American Express announces 3,500 layoffs despite profit jump and success of $895 Platinum Card

Revenue and profits rose as customers both charged more on their cards and paid more to hold an AmEx card - (Reuters)

American Express says it will cut 3,500 jobs, or 5% of its workforce, in its first major round of layoffs in roughly a decade.

The company told investors about the reductions as it reported a sharp rise in third-quarter profits. The New York company made a profit of $3.71 billion in the quarter, up 28% from a year ago, or $5.42 a share.