Earnings call transcript Q1 2023

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Operator

Good morning, ladies and gentlemen, and welcome to the NYCB Q1 2023 Earnings Conference Call. At this time all lines are in a listen-only mode.

Following the presentation, we will conduct a question-and-answer session. [Operator Instructions] This call is being recorded on Friday, April 28, 2023.

I would now like to turn the conference over to Mr. Investor of Director DiMartino, Relations. Sal sir. Please go ahead,

Sal DiMartino

Mortgage. of company's thank Thank Officer, Pinto; the joining for by conference of President President and be Thomas Reggie results York the you, Good morning, today's company's the Lee discussion Smith, Today's joined Laura. and you call. quarter management led John and President Banking; Bancorp XXXX will for of Community everyone, first Cangemi; team by CEO, New of Financial Chief Davis,

rules. the like the certain team may Before in I'd the harbor Private about Such affect comments and Reform of made safe press Please today's risks within disclaimer may of Community Securities that us. forward-looking begins, remind for we you the Act statements XXXX. safe review and discussion are statements forward-looking more language make to York meanings and forward-looking today subject release management presentation to which include information of Litigation the by uncertainties, certain harbor the New

with to Mr. now the Cangemi. call over to And would turn I like that,

Thomas Cangemi

you Good a topics thank would everyone, you. and like us few joining you, Sal. Today, Thank to today. morning, cover for with I

results, Flagstar, is Bank the the XXXX combined company finally a provide with and transaction Our quarter market upheaval, first forward-looking some how guidance. operating during fared Signature we first recent the you with

quarter volatile financial for quarter first a the and was know, victims became institutions good the of unfortunately industry As several you this all banking volatility.

businesses, lending diversified and turmoil banking, XXX% very our residential multifamily business servicing commercial during [indiscernible] New fared business. causes, origination no and to the immune well several focusing lending, real the on commercial crisis the of period York financial from estate mortgage core model While institution and damage retail is that this Community due

a amongst have of certain do with any when bank certain assets but the or March stable navigate purchased not was we cryptocurrency Bank. turmoil, XXth, our uninsured during in position stronger Bridge the technology this exposure our have percentage from relationships companies. we on Signature financial successfully related the only that industry. significant Bank, market industries this and assumed Not subsidiary, Flagstar do time, deposits nor of to liabilities we lowest N.A., we We emerged in Moreover, stablecoin do announced

middle is transaction diversification, builds merger Strategically, This The recent created new our the several wealth while with the our our our our game lending commercial and base changer jumpstart including other our banking attractive such longer-term of profile, lending. Flagstar strategy, healthcare verticals transformation broker-dealer lending in improves accelerates and our in business and relationship several a SBA build-out high-performing addition for a as strategy. it us. overall by management to business businesses and bank. market were funding loan it transaction that included part further upon It deposit providing commercial and momentum

New we waited also virtually from at things all great region, expansion, us to recent primarily and talented have Signature's those to York join other the extremely Signature together. Community Importantly, based banking the Signature's West client with along New private predominantly of teams, highly productive returned teams in Coast retained – here California. based to doing employees and is team, Everyone in forward look our pleased we Bank them

year. the share also transaction per book more of significantly of financially jumped per At the tangible closing, and XX% XX%, quarter per book first quarter value the value immediately EPS be of than fourth Lastly, $X.XX at anticipated accretion to compared is share expected to with share. accretive attractive to end last to tangible and it's the while

generation we transaction, earnings expect Given to tangible value this book accelerate. our power from

our to Turning results. now

$X year, Net adjusted available quarter. to income and Operating diluted the higher for estimates common margin. of growth December from were Xst billion which the first per in loans the million organic the by from and First operations, several loan the acquired impacted items quarter $X.XX for Signature and the share compared acquisition, increased two for to much million an credit gain, to from weeks Flagstar expenses Signature. quarter's arising last benefit purchase legacy XX% quarter initial transaction Flagstar closed Adjusted approximately consensus strong by million net as were on interest ahead stockholders of basis bargain $XX the earnings approximate year. of GAAP merger-related results $XXX were Signature's driven quarter XXXX of results acquisition, franchise on of fourth of a a including loss full provision share, last slightly $XXX a a

fourth Flagstar is benefit of We from acquisition portfolio interest was the the the more to We it of the the but X.XX%, that impact this transaction. many throughout margin the points its XX loan benefits additional the from quarter, net with our lower-cost variable expansion in of as continue was adding rate opportunities base. compared the up saw of its from expansion this believe basis margin pronounced net will quarter and mostly year margin some Signature fourth XXXX. interest deposit One quarter

loan to our Turning portfolio.

our while to of up compared at to loan leases as C&I quarter, to total we current Excluding evolution December billion in this XX% more basis. linked-quarter transaction loans businesses. loans XXst warehouse billion, loans Commercial compared the at loans loans model. X% March increased represented continues of XX, was from XX% XX%. first portfolio of mortgage XX% multifamily at of total commercial the diversified a become stood bank $X.X finance and portfolio, a the acquired to approximately the total Signature The in billion continue about and growth $X.X on $XX About particularly loans during specialty

losses trends up of both the on asset of were improves non-performing remain As million for quality linked-quarter million, XXX% and to represents credit allowance the modestly strong. our increased loans assets. non-performing Xx. and loan for of The low Total to a portfolio, million or year-end assets $XXX from XX XX% basis basis quality $XXX $XXX only coverage metrics a points and our nearly or of to total

or another no reported was previous loan the compared we current low during first quarter as net quarter. quarter the during X Importantly, million charge-offs to $X losses of

Our credit office sector. manageable, trends in very exposure remain with we comfortable this remains the and

average a X.XXx. service in Furthermore, of no XX% Our but and office size million exposure weighted LTV $X.X $XX the approximately average quarter this end and details was loan no loans. at summarize, billion total ratio our some have portfolio. debt weighted or presentation, provided the is We X.XX%. chargeoffs was weighted with coverage delinquencies average is average coupon of investor X% The we in to

high-quality sheet recently laser-focused can positive standards will continue credit our should numerous on quality proof credit us you are to well is these event verticals, across entered. new of all with conservative balance over us the see, the metrics well As we especially along this those Regardless, underwriting that have a in serve an be served economic we cycles, downturn. have that

front, totaled transaction experiencing XX. as at $XX.X deposit The initial deposits quarter March deposits the expected billion after Signature $XX.X of end. On our contributed billion outflows of

told, the deposit the prepaid spend billion due withdraw deposits debit Circle. these accounted remaining Flagstar legacy of All account were two program decline XX% down the in anticipated over reserve $X.X categories for declined institutional in NYCB deposits. balances card from and to Legacy mostly

