Borrowings (Tables)

12 Months Ended

Dec. 31, 2017

The following table presents the principal amounts by maturity date.



Maturity Date	Rate (%)		Date of Issuance	Par Value
February 2019	5.500	%	February 2012	$	383.0
February 2019	3.875	%	February 2014	1,000.0
May 2020	5.375	%	May 2012	435.6
August 2022	5.000	%	August 2012	1,150.0
August 2023	5.000	%	August 2013	750.0
Weighted average rate and total	4.793	%		$	3,718.6

The following table presents the carrying value of outstanding borrowings.

Borrowings (dollars in millions)



	December 31, 2017						December 31, 2016
	CIT Group Inc.		Subsidiaries		Total		Total
Senior Unsecured	$	3,737.5	$	—	$	3,737.5	$	10,599.0
Secured borrowings:
Structured financings	—		1,541.4		1,541.4		1,925.7
FHLB advances	—		3,695.5		3,695.5		2,410.8
Total Borrowings	$	3,737.5	$	5,236.9	$	8,974.4	$	14,935.5

Schedule Of Contractual Maturities

The following table summarizes contractual maturities of borrowings outstanding, which excludes PAA discounts, original issue discounts, and FSA discounts.

Contractual Maturities — Borrowings as of December 31, 2017 (dollars in millions)



	2018		2019		2020		2021		2022		Thereafter		Contractual Maturities
Senior unsecured notes	$	—	$	1,383.0	$	435.6	$	—	$	1,150.0	$	801.4	$	3,770.0
Structured financings	226.3		770.7		70.5		63.4		58.0		360.0		1,548.9
FHLB advances	1,400.0		1,145.5		1,150.0		—		—		—		3,695.5
	$	1,626.3	$	3,299.2	$	1,656.1	$	63.4	$	1,208.0	$	1,161.4	$	9,014.4

Schedule Of FHLB Advances

The following table includes the total carrying value of FHLB Advances and pledged assets⁽¹⁾.

FHLB Advances with Pledged Assets⁽¹⁾ Summary (dollars in millions)



	December 31, 2017				December 31, 2016
	FHLB Advances		Pledged Assets⁽¹⁾		FHLB Advances		Pledged Assets⁽¹⁾
Total	$	3,695.5	$	6,154.1	$	2,410.8	$	6,389.7

Schedule Of Secured Borrowings And Pledged Assets Summary

Set forth in the following table are amounts primarily related to structured financings of and assets owned by consolidated VIEs. Creditors of these VIEs 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 until and unless the related secured borrowings have been fully discharged. These transactions do not meet accounting requirements for sales treatment and are recorded as secured borrowings. Structured financings as of December 31, 2017, had a weighted average rate of 3.75%, which ranged from 0.55% to 5.5%.

Structured Financings and Pledged Assets Summary (dollars in millions)



	December 31, 2017				December 31, 2016
	Secured Borrowing		Pledged Assets		Secured Borrowing		Pledged Assets
Business Capital	$	768.8	$	2,838.6	$	949.8	$	2,608.0
Rail⁽¹⁾⁽²⁾	772.6		1,272.0		860.1		1,327.5
Commercial Finance	—		—		—		0.2
Subtotal — Commercial Banking	1,541.4		4,110.6		1,809.9		3,935.7
Non-Strategic Portfolios	—		—		115.8		212.6
Total	$	1,541.4	$	4,110.6	$	1,925.7	$	4,148.3


⁽¹⁾	At December 31, 2017, the TRS Transactions related borrowings and pledged assets, respectively, of $493.0 million and $818.6 million were included in Rail. The TRS Transactions are described in Note 11 — Derivative Financial Instruments.


⁽²⁾	At December 31, 2017, secured borrowings and pledged assets, respectively, of $250.3 million and $421.9 million were related to the pending sale of our European Rail business, NACCO, and will be transferred to the buyer upon sale of that business.

Assets and Liabilities in Unconsolidated VIEs

The table below presents potential losses that would be incurred under hypothetical circumstances, such that the value of its interests and any associated collateral declines to zero and assuming no recovery or offset from any economic hedges. The Company believes the possibility is remote under this hypothetical scenario; accordingly, this required disclosure is not an indication of expected loss.

Unconsolidated VIEs Carrying Value (dollars in millions)



	December 31, 2017				December 31, 2016
	Securities		Partnership Investment		Securities		Partnership Investment
Agency securities	$	4,950.2	$	—	$	2,152.9	$	—
Non agency securities — Other servicer	318.8		—		769.0		—
Tax credit equity investments	—		198.8		—		167.7
Equity investments	—		38.6		—		11.4
Total Assets	$	5,269.0	$	237.4	$	2,921.9	$	179.1
Commitments to tax credit investments	$	—	$	66.6	$	—	$	62.3
Total Liabilities	$	—	$	66.6	$	—	$	62.3
Maximum loss exposure⁽¹⁾	$	5,269.0	$	237.4	$	2,921.9	$	179.1


⁽¹⁾	Maximum loss exposure to the unconsolidated VIEs excludes the liability for representations and warranties, corporate guarantees and also excludes servicing advances.

- Definition

Tabular disclosure of long-debt instruments or arrangements, including identification, terms, features, collateral requirements and other information necessary to a fair presentation. These are debt arrangements that originally required repayment more than twelve months after issuance or greater than the normal operating cycle of the entity, if longer.

+ References

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+ Details

- Definition

Tabular disclosure of the significant judgments and assumptions made in determining whether a variable interest (as defined) held by the entity requires the variable interest entity (VIE) (as defined) to be consolidated and (or) disclose information about its involvement with the VIE, individually or in aggregate (as applicable); the nature of restrictions, if any, on the consolidated VIE's assets and on the settlement of its liabilities reported by an entity in its statement of financial position, including the carrying amounts of such assets and liabilities; the nature of, and changes in, the risks associated with involvement in the VIE; how involvement with the VIE affects the entity's financial position, financial performance, and cash flows; the lack of recourse if creditors (or beneficial interest holders) of the consolidated VIE have no recourse to the general credit of the primary beneficiary (if applicable); the terms of arrangements, giving consideration to both explicit arrangements and implicit variable interests, if any, that could require the entity to provide financial support to the VIE, including events or circumstances that could expose the entity to a loss; the methodology used by the entity for determining whether or not it is the primary beneficiary of the variable interest entity; the significant factors considered and judgments made in determining that the power to direct the activities of a VIE that most significantly impact the VIE's economic performance are shared (as defined); the carrying amounts and classification of assets and liabilities of the VIE included in the statement of financial position; the entity's maximum exposure to loss, if any, as a result of its involvement with the VIE, including how the maximum exposure is determined and significant sources of the entity's exposure to the VIE; a comparison of the carrying amounts of the assets and liabilities and the entity's maximum exposure to loss; information about any liquidity arrangements, guarantees, and (or) other commitments by third parties that may affect the fair value or risk of the entity's variable interest in the VIE; whether or not the entity has provided financial support or other support (explicitly or implicitly) to the VIE that it was not previously contractually required to provide or whether the entity intends to provide that support, including the type and amount of the support and the primary reasons for providing the support; and supplemental information the entity determines necessary to provide.

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