This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

New York Community Bancorp’s Savings Bank Subsidiary Completes The Assumption Of $2.2 Billion Of Aurora Bank FSB Deposits In An Earnings-Accretive Transaction

New York Community Bancorp, Inc. (NYSE: NYB) (the “Company”) today announced that its wholly-owned savings bank subsidiary, New York Community Bank (the “Community Bank”), having received all required regulatory approvals, last night completed the assumption of $2.2 billion of FDIC-insured deposits from Aurora Bank FSB (“Aurora”) in accordance with an agreement announced on March 30, 2012.

All of the deposits acquired in the transaction were successfully converted during the night from Aurora’s processing system to the processing system used by the Community Bank.

In addition, Aurora paid the Community Bank $24.0 million for assuming its deposits, which included $1.4 billion of brokered certificates of deposit (“CDs”), $768 million of retail and institutional CDs, and $13 million of money market accounts.

Commenting on the transaction, which was approved earlier this month by the FDIC and the New York State Department of Financial Services, President and Chief Executive Officer Joseph R. Ficalora stated, “The vast majority of the deposits we assumed are short-term, low-cost deposits, and the $24.0 million payment will be used to further reduce the cost of those funds. While the transaction was a small one,” Mr. Ficalora added, “it was nonetheless symbolic of our focus on enhancing both our earnings and the value of our shares.

“We welcome Aurora’s depositors to our banking family,” Mr. Ficalora continued, “and look forward to introducing them to our full menu of products and services.”

Sandler O'Neill + Partners, L.P. served as financial advisor to the Company. Keefe, Bruyette & Woods, Inc. served as financial advisor to Aurora Bank and Deutsche Bank Securities Inc. served as co-advisor. Arnold & Porter LLP served as legal advisor to Aurora Bank.

About New York Community Bancorp, Inc.

With assets of $43.0 billion at March 31, 2012, New York Community Bancorp, Inc. is currently the 21st largest bank holding company in the nation and a leading producer of multi-family mortgage loans in New York City, with an emphasis on apartment buildings that feature below-market rents. The Company has two bank subsidiaries: New York Community Bank, a thrift with more than 240 branches serving customers throughout Metro New York, New Jersey, Ohio, Florida, and Arizona; and New York Commercial Bank, with more than 30 branches serving customers in Manhattan, Queens, Brooklyn, Long Island, and Westchester County in New York.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG

Markets

Chart of I:DJI
DOW 16,643.01 -11.76 -0.07%
S&P 500 1,988.87 +1.21 0.06%
NASDAQ 4,828.3250 +15.6170 0.32%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs