Originally Posted by
dieuwer2
Speaking about loss making... AAward flights are madness and contribute to the losses.
That's just plain invention. AMR's 10-K disclosure is extremely clear that award redemptions do not displace revenue flying. If they did to any significant degree, in the opinion of the auditors, then the company would have to record the liability value of miles at a huge sum, instead of peanuts. The marginal cost of any NetSaver domestic award ticket (by far the most popular redemption) is minimal, and in any event more than covered by award redemption fees collected.
Granted, AAnytime awards might displace revenue flying, but they are minuscule in number.