Issue #95  --  May 25, 2000

<< U P F R O N T >>

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UA + US = ???
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The buzz about the United-US Airways merger borders on the deafening. Questions, comments and concerns are coming from every direction, by phone, fax, e-mail, on online forums, and in face-to-face discussions.

Here are some more or less random thoughts on the matter:

o Before you get too agitated, bear in mind that industry analysts only give the merger a slightly better than even chance of surviving objections by shareholders, unions and the Department of Justice.

o Remember too that at this early stage, the final form of the post-merger frequent flyer program has neither been decided nor announced. And it will likely be months before these decisions are made and made public.

o Overall, the merger should be a net plus for most members of US Airways' Dividend Miles program. While both programs have their particular strengths and weaknesses, the additional earning and redemption options resulting from combining the United and US Airways networks should overshadow any other effects, positive or negative, of being switched from Dividend Miles to Mileage Plus. (But see Steven's note below for an elite's viewpoint.)

o While the current tie-up between US Airways and American may be grandfathered for 3 - 6 months (in keeping with National Association of Attorneys General guidelines), its days are numbered. If you're planning to combine Dividend Miles and AAdvantage miles for an award, pay special attention to forthcoming deadline announcements.

o We'll take this opportunity to call on both United and US Airways to publish FAQ's (frequently asked questions, with answers) on their respective websites to keep customers apprised. There should be a prominent link on both carriers' homepages to these FAQ's.

We'll defer further speculation until more information is available. For now, here's an e-mail we received from Steven, which pretty eloquently expresses the concerns, and poses the questions, we're hearing from US Airways customers:

                  << - begin quote - >>
The big news today is the proposed merger of United and US Airways. As a very frequent flyer (140 segments on US Airways alone last year), I took a moment to look at the United FF program and compare it to the one I have with US Airways. I am not a happy camper. I realize I'm a bit upset, and so give you permission to correct any wrong information in my note below as well as edit for brevity. I'd also like to see your comments on this issue as it relates to the larger merger issues.

Here is (basically) what I wrote to the US Airways Dividend Miles Center today:

"Dear sirs:

The merger with United appears to be a major step DOWN for current US Airways frequent fliers like me. After an initial "gee, this sounds like a great merger," I took the time to look at the United Airlines frequent flyer program on their web site.

Basically, it is a lousy program (compared with US Airways).

I cannot believe United's web site states that they think awarding 100,000/100 segment fliers (1k members) with 4 (four) 500-mile upgrades for every 10k miles is generous. I currently get unlimited upgrades, no paper, with US Air as a 100,000 mile/100 segment flier! Their upgrade period for 1k members (100 hours) is less than US Airs current 7 day period; the list goes on and on.

So help me understand why I would think this merger is an improvement?

And what happens to my current FF status after the merger? What do I do with those European upgrade certificates I just got? How does US Air/United plan to "reward me" for my many miles earned in the last several years in the US Air plan which would have gotten me a bunch of those "oh-so-generous" 500 mile certificates (note that 500 miles versus 800-mile certificates used by US Airways - a neat United trick since more certificates are needed for an upgrade for most jet flights over 1 hour)?

I am VERY troubled and upset by this merger which appears to hardly "reward" me for my faithful business with US Air through a number of threatened strikes in the past two years.

I would like to hear what plans are in place to protect the hard-earned benefits of US Airways frequent fliers like me in this merger?

A VERY disappointed US Airways customer..."

 - Steven
                   << - end quote - >>

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On Site: Bank Cards Article
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If you're considering adding 1 of the bank-issued mileage cards to your credit card collection, read the new article posted on the site for a consumer's-eye perspective on these airline card look-alikes.

>> More <<
Bank cards: http://frequentflier.com/ff052400.htm

<< M I L E S >>

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Oneworld Adds Partners, Offer Bonus Miles
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Oneworld--the global airline alliance anchored by American and British Airways--is adding partners and offering bonus miles when you fly Oneworld carriers to multiple continents.

