Summary
Mastercard Incorporated (MA) filed an 8-K on January 4, 2005, reporting a material definitive agreement entered into by its principal operating subsidiary, MasterCard International Incorporated. This agreement establishes a new pricing arrangement for transaction processing services provided to Citigroup Inc. affiliates for MasterCard-branded cards outside of North America. The agreement is effective retroactively from October 1, 2004, and is set to expire on December 31, 2007. Notably, Citigroup and its affiliates are significant shareholders of MasterCard Incorporated, owning approximately 6.0% of the outstanding common stock as of February 13, 2004. This information is crucial for investors as it outlines a key commercial relationship with a major financial institution and shareholder.
Key Highlights
- 1Mastercard entered into a material definitive agreement with Citigroup Inc.
- 2The agreement concerns pricing for transaction processing services provided to Citigroup affiliates outside North America.
- 3The services are for certain MasterCard-branded cards.
- 4The agreement is effective from October 1, 2004, and will remain in effect until December 31, 2007.
- 5Citigroup and its affiliates are substantial shareholders, owning approximately 6.0% of MasterCard's common stock.