A month after shaking the regional bank industry with a surprise provision for loan losses, New York Community Bancorp rattled nerves again by announcing a $2.4 billion December quarter earnings hit. At the same time, it said it identified “material weaknesses” in its loan review process and abruptly changed CEOs, causing its stock to tumble. The bank
New York Community Bancorp reported a surprise loss as it wrote down bad real estate loans, sending its stock tumbling Wednesday and dragging down the share prices of regional banks across the country. “This was a major negative surprise,” Jon G. Arfstrom, an analyst at RBC Capital Markets, said in a Wednesday note. New York
Banks continue to navigate a bumpy landscape in loans tied to a drop in office-space value and rent prices in many markets as workers stay at home. In one high-profile example on Tuesday, New York Community Bancorp NYCB cited a need to increase its allowance for credit losses (ACL) on the heels of an office