NEW YORK — Shares of Frontier Financial Corp. fell as much as 16% Tuesday after the Washington-based regional bank said it agreed to make changes to its lending policies, administration and management as part of a cease-and-desist order from federal and state regulators.

Under the agreement, which is with the Federal Deposit Insurance Corp. and State of Washington Department of Financial Institutions, Frontier is required to achieve and maintain a higher Tier 1 capital level, strengthen its management and increase directors' oversight over the bank, among other things.

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