Travel Agent Accused Of Improperly Earning 42 Million SkyBonus Points Resolves Case

by Gary Leff

Jan 28 2021

I’ve served as an expert witness in a federal trial about SkyBonus points in the past (and in other sorts of cases as well). I don’t like to see airlines turning commercial disputes over to the government to handle through criminal law.

In this case it seemed clients benefited from the agent’s knowledge, and Delta earned business they wouldn’t otherwise have received. It’s up to Delta whether they want that business of course, but in my view the criminal justice system shouldn’t have become involved. Ultimately prosecutors, looking closely at the facts, agreed that jail time wasn’t an appropriate outcome here either. I was sorry to see Mr. Podolsky go through what he did.

Continue Reading »

Alaska Airlines Offers 5000 Bonus Miles To New Members

by Gary Leff

alaska airlines plane
Jan 28 2021

Airlines are looking for new frequent flyer members and are willing to front bonus miles to get them. Traditional frequent flyers aren’t traveling so much now, and flights have a lower proportion of members than airlines are used to. They need a marketing relationship with the people who are flying, in order to encourage them to fly more and take their credit cards.

With Alaska’s renewed partnership with American Airlines, oneworld membership starting March 31, distance-based earning (not revenue-based!) and pledge not to devalue their award chart without notice they’re likely a strong option for many.

Continue Reading »

Is American Airlines The Next GameStop?

by Gary Leff

depressed businessman leaning his head below a bad stock market chart
Jan 28 2021

On this morning’s American Airlines earnings call, still ongoing, Chairman and CEO Doug Parker opened saying he wasn’t going to comment on recent moves in their stock.

Their stock has been rising with 29% of its float currently shorted and worldwide attention being paid to GameStop.

Continue Reading »

American Expands Lounge Access To Elites And Business Class On Short International Flights

by Gary Leff

world map in lounge
Jan 27 2021

There are fewer of these passengers today, with borders closed and testing requirements in place. Furthermore there’s very little international business travel. And frequent flyers with club memberships have been flying less as well.

So the real fight is for leisure passengers, many of whom haven’t been frequent flyers, and they’re mostly traveling to close-in destinations like the Caribbean and Mexico. And American is expanding airport club lounge access as a result.

Continue Reading »

Biden Administration May Impose Testing Requirement For Domestic Travel

by Gary Leff

Jan 27 2021

The U.S. is now considering requiring testing not just for international travel back to the U.S. but for domestic travel as well.

There may have been merit in this a year ago. Now it’s unlikely to make a big difference. Both in the past, and now, the challenge for effectiveness is availability of cheap widespread at-home tests that people can take every day.

Continue Reading »

Honeymoon Couple Gets Stuck With $4000 in Vouchers After Norwegian Drops Transatlantic Flying

by Gary Leff

airline ticket
Jan 27 2021

I am an advocate of following the rules of a program that you’ve agreed to, and I counsel against selling points and miles because the risks involved generally aren’t worth it (cancelled tickets, shut down accounts, ban from the airline).

In the case of a carrier that shut down its transatlantic operation, that a customer doesn’t intend to fly again, I’m not so sure that taking a haircut on the value of these points to get something out of them isn’t the worst strategy. What do you think?

Continue Reading »

American Airlines Has Just Issued A Warning To Travel Agents About ‘Hidden City’ Tickets

by Gary Leff

Jan 26 2021

a memo has gone out from American Airlines to travel agents, available on its SalesLink platform warning them that the carrier is cracking down on a variety of ticketing techniques, including hidden city ticketing and ‘churning’.

Over the summer I wrote about American directly investigating customers for ticketing practices that violate the airline’s rules, and more recently confronting customers at the airport and demanding passengers pay up for their past sins against the airline. Now they’re warning tagents.

Continue Reading »