>> New Partners
Beginning June 1, Aer Lingus and LanChile add their names to the Oneworld partner roster, which currently includes American, British Airways, Cathay Pacific, Finnair, Iberia and Qantas.

>> "Visit the Continents" Bonus Offer
Also beginning June 1, the Oneworld partners are offering bonus miles for travel to 3 or more continents, as follows:

o 5,000 bonus miles when you fly to 3 different continents
o 15,000 bonus miles for 4 different continents
o 50,000 bonus miles for 5 different continents
o 100,000 for 6 different continents

To earn the bonus miles, you must register with the Oneworld program in which you will be earning miles for the qualifying trips. For example, if you're an AAdvantage member, call 1-800-882-8880, press 1 # * 26 and, when prompted, promotion code OWCON.

>> More <<
Oneworld

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Northwest/Visa One-Million Mile Giveaway
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Use your Visa card to purchase a Northwest ticket through July 31, 2000 and you will automatically be entered into the sweepstakes to win one million WorldPerks Miles.

Visa will select a winner through a random drawing of each month's entrants once a month--in May, June and July.

To participate, you must be a U.S. resident, 18 years or older. No purchase necessary.

For complete sweepstakes details and entry procedures, use the link below.

>> More <<
Northwest

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Hyatt Upgrades Program, Offers Multi-Stay Bonus
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Hyatt is re-launching its Gold Passport frequent guest program and offering bonus miles and points for 3 or more stays.

Program enhancements include the following:

o The elimination of award blackout dates - Gold Passport members will be able to redeem awards without the restrictions of blackout dates.

o Passport Plus Awards for Platinum and Diamond elite level members - Platinum and Diamond level members will be able to redeem a hotel award for any available room, using "Passport Plus" awards which require additional points and are not subject to capacity controls.

o New Award Structure - With the new award structure, the minimum drops to 5,000 points at select hotels. The new award structure also creates categories of hotels, and the amount of points needed for a free night at a particular hotel now depends on which category the hotel is in. Point redemption categories are 5,000, 8,000, 12,000 and 15,000. As of June 1, 2000, full details and category listings will be available on www.goldpassport.com.

o Guaranteed Availability for Diamond Members - Diamond members will be assured of a room when they give at least 72 hours advance notice.

o No Point Expiration - Points will not expire if members stay once at a Hyatt hotel in a calendar year.

o Airline Miles Award Bonus - When a Gold Passport member converts 60,000 Gold Passport points to airline miles they will receive 20,000 airline miles with Gold Passport's three points to one mile conversion, plus a 5,000 mile bonus for a total of 25,000 miles - enough for a free flight on most airlines.

To promote the changes, Gold Passport members will earn bonus points or airline bonus miles from June 1 through August 31, 2000. Beginning with their third stay, members can earn either 5,000 bonus points or 3,000 bonus miles per stay (bonuses will be awarded to members on their 3rd through 7th stay during the promotion period). If they choose Gold Passport points for their stays, they earn a maximum of 25,000 bonus points. Or if they choose miles for their stays, they can earn up to 15,000 bonus miles with any of 24 airlines. These bonuses are in addition to the normal Gold Passport points or standard miles Gold Passport members can earn on each stay.

Additionally, Gold Passport members will be upgraded to Platinum status after their 3rd stay during the promotional period.

>> More <<
Hyatt

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Triple WorldPerks Miles for Memphis Flights
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From June 1 until July 31, Northwest will give WorldPerks members triple WorldPerks miles for any flights starting, ending or connecting through Memphis. Customers can take advantage of this promotion by registering at least seven days prior to travel and no later than July 24. Customers can register by calling 800-508-2000 and entering registration code 7548.

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Delta SkyMiles Award Auction: Going, Going...
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Delta has released details of its latest travel packages available for bid by SkyMiles members in the "More for Your Miles" auction.

