CIT Quantifies Exposure to Northwest Airlines
September 14 2005 - 7:13PM
PR Newswire (US)
NEW YORK, Sept. 14 /PRNewswire-FirstCall/ -- CIT Group, Inc.
(NYSE:CIT), a leading provider of commercial and consumer finance
solutions, disclosed its current financing relationship with
Northwest Airlines, Inc. Today, Northwest announced that the
Company and certain of its subsidiaries had filed voluntary
petitions for reorganization under Chapter 11 of the U.S.
Bankruptcy Code. Under existing lease agreements, Northwest has
operating leases on three CIT-owned aircraft. In addition, CIT has
debt exposure against four aircraft operated by Champion Air, a
former affiliate of Northwest, which transactions are guaranteed by
Northwest's corporate parent. CIT's total exposure is approximately
$57 million. Management believes, based on its current assessment
of lease equipment carrying values, Northwest credit exposure, and
corresponding reserves that the Northwest filing will not have a
material adverse impact on our financial results. About CIT: CIT
Group Inc. (NYSE:CIT), a leading commercial and consumer finance
company, provides clients with financing and leasing products and
advisory services. Founded in 1908, CIT has nearly $60 billion in
assets under management and possesses the financial resources,
industry expertise and product knowledge to serve the needs of
clients across approximately 30 industries. CIT, a Fortune 500
company and a component of the S&P 500 Index, holds leading
positions in vendor financing, factoring, equipment and
transportation financing, Small Business Administration loans, and
asset-based lending. With its Global Headquarters in New York City
and Corporate Offices in Livingston, New Jersey, CIT has
approximately 6,000 employees in locations throughout North
America, Europe, Latin and South America, and the Pacific Rim. For
more information, visit http://www.cit.com/.
http://www.newscom.com/cgi-bin/prnh/20041004/NYM003LOGODATASOURCE:
CIT Group Inc. CONTACT: Media, Kelley J. Gipson, Executive Vice
President, Director of Marketing and Corporate Communications,
+1-973-422-3235, Investor, Valerie L. Gerard, Executive Vice
President, Investor Relations, +1-973-422-3284, Stephen Klimas,
Vice President, Investor Relations, +1-973-535-3769 Web site:
http://www.cit.com/
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