The Office of Thrift Supervision announced a realignment Monday of its supervisory regions after a decrease in the size and number of institutions in the West region.

Under the plan, the agency's central region, headquartered in Chicago, will expand its oversight to include thrifts in Minnesota, Iowa, Nebraska and the Dakotas.

All of the West region thrifts and many in the Midwest region will combine to form the new Western region, headquartered in Dallas.

Several large thrifts in the West failed recently. The region's supervision was sharply criticized in a Treasury inspector general report on the failure of IndyMac. The OTS suspended Darrel Dochow, the director of the region, in December after the inspector general charged that Dochow allowed IndyMac Bank to backdate an infusion of capital shortly before federal regulators closed the thrift.

The OTS also announced Monday that John Ryan would be retiring from his position as Southeast regional director.

The agency also said it is creating a new executive-level position, assistant deputy director in its Washington office to supervise institutions with more than $10 billion of assets.

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