Talks between government regulators and CIT Group (CIT) have ended and a bailout for the troubled commercial lender is not likely in the near term, according to a release posted on the company's Web site.

CIT announced Wednesday evening that it was told by the government there is "no appreciable likelihood of additional government support being provided over the near term." Meanwhile, the company's board is consulting advisors and evaluating its alternatives, according to the release.

Shares of CIT were halted Wednesday afternoon on reports of a pending government bailout package.
An aid package from the U.S. government was rumored to be pending Wednesday, although the company’s discussions with regulators were described as “ongoing” with bankruptcy still an option, a person familiar with the matter told Reuters. The person went on to say that because CIT's situation had deteriorated, regulators were concerned a bailout might not be able to save the lender, Reuters reported.

President Obama was briefed on the company's situation this week through "a download" given to him by Larry Summers, director of the National Economic Council, and Treasury is monitoring the situation "very closely, minute-by-minute," White House Press Secretary Robert Gibbs told reporters in a daily press briefing Wednesday.

Shares of the company were trading at $1.64, up about 1.9% from where it closed Tuesday, when the stock was halted on the New York Stock Exchange.

A deal with regulators was reportedly in the works involving an aid package allowing the lender to transfer assets from its holding company to its bank and pledge some of those assets at the Federal Reserve’s discount window, The Wall Street Journal reported Wednesday morning.

A Treasury spokesman issued this statement Wednesday evening in response to the Journalarticle: "We have a comprehensive and aggressive strategy to restore stability to the financial system as a whole so that credit flows to both businesses and consumers and puts us on a path to sustainable growth. As part of that strategy, we have put in place a powerful set of innovative financing mechanisms to help restart the overall credit markets that are critical to growth. Even during periods of financial stress, we believe that there is a very high threshold for exceptional government assistance to individual companies."

The rescue plan rumors came about as customers withdrew as much as $775 million in credit lines from the bank amid bankruptcy fears, the paper reported. CIT’s board reportedly met late Tuesday in hopes of coming to a solution.

While CIT Group isn’t considered “too big to fail,” some regulators worry about the impact on small businesses if it collapsed. The Federal Deposit Insurance Corp. is said to be reluctant to give CIT access to a debt-guarantee program, while the Fed and Treasury Department are more supportive. CIT was given $2.33 billion in loans from Treasury as part of the Troubled Asset Relief Program, or TARP, last December, and was approved to become a bank holding company.