NEW YORK CITY—CIT Group's John Thain will retire as CEO at the end of March 2016 while continuing as chairman of the board, and will be succeeded by newly named vice chairman Ellen R. Alemany, the company said Wednesday afternoon. CIT is also exploring strategic alternatives for its $10-billion Commercial Air business, and plans to sell its Canadian and Asian businesses.

“Over the past five years we have made significant progress in transforming CIT,” says Thain. Having closed on its acquisition of OneWest Bank this past August, CIT's plans to sell its international businesses, and possibly sell off the commercial air franchise have ben made with a view toward “further simplifying our bank-centric business model as we focus on meeting the financing needs of our US small business and middle market customers. We believe these decisions will increase shareholder value.”

Lead director John Ryan notes that Thain has been “a pivotal leader during one of the most challenging times in CIT's more than 100-year history. Under his leadership he has overseen the successful corporate and financial restructuring of CIT. Since taking the helm in 2010, he returned CIT to profitability; rebuilt its management team; eliminated or refinanced approximately $31 billion of high-cost debt; oversaw the termination of the company's written agreement with the Federal Reserve; returned more than $1.7 billion to shareholders; established a premier Internet bank, and completed the acquisition of Direct Capital and OneWest Bank. On behalf of the board, employees and shareholders we extend our gratitude to John for his success and commitment to CIT.”

Currently a board member, Alemany will become a member of CIT's management team effective Nov. 1. Additionally, current vice chairman Steven Mnuchin, who led the acquisition of the former IndyMac Bank from the FDIC and its transformation into OneWest, will step down from CIT's management effective March 31, 2016. He will remain a board member. Corporate controller Carol Hayles is being promoted to CFO, also effective Nov. 1.