This Week's Travel Industry Newsbites

Yesterday, as expected, the federal bankruptcy court approved United's proposal to terminate its 4 underfunded pension plans. Responsibility for those plans would be shifted to the Pension Benefit Guaranty Corp. (PBGC), which imposes an annual cap of $45,600 on payouts to beneficiaries, reducing pension benefits for many of the 120,000 affected current and future United retirees.

In a blow to United's unions, which vehemently opposed the move, the bankruptcy court judge also ruled that a strike would be prohibited, because the PBGC would shoulder some of the pension burden.

The move will also rattle United's competitors, who could be forced into bankruptcy in order to jettison their own pension plans and achieve cost parity with United.

This will be the largest pension default in history, superceding Bethlehem Steel's in 2002.

It's unclear whether the unions will observe the court's no-strike ruling. As both sides of the battle are all too aware, a protracted strike could push the bankrupt airline over the brink and into liquidation.

Meanwhile, Delta is again warning of the possibility of a bankruptcy filing.

After recording a $1.1 billion loss for the first quarter, Delta had $1.8 billion in cash but $2.4 billion in cash requirements for the 3 remaining quarters of 2005.

Delta's stock price took a 10% hit on Tuesday, reflecting investor pessimism over the carrier's prospects.

FrequentFlier Forum Topics

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

In the "Airline Programs" Forum, ghuang131 poses the following question regarding a high-profile program: "Is MilePoint worth the trouble?"

In the "Hotel Programs" Forum, cduff is hoping for an elite match: "Currently Platinum Priority Club and Silver on Marriott. I've got a lot of time upcoming in a location where my choices will be either a Fairfield or a Hampton, and want to try and maximize my time. Will Marriott/HHonors upgrade to Platinum/Diamond or Gold?"

And in the "Credit Card Programs" Forum, krstone is contemplating a credit card upgrade: "I repeated receive mailings asking me to upgrade Delta SkyMiles Gold to Platinum. It seems like a good deal but Amex's repeated solicitations make me suspicious that it's better for them than for me."

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

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Double AAdvantage Miles on Cathay Pacific

Between June 1 and Aug. 31, AAdvantage members will earn double miles when flying in first or business class on Cathay Pacific between the U.S. and Hong Kong.

Registration is required, using promo code CXDMT.

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15 AAdvantage Miles for Every $1 at GiftSense

AAdvantage members can earn 15 miles for every $1 spent at online retailer GiftSense. (There's no published end-date for this offer.)

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Continental Bonus for New Flights to Belfast, Bristol

OnePass members will earn 4,000 bonus miles per roundtrip for flying Continental's new service from New York/Newark to Bristol between May 19 and July 19 and to Belfast between May 26 and July 26.

Registration is required.

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Earn Delta Miles for Millennium & Copthorne Stays

Effective immediately, SkyMiles members can earn 5 miles for every $1 spent on room rates for qualifying stays at Millennium & Copthorne hotels.

To promote the tie-up, Millennium properties in North America will offer SkyMiles members a bonus of 5 miles per $1 spent, for a total of 10 miles per $1, between June 1 and Aug. 31.

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Frontier Partners with Qwest

Frontier EarlyReturns members in Qwest's 14-state local service territory can now earn up to 21,000 miles with the purchase of Qwest services, including DSL, long-distance, wireless and digital TV.

There are additional bonuses for purchasing 2 or more services.

:: More or call Qwest at 1-877-935-9669

Northwest Discounts Award Travel to Canada

WorldPerks members can redeem 20,000 miles (a 5,000-mile discount) for award travel on Alaska Airlines between Las Vegas, Phoenix or San Diego and Canada.

Discount is valid for travel through June 9.

Call 1-800-44-PERKS to book.

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Rxtra Mile Helps Travelers in Need

The Rxtra Mile is a newly launched service linking charitable-minded mileage earners with people who must travel for medical reasons.

If you have miles to donate, or if you have a medical condition which requires air travel to receive treatment, contact Rxtra Mile through their website.

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United Offers Bonus for LAX-Mexico City Flights

Between June 7 and July 31, Mileage Plus members will earn 1,500 bonus miles for roundtrip flights between Los Angeles and Mexico City.

Registration is required.

:: More or call 1-888-560-5660 and enter promo code 3235

Triple United Miles-for-Dining

Mileage Plus members will earn triple miles for the next 3 dines at participating restaurants between May 1 and June 30.

Registration is required.

