NOTE 5 — LONG-TERM BORROWINGS

The following table presents outstanding long-term borrowings, net of FSA.


Long-term Borrowings⁽¹⁾ (dollars in millions)	June 30, 2011			December 31, 2010
	CIT Group Inc.	Subsidiaries	Total	Total
Secured borrowings	$ 0	$ 9,858.8	$ 9,858.8	$ 10,965.8
First lien facility	197.9	2,841.3	3,039.2	3,042.6
Series A Notes – 7.00%	7,939.8	0	7,939.8	19,037.9
Series B Notes – 10.25%	0	0	0	765.8
Series C Notes – 7.00%	7,892.0	0	7,892.0	0
Series C Notes - other	2,000.0	0	2,000.0	0
Other debt	84.6	76.7	161.3	167.7
Total debt	$ 18,114.3	$ 12,776.8	$ 30,891.1	$ 33,979.8
(1)The presented rates are contractual and do not reflect the impact of FSA. Rates associated with the Series C – other are discussed further below.

Secured Borrowings

Set forth below are borrowings and pledged assets primarily owned by consolidated variable interest entities. Creditors of these entities received ownership and/or security interests in the assets. These entities are intended to be bankruptcy remote so that such assets are not available to creditors of CIT or any affiliates of CIT. These transactions do not meet accounting requirements for sales treatment and are recorded as secured borrowings. Except as otherwise noted, pledged assets listed below are not included in the collateral available to lenders under the First Lien Facility or the Series A or C Notes described below.

Secured Borrowings and Pledged Asset Summary (dollars in millions)


	June 30, 2011		December 31, 2010
	Secured	Assets	Secured	Assets
	Borrowing	Pledged	Borrowing	Pledged
Education trusts and conduits (student loans)	$ 4,006.8	$ 5,318.0	$ 4,184.4	$ 5,558.8
GSI Facility borrowings⁽¹⁾	1,067.8	1,755.1	1,624.6	2,349.5
Trade Finance	382.1	1,550.5	504.9	1,479.6
Corporate Finance (SBL)	271.9	297.2	258.0	283.6
Other equipment secured facilities⁽²⁾	1,952.3	2,501.3	2,235.0	2,704.4
Subtotal – Finance Receivables	7,680.9	11,422.1	8,806.9	12,375.9
Transportation Finance – Aircraft⁽³⁾	1,413.8	1,646.6	1,315.1	1,531.0
Transportation Finance – Rail	146.6	143.1	148.9	146.2
GSI Facility borrowings (Aircraft)	488.2	1,106.8	519.8	1,119.3
Other structures	77.9	100.7	99.8	126.2
Subtotal – Equipment under operating leases	2,126.5	2,997.2	2,083.6	2,922.7
FHLB borrowings (Consumer)⁽⁴⁾	51.4	105.3	75.3	119.8
Total	$ 9,858.8	$ 14,524.6	$ 10,965.8	$ 15,418.4

(1)	At June 30, 2011 borrowings are secured by $1.0 billion of corporate finance receivables, $0.6 billion of student loans and $0.1 billion of small business lending loans, of which $102.6 million were classified as Assets Held for sale at June 30, 2011.
(2)	Includes facilities secured by equipment primarily in Vendor Finance and Corporate Finance and the associated secured debt.
(3)	Secured financing facilities for the purchase of aircraft.
(4)	Collateralized with Government Debentures and Certificates of Deposit.

Variable Interest Entities

The Company utilizes Variable Interest Entities ("VIEs") in the ordinary course of business to support its own and its customers' financing needs.

The most significant types of VIEs that CIT utilizes are 'on balance sheet' secured financings of pools of leases and loans originated by the Company. The Company originates pools of assets and sells these to special purpose entities which, in turn, issue debt securities backed by the asset pools or sell individual interests in the assets to investors. CIT retains the servicing rights and participates in certain cash flows. These VIEs are typically organized as trusts or limited liability companies, and are intended to be bankruptcy remote, from a legal standpoint.

The main risks inherent in these secured borrowing structures are: deterioration in the credit performance of the vehicle's underlying asset portfolio, potential timing mismatches between the cash flows of the underlying assets and the repayment obligations of the secured borrowing, and risk associated with the servicing of the underlying assets.

