Citigroup Comments on Credicard Group Partnership Changes.SAO Sa´o n. 1. (Zool.) Any marine annelid of the genus Hyalinæcia, especially H. tubicola of Europe, which inhabits a transparent movable tube resembling a quill in color and texture. PAULO Paulo is the Portuguese form of the given name Paul:
Since its inception more than 30 years ago, the Credicard Group, a joint venture between Banco Itau (Itau), Citibank Brazil (Citibank), and Unibanco, has come to be recognized throughout Brazil for its market leadership, innovative products, excellent service and the strength of its commitment to its customers. Under the agreement announced earlier today: --Citibank and Itau will each increase their ownership in Credicard, the card issuing business, to 50 percent by acquiring all of Unibanco's interest in Credicard. The parties confirmed that this agreement is not expected to affect Credicard's relationships with employees or customers. Cardholders will continue to use their cards as they do today and can expect the same high level of service that they rely on from Credicard; --Itau will increase its ownership in Orbitall, the card processing and servicing business, to 100 percent by acquiring all of Citibank's and Unibanco's shares. Itau confirmed that this agreement is not expected to affect Orbitall's relationships with employees or customers. Credicard will continue to maintain its card processing and servicing at Orbitall; --Redecard, the merchant acquiring business, will maintain its current ownership structure, with Citibank, Itau and Unibanco each owning 32 percent, and MasterCard MasterCard Worldwide (NYSE: MA) is a mutinational corporation based in Purchase, NY in the United States. Throughout the world, its principal business is to process payments between the banks of merchants and the banks of purchasers that use its "Mastercard" branded debit- and owning 4 percent. The companies confirmed that this agreement is not expected to affect Redecard's relationships with employees or merchants. "Credicard is a tremendously successful partnership that has created the leading card company in Brazil," said Gustavo Marin, President, Citigroup Brazil. "Brazil's demand for credit cards has grown and developed significantly since our partnership began, as have the businesses and capabilities of Credicard's partners. We all agree that this new ownership structure for Credicard will better serve our respective objectives. "This substantial additional investment by Citigroup in Brazil underscores our commitment to this country and our confidence that Brazil is one of the world's greatest growth markets. Citigroup is excited to enhance and extend our 90-year track record of excellence in providing innovative financial products and services to Brazil's consumer and corporate customers," said Mr. Marin. "As we continue to expand our consumer business in Brazil, we are excited to significantly enhance our position in the dynamic Brazilian credit card market while adding to our leading international credit card franchise," said Marge Magner, Chairman and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of Citigroup's Global Consumer Group. "We are well positioned to continue to further leverage and grow our overall cards presence globally." The Credicard Group has grown to serve more than 5 million clients, issuing 7 million credit cards, processing more than 13 million accounts, maintaining important commercial relationships with 750,000 merchants and generating more than 5,000 jobs for the country. Citibank added that it intends to work with Itau to comprehensively review strategies for the issuing business in light of their increased ownership in the business and Brazil's dynamic credit card market over the past several years. Credicard and Orbitall are valued together at $R 4.8 billion / US$1.54 billion. The transaction is expected to close by the end of 2004 after receiving regulatory approval. About Citigroup: Citigroup (NYSE NYSE See: New York Stock Exchange : C), the preeminent pre·em·i·nent or pre-em·i·nent adj. Superior to or notable above all others; outstanding. See Synonyms at dominant, noted. [Middle English, from Latin prae global financial services The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. company has some 200 million customer accounts and does business in more than 100 countries, providing consumers, corporations, governments and institutions with a broad range of financial products and services, including consumer banking and credit, corporate and investment banking, insurance, securities brokerage, and asset management. Major brand names under Citigroup's trademark red umbrella include Citibank, CitiFinancial, Primerica, Smith Barney Smith Barney is a division of Citigroup Global Capital Markets Inc., a global, full-service financial firm, that provides brokerage, investment banking and asset management services to corporations, governments and individuals around the world. , Banamex, and Travelers Life and Annuity annuity: see insurance. annuity Payment made at a fixed interval. A common example is the payment received by retirees from their pension plan. There are two main classes of annuities: annuities certain and contingent annuities. . |
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