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Key insight: Recent comments by a prominent banking lawyer show that the Federal Reserve sped up the approval of a M&A deal that was unrelated to the 2023 regional banking crisis in an effort to find a private-sector solution as PacWest Bancorp was teetering.What's at stake: The new details about what happened behind the scenes in May 2023 could revive the debate about the Fed's appropriate role during a crisis.Expert quote: "The Fed as dealmaker is not healthy for the economy. That's not a role the Fed is ...

Good morning. Welcome to Banc of California's first quarter earnings call. Joining me on today's call are Joe Kauder, our CFO; and our Bill Black, our Head of Strategy. I'm sorry sir, it seems like its breaking up on your side. I'm going to place the music into the call, and I will pick-up your line privately. Just a moment please. [Technical Difficulty] Excuse me, this is the conference operator. Mr. Wolff. Please recommence the opening of your speech. Thank you. Jared Wolff In the first quarter, we realiz ...

1/21/24 Factors that could cause actual results to differ materially from the results anticipated or projected include, but are not limited to: (i) changes in general economic conditions, either nationally or in our market areas, including the impact of supply chain disruptions, and the risk of recession or an economic downturn; (ii) changes in the interest rate environment, including the recent and potential future changes in the FRB benchmark rate, which could adversely affect our revenue and expenses, th ...

Banc of California, Inc. (NASDAQ:PACW) Q4 2023 Earnings Conference Call January 25, 2024 1:00 PM ET Company Participants Jared Wolff â President and Chief Executive Officer Joe Kauder â Chief Financial Officer Bill Black â Head-Strategy Conference Call Participants Matthew Clark â Piper Sandler Brandon King â Truist Gary Tenner â D.A. Davidson Andrew Terrell â Stephens Timur Braziler â Wells Fargo Kelly Motta â KBW Tim Coffey â Janney Operator Hello, and welcome to Banc of California's Fourth Quarter Earnin ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-Q QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 or For the quarterly period ended September 30, 2023 Commission File No. 001-36408 PACWEST BANCORP (Exact name of registrant as specified in its charter) Delaware 33-0885320 (State of Incorporation) (I.R.S. Employer Identification No.) 9701 Wilshire Blvd., Suite 700 Beverly Hills, CA 90212 (Address of Principal Executive Offices, Including ...

Financial Performance - The company reported a net loss of $197.41 million for Q2 2023, compared to a net income of $122.36 million in Q2 2022[13]. - For the three months ended June 30, 2023, PACWEST BANCORP reported a net loss of $197,414 thousand compared to net earnings of $122,360 thousand for the same period in 2022, representing a significant decline[14]. - The comprehensive loss for the six months ended June 30, 2023, was $1,375,738 thousand, compared to a comprehensive loss of $468,230 thousand for the same period in 2022, indicating a worsening financial position[14]. - PACWEST BANCORP's net loss for the six months ended June 30, 2023, was $1,392,838 thousand, a stark contrast to net earnings of $242,488 thousand for the same period in 2022[14]. - The company incurred a goodwill impairment of $1.38 billion in Q2 2023, significantly impacting overall financial performance[13]. Asset and Deposit Changes - Total assets decreased to $38.34 billion as of June 30, 2023, down from $41.23 billion at the end of 2022, representing a decline of approximately 6.9%[11]. - Total deposits fell to $27.90 billion, a decrease of 17.8% from $33.94 billion at the end of 2022[11]. - Total stockholders' equity decreased to $2,533,195 thousand as of June 30, 2023, down from $3,950,531 thousand at the end of 2022, reflecting a decline in retained earnings and comprehensive income[17]. - The balance of common stock shares decreased to 120,169,012 as of June 30, 2023, from 120,244,214 shares at the end of the previous quarter[17]. Income and Expenses - Net interest income after provision for credit losses was $184.08 million for Q2 2023, down from $312.43 million in Q2 2022, reflecting a decline of 41.1%[13]. - Interest income from loans and leases increased to $408.97 million in Q2 2023, up 39.4% from $293.29 million in Q2 2022[13]. - Total interest expense surged to $353.81 million in Q2 2023, compared to $26.59 million in Q2 2022, indicating a significant increase due to rising interest rates[13]. - Noninterest expense rose to $320.44 million in Q2 2023, up from $183.65 million in Q2 2022, reflecting a year-over-year increase of 74.4%[13]. Loan and Lease Performance - The total gross loans and leases held for investment as of June 30, 2023, is $22,311,292,000, down from $28,726,016,000 as of December 31, 2022[71]. - The total performing loans and leases held for investment reached $22.15 billion as of June 30, 2023, compared to $28.51 billion at December 31, 2022[75]. - The total amount of loans and leases past due (90 days or more) was $62.3 million as of June 30, 2023[75]. - The total amount of loans and leases classified as substandard or doubtful was not specified, but the company continues to monitor credit risk closely[78]. Borrowings and Liquidity - Total borrowings as of June 30, 2023, reached $6,357,338,000, significantly higher than $1,764,030,000 at December 31, 2022[138]. - The Bank's participation in the FRBSF Bank Term Funding Program resulted in an outstanding balance of $4,910,000,000 as of June 30, 2023[142]. - The company aims to increase customer deposits to replace higher-cost brokered deposits and reduce operating expenses[44]. Merger and Strategic Initiatives - PacWest entered into a definitive merger agreement with Banc of California, Inc. on July 25, 2023[45]. - The merger is expected to close in Q4 2023 or Q1 2024, subject to regulatory approvals and stockholder approvals[203]. - The merger includes an investment of $400 million from Warburg Pincus LLC and Centerbridge Partners, which will also receive warrants for approximately 18.9 million shares of Banc[201]. Regulatory and Compliance - The company is evaluating the impact of recently issued accounting standards on its consolidated financial statements[201]. - The company anticipates potential risks related to the merger, including regulatory approval delays and impacts on business operations[209].

