FORM 10-Q QUARTERLY REPORT UNDER SECTION 13 OR 15(d)
                   OF THE SECURITIES AND EXCHANGE ACT OF 1934

                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    FORM 10-Q

[X] Quarterly Report Pursuant to Section 13 or 15(d) of the Securities  Exchange
Act of 1934.

For the period ended                                          June 30, 1999
                    -------------------------------------------------------

Commission File Number:               0-5893

                             American Bancorporation
             (Exact name of registrant as specified in its charter)

            Ohio                                                   31-0724349
  (State or other jurisdiction of                              (I.R.S. Employer
  incorporation or organization)                             Identification No.)

  1025 Main Street, Suite 800, Wheeling, WV                          26003
  (Address of principal executive offices)                        (Zip Code)

                                 (304) 233-5006
              (Registrant's telephone number, including area code)


  Indicate  by check  mark  whether  the  registrant  (1) has filed all  reports
required to be filed by Section 13 or 15(d) of the  Securities  Exchange  Act of
1934  during  the  preceding  12 months  (or for such  shorter  period  that the
registrant was required to file such reports),  and (2) has been subject to such
filing requirements for the past 90 days.

                                                                   Yes  X   No

  Indicate the number of shares  outstanding of each of the issuer's  classes of
common stock, as of the latest practicable date.

        July 2, 1999: 3,129,674 shares of Common stock without par value


                                                  Number of pages comprising
                                                  this report. . . . . . 13



<PAGE>


AMERICAN BANCORPORATION FORM 10-Q Quarterly Report
June 30, 1999




TABLE OF CONTENTS

Part I       FINANCIAL INFORMATION
Item  1      Financial Statements
                 Condensed Consolidated Balance Sheet...................      3
                 Condensed Consolidated Statement of Income.............      4
                 Condensed Consolidated Statement of
                           Cash Flows...................................      5
                 Condensed Consolidated Statement of
                           Changes in Stockholders' Equity..............      6
             Notes to the Financial Statements..........................      6
Item  2      Management's Discussion and Analysis of Financial
                  Condition and Results of Operations...................      7
Item 3       Quantitative and Qualitative Disclosures about Market Risk...   12


Part II      OTHER INFORMATION
Item  1          Legal Proceedings........................................  None
Item  2          Changes in Securities....................................  None
Item  3          Defaults Upon Senior Securities..........................  None
Item  4          Submission of Matters to a
                             Vote of Security Holders.....................    12
Item  5          Other Information........................................  None
Item  6          Exhibits and Reports on Form 8-K.........................  None

SIGNATURES                                                                    13



                                        2





<PAGE>


AMERICAN BANCORPORATION FORM 10-Q Quarterly Report
June 30, 1999

                                       American Bancorporation and Subsidiaries
<TABLE>
<CAPTION>

CONSOLIDATED BALANCE SHEET
                                                                      June 30,        December 31,
                                                                1999             1998            1998
                                                           -------------    -------------   -------------
<S>                                                        <C>              <C>             <C>

ASSETS
Cash and due from banks ................................   $  10,321,225    $  13,568,912   $  12,316,176
Interest bearing deposits in other banks ...............         257,794          145,488            --
Federal funds sold .....................................       4,877,025       16,050,025      17,747,025
Investment securities available for sale ...............     306,669,719      214,865,641     263,827,239
Loans, net of unearned income ..........................     332,826,797      289,814,672     300,621,884
  Less allowance for loan losses .......................       3,068,302        3,179,566       3,042,269
                                                           -------------    -------------   -------------
                                                             329,758,495      286,635,106     297,579,615
Premises and equipment - net ...........................       9,641,827        9,854,463       9,735,582
Accrued interest receivable ............................       4,291,154        2,902,199       3,393,337
Excess of cost over net assets purchased ...............       1,494,562        1,801,202       1,633,464
Other assets ...........................................      10,658,433        5,354,541       5,173,024
                                                           -------------    -------------   -------------
     TOTAL ASSETS ......................................   $ 677,970,234    $ 551,177,577   $ 611,405,462
                                                           =============    =============   =============

