American Express Co. is teaming up with warehouse club retailer Costco Wholesale Corp., to offer cobranded consumer and corporate small-business cards. American Express cards will also be accepted at Costco's 290 stores, which previously have accepted only Discover cards.
James Sinegal, president and chief executive officer of the Seattle-based retailer, said Wednesday that the arrangement with American Express is exclusive and that Costco has no plans to accept MasterCard or Visa cards.
The cobranded consumer credit card and corporate charge cards will also serve as Costco membership cards. A rewards program based on purchases will be introduced in November.
Mr. Sinegal said about 85% of Amex's customers are not shopping at Costco. There are lots of marketing and business opportunities for us to pursue, Mr. Sinegal said. -- Lisa Fickenscher