Investors usually have recourse to the assets in the VIEs and typically benefit from other credit enhancements, such as: (1) a reserve or cash collateral account which requires the Company to deposit cash in an account, which will first be used to cover any defaulted obligor payments, (2) over-collateralization in the form of excess assets in the VIE, (3) subordination, whereby the Company retains a subordinate position in the secured borrowing which would absorb losses due to defaulted obligor payments before the senior certificate holders. The VIE may also enter into derivative contracts in order to convert yield or currency of the underlying assets to match the needs of the VIE investors or to limit or change the risk of the VIE.

With respect to events or circumstances that could expose CIT to a loss, as these are accounted for as on balance sheet secured financings, the Company records an allowance for loan losses for the credit risks associated with the underlying leases and loans. As these are secured borrowings, CIT has an obligation to pay the debt in accordance with the terms of the underlying agreements.

Generally, third-party investors in the obligations of the consolidated VIE's have legal recourse only to the assets of the VIEs and do not have recourse to the Company beyond certain specific provisions that are customary for secured financing transactions, such as asset repurchase obligations for breaches of representations and warranties. In addition, the assets are generally restricted only to pay such liabilities.

First Lien Facility

In August 2010, CIT amended its existing first lien credit facility agreements (the "First Lien Facility") and refinanced the remaining principal balance. The First Lien Facility had an outstanding balance of $3 billion at June 30, 2011 that matures in August 2015. This facility carries an interest rate of LIBOR + 4.50% with a 1.75% LIBOR floor. The First Lien Facility is generally secured by a first lien on substantially all U.S. assets that are not otherwise pledged to secure the borrowings of special purpose entities as described above under "Secured Borrowings," 65% of the voting shares and 100% of the non-voting shares of certain foreign subsidiaries and between 44% and 65% of the equity interest or capital stock in certain other non-U.S., non-regulated subsidiaries. The First Lien Facility is subject to a collateral coverage covenant (based on CIT's book value in accordance with GAAP) of 2.5x the outstanding loan balance, tested quarterly and upon certain transfers, dispositions or releases of collateral. The First Lien Facility also contains a number of additional covenants, some of which do not impose restrictions on the Company if CIT continues to maintain a collateral coverage ratio of 2.75x or greater.

In July 2011, CIT redeemed $500 million of the First Lien Facility. The net impact of the acceleration of deferred debt costs and the amortization of the related FSA premium will increase third quarter interest expense by approximately $15 million.

Series A and Series C Notes

In March 2011, the Company issued $2 billion of new Series C Second-Priority Secured Notes, consisting of $1.3 billion of three-year 5.25% fixed rate notes and $700 million of seven-year 6.625% fixed rate notes. The covenants in the new Series C Notes are materially less restrictive than those in the outstanding Series A Notes, and more consistent with covenants in investment grade-rated bonds. The proceeds of the transaction were used, in conjunction with available cash, to redeem the $2.5 billion of Series A Notes in May 2011 discussed below.

The Series A Notes and Series C Notes are generally secured by second-priority security interests in all the assets securing the First Lien Facility. The 2014 Series A Notes Indentures limit the ability of the Company and the Company's restricted subsidiaries to make certain payments or investments, incur indebtedness (including guarantees), issue preferred stock, incur liens, enter into sale and leaseback transactions, pay dividends, sell assets, and enter into transactions with affiliates. The 2015 – 2017 Series A Notes and Series C Notes Indentures limit the Company's ability to create liens, merge or consolidate, or sell, transfer, lease or dispose of all or substantially all of its assets. Under the terms of the Series A Notes, the Company is required to use certain cash collections to repay the First Lien Facility and Series A Notes on an accelerated basis as part of the Cash Sweep; there is no such requirement under the Series C Notes.

The guarantees and collateral for the Series C Notes will be released upon the Series C Notes receiving an investment grade rating from each of Moody's and S&P after giving effect to the release. In addition, the guarantees and/or collateral for the Series C Notes will be automatically released if the same guarantees and/or collateral for the Series A Notes are released at the same time or if the Series A Notes have been paid off in full.

In the event of a Change of Control as defined in the Series A Indentures, holders of the Series A Notes will have the right to require the Company, as applicable, to repurchase all or a portion of the Series A Notes at a purchase price equal to 101% of the principal amount, plus accrued and unpaid interest to the date of such repurchase.

