Posted 3/2/2024, 2:33:00 AM
NY Community Bancorp Credit Rating Slides on Loan Risk Tracking Issues, Stock Price Plunges
- Fitch downgraded New York Community Bancorp's credit rating to junk status due to discovered weaknesses in loan risk tracking
- Moody's lowered NYCB's rating even further, citing concerns over the bank's exposure to struggling commercial real estate owners
- NYCB's stock price plunged 26% on Friday on renewed worries about the bank's provisions for credit losses
- The bank says it does not expect control issues to lead to changes in loss provisions
- NYCB has strong liquidity and deposit base, according to new CEO who aims to execute a turnaround plan