The redemption of these Notes will further reduce our borrowing costs as we continue to focus on growing new business volumes and positioning CIT for long-term profitability
NEW YORK--(BUSINESS WIRE)--CIT Group Inc. (NYSE: CIT), a leading provider of financing to small businesses and middle market companies, today announced that it will redeem an additional $500 million of its 7% Series A Second Lien Notes maturing in 2013. After this redemption, approximately $1.1 billion principal amount of the 2013 Series A Notes will remain outstanding.
Including this redemption, CIT will have eliminated more than $7.5 billion of first lien and second lien debt, including $4.5 billion of First Lien debt, its entire $2.1 billion of Series B Second Lien Notes, and $1.0 billion of 2013 Series A Notes since the beginning of 2010.
“The redemption of these Notes will further reduce our borrowing costs as we continue to focus on growing new business volumes and positioning CIT for long-term profitability,” said John A. Thain, Chairman and Chief Executive Officer.
The Company has provided a redemption notice to the trustee and intends to complete the redemption on March 31, 2011. As provided under the terms of the Series A Notes, the redemption price will be 102% of the aggregate principal amount redeemed and the notes will be redeemed on a pro-rata basis among all of the 2013 Series A Notes.
Additional information on the redemption will be available in a Form 8-K that will be filed with the Securities and Exchange Commission. This, and other filings, can be found on CIT’s Web site, www.cit.com, in the Investor Relations section.
Individuals interested in receiving future updates on CIT via e-mail can register at http://newsalerts.cit.com.
Founded in 1908, CIT (NYSE: CIT) is a bank holding company with more than $35 billion in finance and leasing assets. It provides financing and leasing capital to its more than one million small business and middle market clients and their customers across more than 30 industries. CIT maintains leadership positions in small business and middle market lending, factoring, retail finance, aerospace, equipment and rail leasing, and global vendor finance. www.cit.com