New York Community Bank (NYCB) has announced the identification of material weaknesses in its internal controls, particularly related to its internal loan review process, leading to a stock plunge of over 30% in after-hours trading. The weaknesses were attributed to ineffective oversight, risk assessment, and monitoring activities. In a significant move, NYCB replaced its CEO amid these challenges. The bank also reported a staggering fourth-quarter loss of $2.7 billion, more than ten times its previously stated amount, and faced a $2.4 billion impairment charge. These developments have not only raised concerns among investors but also affected regional bank stocks, especially those with exposure to New York City real estate.