsured deposits.
Around 68% of all deposits are insured while the company’s coverage ratio is greater than 140%, according to the company.
The metric is particularly important since a run on deposits contributed to the collapse of SVB and Signature Bank in March.
Deposits at smaller US banks slumped $120 billion in the week through March 15 while those for the 25 largest firms rose almost $67 billion, according to Federal Reserve data.
Preliminary figures for the quarter ended March 31 indicate unrealized losses on held-for-investment (HFI) loans came in at $2.9 billion, compared with $4.2 billion at the end of the 2022 financial year.
Shares of Western Alliance were down 9.3% before the bell on Wednesday.
Western Alliance plans to release its first-quarter earnings on April 18.
Contact Angela at angela@proactiveinvestors.com
Follow her on Twitter @AHarmantas