5/28/2019, 3:12 PM (Source: TeleTrader)
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Citigroup pulled out of Apple Card deal - reports

Citigroup Inc. pulled out of a deal with Apple Inc. for its credit cards amid doubts that it could make a profit on the partnership, CNBC reported on Tuesday citing sources familiar with the matter.

According to the sources, the two sides were in advanced negotiations over the card but Citigroup eventually walked away from the process as it had doubts over the card's profitability. The sources added that other banks including JPMorgan Chase and Barclays as well as consumer financial service company Synchrony also bid on the business. Neither Apple nor the banks commented on the story.

Media first reported in February that Apple and Goldman Sachs were working on developing a new credit card that could be paired with iPhones. Apple subsequently confirmed the reports when it unveiled the Apple Card at a company event in March. The card is expected to be launched sometime in the summer.

Breaking the News / DZ