U P F R O N T
This Week's Travel Newsbites
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Air Canada's fortunes took a turn for the worse when Hong Kong investor Victor Li suspended plans to invest $650 million to shore up AC's finances, following the airline's failure to secure pension plan relief from its unions.
At the very least, Air Canada will be forced to delay plans to emerge from Canada's version of Chapter 11 bankruptcy protection. Worst case... well, the Canadian media are busy discussing the possibility of liquidation.
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In another body blow to the already reeling major carriers, JetBlue won top honors in the annual Airline Quality Rating report released by researchers at Wichita State University and the University of Nebraska at Omaha. The study assesses airline performance in 15 key areas including on-time operations, passenger complaints, baggage handling and denied boarding.
From best to worst, the airlines ranked as follows: JetBlue, Alaska, Southwest, America West, US Airways, Northwest, Continental, AirTran, United, ATA, American, Delta, American Eagle and Atlantic Southeast.
So, if the cheapest are also the best, where does that leave the rest?
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Speaking of JetBlue, the discounter's load factor (percentage of seats filled) for Mar. rose to 83.4% from 82.3% in Mar. 2003.
At Alaska, load factor rose to 72.1%, compared to 69.9% a year ago. America West's was up modestly, from 76.4% to 76.5%. Northwest's load factor increased to 81.6% from 75.5%. And United's rose from 73.7% to 80.1%.
The increase in demand is good news for the discounters. But with yields remaining depressed by persistent price-sensitivity, the higher load factors don't necessarily translate into profits for the high-cost airlines.
For travelers, whether they patronize mainline or low-cost airlines, the crowded flights mean less comfort, more stress. And then there's the other ugly flip side of heavy loads: fewer seats available for those redeeming miles for award travel.
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An article in Friday's Atlanta Journal-Constitution begins with this sobering observation: "Delta Air Lines is starting to carry some heavy baggage -- growing talk that a bankruptcy filing may be in its future." While analysts quoted in the story expressed concern over Delta's deteriorating prospects, they predicted that a bankruptcy filing, if it were to occur, was probably a year away.
<< O N S I T E >>
FrequentFlier Forum Topics
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As always, there's plenty of activity on the FrequentFlier Forum.
Jim asks whether "it's worth it to pay a $66 convenience fee (i.e. charging my real estate taxes) to receive 4,600 American Airlines miles via my AA MasterCard?" Normand wonders if there's a way to protect US Air miles if the airline doesn't survive. Brenda exposes the fine print behind CapitalOne's "free ticket for 9,000 miles" claim. And much more...
Do you have questions, answers? Post them to the Forum!
> More...
<< M I L E S & P O I N T S ~ sponsored by Hertz >>
AAdvantage Bonus for Internet Access
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AAdvantage members who sign up for dial-up Internet access with PeoplePC will earn 3,000 bonus miles after their third month. Cost: $10.95 per month.
> More...
A Restricted Award By Any Other Name
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American has renamed its restricted, capacity-controlled AAdvantage awards from PlanAAhead to MileSAAver.
There's actually some logic behind the change since, unlike restricted revenue tickets, which typically must be purchased in advance, PlanAAhead award seat availability is adjusted dynamically, according to demand for both revenue and award seats, right up until date of departure. So the old name was indeed a bit of a misnomer.
> More...
Bonus for Delta Flights
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Between Apr. 4 and May 31, SkyMiles members will earn double miles on nonstop Delta flights between New York/JFK and Denver, San Francisco and San Juan.
Between Apr. 4 and June 4, earn double miles for Delta Connection/Comair flights between Greenville-Spartanburg and New York/LaGuardia.
And between Apr. 15 and June 15, earn 1,000 bonus miles for Delta flights between Cincinnati and Honolulu, and double miles for Delta Connection/Comair flights between Cincinnati and Springfield-Branson.
Registration is required.
> More...
Charge Inflight Meals to Earn Delta Miles
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Between Apr. 1 and July 31, SkyMiles members will earn a 1-time 500-mile bonus the first time they charge an inflight food and beverage purchase to their SkyMiles credit card.
According to Delta, inflight meals and snacks are available for sale onboard 228 flights per day.
> More...
Hilton Offers Bounty for Referrals
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HHonors members who refer a friend between Apr. 1 and Dec. 31 will earn 1,000 HHonors bonus points for referrals who sign up and subsequently complete a stay at a Hilton Family hotel, plus another 1,000 points for additional qualifying stays completed by Dec. 31.
Each HHonors member may refer up to 10 new members, and can earn a maximum of 25,000 bonus points.
New members signing up through this referral offer will receive a 1-time bonus of 1,000 HHonors points after their second stay before Dec. 31.
New enrollees should use the link below to sign up, being sure to enter the HHonors number of the member who referred them.
> More...
Redeem Fewer NW Miles for Alaska Air Awards
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Between Apr. 20 and June 9, Northwest WorldPerks members can travel on Alaska Airlines between San Francisco, San Jose, Oakland or Sacramento and Seattle, Portland, Boise or Vancouver for 20,000 miles -- 5,000 fewer than normally required.
