<PAGE>


                                                         EXHIBIT  99.1

                          ANNUAL SERVICER'S CERTIFICATE

                             AMERICAN EXPRESS TRAVEL
                         RELATED SERVICES COMPANY, INC.

          --------------------------------------------------------------
                  AMERICAN EXPRESS CREDIT ACCOUNT MASTER TRUST
          --------------------------------------------------------------

         The undersigned,  a duly authorized  representative of American Express
Travel Related  Services  Company,  Inc., as Servicer  ("TRS"),  pursuant to the
Pooling  and  Servicing  Agreement  dated as of May 16,  1996,  (as  amended and
supplemented,  the "Agreement"), by and among TRS, as Servicer, American Express
Centurion Bank, a Utah banking  institution,  and American  Express  Receivables
Financing  Corporation  II,  each as  Transferor,  and The Bank of New York,  as
trustee (the "Trustee"),  does hereby certify to the best of his knowledge after
reasonable investigation that:

         1. TRS is as of the date  hereof  the  Servicer  under  the  Agreement.
Capitalized  terms used in this Certificate  have their respective  meanings set
forth in the Agreement.

         2. The  undersigned  is duly  authorized  pursuant to the  Agreement to
execute and deliver this Certificate to the Trustee.

         3. A review of the activities of the Servicer  during the calendar year
ended December 31, 1998 and of its performance under the Agreement was conducted
under my supervision.

         4. Based on such review, the Servicer has, to the best of my knowledge,
performed  in  all  material   respects  its  obligations  under  the  Agreement
throughout  such  calendar  year  and no  default  in the  performance  of  such
obligations  has  occurred or is  continuing  except as set forth in paragraph 5
below.

         5. The following is a description of each default in the performance of
the Servicer's  obligations under the provisions of the Agreement known to me to
have been made by the Servicer during the calendar year ended December 31, 1998,
which sets in detail (i) the nature of each such default,  (ii) the action taken
by the  Servicer,  if any,  to remedy each such  default,  and (iii) the current
status of each such default: NONE.

         IN WITNESS WHEREOF, the undersigned, has duly executed this Certificate
this 19th day of March, 1999.
                                  AMERICAN EXPRESS 
                                  TRAVEL RELATED SERVICES COMPANY, INC.,
                                  as Servicer


                                  By: /s/ Lawrence Fazzari
                                      -----------------------------------
                                      Name:   Lawrence Fazzari
                                      Title:  Vice President - Business Results


<PAGE>
                                                         EXHIBIT 99.2

REPORT OF INDEPENDENT ACCOUNTANTS


American Express Travel Related Services Company, Inc.
3 World Financial Center
200 Vesey Street
New York, New York 10285

American Express Centurion Bank
6985 Union Park Center, Suite 235
Midvale, UT 84047

American Express Receivables Financing Corporation II
3 World Financial Center
200 Vesey Street
New York, New York 10285

         and

The Bank of New York
101 Barclay Street, Floor 12E
New York, New York 10286


We have audited in accordance  with generally  accepted  auditing  standards the
consolidated  balance sheet of American Express Travel Related Services Company,
Inc.  (the  "Company")  as of December  31, 1998,  and the related  consolidated
statements  of income,  shareholder's  equity,  and cash flows for the year then
ended, and have issued our report thereon dated February 4, 1999.

In connection  with our audit,  nothing came to our attention  that caused us to
believe that the Company failed to comply with the terms, covenants, provisions,
or conditions of Articles III and IV and Section 8.08 of the Master  Pooling and
Servicing  Agreement,  dated as of May 16, 1996, as amended and  supplemented by
the Series' 1996-1,  1997-1, and 1998-1 Supplements (together the "Agreement"),
among  the  Company,  as  Servicer,   American  Express  Receivables   Financing
Corporation II ("RFCII") and American Express Centurion Bank  ("Centurion"),  as
Transferors,  and The Bank of New York  ("BONY"),  as  Trustee  on behalf of the
Certificateholders  of the Trust,  insofar as they relate to accounting matters.
However,  our audit is not directed primarily toward obtaining knowledge of such
noncompliance.  Also, it should be understood that we make no representations as
to questions of legal interpretation.


<PAGE>


     This report is intended  solely for the information and use of the Company,
RFC II,  Centurion,  BONY,  Moody's  Investors  Services  and  Standard & Poor's
Corporation  and is not  intended  to be and should not be used by anyone  other
than these specified parties. However, this report is a matter of public record,
as a result of inclusion as an exhibit to the Annual Report to  Shareholders  on
Form 10-K filed by RFC II on behalf of the Trust,  and its  distribution  is not
limited.




March 15, 1999                                            /s/ Ernst & Young LLP


<PAGE>




REPORT OF INDEPENDENT ACCOUNTANTS



American Express Travel Related Services Company, Inc.
3 World Financial Center
200 Vesey Street
New York, New York 10285

American Express Centurion Bank
6985 Union Park Center, Suite 235
Midvale, UT 84047

American Express Receivables Financing Corporation II
3 World Financial Center
200 Vesey Street
New York, New York 10285

         and

The Bank of New York
101 Barclay Street, Floor 12E
New York, New York 10286


We have examined  management's  assertion  that American  Express Travel Related
Services Company,  Inc.  ("TRS"),  a wholly owned subsidiary of American Express
Company  ("American   Express"),   maintained   internal  control  policies  and
procedures  over the  functions  performed as Servicer of the  American  Express
Credit Account Master Trust (the "Trust") that are effective, as of December 31,
1998,  in  providing  reasonable  assurance  that Trust  assets are  safeguarded
against loss from  unauthorized  use or disposition  and that  transactions  are
executed in accordance with  management's  authorization  in conformity with the
Master Pooling and Servicing Agreement, dated as of May 16, 1996, as amended and
supplemented by the Series' 1996-1,  1997-1 and 1998-1 Supplements (together the
"Agreements"),  among TRS as Servicer,  American Express  Receivables  Financing
Corporation II ("RFCII") and American  Express  Centurion Bank  ("Centurion") as
Transferors,   and  The  Bank  of  New  York  as   Trustee   on  behalf  of  the
Certificateholders  of the  Trust,  and are  recorded  properly  to  permit  the
preparation of the required financial reports. This assertion is included in the
accompanying  report of  management  titled,  "Report  of  Management  on Credit
Account  Master Trust Internal  Control  Policies and Procedures and Pooling and
Servicing Agreement Compliance" (the "Report").

