Regions Purchases Credit Card Portfolio of Approximately $1 Billion

Regions Bank RF today announced that it has signed a definitive agreement with FIA Card Services to acquire the Regions-branded credit card portfolio of approximately $1 billion. The portfolio of 500,000 existing Regions customer accounts will accelerate Regions' efforts to improve balance between its consumer and commercial loan portfolios, further diversify revenue streams and better serve its customers. “This transaction will help us bring greater balance and diversity to our business while providing opportunities for us to meet more of our customers' borrowing needs,” said Grayson Hall, CEO and president of Regions. “Our successful efforts over the past two years to attract new checking customers gives us a strong platform for operating this business successfully.” The closing of the transaction is subject to the conditions set forth in the definitive agreement. Regions expects the transaction to close during the second quarter. Terms were not disclosed.