Frequent Flyer Programs - View from the Top

It's not my usual practice to promote articles I've written for other publications in this newsletter.

But I think any reader of the Crier will be interested in what the execs in charge of American AAdvantage, Delta SkyMiles and United Mileage Plus have to say -- in their own words -- about the programs they manage, loyalty programs generally, and what it all means for the traveling public.

The article in OAG Frequent Flyer is the first in an eight-part series of features looking at travel loyalty programs from the perspectives of the airlines and hotels which host them, the travelers who participate in them, the media which cover them, and so on. The idea was to provide a multi-dimensional look at the programs on the occasion of their 25th anniversary.

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Bankruptcy Watch

Atop the bankruptcy news of the week is the escalating tension at Delta as management attempts to wrest more than $300 million in salary and benefits concessions from its pilots.

An arbitration panel is considering Delta's request to void pilots' contracts. Hearings continue through the end of this week, and the panel will issue a ruling by Apr. 15. The pilots have threatened to strike if their contracts are scuttled.

The company warned that a pilot walk-out could permanently ground the airline, and this week expressed concern that the prospect of such a strike is already spooking travelers and had depressed bookings for April and May.

Meanwhile, Northwest's pilots have tentatively agreed to accept new contracts which will save the airline $360 million per year.

The agreement must be ratified by the pilot union's full membership. Voting is scheduled to take place between Apr. 6 and Apr. 30.

FrequentFlier Forum Topics

As always, there's plenty of activity on the FrequentFlier Forum.

In the "Airline Programs" Forum, mikieg is fretting the possibility of a Delta strike and its implications for the airline's survival: "With 800k miles in my account I'm very concerned. Does anybody know of a way to hedge my bets? I was thinking of redeeming for a series of first class tickets (on anything I can get my hands on) on a partner airline and re-depositing in the event a strike is averted. My question is, if Delta should shutdown permanently, can the partner tickets be changed at a later date by the partner themselves or would I be stuck with what I redeem?"

And in the "Credit Card Programs" Forum, michaels wants to use Amex points for a flight on US Airways, which is no longer an Amex partner: "Is there any way to convert Amex miles to US Airways miles... I didn't see the deadline of Jan. 1 in time and have lots of Amex miles but need to fly US Air. Is there any way to convert them?"

And much more. Questions, answers? Post them to the Forum!

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Earn Double Alaska Miles for Hawaii Flights

Through June 8, Alaska Mileage Plan members will earn double miles when flying Hawaiian Airlines between the mainland U.S. and Hawaii or within the Hawaiian islands.

Tickets booked in N and K classes do not earn mileage credit.

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From American: Bonus Miles for Germany Flights

Between Apr. 1 and May 31, AAdvantage members can earn up to 25,000 bonus miles for flights between the U.S., Canada, Puerto Rico, or the U.S. Virgin Islands and Germany in first class (F, A booking codes), business (J, D, I booking codes) or coach (Y, B, H, K, M booking codes).

Bonus is 10,000 miles for the first roundtrip and 15,000 miles for the second.

Registration is required.

United has a virtually identical offer in place. See below.

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Crowne Plaza Stays Earn Bonus American Miles

Through Apr. 30, Priority Club Rewards members will earn 1,000 bonus AAdvantage miles for every completed Crowne Plaza stay booked online at www.ichotelsgroup.com.

A maximum of 5,000 bonus miles can be earned during the promotion.

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Hertz Doubles the Points

Between Apr. 1 and June 25, Hertz #1 Club Gold members will earn double Awards Points for qualifying rentals of five or more consecutive days in the U.S., Canada, Puerto Rico and the U.S.V.I.

To receive the bonus, members must provide their #1 Club number and cite promotion code "ZE1" when booking. Offer open to U.S. and Canadian residents only.

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Hilton to Raise Prices for Most Award Stays

HHonors members will redeem more points for award stays at most Hilton family hotels booked or revised on or after June 1. (Scandic award levels will change on Oct. 1.)

While the change is nominally a reclassification of HHonors hotels' award categories, in the vast majority of cases, the change is an increase in the hotel's award category, which translates into an increase in the price of an award stay.

Looking at the U.S. Hiltons, for example, every property except one will be reclassified as a higher category hotel. The exception: the Hilton Arlington, which was downgraded from a Category 4 to a Category 3 hotel.

Among overseas Hiltons, there will only be two downgrades: the Hilton Nuweiba Coral Resort in Cairo will be reclassified from a Category six to a Category four, and the Hilton Hanoi Opera will change from Category three to two.

