American Express Co. said it’s seeking to cut $3 billion in costs after the coronavirus pandemic caused a plunge in spending on the firm’s cards.
The slowdown the credit-card issuer began to see in March as a result of nationwide shelter-in-place orders has “dramatically” impacted spending on its cards in April as well, American Express warned Friday. Provisions for loan losses rose to $2.6 billion in the first three months of the year as unemployment soared.
