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Article: Amex Deal A Consumer Buffer and Network Gain.(American Express Co. to acquire GE Money)
- Article from:
- American Banker
- Article date:
- March 28, 2008
- Author:
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American Express Co.'s deal to buy GE Money's corporate payment services unit for $1.1 billion would give it a portfolio largely untouched by the consumer credit crisis and a market-share gain against MasterCard Inc.
For GE Money, the Stamford, Conn., consumer finance arm of General Electric Co., the deal is the first - and perhaps the easiest - part of a process begun last year: selling some or all of its card businesses, of which corporate payments services is a small and relatively low-risk part.
The corporate payments services unit, which issues travel-and-entertainment purchasing cards for 300 companies, generated more than $14 billion of ...