LIABILITIES
 Deposits
   Non-interest bearing ................................   $  39,336,873    $  35,818,702   $  39,497,617
   Interest bearing ....................................     393,944,304      376,773,483     391,742,578
                                                           -------------    -------------   -------------
       TOTAL DEPOSITS ..................................     433,281,177      412,592,185     431,240,195
 Borrowed funds ........................................     193,281,312       84,096,093     123,891,183
 Accrued interest payable ..............................       2,426,190        2,272,457       2,306,854
 Other liabilities .....................................       4,217,142        4,391,546       4,858,495
 Long-term debt ........................................           4,010           18,179          11,242
 Company obligated mandatorily redeemable trust
 preferred securities of subsidiary trust holding solely
 junior subordinated debentures of the Company .........      12,650,000       12,650,000      12,650,000
                                                           -------------    -------------   -------------
    TOTAL LIABILITIES ..................................     645,859,831      516,020,460     574,957,969

STOCKHOLDERS' EQUITY
  Preferred stock ......................................            --               --              --
  Common stock without par value, stated value $2.50,
   authorized 6,500,000 shares, issued and
   outstanding 3,129,674 ...............................       7,824,185        7,824,185       7,824,185
  Additional paid-in capital ...........................      10,301,982       10,301,982      10,301,982
  Retained earnings ....................................      20,123,474       16,676,372      18,430,141
 Accumulated other comprehensive income
      (loss), net of income tax ........................      (6,139,238)         354,578        (108,815)
                                                           -------------    -------------   -------------
    TOTAL STOCKHOLDERS' EQUITY .........................      32,110,403       35,157,117      36,447,493
                                                           -------------    -------------   -------------
    TOTAL LIABILITIES AND
              STOCKHOLDERS' EQUITY .....................   $ 677,970,234    $ 551,177,577   $ 611,405,462
                                                           =============    =============   =============
</TABLE>

                                        3

<PAGE>


AMERICAN BANCORPORATION FORM 10-Q Quarterly Report
June 30, 1999


                                        American Bancorporation and Subsidiaries
<TABLE>
<CAPTION>

CONSOLIDATED STATEMENT OF INCOME

                                   Quarter ended June 30,     Six Months ended June 30,
                                      1999         1998          1999          1998
<S>                               <C>           <C>          <C>           <C>

INTEREST INCOME
 Loans............................$ 6,864,668  $ 6,377,452   $13,350,683   $12,683,363
 Investment securities
  Taxable interest income.........  3,933,458    3,324,760     7,689,465     6,242,487
  Non-taxable interest income....     702,216       23,243     1,248,095        46,014
                                 ------------  -----------    ----------   -----------
                                    4,635,674    3,348,003     8,937,560     6,288,501
 Short-term investments..........     115,119      248,639       238,492       330,084
                                 ------------   ----------   -----------   -----------
   Total interest income........   11,615,461    9,974,094    22,526,735    19,301,948

