Merger Mania, Oh My!

In last week's Crier, we briefly reported on US Airways' brash move to acquire Delta. That seems to have finally jump-started the wave of industry consolidation which has been widely anticipated for the past several years.

Today, AirTran disclosed that it has offered to buy rival Midwest Airlines. This isn't the first time that AirTran has expressed such interest; and as it has before, Midwest snubbed the offer. But US Airways' bid for Delta was similarly rejected by Delta management and could proceed without their buy-in. AirTran could proceed with a hostile takeover strategy as well.

And on a significantly larger scale, according to reports in the New York Times and Wall Street Journal, United and Continental are now in merger talks.

If both the US Air-Delta and Continental-United mergers were to take place, five major airlines -- America West, Continental, Delta, United, US Airways -- will have been reduced to just two over a period of two or so years. While the proliferation of low-cost carriers will keep prices from rising precipitously, such consolidation reduces competition and can only result in higher fares. The only question is: How much higher?

Hold on to your hats, fellow travelers. This could be a bumpy ride.

Poll: US Air + Delta = ?

We announced a new FrequentFlier Poll last week, designed to gauge savvy travelers' opinions on the proposed US Airways-Delta merger. So far, the voting has been overwhelmingly against the tie-up, with 63.2% opining that it will be a bad deal for consumers.

If you haven't voted yet, weigh in with your take on the merger. (After casting your vote, you'll be presented with the results of the survey to date. There's also a link to view the survey results without voting.)

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FrequentFlier Forum Topics

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

In the "Airline Programs" Forum, 10DogMom wonders whether upgrades are easier to come by than free seats: "I don't have a chance to get an overwhelming number of points, and I don't mind using them to upgrade instead of getting free tickets. Are there the same number of seats available for upgrades as for free, or do you have a bit more flexibility on upgrades?"

Also in the "Airline Programs" Forum, tankrtoad has reached elite status in United's program and wonders if he might be better served by Delta, which offers its elite members unlimited complimentary upgrades: "How likely am I to actually *get* those 'unlimited' upgrades? As a silver member, I know I'm last in line behind higher-status FFers (and, of course, folks paying the first-class fare). Can I actually use my status for upgrades? Compare also to United--even ponying up miles is no guarantee of a seat, of course, but does that 'cost' of upgrading translate to fewer requests (and therefore easier upgrades)?"

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

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American Will Scale Back Online Booking Bonus

Effective December 15, AAdvantage members will only earn half the current bonus miles for flights booked on AA.com.

The new earning rate will be 500 bonus miles for first- or business-class tickets purchased at AA.com, and 250 bonus miles for coach tickets.

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ATA Offers Multi-Partner Bonus

Between December 12, 2006, and January 31, 2007, ATA Travel Awards members can earn extra points for doing business with three or more program partners, or for doing business with a single partner three or more times.

Qualifying partner activity includes the following: new ATA Airlines Visa Card sign-ups; floral arrangements from FTD.com or Teleflora; car rentals from Alamo, Dollar, National, and Thrifty; Lending Tree loans; new NetBank accounts; or USA Today subscriptions.

Bonus is 500 points for three qualifying transactions, 1,000 points for four, and 1,500 points for five or more.

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More Continental Miles-for-Shopping

OnePass members can earn more miles or, in some cases, free shipping for holiday purhases from 16 online retailers at Continental's ShopOnePass mall.

Deals include: 10 miles per $1 spent at Barnes & Noble, Harry & David, SkyMall, and Target; six miles per $1 at Overstock.com and Staples; five miles at Circuit City; etc.

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Up to Triple Miles for Fairmont Stays

Fairmont Hotels is offering bonus miles in several airline programs for stays at participating properties at "Only One Way" winter rates completed by April 30, 2007.

Aeroplan members can earn triple miles; members of Alaska Air's Mileage Plan and American AAdvantage earn double miles.

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Reminder: Limited Time to Redeem HHonors Points for Airline Awards

Hilton HHonors members have until the end of this year to cash in points for free airline flights. Thereafter airline awards will no longer be available as an HHonors award option.

HHonors members will still be able to redeem points for airline miles with participating airline partners through Reward Exchange.

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Hyatt Ups Rates for Some Awards

As mentioned in passing in last week's newsletter, Hyatt Gold Passport will increase from four to five the number of award categories for free hotel room nights.

Twenty hotels will be moved into the new Category 5, where free nights are priced at 18,000 points versus 15,000 points per night for Category 4 hotels. That amounts to a 20% award price increase for affected properties.

Award bookings made prior to December 29 will be based on the current award chart regardless of the actual stay date.

The higher award prices are part of a larger award chart redesign, in which individual properties will be reclassified into both higher and lower tiers.

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New Redemption Option from UA: e-Certificates

Through June 1, 2007, Mileage Plus members can redeem their miles for certificates good for discounts on United, United Express or Ted tickets purchased on united.com for travel within the 48 contiguous United States.

Travel on discounted tickets must be completed by June 14, 2007.

There are two options: redeem 1,000 miles for a $25 discount certificate or 5,000 miles for a $75 discount certificate.

The pricing strikes this writer as irrational. The per-mile value when purchasing a $25 cert is 2.5 cents; but when purchasing a $75 cert, a mile is only worth 1.5 cents. You're effectively penalized for redeeming more miles.

Members may cash in as many as 100,000 miles for e-Certs during the offer period, but only one e-Cert may be used per ticket.

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Bonus for Mileage Plus Mall Purchases

Mileage Plus members can earn more miles for holiday purchases at 19 online retailers participating in the Mileage Plus Mall, including Lands' End, Nordstrom, Harry and David, OfficeMax, etc.

And through December 31, members making Mall purchases will be entered into a sweepstakes for a chance to win 100,000 United miles and other lesser mileage prizes.

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Deal Alert from SmarterTravel.com

1) Caribbean, Latin America, Europe on Delta from $158

Delta has announced a new sale for travel to the Caribbean, Latin America, and Europe. Prices start at $158 roundtrip, and destinations include Costa Rica, the Bahamas, and the U.K. United is offering a similar sale for travel worldwide, including Asia.

Departures are valid from January 15 through March 15, 2007, and travel must be completed by April 15. Most fares are valid for travel Mondays through Thursdays, though travel to Great Britain is valid Mondays through Wednesdays.

Book tickets at least seven days in advance, and by December 19, 2006.

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2) Cancun Sale on JetBlue from $59 Each Way

JetBlue is offering special sale fares for travel to Cancun. Travel from New York (JFK) to Cancun starts at $59 one-way, not including taxes and fees.

Travel to Cancun at the sale price is valid December 11 through 13, and travel to New York at the sale price is valid from December 13 through 15. Book tickets by December 15.

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Win Marriott Vacations + 1.5 Million AAdvantage Miles

Enter the "Travel For Life" sweepstakes by January 31, 2007, for a chance to win a $30,000 Marriott gift card, redeemable for Marriott Vacation Club ownership or Marriott hotel stays, plus 1.5 million American AAdvantage miles and a MasterCard gift card worth $30,000.

Ten other winners will receive $500 gift cards from MasterCard.

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

Feedback from the Frontlines of Travel

"I had written to you earlier in regards to Emirates' very poor service on board in business class and having canceled my seat and car service without a courtesy of a call. Despite several calls & letters to their office in New York, they have failed to respond. Their phone message says: 'we exceed customer expectations.' Unfortunately they don't even 'meet the expectations.'

"Given the choices I have been flying to Europe and India on Virgin Air, which is superb in their service and attention." [Kishin B.]

Until next week...