Discount is not available for travel May 27, 28, 31 and June 1.
This is similar to award discounts Alaska offers members of its own program. See http://frequentflier.com/ffc-021804.htm for more.
> More...
NetBank Customers Earn Priority Club Bonus
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Priority Club members can earn 40 points for each dollar used to fund a NetBank checking account, up to 10,000 points, plus 2,000 additional points for making a monthly direct deposit of at least $500.
Offer ends, and all account applications must be received by, May 31, and account must be funded by July 31.
> More...
Fly Ted for Fewer Miles
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Members of the TedClub can book a Saver Award ticket for 15,000 miles, a 10,000 mile discount from the normally required 25,000 miles.
Discount is good for travel on United, Ted or United Express, but only on routes flown by Ted.
Book now, for travel between May 1 and June 13.
> More...
Earn 10K US Air Miles from Sprint
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Dividend Miles members who activate a new Sprint PCS Consumer Service Plan before June 30 will earn 10,000 bonus miles per new line of service, awarded in 2 installments -- 5,000 miles after the first and sixth invoices. Bonus may be earned for up to 5 additional lines of service with preferred credit.
A mileage award surcharge of "approximately $0.001 per mile" will be charged to earn these miles.
> More - http://www.sprintstorelocator.com or call 1-877-737-0009
<< S T E A L S & D E A L S >>
Deal Alert from SmarterLiving.com
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This week's hot deals from SmarterLiving.com...
Florida Sale Fares on US Airways from $98
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US Airways has announced sale fares between Florida and the East Coast or Midwest starting at $98 roundtrip. Travel on most routes is valid from Apr. 12 through June 17.
This sale comes as an addition to another US Airways Florida sale which features slightly higher prices, but with travel valid through October. These spring and summer sale fares are the lowest available on most of the routes we checked, however US Airways beat its own listed price on 1 route by $40.
> More...
Orlando Fares from $138
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Orlando is a popular vacation destination, with multitudes of travelers making pilgrimages to Walt Disney World, Universal Studios, and other attractions, including the beach. While it's easy to think that such a hot spot would command high prices, it's easier than you might believe to find low prices and good deals.
Multiple carriers are competing for Orlando's heavy passenger volume, including 9 major low-fare airlines like AirTran, ATA, JetBlue, Song, Southwest, and Spirit. This competition helps keep the cost of your ticket down, as airlines try to entice you into their seats with numerous sales and unpublicized low fares. Being flexible with travel dates and alternate airports can bring you big savings as you fly south.
> More...
<< R E A D E R R A N T S & R A V E S >>
Feedback from the Frontlines of Travel
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"Just got this from our corporate travel agency:
"'National Car Rental - Frequent Flyer Service Charge Beginning July 13, National will introduce a Frequent Flyer Service Charge in the amount of $0.50 per day for qualifying rentals in the United States, Canada, and Puerto Rico when renters choose to receive Frequent Flyer miles or credits. This service charge is being collected by National in order to offset the administrative and program costs associated with participation in Frequent Flyer programs. This service charge applies to the following programs:
* Alaska Airlines - Mileage Plan
* America West Airlines - FlightFund
* Continental Airlines - OnePass
* Delta Air Lines - SkyMiles
* Frontier Airlines - EarlyReturns
* Midwest Airlines - Midwest Miles
* United Airlines - Mileage Plus'
"'The new Frequent Flyer Service Charge will replace the Frequent Flyer Tax Recoupment Fee for the above listed airlines. The Frequent Flyer Tax Recoupment Surcharge (7.5% Federal Excise Tax on the cost of miles awarded at the time of rental) will remain in effect for qualifying rentals in the United States when renters choose to receive miles from American and Northwest Airlines.'
"Oh goody, another tax. Is there no way to avoid these fees, other than refusing to patronize those rental agencies who insist upon levying them? Do they all have this fee?"
- Melissa
[Editor's Note - While it hasn't yet been adopted by all rental car companies, the $0.50 daily mileage surcharge has become the de facto industry standard. See http://frequentflier.com/ff092903.htm for more.]
"I wanted you and your readers to know that if you cancel a hotel reservation made through Orbitz, they charge you $25.00 !! even though the hotel would charge nothing (if more than 24 hrs prior). If there is any remote possibility of a cancellation, make your reservations directly with the hotel. They usually will match Orbitz's rate anyway."
- Don
[Editor's Note - With more and more hotel chains guaranteeing that the rates on their own websites are as low as can be found anywhere, the cancellation flexibility that Don alludes to amounts to a compelling reason to book directly with the hotel.]
<< S W E E P S & F R E E B I E S >>
Win a Seafood Cruise from Red Lobster
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Enter Red Lobster's Seafood & Wine Lover's Cruise Sweepstakes by Apr. 12 for a chance to win a 4-day cruise for 2 aboard Carnival Cruise Lines, including airfare to Miami, FL.
> More...
[Visit http://frequentflier.com/sweeps.htm for more travel sweepstakes.]
Until next week...
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