AmericanWest Bancorporation — D.A. Davidson 10th Annual Financial Services Conference (May 2008)
20 slides from AmericanWest Bancorporation's conference presentation, May 7, 2008
Slide 1: AmericanWest Bancorporation – D.A. Davidson Financial Services Conference
=f AmericanWest ~-—=/N Bancorporation =F NASDAQ:AWBC D.A. DAVIDSON & CO. 10™ Annual Financial Services Conference Robert M. Daugherty Seattle, Washington « May 7, 2008 President & CEO
Slide 2: Overview
Overview $2.1 billion single-bank holding company based in Spokane, Washington Traded on NASDAQ Global Select Market under symbol “AWBC” Market Capitalization of $73 million as of April 28, 2008 Operates 64 full-service financial centers offices throughout Eastern/Central Washington, Northern Idaho
Slide 3: AmericanWest Bancorporation
. AmericanWest NASDAGEAWBC _~P*Bancorporation
Slide 4: Market opportunities
Market opportunities Many key AWBC markets have excellent long-term growth prospects that will provide a foundation for future growth despite current cyclical challenges MSA # Branches 2000 - 2007 2007 - 2012 Provo-Orem, UT 29.9% 21.1% Kennewick-Pasco-Richland, WA 22.8% 16.4% Moses Lake, WA 10.9% 7.
Slide 5: Markets – Utah Expansion
Markets – Utah Expansion Niche opportunity for a larger service focused community bank given current competitive composition in Utah banking market New financial center opened in Salt Lake City financial district in Q4 2007 Utah Deposits as of June 30, 2007 * Deposits in millions Number of Banks Tot
Slide 6: Strategic Initiatives – Mortgage Lending
Strategic Initiatives – Mortgage Lending Recent results include: Q1 2008 mortgage revenue of $862,000 comparable to Q4 2007 and 150% above Q1 2007 level 145% increase in mortgage lending staff since Q1 2007 April mortgage revenues over $500,000 12 lenders hired in past 90 days, with 8+ average years
Slide 7: Strategic Initiatives – SBA/C&I Lending
Strategic Initiatives – SBA/C&I Lending SBA lending group formed in Q2 2007 Over 90% of 2007 volume produced in Q3-4 Q1 2008 production was 40% of full-year 2007 level New SBA Lending Manager hired in April 2008, with over 20 years of experience Bank-wide referral incentive program Salt Lake City C&
Slide 8: Strategic Initiatives Corporate Cash Management and Deposit Service
Strategic Initiatives Corporate Cash Management and Deposit Service New Director of Cash Management Services hired in Q4 2007 with over 20 years of experience. 14 new cash management clients added in Q1 2008 28 new client remote deposit capture installations in Q1 2008, up 33% over Q4 2007 Analysis
Slide 9: Tactical Focus – Expense Control
Tactical Focus – Expense Control Recently initiated expense management initiatives include: Consolidation of lending support functions completed in January 2008, resulting in net annualized staff savings of $450,000 Utilization of new financial center staffing models expected to reduce FTE count by
Slide 10: Tactical Focus – Asset Quality and Loan Workouts
Tactical Focus – Asset Quality and Loan Workouts AWBC has had a dedicated special assets group since 2004 and has a demonstrated ability resolve and/or liquidate problem credits Additional experienced staff recently reassigned to unit Conservative approach to classifying problem credits, focused on
Slide 11: Executive Management Team
Executive Management Team Joined Years in Prior Industry Name Title Age AWBC Industry Experience Robert M. Daugherty President & CEO Sep-04 Humboldt Bancorp, Draper Bank & Trust, US Bank Patrick J. Rusnak EVP/COO/CFO Sep-06 Western Sierra Bancorp, Humboldt Bancorp, United Community Banks, Inc. Rick
Slide 12: Total Loans
. AmericanWest atone Bancorporation Loan Portfolio Composition - March 31, 2008 TOTAL LOANS Construction . BlLand and development . gical. Mg. BHome equity [1st mortgage . WConsumer/other....
Slide 13: Commercial Real Estate Loans
. AmericanWest NASDAQ: AWBC _-FBancorporation Loan Portfolio Composition - March 31, 2008 CRE (Owner Occupied... Winvestor....... 152% CRE-INVESTOR Cilndustrial Hospitality esidential CRE-OWNER OCCUPIED industrial Other...
Slide 14: Construction Loans
NASDAQ: AWBC awbank.net =— AmericanWest Bancorporation Loan Portfolio Composition - March 31, 2008 CONSTRUCTION Multi-Family . [Builder Spec..... [Builder Custom Investor Commerci Owner Occupied Commercial Consumer Residential .. 15% 16% 12% 30% wn 25%
Slide 15: 1-4 Residential Construction
AmericanWest NASDAQ: AWBC Bancorporation awbank.net Loan Portfolio Composition - March 31, 2008 1-4 RESIDENTIAL CONSTRUCTION UISt. George DSpokan other Pertormin, BNon-accrual.. Unfunded Commitment ...20%
Slide 16: Builder Custom
. AmericanWest Nason: avec A astporation Loan Portfolio Composition - March 31, 2008 BUILDER CUSTOM St. George Spokane... Other... Performing INon-acerual .. Unfunded Commi
Slide 17: Builder Spec
NASDAQ: AWBC awbank.net Za eons =~“ Bancorporation Loan Portfolio Composition - March 31, 2008 BUILDER SPEC Provo Salt Lake .. St. George Spokane Other. Performing BNon-accrual Unfunded Commitments ..15%
Slide 18: Consumer Construction
NASDAQ: AWBC awbank.net AmericanWest =~“ Bancorporation Loan Portfolio Composition - December 31, 2007 CONSUMER CONSTRUCTION OProvo.... Salt Lake. St. George DSpokar woth Performing Non-accrual Unfunded commitment ....28%
Slide 19: Land and Development
' AmericanWest NASDAQ: AWBC -F Bancorporation Loan Portfolio Composition - December 31, 2007 LAND AND DEVELOPMENT (Raw Land Residential Development Residential Lots ..... [Commercial Development. DPerforming... Non-accrual .... [Unfunded Commitmer
Slide 20: Residential Development
NASDAQ: AWBC awbank.net AmericanWest =~“ Bancorporation Loan Portfolio Composition - December 31, 2007 RESIDENTIAL DEVELOPMENT Provo «. Salt Lake St. George . Spokane Boise mOther RAW LAND