INTEREST EXPENSE
 Deposits.......................    4,336,205    4,321,546     8,781,731     8,164,638
 Borrowed funds.................    2,625,851    1,442,842     4,787,877     2,664,278
                                 ------------   ----------   -----------  ------------
   Total interest expense........   6,962,056    5,764,388    13,569,608    10,828,916
                                 ------------   ----------   -----------  ------------
     NET INTEREST INCOME.........   4,653,405    4,209,706     8,957,127     8,473,032
PROVISION FOR LOAN LOSSES.........     75,000       60,000       150,000       120,000
                                 ------------   ----------   -----------  ------------
 Net interest income after
    provision for loan losses....   4,578,405    4,149,706     8,807,127     8,353,032
OTHER INCOME
 Service charges on
    deposit accounts.............     244,179      172,922       416,444       339,902
 Securities gains................      75,155      330,809       342,967       486,809
 Net gains on sale of loans......     440,763      474,064       846,529       933,119
 Insurance commissions...........      23,906       23,282        42,950        43,430
 Other income....................     173,926      193,403       308,679       387,634
                                   ----------   ----------    ----------    ----------
   Total other income............     957,929    1,194,480     1,957,569     2,190,894
OTHER EXPENSE
 Salaries and employee benefits..   1,698,839    1,594,150     3,471,633     3,189,265
 Occupancy and equipment expense.     647,939      617,496     1,281,631     1,198,451
 Other expenses..................   1,453,337    1,374,983     2,689,201     2,590,689
                                   ----------   ----------    ----------    ----------
   Total other expense...........   3,800,115    3,586,629     7,442,465     6,978,405
                                   ----------   ----------    ----------    ----------
INCOME BEFORE INCOME TAXES.......   1,736,219    1,757,557     3,322,231     3,565,521
PROVISION FOR INCOME TAXES.......     388,604      470,556       689,996     1,025,013
                                   ----------   ----------   -----------    ----------
NET INCOME....................... $ 1,347,615  $ 1,287,001  $  2,632,235  $  2,540,508
                                  ===========  ===========  ============  ============


  Average Shares Outstanding......  3,129,674    3,129,674     3,129,674     3,129,674

    BASIC EARNINGS PER SHARE......$      0.43  $      0.41  $       0.84  $       0.81

</TABLE>

                                        4

<PAGE>


AMERICAN BANCORPORATION FORM 10-Q Quarterly Report
June 30, 1999

                                 American Bancorporation and Subsidiaries

<TABLE>
<CAPTION>

CONSOLIDATED STATEMENT OF CASH FLOWS

                                                                                     Six months ended June 30,
                                                                                      1999                1998
<S>                                                                             <C>               <C>

Operating Activities:
  Net Income ................................................................   $   2,632,235    $   2,540,508
  Adjustments to reconcile net income to net cash from operating activities:
  Depreciation ..............................................................         436,015          418,804
  Amortization of intangibles ...............................................         138,902          167,738
  Net amortization of premium on investment securities ......................         626,325          376,701
  Provision for loan losses .................................................         150,000          120,000
  Net gain on sale of investment securities .................................        (342,967)        (486,809)
  Net gain on sale of loans .................................................        (846,529)        (933,119)
  Net increase in accrued interest receivable ...............................        (897,817)        (188,959)
  Net increase in accrued interest payable ..................................         119,336          489,789
  Real estate mortgage loans originated for sale ............................     (30,093,453)     (32,392,348)
  Proceeds from sale of real estate mortgage loans ..........................      29,920,693       31,531,550
  Net increase in other assets ..............................................      (1,219,901)        (575,478)
  Net increase (decrease) in other liabilities ..............................        (641,353)         169,509
  Net decrease from other operating activities ..............................        (349,226)        (184,441)
                                                                                -------------    -------------
        Net cash provided (used) by operating activities ....................        (367,740)       1,053,445
Investing Activities:
  Investment securities available for sale:
      Proceeds from maturities and repayments ...............................      51,687,759       70,163,289
      Proceeds from sales ...................................................      37,727,462        5,886,214
      Purchases .............................................................    (142,487,764)    (122,098,505)
   Change in loans, net of real estate mortgage loans originated for sale ...     (31,309,591)      (1,554,477)
   Purchase of premises and equipment .......................................        (342,260)        (203,890)
   Proceeds from sale of premises and equipment .............................            --              1,000
                                                                                -------------    -------------
       Net cash used by investing activities ................................     (84,724,394)     (47,806,369)
Financing Activities:
   Net increase (decrease) in non-interest
      bearing demand deposits ...............................................        (160,744)       2,305,990
   Net increase in interest bearing demand and savings deposits .............       3,385,938          201,300
   Net increase (decrease) in time deposits .................................      (1,184,212)      54,350,563
   Net increase (decrease) in borrowed funds ................................      69,390,129       (3,478,059)
   Issuance (principal repayment) of long-term debt .........................          (7,232)      10,477,470
   Cash dividends paid ......................................................        (938,902)        (782,419)
                                                                                -------------    -------------
        Net cash provided by financing activities ...........................      70,484,975       63,074,845
                                                                                -------------    -------------

