cit 2003%20q2

For Information: Valerie L. Gerard – Vice President - Investor Relations
(973) 422-3284
or
Yvette K. Rudich – Director - Corporate Communications
(973) 597-2095

CIT ANNOUNCES SECOND QUARTER NET INCOME OF $0.65 EPS ON IMPROVED
MARGINS AND CREDIT QUALITY FROM PRIOR QUARTER

• Second quarter net income increases 8% over prior quarter
• Risk adjusted margin improves
• Credit performance strengthens
• Bank lines fully repaid

NEW YORK, July 24, 2003 – CIT Group Inc. (NYSE: CIT) today reported increased net
income of $136.9 million or diluted earnings per share of $0.65, for the second quarter from
$127.0 million, or diluted earnings per share of $0.60 for the prior quarter. Return on tangible
equity increased to 11.6%.

“CIT delivered solid results this quarter which reflect improvement in several of our key
metrics. Credit quality continues to strengthen, net finance margin and cost of funds improved,
and the balance sheet is strong with solid capital and reserve levels,” said Albert R. Gamper, Jr.
Chairman, President and CEO. “Importantly, we fully repaid our outstanding bank lines during
the quarter.”

“Commercial and Specialty Finance continue to make significant contributions to the
overall results of the organization while all of the operating groups realized improvements within
their businesses. I am very pleased with the progress CIT has made on the game plan which we
established last year,” concluded Gamper.

1

Financial Highlights:

Portfolio and Managed Assets

Total financing and leasing portfolio assets grew to $37.5 billion at June 30, 2003, up
from $37.1 billion at March 31, 2003 and $35.7 billion at June 30, 2002. Growth for the quarter
included a $410 million rail operating lease portfolio acquisition and new commercial aircraft
deliveries in Capital Finance, as well as strong volume in Business Credit (asset based lending),
and was partially offset by the approximate $130 million sale of franchise finance receivables
from our liquidating portfolio in Equipment Finance.

Origination volume, excluding factoring, was up 12% and 19% from last quarter and the
prior year quarter. Business Credit and Capital Finance drove the improvement from last
quarter.

Managed assets increased slightly to $47.9 billion, up from $47.5 billion last quarter, as
securitized receivables remained relatively flat at $10.4 billion. The liquidating portfolios
(owner-operator trucking, franchise, manufactured housing, recreational vehicle and inventory
finance loans) declined to $1.09 billion from $1.28 billion at March 31, 2003 and $1.73 billion at
June 30, 2002. Managed assets were $47.7 billion at June 30, 2002.

Net Finance and Risk Adjusted Margins
Net finance margin, at 3.80% of average earning assets for the current quarter, increased
from 3.63% during the prior quarter. The improvement primarily reflects higher yield-related
fees and lower interest expense due to reduced excess liquidity and improved funding rates.

Risk adjusted margin (net finance margin after provision for credit losses) increased to
$238.6 million or 2.67%, from $210.7 million or 2.44% last quarter, due to the aforementioned
factors and lower charge-offs.

2

Credit Quality
Both owned and managed 60+ day delinquency improved for the third consecutive
quarter. Total 60+ day owned delinquency declined to $926 million (3.26% of finance
receivables) at June 30, 2003, from $971 million (3.39%) at March 31, 2003 and $1.030 billion
(3.69%) at June 30, 2002. The improvement from the prior quarter was principally from
reductions in Equipment Finance, Commercial Finance and Specialty Finance - commercial.
Managed 60+ day delinquencies decreased to $1.278 billion (3.20% of managed financial assets)
at June 30, 2003 from $1.361 billion (3.38%) at March 31, 2003, and $1.520 billion (3.74%) at
June 30, 2002.

The level of non-performing assets also declined for the third consecutive quarter. Non-
performing assets were $941 million (3.31% of finance receivables), down from $1.006 billion
(3.51%) at March 31, 2003 and $1.053 billion (3.77%) at June 30, 2002. The improvement from
last quarter was across most business units, with the most notable declines in Specialty Finance –
commercial and Business Credit.

Total charge-offs during the June quarter were $108.4 million (1.51% of average finance
receivables), compared to $114.3 million (1.61%) during the prior quarter. The tables that
follow detail charge-offs for the current and prior quarters by segment, both in amount and as a
percentage of average finance receivables. In addition to total amounts, charge-offs relating to
the liquidating and telecommunications portfolios are also presented.

