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Public Information October 17, 2019 WESTAMERICA BANCORPORATION FINANCIAL HIGHLIGHTS September 30, 2019 1. Net Income Summary. (in thousands except per-share amounts) % Q3’2019 Q3’2018 Change Q2’2019 Net Interest and Fee Income (FTE) $40,349 $39,498 2.2% $40,330 Provision for Loan Losses – – n/m – Noninterest Income 11,809 12,528 -5.7% 12,288 Noninterest Expense 24,033 29,366 -18.2% 25,561 Income Before Taxes (FTE) 28,125 22,660 24.1% 27,057 Income Tax Provision (FTE) 7,735 5,667 36.5% 7,432 Net Income $20,390 $16,993 20.0% $19,625 Average Common Shares Outstanding 26,986 26,701 1.1% 26,942 Diluted Average Common Shares 27,027 26,815 0.8% 26,987 Operating Ratios: Basic Earnings Per Common Share $0.76 $0.64 18.1% $0.73 Diluted Earnings Per Common Share $0.75 0.63 19.8% 0.73 Return On Assets (a) 1.45% 1.19% 1.42% Return On Common Equity (a) 11.9% 10.6% 11.7% Net Interest Margin (FTE) (a) 3.11% 3.00% 3.13% Efficiency Ratio (FTE) 46.1% 56.4% 48.6% Dividends Paid Per Common Share $0.41 $0.40 2.5% $0.41 Common Dividend Payout Ratio 55% 63% 56% % 9/30’19YTD 9/30’18YTD Change Net Interest and Fee Income (FTE) $120,925 $115,122 5.0% Provision for Loan Losses – – n/m Noninterest Income 35,676 36,252 -1.6% Noninterest Expense 74,777 81,129 -7.8% Income Before Taxes (FTE) 81,824 70,245 16.5% Income Tax Provision (FTE) 22,163 17,736 25.0% Net Income $59,661 $52,509 13.6% Average Common Shares Outstanding 26,924 26,622 1.1% Diluted Average Common Shares 26,976 26,736 0.9% Operating Ratios: Basic Earnings Per Common Share $2.22 $1.97 12.7% Diluted Earnings Per Common Share 2.21 1.96 12.8% Return On Assets (a) 1.43% 1.25% Return On Common Equity (a) 11.9% 11.2% Net Interest Margin (FTE) (a) 3.12% 2.95% Efficiency Ratio (FTE) 47.8% 53.6% Dividends Paid Per Common Share $1.22 $1.20 1.7% Common Dividend Payout Ratio 55% 61% 2. Net Interest Income. (dollars in thousands) % Q3’2019 Q3’2018 Change Q2’2019 Interest and Fee Income (FTE) $40,804 $40,025 1.9% $40,817 Interest Expense 455 527 -13.7% 487 Net Interest and Fee Income (FTE) $40,349 $39,498 2.2% $40,330 Average Earning Assets $5,176,744 $5,231,257 -1.0% $5,159,112 Average Interest- Bearing Liabilities 2,586,880 2,733,670 -5.4% 2,646,681 Yield on Earning Assets (FTE) (a) 3.15% 3.04% 3.17% Cost of Funds (a) 0.04% 0.04% 0.04% Net Interest Margin (FTE) (a) 3.11% 3.00% 3.13% Interest Expense/ Interest-Bearing Liabilities (a) 0.07% 0.08% 0.08% Net Interest Spread (FTE) (a) 3.08% 2.96% 3.09% % 9/30’19YTD 9/30’18YTD Change Interest and Fee Income (FTE) $122,362 $116,567 5.0% Interest Expense 1,437 1,445 -0.6% Net Interest and Fee Income (FTE) $120,925 $115,122 5.0% Average Earning Assets $5,173,581 $5,191,664 -0.3% Average Interest- Bearing Liabilities 2,640,705 2,732,520 -3.4% Yield on Earning Assets (FTE) (a) 3.16% 2.99% Cost of Funds (a) 0.04% 