Eventually yes. But you can still select the regular SWU's for your 2014 benefit (until Mar 1). If you selected on Feb 29, they would expire Feb 29 2015. You could then book a K fare just before they expire at ~11 months out and have them apply the SWU to theoretically be upgraded on a flight in January 2017.

I fly the route a lot and I think it's an overall improvement to the program. Sucks that comp upgrades are gone and only Diamonds can use their certs going forward. But it's totally understandable considering the product and length of the flight. The benefits of being able to use the certificates on cheap fares is much more an improvement than the loss of UG's on a select route.

What I would really have liked is seeing them remove the limit of one companion. As long as it's on a single reservation, I think we should be able to use as many certificates as we have available to UG all parties.