32 jobs cuts in KeyCorp acquisition So Far

By KEVIN HARLIN, Business writer

   Albany Times Union

ALBANY -- KeyCorp will eliminate 32 positions in Albany by the end of March as part of a deal announced Friday to acquire a business equipment leasing arm from American Express Co.

It's unclear how many layoffs will occur. Key Equipment Finance, the KeyCorp unit making the acquisition, said it has offered to relocate 24 of its administrative and sales people from their South Pearl Street office to operations in Houston, Chicago and Boulder, Colo.

Those who choose not to move, as well as eight other employees whose jobs are being phased out, are being offered chances first to move to other KeyCorp positions in the Capital Region, the company said.

Neither Key nor American Express disclosed the terms of the deal for American Express Business Finance Corp. It's expected to close in late November or early December, pending regulatory approval.

The layoffs would go into effect at the end of March, said Adam Warner, who will be president and chief operating officer of Express Leasing Services, the name of the merged American Express-Key business lines. It will be based at Key's 66 S. Pearl St. office.

Warner said the positions were being moved to take advantage of economies of scale to be gained at the larger operations in those cities.

American Express Business Finance has about 400 employees and a portfolio of about $1.5 billion. It serves small and midsized businesses, mostly in the health care, information technology and construction segments.

Key Equipment Finance, based in Boulder, has about $10 billion in its portfolio and about 675 employees worldwide, with almost 200 located in Albany.