  Net Increase (Decrease) in Cash and Cash Equivalents ......................     (14,607,157)      16,321,921

Cash and Cash Equivalents Beginning Balance .................................      30,063,201       13,442,504
                                                                                -------------    -------------
Cash and Cash Equivalents Ending Balance ....................................   $  15,456,044    $  29,764,425
                                                                                =============    =============

</TABLE>


                                        5

<PAGE>


AMERICAN BANCORPORATION FORM 10-Q Quarterly Report
June 30, 1999

                                       American Bancorporation and Subsidiaries


CONSOLIDATED  STATEMENT OF  STOCKHOLDERS'  EQUITY
Six months ended June 30, 1999 and 1998
                                                       1999             1998
                                                      --------       ---------
Balance at January 1, ..........................   $ 36,447,493    $ 33,693,846
Comprehensive results:
   Net Income ..................................      2,632,235       2,540,508
   Other comprehensive income (loss), net of tax     (5,818,250)        (79,172)
   Reclassification adjustment, net of tax .....       (212,173)       (168,701)
                                                   ------------    ------------
    Total comprehensive results ................     (3,398,188)      2,292,635
   Dividends declared ($0.30 per share 1999,
      $0.265 per share 1998) ...................       (938,902)       (829,364)
                                                   ------------    ------------
Balance at June 30, ............................   $ 32,110,403    $ 35,157,117
                                                   ============    ============




NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

     The unaudited interim condensed  consolidated  financial statements reflect
all  adjustments  which,  in the opinion of management,  are necessary to a fair
presentation  of  the  financial   position  and  results  of  operations.   All
adjustments  are of a  normal  recurring  nature.  The  notes  to the  financial
statements contained in the 1998 Annual Report to Stockholders should be read in
conjunction with these statements.

                                        6
<PAGE>


AMERICAN BANCORPORATION FORM 10-Q Quarterly Report
June 30, 1999

MANAGEMENT'S DISCUSSION AND ANALYSIS
     OF FINANCIAL POSITION AND RESULTS OF OPERATIONS


INTRODUCTION
     The discussion and analysis, when read in conjunction with the consolidated
financial  statements and accompanying notes, is designed to provide information
relevant to an assessment of financial  performance and management's  perception
of significant events.

     The following is a discussion of significant factors influencing  operating
performance  and  change  in  financial  position  during  the  interim  periods
presented.  The  discussion  should be read in  connection  with the 1998 Annual
Report and the financial statements appearing elsewhere herein.

SUMMARY
     American Bancorporation (the "Company") recognized net income of $2,632,000
or $0.84  basic  earnings  per share,  for the six months  ended June 30,  1999,
compared to net income of $2,541,000 or $0.81 basic earnings per share,  for the
six months ended June 30, 1998.  Return on average  assets and return on average
equity were 0.80% and 14.75%,  respectively,  for the six months  ended June 30,
1999 compared to 0.97% and 14.61%,  respectively,  for the six months ended June
30, 1998.

     Total assets at June 30, 1999 increased to $677,970,000,  from $551,178,000
at June 30, 1998, an increase of 23.0%.  Deposits  increased to  $433,281,000 at
June 30, 1999, from  $412,592,000  at June 30, 1998, an increase of 5.0%.  Total
stockholders'  equity was $32,110,000 at June 30, 1999, which represents an 8.7%
decrease over total stockholders' equity of $35,157,000 at June 30, 1998.


RESULTS OF OPERATIONS
       SIX MONTH COMPARISON

     Net Income.  Net income for the six months ended June 30, 1999  amounted to
$2,632,000,  or $0.84  basic  earnings  per  share,  compared  to net  income of
$2,541,000 or $0.81 basic earnings per share,  for the six months ended June 30,
1998.  The increase  was the result of an increase in net interest  income and a
decrease  in income  taxes  which was  partially  offset by  increases  in other
expense and provision for loan losses and a decrease in other income.