Two sample packages:

o Encounter zero gravity at the Yuri Gagarin Training Center in Star City, Russia. One winner and a guest (must be 18 years of age) will fly in a specially-outfitted training jet used by the Russian Space Agency. The package includes BusinessElite airfare to Moscow, transportation to Star City and hotel accommodations for four nights.

o Meet Olympic figure skater Michelle Kwan as a part of a package benefiting the Children's Miracle Network. Two auction winners will receive four tickets to the John Hancock Champions on Ice Summer Tour 2001 and may select the city and tour stop which they would like to visit. Autographed memorabilia from Michelle, airfare, hotel accommodations and rental car are included. Miles from the two winning bids will be donated to the Children's Miracle Network.

SkyMiles members may bid during air travel by dialing * - B - I - D toll free via Airfone(r) provided in-flight. Members may also bid toll-free via phone at 1-877-BID-MILES (1-877-243-6453) or by faxing the bid form found in the March newsletter to 1-877-243-2266.

Bids will also be accepted via email at delta.bids@delta-air.com. Members must maintain the number of miles bid as a minimum SkyMiles account balance from the time of bid submission until winner notification. Bid closing is midnight EST on June 11, 2000.

>> More <<
Delta

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Thrifty is New SkyMiles Partner
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Thrifty Car Rental joins Delta's SkyMiles program on June 1.

SkyMiles members will earn double miles on rentals beginning June 1, 2000 through August 14, 2000. Airport-arriving SkyMiles members who rent from Thrifty airport locations worldwide will receive 100 SkyMiles for each qualifying rental day up to 14 days -- twice the usual 50 per day. For rentals exceeding 14 days, the mileage award is 50 miles per rental day after the 14th day. The car must be picked up during the promotional period.

Delta SkyMiles members also have the opportunity to earn miles when they park at participating Thrifty Car Rental airport locations that offer parking. Customers can earn 250 miles when they park three times at the same U.S. Thrifty parking facility within a one-year period.

>> More <<
o Delta
o Thrifty

<< S T E A L S & D E A L S >>

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Deal Alert from SmarterLiving.com
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Two hot deals from SmarterLiving.com...

>> Vanguard's Memorial Day Weekend Sale

Vanguard Airlines is offering sale fares of $78 round-trip to anywhere they fly. Travel is valid on May 27, 28, and 30 only. Tickets must be purchased by 11:59 CT on Monday, May 29.

Customers who book online will receive an additional 5 percent off.

For more details, go here.

>> Travel on Sale to Bangkok, Beijing, and Hong Kong

Korean Air is offering reduced fares to Bangkok, Hong Kong, and Beijing, with round-trip fares starting at $657. Travel is valid for departure from now through July 22. Fares are available online only and must be purchased by Wednesday, May 31.

Sample round-trip fares include:

  $657 from Los Angeles to Hong Kong
  $695 from San Francisco to Bangkok
  $817 from New York (JFK) to Bangkok
  $826 from Chicago (O'Hare) to Beijing
  $883 from Washington (Dulles) to Beijing

For more details, go here.

<< B U S I N E S S T R A V E L T I P S >>

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What to Bring and How to Bring It
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The following is part of a continuing series of business travel tips from Chris McGinnis's "The Unofficial Business Traveler's Pocket Guide--165 Tips Even the Best Business Travelers May Not Know."

>> Coping with Carry-Ons (part 1)
Recently, the airlines have gone to great lengths to lay the blame on passengers for carrying on too many bags. But why is it that travelers opt to carry on the majority of their luggage? Is it because they want to inconvenience airline employees? Hardly. Passengers have a well-founded distrust of the airlines' baggage-handling system. Most seasoned travelers have had a bag delayed, lost, pilfered, or destroyed at one time or another.

Over the past decade, the airlines have crammed as many seats as possible into each plane, removing any hint of legroom. Many have gone so far as to remove closets and shelves that were once used to handle overflow from overhead bins in order to install extra seats. And passenger loads are at an all-time high. That means there is precious little space for any carry-on.

