CIT still financing aircraft
CIT Group is retaining more than a quarter of its Australian receivables, all of them aviation and aerospace finance.This is around $200 million in receivables based only on the Australian accounts. US accounts suggest the aerospace assets are more like US$400 million.Aviation is a difficult lending niche, as the extended grounding of aircraft in Europe this month illustrates, and these loans were never going to be of interest to an Australian retail bank buyer such as Bank of Queensland.CIT, a business lender forced into bankruptcy late in the financial crisis (which occurred, briefly, in late 2009) stakes out a market niche as a business lender, and is looking for survival options in its home market, America.