Accordingly, in liquidity our always the of unpledged liquidity, transaction. Signature from billion position we uninsured capacity at was while $XX our At liquidity, ample of terms deposits, excluding deposits. both our liquidity from securities sources is totaled Fed enhanced by the ready same $XX our deposits XXX% of had our New cash, the time, and available total with cash have In represents over FHLB deposits. the Currently, of billion. borrowing York $XX.X liquidity billion, and of the collateralized uninsured XX%

with AOCI amount have the as business on portfolio, in we to not in and securities lowest liquidity the planning consisting is of were industry minimal a capital. have amongst high-quality of mark-to-market maturity. strategy, part we securities mix, the our our do primarily securities. securities impact diversified Approximately to the Flagstar conservative these Accordingly, one addition any and as acquisition. In held has long-term GSE-related conjunction third of available-for-sale Also, designated of

terms $XXX fourth compared In our total million expenses, the to $XXX in quarter. were of $XXX up million, OpEx million

full to one days and during base of only Signature. month the quarter expense quarter a XX compared quarter first Our Flagstar of expenses fourth includes

the a range As to current quarter first expect X.XX%. of given outlook, we XXXX for guidance, from X.XX% levels first quarter to NIM expand to

in First a of approximately of relatively and rate quarter lot sale period million to accomplished mortgage gain on loans $XX $XX is short tax a year a quite We've time. XX%. million full of

become out We year and and we Flagstar, evolve Signature to will our further our the the this integrating each Flagstar. rest growing and as deposits to our businesses of reducing new converting building expenses, devote of

months. the would be their for teammates few I like support None would would of the especially accomplished and our it have without to two over of months, far so past all thank what them. work Lastly, hard possible last

With be to please to don't, we today. that, our have. feel within to to you of happy any call answer us may get But questions. We'll all if questions best time very open later please the do for remaining. we'll you free the Operator, line

Operator

Your begin Thank session. of and [Operator America. from Ebrahim of we comes the from will you, Please question-and-answer first now Poonawala gentlemen, line go Instructions] the ahead. sir. Ladies Bank question

now live. line is Your

Ebrahim Poonawala

Good… you. Thank

Thomas Cangemi

Good morning, Ebrahim.

Ebrahim Poonawala

Tom. morning, Good

what's things. the X, So assumption. your underlying deposits, question two the guess maybe of Slide first One, us I have just sense give around where a you waterfall,

think throughout expect year. expansion, I second margin say the you but I just not the heard you quarter, in

underpinning Flagstar, part deposits? I billion, One, the early thought. they've And more saw, much more to you leaving there? that So see runoffs much expect bank you you up on the than in would year deposits, held of better terms have do Signature then in what's the what legacy $X.X think, I the think I how of around similar

So Signature sense expect of around a you give the deposit what us base.

Thomas Cangemi

DDA, And when if been, has activity slightly turmoil and It's tell We structure it throughout given we and into in the start a John Ebrahim, XX%, felt look you activity pass think up you we the actually of timing April. been we most transaction DDA But circumstances was over modeled what's if has I It's solid. XX% then execution, than because about been going of go been at March, regarding ago rock. actually I'll in April, DDA So number. a came we deposits. approximately NYCB went to a $XX I'll base. will $X that of now off Flagstar billion was billion deposit billion the transaction the you, balance the about a that worth that standalone, speed this the given and of where less the of on the to approximately that important that $XX year runoff XX% were of or conservative a Reggie as

think the that you about if how impacts zero. So are costs those margin,

historical the at very powerful focused where a type franchise be in that's when looks liabilities. So to cost higher we're position more it on

So on DDA stability the the we're pleased very of accounts.

the as far a seeing As now. flat stability relatively position overall, right we're

been We organization. the expected following to seeing announcement, that, first baton whole the some John throughout and what the pass it's runoff pass then With about I'll will the very manageable. over John talk and we're to Reggie days

John Pinto

quickly, when just borrowing if margin side. items about one mind, the to on guide, And – keep is Yes. you the of talking we're too, the in

due So, coming we us the $X at is a quarter, and we have back in to put to billion rate. second that XXX expect be funding that's of wholesale or

there quarter. So, some benefit down going just we're in by the get that paying margin to

runoff We as rates also CD have pretty some well. high at brokerage

side, excess to to noninterest-bearing due stability quickly we second wholesale about, is talk So paying cash going the the especially we're deposits have talked CDs looking borrowings sheet. what Tom with that that that's retail coming balance down, and will and in down quarter brokered pay of that the rate, we're the that higher and on on with the the Reggie

side? you anything Reggie, the deposit add want on to

Reggie Davis

wholesale Yes. the core I was retail how I are. quarter of would a our first validation book stable just say, just think, actually and

If of only XXXX, across December NYCB on basis point-to-point, combined and look X% kind you down we're Flagstar. a

than less like billion on billion that's $X book. So, a $XX

win. I consider So, that would a

rate surge quite basis. portfolio of runoff in we kind the natural see a of frankly, kind run in on was what that, of some And

well think way. would the perform in and the performed portfolio same this year I continue So, extremely to

Thomas Cangemi

funded and just forward. and X% flow, to carry, is we've margin what to the again, our margin, on the off that, managing to if a just cost cash is cost above balance was which Ebrahim, ultimately in an current strategy position sitting and and So side here as and comment Signature, higher just better on more to the indicated, abundance think funding paying deposits. you on that think forward of reiterate going about cash That as have acquired the I is much we're the sheet sitting commercial to going cash what we net-net, deposit liquidity debt a the John go bank-like

cash higher other just the funded, focus good of higher deploy throughout benefit and we it liability down the right So, we see of continue to But benefits year. sitting into importantly, to traditional cost actually contributing wholesale as now margins. higher in more some margin on will at paying to that is yields, businesses some be more the full

Ebrahim Poonawala

going guess does success outlook the a Signature mean Tom, senior should Signature, alignment like watching is to And board. keeping Give integration us on second forward? on of board? I terms you then that including around we on question, Flagstar what and it. that of proceeding? a just means, going have What how just the kept teams Got a for of you've and sense those talk growth be the from in And executive Eric integration integration us with obviously,

