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current news

CIT Group Files For Bankruptcy


(Filed Under Financial and General Interest News). Ailing commercial lender CIT Group Inc. voluntary filed for bankruptcy on November 1st. The 101-year-old provider of financing to small and middle-market businesses announced that the board of directors voted to proceed with the prepackaged plan of reorganization for CIT Group and a subsidiary in an effort to reduce $10 billion, or about 85 percent, of its debt, as well as streamline its capital structure. None of CIT’s operating subsidiaries are included in the chapter 11 filing, and the company reported that it expects all operating entities to continue normal operations throughout the court proceedings.

“The decision to proceed with our plan of reorganization will allow CIT to continue to provide funding to our small business and middle market customers, two sectors that remain vitally important to the U.S. economy,” Jeffrey M. Peek, chairman and chief executive officer of the company, commented.

CIT Group Inc. has more than $60 million in finance and leasing assets.


more Financial and General Interest News >>

Published 11-02-2009 by Amanda Torres Price



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