CIT Group files for US bankruptcy
Published:Monday | November 2, 2009 | 1:54 PM
US lending agency, CIT Group, has filed for bankruptcy protection, after a debt-exchange offer to bondholders failed.
CIT provides funding for small and medium-sized firms.
Officials say the majority of bondholders have agreed on a reorganisation plan that will reduce CIT\'s debt by 10 billion dollars, while allowing it to continue operating.
Under that plan, which has been approved by bondholders, creditors will end up owning the company.
The group\'s operating subsidiaries, including CIT Bank, were not included in the bankruptcy filing in New York.