This is a horrible situation, I really feel that if AA central res sell a no-miles ticket they shoulds inform the buyer of the no-miles rule.

Having said that I have came across aa.com fares ex. UK that are cheaper than consol. fares for the same flight and with same conditions.

Perhaps in your case AA had sold all cheaper classes but acted as selling agent for the consolidator!

'S fares are sold ex-Europe on AA.com which are eligible for miles but are not upgradeable'

I did not know this but now see that it is in the fare conditions. I noted however, that you do have the option of requesting 500-m upgrades on the domestic portion(s), even though they are in S. Is this true or an aa.com error? Also can I assume non-upgradeable excludes the use of VIPOW certs?