multivariate

I am usually a lurker on these forums, but had an experience which I found somewhat surprising (unpleasantly so). I am a long time plat - and have a small bank remaining of SNA's. Several days back, I used one of these awards for a stay tonight at the St. Regis NYC. I received a confirmation email from SPG that I had been upgraded to a suite. When I arrived at the property, I found that I had been placed in a very small deluxe room (the room type I had booked originally). When I showed the email confirmation to the front desk clerk, he said he would speak to his manager and get back to me. Hours pass with hearing nothing back, so I start an online chat with the SPG plat desk. It is about midnight, so I am not really wanting to move all my stuff to a new room.

The agent calls the manager on duty - who then calls my room and says the following:
1) According to SPG, my room has been upgraded - and that I have used an SNA for this stay.
2) There has been a "mix up in communication" and the hotel didn't have any record of the SNA until SPG called them just now.
3) It is impossible to return a SNA to my account once it has been released to the hotel - even if the hotel doesn't fulfil a confirmed reservation.
4) The offered remedy is that "next time you stay at the St Regis in NYC, you can call us beforehand and let us know that you have a SNA which we should have awarded you - and we can give you a suite upgrade on that stay without you having to use another SNA."

Really? I closed my chat with SPG saying that I was disappointed in the outcome, and that I would let others know of my experience.

It seems logical (and fair) that since the hotel didn't give me the SNA which I had confirmed with SPG HQ, I should at least be able to get this night credited back to my account. Also, I wanted a suite tonight, not an "off the books" award which may or may not be recognized by this property sometime in the future when I return. I also think the hotel should have done something small for me in compensation for the trouble of not fulfilling a confirmed room type.

I would be interested in the thoughts of the wider forum here - and also would ask if there might be any assistance from the SPG lurkers which could be offered. I don't think I am over reacting here - but perhaps I am being unreasonable. I will be sure to let you know how this turns out.