0.04% Net Interest Margin (FTE) (a) 3.12% 2.95% Interest Expense/ Interest-Bearing Liabilities (a) 0.07% 0.07% Net Interest Spread (FTE) (a) 3.09% 2.92% 3. Loans & Other Earning Assets. (average volume, dollars in thousands) % Q3’2019 Q3’2018 Change Q2’2019 Total Assets $5,570,843 $5,648,004 -1.4% $5,560,740 Total Earning Assets 5,176,744 5,231,257 -1.0% 5,159,112 Total Loans 1,142,668 1,194,874 -4.4% 1,183,539 Commercial Loans 231,232 288,634 -19.9% 262,804 Commercial RE Loans 579,069 554,081 4.5% 582,126 Consumer Loans 332,367 352,159 -5.6% 338,609 Total Investment Securities 3,687,049 3,591,637 2.7% 3,648,436 Equity Securities 352 1,749 -79.9% 1,772 Debt Securities Available For Sale 2,862,537 2,538,837 12.7% 2,750,093 Debt Securities Held To Maturity 824,160 1,051,051 -21.6% 896,571 Total Interest-Bearing Cash 347,027 444,746 -22.0% 327,137 Loans/Deposits 24.0% 24.4% 24.9% % 9/30’19YTD 9/30’18YTD Change Total Assets $5,580,965 $5,600,499 -0.3% Total Earning Assets 5,173,581 5,191,664 -0.3% Total Loans 1,177,057 1,215,712 -3.2% Commercial Loans 258,317 300,215 -14.0% Commercial RE Loans 580,453 553,507 4.9% Consumer Loans 338,287 361,990 -6.5% Total Investment Securities 3,675,102 3,538,724 3.9% Equity Securities 1,285 1,834 -29.9% Debt Securities Available For Sale 2,782,898 2,442,335 13.9% Debt Securities Held To Maturity 890,919 1,094,555 -18.6% Total Interest-Bearing Cash 321,422 437,228 -26.5% Loans/Deposits 24.6% 25.0% 4. Deposits, Other Interest-Bearing Liabilities & Equity. (average volume, dollars in thousands) % Q3’2019 Q3’2018 Change Q2’2019 Total Deposits $4,770,976 $4,893,859 -2.5% $4,762,286 Noninterest Demand 2,234,494 2,223,678 0.5% 2,172,207 Interest-Bearing Transaction 916,180 935,257 -2.0% 945,128 Savings 1,441,282 1,526,100 -5.6% 1,459,287 Time greater than $100K 77,568 90,668 -14.4% 80,120 Time less than $100K 101,452 118,156 -14.1% 105,544 Total Short-Term Borrowings 50,398 63,489 -20.6% 56,602 Shareholders’ Equity 681,513 636,965 7.0% 669,947 Demand Deposits/ Total Deposits 46.8% 45.4% 45.6% Transaction & Savings Deposits / Total Deposits 96.2% 95.7% 96.1% % 9/30’19YTD 9/30’18YTD Change Total Deposits $4,789,084 $4,856,639 -1.4% Noninterest Demand 2,203,755 2,186,250 0.8% Interest-Bearing Transaction 935,811 928,479 0.8% Savings 1,464,037 1,522,414 -3.8% Time greater than $100K 80,142 97,877 -18.1% Time less than $100K 105,339 121,619 -13.4% Total Short-Term Borrowings 55,376 62,131 -10.9% Shareholders’ Equity 669,043 625,496 7.0% Demand Deposits/ Total Deposits 46.0% 45.0% Transaction & Savings Deposits / Total Deposits 96.1% 95.5% 5. Interest Yields Earned & Rates Paid. (dollars in thousands) Q3’2019 Average Income/ Yield (a) / Volume Expense Rate Interest & Fee Income Earned Total Earning Assets (FTE) $5,176,744 $40,804 3.15% Total Loans (FTE) 1,142,668 14,535 5.05% Commercial Loans (FTE) 231,232 3,102 