Chase Manhattan Bank will purchase the credit-card portfolio of Michigan National Corp. for more than $220 million, cementing Chase's position as the nation's No. 2 bank credit card issuer.
The portfolio, held by the Independence One Bank N.A. subsidiary of Michigan National, consists of more than one million Visas and MasterCards with outstanding balances totaling about $1.1 billion.
Chase called the acquisition the largest in the history of the credit-card industry.
According to a statement from Michigan National, Chase will pay between $224 million and $228 million based on a formula applied as of May 31. A Chase spokesman had no comment on the price.