Our  examination  was  made in  accordance  with  standards  established  by the
American Institute of Certified Public  Accountants,  and accordingly,  included
obtaining  an  understanding  of  the  internal 


<PAGE>

control  policies  and  procedures  over  the  functions  performed  by  TRS  as
Servicer  of  the  Trust,  testing  and  evaluating  the  design  and  operating
effectiveness  of the policies and procedures,  and such other  procedures as we
considered  necessary  in the  circumstances.  We believe  that our  examination
provides a reasonable basis for our opinion.

Because of inherent  limitations  in any internal  control policy and procedure,
errors or irregularities may occur and not be detected. Also, projections of any
evaluation of the internal  control  policies and procedures  over the functions
performed  by TRS as Servicer of the Trust to future  periods are subject to the
risk that the policies and procedures may become  inadequate  because of changes
in conditions  or that the degree of compliance  with the policies or procedures
may deteriorate.

In our opinion,  management's  assertion  that TRS maintained  internal  control
policies and  procedures  over the functions  performed as Servicer of the Trust
that are effective,  as of December 31, 1998, in providing  reasonable assurance
that  Trust  assets  are  safeguarded  against  loss  from  unauthorized  use or
disposition and that  transactions are executed in accordance with  management's
authorization  in  conformity  with the  Agreements  between  TRS, as  Servicer,
Centurion  and RFCII,  as  Transferors,  and The Bank of New York, as Trustee on
behalf of the  Certificateholders  of the Trust,  and are  recorded  properly to
permit the preparation of the required financial  reports,  is fairly stated, in
all material respects, based upon the criteria specified in the Report.

This  report is  intended  solely  for the  information  and use of the Board of
Directors and management of TRS as Servicer, RFCII and Centurion as Transferors,
and The Bank of New York as Trustee, and is not intended to be and should not be
used by anyone other than these  specified  parties.  However,  this report is a
matter of public  record,  as a result of  inclusion as an exhibit to the Annual
Report to Shareholders  on Form 10-K filed by RFCII on behalf of the Trust,  and
its distribution is not limited.




March 15, 1999                                          /s/ Ernst & Young LLP

<PAGE>






                REPORT OF MANAGEMENT ON CREDIT ACCOUNT
                     MASTER TRUST INTERNAL CONTROL
            POLICIES AND PROCEDURES AND POOLING AND SERVICING
                         AGREEMENT COMPLIANCE



Internal Control Policies and Procedures
----------------------------------------

American Express Travel Related Services Company, Inc. ("TRS") which is a wholly
owned subsidiary of American  Express  Company,  is responsible for establishing
and  maintaining  effective  internal  control  policies and procedures over the
functions  performed as Servicer of the American  Express  Credit Account Master
Trust (the  "Trust").  These  policies  and  procedures  are designed to provide
reasonable  assurance  to TRS's  management  and board of  directors  that Trust
assets are  safeguarded  against loss from  unauthorized  use or disposition and
that  transactions  are  executed  in  conformity  with the Master  Pooling  and
Servicing  Agreement,  dated as of May 16, 1996, as amended  supplemented by the
Series'  1996-1,  1997-1 and 1998-1  Supplements  (together  the  "Agreements"),
between TRS as Servicer,  American Express Receivables  Financing Corporation II
("RFCII") and American Express Centurion Bank ("Centurion") as Transferors,  and
The Bank of New York,  as  Trustee  on behalf of the  Certificateholders  of the
Trust and are  recorded  properly  to permit  the  preparation  of the  required
financial reports.

There are inherent  limitations  in any internal  control  policy and procedure,
including the possibility of human error and the  circumvention or overriding of
controls.  Accordingly,  even effective internal control policies and procedures
can provide only  reasonable  assurance  with respect to the  achievement of any
objectives of internal control.  Further, because of changes in conditions,  the
effectiveness  of the internal  control  policies and  procedures  may vary over
time.

TRS has  determined  that the  objectives of its internal  control  policies and
procedures, with respect to servicing and reporting of transferred loans, are to
provide reasonable, but not absolute assurance that:

o  Funds  collected  are appropriately allocated to the Trust in accordance with
   the Agreements.

o  The  addition  of Accounts to the Trust are authorized in accordance with the
   Agreements.

o  The removal of Accounts from  the  Trust are  authorized  in accordance  with
   the Agreements.


<PAGE>



 
o  Trust  assets  amortizing out of the Trust are  calculated in accordance with
   the Agreements.

o  Daily   records  as  specified  in  the  Agreements  are  maintained  and are
   available for inspection by the Trustee upon request.

o  Monthly  Servicer's  Certificates   are   prepared  and  contain the required
   information in accordance with the Agreements.

o  Monthly  Servicer's  Certificates   generated  pursuant to the Agreements are
   materially  correct and  are  derived  from  and  reconcile  to the  computer
   reports which are the source of such amounts contained in the reports.

o  On  an  annual  basis,  the  Servicer   will   deliver  to   the  Trustee  an
   Annual Servicer's Certificate.

o  The  payments  to  the  Trustee  are  made  by  the  Servicer  in  accordance
   with the Agreements.