Thomas Cangemi

So, great Ebrahim. question

One, significant ensuring the and we for teams. the So the of ground have that. Eric very results We're I on both the and transition energy hit obviously, running, we happy Day on very that confident spent

board. As on East them when both next West super companies teams, on the bringing place, businesses to in my substantial the know step well. to that All folks here, we Signature competition. culture, the pleased lines which going preserve very you our culture, is and We on excited Coast. in know business lines. integrate a about coming of them we think of remarks, the we also on and And it's the are we're We energy. culture, But about And have the know these board. are the amount and be culturally, indicated we prepared Coast

together. working clearly we're So

bank right be served. systems, And we're when best Flagstar and it still dive more going transaction what's assessing for is now to a for deep importantly, to the in of customers to how and the scheduled quarter are XXXX, the comes the first going

customer about So, truly going on all take to it's a model. we relationship banking be service as

So, the appropriate this disruption. at no these we we make is time most there as integrate important aspect ensure that of that decisions frame to customer the

to integration Pinto versus bit Flagstar. add regarding John? on Mr. little Signature side a more the wants

John Pinto

operations at system the thing groups to been IT really we've just the from understand we are important most of private used The client Yes. and size in is the the the making doing and our teams teams Signature scope sure on what side.

minimize is to avoid So any potential customer our that any main negativity, impact. focus we customer ensure

towards So the the integration, we're possible the not and systems way the customer get that that just That through converted process now. ensure is we going and will it data we're process impact. effective but impact Flagstar finalize to most working actual in minimizing efficient data, on something while now to the

Thomas Cangemi

fair. That’s

Ebrahim Poonawala

Thank you.

Operator

Thank you.

your from Your line live. comes McGratty KBW. next question the Please ahead, now of go from line Chris is

Thomas Cangemi

Good morning Chris.

Chris McGratty

Signature, a help it's contribution go is of moving can could, there's pre understand early, to the on its slide, the and us for which billion good to I still moment, ton Signature? you $X.X parts but Hey, guide. in morning. to want you the just expense expense from The $X.X if billion, guidance a

Thomas Cangemi

on So to I'll baton I'm side. lead it's expense going the and back the early pass to days. Obviously, John

transactional transaction. you benefits look run on If is $XXX, a we the we there structured all previous is were running, businesses, they lot why what they running mid-$XXX take were year. we didn't back of the and million Remember, around have the rate

of running are guide a the at actual stand-alone to remain – we But private we're and the we on client reiterated teams So, groups and – put going intact. X.X as Signature obviously, that a basis. on X.X, to lot

expense forecasting rate. run that of lot our within we a that's are So

and mid-XXXs since like of of assume transaction if you there start leave this, more nature not it's you then the tend a transaction a transaction, M&A the deal, is receivership the type given we traditional savings a it's transaction. a much an But it's to with assisted

So, historically, to XX% we've always been range. between XX%

way look nature the we think, then a You time, company. run rate of can as these given formulate probably range end at combined of a probably at higher I the transaction over reasonable integrate the to we the that's you the companies, look as which

And want as as you thinking add Mr. are there. Pinto the CFO what to

John Pinto

Yes.

and makes and it's our process in that we as right the run I going we it will we're back, at working we believe exactly believe we've us. as think towards a have if systems our do the it's we're to look we – quarters, record, very important elevated be of of going what is been understanding processes know what now, to especially in What expense, converted. we do said, we've continue integration Tom is and of is to get consistent we you track We go what extremely sense, been which do though, use of noninterest to the through lot next couple believe, that how managed rate the very, expenses our course, it until be. to we

a have and history multiple in with past. integrations we acquisitions And effectively different even the lot managing We that in cycles. that around of had

So, the we're believe a we able through as over to that we run process. mentioned, really the term, short then to levels we bit converted, systems be confident once in rate in be do time. will that this do have Tom get our here But we right. a go expenses our that little just that higher gets And into will ability

quickly, the other given, into from ongoing, a of will course, bit step that And run thing, on little take back. we process bring a some last just transaction was Flagstar the about of the front cost transaction, our to talked saves of Signature up call, the to That trying XXXX.

anticipated. through we once rate expenses solid be a run more believe bit rate in we'll really run we to then little a combined our manage to just see get than you'll the through we a systems integration. perspective, able why from that's And So, quarter

Thomas Cangemi

Yes.

So, a repositioning year, I mortgage was be the the first ourselves did also under banking the put at place. space to to the quarter, would Lee position that substantial the regardless add, for interest on Chris, of in and rates mortgage just execution, of mindful we Smith's beginning franchise in

I think late was it February. January into

don't full So forward. of have that benefit we going the

So Signature, Signature full to the adjustments as franchises of work end more you'll we the the each the repositioning, towards put towards quarter mortgage ongoing favorable see of and we each we as phase as year. through we made on see steps putting With the benefits together. over feel the quarter integration clearly, we'll get

to Smith, bit on the Lee Maybe if Lee? accomplished mortgage you want with that, little a talk what about side, we've

Lee Smith

Yes. No, Thanks, Tom.

the yes, think business. so on model. mortgage mentioned a we footprint business we New a right go just big are last an we say I branches. that is So We Bank Community on FTEs in-branch footprint I of when But restructuring the the both call the distributed XXX York Flagstar let we on retail and that executed combination that as size in-branch

and bigger [indiscernible] hold that got it's originators fee to did generates of be side, tough all considerable in a this geography, even because returns. lot We one – six channels. flows mortgage in and a not we the So a it bank market, business subservicing profitable origination still biggest We've MSR income. off are strong want on we but the asset, servicing of we the which

ecosystem. aggressive We're and on mortgage We deposit the warehouse we're from the do servicing second largest more lending, working advanced MSR lender. gathering lending,

industry of fund as to BXC do at So food you shop, the BXB, able in are come of whole we're take whether mortgage it the an the you're to you. through ecosystem. you and the or you generate earnings we we care whether individual one-stop whether on borrower, the biggest the mortgage look can We chain Flagstar, – strong side,

Chris McGratty

understand, sure My follow-up, just Thanks. I to make Thank that. for all want John. you I

legacy for So Signature XX%. if you mid-Xs for I'm said starting expenses and

that get message then talked away? that taking XXXs low the the destination. should would So is of previously that about. we the add would that you've you on be we kind of And Is top CDI

John Pinto

high of think, end Yes, I bit little range, may That's that Tom gave. the be the a aggressive.

way probably than think start But to that's look to it. a I at decent little a it's bit that. lower

Thomas Cangemi

tech timing transaction benefits integrated, the about to Chris, I when so in going happen of think, quarter Flagstar also actual to some right? going get have the It's same is we're there significant as to you you as side on think the in it, well. – it's QX,

putting basis should we significant remember, So when at we're date, announced pre-Signature these And a looking we as the you date really standalone post all the benefits together. conversion on systems conversion get and Flagstar well. as

up come coming with all think run you I rate, assessments your what So those when the run fair rate. estimate expense up we're when are with you think,

the we progress as hopefully Signature we our deep year, during we'll dive As into guidance the update franchise.

