Cambridge Industrial Trust (CIT) says it achieved a total distributable income attributable to unitholders of $10.8 million in 2Q2010. This translates into a DPU (distribution per unit) of 1.238 cents for the quarter.
Although CIT posted a 0.5% fall in gross revenue to $18.3 million in 2Q2010 from $18.4 million in 2Q2009, net property income (NPI) rose by 0.6% to $16.1 million from $16.0 million.
US small business lender CIT Group has won approval from a New York bankruptcy judge for its prepackaged reorganisation plan, paving the way for it to exit bankruptcy within days. Judge Allan Gropper approved the plan at a court hearing in Manhattan on Tuesday, just weeks after the firm sought
CIT, a lender to thousands of small businesses, files for bankruptcy
THE most gut-wrenching failures may be over, but the financial crisis continues to claim the occasional big victim. CIT, a lender to small and medium-sized businesses, from clothing retailers to Dunkin’ Donuts franchisees, filed for bankruptcy on Sunday November 1st after failing to garner enough support for a debt-restructuring plan. With $71 billion in assets, the century-old firm is only one-ninth the size of Lehman Brothers, which collapsed in September 2008. Nevertheless, its Chapter 11 filing augurs ill for America’s corporate minnows, whose financing options have narrowed dramatically over the past year.
Financial-services firms have a harder time than most bouncing back from bankruptcy, because their business relies so heavily on trust, which has a tendency to evaporate in such situations. CIT has improved its chances by securing the support of the vast majority of its bondholders for a “prepackaged” filing that will reduce its debt by $10 billion while allowing its subsidiaries to go on operating. Among those persuaded to come on board is Carl Icahn, a veteran corporate gadfly who had been trying to derail CIT’s restructuring in the hope of profiting by picking through its entrails; he has even offered a $1 billion back-up loan. The firm’s advisers say it could emerge from bankruptcy by the end of the year. …
We have by now saved nearly every broken misbehaving big bank and one really sick insurance company – Citigroup, Bank of America, Bank of America,…
CIT, the troubled American bank, has approved a $3bn (£1.8bn) rescue loan from major shareholders to keep the company out of bankruptcy, reports say.
The emergency financing is aimed at giving the firm time to restructure some of its debt payments, The New York Times and the Wall Street Journal said.
CIT had been in talks with major banks, including JP Morgan and Goldman Sachs.
The US government has said it will not offer a bail-out to CIT – which lends to small and medium-sized businesses.
Last week, shares in CIT plunged as analysts warned investors should brace themselves for the bank’s collapse – though they later rallied on news of the rescue talks.
Business support
Fitch and Moody’s – the credit ratings agencies – downgraded CIT on Thursday, after it said it was unlikely to receive any more government help.
The US Treasury said that the government needed to "keep the threshold high" for exceptional aid to individual companies.
The failure of CIT would remove a key source of credit for thousands of small and middle-sized US firms, which are already struggling in the recession.
If CIT, founded more than a century ago, went bankrupt it would join Lehman Brothers and Washington Mutual on the list of large financial services companies to collapse since the acceleration of the credit crisis in September last year.
But analysts say that if it did fail, it would be unlikely to have the same impact.</p
This article is from the BBC News website. © British Broadcasting Corporation, The BBC is not responsible for the content of external internet sites.
CIT Group Inc has cut a deal with its key bondholders for $3 billion in financing that will allow the 101-year-old lender to avoid bankruptcy, according to a headline on the Wall Street Journal’s web site.
I don’t know what they are thinking down there in Washington, but the truth is that small businesses will not be able to finance their situations without CIT.
The Administration continues to proclaim that we will create new jobs through small business and entrepreneurship. That’s going to be very hard to do with CIT gone.
Days of talks on a possible last-ditch bail-out between the US government and troubled New York-based lender CIT Group Inc have come to an end.
The company said there was no appreciable likelihood of additional government support in the short term.
Analysts says the development raises the chances that the company will file for bankruptcy.
The failure of CIT would remove a key source of credit for thousands of small and middle-sized US firms.
The US Treasury said in a statement that the government needed to "keep the threshold high" for exceptional aid to individual companies.
Century
CIT, which was founded more than a century ago, says its managers, directors and advisers are evaluating alternatives.
If it goes bankrupt it will join Lehman Brothers Holdings Inc and Washington Mutual Inc among large financial services companies to collapse since the acceleration of the credit crisis in September last year.
Analysts say the position of CIT has deteriorated so far that officials fear that even a short-term Treasury loan might not save it.
Trading in CIT shares was halted on Wednesday afternoon.</p
This article is from the BBC News website. © British Broadcasting Corporation, The BBC is not responsible for the content of external internet sites.
The CIT Group is one of the nation’s biggest lenders to small businesses. But a debate is swirling in Washington over whether it is large enough — or important enough — to save.
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CIT Group Inc. has been the number one Small Business Administration (SBA) 7(a) lender for nine consecutive years. They have also been the top lender…
