New York Community Bancorp: From Bad to Worse – A $100 Billion Bank in Crisis – Archyde

@media screen and (min-width: 1201px) {
.zatuz65e114597de3d {
display: block;
}
}
@media screen and (min-width: 993px) and (max-width: 1200px) {
.zatuz65e114597de3d {
display: block;
}
}
@media screen and (min-width: 769px) and (max-width: 992px) {
.zatuz65e114597de3d {
display: block;
}
}
@media screen and (min-width: 768px) and (max-width: 768px) {
.zatuz65e114597de3d {
display: block;
}
}
@media screen and (max-width: 767px) {
.zatuz65e114597de3d {
display: block;
}
}

The big picture: In early February, NYCB took a massive 2 million provision for credit losses on its commercial real-estate portfolio, plunging the bank into the red and sending its stock price reeling.
The bottom line: It’s not easy to get a 0 billion house in order, especially when that house comprises three banks — NYCB, Flagstar, and Signature — that were only recently merged. DiNello faces an uphill task in persuading the markets that he has a grip on the bank he now runs.
1709249618
#York #Community #Bancorp #bad #worse
Threat level: Bank regulators have very little tolerance for these kind of shenanigans.

• NYCB had acquired most of the assets of Signature Bank after Signature failed in the banking crisis of March 2023. That deal took NYCB over the $100 billion mark.
• The job of righting the ship in the wake of fourth-quarter losses was given to Sandro DiNello, the former CEO of Flagstar, a bank that NYCB acquired at the end of 2022.
• Also in early Feburary, DiNello was given the job of executive chairman; he has now officially taken on the CEO role.

For a 0 billion bank to lose both its chief audit officer and chief risk officer might be considered a misfortune. For the same bank to then lose its CEO, while admitting that it had no “internal control over financial reporting,” looks like carelessness.

• They would be entirely within their rights to take over NYCB this weekend — although they probably won’t, since no one wants another banking crisis exactly one year after Silicon Valley Bank failed.

2024-02-29 23:03:25
Data: YCharts; Chart: Axios Visuals
Driving the news: Shares in New York Community Bancorp plunged in after-hours trading Thursday upon the news that it had defenestrated its CEO; that it was not going to be able to file its annual report on time; and that it had been suffering from “ineffective oversight, risk assessment and monitoring activities.”

@media screen and (min-width: 1201px) {
.nbehh65e114597dde7 {
display: block;
}
}
@media screen and (min-width: 993px) and (max-width: 1200px) {
.nbehh65e114597dde7 {
display: block;
}
}
@media screen and (min-width: 769px) and (max-width: 992px) {
.nbehh65e114597dde7 {
display: block;
}
}
@media screen and (min-width: 768px) and (max-width: 768px) {
.nbehh65e114597dde7 {
display: block;
}
}
@media screen and (max-width: 767px) {
.nbehh65e114597dde7 {
display: block;
}
}

@media screen and (min-width: 1201px) {
.tgcrp65e114597dd72 {
display: block;
}
}
@media screen and (min-width: 993px) and (max-width: 1200px) {
.tgcrp65e114597dd72 {
display: block;
}
}
@media screen and (min-width: 769px) and (max-width: 992px) {
.tgcrp65e114597dd72 {
display: block;
}
}
@media screen and (min-width: 768px) and (max-width: 768px) {
.tgcrp65e114597dd72 {
display: block;
}
}
@media screen and (max-width: 767px) {
.tgcrp65e114597dd72 {
display: block;
}
}