A sprinkling of other category decreases can be found among the other Hilton brands. But again, they're very few, and very far between.

The overall net effect of the changes would appear to be a one-tier category increase across the Hilton brands. That probably averages out to be a 5,000-point increase on free nights which otherwise would be priced at 20,000 - 25,000 points. So the change amounts to an award price increase of 20% to 25%.

(Hilton was given an opportunity to reality-check our computation but didn't respond by press time.)

The take-away is obvious: if you're planning an award stay at an "upgraded" Hilton after June 1, be sure to make the booking by May 31 to lock in the lower price.

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Continental Bonus for InterCon Stays

Through Apr. 30, Priority Club Rewards members will earn 500 bonus Continental miles for completed stays booked online at InterContinental Hotels Group properties, including Crowne Plaza, Hotel Indigo, Holiday Inn, Staybridge Suites or Candlewood Suites hotels. Priority Club members must have designated Continental OnePass as their preferred airline alliance.

The bonus can be earned an unlimited number of times during the promotion period.

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Download DING!, Get 2 Southwest Credits

Between Mar. 20 and Apr. 3, Rapid Rewards members who download Southwest's desktop fare display, DING!, will earn two Rapid Rewards credits after it's remained on their computer for 30 days.

DING! is newly available for Mac users.

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United Offers Bonus for Germany Flights

Between Apr. 1 and May 31, Mileage Plus members can earn up to 25,000 bonus miles for flights between the U.S., Canada, Puerto Rico, or the U.S. Virgin Islands and Germany in first class (F, A booking codes), business (C, D, Z booking codes) or coach (Y, B, M, H, Q booking codes).

Bonus is 10,000 miles for the first roundtrip and 15,000 miles for the second.

Registration is required.

See above for an identical promotion from American.

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Deal Alert from SmarterTravel.com

1) Southwest Fares from $49 Each Way

Spring and summer domestic flights are on sale from Southwest. Prices start at $49 one-way, and destinations include Chicago, Las Vegas, Orlando, and Seattle.

Travel is valid from Apr. 6 through Aug. 3. Book tickets at least 21 days in advance, and by Apr. 3.

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2) Sale Fares on American from $78 Roundtrip

In response to Southwest's newest systemwide sale (see above), American is offering domestic fares of its own. Fares start at $78 roundtrip, and destinations include Albuquerque, Detroit, and Miami.

Travel on most routes is valid daily through Aug. 3. Travel to Florida is valid from Apr. 25 through June 15. Book tickets at least 21 days in advance. Southwest's sale must be booked by Apr. 3, so American's sale will likely expire on that date as well.

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Win a Trip for 2 to Hong Kong

Enter the Fly Away Sweepstakes by Mar. 31 for a chance to win a trip for two to Hong Kong, including Continental tickets and five nights' hotel accommodations.

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[Visit http://frequentflier.com/sweeps.htm for more travel sweepstakes.]

Feedback from the Frontlines of Travel

"American Airlines is *finally* offering their highest elite members an extra perk if they reach a higher threshold, celebrating their "25th" Anniversary. And this is coming right after their new 100-segment implementation in order to become one of their highest elite members, a benefit that saturates the level, being an Executive Platinum member myself.

"So the 125,000 elite qualifying miles or points is a plus for members, like myself, that do it the hard way. But I am wondering. For their 25th Anniversary, which "fired Donald Trump Apprentice contestant" masquerading as an American Airlines employee, decided to offer 20,000 AAdvantage bonus miles as an option when reaching the 125,000 threshold? Wouldn't 25,000 AAdvantage bonus miles be more appropriate for the 25th Anniversary? A nice promotion, with the signs of stingy written underneath." [Al from Boston]

"Although not a "frequent flier" issue specifically, you may wish to note that the Venezuelan Government, upset about its Classification 2 status, declared that as of 30 March it will prohibit flights to/from Venezuela by Delta and Continental and restrict American to 40% of the current number of flights. Delta is already offering ticket refunds without penalties.

"Venezuelan government spokespersons claim that this does not have political undertones." [P.S. - Caracas, Venezuela]

[FrequentFlier.com responds - At press time, Venezuela's National Institute of Civil Aviation and the U.S. FAA were trying to avert a stand-off. Venezuela-bound travelers should keep abreast of the news and stay in touch with their ticketing carriers as the Mar. 30 deadline nears.]

Until next week...