TRS has assessed its internal control policies and procedures over the functions
performed  as Servicer of the Trust in  relation to these  criteria.  Based upon
this  assessment,  TRS  maintained  that, as of December 31, 1998,  its internal
control policies and procedures over the functions  performed as Servicer of the
Trust are  effective in  providing  reasonable  assurance  that Trust assets are
safeguarded   against  loss  from   unauthorized  use  or  disposition  and  the
transactions  are executed in  accordance  with  management's  authorization  in
conformity  with the  Agreements  between the TRS, as  Servicer,  Centurion  and
RFCII,  as Transferors,  and The Bank of New York, as Trustee,  and are recorded
properly to permit the preparation of the required financial reports.

Pooling and Servicing Agreement Compliance
------------------------------------------

TRS  is  responsible  for  complying  with  the  Agreements.  TRS  assessed  its
compliance,  as of December 31, 1998 and for the  compliance  period then ended,
with the relevant covenants and conditions  identified in the Agreements.  Based
upon this  assessment and the delivery of the independent  accountant's  letters
pursuant to Section 3.06 (a) and (b) of the  Agreements,  TRS was in compliance,
as of December  31,  1998 and for the  compliance  period  then ended,  with the
relevant covenants and conditions identified in the Agreements. In addition, TRS
did not identify any instances of noncompliance in performing the assessment.

March 15, 1999


<PAGE>




                      American Express Travel Related Services Company, Inc. by:




                     /s/ Kevin Mahoney
                     ---------------------------
                     Kevin Mahoney
                     Senior Vice President
                     Global Business Management and Analysis


                     /s/ Gilbert E. Ahye
                     ---------------------------
                     Gil Ahye
                     Senior Vice President & CFO,
                     CCSG Finance


                     /s/ Lawrence Fazzari
                     ---------------------------
                     Lawrence Fazzari
                     Vice President, Business Results


                     /s/ Michael Del Priore
                     ---------------------------
                     Michael Del Priore
                     Director, Business Results



<PAGE>
                                                         EXHIBIT 99.3

                         SERVICER'S CERTIFICATE

            AMERICAN EXPRESS TRAVEL RELATED SERVICES COMPANY, INC.

                 --------------------------------------------

                             ANNUAL STATEMENT

                 AMERICAN EXPRESS CREDIT ACCOUNT MASTER TRUST

                          SERIES 1996-1,1997-1, & 1998-1

         FOR THE PERIOD DECEMBER 26, 1997 THROUGH DECEMBER 25, 1998

                 --------------------------------------------

     The  undersigned,  a duly  authorized  representative  of American  Express
Travel Related  Services  Company,  Inc., as Servicer  ("TRS"),  pursuant to the
Pooling  and  Servicing  Agreement,  dated as of May 16,  1996 (as  amended  and
supplemented,  the "Agreement"), as supplemented by the Series 1996-1,1997-1 and
1998-1 Supplements (the "Series  Supplements"),among  TRS,as Servicer,  American
Express Centurion Bank and American Express  Receivables  Financing  Corporation
II, as Transferors, and The Bank of New York, as Trustee, does hereby certify as
follows:

1.   Capitalized  terms  used in this Certificate have their respective meanings
as set forth in the Agreement or the Series Supplements, as applicable.

2.   TRS is, as of the date hereof, the Servicer under the Agreement.

3.   The undersigned is a Servicing Officer.

4.   This  Annual  Statement  is  delivered  pursuant to sections 5.02(d) of the
Series Supplements and contains information with respect to the Trust aggregated
for the period December 26, 1997  through December 25, 1998 (the end of the last
monthly period of the Trust in 1998.)




      IN WITNESS WHEREOF, the undersigned has duly executed and delivered this
Certificate this 11th day of March, 1999.
                


                                     AMERICAN EXPRESS TRAVEL RELATED
                                     SERVICES COMPANY, INC., as Servicer

                                     By: /s/ Lawrence Fazzari
                                         --------------------------------
                                         Name:  Lawrence Fazzari
                                         Title: Vice President 
                                                Business Results
  
<PAGE>
<TABLE>
<CAPTION>

ACTIVITY AGGREGATE FOR THE PERIOD DECEMBER 26, 1997 THROUGH DECEMBER 25, 1998 
-----------------------------------------------------------------------------  
I.  Trust Activity                                                             

A. Aggregated Trust Activity                                                   
-----------------------------
<S>                                               <C>                     <C>              <C>                  <C>

Balances at December 26, 1997
Principal Receivable Balance                           3,945,286,169
Special Funding Account Balance                                    0
Total Principal Balance                                3,945,286,169

Aggregate Finance Charge Collections                     690,234,468
 (excluding Discount Option & Recoveries) 
Discount Percentage                                            2.00%
Discount Option Receivables Collections                   79,248,154
Premium Option Receivables Collections                             0
Recoveries                                                44,642,684
Total Collections of Finance Charge Receivables          814,125,306
Total Collections of Principal Receivables             3,883,159,538
Defaulted amount                                         251,653,033
Account Addition                                                   0
New Principal Receivables                              4,205,413,690

Balances at December 25, 1998
Principal Receivables Balance                          4,015,887,288       
Required Minimum Principal Balance                     3,210,000,000       
Transferor Amount                                      1,015,887,288       
Special Funding Account Balance                                    0     
Total Principal Balance                                4,015,887,288   