Charge-offs: ($ in millions) Quarter Ended June 30, 2003
Before
Total Liquidating/Telecom Liquidating / Telecom
Specialty Finance – commercial …. $ 23.9 1.33% $ 23.9 1.33% $ - -%
Equipment Finance…………...… 38.6 2.51% 26.1 1.82% 12.5 12.00%
Capital Finance …………….……. - - - - - -
Commercial Finance ……………... 21.3 0.96% 18.6 0.84% 2.7 76.80%
Structured Finance ……………….. 8.6 1.18% - - 8.6 5.38%
Total Commercial Segments …... 92.4 1.40% 68.6 1.09% 23.8 8.74%
Specialty Finance – consumer …… 16.0 2.62% 9.9 2.43% 6.1 3.01%
Total …………………………… $ 108.4 1.51% $ 78.5 1.17% $ 29.9 6.28%

3

Quarter Ended March 31, 2003
Charge-offs: ($ millions)
Before
Total Liquidating/Telecom Liquidating / Telecom
Specialty Finance – commercial…. $ 31.0 1.73% $ 30.6 1.71% $ 0.4 8.65%
Equipment Finance……..…….… 38.1 2.39% 29.7 2.02% 8.4 6.48%
Capital Finance……………... 1.8 0.55% 1.8 0.55% - -
Commercial Finance……………... 16.6 0.80% 16.6 0.80% - -
Structured Finance……………….. 13.8 1.90% - - 13.8 8.23%
Total Commercial Segments …... 101.3 1.55% 78.7 1.27% 22.6 7.48%
Specialty Finance – consumer …… 13.0 2.36% 6.6 1.92% 6.4 3.09%
Total …………………………… $ 114.3 1.61% $ 85.3 1.30% $29.0 5.70%

Combined telecommunication and liquidating charge-offs were up from last quarter,
reflecting higher charge-offs in the Equipment Finance franchise finance portfolio, in part offset
by lower write-offs in the telecommunications portfolio. Before liquidating and
telecommunication charge-offs, charge-offs were $78.5 million (1.17% of average finance
receivables) for the current quarter, down from $85.3 million (1.30%) last quarter. The
improvement from last quarter primarily reflects declines in the small ticket commercial
portfolios in Specialty Finance, partially offset by higher charge-offs in that segment’s home
equity portfolio.

Total reserves for credit losses were $754.9 million (2.66% of finance receivables) at
June 30, 2003, compared to $757.0 million (2.64%) at March 31, 2003 and $808.9 million
(2.90%) at June 30, 2002. The reserve reduction during the quarter was primarily the result of
$11.7 million in telecommunication loan net charge-offs that were applied to the specific
telecommunication reserve. At June 30, 2003, the reserve for credit losses, before the
telecommunication ($128.1 million) and Argentine reserves ($135.0 million), was $491.8 million
(1.78% of finance receivables), versus $482.2 million (1.74%) at March 31, 2003 and $473.9
million (1.75%) at June 30, 2002. Additionally, reserves related to loan impairment (as defined
under SFAS 114) included in the above reserve balances totaled approximately $130 million at
June 30, 2003, down from $136 million at March 31, 2003 and $207 million at June 30, 2002.

The total telecommunications portfolio and the portion comprising the competitive local
exchange carrier (“CLEC”) exposure was $647.9 million and $224.3 million at June 30, 2003,
versus $678.7 million and $238.0 million at March 31, 2003. Total telecommunication non-

4

performing accounts were $94.2 million, compared to $85.5 million last quarter, reflecting
primarily increased non-accruals in the wireless portfolio. CLEC non-performing accounts were
$42.6 million, down from comparative March 31, 2003 balances of $59.0 million. Total specific
telecommunication reserves were $128.1 million at June 30, 2003, down from $139.8 million at
March 31, 2003, reflecting current quarter net charge-offs.

Other Revenue
For the quarter, other revenue totaled $217.6 million, down from $235.5 million for the
quarter ended March 31, 2003, reflecting lower other income mainly in the Specialty Finance
segment and an increase of $7.7 million in losses (to $12.1 million) on venture capital
investments. Securitization gains during the current quarter totaled $33.8 million, 14.8% of
pretax income, on volume of $1,653 million, compared to $30.7 million, 14.4% of pretax
income, on volume of $1,237 million during the prior quarter.

Salaries and General Operating Expenses
Salaries and general operating expenses were $ 227.4 million for the quarter, down from
$233.6 million for the March 2003 quarter. The decrease from last quarter was primarily the
result of lower repossession and collection expenses and reduced costs associated with
securitization facilities. Salaries and general operating expenses were 1.99% of average
managed assets during the quarter, versus 2.08% for the prior quarter. The efficiency ratio for the
quarter (salaries and general operating expenses divided by operating margin, excluding
provision for credit losses) was 40.8%, as compared to 42.5% in the prior quarter, reflecting
lower expenses and improved margins in the current quarter.

