Capital One received a notice of termination from Walmart for their credit card partnership agreement and Walmart has filed a lawsuit seeking the right to terminate the agreement early. The Card Program has $8.3 billion in outstanding loan balances and produced $214 million in net income after taxes in 2022. The financial impacts will depend on the resolution of the litigation. If Walmart is allowed to terminate the program, the transfer of the card portfolio to a new issuer would occur no earlier than January 2025.