B. Series Allocations                                  Series 1996-1        Series 1997-1         Series 1998-1        Trust Total
---------------------                                  -------------        -------------         -------------

Group Number                                                       1                    1                     2                   
Invested Amount                                        1,000,000,000        1,000,000,000         1,000,000,000      3,000,000,000 
Adjusted Invested Amount                               1,000,000,000        1,000,000,000         1,000,000,000      3,000,000,000 
Principal Funding Account Balance                                  0                    0                     0               
Series Allocation Percentage at 12/25/98                      33.33%               33.33%                33.33%            100.00%
Series Alloc. Finance Charge Collections                 328,447,415          328,447,415           157,230,475        656,894,831 
Series Allocable Recoveries                               18,123,395           18,123,395             8,395,894         44,642,684 
Series Alloc. Principal Collections                    1,572,433,993        1,572,433,993           738,291,553      3,883,159,538
Shared Principal Collections                                     N/A                  N/A                             
Series Allocable Defaulted Amount                        101,907,333          101,907,333            47,838,366        251,653,033


C. Group I Allocations                                 Series 1996-1        Series 1997-1         Group I Total                   
----------------------                                 -------------        -------------         -------------

Investor Finance Charge Collections                      210,455,857          210,455,857           420,911,714                   
Investor Monthly Interest                                 67,538,920           63,819,892           131,358,812                   
Investor Default Amount                                   65,073,937           65,073,937           130,147,875                   
Investor Service Fees                                     20,000,000           20,000,000            40,000,000                    
Investor Additional Amounts                                        0                    0                     0                   
Total                                                    152,612,858          148,893,830           301,506,687                   
Reallocated Investor Finance Charge Collections                  N/A                  N/A                   N/A                   
Available Excess                                          57,842,999           61,562,028           119,405,027                   


D. Group II Allocations                                Series 1998-1       Group II Total                  
-----------------------                                -------------       --------------

Investor Finance Charge Collections                      121,682,109          121,682,109                   
Investor Monthly Interest                                 32,534,879           32,534,879                    
Investor Default Amount                                   37,025,328           37,025,328                    
Investor Service Fees                                     11,666,667           11,666,667                    
Investor Additional Amounts                                        0                    0                       
Total                                                     81,226,875           81,226,875                    
Reallocated Investor Finance Charge Collections                  N/A                  N/A                     
Available Excess                                          40,455,234           40,455,234                    

                                                    - 2 -           
<PAGE>
ACTIVITY AGGREGATE FOR THE PERIOD DECEMBER 26, 1997 THROUGH DECEMBER 25, 1998  

II. Series 1996-1 Certificates 
------------------------------------------------------------------------------------------------------------------------------ 

                                                            Series           Total Investor         Transferors
A. Aggregate Investor/Transferor Allocations             Allocations             Interest             Interest
--------------------------------------------           -------------             --------          -----------

Invested/Transferor Amount at 12/26/97                 1,972,643,084        1,000,000,000          972,643,084
Adjusted Invested Amount at 12/26/97                             N/A        1,000,000,000                  N/A
Collections of Finance Chg. Receivables                  328,447,415          210,455,857          117,991,558
Collections of Principal Receivables                   1,572,433,993        1,003,893,803          568,540,189
Defaulted Amount                                         101,907,333           65,073,937           36,833,396
Invested/Transferor Amount at 12/25/98                 1,338,629,096        1,000,000,000          338,629,096


                                                                                                    Collateral                    
B. Monthly Period Funding Requirements                       Class A              Class B             Interest           Total    
--------------------------------------                       -------              -------           ----------           -----

Monthly Interest                                          58,820,000            4,170,000            4,548,920      67,538,920   
Investor Default Amount                                   56,288,956            3,904,436            4,880,545      65,073,937    
Investor Monthly Fees                                     17,300,000            1,200,000            1,500,000      20,000,000 
Investor Additional Amounts                                        0                    0                    0               0    
Total                                                    132,408,956            9,274,436           10,929,466     152,612,858    

Reallocated Investor Finance Charge Collections                                                                            N/A    


                                                                                                    Collateral                    
C. Certificates - Balances and Distributions                Class A               Class B             Interest           Total    
--------------------------------------------                -------               -------           ----------           -----

Certificates Balance at 12/26/97                        865,000,000            60,000,000           75,000,000   1,000,000,000   
Interest Distributions                                   58,820,000             4,170,000            4,548,920      67,538,920   
Principal Deposits - Prin. Funding Account                        0                     0                    0               0   
Principal Distributions                                           0                     0                    0               0    
Total Distributions                                      58,820,000             4,170,000            4,548,920      67,538,920   
Certificates Balance at 12/25/98                        865,000,000            60,000,000           75,000,000   1,000,000,000    
</TABLE>



                                                        - 3 -

<PAGE>



D.   Aggregate Distributions in respect of the Class A Certificates per $1,000
original certificate principal amount.

      1.   Total                                            $            68.00

      2.   Amount in respect of Class A Monthly Interest    $            68.00

      3.   Amount in respect of Class A Outstanding 
           Monthly Interest                                 $             0.00

      4.   Amount in respect of Class A Additional 
           Interest                                         $             0.00

      5.   Amount in respect of Class A Principal           $             0.00


E.   Aggregate Class A Investor Charge-Offs and Reimbursement of Class A 
Investor Charge-Offs.

      1.   Total amount of Class A Investor Charge-Offs:    $             0.00

      2.   Amount of Class A Investor Charge-
            Offs per $1,000 original certificate 
            principal amount:                               $             0.00

      3.   Total amount reimbursed in respect of
            Class A Investor Charge-Offs:                   $             0.00

      4.   Amount reimbursed in respect of Class
            A Investor Charge-Offs per $1,000 
            original certificate principal amount:          $             0.00


F.   Aggregate Distributions in respect of the Class B Certificates, 
per $1,000 original certificate principal amount.

      1.   Total                                            $            69.50

      2.   Amount in respect of Class B Monthly Interest    $            69.50

      3.   Amount in respect of Class B Outstanding 
           Monthly Interest                                 $             0.00

      4.   Amount in respect of Class B Additional 
           Interest                                         $             0.00

      5.   Amount in respect of Class B Principal           $             0.00


G.    Reductions in Class B Invested Amount pursuant to clauses (c),
(d), and (e) of the definition of Class B Invested Amount as of December 25,
1998.