Chris McGratty

help is given the to proxy. And come, of a little share the count, one-timers good assume then the there and maybe warranty on also just I a period the end

John Pinto

Yes. a for range, The to XXX-ish that's end count proxy, is good good a that share of proxy use forward. right, period going

to need you where be. that's So

Chris McGratty

one Okay. just And for timers, remaining book value purposes?

John Pinto

we transaction handful next Listen, in a from the million we at $XXX to probably the coming look over term, short couple both the Flagstar quarters. got have do of another still

Thomas Cangemi

Two yes. quarters,

Chris McGratty

All Great. a lot. right, thanks

Operator

you. Thank

question line Please line next Fitzgibbon Mark from Sandler. live. now of the ahead, Piper from go Your is your comes

Mark Fitzgibbon

Hey morning. guys good

Thomas Cangemi

morning. Good

Mark Fitzgibbon

many are Signature there teams. Just think, earlier questions, many sense how to today? follow-up for XXX how that had have stayed, Do you something have like Tom, on a I

Thomas Cangemi

great Yes, point. a so Mark,

didn't the teams didn't that acquire we transaction. entire were obviously, the So other come There institution. with

about it's estimate we XXX-ish. So XXX,

like now. we're think I XXX

So, I that success. called huge a

we're alongside excited about retention think and worked to there. sure have in had me with I super plans Eric place are where make hard the that we we

this that. we were on, So, a but about together focusing culture the feel more out a very able enhanced. client good process only company XXX-ish more been has of retention much the sheet, being for larger balance do strong. we of to that teams XXX And And importantly, getting with think the about about we the lot really it's

coming have on I understands other have the for right? excited huge opportunities we team for from and new it’s that Signature products, to about other as we make would customer sure the success that, do we’re Mark, say that to culture, You customers enhance a work ending, us, the on experience. really and now board So never it’s

I been of lot spend a success. and a retention, Eric we believe and So, it’s time on

Mark Fitzgibbon

And then today? new pipeline is banking space the as what secondly, unrelated, service in look a like the business of

Thomas Cangemi

think are developing of general, I look, lot in we So initiatives. technology a

We’re out the of and and pack, work see there really some trying developments within going some being get middle to we the to our focused time, good and on we over strategy had there. good do

developments side, on of also has if Just the the on technology historically think has with you done Signature client what been very innovative.

So now collectively, we’re in is more at I talent opportunity our with skills on think our here even combined innovative Signature banking service. over with doing a the initiatives what as

There’s some along been the way. good wins

consistent, We we’re the business been sense focus and is our obviously And very to to ours, with customer looking of needs. have successful a for been for that technology it’s process at in going we’re us. all bank opportunities forward to a partners it’s partner the and tie forward government – looking there, the and make

a been the relatively a some and We mortgage it’s But a had [ph], we and as and amount the say during of banking as I’d government launch. that So, turmoil of expected as strong. John. service service runoff X.X service dollar

John Pinto

little Yes. A lower.

Thomas Cangemi

and developments with new still forward it’s a treasury relationship to, onboarded. that number, as gets we’re looking U.S. relatively hopefully, So the strong

work get automation that. where government trying on plastic plan lot world with that’s And that We’re analysis all side. doing to to in from we up the around the running go That’s a to and the digital digital.

market. that the the So long going Signature we’re of I But journey. it’s pickup a team churning think excited And to development. help about is

Mark Fitzgibbon

your target I you I capital if also question dividend. thoughts you whether had us the for there Last and wondered on with have could or a share is, you

Thomas Cangemi

transaction forward. in to I be build formation as on substantially. in. well our very And very the earnings going down per which my ratio comes capital significant what is about Well, pro as be ratio both forma going talking that made good on place upfront it analysis, the capital dividend coverage is to remarks, the accretive, clear we’re going to as share obviously, just prepared tangible the is a This highly tangible forward,

projected end So, dividend up basis we’re on about improving we our dividend pleased the coverage see very we as a dramatically where ratio on side. what

obviously, being very and and we’re that think stronger. going into comfortable we is on dividend much that said, strong, opinion, So in becomes our more, multiple transactions these the even With capital, it into of we the are good lot in kind a with quarters in capital ahead. go as of remarks, generate the tangible a my on creation. prepared that’s value very we book And – focusing position to forward

So if John, to… want you

John Pinto

And the too in thing – started the looking that common we’re our at at little quarter. it a you increased X we we look the other Tier equity in bit when is

So it run – a under in slightly at or we came in little past. X% than it a better anticipated. CETX We’ve under the

if peer loss the is on are the those look the including going when unrealized on of we’re analysis looked bottom comfortable list. at our at start our up. too We’re those securities, group closer levels to to the the coming unrealized in at But to losses at levels. Mark list CETX than of And other thing and keep you you the portfolio, securities mind, for top in

that ways look do couple capital. we So different there’s of at a

our know loss perspective. from a history You

it levels. believe can we these run So, at we

We’re cognizant peer capital it perspective, look we the of a and the this generation are from that’s where fact to transaction we so provides. because of why forward of

Thomas Cangemi

for we where can impact behind scenes this clear And just acquire be was in to with we the the no substantial. wanted one review negative When here. successful line solve our for on that as we Mark, there deal in working to benefit that formulated then capital a and capital is were figure was put as to transaction capital solve That very of of regulatory constituents. and our transaction far coming point to and the able liabilities to how on. kind our Yes, the how together. bidding we this We assume getting transaction. result selected to focused as how that’s together, we we major accretion And be out key done put assets process the the

post formation build we’re the So, capital very transaction. excited about

Mark Fitzgibbon

you. Thank

Operator

you. Thank

go Your of Preston next question from Please from comes UBS. Brody line the ahead.

line now is live. Your

Brody Preston

on Hey the finer Again, wanted just good everyone. put know to the I you I a point morning but mid-XXXs. said expenses. tough, it’s

closer I of the end I didn’t think year XXX know And Signature the everything. a to you running over kind like of bring was at run [ph] rate.

wanted is XX% a and just from to mid-XXXs to John, clarify, I then savings level, So, down XX% from working it way starting its there? cost to

