ShortFormBlogCIT group Archives

$6
million amount of money John Thain will make in his first year as CEO for the emerging-from-bankruptcy small business creditor CIT Group
$15
billion amount of money Merrill Lynch lost on his watch in the fourth quarter of ’08; is this really the right guy for this particular job? source

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In the best of times you would have seen a situation where other lenders would certainly have been willing to consider getting into this business. In the current environment, given the constraints on credit generally, there’s not enough capacity out there.
Pryor Cashman bankruptcy group law partner Mark Jacobs • Discussing the shape of the market that CIT specializes in. The company, which is well-known for lending to small businesses, already dried up much of its lending due to the credit crunch and the company’s own financial woes. While the CIT says it will continue operating normally as it works its way through Chapter 11, businesses concerned about dealing with a bankrupt company have few other places to turn. In other words, a company that few people have heard of has huge amounts of power over businesses you go to every day. And that company just went bankrupt. Oh CIT. • source

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Posted by Ernie Smith • 0 Comments • Permalink

$71 billion the amount in assets CIT Group had when it filed today; it’s the fifth-largest bankruptcy in U.S. history source

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Most of the help has been in the form of supporting loans, but we’re not looking for loans right now. We’re not looking to heavily invest in equipment. We’re just trying to keep our doors open.
Kelli Glasser, president of Dayton, Oh.-based Exhibit Concepts • On the struggles she’s faced in trying to keep her small business alive during the recession. CIT Group’s near-collapse after the government chose not to bail them out left many small businesses in danger of being unable to leave their doors open. And while large companies get all the headlines, small companies still make up 99.7 of ALL employers in the U.S. • source

08 Feb 2010 10:18