The New York Stock Exchange has suspended listing of IndyMac's common stock, citing its "abnormally low" price in the wake of the bank's seizure by federal regulators last week.
IndyMac shares, now trading on the pink sheets under the ticker IDMC.PK, closed down 19 percent to 10 cents on Tuesday.
IndyMac Bancorp Inc. was closed last week by the Office of Thrift Supervision and reopened Monday under control of the Federal Deposit Insurance Corp. The bank failure is the second largest in U.S. history.
On Monday, nervous depositors lined up for hours at IndyMac branches across Southern California, hoping to retrieve their money. In addition, FDIC said it has halted foreclosures of home financed by IndyMac to provide time for bank officials to work with borrowers to modify loan terms.
The stock exchange, which increases its monitoring of companies whose stock drops below $2, has been consulting with the company for several weeks as its share price sank.
"Based on a review of all the circumstances surrounding the company, NYSE Regulation has determined that the company's securities are no longer suitable for listing on the NYSE," the exchange said in a statement.
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