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UP FRONT..........................................................
Industry Newsbites (Signs of the Times)
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It's too soon to write US Airways' obituary. But when they filed for Chapter 11 bankruptcy protection on Sunday, the odds-makers gave them less than an even chance of surviving long term.
No wonder.
This is the company whose management mismanaged the carrier's first stay in bankruptcy, emerging prematurely, before the difficult task of reorganization had been achieved. And the company whose workforce is too embittered to behave with its own best interests in mind.
Incompetence and intransigence. Hardly a formula for success.
Still, there are almost 30,000 US Airways jobs directly at stake. And the ripple effect of the airline's dissolution would distress thousands more.
We wish them Godspeed.
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As US Airways was floundering, Delta was revealing its own turnaround strategy. Key elements of the plan: cutting 7,000 jobs; relinquishing its Dallas hub; migrating more transactions onto the web; expanding low-cost Song; simplifying its aircraft fleet.
Regarding SkyMiles, Delta somewhat cryptically suggested that changes were forthcoming, to make the program "easier to understand and awards simpler to redeem." That's less than reassuring.
Delta chief Gerald Grinstein has warned that a Chapter 11 filing may be in Delta's near-term future, if labor concessions aren't forthcoming.
ON SITE...........................................................
Bankruptcy Bites
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In response to the many queries regarding US Airways' latest bankruptcy filing, and the concern over losing miles if the airline throws in the towel, we've posted some considerations and advice on the website to help anxious Dividend Miles members make sense of their options.
-> More: http://frequentflier.com/bankruptcy.htm
FrequentFlier Forum Topics
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As always, there's plenty of activity on the FrequentFlier Forum.
In the "Airline Programs" Forum, WT reports that he recently earned his 1-millionth AAdvantage mile. American awarded him some upgrade certs, but not lifetime Gold elite status. Disappointed, WT wonders: "I was curious whether there are others who have encountered this in the last year? What has been you experience? Have others achieved lifetime elite status?"
In the "Hotel Programs" Forum, Ronald shares info and links for several new Starwood offers.
In the "Sweepstakes & Freebies" Forum, Jennifer has details on 6 new travel-related sweepstakes.
And much more... Questions, answers? Post them to the Forum!
-> More: http://frequentflier.com/forums/index.php
MILES & POINTS....................................................
Double AAdvantage Miles for China, Vietnam Flights
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From Oct. 1, 2004 through Mar. 31, 2005, AAdvantage members will earn double miles for Japan Airlines flights in first, business, or full-fare economy class between Japan and China or Vietnam.
The offer is valid for members in the U.S., Canada, Mexico, Brazil, Argentina, Peru, China, Hong Kong, Taiwan, and Vietnam. Register prior to travel by calling 1-800-882-8880, or online at http://www.aa.com/offers, Promotion Code JLCNV.
Amtrak Doubles the Rewards
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Between Sept. 7 and Dec. 15, members of Amtrak's Guest Rewards program will earn double points for travel on Acela Express or Metroliner between Washington and New York, Boston and New York, Philadelphia and Boston or Washington and Boston.
In addition, members earn an extra 3,500 bonus points after every 2 qualifying roundtrips or 4 1-ways.
Registration is required, at http://www.amtrakguestrewards.com/AE904.
Continental OnePass Changes
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While Continental prefaced its announcement by claiming that upcoming OnePass changes are "to better meet the needs of its members," in reality the new policies are a mixed bag -- steps forward and steps back.
1. Increased Upgrade Fees
Effective Jan. 1, 2005, Continental will raise fees to upgrade to BusinessFirst on discounted economy tickets. One-way upgrade fees for tickets booked in B or O class will increase from $300 to $350. Tickets booked in V or U class will see upgrade fees go from $300 to $400 and tickets booked in Q, I, S, W, T, X, or L class will rise from $400 to $450 each way. There are no fees for upgrades from H class, except for Hawaii flights, which remain at $200 each way. The fee for tickets booked in K class will remain unchanged at $200 each way.
2. Elite Qualification
When CO changed its policy to award only .5 elite-qualifying miles for discounted coach fares, they reduced the sting somewhat by continuing to allow full credit for discounted fares booked on the airline's website through the end of this year.
That "full elite credit for e-bookings" promotion has been converted to a policy, with no end date.
3. Online Award Booking
Continental's newly developed calendar format for award-booking is a giant step forward for consumers, affording a bird's-eye view of available award seats over a 2-month period. Check it out at http://continental.com/onepass/rewards/travel/default.asp.
To promote the new feature, Continental is offering a 10% discount for standard award seats redeemed online for travel within the continental U.S., Canada and Alaska (Series 0), ticketed between Sept. 15 and Oct. 31.
With the discount, standard award seats normally offered for 25,000 miles will be available for 22,500.
4. Better Service for Elites
Beginning Oct. 1, OnePass elites can call the new Elite Priority Desk for program-related customer service.
-> More: http://www.continental.com/OnePass/news/continental/co_20040908_01.asp
Marriott Rewards Multiple Stays
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Marriott Rewards members will earn 5,000 bonus points after every third qualifying stay charged to an American Express card between Sept. 15, 2004 and Jan. 31, 2005. A maximum of 25,000 bonus points may be earned during the promotion.
Registration is required, online or by calling 1-888-MARRIOTT during the promotional period.
-> More: http://marriott.com/rewards/rewards.mi?
Northwest's 1-2-3-Free
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In response to United's fly-3/get-1-free offer (reported in last week's Crier), Northwest is offering WorldPerks members 1 free domestic ticket for every 3 qualifying domestic roundtrips or 1 free international ticket for every 6 qualifying international roundtrips flown between Sept. 9, 2004 and Jan. 31, 2005. A maximum of 4 free domestic tickets and 2 international tickets may be earned per member.
