Western Alliance Bancorporation reported a net loss of $26.9 million in the fourth quarter 2009, including a reserve build of $4.4 million, net losses on the sale of repossessed assets of $5.1 million, goodwill impairment of $4.1 million and net losses from securities activities of $3.6 million. The goodwill impairment was the result of our annual goodwill impairment testing which determined a decline in fair value of Shine Investment Advisory Services. At the end of December, the Company sold 75 percent of its ownership in Miller/Russell and Associates. The Company incurred a goodwill impairment of $0.6 million in the third quarter 2009 in anticipation of this transaction.
Total loans increased $112 million to $4.08 billion at December 31, 2009 from $3.97 billion on September 30, 2009. However, average loans declined $74 million to $3.95 billion during the fourth quarter from the third quarter 2009 as fourth quarter growth occurred in December.
Customer funds (sum of deposits and customer repurchase agreements) decreased $71 million to $4.93 billion at December 31, 2009 from September 30, 2009, comprised of a $30 million decrease in deposits and $41 million decrease in repurchase agreements. From December 31, 2008, customer funds increased $1.01 billion, comprised of a $1.11 billion increase in deposits and a $98 million decrease in customer repurchase agreements. Non-interest bearing title company deposits declined $25 million to $81 million during the quarter ended December 31, 2009 and decreased $4.5 million from December 31, 2008.