5.32% Commercial RE Loans 579,069 7,772 5.32% Consumer Loans 332,367 3,661 4.37% Total Investments (FTE) 3,687,049 24,368 2.64% Total Interest-Bearing Cash 347,027 1,901 2.14% Interest Expense Paid Total Earning Assets 5,176,744 455 0.04% Total Interest-Bearing Liabilities 2,586,880 455 0.07% Total Interest-Bearing Deposits 2,536,482 447 0.07% Interest-Bearing Transaction 916,180 92 0.04% Savings 1,441,282 210 0.06% Time less than $100K 101,452 64 0.25% Time greater than $100K 77,568 81 0.41% Total Short-Term Borrowings 50,398 8 0.06% Net Interest Income and Margin (FTE) $40,349 3.11% Q3’2018 Average Income/ Yield (a) / Volume Expense Rate Interest & Fee Income Earned Total Earning Assets (FTE) $5,231,257 $40,025 3.04% Total Loans (FTE) 1,194,874 14,707 4.88% Commercial Loans (FTE) 288,634 3,675 5.05% Commercial RE Loans 554,081 7,556 5.41% Consumer Loans 352,159 3,476 3.92% Total Investments (FTE) 3,591,637 22,957 2.56% Total Interest-Bearing Cash 444,746 2,361 1.98% Interest Expense Paid Total Earning Assets 5,231,257 527 0.04% Total Interest-Bearing Liabilities 2,733,670 527 0.08% Total Interest-Bearing Deposits 2,670,181 518 0.08% Interest-Bearing Transaction 935,257 129 0.05% Savings 1,526,100 229 0.06% Time less than $100K 118,156 69 0.23% Time greater than $100K 90,668 91 0.40% Total Short-Term Borrowings 63,489 9 0.06% Net Interest Income and Margin (FTE) $39,498 3.00% 6. Noninterest Income. (dollars in thousands except per-share amounts) % Q3’2019 Q3’2018 Change Q2’2019 Service Charges on Deposits $4,510 $4,615 -2.3% $4,493 Merchant Processing Services 2,494 2,464 1.2% 2,657 Debit Card Fees 1,641 1,656 -0.9% 1,641 Other Service Fees 580 665 -12.8% 585 ATM Processing Fees 725 687 5.6% 722 Trust Fees 733 733 0.1% 749 Life Insurance Gains – 585 -100.0% 433 Financial Services Commissions 75 132 -43.2% 93 Equity Securities (Losses) Gains – (16) n/m 26 Other Income 1,051 1,007 4.4% 889 Total Noninterest Income $11,809 $12,528 -5.7% $12,288 Total Revenue (FTE) $52,158 $52,026 0.3% $52,618 Noninterest Income/Revenue (FTE) 22.6% 24.1% 23.4% Service Charges/Avg. Deposits (a) 0.38% 0.37% 0.38% Total Revenues (FTE) Per Avg. Common Share (a) $7.67 $7.73 -0.8% $7.83 % 9/30’19YTD 9/30’18YTD Change Service Charges on Deposits $13,508 $14,012 -3.6% Merchant Processing Services 7,708 7,190 7.2% Debit Card Fees 4,789 4,959 -3.4% Other Service Fees 1,742 1,946 -10.5% ATM Processing Fees 2,080 2,049 1.5% Trust Fees 2,199 2,202 -0.1% Life Insurance Gains 433 585 -26.0% Financial Services Commissions 270 387 -30.4% Equity Securities Gains (Losses) 50 (66) n/m Other Income 2,897 2,988 -3.0% Total Noninterest Income $35,676 $36,252 -1.6% Total Revenue (FTE) $156,601 $151,374 3.5% Noninterest Income/Revenue (FTE) 22.8% 23.9% Service Charges/Avg. Deposits (a) 0.38% 0.39% Total Revenues (FTE) Per Avg. Common Share (a) $7.78 $7.60 2.3% 7. Noninterest