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US Air Bonus for Ireland, Scotland Flights

Between May 1 and July 31, Dividend Miles members can earn up to 15,000 bonus miles for flights to and from Glasgow, Scotland and Dublin and Shannon, Ireland.

Envoy Class (C/D/J/Z fare classes) tickets earn 15,000 bonus miles, full coach (Y/B/N/U fare classes) earns 10,000 bonus miles, and discounted coach (K/Q/V/W fare classes) earns 5,000 bonus miles.

Bonus may only be earned once per member. Registration is required.

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Test Your Fast Food IQ
Provided by Healthy Travel Network (http://www.healthytravelnetwork.com)

Eating fast food doesn't have to be total disaster, if you have a high Fast Food IQ. Take our test to find out whether you're likely to make smart choices or not.

1. Approximately what percentage of calories in the McDonald's Caesar Salad with Grilled Chicken and Caesar dressing comes from the dressing itself?
(a) 10%
(b) 25%
(c) 50%

ANSWER: The correct answer is 50%! The salad itself has 210 calories with only 6 grams of fat, but the dressing adds another 190 calories and 18 grams of fat! To keep your salad healthy, skip the dressing. Add some salt and pepper, and if the veggies are limp, try spritzing them with a little water to freshen things up a bit.

2. Which contributes more calories to the Burger King Chicken WHOPPER Sandwich, the chicken filet or the bun?

ANSWER: The bun has a staggering 250 calories, compared to a lean 150 calories in the chicken filet. Even worse, the mayo has adds another 160 calories and 18 grams of fat! Just think, you could switch your order to a Fire Grilled Chicken Garden Salad without the dressing, order a small fries, and still come out ahead on both calories and fat.

3. If you are on a 1500 calorie-per-day diet, what percentage of your daily calories will you consume if you eat a Wendy's Chicken BLT salad with dressing?
(a) 25%
(b) 40%
(c) 50%

ANSWER: This seemingly innocent salad packs a whopping 750 calories and 52 grams of fat. For those of you watching your weight, it may represent 50% of your calorie intake for the day. The dressing alone is 280 calories and 26 grams of fat. The croutons add another 70 calories. Bring it down to only 388 calories and 20 grams of fat by skipping both.

Sign up at Healthy Travel Network to get our upcoming article comparing fast food menu items and providing more tips for making smart choices.

Deal Alert from SmarterTravel.com

1) Paris Sale Fares on Air France from $299

If you're already planning a fall or winter trip to Europe, you might consider taking advantage of Air France's "Early Bird" sale. Prices start at $299 for travel to Paris.

Departures are valid from Nov. 1, 2005, through Mar. 31, 2006. Book tickets by May 15. Fares require a Saturday-night stay, and the maximum stay is 1 month.

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2) Domestic Sale Fares on US Airways from $88

Travel into the fall with US Airways' domestic sale. Prices start at $88 roundtrip, and destinations include Dallas, Philadelphia, New Orleans, and more.

Travel is valid on Mondays through Thursdays and Saturdays through Oct. 5. Book tickets at least 14 days in advance. US Airways has not listed a booking deadline.

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Win 7 Nights in the Bahamas

Enter the Caribbean Travel & Life sweepstakes for a chance to win 7 nights at the Green Turtle Club in the Out Islands of Great Abaco (air not included).

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

Feedback from the Frontlines of Travel

"Short and to the point, United Airlines strike will take place early next week.

"The 10th and/or 11th are the best projections for the start of strike activities. Don't assume that the threat by the flight attendants will be just intermittent, it will probably be a total shutdown of all flights both here and overseas. The mechanic's have vowed to strike not just to make a point, but to strike to liquidation. The machinist's will be a total work stoppage. This is not as you might think a traditional strike, this will be designed to take down the company and the current management. All United employees have been hit way too hard to take it anymore. They now feel that if they're going down, then you're going down right along with them.

"You're very wrong in your assessment that frequent fliers should wait until all this plays out. It's probably too late already, if you plan to fly next week, I feel very sorry for you. You too have been taken by United Airlines management and now you're going to be punished for their actions. Maybe you want to call Glenn F. Tilton to thank him for ruining your life too." (Gary M. - UAL, retired after 39 years)

"I think this is big, and I have not read about it....

"If you already own a Continental Mastercard from Chase, and book any travel on Continental.com, enter OnePass in the password section, you will get a 5% discount. That adds up to real money for free!!!" (Eric B.)

[Thanks, Eric. Here's a link to CO's website for more info.]

Until next week...