The shakeout in the bank credit card industry continues as First Maryland Bancorp agreed yesterday to sell off its entire portfolio to BankAmerica Corporation. First Maryland Bancorp’s portfolio includes the card business of subsidiaries First Omni Bank (DE) and Dauphin Deposit (PA). At the end of the third quarter First Omni had $576 million in receivables while Dauphin Deposit held $47 million, according to CardData. Terms of the sale were not disclosed other than to confirm the $623 million portfolio was sold “at a premium”. One year ago First Omni broke through the $1 billion mark in receivables riding on the success of its Bell Atlantic cobranded program. During the third quarter the issuer sold off the Bell Atlantic portion to Chase Manhattan. Yesterday’s announcement will boost BankAmerica’s card portfolio to $10.7 billion in receivables.
First Maryland Snapshot (before selloffs)
RECEIVABLES ACTIVES CARDS
First Omni $1,003,378,000 516,428 1,545,626
Dauphin Dpst $ 46,719,559 39,559 71,914
Source: Bankcard Update/CardData (2Q-97 data)