Last November, Walmart announced that it was suing Synchrony Financial for an estimated $800M. In the lawsuit, Walmart accused Synchrony of violating its agreement on credit cards for Walmart shoppers.
In a major update to that story, Walmart has agreed to dismiss the lawsuit against Synchrony. Furthermore, Synchrony also announced an extension of its partnership with Sam’s Club on financing options through store-branded credit cards.
Synchrony also announced it has reached agreement on the sale of the Walmart loan portfolio currently serviced by Synchrony. The portfolio is expected to transfer late in the third quarter or early in the fourth quarter of 2019.
“We are very pleased to have reached these agreements. Obtaining certainty around the Walmart portfolio and a renewal on Sam’s Club is a great outcome for the company.”– Margaret Keane, president and chief executive officer of Synchrony.