JP Morgan Chase 2010 Annual Report Download - page 43

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2010 Highlights and Accomplishments
competitor. Chase’s card products
are winning in the marketplace
and are gaining share across key
customer segments.
We continued to streamline our
co-brand partnerships, from some
200 in 2008 to approximately 80
in 2010, focused exclusively on
aligning Chase with some of the
world’s best brands, such as Hyatt
Hotels and Ritz-Carlton.
Our credit line management
strategy has helped improve credit
loss trends, as we have closed inac-
tive accounts, removing approxi-
mately $50 billion of unused credit
lines since 2008; lowered credit
lines for high-risk customers;
and reduced average credit lines
for new accounts. We’ve changed
our approach to risk assessment,
looking at customers’ debt-to-
income and total bankcard debt,
as well as their FICO score.
2011 Priorities: Benefiting from
Customer Relationships as
Consumer Markets Improve
Looking ahead, we continue to be
concerned about elevated unem-
ployment levels, an uncertain
regulatory environment and the
ever-present challenges of driving
growth. However, our new products
and services are providing plenty
of reasons for our customers to
use Chase for everyday spending,
and we believe growth will come
through delivering the best
customer service in our industry.
In light of this, I have rearmed
our 20% return on equity target on
reduced equity of $13 billion.
A key part of our growth strategy
is launching premier products and
rewards programs in partnership
with brands known worldwide for
best-in-class service and value to our
joint customers.
To make every interaction an
outstanding one, we’re looking at
every policy, practice, communi-
cation and conversation through
the customers’ eyes. This customer
filter is in place throughout our
organization, from our Treating
Customers Fairly principles; to our
new Consumer Practices orga-
nization, charged with ensuring
that all our marketing promises
are clear, simple and transparent;
to customer treatment strategies
focused on individual needs; to
employee accountability for imme-
diately raising issues that aect the
customer experience.
Chase Card Services is excited
about the momentum we are
building. As evidenced by our sales
share gains, the response from our
customers to our new products and
services has been terrific. Our busi-
ness is well positioned to continue
to gain profitable market share.
Gordon Smith
CEO, Card Services
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$ 310
20102009200820072006
$257
$281
$293
$279
$302
3.4
3.1
3.6
3.7
4.0
3.0
3.5
4.0
4.5
5.0
 Sales volume, excluding WaMu (dollars in billions)
 Sales transactions, excluding WaMu (in billions)
Note: Sales data exclude cash advances and balance transfers
Sales volume
Sales transactions
Sales Volume and Transactions Hit Record Levels in 2010
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Sales Volume and Transactions Hit Record Levels in 2010