      1.   The amount of reductions in Class B 
            Invested Amount pursuant to clauses 
            (c), (d), and (e) of the definition 
            of Class B Invested Amount:                     $             0.00



                                           - 4 -

<PAGE>

      2.   The amount of reductions in the 
            Class B Invested Amount set forth in
            paragraph 1 above, per $1,000 original 
            certificate principal amount:                   $             0.00

      3.   The total amount reimbursed in respect
            of such reductions in the Class B 
            Invested Amount:                                $             0.00

      4.   The amount set forth in paragraph 3 
            above, per $1,000 original certificate
            principal amount:                               $             0.00


H.   Aggregate Distributions to the Collateral Interest Holder.

      1.   Total amount distributed to the Collateral 
            Interest Holder:                                $     4,548,920.00

      2.   Amount distributed in respect of Collateral 
            Monthly Interest:                               $     4,548,920.00

      3.   Amount distributed in respect of Collateral
            Additional Interest:                            $             0.00

      4.   The amount distributed to the Collateral 
            Interest Holder in respect of principal
            on the Collateral Invested Amount:              $             0.00


I.   Amount of reductions in Collateral Invested Amount pursuant to clauses
(c), (d), and (e) of the definition of Collateral Invested Amount as of 
December 25, 1998.

      1.   The amount of reductions in the 
            Collateral Invested Amount pursuant 
            to clauses (c), (d), and (e) of the 
            definition of Collateral Invested Amount:       $             0.00

      2.   The total amount reimbursed in respect
            of such reductions in the Collateral 
            Invested Amount:                                $             0.00


J.   Aggregate Reallocated Principal Collections.

      1.   Reallocated Principal Collections 
            Required to fund the Required Amount:           $             0.00

      2    Shared Principal Collections from other 
            Series allocated to Series 1996-1:                             N/A


K.   Aggregate Available Principal Collections treated as Shared 
Principal Collections:                                      $             0.00

L.   Amount of Series Enhancement drawn upon and allocated to  
Series 1996-1:                                              $             0.00 


                                  - 5 -
<PAGE>
<TABLE>
<CAPTION>

ACTIVITY AGGREGATE FOR THE PERIOD DECEMBER 26, 1997 THROUGH DECEMBER 25, 1998 
------------------------------------------------------------------------------------------------------------------------------

III. Series 1997-1 Certificates                

                                                                  Series      Total Investor        Transferors
A. Aggregate Investor/Transferor Allocations                   Allocations        Interest           Interest
--------------------------------------------                   -----------     -------------      -----------
<S>                                                        <C>                <C>              <C>           <C>

Invested/Transferor Amount at 12/26/97                       1,972,643,084      1,000,000,000     972,643,084
Adjusted Invested Amount at 12/26/97                                   N/A      1,000,000,000             N/A
Collections of Finance Chg. Receivables                        328,447,415        210,455,857     117,991,558
Collections of Principal Receivables                         1,572,433,993      1,003,893,803     568,540,189
Defaulted Amount                                               101,907,333         65,073,937      36,833,396
Invested/Transferor Amounts at 12/25/98                      1,338,629,096      1,000,000,000     338,629,096


                                                                                                   Collateral                    
B. Monthly Period Funding Requirements                            Class A             Class B        Interest          Total     
--------------------------------------                            -------          ----------        --------          -----     
Monthly Interest                                               55,360,000           3,930,000       4,529,892     63,819,892     
Investor Default Amount                                        56,288,956           3,904,436       4,880,545     65,073,937     
Investor Monthly Fees                                          17,300,000           1,200,000       1,500,000     20,000,000     
Investor Additional Amounts                                                                                                      
Total                                                         128,948,956           9,034,436      10,910,437    148,893,830     

Reallocated Investor Finance Charge Collections                                                                          N/A     


                                                                                                   Collateral                    
C. Certificates - Balances and Distributions                      Class A             Class B        Interest          Total     
--------------------------------------------                      -------             -------      ----------          -----     
Certificates Balance at 12/26/97                              865,000,000          60,000,000      75,000,000  1,000,000,000     
Interest Distributions                                         55,360,000           3,930,000       4,529,892     63,819,892     
Principal Deposits - Prin. Funding Account                              0                   0               0              0     
Principal Distributions                                                 0                   0               0              0     
Total Distributions                                            55,360,000           3,930,000       4,529,892     63,819,892     
Certificates Balance at 12/25/98                              865,000,000          60,000,000      75,000,000  1,000,000,000     
</TABLE>

                                                                 - 6 -      
<PAGE>
D.   Aggregate Distributions in respect of the Class A Certificates per $1,000
original certificate principal amount.

