Banking, finance, and taxes
MasterCard & American Express Settle Litigation (MA, AXP)
Published:
MasterCard Incorporated (NYSE: MA) has just announced it has reached an agreement to settle its outstanding litigation with American Express (NYSE: AXP). The company says the tax-affected net present value of the settlement will be $1 Billion.
The agreement calls for 12 quarterly payments by MasterCard to American Express starting in Q3-2008 of $150 million per quarter. The payments are contingent upon the performance of American Express’s U.S. Global Network Services business.
MasterCard will take a charge for the settlement in the current quarter and it has noted that the maximum nominal amount of the settlement is $1.8 Billion.
Jon C. Ogg
June 25, 2008
Get Ready To Retire (Sponsored)
Start by taking a quick retirement quiz from SmartAsset that will match you with up to 3 financial advisors that serve your area and beyond in 5 minutes, or less.
Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests.
Here’s how it works:
1. Answer SmartAsset advisor match quiz
2. Review your pre-screened matches at your leisure. Check out the advisors’ profiles.
3. Speak with advisors at no cost to you. Have an introductory call on the phone or introduction in person and choose whom to work with in the future
Get started right here.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
