Associated Banc-Corp and Citibank Announce Long-Term Agency Agreement

Associated Banc-Corp, a leading multibank holding company, and Citibank USA, a member of Citigroup, have entered into a long-term agency agreement that includes the sale of Associated's $130 million credit card portfolio to Citibank. Under the agreement, the two companies will offer Associated-branded credit cards to the bank's approximately 300,000 cardholders. Citibank will service the accounts, providing Associated cardholders with new services and benefits, including Internet account access and travel reward programs.

Key Takeaways:

• Associated Banc-Corp has entered into a long-term agency agreement with Citibank USA, including the sale of its $130 million credit card portfolio.
• The partnership will allow Associated cardholders to access new services and benefits, such as Internet account access and travel reward programs.
• Citibank will service the accounts, leveraging its strength and commitment to service and privacy.
• The alliance will enable Citibank to expand its presence in the Mid-West and Mid-Atlantic states.
• Associated expects to recognize a gain of approximately $12 million upon the completion of the transaction.
• The transaction is expected to close early in the second quarter of 2000.

Statistics:

• $130 million: The value of Associated Banc-Corp's credit card portfolio sold to Citibank.
• 300,000: The number of Associated cardholders who will retain their Associated-branded credit cards.
• 200: The number of banking offices operated by Associated Banc-Corp.
• 225: The number of ATMs operated by Associated Banc-Corp.
• $12.5 billion: The total assets of Associated Banc-Corp.
• 100 countries: The global reach of Citigroup, with a broad range of financial products and services provided to 100 million consumers, corporations, governments, and institutions.