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CIT Group (NYSE:CIT) emerged out of bankruptcy yesterday. There is no balance sheet out yet. Heck, people don't even know what the share count is - for that you need to read the bankruptcy filing 8-K.
Total share count = 200 mn
Share Price = $28
WSJ is saying that $11bn of debt has been wiped out. That is on top of $5bn of pref and equity interests that have been wiped out. So, in total $16bn has been wiped out on a book of $64bn.
The books have to be restated at fair value. Even if there is a 15% write off of the book so that $10bn of loans are written down, there should be tangible book value left. And after that, because there wont be any more provisions to take, CIT will report eye-popping earning numbers. This is like the Wells Fargo (NYSE:WFC) - Wachovia (NASDAQ:WB) situation from a year ago.

Disclosure: No position

Source: CIT Emerges From Bankruptcy: Where to Next?