Two problems related to axle assembly have been reported for the 1998 Subaru Outback. The most recently reported issues are listed below.
Consumer had some play in steering wheel. Later, consumer was on highway doing about 65mph, slowing down and steering started to shake. There was a knocking noise, and it was very hard to control. Vehicle was towed to dealer, and they found a broken axle. Both boots on side of the axle were not damaged so the reason of axle breaking was unknown.
Oil leak from band axle resulted in fire. (qcaw).