Flagstar Bank Updates Executive Management Team
Flagstar Bank announced several leadership updates of the Bank's executive management team. The Board of Directors has approved a one-year extension of Executive Chairman and CEO Joseph M. Otting's employment agreement in his role as CEO through March 6, 2028. This decision reflects the Board's confidence in his leadership, the Bank's return to profitability, and its commitment to ensuring stability and continuity, as the Bank continues to transform into a high-performing regional bank. In addition, Richard Raffetto and Lee Smith will serve as Co-Presidents and Co-CEOs effective immediately. In their expanded roles, Messrs. Raffetto and Smith will assume additional leadership responsibilities across key operational and strategic functions, further enhancing organizational alignment and continuing momentum across the Bank's business lines. As part of these planned changes, Otting will relinquish the title and role of President, while continuing to serve as Executive Chairman and CEO. Messrs. Raffetto and Smith have each held senior leadership positions within the Bank and bring extensive experience to these expanded roles. Raffetto will become the Bank's Chief Banking Officer and will lead all commercial lending and relationship banking verticals, including commercial real estate, as well as consumer banking and private banking. Smith will remain CFO overseeing accounting and finance, treasury, investor relations, corporate real estate and vendor management, and mortgage banking. In addition, he will now have oversight for human resources, information technology, and operations. Both Messrs. Smith and Raffetto will continue to report to the CEO and work closely with the Board of Directors to support the Bank's long-term strategic vision. The Bank also announced the following additional leadership changes, also effective immediately. Bao Nguyen, currently General Counsel and Chief of Staff, will become the Bank's Chief Legal Officer and remain Chief of Staff, reporting to the CEO. The Bank's General Counsel as well as the strategic planning, regulatory affairs, and community investment functions will report to Mr. Nguyen. He will add the new role of COO for Consumer and Retail Banking and in this capacity, he will work with Reggie Davis, who will continue to lead Flagstar's consumer and retail banking business. With the changes in Nguyen's responsibilities, Peter Sullivan will become the Bank's General Counsel and assume day-to-day management of the legal department. In addition, Sydney Menefee will shift from leading Strategic Capital & Financial Management to the role of Chief Audit Executive by the end of June, reporting to the Chair of the Audit Committee and the CEO.
