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Can you guess Target’s biggest cost after payroll?

Investment blogger TraderMark catches an impressive statistic in a Bloomberg story about credit-card interchange fees.
Target tells the newswire that credit-card interchange fees are the retailer’s second-highest expense, exceeded

Investment blogger TraderMark catches an impressive statistic in a Bloomberg story about credit-card interchange fees.

Target tells the newswire that credit-card interchange fees are the retailer’s second-highest expense, exceeded only by payroll.

A battle is brewing in Congress with Visa and MasterCard’s lobbyists in one corner and Target and Wal-Mart’s lobbyists in the other. Lawmakers are considering new rules to lower the fees, which today can sometimes exceed 3 percent of the purchase price.

A Target spokesman tells Bloomberg that the company has no leverage against the credit-card companies because it’s “simply not realistic” to stop accepting plastic.