Global Payments to End Sponsorship Agreement with CIBC
June 28, 2010
Global Payments Inc. said it was notified by Canadian Imperial Bank of Commerce that the bank would not renew a Visa sponsorship agreement with the company, according to published reports. Reuters reported the financial institution will not renew its agreement to offer Global Payments Visa credit and debit card payment products and services to merchants in Canada when the contract between the companies expires in March 2011. In a regulatory filing, Global Payments said it has filed an application with Canadian regulatory authorities to start a loan company in Canada, for directly processing Visa transactions in Canada from March 2011, which will negate the need for a third party bank sponsorship relationship.