      1.   Total                                            $            64.00

      2.   Amount in respect of Class A Monthly Interest    $            64.00

      3.   Amount in respect of Class A Outstanding 
           Monthly Interest                                 $             0.00

      4.   Amount in respect of Class A Additional 
           Interest                                         $             0.00

      5.   Amount in respect of Class A Principal           $             0.00


E.   Aggregate Class A Investor Charge-Offs and Reimbursement of Class A 
Investor Charge-Offs.

      1.   Total amount of Class A Investor Charge-Offs:    $             0.00

      2.   Amount of Class A Investor Charge-
            Offs per $1,000 original certificate 
            principal amount:                               $             0.00

      3.   Total amount reimbursed in respect of
            Class A Investor Charge-Offs:                   $             0.00

      4.   Amount reimbursed in respect of Class
            A Investor Charge-Offs per $1,000 
            original certificate principal amount:          $             0.00


F.   Aggregate Distributions in respect of the Class B Certificates, 
per $1,000 original certificate principal amount.

      1.   Total                                            $            65.50

      2.   Amount in respect of Class B Monthly Interest    $            65.50

      3.   Amount in respect of Class B Outstanding 
           Monthly Interest                                 $             0.00

      4.   Amount in respect of Class B Additional 
           Interest                                         $             0.00

      5.   Amount in respect of Class B Principal           $             0.00


G.    Reductions in Class B Invested Amount pursuant to clauses (c), (d), and
(e) of the definition of Class B Invested Amount as of December 25, 1998.

      1.   The amount of reductions in Class B 
            Invested Amount pursuant to clauses 
            (c), (d), and (e) of the definition 
            of Class B Invested Amount:                     $             0.00



                                  - 7 -
<PAGE>
    2.   The amount of reductions in the 
            Class B Invested Amount set forth in
            paragraph 1 above, per $1,000 original 
            certificate principal amount:                   $             0.00

      3.   The total amount reimbursed in respect
            of such reductions in the Class B 
            Invested Amount:                                $             0.00

      4.   The amount set forth in paragraph 3 
            above, per $1,000 original certificate
            principal amount:                               $             0.00


H.   Aggregate Distributions to the Collateral Interest Holder.

      1.   Total amount distributed to the Collateral 
            Interest Holder:                                $     4,529,892.00

      2.   Amount distributed in respect of Collateral 
            Monthly Interest:                               $     4,529,892.00

      3.   Amount distributed in respect of Collateral
            Additional Interest:                            $             0.00

      4.   The amount distributed to the Collateral 
            Interest Holder in respect of principal
            on the Collateral Invested Amount:              $             0.00


I.   Amount of reductions in Collateral Invested Amount pursuant to clauses
(c), (d), and (e) of the definition of Collateral Invested Amount as of
December 25, 1998.

      1.   The amount of reductions in the 
            Collateral Invested Amount pursuant 
            to clauses (c), (d), and (e) of the 
            definition of Collateral Invested Amount:       $             0.00

      2.   The total amount reimbursed in respect
            of such reductions in the Collateral 
            Invested Amount:                                $             0.00


J.   Aggregate Reallocated Principal Collections.

      1.   Reallocated Principal Collections 
            Required to fund the Required Amount:           $             0.00

      2    Shared Principal Collections from other 
            Series allocated to Series 1997-1:                             N/A


K.   Aggregate Available Principal Collections treated as Shared 
Principal Collections:                                      $             0.00

L.   Amount of Series Enhancement drawn upon and allocated to  
Series 1997-1:                                              $             0.00 


                                 - 8 -
<PAGE>
<TABLE>
<CAPTION>

ACTIVITY AGGREGATE FOR THE PERIOD DECEMBER 26, 1997 THROUGH DECEMBER 25, 1998 
-------------------------------------------------------------------------------------------------------------------------------

IV. Series 1998-1 Certificates                                               


                                                             Series     Total Investor    Transferors
A.  Aggregate Investor/Transferor Allocations              Allocations      Interest        Interest       
--------------------------------------------               -----------      --------        --------       
<S>                                                  <C>                <C>            <C>              <C>
Invested/Transferor Amount at 12/26/97                              0                0              0      
Adjusted Invested Amount at 12/26/97                              N/A                0            N/A      
Collections of Finance Chg. Receivables                   157,230,475      121,682,109     35,548,366    
Collections of Principal Receivables                      738,291,553      571,385,003    166,906,550    
Defaulted Amount                                           47,838,366       37,025,328     10,813,038    
Invested/Transferor Amount at 12/25/98                  1,338,629,096    1,000,000,000    338,629,096



                                                                                           Collateral                   
B. Monthly Period Funding Requirements                        Class A          Class B       Interest          Total    
--------------------------------------                        -------          -------       --------          -----    

Monthly Interest                                           26,552,125        2,647,996      3,334,759       32,534,879  
Investor Default Amount                                    30,545,896        2,962,026      3,517,406       37,025,328  
Investor Monthly Fees                                       9,625,000          933,333      1,108,333       11,666,667  
Investor Additional Amounts                                         0                0              0                0  
Total                                                      66,723,020        6,543,356      7,960,499       81,226,875   

Reallocated Investor Finance Charge Collections                                                                   N/A 


                                                                                            Collateral                  
C. Certificates - Balances and Distributions                  Class A          Class B        Interest         Total    
--------------------------------------------                  -------          -------        --------         -----     

Certificates Balance at Issuance                          825,000,000       80,000,000      95,000,000               0   
Interest Distributions                                     26,552,125        2,647,996       3,334,759      32,534,879   
Principal Deposits - Prin. Funding Account                          0                0               0               0   
Principal Distributions                                             0                0               0               0   
Total Distributions                                        26,552,125        2,647,996       3,334,759      32,534,879   
Certificates Balance at 12/25/98                          825,000,000       80,000,000      95,000,000   1,000,000,000   

</TABLE>


                                                                      -9-
<PAGE>
D.   Aggregate Distributions in respect of the Class A Certificates per $1,000 
original certificate principal amount.