     Net Interest  Income.  Net interest income before provision for loan losses
for the six months ended June 30, 1999  amounted to  $8,957,000,  an increase of
$484,000 or 5.7%,  compared to the six months ended June 30, 1998.  The increase
resulted  primarily  from a $127,215,000  or 25.6% increase in average  interest
earning  assets which was partially  offset by a 46 basis point  decrease in the
Company's margin.

     Total  interest  income for the six months ended June 30, 1999  amounted to
$22,527,000 an increase of $3,225,000 or 16.7%, compared to the six months ended
June 30, 1998. The increase resulted  primarily from the increase in the average
interest  earning assets which was partially offset by a 48 basis point decrease
in the average  yield on earning  assets.  Average loans  outstanding  increased
$26,606,000  or 9.2% with average  commercial  loans  increasing  $30,428,000 or
31.7%, while average real estate loans decreased  $3,667,000 or 2.6% and average
consumer  installment  loans  decreased  $155,000 or 0.3%.  The average yield on
loans  decreased  from  8.80%  in 1998 to  8.48%  in  1999.  Average  investment
securities and other short-term  investments  outstanding increased $100,609,000
or 48.3% while the average yield decreased from 6.35% in 1998 to 6.10% in 1999.

                                        7

<PAGE>


AMERICAN BANCORPORATION FORM 10-Q Quarterly Report
June 30, 1999


     Total  interest  expense for the six months ended June 30, 1999 amounted to
$13,570,000,  an  increase of  $2,741,000  or 25.3% , compared to the six months
ended June 30, 1998. The increase  resulted  primarily  from a  $124,769,000  or
27.7% increase in the average volume of interest bearing  liabilities  which was
partially  offset by a 10 basis point  decrease  in interest  rates paid on such
liabilities. Average NOW, money market and savings accounts decreased $1,572,000
or 1.3%.  Average time deposits  increased  $40,178,000 or 17.3%,  primarily the
result of increased  marketing  efforts.  Average  noninterest  bearing accounts
increased  $3,550,000 or 9.5% and represented 8.7% of average total deposits for
the six months ended June 30, 1999. Average borrowed funds increased $80,818,000
or 90.7% , while the average rate paid on borrowed funds decreased from 5.40% in
1998 to 4.99% in 1999.

     Provision for Loan Losses. The loan loss provision for the six months ended
June 30, 1999 was $150,000, compared to $120,000 for the same period in 1998.

     Other Income.  Other income for the six months ended June 30, 1999 amounted
to  $1,958,000,  a decrease  of  $233,000  or 10.6%.  Net gains on sale of loans
decreased $87,000 or 10.2%. Net gain on sale of investment  securities  totalled
$343,000 in 1999, compared to $487,000 in 1998.

     Other  Expense.  Total other expense for the six months ended June 30, 1999
amounted to  $7,442,000,  an  increase of $464,000 or 6.6%,  compared to the six
months ended June 30, 1998. Salaries and employee benefits increased $282,000 or
8.9%.   Occupancy  and  equipment  expense  increased  $83,000  or  6.9%.  Other
(miscellaneous) expenses increased $99,000 or 3.8%.

     Provision  for Income  Taxes.  The  provision  for income taxes for the six
months  ended June 30, 1999 was  $690,000,  compared to  $1,025,000  for the six
months ended June 30, 1998.  The decrease is primarily  the result of additional
tax exempt income in 1999.


RESULTS OF OPERATIONS
     QUARTER COMPARISON

     Net  Income.  Net income for the quarter  ended June 30,  1999  amounted to
$1,348,000,  compared to net income of $1,287,000 for the quarter ended June 30,
1998.  The increase  was the result of an increase in net interest  income and a
decrease  in income  taxes  which was  partially  offset by  increases  in other
expense and provision for loan losses and a decrease in other income.

