JP Morgan Chase has announced its intention to end its credit-card issuing deal with Sears Canada next November on the expiration date set forth in the contract.
Sears Card and Sears MasterCard credit cards will continue to enjoy the services of J.P. Morgan until the contract lapses on November 15, 2015.
JP Morgan has agreed to pay the Toronto-based retailer up to CAD 174m, under certain circumstances if a sale of the credit-card program is reached while working on a request-for-proposal process with the firm.
Ron Boire, acting president and chief executive officer of Sears Canada, said, "Our customers will be able to continue to use their Sears Canada cards through to November 2015 and we expect no interruption, with the same service levels provided previously by JPMorgan Chase. In the interim, we will explore options that will enable us to continue to provide the high level of service to which Sears Canada customers are accustomed."