I've really enjoyed reading this thread. I've known US since about 2002 and on a flight from PHL to MAN was upgraded to First because they were oversold. It was a real treat and the entertainment system was fabulous. One of the first where you could pause, rewind and choose which movie you wanted to watch.
Travelling in J class to FRA last month... well, it was okay, but nothing like how I remembered.
With regards to the "old days" to the airlines and the prediction that those days will never return, I really get the impression that the US-based airlines are now becoming so complacent that they are blaming everything on credit-crunch, fuel prices... anything they can think of just to lower standards.
By that I mean having to charge for drinks, charging for bags to be checked-in, charging for headsets, and lowering frequent flier mileages. I really think it's just a poor excuse in a world dominated by accounts and shareholders.
When I arrived in FRA in July, I flew Lufthansa for the first time ever. I had totally forgotten how things should be. No charge for my two overweight bags to be checked in... and imagine my surprise when an hour into my flight to Portugal, everyone was given a meal - and it was GOOD! There was a choice as well. Two drink services also.
And then I remember, this has always been the way in Europe but being in America, we have nothing to compare it to. I can tell you this, we are being cheated and taken for a ride. If European airlines aren't charging for drinks, food, and the most basic of serivces to check-in a bag, why do we all buy it here in America?