     Net Interest  Income.  Net interest income before provision for loan losses
for the quarter  ended June 30,  1999  amounted  to  $4,653,000,  an increase of
$444,000 or 10.5%,  compared to the quarter  ended June 30,  1998.  The increase
resulted  primarily  from a $118,785,000  or 22.9% increase in average  interest
earning  assets which was partially  offset by a 33 basis point  decrease in the
Company's margin .

     Total  interest  income for the  quarter  ended June 30,  1999  amounted to
$11,615,000, an increase of $1,641,000 or 16.5% , compared to the same period in
1998. The increase resulted primarily from the increase in the average volume of
earning  assets which was partially  offset by a 39 basis point  decrease in the
average yield on earning assets. Average loans outstanding increased $34,493,000
or 11.9%.  Average  commercial  loans  increased  $34,337,000 or 35.5%,  average
consumer  installment  loans  increased  $1,458,000  or 2.9% while  average real
estate loans decreased  $1,302,000 or 0.9%. The average yield on loans decreased
from 8.81% in 1998 to 8.47% in 1999.

                                        8

<PAGE>


AMERICAN BANCORPORATION FORM 10-Q Quarterly Report
June 30, 1999



Average  investment  securities  and other  short-term  investments  outstanding
increased  $84,293,000  or 36.6% and the average yield  decreased  from 6.25% in
1998 to 6.04% in 1999.

     Total  interest  expense  for the quarter  ended June 30, 1999  amounted to
$6,962,000,  an increase of $1,198,000  or 20.8%,  compared to the quarter ended
June 30, 1998. The increase  resulted  primarily from an  $118,012,000  or 25.0%
increase  in the  average  volume  of  interest  bearing  liabilities  which was
partially  offset by a 17 basis point  decrease  in interest  rates paid on such
liabilities.

     Provision  for Loan Losses.  The loan loss  provision for the quarter ended
June 30, 1999 was $75,000, compared to $60,000 for same period in 1998.

      Other Income. Other income amounted to $958,000 for the quarter ended June
30, 1999,  compared to $1,194,000 for the quarter ended June 30, 1998. Net gains
on sale of  loans  decreased  $33,000  or 7.0%.  Net gain on sale of  investment
securities  totalled  $75,000  for the quarter  ended June 30, 1999  compared to
$331,000 for the same period in 1998.

     Other  Expense.  Total other  expense  for the quarter  ended June 30, 1999
amounted to  $3,800,000,  an increase of $213,000 or 6.0%,  compared to the same
period in 1998.  Salaries  and  employee  benefits  increased  $105,000 or 6.6%.
Occupancy and equipment expense increased $30,000 or 4.9%. Other (miscellaneous)
expenses increased $78,000 or 5.7%.

       Provision  for Income  Taxes.  The  provision  for  income  taxes for the
quarter ended June 30, 1999 was  $389,000,  compared to $471,000 for the quarter
ended  June 30,  1998.  The  decrease  is  primarily  the  result of  additional
tax-exempt income in 1999.


ASSET QUALITY

     Nonperforming  loans totalled $2,568,000 or 0.8% of total loans at June 30,
1999,  compared to $2,960,000 or 1.0% at December 31, 1998.  Nonperforming loans
at June 30, 1999  consisted of nonaccrual  loans  totalling  $1,151,000,  90 day
delinquent loans of $1,106,000,  and restructured  loans  aggregating  $311,000.
Other real estate held totalled $533,000 at June 30, 1999,  compared to $183,000
at December 31, 1998.

CAPITAL RESOURCES

       Stockholders' equity totalled $32,110,000 at June 30, 1999. The Company's
risk-based   capital  ratio  was  15.2%,  of  which  14.3%  constituted   common
stockholder  equity,  while the risk-based  capital ratio for the Company's bank
subsidiary, Wheeling National Bank, was 14.1%, with common stockholder equity of
13.3%. At June 30, 1999 the Company's leverage capital ratio was 7.4%, while the
leverage ratio for Wheeling National Bank was 6.9%.

