New Credit Card Company

BankBoston Corp., Bank of Montreal, its U.S. subsidiary Harris Bank, and First Annapolis have announced an agreement to create a new credit card company.

The venture is set to capitalize on the consolidation and restructuring taking place in the credit card industry. BankBoston will exchange its 550,000-account credit card portfolio for cash and stock and will retain its 330,000-account regional portfolio.

John Soderlan, managing director of First Annapolis, will serve as President and CEO of the new company; First Data Resources ("The Founders" of the Financial Services World) will be the processing provider.

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