      1.   Total                                            $            32.18

      2.   Amount in respect of Class A Monthly Interest    $            32.18

      3.   Amount in respect of Class A Outstanding 
           Monthly Interest                                 $             0.00

      4.   Amount in respect of Class A Additional 
           Interest                                         $             0.00

      5.   Amount in respect of Class A Principal           $             0.00


E.   Aggregate Class A Investor Charge-Offs and Reimbursement of Class A 
Investor Charge-Offs.

      1.   Total amount of Class A Investor Charge-Offs:    $             0.00

      2.   Amount of Class A Investor Charge-
            Offs per $1,000 original certificate 
            principal amount:                               $             0.00

      3.   Total amount reimbursed in respect of
            Class A Investor Charge-Offs:                   $             0.00

      4.   Amount reimbursed in respect of Class
            A Investor Charge-Offs per $1,000 
            original certificate principal amount:          $             0.00


F.   Aggregate Distributions in respect of the Class B Certificates, 
per $1,000 original certificate principal amount.

      1.   Total                                            $            33.10

      2.   Amount in respect of Class B Monthly Interest    $            33.10

      3.   Amount in respect of Class B Outstanding 
           Monthly Interest                                 $             0.00

      4.   Amount in respect of Class B Additional 
           Interest                                         $             0.00

      5.   Amount in respect of Class B Principal           $             0.00


G.    Reductions in Class B Invested Amount pursuant to clauses (c), (d), and 
(e) of the definition of Class B Invested Amount as of December 25, 1998.

      1.   The amount of reductions in Class B 
            Invested Amount pursuant to clauses 
            (c), (d), and (e) of the definition 
            of Class B Invested Amount:                     $             0.00



                                  - 10 -

<PAGE>

      2.   The amount of reductions in the 
            Class B Invested Amount set forth in
            paragraph 1 above, per $1,000 original 
            certificate principal amount:                   $             0.00

      3.   The total amount reimbursed in respect
            of such reductions in the Class B 
            Invested Amount:                                $             0.00

      4.   The amount set forth in paragraph 3 
            above, per $1,000 original certificate
            principal amount:                               $             0.00


H.   Aggregate Distributions to the Collateral Interest Holder.

      1.   Total amount distributed to the Collateral 
            Interest Holder:                                $     3,334,759.00

      2.   Amount distributed in respect of Collateral 
            Monthly Interest:                               $     3,334,759.00

      3.   Amount distributed in respect of Collateral
            Additional Interest:                            $             0.00

      4.   The amount distributed to the Collateral 
            Interest Holder in respect of principal
            on the Collateral Invested Amount:              $             0.00


I.   Amount of reductions in Collateral Invested Amount pursuant to clauses
(c), (d), and (e) of the definition of Collateral Invested Amount as of 
December 25, 1998.

      1.   The amount of reductions in the 
            Collateral Invested Amount pursuant 
            to clauses (c), (d), and (e) of the 
            definition of Collateral Invested Amount:       $             0.00

      2.   The total amount reimbursed in respect
            of such reductions in the Collateral 
            Invested Amount:                                $             0.00


J.   Aggregate Reallocated Principal Collections.

      1.   Reallocated Principal Collections 
            Required to fund the Required Amount:           $             0.00

      2    Shared Principal Collections from other 
            Series allocated to Series 1998-1:                             N/A


K.   Aggregate Available Principal Collections treated as Shared 
Principal Collections:                                      $             0.00

L.   Amount of Series Enhancement drawn upon and allocated to  
Series 1998-1:                                              $             0.00 


                                 - 11 -

<PAGE>
                                                            EXHIBIT 99.4


                             PAGES 22 THROUGH 23 OF
                           AMERICAN EXPRESS COMPANY'S
                              1998 ANNUAL REPORT TO
                            SHAREHOLDERS, DISCUSSING
                                    YEAR 2000

YEAR 2000

The Year 2000 (Y2K) issue is the result of computer programs having been written
using two digits rather than four to define a year.  Some programs may recognize
a date using "00" as the year 1900  rather  than  2000.  This  misinterpretation
could  result in the failure of major  systems or  miscalculations,  which could
have a material impact on the Company and its businesses or subsidiaries through
business interruption or shutdown, financial loss, reputational damage and legal
liability to third parties.  The Company began  addressing the Y2K issue in 1995
and has  established  a plan for  resolution,  which  involves the  remediation,
decommissioning  and  replacement  of  relevant  systems,  including  mainframe,
mid-range  and  desktop  computers,  application  software,  operating  systems,
systems software,  date back-up archival and retrieval  services,  telephone and
other communications  systems, and hardware peripherals and facilities dependent
on embedded  technology.  As a part of our plan, we have generally  followed and
utilized  the  specific  policies  and  guidelines  established  by the  Federal
Financial   Institutions   Examination  Council,  as  well  as  other  U.S.  and
international regulatory agencies.  Additionally,  we continue to participate in
Y2K related  industry  consortia  sponsored by various  partners and  suppliers.
Progress is reviewed regularly with the Company's senior management and Board of
Directors.

Our Y2K  compliance  effort related to  information  technology  (IT) systems is
divided into two initiatives. The first, which is the much larger initiative, is
known   internally  as   "Millenniax,"   and  relates  to  mainframe  and  other
technological   systems   maintained  by  the  American   Express   Technologies
organization  (AET).  The  second,   known  as  "Business  T,"  relates  to  the
technological  assets that are owned,  managed or  maintained  by the  Company's
individual business units. Business T also encompasses the remediation of non-IT
systems.  These  initiatives  involve  a  substantial  number of  employees  and
external  consultants.  This multiple  sourcing approach is intended to mitigate
the risk of becoming  dependent  on any one vendor or  resource.  While the vast
majority of our systems that require modification are being remediated,  in some
cases we have  chosen  to  migrate  to new  applications  that are  already  Y2K
compliant.

