Summary
Mastercard Incorporated announced on June 21, 2007, that its principal operating subsidiary, MasterCard International Incorporated, has reached a settlement agreement with the Federation Internationale de Football Association (FIFA). This agreement resolves all outstanding disputes between the two entities. Under the terms of the settlement, FIFA will pay Mastercard a total of $90 million. The majority of this amount, $87.5 million, is expected to be received in the second quarter of 2007, with the remaining $2.5 million slated for payment in the third quarter of 2007. This settlement represents a significant cash inflow for Mastercard and an resolution to prior legal disputes.
Key Highlights
- 1Mastercard International Incorporated has settled all disputes with FIFA.
- 2The settlement includes a payment of $90 million from FIFA to Mastercard.
- 3$87.5 million of the settlement is expected in Q2 2007.
- 4$2.5 million of the settlement is expected in Q3 2007.
- 5This filing is an 8-K report dated June 21, 2007.
- 6The settlement resolves existing legal disagreements between the parties.