Headcount, of 5,845 at June 30, 2003, was unchanged from March 31, 2003 and down
from 5,935 at June 30, 2002.

Results by Business Segment
Total return on average earning assets was 1.53% for the quarter ended June 30, 2003
versus 1.47% for the prior quarter, reflecting improved performances in the Specialty Finance
and Structured Finance segments, as well as the continuation of strong returns in the Commercial

5

Finance segment. Equipment Finance and Capital Finance returns were comparable to the prior
quarter, reflecting dampened profitability in the construction, industrial and aerospace sectors.
The details of net income and returns by segment are displayed on pages 11 and 15 of the
financial tables.

The following tables provide individual segment data for the current quarter compared to
the first quarter of 2003. ($ in millions)

Specialty Finance
At or for the Quarter Ended
June 30, 2003 March 31, 2003
Operating margin $204.4 $190.5
Income before provision for income tax $103.2 $85.6
New business volume $2,937.3 $3,073.0

Specialty Finance operating margin included higher securitization gains and lower
charge-offs in the small ticket commercial businesses, in part offset by higher charge-offs in the
home equity portfolio. New business volume, while down slightly from the prior quarter, was
strong in relation to the prior year for virtually all business lines and included strong home equity
volume.

Equipment Finance
June 30, 2003 March 31, 2003
New business volume $857.5 $828.9

Equipment Finance operating margin reflected improved interest margin, which was
offset by reduced securitization gains and a modest loss on the sale of certain franchise finance
portfolio loans. New business volume increased primarily in Canada.

6

Capital Finance
June 30, 2003 March 31, 2003

The Capital Finance operating margin and pre-tax income reflected reduced aerospace
charge-offs and a modest contribution from the rail portfolio acquired during the second quarter.
New business volume was higher reflecting new aircraft deliveries. Of the remaining deliveries
for 2003, 6 of the 8 planes have been placed. At June 30, 2003, two commercial aircraft were off
lease, down from seven at March 31, 2003.

Commercial Finance
June 30, 2003 March 31, 2003
New business volume (including factoring) $848.6 $328.2

Commercial Finance operating margin and pre-tax income improved, driven by asset
based lending activities. New business volume was also up due primarily to strong asset based
lending volume.

Structured Finance
June 30, 2003 March 31, 2003

The Structured Finance performance reflected both higher fees and a modest increase in
interest margin. New business volume increased most notably in the media portfolio.

7

Corporate and Other
June 30, 2003 March 31, 2003
Loss before tax benefit $(17.3) $(11.9)

Corporate and Other amounts reflect certain interest and other operating expenses not
allocated to business segments. The reduced operating margin reflected additional interest
expense retained by corporate, while the higher pre-tax loss was also the result of increased
losses on venture capital investments.

Funding and Liquidity
During the quarter we repaid the remaining $1.3 billion of bank line borrowings
outstanding at March 31, 2003, resulting in no drawn bank lines at June 30, 2003. Commercial
paper was $4.6 billion, up slightly from $4.5 billion at March 31, 2003. At June 30, 2003, $6.3
billion of committed bank lines were available.

Term-debt issued during the quarter totaled $1.8 billion, and consisted of a $0.5 billion
five-year, fixed-rate global issue, $1.0 billion in variable-rate medium-term notes and $0.3
billion in fixed-rate retail issues. Securitization volume was $1.7 billion compared to $1.2
billion in the prior quarter.

Cash and cash equivalents were $1.4 billion at June 30, 2003, compared to $2.0 billion at
March 31, 2003, as excess liquidity was reduced this quarter. However, the level of cash
liquidity remains in excess of historical amounts.

Capitalization and Leverage
The ratio of tangible equity to managed assets strengthened further to 10.53% as of June
30, 2003, compared to 10.42% as of March 31, 2003 and 9.25% at the end of the prior year
quarter. The return on tangible equity was 11.6%, compared to 11.0% for the prior quarter.

8

Conference Call and Webcast:
We will discuss this quarter’s results, as well as on-going strategy, on a conference call
today at 11:00 am (EDT). The interested parties may access the conference call live today by
dialing 877-558-5219 for U.S. and Canadian callers or 706-634-5438 for international callers,
and reference “CIT earnings call,” or at the following website: http://ir.cit.com. An audio replay
of the call will be available beginning no later than three hours after the conclusion of the call
through 12:00 am (EDT) July 31, 2003, by dialing 800-642-1687 for U.S. and Canadian callers
or 706-645-9291 for international callers with the pass-code 1511172, or at the following
website: http://ir.cit.com.