Expense. (dollars in thousands) % Q3’2019 Q3’2018 Change Q2’2019 Salaries & Benefits $12,559 $13,415 -6.4% $13,090 Occupancy and Equipment 5,199 4,809 8.1% 4,916 Loss Contingency (1) – 3,500 n/m 553 Outsourced Data Processing 2,374 2,292 3.6% 2,367 Amortization of Identifiable Intangibles 76 451 -83.1% 79 Professional Fees 645 621 3.9% 481 Courier Service 456 448 1.8% 451 Other Operating 2,724 3,830 -28.9% 3,624 Total Noninterest Expense $24,033 $29,366 -18.2% $25,561 Noninterest Expense/ Avg. Earning Assets (a) 1.84% 2.23% 1.99% Noninterest Expense/Revenues (FTE) 46.1% 56.4% 48.6% % 9/30’19YTD 9/30’18YTD Change Salaries & Benefits $38,757 $39,952 -3.0% Occupancy and Equipment 15,163 14,365 5.6% Outsourced Data Processing 7,110 6,930 2.6% Loss Contingency (1) 553 3,500 n/m Amortization of Identifiable Intangibles 465 1,474 -68.4% Professional Fees 1,791 2,277 -21.3% Courier Service 1,349 1,333 1.2% Other Operating 9,589 11,298 -15.1% Total Noninterest Expense $74,777 $81,129 -7.8% Noninterest Expense/ Avg. Earning Assets (a) 1.93% 2.09% Noninterest Expense/Revenues (FTE) 47.8% 53.6% 8. Allowance for Loan Losses. (dollars in thousands) % Q3’2019 Q3’2018 Change Q2’2019 Average Total Loans $1,142,668 $1,194,874 -4.4% $1,183,539 Allowance for Loan Loss (ALL) Beginning of Period $20,117 $23,040 -12.7% $20,477 Provision for Loan Losses – – n/m – Net ALL Losses (289) (1,013) n/m (360) ALL End of Period $19,828 $22,027 -10.0% $20,117 Gross ALL Recoveries / Gross ALL Losses 72% 31% 63% Net ALL Losses / Avg. Total Loans (a) 0.10% 0.34% 0.12% % 9/30’19YTD 9/30’18YTD Change Average Total Loans $1,177,057 $1,215,712 -3.2% Allowance for Loan Loss (ALL) Beginning of Period $21,351 $23,009 -7.2% Provision for Loan Losses – – n/m Net ALL Losses (1,523) (982) n/m ALL End of Period $19,828 $22,027 -10.0% Gross ALL Recoveries / Gross ALL Losses 55% 73% Net ALL Losses / Avg. Total Loans (a) 0.17% 0.11% 9. Credit Quality. (dollars in thousands) % 9/30/19 9/30/18 Change 6/30/19 Nonperforming Loans: Nonperforming Nonaccrual $633 $1,611 -60.7% $177 Performing Nonaccrual 3,670 3,870 -5.2% 3,670 Total Nonaccrual Loans 4,303 5,481 -21.5% 3,847 90+ Days Past Due Accruing Loans 351 361 -2.8% 249 Total 4,654 5,842 -20.3% 4,096 Repossessed Loan Collateral 43 620 -93.0% 43 Total Nonperforming Assets $4,697 $6,462 -27.3% $4,139 Total Loans Outstanding $1,133,229 $1,196,955 -5.3% $1,161,712 Total Assets $5,616,055 $5,529,463 1.6% $5,523,448 Loans: Allowance for Loan Losses $19,828 $22,027 -10.0% $20,117 Allowance/Loans 1.75% 1.84% 1.73% Nonperforming Loans/Total Loans 0.41% 0.49% 0.35% 10. Capital. (in thousands, except per-share amounts) % 9/30/19 9/30/18 Change 6/30/19 Shareholders’ Equity $713,378 $592,591 20.4% $693,437 Total Assets 5,616,055 5,529,463 1.6% 5,523,448 Shareholders’ Equity/ Total Assets 12.70% 10.72% 12.55% Shareholders’ Equity/ Total Loans 