regional bank in trouble First Republic It said on Monday its deposits fell 40.8% to $104.5 billion in the first quarter, which saw the collapse of two other midsize banks and sparked customer fears of widespread bank failures.

The deposit run at the First Republic was worse than Wall Street expected, with analysts estimating the figure at the end of the first quarter to be about $145 billion, according to FactSet’s StreetAccount Consensus Estimate. Deposit estimates from analysts ranged from $100 billion to $206 billion, according to FactSet.

First Republic said on Monday that deposit flows have since leveled off.

“Deposit activity began to stabilize beginning the week of March 27, 2023 and has remained stable through Friday, April 21, 2023. Total deposits were $102.7 billion as of April 21, 2023, only one 1.7% less than March 31, 2023, primarily reflecting seasonal customer tax payments that occur each April,” the release saying.

The deposit figure of the end of March included $30 billion in time deposits of 11 largest banks that was announced on March 16 in an attempt to stabilize the banking system in general. If those deposits were excluded, First Republic’s deposits would have fallen more than 50%.

«I’d also like to reiterate our appreciation for the group of America’s largest banks that placed $30 billion in uninsured deposits with us, as well as our state and federal regulators who continued to provide us with expert support,» said Chief Executive Officer Michael Roffler. on the earnings call.

Roffler also said that First Republic has maintained more than 97% of «customer relationships» since the start of the quarter despite the departures. He did not provide further details on that point and did not answer questions on the call.

As part of its earnings release, First Republic announced that it was cutting expenses through reductions in executive compensation, condensing office space and cutting headcount by 20% to 25% in the second quarter.

First Republic also said in the statement that it is «seeking strategic options to accelerate its progress while bolstering its capital position.» The shares, which rose 12% during regular trading, fell 20% in extended trading.