Chris McGinnis
Travel Skills Group
http://www.travelskills.com

<< I N D U S T R Y U P D A T E >>

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T+L "Best Service" Hotels
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The results of Travel + Leisure's fourth annual World's Best Service survey are revealed in the June Special Hotels Issue, on newsstands June 6th. Travel + Leisure readers rated their favorite hotels around the world according to service.

The results:

              WORLD'S BEST SERVICE 2000

 The Top 10 Hotels for Service OVERALL

  1) The Peninsula, Hong Kong                 94.0
  2) The Oriental, Bangkok                    93.2
  3) Ritz-Carlton, San Juan Hotel, P.R.       91.4
  4) Mandarin Oriental, Hong Kong             91.3
  5) Villa d'Este, Cernobbio, Italy           91.2
  6) Ritz-Carlton, Kapalua, Maui              91.0
  7) Four Seasons Hotel, Singapore            90.4
  8) Amandari, Bali  (tie)                    89.9
  8) Four Seasons Resort Hualalai, Hawaii     89.9
 10) The Greenbrier, W Virginia               89.8

 The Top 10 Hotels for Value in the CONTINENTAL USA

  1) The Greenbrier, W Virginia               89.8
  2) Mansion on Turtle Creek, Dallas          89.5
  3) Ritz-Carlton, Laguna Niguel, California  88.3
  4) Ritz-Carlton, Buckhead, Atlanta          86.3
  5) Hotel Bel-Air, Los Angeles  (tie)        86.2
  5) Inn at Spanish Bay, Pebble Beach, Ca     86.2
  7) Four Seasons Olympic, Seattle  (tie)     86.0
  7) The Phoenician, Scottsdale, Arizona      86.0
  7) Ritz-Carlton, San Francisco              86.0
 10) The Pierre, New York                     85.8

 The Top 10 Hotels for Service in EUROPE

  1) Villa d'Este, Cernobbio, Italy           91.2
  2) Hotel Plaza Athenee, Paris               89.5
  3) Hotel Cipriani & Palazzo Vendramin       89.4
  4) Le Sirenuse, Positano, Italy             89.2
  5) Hotel Ritz, Paris                        89.0
  6) Hotel de Crillon, Paris                  88.9
  7) Four Seasons Hotel, Milan                88.3
  8) Grand-Hotel du Cap-Ferrat, France        87.0
  9) Hotel Villa San Michele, Fiesole, Ital   86.7
 10) The Connaught, London                    86.0

>> More <<
Travel and Leisure

<< R E A D E R R A N T S & R A V E S >>

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MCI Bonus Mile Woes (continued)
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[Editor's note - If you haven't been following this thread, it began with a rant by Loretta concerning a mileage bonus by MCI that was never delivered. In fairness to MCI, we have to say that in response to Loretta's complaint, we received a note from an MCI representative who was clearly concerned with rectifying the situation. We got Loretta and the MCI rep connected, and they continued the discussion between them, with the following result...]

Dear Tim,
Just wanted to let you know that I spoke to the MCI rep who could do nothing but apologize yet again & explain that this does indeed happen but that there's nothing they can do about it. I told her that an apology was not a satisfactory outcome & that the 10k miles accrued vs 25k promised left me with a number of miles that were essentially useless.

I explained to them that if I used the same excuses & phrases they used to explain why I could only pay less than half of my bills for 9 months of long-distance, that I would meet with a very different response from them.

