Business
Western Alliance Bancorporation Takes Decisive Action on LAM Trade Finance Loan
PHOENIX, March 06, 2026--Western Alliance Bancorporation (the "Company") today announced that it has been informed by Jefferies Financial Group ("Jefferies") that payments of $126.4 million owed to Western Alliance Bank ("Bank") pursuant to a forbearance agreement will not be paid as agreed.
About this update from Western Alliance Bancorporation
[{"type":"image","alt":"","displaySize":"","headline":null,"caption":"","credit":null,"className":"","disableSlideshowImg":false,"size":{"original":{"width":2011,"height":423,"url":"https://media.zenfs.com/en/business-wire.com/1a99aa3d60992f1e0411d4cd4686bef4"},"resized":{"url":"https://s.yimg.com/ny/api/res/1.2/300_YXZMex5.KebQbpejIA--/YXBwaWQ9aGlnaGxhbmRlcjt3PTk2MDtoPTIwMjtjZj13ZWJw/https://media.zenfs.com/en/business-wire.com/1a99aa3d60992f1e0411d4cd4686bef4","width":960,"height":202},"lightbox":{"url":"https://s.yimg.com/ny/api/res/1.2/At830d1dU5Jy9XLa0jIhtA--/YXBwaWQ9aGlnaGxhbmRlcjt3PTI0MDA7aD01MDQ7Y2Y9d2VicA--/https://media.zenfs.com/en/business-wire.com/1a99aa3d60992f1e0411d4cd4686bef4","width":1200,"height":252}},"lazy":false},{"type":"list","items":[{"val":[{"type":"text","content":"Complaint Filed this Morning, Initiating Legal Action to Collect Amount Owed","length":76,"tagName":"p","attribs":{}}]},{"val":[{"type":"text","content":"Charging-Off Remaining LAM I Loan Balance of $126.4 Million","length":59,"tagName":"p","attribs":{}}]},{"val":[{"type":"text","content":"Financial Impact Substantially Mitigated Through Realization of Securities Sale Gains & Expense Reductions","length":110,"tagName":"p","attribs":{}}]}],"tagName":"ul","bulletedList":true,"length":245,"olType":false},{"type":"text","content":"PHOENIX, March 06, 2026--(BUSINESS WIRE)--Western Alliance Bancorporation (the "Company") today announced that it has been informed by Jefferies Financial Group ("Jefferies") that payments of $126.4 million owed to Western Alliance Bank ("Bank") pursuant to a forbearance agreement will not be paid as agreed.","length":339,"tagName":"p"},{"type":"text","content":"Earlier this morning, the Bank and its Collateral Agent filed a Complaint in New York Supreme Court against Jefferies, Leucadia Asset Management LLC ("LAM"), and affiliates (collectively, "Defendants") alleging breach of contract and fraud for Defendants’ conduct related to a commercial loan collateralized by accounts receivable purchased from First Brands Group.","length":385,"tagName":"p"},{"type":"text","content":"In September 2025, the Bank learned of failures by LAM’s servicer, including allowing UCC financing statements to lapse on the receivables, that triggered loan defaults. In October 2025, the Bank entered into a forbearanc...