Visa signs $170m deal with Fifa

The Visa sponsorship deal is worth about $170m

Credit card firm Visa says it has reached a deal to sponsor the 2010 and 2014 World Cup football tournaments.

The eight-year $170m (£85m) deal with world governing body Fifa would be useful in "driving business" Visa said.

It comes after Fifa paid rival credit card firm Mastercard $90m to settle a bitter sponsorship dispute.

Mastercard has sponsored each World Cup since 1990 and beleived it had first refusal to extend the deal for the 2010 and 2014 tournaments.

It took legal action against Fifa after the organisation struck what it argued was a conflicting deal with Visa.

'Global sporting property'

When it settled with Fifa on 21 June, Mastercard said it no longer wanted to work with the Zurich-based governing body.

The Mastercard sponsorship deal had been worth about $180m.

Visa will pay $170m for the sponsorship, $10m less than it had originally bid, Fifa President Joseph Blatter said.

Visa already sponsors the Olympic Games and the Rugby World Cup.

"We look forward to activating our FIFA partnership," said John Elkins, executive vice president at Visa International.

"We know first hand how valuable a global sporting property can be in driving business."

SOURCE : BBC -BUSINESS