Upon a Change of Control Triggering Event as defined in the Series C Indentures, holders of the Series C Notes will have the right to require the Company, as applicable, to repurchase all or a portion of the Series C Notes at a purchase price equal to 101% of the principal amount, plus accrued and unpaid interest to the date of such repurchase.

On May 2, 2011, the Company redeemed $2.5 billion of 7% Series A Notes at a redemption price of 102% of the aggregate principal amount. This redemption included approximately $1.1 billion principal amount of remaining 2013 Series A Notes and approximately $1.4 billion principal amount of the 2014 Series A Notes. The acceleration of FSA amortization on these Notes increased second quarter interest expense by $113 million, approximately $66 million for the 2013 maturities and $47 million for the 2014 maturities.

During the 2011 first quarter, we redeemed $1.0 billion of the 7% Series A Notes due in 2013 at a redemption price of 102% of the aggregate principal amount redeemed. The acceleration of FSA amortization on the Series A Notes was $25 million and resulted in an increase to interest expense.

In June 2011, we completed an Exchange Offer and Consent Solicitation for outstanding 7% Series A Second-Priority Secured Notes, other than the Series A Notes that mature in 2014. In this transaction, the Company received the requisite consents to adopt proposed amendments to the indenture of Series A notes that mature in 2015, 2016 and 2017.

At the Offer Expiration, tenders with consents or separate consents were received from holders of approximately $10.9 billion in aggregate principal amount of Series A Notes, made up of $8.76 billion (pre-FSA) Series A Notes tendered and accepted for exchange, and $2.17 billion Series A Notes separately consented, including a majority of each maturity of these Series A Notes. The Series C Notes with an aggregate principal amount of $8.76 billion (pre-FSA), which have the same interest rate and interest payment dates but mature one business day later than the Series A Notes for which they were exchanged, were issued in exchange for the Series A Notes tendered and accepted.

Consents were solicited to replace the covenants and events of default in the Series A Notes indenture with the same covenants and events of default as those in the indenture that govern the existing 5.250% Series C Second-Priority Secured Notes due 2014 and 6.625% Series C Second-Priority Secured Notes due 2018, except that the Cash Sweep covenant was retained in the Series A Notes indenture as amended. The covenants in the Series C Notes are materially less restrictive than those in the Series A Notes and are more consistent with covenants of investment-grade rated bonds.

Approximately $27 million of consent fees were paid to Series A Note holders that delivered consents and were capitalized and will be amortized as an adjustment of interest expense over the life of the Series C Notes issued in exchange.

Summarized Financial Information of Subsidiaries

In accordance with the Series A Notes Indenture, the following tables present two mutually exclusive sets of condensed consolidating financial statements, reflecting the following:

·The first set of condensed consolidated financial statements includes entities that are considered guarantors or non-guarantors. Guarantor entities are those that have guaranteed the unregistered debt under the First Lien Facility and Series A Notes (and Series B for 2010 financial information). Non-guarantors are all other entities including those which may have pledged assets but did not guarantee the debt.

·The second set reflects both restricted and unrestricted subsidiaries. Unrestricted subsidiaries include regulated entities such as CIT Bank, joint ventures, special purpose entities and entities deemed immaterial. Restricted entities include all other subsidiaries.


CONDENSED CONSOLIDATING BALANCE SHEETS (dollars in millions)

