Troubled lender NYCB seeks to reassure investors after stock slide, Moody's credit downgrade
https://finance.yahoo.com/news/troubled-lender-nycb-seeks-to-reassure-investors-after-stock-slide-moodys-credit-downgrade-125240797.htmlNew York Community Bancorp (NYCB) is attempting to reassure investors about its deposits, liquidity, and governance following a weeklong plunge in the company’s stock and a decision by Moody’s to cut the bank’s credit rating to junk.
The $116 billion commercial real estate lender put out a press release just before midnight ET on Tuesday following the Moody’s downgrade showing total deposits were up since the end of 2023 and that its total liquidity of $37.3 billion exceeded its level of uninsured deposits.
In a separate announcement Wednesday morning, the company said it had appointed Alessandro DiNello as executive chairman. DiNello was previously the CEO of Flagstar Bank, which NYCB purchased at the end of 2022 and a bank examiner earlier in his career.
"We have seen virtually no deposit outflow from our branches," DiNello said on a conference call Wednesday.
Another bank failure in the horizon?
