HSBC sells US factoring op.

HSBC Holdings PLC
31 December 2003

                        CIT COMMERCIAL SERVICES ACQUIRES
                     U.S. FACTORING ASSETS OF HSBC BANK USA

CIT Group Inc. announced today that its Commercial Services business unit has
acquired substantially all of the U.S. factoring assets and liabilities of HSBC
Bank USA. The acquired assets approximate $1 billion before assumed liabilities
with net assets acquired of approximately $270 million. Terms of the deal were
not disclosed.

"This transaction reflects CIT's corporate strategy to pursue growth
opportunities that are synergistic with our core business lines and meet our
return on equity targets," said Jeffrey M. Peek, President and COO of CIT Group
Inc.

"HSBC's decision to exit the domestic factoring business was made as a result of
our new strategic plan's emphasis on our core U.S. businesses," said Martin
Glynn, President & CEO of HSBC Bank USA. "We were very pleased to be able to
reach agreement with CIT, as their proven expertise as a leading provider in the
industry is widely acknowledged." HSBC Securities (Canada) Inc. advised HSBC
Bank USA on this transaction.

CIT's Commercial Services business has been providing accounts receivable and
inventory financing solutions to commercial businesses since the 1920s. "This
addition to our existing portfolio reinforces CIT's commitment to the various
industries that sell into retail channels of distribution," added John Daly,
President, CIT Commercial Services.

Notes to editors:

About CIT Commercial Services
CIT Commercial Services is a unit of CIT Group Inc. and is one of the United
States' leading providers of factoring, accounts receivable management, credit
protection, and lending services. Commercial Services specializes in serving the
apparel, footwear, furniture, home furnishings, consumer electronics and other
industries that sell into retail channels of distribution. CIT Commercial
Services is headquartered in New York City and has offices in Charlotte, Dallas,
Los Angeles, Danville, VA; Hong Kong and Shanghai.

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
possesses the 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
Livingston, New Jersey and New York City, 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.

About HSBC Bank USA
HSBC Bank USA has more than 400 branches in New York State, giving it the most
extensive branch network in New York. The bank also has 10 branches in Florida,
one in Pennsylvania, five in California, one in Washington, one in Oregon, and
15 in Panama.

HSBC Bank USA is the principal subsidiary of HSBC USA Inc, the 13th largest US
bank holding company ranked by assets, and an indirectly-held, wholly-owned
subsidiary of HSBC Holdings plc (NYSE: HBC). Headquartered in London, and with
over 9,500 offices in 79 countries and territories, the HSBC Group is one of the
world's largest banking and financial services organizations. For more
information about HSBC Bank USA and its products and services visit
www.us.hsbc.com.


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