Tuesday, August 11, 2009
Commercial lender CIT Group (CIT: 1.22, 0, 0%) warned on Tuesday it may need to file for bankruptcy and again delayed its quarterly report, sending its shares reeling.
The embattled lender said if its pending tender offer for $1 billion in debt is not successfully completed and if alternative financing is not obtained, it may seek relief from creditors through bankruptcy court. The tender offer is due on Aug. 17.
CIT said it delayed filing its report as it reviewed assets it could possibly sell and adjusted valuations. The company said it expects to file its quarterly report on August 17, nearly a month after it was originally scheduled to report results.
Shares of CIT tumbled to $1.24 in pre-market action after closing at $1.48 on Monday. The company’s stock is down 84% from a year ago amid fears the lender won’t be able to pay off its debt.
Matt Egan
Fox Business
Commercial lender CIT Group (CIT: 1.22, 0, 0%) warned on Tuesday it may need to file for bankruptcy and again delayed its quarterly report, sending its shares reeling.
The embattled lender said if its pending tender offer for $1 billion in debt is not successfully completed and if alternative financing is not obtained, it may seek relief from creditors through bankruptcy court. The tender offer is due on Aug. 17.
CIT said it delayed filing its report as it reviewed assets it could possibly sell and adjusted valuations. The company said it expects to file its quarterly report on August 17, nearly a month after it was originally scheduled to report results.
Shares of CIT tumbled to $1.24 in pre-market action after closing at $1.48 on Monday. The company’s stock is down 84% from a year ago amid fears the lender won’t be able to pay off its debt.
Matt Egan
Fox Business
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