I suppose most folks here would say that just about anything valued at less than a penny per mile would be a bad use of miles. But I have repeatedly used AAdvantage miles to book ground-only packages at Disney World deluxe resorts. No chance we could have affored to pay for those trips. To me, the value of those miles is considerably more than a penny -- infinity, in fact, because the trips were priceless.
BTW, if anyone else plans to book a package at aavacations, be sure to do so through the 10% Citi discount, which applies just as well to paying with miles as it does to paying with cash. http://aavacations.com/jp_citidiscount.asp?ref=citi