The Nilson Report

THE CURRENT ISSUE: Issue 1046 | Aug 2014

FEATURED COMPANIES

Companies featured in The Current Issue include:

Headlines from The Current Issue

Top U.S. Commercial Card Issuers

Asia-Pacific’s Largest Acquirers

U.S. General Purpose Cards - Midyear 2014

Blackhawk/Barclays Mobile Prepaid

IBM’s Financial Transaction Manager

Deloitte Corporate Finance

Synchrony Financial’s IPO

Charge Payment Processing Progress

Comerica/Vantiv Merchant Processing

Merchant Lawsuits Update

Charts in this Issue

Top Issuers of Commercial Cards in the U.S. Ranked by Purchase Volume

Top Asia-Pacific Acquirers 2013

Merchant Acquirers in Asia-Pacific 2013

U.S. Visa & MasterCard Commercial Card Issuers 2013

Top U.S. Small Business Credit Cards

Top U.S. Fleet Cards

Top U.S. Purchasing Cards

Top Small Business Debit Cards

Top Prepaid Commercial Cards

Top Corporate Cards

U.S. General Purpose Cards Midyear 2014 vs. Midyear 2013

Top Asia-Pacific Acquirers 2013

The 10 largest acquirers for merchant card transactions are ranked based on purchase volume for all global brand and domestic brand payments.

1. China UMS - China
$776.93 bil. Purchase Vol.
2. JCB - Japan
$135.25 bil. Purchase Vol.
3. BC Card - South Korea
$120.43 bil. Purchase Vol.
4. Commonwealth Bank - Australia
$100.67 bil. Purchase Vol.
5. ANZ Merchant Services - Australia
$74.46 bil. Purchase Vol.

Full access to the Top Asia-Pacific Acquirers 2013 results is available when you subscribe to The Nilson Report.

POSTED AUG 15, 2014 | PRINT

SYNCHRONY FINANCIAL'S IPO

General Electric’s (GE) plan to substantially reduce its financial services businesses worldwide includes selling consumer finance and credit card businesses in more than a dozen countries. In the U.S. it has spun off GE Capital Retail Finance into a separate publicly traded holding company called Synchrony Financial, whose assets include GE’s North American private label (retail, commercial, consumer, and health care) and general purpose (Visa, MasterCard, American Express, and Discover) credit card businesses. Combined profits were $1.98 billion in 2013, down 6.6%. 

Synchrony (SYF) raised $2.88 billion in an initial public offering of common stock from the sale of 125 million shares on the New York Stock Exchange on July 30. GE plans to offer the remaining 84.9% of Synchrony it still owns to its shareholders in a tax-free transaction next year.

Synchrony had $54.29 billion worth of credit card outstandings as of March 31, 2014, and active accounts averaged 57.3 million for the quarter. Outstandings are tied to private label cards in the U.S. and Canada as well as to general purpose cards in the U.S. Active accounts have FICO scores that average 710. 

Synchrony has been the largest issuer of private label credit cards in the U.S. for a decade. Clients include Walmart, Lowe’s, Amazon, Chevron, and JCPenney. Retail cards alone accounted for 69% of total card revenue in the first quarter of 2014. Synchrony ranks 10th in the U.S. among issuers of Visa and MasterCard credit cards. Purchase volume was $93.90 billion in 2013 from all private label and general purpose credit cards.

Assets of Synchrony include federally chartered Utah-based savings association Synchrony Bank (formerly GE Capital Retail Bank), which issues all private label and general purpose credit cards in the U.S. The bank also held $27.36 billion in deposits as of March 31, 2014.

Toni White is Chief Marketing Officer at Synchrony Financial in Alpharetta, Georgia, (678) 518-2591, toni.white@synchronyfinancial.com, www.synchronyfinancial.com.

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