BCB Bancorp in Bayonne, N.J., has suspended its quarterly dividend as its new CEO looks to shore up capital.
The company said ina press release that the suspension applies to common and preferred stock. The board also voted to suspend its 2026 amended and restated dividend reinvestment and stock purchase plan.
“We will be undergoing a fulsome evaluation of the bank’s credit portfolios, which will take some time,” Tom O’Brien, who recently became president and CEO, said in the release.
“We will be focused on capital preservation and eliminating our quarterly dividend will conserve approximately $1.86 million of capital per quarter,” he added. “While this decision is difficult, we believe it is the most prudent course of action to preserve the bank’s “well-capitalized” position with a reasonable cushion and to support long-term shareholder value.”
O’Brien said he expects the bank will continue to support BCB Bancorp’s debt service obligations, given the parent company’s limited cash position.”