HSBC Holdings Regulatory News (HSBA)

14 Jun 2006 15:00

HSBC Holdings PLC14 June 2006 HSBC ACQUIRES MUSICIAN'S FRIEND CREDIT CARD PORTFOLIO HSBC Retail Services, a business unit of HSBC North America Holdings, Inc., hasacquired the credit receivables, and is managing the ongoing credit cardprogramme, of Musician's Friend along with those of the retailer's boutiquebrands, Musician.com and Giardinelli. HSBC Retail Services, through HSBC Bank Nevada, N.A., purchased some US$40 million in receivables and, under the terms of the five year agreement, paid a premium of approximately US$200,000. Musician's Friend is one of the world's largest direct marketers of musicalinstruments and related equipment, selling more than 36,000 products through its website and mail order catalogue. Musician.com sells instruments and equipment for professional musicians, while Giardinelli carries a full range of band and orchestra instruments. Under the new HSBC credit card programme, Musician's Friend, Musician.com andGiardinelli cardholders will benefit from a convenient form of payment, receivepreviews of new product offerings and enjoy exclusive financing offers. Musician's Friend is owned by Guitar Center, the number one retailer of guitars,amplifiers, drums, keyboards and professional audio equipment products in theUS. In July 2005, HSBC extended its long-term agreement with Guitar Center tocontinue managing the company's Preferred Player credit card. 1. Musician's FriendOne of the world's largest direct marketers of music gear, Musician's Friendsells more than 36,000 products from its website and mail order catalogue,including guitars, keyboards, sheet music, books, DJ gear, videos, strings,drums and recording, lighting and audio-visual equipment. Musician's Friend wasfounded in 1983 and was acquired by Guitar Center, Inc. in 1999. 2. HSBC Retail ServicesHSBC Retail Services is a leading issuer of private label (merchant branded)credit cards in the United States. This business provides flexible, customisedcredit card solutions for many of the world's premier retailers andmanufacturers and has more than 60 active merchant relationships. For moreinformation, visit www.hsbcretailservices.com. 3. HSBC - North AmericaHSBC - North America comprises all of HSBC's US and Canadian businesses,including the former Household businesses. The company's businesses serve nearly60 million customers in five key areas: personal financial services, consumerfinance, commercial banking, private banking and corporate, investment bankingand markets. Financial products and services are offered under the HSBC, HFC andBeneficial brands. For more information, visit: www.hsbcusa.com. 4. HSBC Holdings plcHSBC Holdings plc serves over 125 million customers worldwide through some 9,500offices in 76 countries and territories in Europe, the Asia-Pacific region, theAmericas, the Middle East and Africa. With assets of US$1,502 billion at 31 December 2005, HSBC is one of the world's largest banking and financial services organisations. HSBC is marketed worldwide as 'the world's local bank'. This information is provided by RNS The company news service from the London Stock Exchange