CIT Group Inc. (NYSE: CIT) plummeted 35% to $1.42 on huge volume of 355.75 million shares as according to reports from Reuters, CIT is near a plan to turn itself over to its bondholders, citing sources familiar with the matter. CIT is preparing an exchange offer that would eliminate up to 40% of its more than $30 billion in outstanding debt. The plan would offer bondholders new debt secured by CIT assets, as well as nearly all of the equity in a restructured company, one source said.
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