                                        9


<PAGE>


AMERICAN BANCORPORATION FORM 10-Q Quarterly Report
June 30, 1999



YEAR 2000 COMPLIANCE

     The Company may be exposed to potential losses due to business interruption
or errors which could result if any of its computer  systems are not modified to
ensure that dates  beginning  in  January,  2000 are not  misinterpreted  by the
system as January,  1900. This is commonly referred to as the Year 2000 issue. A
number of computer  systems  which are affected by Year 2000 are utilized by the
Company to operate its day-to-day business.

     Management has established a task force to develop and maintain a Year 2000
Compliance  Plan. The Company's Year 2000  Compliance  Plan has been prepared in
accordance with the Federal Financial Institutions Examination Council ("FFIEC")
guidelines  on Year 2000  Compliance  and  involves the  following  five phases:
awareness, assessment,  renovation,  validation and implementation. The Company
has completed all phases of the Y2K Compliance Plan.

     The  Company has  contacted  large  commercial  customers  and  significant
suppliers  to  determine  their  capability  to resolve the Year 2000 issues and
attain compliance. Risk ratings have been assigned to customers and suppliers.
Further contact will occur based on survey results.

     The Company has prepared general  contingency  plans to address  unforeseen
Year 2000 issues.  Contingency plans will be continuously  monitored and updated
as conditions change throughout 1999 and into the Year 2000.

     The Company has estimated that direct costs for Y2K compliance  will not be
material.

     Y2K  problems  which are  inherent  in the  regional,  national  and global
banking and payments system are expected to be brought into compliance,  but are
completely beyond the Company's control.

                                       10


<PAGE>


AMERICAN BANCORPORATION FORM 10-Q Quarterly Report
June 30, 1999

<TABLE>
<CAPTION>

                                      Three months ended June 30,            Six months ended June 30,
                                          1999              1998             1999             1998
                                   Average   Yield/  Average   Yield/   Average  Yield/ Average   Yield/
                                    Balance   Rate    Balance   Rate     Balance  Rate   Balance   Rate
<S>                                 <C>        <C>    <C>        <C>    <C>       <C>   <C>         <C>

INTEREST EARNING ASSETS              (000's)           (000's)            (000's)         (000's)
 Loans
  Commercial ....................   $131,154   8.78%  $ 96,817   9.28%  $126,439  8.68% $ 96,012    9.19%
  Real estate ...................    141,557   7.86    142,859   8.28    138,718  8.00   142,384    8.30
  Installment-net ...............     51,483   8.28     50,025   8.44     49,599  8.33    49,753    8.43
                                  ----------          --------           -------        --------
   Total loans ..................    324,194   8.47    289,701   8.81    314,756  8.48   288,149    8.80
 Investment securities
  Taxable .......................    248,453   6.33    214,007   6.21    247,834  6.21   197,626    6.32
  Tax-exempt ....................     57,420   4.89      1,143   8.13     52,332  5.72     1,116    8.25
                                  ----------          --------           -------         -------
   Total investment securities ..    305,873   6.06    215,150   6.22    300,166  6.12   198,742    6.33
 Other short-term investments ...      8,543   5.39     14,974   6.64      8,775  5.44     9,591    6.88
                                  ----------          --------           -------          ------
    Total interest earning assets   $638,610   7.28   $519,825   7.67   $623,697  7.30  $496,482    7.78
                                  ==========          ========          ========        ========
INTEREST BEARING LIABILITIES
  Deposits
   NOW, Savings and MMDA ........   $120,534   2.27%  $121,565   2.70%  $119,275  2.26% $120,847    2.67%
   Time .........................    271,070   5.39    246,101   5.69    272,627  5.45   232,449    5.64
                                   ---------          --------         ---------        --------
    Total deposits ..............    391,604   4.43    367,666   4.70    391,902  4.48   353,296    4.62
 Borrowed funds .................    186,563   5.04     92,475   5.35    169,939  4.99    89,121    5.40
  Long-term debt ................     12,655   8.71     12,669   6.51     12,657  8.71     7,312    7.00
                                    --------          --------          ---------       --------
    Total interest
        bearing liabilities .....   $590,822   4.71   $472,810   4.88   $574,498  4.72  $449,729    4.82
                                    ========          ========          ========        ========