	CIT Group Inc.	Guarantor Entities	Non Guarantor Entities		Eliminations	Consolidated Total
June 30, 2011	CIT Group Inc.	Guarantor Entities	Pledged Entities	Other Non Guarantor Entities	Eliminations	Consolidated Total
ASSETS:
Net loans	$ 0	$ 4,393.1	$ 2,179.9	$ 15,809.6	$ (521.9)	$21,860.7
Operating lease equipment, net	0	4,694.7	4,554.9	1,708.3	(37.5)	10,920.4
Assets held for sale	7.9	542.0	238.2	1,075.7	(0.3)	1,863.5
Cash and deposits with banks	1,412.6	1,595.0	1,726.7	2,682.7	(61.3)	7,355.7
Investment securities	1,395.1	1,379.8	6.7	383.6	(181.9)	2,983.3
Other assets	32,262.7	19,884.3	4,350.2	3,402.6	(56,873.8)	3,026.0
Total Assets	$35,078.3	$32,488.9	$13,056.6	$25,062.5	($57,676.7)	$48,009.6
LIABILITIES AND EQUITY:
Long-term borrowings, including deposits	$18,114.3	$2,861.8	$1,267.5	$13,346.0	($270.4)	$35,319.2
Credit balances of factoring clients	0	1,283.8	0	2.9	(201.8)	1,084.9
Other liabilities	8,022.5	(998.9)	4,547.4	(7,555.1)	(1,353.3)	2,662.6
Total Liabilities	26,136.8	3,146.7	5,814.9	5,793.8	(1,825.5)	39,066.7
Total Stockholders' Equity	8,941.5	29,342.2	7,241.7	19,268.3	(55,852.2)	8,941.5
Noncontrolling minority interests	0	0	0	0.4	1.0	1.4
Total Equity	8,941.5	29,342.2	7,241.7	19,268.7	(55,851.2)	8,942.9
Total Liabilities and Equity	$35,078.3	$32,488.9	$13,056.6	$25,062.5	($57,676.7)	$48,009.6

*December 31, 2010 ()**
ASSETS:
Net loans	$ 0	$5,249.2	$2,388.5	$16,762.7	($316.1)	$24,084.3
Operating lease equipment, net	0	4,421.8	4,847.9	1,904.6	(37.6)	11,136.7
Assets held for sale	0	340.2	293.5	584.8	0	1,218.5
Cash and deposits with banks	2,725.6	4,404.8	1,176.1	2,936.3	(38.8)	11,204.0
Investment securities	0	100.8	7.3	403.5	(183.1)	328.5
Other assets	31,047.4	18,524.6	4,598.1	2,816.1	(54,000.0)	2,986.2
Total Assets	$33,773.0	$33,041.4	$13,311.4	$25,408.0	($54,575.6)	$50,958.2
LIABILITIES AND EQUITY:
Long-term borrowings, including deposits	$19,322.0	$2,866.2	$2,083.0	$14,497.0	($252.2)	$38,516.0
Credit balances of factoring clients	0	926.1	0	9.2	0	935.3
Other liabilities	5,535.0	850.9	4,451.1	(7,908.3)	(335.5)	2,593.2
Total Liabilities	24,857.0	4,643.2	6,534.1	6,597.9	(587.7)	42,044.5
Total Stockholders' Equity	8,916.0	28,398.2	6,776.9	18,809.8	(53,984.9)	8,916.0
Noncontrolling minority interests	0	0	0.4	0.3	(3.0)	(2.3)
Total Equity	8,916.0	28,398.2	6,777.3	18,810.1	(53,987.9)	8,913.7
Total Liabilities and Equity	$33,773.0	$33,041.4	$13,311.4	$25,408.0	($54,575.6)	$50,958.2

(*) 2010 data has been conformed to the current quarter presentation.


CONSOLIDATING STATEMENTS OF OPERATION (dollars in millions)

