Today’s financial services giant and Dow Jones Industrial Average member, American Express humbly began as a horse driven, express shipping business this week on March 18th 1850.

Established in Buffalo, New York via the merger of mail delivery companies (Wells & Company, Livingston, Fargo & Company, and Butterfield, Wasson & Company)…the newly merged corporation established its headquarters in downtown Manhattan. While American Express thrived with its near monopoly on express shipping, the company made its initial forays into travel services when one of its founders and then President, J.C. Fargo journeyed to Europe. Though outfitted with letters of credit, Fargo was unable to obtain cash from banks outside of the Continent’s major cities. Upon his return, he reportedly urged Marcellus Fleming Berry to devise a solution to the cash crunch that led to the creation of the American Express Travelers Cheques (1891) in denominations of $10, $20, $50 and $100.

Another marketing coup and genesis for numerous advertising campaigns was the issuance of the first American Express credit cards (October 1958), following the successful birth of rival Diners Club cards. Initially launched with an annual fee of $6.00 and positioned as a premium product, the American Express card itself was made out of paper, typed with the cardholders’ name and number. However an embossed plastic version was issued the following year-an industry first.

news@doubledownmedia.com

3/17/08