While I agree, of course, that is is an absolute catastrophe for most LX frequent flyers, I also agree that this was likely to happen from the beginning of the takeover.
The most important part will be what, if any, STC rules will be incorporated in M&M for Swiss flights or even in general.
Personally, the likelihood of me switching to Air Berlin for most of flighs to Germany is very high. AB awards full 1000 miles per ZRH-HAM. For longhauls, I will likely dump LX (and also not switch to LH) ... Will have to do some thinking, I guess.
@Kerstin: Thanks for sharing the information you have provided. One question: What will likely happen with STC elite members that do not requalify this year. Will only earned STC status for 2006 be matched?