Unfortunately, it only underscores the fact that consumers are completely at the mercy of companies who offer ff bonuses even when they admit their mistakes or outright lies by their reps. I think what that means is not to make choices based on ff miles, which is hardly the outcome companies want when they offer miles.
Thanks,

 - Loretta

                           >> --- <<

I sympathize fully with Loretta and her MCI Customer Service problems. When United swapped its telephone partnership from AT&T to MCI I switched my service to get the bonus miles. After over $300 of MCI "cramming" from late '97 to early '99 and regular monthly calls to MCI Customer Service (usually with 30+ minutes on hold at the 800 number) that were summarily ignored, I wrote to state and federal regulators who directed MCI to settle my claim. I dropped MCI and wrote to United requesting it swap to another telephone partner as I have vowed NEVER to use MCI again.

 - Roger

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I read in the newsletter about the problem with mci bonus miles. I had the same problem and I even have the name of the rep who promised it to me. They refused to honor it and they gave me only 10k miles.

 - 844

                           >> --- <<

Hi. I just saw the note in your newsletter about MCI luring customers by promising more miles than they actually give. I had the exact same experience. About a year ago, I left MCI for cheaper rates. They of course called to get me to return. They said they couldn't match the other carrier's rates, but said they would give me 15,000 US Airways miles if I return. I said, "Sure, I'll do it for 15,000 miles," thinking that was a pretty good deal. Well, it turned out to be only 5,000 miles, with another 1,000 miles monthly to total 10,000 miles. I called them and they said they were sorry, but couldn't give me the 15,000 miles promised. I filed a complaint with the Better Business Bureau and sent a nasty letter to MCI, but that didn't help much. MCI just responded by saying they couldn't give me the miles. I made it perfectly clear in my letter that the telemarketer was the one who brought up the mileage, that I never even mentioned it. I also made it clear in my letter that I thought it was a pattern and was encouraged. I couldn't understand why one rogue telemarketer would make up the mileage offer.

In MCI's letter, they simply referred to it as a misunderstanding, as if I was the one who was mistaken!

Anyway, I thought it might help for people to know that there is a pattern of misleading representation by MCI.

 - Kelby

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Delta's Baggage Increase
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To be fair, you should also note that while Delta is now planning to expand it's bin space to hold 4 22" carry-ons per bin, United just finished exactly the same expansion to all it's single-aisle aircraft.

 - David

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MilesOne Rave
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I just wanted to go on record as saying that the easiest Credit Card Miles program I have found is the Capital One Miles One program. The credit card is a Visa and gives one mile per dollar spent. These miles can be used, through the credit card agent, to purchase tickets on ANY airline and there are no blackout periods, special fine print requirements, or any of the usual hang-ups. In addition, the miles needed are in zones so that instead of needing a generic 25,000 miles to fly from Tampa, Florida to Vancouver, Washington or to New York, NY, the zone program only required 18,000 for the NY trip! That is wonderful. I was able to coordinate miles awarded through an individual airline used to purchase a ticket for my husband with miles stored at Capital One for a ticket for myself. And, a very friendly and knowledgeable agent advised me how to succeed in doing this and end up with both of us flying on the same plane, with the same itinerary, and in adjoining seats! Every agent I have talked to has been eager to explain and help with the program. This is the best program I have found.

 - Toni

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Kudos for Continental
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Just want you to know we just had a great experience with Continental Customer Care (we have contacted them already). Our daughter was returning from being in London for the past year in school. Due to weather she was delayed getting out of Newark--we live in Youngstown, OH (great if someone is flying from more than 3 hours away--due to we have to go to Pittsburgh or Cleveland. All, I can say, is the attitude and help were outstanding--in finding her in Newark and getting her rebooked for the next day.

They were awesome!

 - Mary

<< F R E Q U E N T F L I E R F U N N I E S >>

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True (Funny) Travel Stories
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A customer calling reservations to make some changes was asked by the agent, "Yes ma'am, and what are you holding now?"

The reply? "A ham and cheese sandwich."

[FrequentFlier Funnies are true stories told by pilots, reservations agents and other travel industry professionals, from William Joric's "Air Sick Humor." The book can be purchased at the FrequentFlier Bookstore at http://frequentflier.com/ffp-books.htm]

Until next week...