Guava

Other members have since added clarification on this. The AC segments are likely fairy safe since your reservation is older than a month. There is apparently a monthly settlement process between AC and AE. This process may not be so safe due to counterparty risk if and when AE struggles with liquidity issues. In the ST, I don't expect this to be an issue. However, any non-AC segments, the airlines in question won't be paid until after you fly, so you could end up like Bartolo.

NoTravelIsFree

Brand new user but long, long time lurker. I believe that most IATA airlines have BSP settlement in place - which I hope insulates already booked tickets from any negative consequences ....especially as I have NH First and TK Business booked for next April.

Sopwith

So now that the dust is beginning to settle, an air of calmness is setting in, and a hint of laissez faire is developing, the time has come to put in my $0.02 worth. (I recognize that few may be interested, and will admit to spasms of hyperbole from time to time, but I'll find it somewhat therapeutic, so here goes.)

My thoughts, in no particular order:

1. Hallelujah! What took them so long?

2. It won't affect me much because I gave up on AE over ten years ago. The only miles in my account are BIS variety, which I seem to have the utmost difficulty redeeming for anything that aligns with my wants and desires. I'll probably redeem them for Esso gas cards and be done with it.

3. I wonder what the tipping point was. Was it purely a commercial dollars and cents decision, or did they finally have their fill of the backlash generated by AE?

4. Is it possible in my wildest dreams that AC is actually beginning to listen to what their customers think? (See #3 .) or are they blowing smoke as usual:

Time will tell I suppose. But in the meantime it's business as usual for me, which means Westjet whenever their schedule and routing allows.

yvr76

AC's own program will not open up more IKK. They have the ability to do this now. They already restrict IKK to 10 redemptions per year. They can easily change this today to redemptions (either based on reservations or miles) based on how many AQMs (or AQDs) you got the previous year.

There's only two things I expect from AC's FF program:
- no more AC / AE runaround for crediting flights due to IRROPS (and probably faster crediting)
- reduced or waived change / cancelation fees for Altitude members

canadiancow

Bolding mine. That would require IT

It's also hard to come up with something that's better for AC, better for customers, APPEARS to be better for customers, and easy to explain.

YYZ-ROC in Y is not the same IKK as YYZ-SYD in J, but how do you code that into the system.

Heck, I'd argue that the IKK credit should be refunded if your cabin leaves with an empty seat

Yup.

Adam Smith

How is this thread still going so bloody strong? I've been travelling the past couple days and haven't had time to read all the posts, but it's all quite simple as far as I'm concerned.

Altitude (why would AC use any other name when they've already been building up that brand?) will probably be slightly more favourable to AC FFs and less so to the no-status plebes. But it will be a while before we know, so not much use speculating.

AC IS NOT GOING TO BUY AIMIA. AC can create an FFP tailored to its own needs and desires and not be stuck with the steaming pile of excrement that AE's IT and customer service (yes, AC is no great shakes on either front, but light years ahead of AE). Nor does it get stuck with all of Aimia's liabilities and other programs and can build what it needs cheaply.

Nor will this necessarily kill Aimia. Aeroplan is ~60% of their gross revenue. Aeroplan won't necessarily die as a result of this change. People redeem their points for toasters etc as well.

Also, per Aimia's presentation from last week, 50% of flights redeemed through Aeroplan are Market Fare.

If this starts to cause strain on Aimia's financial position, they will just substantially devalue the miles, forcing people to spend 500K for a domestic Y round trip, for example.

We have 3 years to burn up miles. Plenty of time. ridefar, not sure how you think you're going to strand so many with so long to plan out their use.

Stranger, I'm surprised to see you say some of us have wanted and predicted this for a while. You're not including yourself in that, are you? Because I think we had some pretty vehement disagreements a couple years ago when I said this was coming

InTheAirGuy

Of interest, I've asked several ways, but Air Canada still has not acknowledged nor responded to my questions as to what happens to Aeroplan bookings should they go bankrupt.

Others might try.

NoTravelIsFree

Since AC is still promoting Aeroplan on their site post unpinning, I am going to go with a world of lawsuits should they try and renege on travel booked up until the date they stop promoting Aeroplan as their miles partner. I personally know of a few law firms mulling class action ...although that is drastic at this stage.

https://www.aircanada.com/ca/en/aco/.../aeroplan.html

The Lev

They may not be able to make the change today based on either IT or contractual limitations (AE may not allow AC to discriminate against AE points that way).


It would actually be very smart for AC to have two types of points in their own program - An AQM style point with full IKK capability (at least for high status members) and then regular points that would be earned via credit card, bonuses, gas, groceries, etc. that would not be eligible for IKK. They wouldn't need to put that limitation of 10 redemptions per year (or "control" availability) because the "problem" of SE's with millions of credit card points would go away. Let's face it - even if a SE earns 150,000 AQM per year, that is one Asia J redemption.

Maybe you should direct that question wherte it belong - to Aeroplan.

Completelylegal

I feel like I've stumbled into a KPMG discussion group on tax efficient havens. The proles deserve what they get apparently. My take on this is that AC are going to kick the infrequent flying steerage class in the teeth again and they'll be cheered on.

margarita girl

Many people have talked about the evil credit card points earners being the root of the problem. What is AC going to do about all the other Star Alliance members that have the gall to redeem for flights on their airline?

Do I hear my name? Actually, in the year that I was transitioning to other programs, my tagline was "The biggest problem with AC is that they don't have a loyalty program". It was Aeroplan that convinced me to search for greener pastures. And then AC came along and made more changes slamming the door shut for good.

OK, you made me look. Big burn years were 1.13MM miles in 2011, 485K miles in 2012 and 584K miles in 2013. Currently have 6,008 AE miles that I need to figure out what to do with before 2020.

Could have been worse. If the flightless bird was still around, we could add another 10 pages to that.

The smallest state

Good. Any assistance from legal representation is welcome against this company.

1/ set up FF program
2/ monetize and spin off FF program into separate company
3/ disassociate from old FF program in separate company
4/ See step 1

Sounds like a great deal..............for AC.

AC MMSE

I think FF are taking this way too seriously. Seen this written many times on the bits of the thread (I agree) I've looked today in between truly important events in my day.

FF programs are just marketing. I'm sure in the wash it'll be fine as long as there's competition. If a FF program makes up any part of one's identity and AC Altitude kicks you to the curb there's always online gaming.

If anyone is truly pissed (which I totally get) because the whole reason for being in a program is the stuff the supplier promised you, there's a way to send a message. Spend your money with a different supplier.

Jma12

IMO Higher end spenders are the ones that will take the hardest hit, because they have invest a lot in the program, especially with the minimum spending requirement in order to gain status.

Lower or minimal spenders on AC will have very little to lose, and can burn all their miles easily with one ticket.

CrownRoyalForever

This. I happily use KrisFlyer to fly AC J around North America, which costs less (40k roundtrip) and are easier to collect than AE, as they are transfer partners of Citi, Chase, and Amex.

Cheers