American Express To Cut 5,400 Jobs, Take Charges In Fourth Quarter

by
Reuters
American Express Co said it would cut about 5,400 jobs, and take about $600 million in after-tax charges in the fourth quarter, which will halve its net income for the period.

American ExpressAmerican Express Co said it would cut about 5,400 jobs, and take about $600 million in after-tax charges in the fourth quarter, which will halve its net income for the period.

The credit card company said it would employ 4 to 6 percent fewer people by the end of 2013, compared to its current headcount of 63,500.

The company expects to report a profit of $637 million, or 56 cents per share, including the charges.

Excluding the items, American Express estimates fourth-quarter adjusted net income at $1.2 billion, or $1.09 per share.