		CIT Group Inc.		Guarantor Entities		Non Guarantor Entities		Eliminations		Consolidated Total
						Pledged Entities	Other Non Guarantor Entities
Six Months Ended June 30, 2011
Interest income		$1.8		$469.6		$181.7	$596.8	($4.6)		$1,245.3
Interest expense		(1,054.3)		(143.1)		(116.0)	(199.0)	7.8		(1,504.6)
Net interest revenue		(1,052.5)		326.5		65.7	397.8	3.2		(259.3)
Provision for credit losses		(6.7)		(42.5)		(86.3)	(72.6)	0		(208.1)
Net interest revenue, after credit provision		(1,059.2)		284.0		(20.6)	325.2	3.2		(467.4)
Equity in net income of subsidiaries		1,071.3		609.1		216.5	56.7	(1,953.6)		0
Other Income
Rental income on operating leases		0		289.7		359.2	182.3	0		831.2
Other		(125.5)		336.0		91.8	227.1	(11.3)		518.1
Total other income		(125.5)		625.7		451.0	409.4	(11.3)		1,349.3
Total revenue, net of interest expense and credit provision		(113.4)		1,518.8		646.9	791.3	(1,961.7)		881.9
Other Expenses
Depreciation on operating lease equipment		0		(100.8)		(123.2)	(82.0)	0		(306.0)
Operating expenses		(11.0)		(277.8)		(76.7)	(110.6)	13.9		(462.2)
Total other expenses		(11.0)		(378.6)		(199.9)	(192.6)	13.9		(768.2)
Income (loss) before income taxes		(124.4)		1,140.2		447.0	598.7	(1,947.8)		113.7
Benefit (provision) for income taxes		142.0		(103.7)		(59.5)	(79.0)	7.6		(92.6)
Net income (loss) before attribution of noncontrolling interests		17.6		1,036.5		387.5	519.7	(1,940.2)		21.1
Net income attributable to noncontrolling interests, after tax		0		0		0.4	0.5	(4.4)		(3.5)
Net income (loss)		$17.6		$1,036.5		$387.9	$520.2	($1,944.6)		$17.6
*Six Months Ended June 30, 2010 ()**
Interest income	$1.0		$980.1		$312.8		$859.9		($25.3)		$2,128.5
Interest expense	(885.9)		(290.1)		(216.8)		(259.4)		13.3		(1,638.9)
Net interest revenue	(884.9)		690.0		96.0		600.5		(12.0)		489.6
Provision for credit losses	(11.1)		(280.9)		(51.5)		(136.2)		6.9		(472.8)
Net interest revenue, after credit provision	(896.0)		409.1		44.5		464.3		(5.1)		16.8
Equity in net income of subsidiaries	871.7		519.2		263.9		291.7		(1,946.5)		0
Other Income
Rental income on operating leases	0		277.2		364.6		202.9		(1.0)		843.7
Other	233.5		65.2		190.1		12.7		(12.6)		488.9
Total other income	233.5		342.4		554.7		215.6		(13.6)		1,332.6
Total revenue, net of interest expense and credit provision	209.2		1,270.7		863.1		971.6		(1,965.2)		1,349.4
Other Expenses
Depreciation on operating lease equipment	0		(125.7)		(129.6)		(96.0)		0.5		(350.8)
Operating expenses	17.8		(342.8)		(95.2)		(145.1)		25.8		(539.5)
Total other expenses	17.8		(468.5)		(224.8)		(241.1)		26.3		(890.3)
Income (loss) before income taxes	227.0		802.2		638.3		730.5		(1,938.9)		459.1
Benefit (provision) for income taxes	98.8		1.5		(130.9)		(101.6)		0.6		(131.6)
Net income (loss) before attribution of noncontrolling interests	325.8		803.7		507.4		628.9		(1,938.3)		327.5
Net income attributable to noncontrolling interests, after tax	0		0.4		(0.5)		0.5		(1.7)		(1.3)
Net income (loss)	$325.8		$804.1		$506.9		$629.4		($1,940.0)		$326.2

(*) 2010 data has been conformed to the current quarter presentation.


CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS (dollars in millions)

	CIT Group Inc.	Guarantor Entities	Non Guarantor Entities		Eliminations	Consolidated Total
Six Months Ended June 30, 2011	CIT Group Inc.	Guarantor Entities	Pledged Entities	Other Non Guarantor Entities	Eliminations	Consolidated Total
Cash Flows From Operating Activities:
Net cash flows provided by (used for) operations	($1,086.2)	$424.4	$275.5	$641.9	$ 0	$255.6
Cash Flows From Investing Activities:
Net (increase) decrease in financing and leasing assets and other investing activities	(1,406.4)	(331.8)	420.3	973.7	0	(344.2)
(Increase) decrease in inter-company loans and investments	2,688.1	0	0	0	(2,688.1)	0
Net cash flows provided (used for) by investing activities	1,281.7	(331.8)	420.3	973.7	(2,688.1)	(344.2)
Cash Flows From Financing Activities:
Net increase (decrease) in debt and other financing activities	(1,502.2)	21.9	(701.4)	(1,450.0)	0	(3,631.7)
Inter-company financing	0	(2,914.6)	539.1	(312.6)	2,688.1	0
Net cash flows provided by (used for) financing activities	(1,502.2)	(2,892.7)	(162.3)	(1,762.6)	2,688.1	(3,631.7)
Net (decrease) increase in unrestricted cash and cash equivalents	(1,306.7)	(2,800.1)	533.5	(147.0)	0	(3,720.3)
Unrestricted cash and cash equivalents, beginning of period	2,703.6	2,946.4	1,021.1	1,979.1	0	8,650.2
Unrestricted cash and cash equivalents, end of period	$1,396.9	$146.3	$1,554.6	$1,832.1	$ 0	$4,929.9

