Western Alliance Bancorp’s deposits fall 11% on U.S. banking crisis fallout

(Reuters) – Western Alliance (NYSE:) Bancorporation said on Wednesday its first-quarter deposits were 11% lower than at the end of 2022, as customers spooked by the U.S. banking crisis pulled out funds.

The bank held total deposits of $47.6 billion as of March 31, down from $53.6 billion as of end-2022.

Regional banks, whose stocks have been battered since the collapse of two mid-sized U.S. lenders last month, have been trying to assure customers that their deposits are secure after the recent bank runs whipsawed the global financial ecosystem.

“As noted previously, the bank experienced elevated net deposit outflows surrounding the announcements of the Silicon Valley Bank and Signature Bank (OTC:) closures in mid-March,” Western Alliance said.

Shares of the bank pared losses after falling as much as 19%. The stock was last down nearly 12% at $29.53 in midday trading.