UPDATE 1-American Express U.S. credit card defaults rise

* Charge-off rate rises to 10.4 percent in May

* Shares fall 1.52 percent to $24.69

NEW YORK, June 15 (Reuters) - American Express Co (AXP.N: Quote, Profile, Research) said on Monday that U.S. credit card defaults rose in May the same month that the U.S. jobless rate rose to 9.4 percent, a 26-year high.

The largest U.S. credit card company by sales volume said its net charge-off rate -- the percentage of debt it does not expect to be repaid -- rose to 10.4 percent in May from 9.90 percent in April, according to a regulatory filing based on the performance of credit card loans that were securitized.

But, American Express said its charge-off rate on a managed basis fell to 10 percent in May from 10.1 percent in April, as the company sold some loans that it had already written-off, reflecting a partial recovery of such losses.

American Express shares were down 1.52 percent at $24.69 in afternoon trading on the New York Stock Exchange. The stock is up 35 percent in 2009. (Reporting by Juan Lagorio, editing by Leslie Gevirtz)