*Six Months Ended June 30, 2010()**
Cash Flows From Operating Activities:
Net cash flows provided by (used for) operations	($159.6)	($282.6)	$59.7	$560.6	$ 0	$178.1
Cash Flows From Investing Activities:
Net decrease in financing and leasing assets and other investing activities	459.4	2,879.4	755.4	3,028.6	0	7,122.8
(Increase) in inter-company loans and investments	893.4	0	0	0	(893.4)	0
Net cash flows provided by (used for) investing activities	1,352.8	2,879.4	755.4	3,028.6	(893.4)	7,122.8
Cash Flows From Financing Activities:
Net (decrease) in debt and other financing activities	(227.1)	(3,128.0)	(210.5)	(2,653.1)	0	(6,218.7)
Inter-company financing	0	726.7	(972.9)	(647.2)	893.4	0
Net cash flows provided by (used for) financing activities	(227.1)	(2,401.3)	(1,183.4)	(3,300.3)	893.4	(6,218.7)
Net increase (decrease) in unrestricted cash and cash equivalents	966.1	195.5	(368.3)	288.9	0	1,082.2
Unrestricted cash and cash equivalents, beginning of period	609.3	4,420.6	808.1	2,567.2	0	8,405.2
Unrestricted cash and cash equivalents, end of period	$1,575.4	$4,616.1	$439.8	$2,856.1	$ 0	$9,487.4

(*) 2010 data has been conformed to the current quarter presentation.


CONDENSED CONSOLIDATING BALANCE SHEETS (dollars in millions)

June 30, 2011	CIT Group Inc.	Restricted Entities	Unrestricted Entities	Eliminations	Consolidated Total
ASSETS:
Net loans	$ 0	$ 6,814.1	$ 15,568.5	$ (521.9)	$21,860.7
Operating lease equipment, net	0	9,462.2	1,495.7	(37.5)	10,920.4
Assets held for sale	7.9	921.0	934.9	(0.3)	1,863.5
Cash and deposits with banks	1,412.6	3,829.3	2,175.1	(61.3)	7,355.7
Investment securities	1,395.1	1,386.5	383.6	(181.9)	2,983.3
Other assets	32,262.7	5,956.5	494.6	(35,687.8)	3,026.0
Total Assets	$35,078.3	$28,369.6	$21,052.4	($36,490.7)	$48,009.6
LIABILITIES AND EQUITY:
Long-term borrowings, including deposits	$18,114.3	$4,138.6	$13,336.7	($270.4)	$35,319.2
Credit balances of factoring clients	0	1,283.8	2.9	(201.8)	1,084.9
Other liabilities	8,022.5	(2,823.4)	(1,183.2)	(1,353.3)	2,662.6
Total Liabilities	26,136.8	2,599.0	12,156.4	(1,825.5)	39,066.7
Total Stockholders' Equity	8,941.5	25,770.6	8,895.6	(34,666.2)	8,941.5
Noncontrolling minority interests	0	0	0.4	1.0	1.4
Total Equity	8,941.5	25,770.6	8,896.0	(34,665.2)	8,942.9
Total Liabilities and Equity	$35,078.3	$28,369.6	$21,052.4	($36,490.7)	$48,009.6

*December 31, 2010 ()**
ASSETS:
Net loans	$ 0	$8,041.4	$16,359.0	($316.1)	$24,084.3
Operating lease equipment, net	0	9,605.7	1,568.6	(37.6)	11,136.7
Assets held for sale	0	678.4	540.1	0	1,218.5
Cash and deposits with banks	2,725.6	5,885.6	2,631.6	(38.8)	11,204.0
Investment securities	0	108.1	403.5	(183.1)	328.5
Other assets	31,047.4	9,115.0	328.8	(37,505.0)	2,986.2
Total Assets	$33,773.0	$33,434.2	$21,831.6	($38,080.6)	$50,958.2
LIABILITIES AND EQUITY:
Long-term borrowings, including deposits	$19,322.0	$4,949.2	$14,497.0	($252.2)	$38,516.0
Credit balances of factoring clients	0	926.1	9.2	0	935.3
Other liabilities	5,535.0	(888.6)	(1,717.7)	(335.5)	2,593.2
Total Liabilities	24,857.0	4,986.7	12,788.5	(587.7)	42,044.5
Total Stockholders' Equity	8,916.0	28,447.1	9,042.8	(37,489.9)	8,916.0
Noncontrolling minority interests	0	0.4	0.3	(3.0)	(2.3)
Total Equity	8,916.0	28,447.5	9,043.1	(37,492.9)	8,913.7
Total Liabilities and Equity	$33,773.0	$33,434.2	$21,831.6	($38,080.6)	$50,958.2

(*) 2010 data has been conformed to the current quarter presentation.


