Ch. 11-Bound CIT Group Strikes Deal with Icahn

Law360, New York (October 30, 2009, 2:29 PM EDT) -- CIT Group Inc. has reportedly reached a deal with activist investor Carl Icahn that would end the beleaguered business lender's recent tug-of-war over its restructuring plan and ease its path through bankruptcy court.

Citing unnamed sources familiar with the negotiations, The Wall Street Journal reported Friday that Icahn would provide CIT with $1 billion in backup financing, which it would access if it needs more than the $4.5 billion the company said it had received from other bondholders earlier this week, after rejecting an identically sized...
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