Not be picky, but....
Originally Posted by JS
That's not what they said. They said, "We do not record a liability for mileage earned by participants who have not reached the level to become eligible for a free travel award (i.e., 25,000 miles). We believe this is appropriate because the large majority of these participants are not expected to earn a travel award.").
They also said: "We believe that the relatively low percentage of passenger miles flown by SkyMiles members traveling on program awards
and the restrictions applied to travel awards minimize the displacement of revenue passengers." That's the "in-part" part of my comment.
Originally Posted by JS
Sure they do: "Such incremental cost is based on our system average cost per passenger for fuel, food and other direct passenger costs.").
So then,
what is that cost (in $)? I sure couldn't find it. That is what's needed to calculate the cost/mile to DL.
Originally Posted by JS
Potential number of round-trip awards is outstanding miles (excluding those with balances < 25,000) divided by 25,000. Expected value of round-trip awards is the proportion of miles they expect to be redeemed for a 25,000 mile coach award (i.e., the other miles are used for upgrades or anything other than coach award tickets).
Huh? (My head is starting to hurt at this point.) I've looked at this a few times and I can't figure out how it gets us closer to estimated DL's cost/mile for Skymiles.