	CONSOLIDATING STATEMENTS OF OPERATION (dollars in millions)
			CIT Group Inc.	Restricted Entities	Unrestricted Entities	Eliminations		Consolidated Total
	Six Months Ended June 30, 2011
	Interest income		$1.8	$679.8	$568.3	($4.6)	$1,245.3
	Interest expense		(1,054.3)	(193.2)	(264.9)	7.8	(1,504.6)
	Net interest revenue		(1,052.5)	486.6	303.4	3.2	(259.3)
	Provision for credit losses		(6.7)	(126.8)	(74.6)	0	(208.1)
	Net interest revenue, after credit provision		(1,059.2)	359.8	228.8	3.2	(467.4)
	Equity in net income of subsidiaries		1,071.3	711.0	0	(1,782.3)	0
	Other Income
	Rental income on operating leases		0	689.9	141.3	0	831.2
	Other		(125.5)	528.1	126.8	(11.3)	518.1
	Total other income		(125.5)	1,218.0	268.1	(11.3)	1,349.3
	Total revenue, net of interest expense and credit provision		(113.4)	2,288.8	496.9	(1,790.4)	881.9
	Other Expenses
	Depreciation on operating lease equipment		0	(246.1)	(59.9)	0	(306.0)
	Operating expenses		(11.0)	(382.8)	(82.3)	13.9	(462.2)
	Total other expenses		(11.0)	(628.9)	(142.2)	13.9	(768.2)
	Income (loss) before income taxes		(124.4)	1,659.9	354.7	(1,776.5)	113.7
	Benefit (provision) for income taxes		142.0	(174.2)	(68.0)	7.6	(92.6)
	Net income (loss) before attribution of noncontrolling interests		17.6	1,485.7	286.7	(1,768.9)	21.1
	Net income attributable to noncontrolling interests, after tax		0	0.4	0.5	(4.4)	(3.5)
	Net income (loss)		$17.6	$1,486.1	$287.2	($1,773.3)	$17.6
*Six Months Ended June 30, 2010 ()**
Interest income		$1.0		$1,357.1	$795.7	($25.3)	$2,128.5
Interest expense		(885.9)		(445.7)	(320.6)	13.3	(1,638.9)
Net interest revenue		(884.9)		911.4	475.1	(12.0)	489.6
Provision for credit losses		(11.1)		(358.6)	(110.0)	6.9	(472.8)
Net interest revenue, after credit provision		(896.0)		552.8	365.1	(5.1)	16.8
Equity in net income of subsidiaries		871.7		203.4	(87.2)	(987.9)	0
Other Income
Rental income on operating leases		0		687.0	157.7	(1.0)	843.7
Other		233.5		279.0	(11.0)	(12.6)	488.9
Total other income		233.5		966.0	146.7	(13.6)	1,332.6
Total revenue, net of interest expense and credit provision		209.2		1,722.2	424.6	(1,006.6)	1,349.4
Other Expenses
Depreciation on operating lease equipment		0		(290.1)	(61.2)	0.5	(350.8)
Operating expenses		17.8		(491.3)	(91.8)	25.8	(539.5)
Total other expenses		17.8		(781.4)	(153.0)	26.3	(890.3)
Income (loss) before income taxes		227.0		940.8	271.6	(980.3)	459.1
Benefit (provision) for income taxes		98.8		(134.9)	(96.1)	0.6	(131.6)
Net income (loss) before attribution of noncontrolling interests		325.8		805.9	175.5	(979.7)	327.5
Net income attributable to noncontrolling interests, after tax		0		0	0.4	(1.7)	(1.3)
Net income (loss)		$325.8		$805.9	$175.9	($981.4)	$326.2

(*) 2010 data has been conformed to the current quarter presentation.