John Pinto

Yes. I [ph] the XXXX year, the the was we mean just expense. mentioned annual XXX right,

that’s point businesses. of use as kickoff But right; we that didn’t all So a for the the piece. just kind of we take

perspective from the is combined we run rate that number a just $X probably So, billion think a basis. on under

the way to look think than companies do to pretty we’ll time. little shake systems you when at over when get it. this look that’s together the I for converted. conservative. both think bit a we really period We putting going better think at where the out Hopefully, able that’s to we But be that’s is go-forward easiest that

Brody Preston

I know the targets of throughout it. the the base; want thoughts guess Thank whatnot. seasonality you to what there’s you parts do I legacy follow the and for and Got lot for guess deposits year? will any And have us like just look the growth on And seasonality a I that. a for did deposits on deposit when look give I your But all legacy then you at what you custodial – base. programs year? between up moving deposit Could the the from sense. are

John Pinto

Yes.

is that to Those over It those Reggie because But which runoff retail which continue slightly the on start item one keep does runoff is better little then I service the they’re non-interest-bearing. business. mind worked and to we’ve done a government as anticipated. deposits. a – I’ll bit us out turn me – originally we But deposits, side. can just Let it on calls, about talked on that than continues. multiple they But for that in

we’ll March non-interest-bearing that So totals segment as That runoff couple in see quarters. throughout billion $X.X the XX. of that next of

there. really to type run a liquidity as So, off. service we’ll stuff has that of the the a We event see banking – run happened off expected runoff lot we some when

the besides slight that run government handful probably there’s we here. runoff, materiality of deposits, there’s where in see down expect a nothing really from but there’s nothing to that we So that see a really perspective we’ll items some smaller perspective

Thomas Cangemi

as onboard In the well.

John Pinto

Well, even the hoping end of end of quarter. the programs new that coming are programs by year, maybe the new California the we’re from third

I we’re runoff to but mortgage a just think banking which the will as be So, the pieces. looking piece, service at that don’t that material starts the when in, service a as we’re hoping we as kick at was looking

Brody Preston

if Okay. have there. I just input doesn’t one question any more Reggie did

Reggie Davis

on we have in yes thing point slightly I $XXX million base plan down, to – redundant, this to When $XXX in say we change of time, for at want the I flat down, to million slightly thing that we’re talking would say billion and to only the – only essentially would so. and pegged but not that. I be No, I deposits would don’t or be $XX

we again, So successful been deposits. through hold quarter. think even first the can we We’ve kind of

And so differently. no there’s reason think to

Brody Preston

question. one more And Got I it. Thank did you. have then

you geographically appreciate ask like percent of wanted Manhattan, putting I Manhattan, in what kind is Just if of office that’s where XX% that’s on to to neighborhoods? that Midtown happen other slide. in there. the the in you versus know the I

Thomas Cangemi

on We’ll that. back follow

I think the messaging know we our well. very customers is that

coverage lot more the with up that and debt with service had that the granular comfortable get been the very a is of from there. our generated can LTV, driven But we and of clearly, and long-standing growth customers has XXXX off relationships We’re we lot transactional of follow ratio, a exchanges. business

been gain family CRE, versus market depending significant a a value around they so asset move and you have on many of So decades business if multifamily created, conditions. kind in that’s is with

class; doing building That’s on asset circumstances. rare in business office of financed not in the our been of very we’re focus history the type this of

many, many is the a holistic again, of this space. of So of relationship no have the we strong no tied charge-offs delinquencies; NYCB. that years we culmination have within And the position legacy relationship to the lending in out

is CRE look like, you decades, think content I I multifamily our If lower back think John, overall or... probably points than historically, and basis from XX in was going it loss

John Pinto

than Slightly lower multifamily.

Thomas Cangemi

in really confident in foot on now, right there square with in our is it. we’re customers issues we’re pay, rent very no performance, just no rolls. feel Again, seeing changes and But some the late we working event delinquencies, strong

– then we to now, what the We we’re However, driven to more the towards they more we strong towards more low stay well. think We can up relationships probably on. C lending right B LTVs back the the see I are us don’t we are John B from can with street type. have but in know type plus-ish, And And as B customer towards granularity. and don’t and the are follow A very front very situations. If I’d get it’s – more the very it far it’s think of period. say I but as you away and

Brody Preston

very you much everyone. Awesome. Thank Appreciated.

Operator

Thank you.

Von from Bank. question comes line next the Deutsche Bernard ahead. of go from Please Gizycki Your

now line Your live. is

Bernard Von Gizycki

Hi, good morning.

know growth for including I presented outlined. purchase [ph] puts the XX% given will thinking deal, and Signature has efficiency run that of there’s considered I’m opportunities to assumption the outlined, Flagstar uncertainty XX% when conservative obviously, be deal? a but of liquidity the like you’ve steady the lot lot here? and the ratio. just market, initial from the you targets the takes provided So, a in more a and XXXX, like targets you’ve agreement bigger these rate? these are the the of wondering What Would you XX ROA, benefits Or be bit a hit Signature [indiscernible] like

Thomas Cangemi

focusing that good culture a down, doing been and on With business. being on with culturally guidance. very high integration it’s a pleased pass forward-looking plans putting job guidance. on of forward-looking more to it target. to questions on on it’s the getting forward-looking don’t experience So, I’m from again been together. on great short-dated lot a team and John team. has very it volatile up very take guidance. because It’s transaction We the Senior And financial importantly, Flagstar and I’ll the a are But right. business the gave a We the our level, some going have mortgage is said,

right of step very proactive first profitability environments. Where that. out that were very talk place in comes I to about it versus liability asset different right sensitivity when we to ever So, remember in stand seat size we we was it sensitivity. the to when can’t right our rate asset ensure the comes institution being all liquidity, a And continue can to where in interest today, post that we sensitivity. the our closing is

be I optionality So sitting on previously business that going excess think we’re pretty tremendous But to good liquidity. it’s a about to I having by where indicated and deploy the that place a decisions, attractive on transaction now was, to margin pretty making based XXX. close making X% standalone cash and on spread Signature think, and those right the our we’re when is I

of at So you look the of space verticals. we round the the as we’ve out a banking as deployed have lot commercial cash,

build these the the really the round on have those commercial to it's the We just closed. into clearly deposits of a just out there teams Signature verticals, were I keeping Flagstar opportunity some bank was team focused opportunity accounts when that about the culture. to on builds, going here were new focused in system, out and bringing not culture the I mean, moved great And run the and focusing be integrating back. out. don't front They underestimate us in

money our creative to that's secret our really back get side a be clients, is sauce their with on that service, of lot and be to especially Signature. the of Well, Signature white the glove goal

So that's exciting future. the the in for then growth institution. opportunity take an And this we could

the what and Eric the locations where Eric's years, is to phenomenal team past and XX done country, continue build can of at doing value. for brick-and-mortar growth very well and which he's ramping Looking our start take plus up we

about it's very model, with I the we've exciting XX that banking bank a Signature this by moving an Flagstar when commercial tune accelerated thrift overall a and not feel the anymore. and and returns, a that transaction of strongly traditional model time you transaction So think It's towards is think years. I

good to just be, a opening, [ph]. signs that's place that's and my So

So maybe, you want if John, to.