9

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,” 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 Transitional Report on Form 10-K
for the period from October 1, 2002 to December 31, 2002. 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.

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 nearly $50 billion in assets under management and applies its financial resources,
industry expertise and product knowledge to serve the needs of clients across approximately 30
industries. CIT, a Fortune 500 company, holds leading positions in vendor financing, U.S.
factoring, equipment and transportation financing, Small Business Administration loans, and
asset-based and credit-secured lending. CIT, with its principal offices in New York City and
Livingston, New Jersey, has approximately 6,000 employees in locations throughout North
America, Europe, Latin and South America, and the Pacific Rim. For more information, visit
www.cit.com.
###

10

CIT GROUP INC. AND SUBSIDIARIES
UNAUDITED CONSOLIDATED INCOME STATEMENTS
For the Three and Six Month Periods Ended June 30, 2003 and June 30, 2002
(dollars in millions, except per share data)

Three Months Ended Six Months Ended
June 30, March 31, June 30, June 30, June 30,
2003 (1) 2003 2002 (1) 2003 (1) 2002 (1)
CIT TCH Consolidated CIT TCH Consolidated

Finance income $ 943.2 $ 939.2 $ 1,021.9 $ - $ 1,021.9 $ 1,882.4 $ 2,128.6 $ - $ 2,128.6
Interest expense 331.1 346.7 370.2 - 370.2 677.8 718.5 - 718.5
Net finance income 612.1 592.5 651.7 - 651.7 1,204.6 1,410.1 - 1,410.1
Depreciation on operating lease equipment 272.9 278.8 295.7 - 295.7 551.7 605.9 - 605.9
Net finance margin 339.2 313.7 356.0 - 356.0 652.9 804.2 - 804.2
Provision for credit losses 100.6 103.0 357.7 - 357.7 203.6 552.7 - 552.7
Net finance margin after provision for credit losses 238.6 210.7 (1.7) - (1.7) 449.3 251.5 - 251.5
Other revenue(2) 217.6 235.5 246.1 - 246.1 453.1 478.2 - 478.2
Operating margin 456.2 446.2 244.4 - 244.4 902.4 729.7 - 729.7
Salaries and general operating expenses 227.4 233.6 230.4 7.5 237.9 461.0 457.3 14.8 472.1
Goodwill impairment - - 1,999.0 - 1,999.0 - 6,511.7 - 6,511.7
Interest expense - TCH - - - 281.3 281.3 - - 586.3 586.3
Operating expenses 227.4 233.6 2,229.4 288.8 2,518.2 461.0 6,969.0 601.1 7,570.1
Income (loss) before provision for income taxes 228.8 212.6 (1,985.0) (288.8) (2,273.8) 441.4 (6,239.3) (601.1) (6,840.4)
Provision for income taxes (89.2) (82.9) (5.8) (115.5) (121.3) (172.1) (104.2) (67.5) (171.7)
Minority interest in subsidiary trust holding
solely debentures of the Company, after tax (2.7) (2.7) (2.7) - (2.7) (5.4) (5.4) - (5.4)

Net income (loss) (3) $ 136.9 $ 127.0 $ (1,993.5) $ (404.3) $ (2,397.8) $ 263.9 $ (6,348.9) $ (668.6) $ (7,017.5)

Earnings per share
Basic earnings per share $ 0.65 $ 0.60 $ 1.25
Diluted earnings per share $ 0.65 $ 0.60 $ 1.24
Number of shares -basic (thousands) 211,588 211,573 211,581
Number of shares -diluted (thousands) 212,066 211,899 211,975

(1)TCH was a wholly-owned subsidiary of a Tyco affiliate domiciled in Bermuda and was the holding company for the acquisition of CIT by Tyco. Prior to the completion of the IPO of CIT on July 8, 2002, the
cumulative activity of TCH (net deficit) was offset via a capital contribution from Tyco. The consolidated financial statements of CIT were not impacted by TCH subsequent to June 30, 2002.
Three Months Ended Six Months Ended
(2)Other Revenue 2003 2003 2002 2003 2002

Fees and other income $ 134.6 $ 144.7 $ 144.4 $ 279.3 $ 305.3
Factoring commissions 44.8 46.9 42.0 91.7 79.5
Gains on securitization 33.8 30.7 57.1 64.5 91.8
Gains on sales of leasing equipment 16.5 17.6 4.0 34.1 8.3
Losses on venture capital investments (12.1) (4.4) (1.4) (16.5) (6.7)
Total other revenue $ 217.6 $ 235.5 $ 246.1 $ 453.1 $ 478.2
Fees and other income include: servicing fees, structuring and advisory fees, syndication fees and gains from other asset and receivable sales.

