NYCB -.53 to 3.67, despite some reassuring management commentary on a conference call this morning. I've been averaging down and writing options at huge premiums. It looks like a fire sale to me, remindful of the regional bank crash last March, but I could be wrong.
briefing -
New York Community issues current liquidity and deposit information (4.20 ) :
Deposit Stability
Total deposits of approximately $83.0 billion, which is up from year end 2023
Total insured and collateralized deposits represent 72% of total deposits
Total uninsured deposits, excluding collateralized and internal deposits, are $22.9 billion
Co maintains over $10 billion of reciprocal deposit capacity to offer expanded deposit insurance to our clients
90% of the balances in our top 20 deposit relationships are fully insured or collateralized
Ample Liquidity
Total liquidity of $37.3 billion which exceeds uninsured deposits, with a coverage ratio of 163%
Cash held on balance sheet of approximately $17.0 billion
Unencumbered securities of approximately $6.1 billion lendable value
Fully collateralized credit facility with available capacity from the Federal Reserve Bank of New York and excess lendable value of collateral at the Federal Home
Loan Bank of New York totaling $14.2 billion
New York Community earnings conference call update: The company has seen virtually no deposit outflow from branches (4.20 ) :
The company wants confidence that the bank will get back on track.
The situation is serious, but the bank remains strong.
The company has seen virtually no deposit outflow from branches.
Private banking is performing well.
Liquidity position is strong and it is committed to building the liquidity further.
The company will do whatever it takes, including selling assets.
The company will reduce its exposure to commercial real estate.
The company has lowered commercial real estate originations in recent months.
The dividend was cut to preserve capital.
No plan to raise capital right now, but it could if it needed too.
AI
