The Office of the Comptroller of the Currency has amended its consent order with Broadway Financial's (BYFC) bank.
The Los Angeles bank entered into a new order with the OCC on Oct. 30, replacing a 2010 order from the Office of Thrift Supervision. The new order requires the bank to improve corporate governance, review its loans, form a compliance committee and prepare a strategic plan, Broadway said Tuesday.
The order also requires the bank to hold Tier 1 capital of 9% and a total risk-weighted asset ratio of 13%. The $346 million-asset bank has exceeded those ratios throughout 2013, and held Tier 1 capital of 9.75% and total risk-weighted capital of 16.08% as of Sept. 30, according to the Federal Deposit Insurance Corp.
The updated order "removes the restrictions on growth that were contained in the superseded order, which removal will assist us in our recently implemented plans to resume prudent growth in a manner consistent with our strategic and capital plans," Broadway Chief Executive Wayne-Kent Bradshaw said in a press release.
The company faced delisting from the Nasdaq earlier this summer, and was given six months to raise its stock price above $1 to comply with the exchange's minimum-bid requirements. Its stock closed trading at $1.05 a share Tuesday.