Visa USA Appoints John Philip Coghlan As President And CEO
Former Schwab Executive, Entrepreneur Brings Financial Services, Technology, Brand Expertise to Nation’s Electronic Payments Leader
SAN FRANCISCO - July 11, 2005
Visa USA, the nation's leading payment brand and largest payment system, today appointed John Philip Coghlan, 54, as president and chief executive officer, effective immediately. Coghlan joins Visa following 17 years at Charles Schwab and Company, where he most recently served as vice chairman of The Charles Schwab Corporation and as president of the Schwab Individual Investor Group.
Coghlan succeeds Carl F. Pascarella, who held the chief executive officer and president positions for Visa USA since 1993. Last July, Pascarella announced his intention to retire from the organization by September 2005.
"From a list of many highly qualified candidates, John was the Board's overwhelming choice because of his extraordinarily successful track record in the financial services industry and his proven leadership skills across a range of areas critical to Visa's future success," said G. Patrick Phillips, chairman of the Board of Visa USA; president of card services, Bank of America; and head of the CEO search committee.
"John brings a fresh perspective and an innovative approach to solving complex business challenges. His proficiency in crafting long-term strategies and leading short-term execution is reflected in his many achievements at Schwab. These attributes, coupled with his experience as an entrepreneur, will enable Visa to anticipate and meet the changing needs of its stakeholders in the near term and for decades to come," concluded Phillips.
As president and CEO of Visa USA, Coghlan will be responsible for setting the strategic priorities that will enable Visa to extend its leadership in an increasingly competitive and dynamic industry. He will also oversee and guide a senior management team responsible for executing the day-to-day operations, with a focus on delivering increased value to all stakeholders in the payments chain.
"I am grateful for the opportunity to lead this world-class organization into the future," said Coghlan. "I look forward to working closely with Visa's leadership team to seize the opportunities and to tackle the complex challenges that face the company as we drive performance to new heights."
About John Philip Coghlan
Coghlan joins Visa after having served 17 years at Charles Schwab and Company, where he demonstrated strong leadership skills, sales management expertise, an understanding of the critical role that technology and innovation play in driving growth for financial services, and a keen appreciation for the importance of brand-building.
- At Schwab, Coghlan was a member of the Executive Committee of The Charles Schwab Corporation, as well as president of the Board of Directors of The Charles Schwab Trust Company, a subsidiary of The Charles Schwab Corporation.
- One of Coghlan's main contributions to Schwab was building Schwab Institutional, the industry's dominant service provider to independent investment advisers. Coghlan also built Schwab's defined contribution business into the fastest-growing competitor in the marketplace.
- After more than a decade as president of Schwab's Institutional business, Coghlan took over the reins of the retail business. As president of the Individual Investor Business, he oversaw the 390-office network, four customer service call centers, and schwab.com.
- Before joining Schwab, Coghlan was a founder and the chief operating officer of San Francisco Grocery Express, Ltd., a direct-response catalog grocery-delivery company.
- Coghlan holds a Bachelor of Arts degree in psychology, with honors in social thought from Stanford University, a Master of Arts degree in economics and public policy from the Woodrow Wilson School of Princeton University, and a Master of Business Administration from Harvard University.
The Visa USA Board of Directors retained Russell Reynolds Associates to facilitate the search for candidates.
Carl F. Pascarella announced his intention to retire from Visa after more than two decades of service in both Asia and the United States.
"The Board, our employees, and Members appreciate the tremendous contributions Carl has made during the past 22 years. Specifically, Carl's foresight and unbridled commitment in transforming Visa from a one-dimensional credit card company into the leader in electronic payments elevated everyone's thinking and understanding of Visa's potential," said Phillips.
As an example, Pascarella helped drive the rapid growth in the use of debit cards for payments in the United States, tapping into the $19 trillion payments market traditionally held by cash and checks. Debit volume today, online and offline, represents 64 percent of all Visa transactions.
"While Carl will be missed when he retires, his tenure will not be forgotten. During the course of his years with Visa, Carl's vision, dedication, and tireless competitive spirit have been instrumental in helping propel both Visa USA and Visa Asia-Pacific to strong leadership positions in their respective regions," continued Phillips.
Pascarella was named as president and chief executive officer of Visa USA in August 1993. Before assuming this role, Pascarella was president of Visa International's Asia-Pacific region and director of the Asia-Pacific regional Board for 11 years.
Visa - Poised for Success
The announcement of John Philip Coghlan as president and chief executive officer comes at a time when Visa is well-positioned for future growth.
Commenting on Visa's future prospects, Coghlan said, "Despite the tremendous inroads made by electronic payments, today cash and checks continue to dominate many markets, leaving us with plenty of opportunities for growth. Visa's popular brand, diverse product set, superior technology, and motivated team position us well to meet the needs of Members and merchants and their customers -- the cardholders -- and to capture these untapped opportunities."
During the last quarter, Visa posted strong gains in sales volume across all product categories, including 6.3 percent growth in consumer credit, 17.6 percent growth in consumer debit, 26.4 percent growth in commercial, and 125 percent growth in Interlink. In the calendar year 2004 alone, sales volume on Visa-branded cards (debit, credit, prepaid, and commercial) grew to a record $1.045 trillion, a 19.1 percent increase over 2003.
Visa's record performance demonstrates that the association continues to deliver payments that are convenient, secure, reliable, and accepted at an unsurpassed number of locations worldwide.
About Visa USA
Visa USA is the nation's leading payment brand and largest payment system, enabling banks to provide their consumers and business customers with a wide variety of payment alternatives tailored to meet their evolving needs. Visa USA is committed to increasing the choice, convenience, acceptance, and security of Visa payments for all stakeholders in the payments system -- Members, cardholders, and merchants. Through its 14,000 Member financial institutions, more than 463 million Visa-branded cards have been issued to cardholders in the United States. Last year, U.S.-based financial institutions relied on Visa's processing system, VisaNet, to facilitate $1.3 trillion in transactions with virtually 100 percent reliability.
Worldwide, cardholders in more than 150 countries carry more than 1 billion Visa-branded cards, accounting for more than $3 trillion in annual transaction volume.
Visa offers a trusted, reliable, and convenient way to access and mobilize financial resources -- anytime, anywhere, anyway.
Visa USA Corporate Relations