Two top executives at New York Community Bank have recently announced their departure after over two decades with the bank. Both Chief Financial Officer John Pinto and President of Commercial Real Estate John Adams will be leaving, along with General Counsel Patrick Quinn. The bank has appointed Craig Gifford as the new CFO and Scott Shepherd as the head of commercial real estate lending.
The exits of Pinto, Adams, and Quinn come amidst a period of turmoil for NYCB, as the bank has struggled with bad news and attempted to regain the confidence of investors and customers. The bank has recently faced financial challenges, including a surprise loss in January, the slashing of dividends, and forecasted distress in its multifamily loan book. With the appointment of new leaders with large bank experience, NYCB aims to rebuild its reputation and strengthen its risk and compliance framework.
The bank’s share price experienced significant volatility following the leadership changes and financial difficulties, ultimately stabilizing after a $1 billion capital infusion. Former Treasury Secretary Steven Mnuchin’s Liberty Strategic Capital was among the institutional investors that provided rescue capital to NYCB. With the appointment of new executives and the injection of capital, NYCB hopes to move forward and overcome the challenges it has faced in recent months.