(3) Net income (loss) by segment 2003 2003 2002 2003 2002

Specialty Finance $ 63.0 $ 52.2 $ 83.8 $ 115.2 $ 183.8
Equipment Finance 7.9 10.7 31.7 18.6 72.1
Capital Finance 9.1 7.7 22.8 16.8 45.0
Commercial Finance 55.6 54.1 46.0 109.7 92.2
Structured Finance 14.7 12.2 15.3 26.9 31.7
Total Segments 150.3 136.9 199.6 287.2 424.8
Corporate, including certain charges (13.4) (9.9) (2,597.4) (23.3) (7,442.3)
Total $ 136.9 $ 127.0 $ (2,397.8) $ 263.9 $ (7,017.5)

11

CONSOLIDATED BALANCE SHEETS
(dollars in millions)

June 30, December 31,
2003 2002
(unaudited)
ASSETS
Financing and leasing assets:
Finance receivables $ 28,413.6 $ 27,621.3
Reserve for credit losses (754.9) (760.8)
Net finance receivables 27,658.7 26,860.5
Operating lease equipment, net 7,560.0 6,704.6
Finance receivables held for sale 1,210.0 1,213.4
Cash and cash equivalents 1,423.3 2,036.6
Goodwill 389.8 384.4
Other assets (1) 4,942.9 4,732.9

Total Assets $ 43,184.7 $ 41,932.4

LIABILITIES AND STOCKHOLDERS' EQUITY
Debt:
Commercial paper $ 4,576.7 $ 4,974.6
Variable-rate bank credit facilities - 2,118.0
Variable-rate senior notes 6,637.3 4,906.9
Fixed-rate senior notes 21,216.8 19,681.8
Total debt 32,430.8 31,681.3
Credit balances of factoring clients 2,471.6 2,270.0
Accrued liabilities and payables 2,968.3 2,853.2

Total Liabilities 37,870.7 36,804.5
Company-obligated mandatorily redeemable preferred securities of subsidiary
trust holding solely debentures of the Company 256.4 257.2
Stockholders' Equity:
Common stock 2.1 2.1
Paid-in capital 10,677.8 10,676.2
Accumulated deficit (5,393.8) (5,606.9)
Accumulated other comprehensive loss (228.5) (200.7)

Total Stockholders' Equity 5,057.6 4,870.7

Total Liabilities and Stockholders' Equity $ 43,184.7 $ 41,932.4

(1) Other Assets primarily include the following at June 30, 2003: $1.4 billion of securitization assets, $0.9 billion of
accrued interest and receivables from derivative counterparties, $0.8 billion of investments and receivables from joint
ventures and non-consolidated subsidiaries, $0.3 billion of deposits on flight equipment, $0.3 billion of equity
investments, $0.1 billion of repossessed and off-lease equipment, $0.1 billion of prepaid expenses, and $0.1 billion of
investments in aerospace securities. The remaining balance includes furniture and fixtures, miscellaneous receivables
and other assets.

12

OWNED AND MANAGED ASSET COMPOSITION

June 30, March 31, June 30,
2003 2003 2002
Specialty Finance Segment
Commercial
Finance receivables (1) $ 6,975.4 $ 7,201.5 $ 6,154.7
Operating lease equipment, net 1,171.2 1,227.6 1,546.9
Finance receivables held for sale 622.6 899.6 216.9
Owned assets 8,769.2 9,328.7 7,918.5
Finance receivables securitized and managed by CIT 3,473.9 3,191.7 4,145.9
Managed assets 12,243.1 12,520.4 12,064.4
Consumer
Finance receivables - home equity 1,502.1 1,391.3 856.0
Finance receivables - other 934.5 995.8 838.7
Owned assets 2,831.6 2,597.1 2,091.2

Home equity finance receivables securitized and managed by CIT 2,276.7 2,358.6 2,035.9
Other finance receivables securitized and managed by CIT 786.0 860.2 1,127.9
Managed assets 5,894.3 5,815.9 5,255.0

