FlyerTalk Forums - View Single Post - AirPass Prepaid Travel (née AAirpass, not Lifetime Airpass) Master Thread
Old Apr 15, 2020, 9:32 am
  #628  
goldtiger
 
Join Date: May 2018
Programs: AA ConciergeKey, Marriott Ambassador, Hyatt Globalist, Hilton Gold, United Silver
Posts: 63
Originally Posted by BlatheringPenguin


That almost all agrees with what I’ve been told as well. (Only thing I’ve experienced differently is that I’ve dealt with the same Sales Rep every year, both in my first year and in every renewal year.)
Originally Posted by FleyeSkyHigh


That's interesting. My understanding is that Reps were generally only assigned accounts that are approaching six figures and higher on an annual basis. Maybe your contact fits that criteria.

Aside from Airpass extensions, the bigger concern is what happens to the route network as a reduction in network impacts how far Airpass dollars can go and what they can be used towards. There certainly are possibilities that involve AA selling off or divesting certain assets. Ideas that have been publicly floated thus far have including selling or leveraging AAdvantage program with banks, long term mortgaging of gate/ramp space, conversion of passenger aircraft and spinning off cargo business, selling interests and operations of regional network and selling off International trans-Pacific or trans-Atlantic routes or both (making AA more like a Southwest). ME-3 (only two of which are meaningful) are absolutely chomping at the bit for the trans-Atlantic and gate spaces. The International network is absolutely in play but bottom line there is little clarity and any of the above or more are on the table. I think it's safe to assume that the already massive elimination of expenses will materially reduce the route network over the next several years. The question is how much that reduces usefulness of Airpass funds will be reduced. For those companies that have been using Airpass for quite some time there is some level of protection in the contract. If there is a route that gets eliminated (or reduced) that the company may have routinely utilized then they have an out but other than that there is no pandemic exception in the contracts. On the positive side, from a business unit perspective I do not see Airpass being at risk in a bankruptcy or divesting scenario as it is positioned in the core business services division of the company.
Thanks for the comprehensive posts... helps me understand what's going on here. My contract is barely 6 digits, but only got minimal communication from Airpass so far (through rep). Contact is extended by 3 months, CK status isn't, that's all so far on my end. I'm really hoping for a full year extension for both airpass contract & status. Haven't touched the contract balance at all.
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