Continuing to reap the rewards of product introductions, American
Volume on American Express cards was up 13%, to $40.7 billion.
"This was a very solid quarter," said Susan Roth, an analyst at
The New York company said its cardholders are spending more. Cards in
Total card loans increased 14.3%, to $14.6 billion.
PaineWebber analyst Gary Gordon said card spending is "the big driver"
Revenues derived from merchants were up 11%, to $1.5 million.
American Express is adequately covered for loan losses, Ms. Roth said.
Providian Financial Corp. attributed a strong fourth-quarter performance
The San Francisco-based credit card lender netted $54 million, 24% more
Earnings for the year rose by 26%, to $191.5 million, and to $2 a share,
Shailesh J. Mehta, chairman and chief executive officer, said he was
The net interest margin rose 34 basis points, to 11.23%. Net interest
Fee income doubled to $460 million, spurred by 84% growth in secured
In the traditional credit card portfolio, receivables rose 1.3%, to $8
Providian is "very disciplined with their market and able to generate
But she said Providian faces a challenge in repricing the $1.1 billion
Net credit losses on managed loans increased to 6.42% in the fourth