Equipment Finance Segment
Finance receivables (1) 6,014.6 6,237.4 7,770.8
Operating lease equipment, net 504.0 527.4 818.6
Owned assets 6,711.0 6,928.2 8,706.8
Managed assets 10,530.9 10,905.4 13,365.0

Capital Finance Segment
Finance receivables 1,185.2 1,223.7 1,530.2
Finance receivables held for sale - - -
Owned assets 6,968.4 6,196.7 5,792.6

Commercial Finance Segment
Commercial Services
Business Credit
Owned assets 8,913.4 8,682.7 8,180.5

Structured Finance Segment
Operating lease equipment, net 101.6 103.4 61.8
Owned assets 2,990.0 3,025.6 2,656.3

Other - Equity Investments 325.4 334.3 362.5

Total
Finance receivables $ 28,413.6 $ 28,654.6 $ 27,925.4
Finance receivables held for sale 1,210.0 1,273.0 730.8
Equity investments 325.4 334.3 362.5
Owned assets 37,509.0 37,093.3 35,708.4
Managed assets $ 47,865.5 $ 47,481.0 $ 47,676.3

(1) During the March 2003 quarter, certain owned finance receivables totaling $1,078.6 million at March 31, 2003 were transferred from Equipment Finance to
Specialty Finance - Commercial, principally representing small business loans and leases. Prior period data has not been restated to conform to present period
presentation.

13

CREDIT METRICS

For the Quarters Ended
June 30, 2003 March 31, 2003 June 30, 2002
$ % $ % $ %
Net Credit Losses - Owned as a Percentage of Average Finance
Receivables

Specialty Finance - Commercial(1) $ 23.9 1.33% $ 31.0 1.73% $ 21.2 1.36%
Equipment Finance(1) 38.6 2.51% 38.1 2.39% 64.9 3.14%
Capital Finance - - 1.8 0.55% - -
Commercial Finance 21.3 0.96% 16.6 0.80% 29.0 1.61%
Structured Finance 8.6 1.18% 13.8 1.90% - -
Total Commercial 92.4 1.40% 101.3 1.55% 115.1 1.78%
Specialty Finance - Consumer 16.0 2.62% 13.0 2.36% 10.9 1.86%
Total $ 108.4 1.51% $ 114.3 1.61% $ 126.0 1.79%

For the Six Months Ended
June 30, 2003 June 30, 2002
$ % $ %

Specialty Finance - Commercial(1) $ 54.9 1.53% $ 40.8 1.31%
Equipment Finance(1) 76.7 2.45% 126.0 2.82%
Capital Finance 1.8 0.29% - -
Commercial Finance 37.9 0.88% 49.2 1.40%
Structured Finance 22.4 1.54% 0.1 0.01%
Total Commercial 193.7 1.48% 216.1 1.65%
Specialty Finance - Consumer 29.0 2.53% 22.3 1.83%
Total $ 222.7 1.56% $ 238.4 1.66%

June 30, 2003 March 31, 2003 June 30, 2002
$ % $ % $ %
Finance Receivables Past Due 60 days or more - Owned as a
Percentage of Finance Receivables

Capital Finance 99.2 8.37% 74.0 6.05% 36.8 2.40%
Structured Finance 65.7 2.27% 55.2 1.89% 44.9 1.73%
Total $ 926.1 3.26% $ 971.2 3.39% $ 1,030.2 3.69%

Non-performing Assets - Owned as a Percentage of Finance
Receivables(2)

Capital Finance 83.1 7.01% 86.9 7.10% 25.5 1.67%
Total $ 941.2 3.31% $ 1,006.4 3.51% $ 1,052.6 3.77%

Finance Receivables Past Due 60 days or more - Managed as a
Percentage of Managed Financial Assets(3)

Capital Finance 99.2 8.37% 74.0 6.05% 36.8 2.40%
Total Commercial 1,009.4 2.96% 1,091.7 3.16% 1,289.3 3.65%
Total $ 1,277.8 3.20% $ 1,361.3 3.38% $ 1,520.1 3.74%

Reserve for Credit Losses
Reserve for credit losses as a percentage of finance receivables $ 754.9 2.66% $ 757.0 2.64% $ 808.9 2.90%
Reserve for credit losses as a percentage of finance receivables
past due 60 days or more 81.5% 77.9% 78.5%

(1) During the quarter ended March 31, 2003, certain portfolios were tranferred from Equipment Finance to Specialty Finance - Commercial. Charge-offs for the quarter ending
June 30, 2003 relating to these portfolios totaled approximately $7 million. At June 30, 2003 approximately $74 million past due 60+ accounts (both owned and managed) and
$72 million non-performing accounts related to the transferred portfolios, versus $61 million and $61 million at June 30, 2002, respectively. Prior period balances have not been
restated to conform to present period presentation.
(2) Total non-performing assets reflect both commercial and consumer finance receivables on non-accrual status and assets received in satisfaction of loans.
(3) Managed financial assets exclude operating leases and certain equity investments.

