U.S. Bank, lead bank of U.S. Bancorp and The Kroger Co. today announced a strategic alliance that will give Kroger customers a suite of payment products.
As part of the alliance, U.S. Bank has purchased Kroger's existing credit card portfolio from RBS Citizens N.A., and plans to offer additional financial services for Kroger customers. Kroger is a large, well-known brand with strong customer loyalty, which creates an ideal platform to introduce innovative payments products and financial services.
"Our expanded partnership with Kroger leverages U.S. Bank's entire spectrum of retail and consumer banking services," said Pam Joseph, vice chair of payment services for U.S. Bancorp. "Our industry leading payments experience, together with Kroger's loyal customer base and significant retail expertise enables us to drive growth and enhance value with these new payment services."
The alliance is an expansion of U.S. Bank's extensive financial services relationship with Kroger, the nation's largest traditional grocery retailer, which began in 1930. U.S. Bank currently provides a number of retail, corporate banking, trust, capital markets and credit services for Kroger. Kroger has nearly 2,500 locations operating under several brand names and U.S. Bank operates bank branches in 192 of those locations through an in-store banking relationship.
"Both Kroger and U.S. Bank are committed to great customer service and providing customers with the right financial products to meet their needs," said Kathy Kelly, president of Kroger Personal Finance. "Together with U.S. Bank, Kroger Personal Finance is excited to continue developing new, innovative financial products and services for our customers."