American Express profits rose sharply in the third quarter as it transitioned the vast majority of its members to a new, higher-fee Platinum Card while its well-to-do customers continued to spend aggressively.

The company also announced its first major job cuts in roughly a decade, telling investors it laid off 5% of its workforce, or about 4,000 employees, last quarter.

The New York company reported a profit of $3. 71 billion, up 28% from a year ago, or $5. 42 a share.