14

SELECTED DATA AND OWNED PORTFOLIO INFORMATION
(dollars in millions, except per share data)

Selected Data For the Three Months Ended For the Six Months Ended
Profitability 2003 2003 2002 2003 2002
Net finance margin as percentage of AEA 3.80% 3.63% 4.11% 3.71% 4.58%
Net finance margin after provision as percentage of AEA 2.67% 2.44% (0.02)% 2.55% 1.43%
Salaries & general operating expenses as percentage of AMA (1) 1.99% 2.08% 2.02% 2.03% 1.97%
Efficiency ratio 40.8% 42.5% 38.3% 41.7% 35.7%
Return on tangible stockholders' equity 11.6% 11.0% (191.3)% 11.3% (307.8)%
Return on AMA(1) 1.20% 1.13% (17.4)% 1.16% (27.3)%
Return on AEA (by segment)
Specialty Finance 2.07% 1.75% 3.12% 1.91% 3.22%
Equipment Finance 0.46% 0.60% 1.35% 0.53% 1.44%
Capital Finance 0.54% 0.50% 1.59% 0.52% 1.63%
Commercial Finance 3.44% 3.58% 3.20% 3.50% 3.57%
Structured Finance 1.95% 1.63% 2.31% 1.79% 2.43%
Total Segments 1.70% 1.60% 2.33% 1.65% 2.45%
Corporate, including certain charges (0.17)% (0.13)% (25.33)% (0.15)% (38.65)%
Total 1.53% 1.47% (23.00)% 1.50% (36.21)%

Securitization Volume(2)
Specialty Finance - Commercial $ 1,201.0 $ 409.3 $ 782.4 $ 1,610.3 $ 1,455.6
Equipment Finance 329.4 461.0 1,170.4 790.4 1,534.5
Specialty Finance - Consumer 122.1 367.1 785.9 489.2 2,474.5
Total $ 1,652.5 $ 1,237.4 $ 2,738.7 $ 2,889.9 $ 5,464.6

Average Assets
Average Finance Receivables (AFR) $ 28,766.5 $ 28,328.8 $ 28,157.7 $ 28,505.9 $ 28,695.6
Average Earning Assets (AEA) 35,700.0 34,600.6 34,670.1 35,194.8 35,069.7
Average Managed Assets (AMA)(1) 45,764.8 44,967.8 45,734.3 45,385.8 46,483.3
Average Operating Leases (AOL) 7,304.2 6,712.6 6,657.1 7,033.7 6,600.4
Note: These averages are based on an ending four month average.

At June 30, At March 31, At June 30,
2003 2003 2002
(3),(4)
Capital & Leverage
Tangible stockholders' equity to managed assets 10.53% 10.42% 9.25%
(5)
Debt (net of overnight deposits) to tangible stockholders' equity 6.28x 6.29x 7.07x
Tangible book value per share (for the quarter ended) $22.55 $22.14 -
Note: The above data for all relevant periods shown reflects the activity for CIT only and excludes the consolidating TCH expenses.

(1) quot;AMAquot; or quot;Average Managed Assetsquot; represents the sum of average earning assets, which are net of credit balances of factoring clients, and the average of finance receivables
previously securitized and still managed by CIT.
(2) Quarter ended June 30, 2002 excludes trade receivables securitization activity due to the short-term nature of the receivables and facilities.
(3) Tangible stockholders' equity excludes goodwill.
(4) Tangible stockholders' equity (excludes the impact of accounting changes for derivative financial instruments and unrealized gains) includes Company-obligated mandatorily
redeemable preferred securities of subsidiary trust holding solely debentures of the Company (quot;Preferred Capital Securitiesquot;).
(5) Total debt excludes, and stockholders' equity includes, Preferred Capital Securities.

