General Electric Co. has removed 2 million underperforming private-label retail credit card accounts from its securitized master trust to shore up the performance of its bonds.

The $1.5 billion of receivables were placed back on GE's balance sheet last week. According to Fitch Inc., GE sifted out the most troubled accounts from four of the largest private-label card programs it runs for retailers — J.C. Penney Co. Inc., Lowe's Cos. Inc., Wal-Mart Stores Inc. and its Sam's Club division. The accounts were delinquent, nearing chargeoff status or showing lower-than-average payment rates.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.