Fitch Affirms CIT's Ratings; Outlook Revised to Positive.

CHICAGO -- Fitch Ratings has affirmed CIT Group Inc.'s (CIT) Issuer Default Rating of 'A' and has revised the Rating Outlook to Positive from Stable. A complete listing of ratings for CIT and related subsidiaries is provided at the end of this release.

The revision in Rating Outlook to Positive from Stable reflects CIT's well-defined and disciplined business strategy, improved financial performance, and more disciplined capital management.

The company's increasing earnings are a result of recent success in growing managed assets and improvement in non-spread revenue. Fitch expects CIT's operating performance to remain comparatively strong despite some anticipated weakening of the commercial and consumer credit environment. Furthermore, CIT's productivity metrics are expected to improve as operational investments in staffing and technology begin to generate expected returns.

CIT's broad and diverse funding and capital profile and ample contingent liquidity position represent key rating factors. This is supplemented by the company's growing syndication capabilities as well as deposit funding through CIT Bank.

Rating drivers key for an upgrade in rating include the following:

-- Continuation of strong financial performance and positive trends in operating momentum including further improvement in operating efficiencies over the near term.

-- Management's ability to balance growth objectives and maintain asset quality within management's expected parameters in a weakening credit environment.

-- Continue to evaluate the appropriateness of leverage and risk-adjusted capital allocations.

Rating concerns reflect the timing of the company's growth plans relative to the current credit cycle and the responsiveness of CIT's enhanced underwriting and the flexibility of the operating platform to amend current growth targets proactively should overall economic conditions or market conditions within key business segments change or deteriorate.

Fitch has affirmed the following ratings and revised the Rating Outlook to Positive from Stable for the following entities:

CIT Group, Inc.

-- Long-term Issuer Default Rating (IDR) 'A';

-- Senior debt rating 'A';

-- Subordinated debt 'A-';

-- Preferred stock 'A-';

-- Short-term issuer 'F1';

-- Rating Outlook Positive.

Newcourt Credit Group, Inc.

(Guaranteed by CIT Group, Inc.)

-- Senior unsecured 'A';

-- Rating Outlook Positive.

Note: The IDR for Newcourt Credit Group, Inc. has been withdrawn as this entity is not expected to issue new debt going forward.

CIT Group (Australia) Inc.

(Formerly Newcourt Financial (Australia) Ltd.)

(Guaranteed by CIT Group, Inc.)

-- Long-term IDR 'A';

-- Senior unsecured 'A';

-- Short-term 'F1';

-- Rating Outlook Positive.

Fitch has also issued the following ratings:

CIT Funding Group of Canada, Inc.

(Guaranteed by CIT Group, Inc.)

-- Long-term IDR 'A';

-- Senior debt rating 'A';

-- Short-term issuer 'F1';

-- Rating Outlook Positive.

CIT Bank Ltd.

(CIT Group, Inc. does not guarantee the debt of CIT Bank, Ltd.)

-- Long-term IDR 'A';

-- Short-term issuer 'F1';

-- Long-term deposits 'A';

-- Rating Outlook Positive.

CIT is a global commercial and consumer finance company providing financing and leasing capital to a wide variety of industries. CIT offers vendor, equipment, commercial factoring, home lending, student lending and structured financing products, as well as management advisory services. Founded in 1908, CIT operates primarily in North America, with locations in Europe, Latin America, Australia and the Asia Pacific Region.

Fitch's rating definitions and the terms of use of such ratings are available on the agency's public site, www.fitchratings.com. Published ratings, criteria and methodologies are available from this site, at all times. Fitch's code of conduct, confidentiality, conflicts of interest, affiliate firewall, compliance and other relevant policies and procedures are also available from the 'Code of Conduct' section of this site.