S&P rates CIT Group preferreds BBB

Standard & Poor's said it affirmed the A-/A-2 counterparty credit rating on CIT Group Inc. and assigned a BBB rating to its $500 million in convertible preferred stock.

The outlook is negative.

The affirmation follows the company's announcement that it raised $1 billion in common equity and $500 million in convertible preferred stock, the agency said.

S&P said that despite the company's ability to tap the capital markets, its financial parameters will remain under pressure until access to traditional funding sources, such as unsecured debt and the securitization markets, becomes economical again.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.