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-Q QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 or TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2023 Commission File No. 001-36408 PACWEST BANCORP (Exact name of registrant as specified in its charter) Delaware 33-0885320 (State of Incorporation) (I.R.S. Employer Identification No.) 9701 Wilshire Blvd., ...

Financial Performance - The Bank had a cumulative net loss of $195.4 million during the three fiscal years of 2022, 2021, and 2020 due to a $1.47 billion goodwill impairment in Q1 2020 [106]. - The Bank's retained deficit was $790.9 million as of December 31, 2022, requiring DFPI and FDIC approval for any further cash dividends to the Company [106]. - For the year ended December 31, 2022, the Company incurred $19.7 million of FDIC assessment expense [118]. Capital Requirements - The Company is subject to the comprehensive capital framework known as "Basel III," which mandates increased capital levels and introduces the CET1 capital measure [108]. - The Company must maintain minimum ratios of Common Equity Tier 1 capital, Tier 1 capital, and total capital to total risk-weighted assets [97]. - As of December 31, 2022, the Company and the Bank met all capital adequacy requirements under Basel III, with minimum capital ratios of 4.5% CET1, 6.0% Tier 1, and 8.0% Total capital to risk-weighted assets [109]. - The capital conservation buffer of 2.5% of CET1 is required, resulting in minimum ratios of at least 7% CET1, 8.5% Tier 1, and 10.5% Total capital to risk-weighted assets [110]. - The carrying amount of subordinated debt totaled $867.1 million at December 31, 2022, with $131.0 million included in Tier 1 capital and $721.9 million in Tier 2 capital [113]. Regulatory Compliance - The Company and the Bank are subject to extensive regulation under federal and state banking laws to protect customer interests and minimize risk to the banking system [92]. - The Dodd-Frank Act requires the Company to act as a source of financial strength to the Bank, committing resources even when the Company may not be financially positioned to do so [94]. - The ability to pay dividends is restricted by various factors, including covenants in subordinated debt agreements and regulatory authority of the FRB, DFPI, and FDIC [101]. - The Company is required to notify the FRB prior to declaring dividends if net earnings are insufficient to fund the dividend amount [104]. - The Company is required to obtain prior approval from the FRB for acquisitions that would result in owning more than 5% of the voting shares of any bank [95]. Cybersecurity and Privacy Regulations - The Company is subject to the USA PATRIOT Act, requiring the establishment of policies for anti-money laundering and suspicious activity reporting [128]. - The Anti-Money Laundering Act of 2020 mandates FinCEN to adopt a more stringent system for identifying legal entities, which may increase compliance obligations for the Bank [131]. - The Company has adopted a customer information security program to comply with guidelines for safeguarding confidential customer information [135]. - The Gramm-Leach-Bliley Act of 1999 mandates financial institutions to implement policies for disclosing non-public personal information, with strict adherence to privacy policies distributed to customers [137]. - Federal regulators issued statements in March 2015 emphasizing the need for multiple layers of security controls and business continuity planning to mitigate risks from cyber-attacks [138]. - A joint rule established in November 2021 requires banking organizations to notify relevant parties of computer-security incidents, effective from April 1, 2022, with compliance required by May 1, 2022 [139]. - State regulators are increasingly implementing privacy and cybersecurity standards, with California's Consumer Privacy Act and Colorado's Privacy Act imposing significant requirements on financial institutions [140]. - The California Consumer Privacy Act took effect on January 1, 2020, and was followed by the California Privacy Rights Act, effective January 1, 2023, enhancing consumer privacy rights [140]. - Colorado's Privacy Act, modeled after the CCPA, is set to take effect on July 1, 2023, indicating a trend towards comprehensive data privacy legislation across states [140]. CRA Rating - The Bank received a CRA rating of "Outstanding" as of its most recent examination, which is crucial for undertaking certain activities, including acquisitions [133]. SEC Recommendations - The SEC has recommended enhancing its examination authority over investment advisers, which may impact the company's subsidiary PWAM [141].

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 or TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2022 Commission File No. 001-36408 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-Q Securities registered pursuant to Section 12(b) of the Act: PACWEST BANCORP (Exact name of registrant as specified in its charter) Delaware 33-0885320 (State of Incorpora ...