Qualifying travel must begin or end in the contiguous U.S. or Canada. Not all fares qualify. For domestic trips, L, T and K classes are not eligible. Neither are trans-Atlantic fares booked in V, L, T and K classes or trans-Pacific fares booked in V and K classes.
Free domestic or trans-Pacific travel must take place between Oct. 15, 2004 and June 10, 2005. Free trans-Atlantic travel must be completed between Oct. 15, 2004 and May 23, 2005.
Registration is required prior to qualifying travel, and by Nov. 30, 2004.
-> More: http://www.nwa.com/promo/123free4/
SkyTeam Bulks Up with 3 New Airline Partners
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The SkyTeam global alliance, co-founded by Delta and Air France, took a quantum leap forward this week with the simultaneous addition of Continental, Northwest and KLM.
The new members bring to 9 the number of SkyTeam partners, including Aeromexico, Air France, Alitalia, Continental, CSA Czech, Delta, KLM, Korean and Northwest. In the coming year, SkyTeam will add Aeroflot and China Southern to the partner roster as well.
Effective Sept. 15, passengers traveling with any of the 9 member airlines can earn miles towards SkyTeam Elite status and redeem miles on any of the airline members.
-> More: http://www.skyteam.com/skyteam
STEALS & DEALS....................................................
Deal Alert from SmarterLiving.com
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1) London Sale Fares on British Airways from $198
British Airways has announced London sale fares starting at $198 roundtrip. Travel is valid from Oct. 28 through Dec. 16, or Dec. 24, 2004 through Mar. 13, 2005, and departures are valid from a handful of cities around the U.S.
Book tickets at least 7 days in advance, and by Thursday, Sept. 23.
-> More: http://www.smarterliving.com/air/deal.php?id=7301
2) Domestic Sale Fares on ATA from $98
ATA is offering sale fares on many of its most popular routes starting at $98 roundtrip. Destinations include Boston, Honolulu, and Washington, D.C. Travel is valid through Feb. 16, 2005.
Book tickets at least 7 days in advance, and by Monday, Sept. 20.
-> More: http://www.smarterliving.com/air/deal.php?id=7264
SWEEPS & FREEBIES.................................................
Win a Dream Vacation From Four Points by Sheraton
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Enter the Four Points by Sheraton "Dream Vacation" sweepstakes by Oct. 8 for a chance to win 1 of 4 grand prizes of 150,000 Starwood Preferred Guest points each.
To enter, fill out the online form (link below).
-> More: http://usatoday.com/_ads/sweepstakes/starwood/default.aspx?LOC=vanity
[Visit http://frequentflier.com/sweeps.htm for more travel sweepstakes.]
READER RANTS & RAVES..............................................
Feedback from the Frontlines of Travel
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"In the latest issue, you wrote:
"American - Effective immediately, a $5 fee for award bookings made via American's reservations centers and $10 for award tickets booked at the airport. AAdvantage Executive Platinum members and AAirpass customers are exempt.
"But according to an email I received from American Airlines, it isn't just the award tickets that they will be adding the fee to. It is any ticket that is not booked online -- whether it's one-way, round-trip or award tickets." (Julie)
[Editor's Note - Julie's quite right. All the new fees, except United's, apply to revenue tickets as well as to frequent flyer award tickets. While our focus is always on mileage-related matters, we should have been clearer on the scope of these fees.]
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"On the subject of airline the latest oligopoly airline fees, when you look at what's on the record for these "fees" from the airline industry, representatives of these airlines are making claims that the fees are to divert fuel costs and other areas that are not what the fees are intended for. My best example, naturally, is the e-ticket development to thwart the cost of paper tickets. Now with the fee on the 'free' service of e-ticketing no matter where it is done, except the airline's own website and upper elite status bypassing, to slow down the cost/waste of using fuel, isn't there a law on the books that says a company cannot impose a mutually exclusive fee to pay for the cost of something else? The airlines tried to impose a fee specifically on the cost of fuel. When that didn't work, they dropped it.
"Now, in essence, the same fee is imposed for ticketing, but the money is diverted for fuel costs nevertheless which comes across as down right disingenuous. The reality is, these airlines cannot attract fliers with rude customer service, 4th Amendment violating security measures, business plan structures designed to fail only to reward the crooked at the top, and companies being operated by personal that are the equivalent to the first ten fired from the first run of 'The Apprentice'. That's sounds much more plausible." (Al in Boston, MA)
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"Oftentimes I read with envy the many special fares offered from major cities to far east or European destinations. Whereas residents in the continental US may easily take a hop to one of those gateway cities to connect to those flights, there would be no advantage for Island residents to do the same because the cost of the trans-Pacific flight round trip would cancel any savings. Then too, continental residents are offered many very appealing fares to Hawaii. I think it is discriminatory not to offer comparable opportunities for Island residents. Do you agree?" (Norman)
[Editor's Note - While I agree it's a pain in the pocketbook, it's not discrimination in any social or legal sense. Hawaiians suffer from the same lack of aggressive pricing and promotional activity faced by residents of any small, isolated market. The state of Alaska and many smaller towns are similarly deprived.]
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"New promo for those who get the Royal Bank Platinum Avion card -- 10,000 mile bonus, double airmiles on all purchases for one year. $1=1 mile.
"Note Avion points can be used to buy any airline ticket (25,000 miles= approx $750 in fare OR can be converted directly to British Airways or American miles!!" (Gary)
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If you have a rant or a rave, e-mail us at rants@frequentflier.com.
Until next week...
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