Today, we announced a 12-year $1.4 billion strategic agreement with Bank of America to manage its cash processing and check imaging services in 32 locations across the US. As part of this transaction, we will acquire the bank’s money rooms and related facilities and approximately 1,000 Bank of America vault employees will join GardaWorld Cash Services when the transaction closes in Q1 2014.
This agreement is part of our expansion in the cash services industry. GardaWorld provides direct and tangible contributions to US financial institutions’ strategic objectives, including:
Lower operating expenses
Exit from fixed cost infrastructure
Direct alignment of operating expenses to business volumes
Move to flexible pay per service fee arrangement
Divestiture of real estate
Single nationwide technology cash processing platform
“GardaWorld is uniquely positioned to be a partner of choice to the financial services clients in North America,” said President and COO, Christopher Jamroz. “This transaction more than doubles the capacity of GardaWorld’s existing cash processing platform and creates an undisputed market leader in our industry.”
“The outsourcing trend of these value-added services is already commonplace in most industrialized countries,” added Founding President and CEO, Stephan Crétier, “This transaction demonstrates the options available to US banks in terms of how they think about processing cash.”
When the transaction completes in Q1 2014, GardaWorld will operate 280 secure cash processing centers across the US and we are looking forward to welcoming our newest team members!