Business had operated as part of Elan Financial Services;
U.S.
Bancorp retains Elan credit card issuing businesses
MINNEAPOLIS--(BUSINESS WIRE)--Sep. 25, 2018--
U.S. Bancorp announced today that it has agreed to sell its third-party
ATM and Debit Servicing business, which is part of the company’s Elan
Financial Services unit, to Fiserv, Inc., for approximately $690
million. The sale includes business assets and a debit card processing
network previously acquired by the Company. U.S. Bancorp made the
decision to sell this portion of the business, which also operated as
Elan ATM and Debit Processing, following a strategic review of the
business unit.
“We believe this sale is the right thing to do for the bank and our
customers,” said Tim Welsh, vice chairman, Consumer Banking Sales and
Support, U.S. Bank. “Our customers will benefit from the commitment that
Fiserv has for this business, and U.S. Bank will benefit as we continue
to reinvest in our core businesses.”
U.S. Bancorp remains committed to its card issuing, corporate payments
and merchant services payments businesses, which include Elan Issuing
and Elan Corporate Payments. There is no change to those businesses and
they are not part of the transaction.
The planned sale is expected to close in the fourth quarter and is
subject to customary closing conditions, including U.S. antitrust
approval. This transaction is not material to U.S. Bancorp’s 2018
financial results. The company will provide additional information
during its third quarter 2018 earnings call.
About U.S. Bank
U.S. Bancorp (NYSE: USB), with 74,000 employees and $461 billion in
assets as of June 30, 2018, is the parent company of U.S. Bank, the
fifth-largest commercial bank in the United States. The
Minneapolis-based bank blends its relationship teams, branches and ATM
network with mobile and online tools that allow customers to bank how,
when and where they prefer. U.S. Bank is committed to serving its
millions of retail, business, wealth management, payment, commercial and
corporate, and investment services customers across the country and
around the world as a trusted financial partner, a commitment recognized
by the Ethisphere Institute naming the bank a 2018
World’s Most Ethical Company. Visit U.S. Bankonline
or follow on social
media to stay up to date with company news.
Forward Looking Statement
"Safe Harbor" Statement under the Private Securities Litigation Reform
Act of 1995: This press release contains forward-looking statements
about U.S. Bancorp. Statements that are not historical or current facts,
including statements about beliefs and expectations, are forward-looking
statements and are based on the information available to, and
assumptions and estimates made by, management as of the date hereof.
These forward-looking statements cover, among other things, the expected
timing and benefits of the transaction. Forward-looking statements
involve inherent risks and uncertainties, and important factors could
cause actual results to differ materially from those contemplated by
such forward-looking statements. The factors that may adversely impact
the anticipated outcomes include, among others, the occurrence of any
event or other circumstance that could lead to the termination or
delayed consummation of the transaction agreement. For a discussion of
additional risks and uncertainties, which could cause actual results to
differ from those contained in the forward-looking statements, see "Risk
Factors" in U.S. Bancorp’s Annual Report or Form 10-K for the most
recently ended fiscal year.
View source version on businesswire.com: https://www.businesswire.com/news/home/20180925005598/en/
Source: U.S. Bancorp
U.S. Bank Public Affairs and Communications
Dana Ripley,
612-303-3167
dana.ripley@usbank.com
or
U.S.
Bank Investor Relations
Jen Thompson, 612-303-0778
jen.thompson@usbank.com