CIT to Acquire Barclays UK and German Vendor Finance Businesses

NEW YORK and LONDON, October 2 /PRNewswire/ --

CIT Group Inc. (NYSE: CIT), a leading global provider of commercial and consumer finance solutions, announced today that it has agreed to acquire the UK and German vendor finance businesses of Barclays Bank PLC. The gross assets of the acquired vendor finance businesses totaled approximately US$2 billion (1.1 billion pounds Sterling) as of June 30, 2006, or 12% of the gross assets of Barclays Asset & Sales Finance.

This acquisition represents a significant step for CIT in its strategic effort to increase its presence in key European markets. In addition, the acquisition will significantly leverage CIT's existing expertise in managing vendor relationships across Europe.

Barclays vendor finance businesses operate within Barclays Asset & Sales Finance, which is the specialist commercial asset finance provider within Barclays UK Business Banking. The businesses to be acquired provide asset finance to customers of industrial equipment and technology manufacturers and suppliers throughout the UK and Germany.

Approximately 60% of the purchased assets of the businesses to be acquired were originated in the UK with the balance in Germany. As part of the acquisition, CIT will also take on the vendor finance sales and administration staff in the UK and Germany. Barclays will retain its controlling interest in Iveco Finance.

"We are very pleased with this transaction as it represents a major growth opportunity within a core business, accelerates our international expansion and solidifies our position as a leading provider of global vendor finance solutions," said Jeffrey M. Peek, CIT Chairman and Chief Executive Officer.

Naguib Kheraj, Group Finance Director, Barclays PLC, said, "This transaction leaves Barclays Asset & Sales Finance well-positioned for its future development. Significant investment will be focused on its core asset and sales finance business, including the ongoing expansion of its successful direct leasing business. The future strategy of the vendor finance businesses is now best pursued within a specialized leading global provider of asset finance solutions."

Thomas B. Hallman, CIT Vice Chairman Specialty Finance, said, "This marks an important step in CIT's European growth by accelerating our position in two of Europe's largest markets. The first priority of our combined team of industry professionals will be the delivery of high levels of service to our UK and German customers and providing the opportunity to expand these relationships through CIT's global reach."

The completion of the sale is conditional upon receiving clearance from the relevant regulatory authorities and other customary closing conditions. The transaction is expected to close at the end of 2006.

JPMorgan acted as exclusive financial advisor to CIT on this transaction.

About CIT Vendor Finance

CIT Vendor Finance is a global leader in financing solutions that drive incremental revenues for manufacturers, distributors, and other intermediaries. It provides customized financing solutions to customers in nearly 40 countries, supporting a wide variety of industries, including health care, industrial equipment, and technology.

About CIT

CIT Group Inc. (NYSE: CIT), a leading commercial and consumer finance company, provides clients with financing and leasing products and advisory services. Founded in 1908, CIT has US$68 billion in managed assets and possesses the financial resources, industry expertise and product knowledge to serve the needs of clients across approximately 30 industries worldwide. CIT, a Fortune 500 company and a member of the S&P 500 Index, holds leading positions in vendor financing, factoring, equipment and transportation financing, Small Business Administration loans, and asset-based lending. With its global headquarters in New York City, CIT has more than 7,000 employees in locations throughout North America, Europe, Latin America, and Asia. www.CIT.com

About Barclays

Barclays PLC is a major global financial services provider engaged in retail and commercial banking, credit cards, investment banking, wealth management and investment management services. It is one of the largest financial services companies in the world by market capitalization. Operating in over 60 countries and employing over 118,000 people, it moves, lends, invests and protects money for over 25 million customers and clients worldwide. With over 300 years of history and expertise in banking, Barclays PLC has six major businesses -- UK Banking, International Retail and Commercial Banking, Barclaycard, Barclays Capital, Barclays Global Investors and Wealth Management. www.barclays.com

CIT Media Relations United States C. Curtis Ritter Director of External Communications & Media Relations +1-212-771-9603 Curt.Ritter@CIT.com London Andrew Walton, Financial Dynamics +44(0)20-7269-7204 Andrew.Walton@fd.com Barclays Bank PLC Media Relations Tracy Goodyer/Robin Tozer +44(0)20-7116-6121/6586

Forward-Looking Statements

This release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. All forward-looking statements (including statements regarding future financial and operating results) involve risks, uncertainties and contingencies, many of which are beyond CIT's control, which may cause actual results, performance, or achievements to differ materially from anticipated results, performance, or achievements. All statements contained in this release that are not clearly historical in nature are forward-looking, and the words "anticipate," "believe," "expect," "estimate," "plan," "target," and similar expressions are generally intended to identify forward-looking statements. Economic, business, funding market, competitive and/or regulatory factors, among others, affecting CIT's businesses are examples of factors that could cause actual results to differ materially from those described in the forward-looking statements. More detailed information about these factors are described in CIT's filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended December 31, 2005. CIT is under no obligation to (and expressly disclaims any such obligation to) update or alter its forward-looking statements, whether as a result of new information, future events or otherwise.

Web site: http://www.cit.com http://www.barclays.com