John Pinto

Yes.

interest when too, totally was in was transaction the Flagstar back all that remember think I the that we different April, that and environment. a announced way rate

that mine. keep just in So

Thomas Cangemi

We're not interest right? at anymore, zero rates

John Pinto

Right. Right.

Thomas Cangemi

with ecosystem, with opportunities ecosystem. in all think alluded warehouse really we business, an are Lee it's a our But think want I as And business. we're with mortgage pleased great the we channel, our uncharted deposit Smith here the to have there's opportunity balances. opportunity I of the relationships going TPO with after of compensating on to go parts to, the share the

be here great, going that's go We to measured to team as focus the Flagstar. it's going great a and after have towards some members strategized it, and new

Bernard von-Gizycki

couple what to the specifically, sure being costs kind that that if in guide signature, the elevated still is some out. that's wondering, is alluded regarding your can your provide share like discussions did talks, on expenses are believe. can of I'm quarters. you not and the hammered sure And I think I'm – then resulting I obviously share you you can from things follow-up, I share FDIC, to what have a there? just helpful. a which could just remaining And discussions next of like on with how be – been discussed there then service if of servicing conversation just believe anything agreement. anything transition I of couple is with you I'm those of you that if loans the anything kind guided, wondered there's the not you some And there.

John Pinto

the a still from ongoing. that a just yes, transaction. process is little So month We're over

that So process still is ongoing.

through deposits, working analysis. assets the So what processes, what exactly loans, forma we're whole what that through liabilities pro we're or the going other taking

what So those an of to if we on yes, run depending for receiver, then cost the loans always one And the perspective, for disposed loans see continue is and why short-term and of slightly higher the there's earlier. is continue the be that to something the by servicing wants. buyer once in loans. loans the there's to happens potential a and reasons servicing those that reimbursed our we happens to servicing of see than who will for buyer those From opportunity benefit are longer-term service about what a the FDIC be talked the will rate

So yes, that ongoing. process is

of As little you as that while a imagine, of towards yes go we're working kind can finalize takes but through, it speaking. that all we're to we as

Thomas Cangemi

things. to comment on whole real respect would one just estate the I process of Yes. side with that add

in one transaction. space. in-market our an it's – was is This – have multi-CRE the We number competitor

really in real bring they're and consolidation estate to we're advantage we people the together the So New appropriate New to in opportunity setting. great have take in York, York of opportunities

don't that into a signed deeply. diving our in that the conjunction We there's we efficiency. with those think great about time lot excited FDIC, of contract with but have a we're So we to for make the opportunity teams decisions

Bernard von-Gizycki

Thank Great. Okay. you.

Operator

you. Thank

go ahead. Your of comes from the Steven next line J.P. Morgan. Please from question Alexopoulos

live. now is line Your

Thomas Cangemi

Good Steven. morning,

Steven Alexopoulos

Hey. everyone. Good morning

surprised have that. deposits So are I Tom, to lost. the you back strong start, I'd still what hearing do teams, intended from they've you able their some to fairly retention I I'm are the customers been teams but want right early, Signature draw the imagine know it's of well of the given to now?

Thomas Cangemi

But a it great in So where because general, to we above our well creativity Monday. his the we under most outflow as and different team there for creative. And this industry I to that team have And be So for is money solutions, much back that the Eric's bring the think be right? is the reluctancy happen with as there's bank the right? and after and leadership plan to has clients of into going the a uninsured, And to go opportunity. who incentive an based structured model significant I we've a question. that to they on That's the team what's deposit is to on plan incentive the the would Steven? plans think right, to way important is strong success have knew what's on a the be it's signature went with excited; think expectation going gathering. the model, comp I be well be legacy there recognized

it's we're week. who right? on days, what this Monday a of not And early it's yet – happens to because quote knows going win So

here the that don't point phenomenal April on which compared is is the which hasn't question But to highly happened month customers to is our operating convince great. So the think accounts the a and to the I March. DDA. regulated, we're go to that's got and in was confidence and safe I'll transaction, early of But testament out marketplace the and up stable, of cognizant And that accounts, you an for perspective, my back closing in and actually to that in It's that's of That's ultimately, have to go convince strong job banking system and a overall system to the It to and businesses. it in count situation out just the that a this still that respect push was moved. operating tied that the rock. the handhold there's the with no back it's be is a is reiterate that idiosyncratic payroll very is statistic, there to get we that, customers doing. slightly woods what the volatility. DDA the

of team regional handhold our we're important. ongoing, that look, it's proud our very many my were talking that during because customers, And crisis, it's depth of really to And been of and bank a we clients. even the in

the to banking, and and doc long when in great really Now, culture, it about them to of clients way it's depths Flagstar talk on institution. all in of it's job we the magnitude, approval a stamp and of situation comfortable now sure our on first make that NYCB client want it's I service. get I have putting the Signature, think and culture, you a safety folks a tremendous and a of And of we in doing service this all opportunity did a put standards reiterate our with stand-alone now again, of front you transaction about we're goes culture basis. about to a

Steven Alexopoulos

Got it.

up that, on follow Tom. Let me

the XX quarters. two in And quickly, capabilities they stamp that of the – in about. anything you accelerated a not would have said if your you they prior it's from by talked these So of approval regulators few question risk learn of also the deals. the outgrew to company just or the and probably management. particularly that doubled management is SVB, size the company we fine their given with you grew also risk transformation But you sure you that I'm you response years just so [ph] basically

do invest the systems, much people, management in it, So now cost that? that have the How cetera? you how risk about think talk we about et And to infrastructure today. of you have should

Thomas Cangemi

when Steve, holding So as CFO framework at for average, back right? this I uniquely I to and to in the say was our went position SIFI, recall different crossing [indiscernible] expected so was five would I was to journey understand so CCAR than you, what built that an time really a to not regulatory at we the goes line legacy about a over the We on we years [indiscernible], of lot some position time others, and And rules have we which changed be or bank a and journey our us be started but going That that been true CCAR over time. bank. oversight announcements were that could obviously, gave billion. a ready at to have a in goes XXXX that the it's be when back we've to constant back a reinvestment to $XXX those XXXX held to and

where So we're really excited about we are.

