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GREAT WESTERN SELLS CREDIT CARD PORTFOLIO

 CHATSWORTH, Calif., Sept. 13 /PRNewswire/ -- Great Western Financial Corp. and Associates Corporation of North America today announced a definitive agreement under which Associates National Bank (Delaware), an affiliate of The Associates, will purchase the $222 million credit card portfolio of Great Western Bank.
 The transaction, which is subject to the completion of certain conditions, is expected to close in September. Great Western said it expects to realize a net gain of approximately $43 million, including recovery of loss reserves, upon completion of the transaction.
 "It has always been important for Great Western to provide credit card services to our customers; however, it has not been possible for us to achieve the economies of scale this business demands today," said James F. Montgomery, Great Western's chairman and chief executive. "This new relationship with The Associates will enable us to continue to serve our customers well, without devoting additional resources to the growth of the credit card business."
 Great Western will have an agent bank relationship with The Associates and will continue to originate credit card applications through its bank branches. The cards will be issued and serviced by Associates National Bank (Delaware), but will retain the Great Western Bank identity.
 Associates National Bank (Delaware) is one of the largest issuers of Visa and MasterCard credit cards in the United States, with approximately 3.3 million accounts and $2.6 billion in receivables.
 Associates Corporation of North America, based in Dallas, provides consumer finance, specialized commercial finance and leasing, and insurance. Part of the Financial Services Group of Ford Motor Co., it has assets of more than $25.6 billion and manages financial assets of about $3.1 billion for Ford subsidiaries in the U.S., the United Kingdom, Japan, Puerto Rico and Canada.
 With assets of $38 billion, Great Western Financial Corp. is a diversified financial services company operating more than 1,100 mortgage lending, retail banking and consumer finance offices nationwide. The company's principal subsidiary, Great Western Bank, is a home-mortgage-oriented consumer bank which operates extensive banking branch networks in California and Florida.
 -0- 9/13/93
 /CONTACT: Ian Campbell, 818-775-3773, or Linda Mueller, 818-775-3653; or Associates Corporation of North America contact, Fred Stern, 214-541-4042/


CO: Great Western Financial Corp.; Great Western Bank; Associates
 Corporation of North America; Associates National Bank ST: California IN: FIN SU: TNM


JL-MF -- LA014 -- 1096 09/13/93 08:06 EDT
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Publication:PR Newswire
Date:Sep 13, 1993
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