The Company's  plans for  remediation  with respect to Millenniax and Business T
include the following program phases:  (i) employee  awareness and mobilization,
(ii)  inventory   collection  and  assessment,   (iii)  impact  analysis,   (iv)
remediation/decommission,  (v) testing and (vi)  implementation.  As part of the
first three phases,  we have identified the Company's  mission-critical  systems
for purposes of  prioritization.  The Company's goals are to complete testing of
critical systems by early 1999, and to continue  compliance  efforts,  including
but  not  limited  to,  the  testing  of  systems  on an  integrated  basis  and
independent  validation  of such  testing,  


                                      22
<PAGE>
through 1999.* We are currently on schedule to meet these goals. With respect to
systems maintained by the Company, the first three phases referred to above have
been  substantially  completed for both  Millenniax and Business T. In addition,
remediation of critical  systems is substantially  complete.  As of December 31,
1998, for Millenniax, the  remediation/decommission,  testing and implementation
phases for  critical  and  non-critical  systems  in total are 82%,  75% and 60%
complete,  respectively.  For  Business  T,  such  phases  are 85%,  70% and 69%
complete,  respectively.  Certain  critical  systems  have already been made Y2K
compliant,  such  as the  Worldwide  Credit  Authorization  System,  and we have
completed  testing of the global point of sale  infrastructure.  As a result, we
have begun issuing Year 2000 dated charge and credit cards.

Our most commonly used  methodology for remediation is the sliding window.  Once
an  application/system  has been  remediated,  we apply specific types of tests,
such as stress,  regression,  unit,  future date and baseline to ensure that the
remediation   process  has  achieved  Y2K  compliance   while   maintaining  the
fundamental data processing  integrity of the particular  system. To assist with
remediation and testing, we are using various standardized tools obtained from a
variety of vendors.

The Company's  cumulative costs since inception of the Y2K initiatives were $383
million  through  December  31,  1998 and are  estimated  to be in the  range of
$135-$160   million  for  the  remainder   through  2000.*  These  include  both
remediation  costs  and  costs  related  to  replacements  that  were or will be
required as a result of Y2K. These costs, which are expensed as incurred, relate
to both  Millenniax  and Business T, and have not had, nor are they  expected to
have,  a material  adverse  impact on the  Company's  results of  operations  or
financial  condition.* Costs related to Millenniax,  which represent most of the
total Y2K costs of the Company, are managed by and included in the Corporate and
Other  segment;  costs  related  to  Business  T are  included  in the  business
segments.  Y2K costs related to Millenniax  represent  14%, 6% and 1% of the AET
budget for the years  1998,  1999 and 2000,  respectively.  The  Company has not
deferred other critical  technology  projects or investment spending as a result
of Y2K. However,  because the Company must continually prioritize the allocation
of  finite  financial  and  human  resources,   certain  non-critical   spending
initiatives have been deferred.

The Company's  major  businesses are heavily  dependent  upon internal  computer
systems,  and all have  significant  interaction  with systems of third parties,
both domestically and internationally.  The Company is working with key external
parties,  including  merchants,  clients,  counterparties,  vendors,  exchanges,
utilities,  suppliers,  agents and regulatory agencies to mitigate the potential
risks to us of Y2K.  The  failure of external  parties to resolve  their own Y2K
issues in a timely  manner  could  result in a  material  financial  risk to the
Company.  As part of our  overall  compliance  program,  the Company is actively
communicating   with   third   parties   through   face-to-face   meetings   and
correspondence,  on an ongoing  basis,  to ascertain  their state of  readiness.
Although  numerous  third parties have  indicated to us in writing that they are
addressing  their Y2K issues on a timely  basis,  the readiness of third parties
overall  varies  across the spectrum.  Because the  Company's Y2K  compliance is
dependent on key third parties being  compliant on a timely basis,  there can be
no assurances that the Company's efforts alone will resolve all Y2K issues.

At this point,  the Company is in the process of  performing  an  assessment  of
reasonably likely Y2K systems failures and related consequences.  The Company is
also  preparing  specific Y2K  contingency  plans for all key  American  Express
business units to mitigate the potential impact of such failures. This effort is
a full-scale  initiative that includes both internal and external  experts under
the guidance of a Company-wide steering committee.  Our contingency plans, which
will be based in part on an  assessment  of the  magnitude  and  probability  of
potential risks, will primarily focus on proactive steps to prevent Y2K failures
from occurring, or if they should occur, to detect them quickly,  minimize their
impact and expedite  their repair.  The Y2K  contingency  plans will  supplement
disaster  recovery  and  business  continuity  plans  already in place,  and are
expected  to  include  measures  such as  selecting  alternative  suppliers  and
channels of distribution,  and developing our own technology  infrastructure  in
lieu of those  provided by third  parties.  Development  of the Y2K  contingency
plans is expected to be  substantially  complete by the end of the first quarter
of  1999,  and  will  continue  to be  refined  throughout  1999  as  additional
information related to our exposures is gathered.*

*Statements in this Y2K discussion  marked with an asterisk are  forward-looking
statements which are subject to risks and uncertainties.  Important factors that
could cause results to differ materially from these  forward-looking  statements
include, among other things, the ability of the Company to successfully identify
systems  containing  two-digit  codes,  the  nature  and  amount of  programming
required to fix the affected systems, the costs of labor and consultants related
to such efforts, the continued  availability of such resources,  and the ability
of third parties that interface with the Company to  successfully  address their
Y2K issues.


                                        23