Owned Portfolio Information June 30, March 31, June 30,
2003 2003 2002
Liquidating Portfolios:
Balance $ 1,085.4 $ 1,282.2 $ 1,727.8
Non-performing accounts $ 143.1 $ 142.9 $ 176.4
Past due 60+ days $ 124.7 $ 149.6 $ 151.7

(6)
Telecommunications :
Financing and leasing assets $ 647.9 $ 678.7 $ 725.7
Number of accounts 53 53 56
Largest customer account balance $ 33.4 $ 33.4 $ 34.1
Non-performing accounts $ 94.2 $ 85.5 $ 111.9
Past due 60+ days $ 42.3 $ 35.5 $ 25.2
CLEC exposure $ 224.3 $ 238.0 $ 288.3

Equity and Venture Capital Investments:
Total investment balance $ 325.4 $ 334.3 $ 362.5
Direct investments $ 169.1 $ 179.6 $ 202.0
Number of companies 49 57 60
Private equity funds $ 156.3 $ 154.7 $ 160.5
Number of funds 52 52 52
Remaining fund commitments $ 144.3 $ 153.7 $ 191.4

(6) Telecommunication portfolio data consists of lending and leasing directly to the telecommunication sector, and does not include lending and leasing for telecom
related equipment to non-telecom companies.

15

Aerospace Portfolio Data
(dollars in millions unless specified)

June 30, March 31, December 31,
Total Aerospace Portfolio:
2002
Financing and leasing assets 2003 2003
Commercial $ 4,479.2 $ 4,179.7 $ 4,072.8
Regional $ 316.9 $ 309.1 $ 344.0
Investment in aerospace assets (EETC's) including accrued
interest $ 104.2 $ 90.4 $ 98.5
Number of planes:
Commercial 203 195 194
Regional 122 115 117

June 30, 2003 March 31, 2003 December 31, 2002
Commercial Aerospace Portfolio:
By Region: Net Investment Number Net Investment Number Net Investment Number
Europe $ 1,930.9 62 $ 1,537.4 51 $ 1,506.5 51
North America (1) 1,060.9 76 1,110.1 78 1,042.2 75
Asia Pacific 879.5 36 886.5 36 853.6 35
Latin America 536.2 25 572.5 26 595.9 29
Africa / Middle East 71.7 4 73.2 4 74.6 4
Total $ 4,479.2 203 $ 4,179.7 195 $ 4,072.8 194

By Manufacturer: Net Investment Number Net Investment Number Net Investment Number
Boeing $ 2,607.9 140 $ 2,514.2 138 $ 2,388.1 135
Airbus 1,847.5 48 1,640.8 42 1,647.9 42
Other 23.8 15 24.7 15 36.8 17
Total $ 4,479.2 203 $ 4,179.7 195 $ 4,072.8 194

By Body Type (2): Net Investment Number Net Investment Number Net Investment Number
Narrow body $ 3,218.7 152 $ 2,909.8 144 $ 2,799.4 142
Intermediate 865.4 18 871.6 18 859.2 17
Wide body 371.3 18 373.6 18 377.4 18
Other 23.8 15 24.7 15 36.8 17
Total $ 4,479.2 203 $ 4,179.7 195 $ 4,072.8 194

Largest customer net investment $ 292.5 $ 242.6 $ 193.0
Weighted average age of fleet (years) 7 7 7

New Aircraft Delivery Order Book (dollars in billions) Amount Number Amount Number Amount Number
For the Years Ending December 31,
2003 (Remaining 2003) $ 0.3 8 $ 0.7 17 $ 0.8 19
2004 0.8 16 0.8 17 1.0 22
2005 1.2 27 1.3 27 1.3 27
2006 0.8 14 0.7 13 0.6 10
2007 0.1 1 0.1 1 0.1 1
Total $ 3.2 66 $ 3.6 75 $ 3.8 79

The order amounts are based on current appraised values in 2002 base dollars and exclude CIT's option to purchase additional planes. Contractual maturities, sales
and other dispositions, as well as depreciation expense, are expected to largely offset the new deliveries. At June 30, 2003, 6 of the 2003 deliveries and 5 of the 2004
deliveries were placed.

(1) Comprised of net investments in the U.S. and Canada of $871.6 million (70 aircraft) and $189.3 million (6 aircraft) at June 30, 2003, $902.0 million (72 aircraft) and
$208.1 million (6 aircraft) at March 31, 2003, and $832.7 million (69 aircraft) and $209.5 million (6 aircraft) at December 31, 2002, respectively.

(2) Narrow body are single aisle design and consist primarily of Boeing 737 and 757 series and Airbus A320 series aircraft. Intermediate body are smaller twin aisle
design and consist primarily of Boeing 767 series and Airbus A330 series aircraft. Wide body are large twin aisle design and consist primarily of Boeing 747 and 777
series and McDonnell Douglas DC10 series aircraft.

16

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