new from a of of the and to and proud great we're as I'm regulated been to the ready a make call have sound easier, to my is to safe and organization, always it's given to come tremendous going what going that we're and do to for from three risk a we've something we I and to organizations There's time, – what's one job. a of but a new what's but outside focus, have to get So team, prepared update. be the together highly all always they on who evolving, as and to don't to lot well do because required knows we be especially is sure and we team us. manage management but people going standard. quite as add for it number right? This us do risk think have prepared crisis some this going out institution, There's confidence for we're this many highest be we'll is internally on regulatory landscape we're going nothing working of

want add comments to on little if John, risk? you a more bit

John Pinto

built think Signature Flagstar frameworks extremely will I stress testing models look us mentioned, time in and we some of just And to Yes. frame here stress we integrate add serve as that from testing both liquidity well what perspective. you at stress the onto a and Tom that those capital testing when

Our at that teams the now. million the of $XXX built those threshold expectation we're with

it So material be – some that the don't will there's already in we add given we be think backbone place. always have incremental structure but will there and always a the add,

Thomas Cangemi

geared And get we operating ready that ready. the Flagstar were is This there the be time, leverage at we we and that were going right? far assume and that. operating is we I something think to early as in to at But you're days, very looking up, back just leverage we and at general, moving But evolve substantial continue to margin the now, $XXX same didn't as making operationally transaction from million investments in direction. we're getting we

company of aspect So obviously, it's is most forward the this risk. important going handling

milestone bank. commercial when bank more mentality the a our That's it's the XX new products, of from a I take to a the clearly say vision thrift and really Given we're thrift nature the traditional the transition. white great a years, but of excited to platform. the the and transformation from the And that dealing service, in these and country members that's commercial touch, with operations team come having banking banking glove experience high bring it to tremendous over all with commercial

going So Flagstar. what different are who and we having the as forward new having changed I think completely the that's products. verticals, this different acceleration dynamic We've of

Steven Alexopoulos

Got for John. helpful. one it. one, just And That's maybe final

those what which you which balance even then the two, of for to for One, backdrop new you what's is is this year. the rate better said second for which up in are you the through year. the like sheet this rates Like balance goes mix, half sheet? and expansion So expect Fed given margin and rest rate backdrops Fed start assumptions or margin assuming; the more the rest important, if of for cutting your the Thanks. hold better of

John Pinto

Yes.

liability-sensitive So to a sensitive of period pretty Flagstar slightly on transaction, laying in time, and got sensitive stand-alone we're on moderately significantly very we've gone layering the NYCB from which moderately us where short asset-sensitive. Signature, now to to liability a in

we have the of have awful right that sheet the an on balance now it balance that has given asset-sensitive lot sheet. So cash flexibility we in an

sensitivity So Fed of from it's of benefit move answer – a asset to But there's short flexibility, ways question, easy now. term. we right yes, around a in to a that the your lot rates lot kind of would

there next mentioned. when – modeling so of items look the at, we or I increased, the And couple to get quarter has with when we’re to that a

end. pretty expecting end the week are hike flat here then – next We one and There in might the the forecast one to of rate Bloomberg year. be more and the at

I there’s of look has year. of cut we’ve the forecasted that that especially the non-interest-bearing But and what’s pick in little end to to bit think going quarter, that’s drivers That’s margin. deposits. the the just as when as the far main those percentage seen is coming in up mentioned, which one the at the at second what a we stability one you due, Tom so well help

Thomas Cangemi

Yes.

versatile. these So unique that very have very Stephen, we’re a a in is fact that for balance the big that sheet we given is picture us position

cash optionality picked yield as liabilities the tremendous that let’s it’s say We around have given previously X%. we and in up of indicated at X% we And sitting temporarily, cash. the I

the it’s above X%, still So our spread margin. on that’s about

to going So smooth rebalance be as driving shift, the what a our have on cash to a policy to that position is transition to – if seller depending have we make we Fed. of we

interesting So expect we’re spot very sheet. we and the a balance in

Steven Alexopoulos

Got it. my questions. Thanks for taking

Thomas Cangemi

welcome. You’re

Operator

Thank you.

the Please from from Breese Matthew comes question next Stephens. line go ahead. of Your

now live. is line Your

Matthew Breese

morning. Good

Thomas Cangemi

Good morning, Matt.

Matthew Breese

to what I expect more deposits From expectations over run and to much expected if just do here, over, wanted the than X% you frame? how XX%. versus Signature down go time for back less any,

John Pinto

straight changed just haven’t well, when Just perspective, to modeling we at looking original forecasting our modeling a from the XX%. we’re

runoff. hopefully, that runoff. that forecast really see right initial a haven’t But our We’re of continues from we once modeling some stabilize. potentially changed now, we anywhere cautiously And XX% to a perspective, see near won’t this could optimistic and growth

Matthew Breese

for what expectations then accretable And accretable is income? with quarter, the yields looking the the what was Okay. And then end the Signature, of year? for penalty forward prepayment yield through

John Pinto

prepayment income $X.X the So million. for think, penalty was, I year

on prepayment the So a really, small side. number really

yield now $XXX with best a at. looking picking year. perspective, about accretable up our looking what we’re at we’re million the Signature, estimate is That’s On

booked, $XXX we range. going average about we process year be to five of go we or all it’s mark that are accounting If our four course, you finalizing through look million maturity items, think at it’s that around of but still, – the that a we as purchase

Matthew Breese

just it quarter quarter the quarter? for was it was accretion. added for me a because the that’s What with a And Flagstar. idea. partial And Signature, maybe Give full some

John Pinto

Yes, was very really. very, Signature. for amount small Yes it a

the have in I front $X the number range. $X accretion get of the I in you to million million Flagstar think that $X I’ll was range, number. don’t me. million

Matthew Breese

Okay. some roll-off Could much than is little yields the sense it for has been you on today I’m versus us business more understanding today diversified comment what the bit and but new roll-on a and historically, give loan dynamics are?

