Transfers = (cash in pocket) - {(wholesale run on EP seats) + (other loopholes and abuses)}
therefore
Transfers = revenue loss

Until Craz posted about it, I had no idea any such thing was going on. I'm not sure how many people can charge 1M a year on their credit card, but in these cases, it's obvious that a customer could put a claim on tens of thousands of dollars worth of seat revenue without contributing even close to that in mileage value.

Maybe, but I don't think so. For those of us who do a fair amount of intra-Texas flying because Southwest is what it is, one unpleasant effect of these changes is that the million miler status becomes much more difficult to obtain. As I read it, they took away the 500 mile minumum on EQM and RDM. By taking away the minimum on EQM, people with short flights (I assume I am not alone) will find it that much hard to ever hit million miler since that is how the status is calculated. Making the status that much more difficult to achieve means it is somewhat unlikely that it is being held out there as an incentive to stick around.

That said, I am sticking with Continental anyway. I am unhappy, but my choices are pretty much CO, AA, and Southwest. Hate Southwest, and the flying experience on CO is still better than on AA. I also pay out of pocket for first class for ~4 domestic trips a year, and that is a lot cheaper on Continental for an overall better experience. The changes suck, but it is still a better deal for me.

Sorry I wanted to hear both Candidates speak. They actually agred on alot of the issues, the best being that Columbia U should allow ROTC back onto the Campus.

Well its not only EP as if I didnt care about the # of miles for EP and saw Standard available Id grab the Standard award, so Im sure CO wanted to get more $$ out of Amex when these people can grab a Standard award.



Its obvious that CO doesnt want to shut tight the Amex $$$ flow, maybe somehow they could have 2 levels 1 an Elite Level where by less miles will be needed and then a much higher level where those that dont have any actual flights on CO or its Alliance partners that is credited to the CO acct will have to use alot more miles. Thusly a Loyal CO customer doesnt have to pay the higher price for those that couldnt care if CO exists or doesnt.

Again my assumption of why TLV was singled out could be 1000% WRONG.

I just couldnt believe that there existed so many people that would cash out at the EP levels and not care 1 bit about it. Now truth be told I myself cashed out for an EP 1 way to TLV once the 84 opened up as I dont need any more EQMs for Plat for '09 and the only way to get into TLV early on 10/13 was to fly in on the 84 on 10/12, its BF reg back. Now if I had to do EP both ways I would have stuck with TK for $1350.

Needless to say, Im still amazed that there are tons of people out there who welcome EP as a means of flying and not buying a tkt. Id sooner buy the tkt on TK and know the 140k can mean almost 3 free Y tkts to Europe that would cost me alot more then the 1 trip to TLV. But if theres no interest in flying anywhere but TLV then I guess it makes sense for them to Blow the miles on EP.

If CO does this then they will be no different then AGR(Amtrak)

I dont think its a system wide problem as much as it might be a TLV problem. Also keep in mind that a person who lives in TLV doesnt have much choice as to where they can use their mileage even if they flew CO. eg A CEO that flew only on BF paid tkts amassed in a little over a yr close to 400k yet whenever he tried to cash out he couldnt unless he was willing to cash out at EP levels. He wasnt. TLV is maybe 1 of a few places where whole families will travel together, and thats not a couple and 1 kid. More like my friend who runs a non-profit org and no way could afford $15,000 for tkts for his family of 6. Dont think PEK has that kind of a problem or LHR or CDG.

As I posted before , on a conference call with 1P he was told not to pig out trying to use it to TLV, then I asked the CSR to please look at Mr Ws address and she then said sorry, she saw he was TLV based, BTW I also told her to look at the trips that were posted and by the dates of travel will see hes TLV based too.

So therefore anyone who is TLV based will either use their miles for a EP out of no choice or do as the CEO did and simply move to another Carrier out of Disgust.

For everyone keeping score at home - oil is down to $95.74.

The price can drop $20 more, and that fact alone will not change CO's actions. Only customer resistance will cause it to rethink these changes, period. The changes on TLV awards and the elimination of minimum mileage credits are direct cost reductions.

Don't forget that CO hedged a ton at $120-140/bbl, so they're still going to be paying the higher rates even with the raw cost decrease.

I'm aware. Infer whatever you want from my above post.

Current (9/5) Jet A refinery price per IATA is $3.13


Also from CO Website

I still dispute the mileage credit changes are direct cost reductions - they have no impact on cash flow as long as CO controls EP seat inventory.

There is no conspiracy. The MM program has nothing to do with the recent changes. The MM program was the result of many here wanting a long term loyalty program and CO's desire to get those that are top tier on multiple carriers to move more of their travel over to CO.

COInsider has stated (earlier in this thread) that CO has no plans to change the top tier threshold from 75K.

The decision that most need to make is which program over the long term they want to accumulate miles - CO's OnePass or UA's. Some here still seem to be planning on earning top tier on both CO and UA on an ongoing basis.

CO's MM program is 1M/2M/4M to lock in the respective tiers, but the likely best benefit is the SO status matching. As long as you earn Plat as a MM the SO gets Plat, now.

UA's MM program has 1M/2M/3M levels - but you lock in the mid tier at 1M, and never the top tier. Main gain for 2M is RCC lifetime. 3M - not much gain.

Just surprises me that some here still are targeting two airlines.

United just doubled their second-bag check-in fee!!!!

It will cost $75 just to check 2 bags on a UA flight!

That airline needs to enter its death spiral soon - and take US with it. At this rate, the cost of fees will eventually equal the cost of the ticket itself.

That will be a great benefit for my next spouse Since MR BL and I are both Plat, not a great benefit for either of us; though glad it works for most out there. It is a great benefit.

Any bets re how long before someone starts the "UA raises second bag fee to $50. Will CO follow?"

Hard to say. I can only see WN benefitting from this. Take the Wash DC area with UA having a big hub at IAD and WN a big hub at BWI. Next time a family of 4 flies out of IAD on UA - you will likely see them switch and start driving over to BWI to travel on WN. WN certainly advertises their no fee policy on the local radio here in DC.