... yeah - i'd be pretty irritated if we didn't get upgraded after paying $1,000 more between us. last year was my first year as 1k and i somehow assumed that systemwides had a much much higher likelihood of clearing right away than upgrading with another instrument. i also thought with the change to copays that all fares would be upgradeable and you wouldn't have to book a W or higher fare!
did not look for NC - we usually use our miles for things other than tickets...