62.95% 49.51% 59.69% Tangible Common Equity Ratio 10.75% 8.67% 10.56% Common Shares Outstanding 27,014 26,727 1.1% 26,962 Common Equity Per Share $26.41 $22.17 19.1% $25.72 Market Value Per Common Share $62.18 $60.16 3.4% $61.61 Share Repurchase Programs (shares in thousands) % Q3’2019 Q3’2018 Change Q2’2019 Total Shares Repurchased – – n/m 8 Average Repurchase Price $- $- n/m $61.98 Net Shares Issued (52) (78) n/m (61) % 9/30’19YTD 9/30’18YTD Change Total Shares Repurchased 8 9 n/m Average Repurchase Price $61.98 $58.46 n/m Net Shares Issued (284) (302) n/m 11. Period-End Balance Sheets. (unaudited, dollars in thousands) % 9/30/19 9/30/18 Change 6/30/19 Assets: Cash and Due from Banks $415,639 $522,660 -20.5% $418,586 Investment Securities: Equity Securities – 1,734 -100.0% 1,797 Debt Securities Available For Sale 2,983,767 2,478,908 20.4% 2,775,899 Debt Securities Held to Maturity 793,216 1,025,699 -22.7% 867,989 Loans 1,133,229 1,196,955 -5.3% 1,161,712 Allowance For Loan Losses (19,828) (22,027) -10.0% (20,117) Total Loans, net 1,113,401 1,174,928 -5.2% 1,141,595 Other Real Estate Owned 43 620 -93.0% 43 Premises and Equipment, net 34,080 35,391 -3.7% 34,014 Identifiable Intangibles, net 1,464 2,376 -38.4% 1,540 Goodwill 121,673 121,673 0.0% 121,673 Other Assets 152,772 165,474 -7.7% 160,312 Total Assets $5,616,055 $5,529,463 1.6% $5,523,448 Liabilities and Shareholders’ Equity: Deposits: Noninterest-Bearing $2,265,640 $2,211,028 2.5% $2,163,841 Interest-Bearing Transaction 910,566 909,954 0.1% 942,140 Savings 1,445,210 1,510,015 -4.3% 1,442,552 Time 175,207 204,840 -14.5% 181,729 Total Deposits 4,796,623 4,835,837 -0.8% 4,730,262 Short-Term Borrowed Funds 45,646 61,756 -26.1% 54,581 Other Liabilities 60,408 39,279 53.8% 45,168 Total Liabilities 4,902,677 4,936,872 -0.7% 4,830,011 Shareholders’ Equity: Common Equity: Paid-In Capital 463,424 449,180 3.2% 460,140 Accumulated Other Comprehensive Income (Loss) 20,454 (54,066) n/m 13,124 Retained Earnings 229,500 197,477 16.2% 220,173 Total Shareholders’ Equity 713,378 592,591 20.4% 693,437 Total Liabilities and Shareholders’ Equity $5,616,055 $5,529,463 1.6% $5,523,448 12. Income Statements. (unaudited, in thousands except per-share amounts) % Q3’2019 Q3’2018 Change Q2’2019 Interest & Fee Income: Loans $14,431 $14,593 -1.1% $14,822 Investment Securities: Equity Securities 92 85 9.0% 99 Debt Securities Available for Sale 18,736 15,644 19.8% 17,823 Debt Securities Held to Maturity 4,535 5,931 -23.5% 4,924 Interest-Bearing Cash 1,901 2,361 -19.5% 1,958 Total Interest & Fee Income 39,695 38,614 2.8% 39,626 Interest Expense: Transaction Deposits 92 129 -28.5% 119 Savings Deposits 210 229 -8.4% 212 Time Deposits 145 160 -9.3% 147 Short-Term Borrowed Funds 8 9 -13.7% 9 Total Interest Expense 455 527 -13.7% 487 Net Interest Income 39,240 38,087 3.0% 39,139 Provision for Loan Losses – – n/m –