Finance

NYCB Flags Weaknesses in Loan Oversight and Names New CEO

  • Shares of the regional bank tumble after new disclosures
  • Alessandro DiNello to succeed Thomas Cangemi as firm’s CEO
NYCB Cites Weakness in Loan Oversight, Replaces CEO
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Commercial real estate lender New York Community Bancorp said it discovered “material weaknesses” in how it tracks loan risks, wrote down the value of companies acquired years ago and replaced its leadership to grapple with the turmoil. The stock plunged.

Alessandro DiNello will become chief executive officer effective immediately, succeeding Thomas Cangemi, the lender said in a statementBloomberg Terminal late Thursday. The company expects to miss a deadline for filing an annual report as it shores up controls.