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JPMorgan to buy Sears credit & financial services business

03 Sep '05

4 min read

"This is a great alliance for Sears, the customers, company employees and the shareholders," said Brent Hollister, President and Chief Executive Officer, Sears Canada.

"Company customers will enjoy broader credit and financial products opportunities and continued high levels of service, while Sears continues to receive significant income related to credit card sales. They anticipate that substantially all of Credit and Financial Services associates will become employees of JPMorgan Chase. JPMorgan Chase is a global leader in proprietary, co-branded and general purpose cards, with world class technology, powerful financing capabilities and excellent customer relationship management skills creating a tremendous opportunity for people in the credit business."

"From shareholders' point of view, this strategic action will also create significant value as they expect to return substantial proceeds to shareholders, while accelerating progress toward building a Sears that is completely focused on the profitable growth of core retail and related services business and further simplifying the organization," continued Mr. Hollister. "Over the next few months, they will be taking steps to align cost structure with the Canadian and North American competitive retail industry sector."

"This purchase offers many opportunities for Chase including partnering with another of the world's leading brands, expanding private-label business and entering a new and exciting market in Canada," said William I. Campbell, Chairman, Chase Card Services. "They look forward to working closely with Sears Canada and its employees to offer great products and services that consumers find valuable."

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