Thomas Cangemi

are treasury minimum our of given commercial us, conditions basis off the market Matt, for multifamily, and XXX year of So points having a estate coupon. it’s five with spread interesting the real what’s spreads X.X% in

having opportunities a think transaction float, before. opportunity never rate about instrument, fixed seeing So, fixed which over for much rate at general. choice the interesting introduced to structuring past is the synthetic a done in think which we you’re historically get we’ve floating But not customers to I is the for very being as our to opportunity year, put and we’ve all done product a

repricing, they X.X%, figure about contributor So very with make decisions which on asset go off and about to do having a of a they’re sensitive tied rates going think that about as and put sheet but just were out year now about in sheet, the that’s of $X been what we’ll XXX, plus we to X.X% to yielding if SOFR now our billion more next multifamily being said, is balance rates. I came it’s from financing floating versatile lower so upon positive future, maybe to balance tied businesses that to

floating also protection on Many structure to which capital and a putting and swap rate has where same on markets And business, sell that are we contemplating time, us. benefit the fee to a and our customers then structure at sizable with a able we’re income. introducing the doing transaction on generate be now

model So that’s forward. part our of going

of floating that’s other haven’t we’re products we that – what don’t modeled in, we but rates. all Now And seeing business. most in the are the

spreads. that’s So significant

benefit going of to within the asset that’s be So ongoing classes. versatility the

is see a does service financing kind a than be take and when don’t was advantage And of different just place, is when think X.XX% offering. [ph] it the could level, see they But as There’s ratios, has actual market think as a it of credit. and I the waiting no five are to what a customers that handle change to it ago, offering. long in are coverage comes year because an tightened an question will between cost right? many I you the think transaction treasury that of just the lot it comes when the to of banks to transaction credit most very around multifamily that the series which year of I to I do spread, think X.XX% as And tightening bank

Matthew Breese

top-line, its had Red brings eyes next Actually, is office Board. on on my Guidelines given Rent-regulated the the multifamily Right. question to days. that challenges are just CRE these all

with had to rates? just those XXXX extend like amortization or lower you’ve debt service have reacted keep do reset of going you to how have higher As coming vintages, rates out keep them to of coverage types today And them seen those loans ratios properties. operating and borrowers anything periods the

Thomas Cangemi

LTVs that of are Given some low differently lender, we’re than traditionally lower, we a competitors. our underwrite very leverage are

punitive. loan SOFR option, activity. refinance conversations is bank an spread period, What XXX home a very had the haven’t rare And in those option when today. are to have is we which that seeing We they’re option in they’re seeing plus as choosing circumstances, of versus you’re

to a of in we’re So, pricing getting benefit the current X.X coupon back marketplace. the X.XX

back customers we’re lot are them on delinquencies, are option to a cheaper elevated, consistency probably year, come seeing but year, no about still bank. it last if are rates this lower. was XXX% late no Now they’ll for next pays. – take rates And the and but thinking

making, it, maybe right the that It’s been but bank portfolio, would of $X take have period be, back consistent the And our I’m number, But it’s for interesting a on probably future $X option, going XX% which now, the that has But margin. they the been what’s pickup is not come I slow. side in John to same billion, or sure has our refinance very those billion on basis. the when they’re say, Again, nice due growth on the necessary. relatively I decision flat. about it’s coming have a about it’s actually roll credits on guess, a multifamily option. we’re seeing So customers exact very, to feel to to very monthly

Matthew Breese

Understood. it. my leave I for Thanks appreciate there. taking I’ll it questions.

Operator

Thank you.

question Stanley. Please Your of from the ahead. Morgan line from next comes Gosalia Manan go

line Your live. is now

Thomas Cangemi

morning. Good

Manan Gosalia

Hi, good morning.

Just me. of of points clarification from a couple

are second intend quarter doing will continue you you to noted to You pay the the to of you quarter? use excess accelerate what majority cash the a itself? the Does pace second Or borrowings. that down in beyond of do

John Pinto

to just the got at in piece we’re that of our little borrowings the So, but in as due. second due conditions borrowings continue down we’re going they’re third right now, due coming fourth well. coming have most coming We to a in, the market to the look and as pay we quarter. We expect

course, throughout is borrowings and down items, So loan liquidity pay depending, the plan on to other year, growth. the our position of

One our being of the balance like and item we’ll just down market cash a hold that. asset just on to mentioned as that is to sheet We’ll more conditions pay current the as as we plan placeholder down borrowings. But yes, broker portfolio to depending due, so is for cost they mind earlier, continue as a deposits where deposits, securities with our and little come to look deposits keep like on well. in wholesale low some security pay we’re a piece bit the on percentage,

Thomas Cangemi

commercial CEO, I a is acceleration XX of is challenge the over the a years, be that financing liabilities, the strategy able as a going successful deposits, we’re to generate wholesale from that acceleration back we’re over XX% and back DDA are but a When this to the banking point on to better lot business. a going of returns as we Just have my of And made as have Bank. very that a super it Commercial to growth to subject our this business thrift liabilities the and And to transition there. for be wholesale such better took to less to time. our dependent where mix proud to run liabilities opinion, clear, traditional total I add of not business of funding is to in

we story well the things the as as of in very to going side accounts this as So continue on hone commercial powerful to and be is towards relationship DDA banking.

Manan Gosalia

is despite asset of the start some cut the that the to say sensitivity you should it cost from fair Fed year, if So gradually from see sort rates of to does cutting deals, benefit next to high funding? NIM still

Thomas Cangemi

it center. NYCB say with liability a the in given whole way, had interesting I’d my that very So, career this position we’re

more it, make little bit that positioning, fixed sheet balance and we’ll then raise done forward one cash we have being the asset take that for our but it a And we’ll But accordingly, makes versatility about long having and excited sensitive, that to fund futures in the we’re you optionality versatility a when locked and you’re adjust and having make if at while, Fed make are if look decision we place. to they hole of in money. decisions rate – assets if on the versus easier So, term. think does

traditional sitting redeploy in lots on to assets. thrift have bank those right commercial now into determinations more We of assets make cash like that as type we are

Manan Gosalia

And just me. it. for the question Got last

the April? what March are moving spot all pieces of have or of as XX in the given Just costs quarter, as you the deposit do

John Pinto

are million Interest-bearing [ph]. Yes. deposits $XXX

Manan Gosalia

Thank Great. you.

Operator

will like now the Cangemi any for Mr. back question. remarks. for you. to Thank our closing That last call I would turn over to

Thomas Cangemi

us you the to this for morning time your join for Thank in NYCB. and again taking interest

Operator

Have day. ask presenters. Thank a that conference gentlemen, your and for participating lovely for thank concludes lines. Ladies We you so and you call you please disconnect this much, your today.

Flagstar Financial (FLG) 28 Apr 232023 Q1 Earnings call transcript