Washington Federal, Inc., parent company of Washington Federal Savings, has announced earnings of $8,410,000 or $.10 per diluted share for the quarter ended March 31, 2009, compared to $35,452,000 or $.40 per diluted share for the same period a year ago. Earnings decreased by 76 percent primarily as a result of higher credit costs. The provision for loan losses was $54 million for the quarter ended March 31, 2009, a $44.5 million increase over the $9.5 million provided for the same quarter one year ago.

During the quarter, the Company’s already strong capital position improved as the ratio of tangible common equity to tangible assets increased to 10 percent, making it one of the best capitalized regional institutions in the U.S.

Chairman, President & CEO Roy M. Whitehead commented, “Lower earnings over the same period last year are the result of a substantial increase in loan loss provision primarily related to the residential land and construction portfolio and centered in a few large credits. We are pleased to have been solidly profitable again last quarter, given the extraordinarily difficult economic conditions. Investors should expect loan loss provisions to continue at a high level next quarter.”