MARGIN ANALYSIS
 (as a % of earning assets)
 Interest income ................              7.28%             7.67%            7.30%             7.78%
 Interest expense ...............              4.37              4.43             4.35              4.37
                                              -----             -----            -----              ----
 Net interest income ............              2.91%             3.24%            2.95%             3.41%
                                              =====             =====            =====              ====


</TABLE>


Averages stated are month end average balances. Installment loans are stated net
of unearned  income.  Average  loans  include  nonaccrual  loans.  Yields do not
reflect tax equivalent adjustments.




                                       11

<PAGE>


AMERICAN BANCORPORATION FORM 10-Q Quarterly Report
June 30, 1999

Item 3.   Quantitative and Qualitative Disclosures about Market Risk

            Management is responsible  for monitoring and limiting the Company's
exposure to interest rate risk within  established  guidelines  while maximizing
net interest income.  During the first half of 1999, the Company's interest rate
risk position grew more  liability  sensitive.  The change in position  resulted
primarily from the purchase of fixed-rate  securities  funded by short-term FHLB
borrowings.

            Quantitative  and  qualitative  disclosures  about  market  risk are
presented at December  31, 1998 in Item 7a. of the  Company's  Annual  Report on
Form 10-K, filed with the SEC on March 31, 1999.

Part II.   OTHER INFORMATION

Item 4.   Submission of Matters to a Vote of Securities Holders

            The Annual Meeting of  Shareholders  was held May 19, 1999.  Proxies
were solicited  pursuant to Regulation 14 of the 1934 Act. Shares represented in
person or by proxy totalled  2,557,659 or 81.72% of the shares then outstanding.
Shareholders approved by affirmative vote the following proposals:

            1.       To fix the number of  positions  for director at 10, with 2
                     vacancies that may be filled by the Board of Directors:

                              Vote For: 2,535,107 Against: 21,264 Abstain: 1,288

            2.       To elect Abigail M.  Feinknopf,  Jay T. McCamic and Jeffrey
                     W.  McCamic  directors  for a three  year term and to elect
                     John J. Malik, Jr. director for a one year term.

                                            Vote For  Vote Withheld     Abstain
             Abigail M. Feinknopf ........   2,516,017      41,642           0
             Jay T. McCamic ..............   2,349,920     207,739           0
             Jeffrey W. McCamic ..........   2,349,920     207,731           0
             John J. Malik, Jr ...........   2,513,325      44,334           0

          Continuing in the position of director were the following:

                                                 Term Expiring
                   Jeremy C. McCamic                  2000
                   Jolyon W. McCamic                  2000
                   Jack O. Cartner                    2001
                   Paul W. Donahie                    2001


Item  6.  Exhibits and Reports on Form 8-K

         B. Reports on Form 8-K:

              Date                 Item             Description
            None


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<PAGE>


AMERICAN BANCORPORATION FORM 10-Q Quarterly Report
June 30, 1999


                                   SIGNATURES

  Pursuant to the  requirements  of the  Securities  Exchange  Act of 1934,  the
Registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned thereunto duly authorized.

                                                        AMERICAN BANCORPORATION
                                                              (Registrant)

Date    8/16/99                                        /s/ Jeremy C. McCamic
                                                         Jeremy C. McCamic
                                                         Chairman and
                                                         Chief Executive Officer


Date    8/16/99                                       /s/ Brent E. Richmond
                                                         Brent E. Richmond
                                                         Chief Operating Officer


Date    8/16/99                                       /s/ Jeffrey A. Baran
                                                         Jeffrey A. Baran
                                                         Chief Financial Officer


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