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CIT Bank Closes $750 Million Equipment Lease Securitization
Thursday, November 14, 2013 04:00 PM

NEW YORK--(BUSINESS WIRE)--CIT Bank, the U.S. bank subsidiary of CIT Group Inc. (NYSE:CIT), a leading provider of financing and advisory services to small businesses and middle market companies, today announced that it closed a $750 million equipment lease securitization.

CIT sold five classes of fixed rate notes in a private offering backed by a pool of equipment leases from CIT Vendor Finance. The weighted average fixed coupon is 1.02%, which represents a weighted average credit spread of 0.58% over benchmark rates for the five classes of notes. The securitization had a net advance rate of 92.6%. Details of the transaction are as follows:











Size   $275,000,000   $210,000,000   $209,384,000   $27,808,000   $27,808,000
Ratings (S&P/Moody's)   A-1+(sf)/P-1(sf)   AAA(sf)/Aaa(sf)   AAA(sf)/Aaa(sf)   AA(sf)/Aa1(sf)   A(sf)/A1(sf)

Weighted Average Life
to Call

  0.45   1.25   2.27   2.93   2.93

Credit Spread to

  -0.03%   0.35%   0.65%   1.05%   1.40%
Fixed Rate Coupon   0.30%   0.65%   1.13%   1.69%   2.04%

Proceeds from the transaction will be used for general corporate purposes. CIT has now completed 19 term equipment securitizations since 2000, 12 of which were backed exclusively by its U.S. vendor finance collateral. This transaction represents the first equipment securitization issued by CIT Bank.

Credit Suisse, BofA Merrill Lynch and Deutsche Bank Securities served as joint bookrunners on the transaction. Barclays and RBC Capital Markets served as co-managers on the transaction.


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About CIT Vendor Finance

CIT Vendor Finance is a leader in developing customized business solutions for small businesses and middle market companies, providing equipment financing and value-added services. Working with manufacturers, distributors and product resellers across multiple industries, it develops financing programs and financial solutions tailored to the commercial end-user customer’s needs that can enable increased sales.

About CIT

Founded in 1908, CIT (NYSE:CIT) is a financial holding company with more than $35 billion in financing and leasing assets. It provides financing, leasing and advisory services to its clients and their customers across more than 30 industries. CIT maintains leadership positions in middle market lendingfactoringretail financeaerospaceequipmentand rail leasing, and vendor finance. CIT operates CIT Bank (Member FDIC), its primary bank subsidiary, which, through its Internet bank, offers a suite of savings options designed to help customers achieve a range of financial goals.



C. Curtis Ritter, 973-740-5390
Director of Corporate Communications
Matt Klein, 973-597-2020
Vice President, Media Relations
Ken Brause, 212-771-9650
Executive Vice President