Fitch Rates CIT Equipment Collateral 2006-VT2.

CHICAGO -- Fitch has assigned ratings to the CIT Equipment Collateral 2006-VT2 (CITEC 2006-VT2) notes as follows:

--$258,000,000 class A-1 notes 'F1+';

--$144,000,000 class A-2 notes 'AAA';

--$180,000,000 class A-3 notes 'AAA';

--$100,524,000 class A-4 notes 'AAA';

--$16,689,000 class B notes 'AA';

--$20,397,000 class C notes 'A';

--$22,264,116 class D notes 'BBB'.

The underlying pool of contracts backing the CITEC 2006-VT2 notes consists of equipment lease contracts on new and used technology and other small-ticket equipment originated or acquired by the commercial business units of the Specialty Finance segment of CIT Group Inc (CIT). The initial contract principal balance is approximately $741.9 million. The pool contains 51,828 contracts with major equipment types being computers, telecommunications and office equipment.

The CITEC 2006-VT2 ratings are based on the following:

--Historical delinquency and loss performance of the selected portfolios;

--Origination, underwriting and servicing experience and procedures of CIT;

--The role of CIT Financial USA, Inc. as servicer;

--Collateral pool characteristics;

--Available credit enhancement for the class A, B, C and D notes;

--Sound legal and cash flow structure of the transaction.

The class A ratings reflect credit enhancement provided by the subordination of the class B (2.25%), C (2.75%), and D notes (3.00%) and the initial cash collateral account (6.25%). The class B rating reflects credit enhancement provided by the subordination of the class C and D notes, and the cash collateral account. The class C rating reflects credit enhancement provided by the subordination of the class D notes and the cash collateral account. The class D rating reflects credit enhancement provided by the cash collateral account. The ratings address the payment of interest and principal in accordance with the terms of the legal documents.

In determining credit enhancement levels, Fitch took into consideration performance of CIT's past securitizations, as well as its total managed portfolio. Through this analysis, Fitch was able to isolate the historical performance of collateral types relevant to the CITEC 2006-VT2 transaction, while taking into account CIT's low level of annualized losses. Ultimately, credit enhancement levels were sized to withstand multiples of historical losses at each rating level over the life of the transaction.

CIT Group Inc. is a leading diversified finance company engaging in vendor, equipment, commercial, consumer and structured financing, and leasing activities. CIT is rated 'A' by Fitch's Financial Institutions group.

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.