CIT Sees Charges As It Exits Home Lending Business

CIT Group said it expects charge-offs of about $45 million to $50 million in the third and fourth quarters related to its plan to exit the home lending business.

The company said it sees earnings of $40 million to $50 million, excluding charge-offs and provisions as well as any sales or exit costs, from this portfolio in each of the next two quarters.

Last month, the company had announced its plans to bail out from the struggling home loan sector.