aa777flyer
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AA To Donate 1,776,000 AAdvantage Miles

Wed Jul 06, 2005 11:22 am

American Airlines is teaming up with its frequent fliers be matching a 1 for 1 donation of miles to be given to families of troops who were injured in Iraq and want to travel to be near them while in the hospital. Between now and labor day AAdvantage members can log on to AA.COM to donate miles, and American Airlines will match every mile with a mile. Its a great idea, so if you have any miles in your AAdvantage account, donate them to a great cause.!
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TrappedinMKG
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AA To Donate 1,776,000 AAdvantage Miles

Wed Jul 06, 2005 1:32 pm

First of all, it's not one million, seven hundred seventy-six thousand miles (1,776,000). It's seventeen million, seven hundred and sixty thousand miles (17,760,000)...

Second of all, so, American is planning on donating 17,760,000 miles? Considering that the cheapest award ticket between the US and Europe (taking into consideration that most Americans injured in Iraq end up at Rammstein AFB in Germany) is 40,000 miles, that means that 444 people (not 444 families...444 people) are getting free airfare (hotel, rental car or other ground transportation, and food not included, right?). Forty thousand miles is, of course, the off-peak SAAver award (Translation: Good luck finding a seat!). Of course, this is all predicated upon AAdvantage members ponying up 8,880,000 miles*...

Yeah, way to "support the troops," AA. Way to break the bank in support of your country. At first glance, it seems like a great idea (and I'm sure it's great marketing), but when you really look at it, it blows.

Still, if you must, go to http://www.heromiles.org.

*Edited to add: Apparently, AAdvantage members have already ponied up 130 million miles. Good for them.

[Edited 2005-07-06 06:39:24]
 
rjpieces
Posts: 6849
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AA To Donate 1,776,000 AAdvantage Miles

Wed Jul 06, 2005 1:52 pm

Well, I have 2,000 miles that I'll likely never use or add onto, so I might as well donate them.
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flybyguy
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AA To Donate 1,776,000 AAdvantage Miles

Wed Jul 06, 2005 2:40 pm

Bullsh*t. AA can do all that without robbing its customers of their precious airmiles. AAdvantage miles mean nothing to them as it just means non-revenue producing seats.

If they really want to help charity, offer discounted charters and ask passengers to donate to their favorite military charity, not come up with this sh*tty idea.
"Are you a pretender... or a thoroughbred?!" - Professor Matt Miller
 
atmx2000
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AA To Donate 1,776,000 AAdvantage Miles

Wed Jul 06, 2005 2:59 pm

Quoting Flybyguy (Reply 3):
Bullsh*t. AA can do all that without robbing its customers of their precious airmiles. AAdvantage miles mean nothing to them as it just means non-revenue producing seats.

If they really want to help charity, offer discounted charters and ask passengers to donate to their favorite military charity, not come up with this sh*tty idea.

How is AA robbing them of their miles? Those with miles are volunteering them and AA is matching them, so customers don't have to give twice as many miles for a single GI family member to get a ticket to where they need to go. AA is giving miles away that it otherwise would not give out, and is not receiving any revenue for it.

As for scheduling charters, if only a few family members need to go to a particular hospital or base at a given time, a charter would be a waste. And customers can donate to their favorite charity without AA asking them to do so.
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ikramerica
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AA To Donate 1,776,000 AAdvantage Miles

Wed Jul 06, 2005 3:27 pm

I have 40,000 miles left of the over 500,000 I earned on AA. Since I don't plan on flying AA ever again, I think I'll donate the remaining 40k.

I tried to do it online, but you have to mail in some stupid form which they supply as PDF. Lame. Anyway, I have to print it out and do it by snail I guess.
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JGPH1A
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AA To Donate 1,776,000 AAdvantage Miles

Wed Jul 06, 2005 3:31 pm

Given the sad decline in the value of AAdvantage miles, that should be enough for a oneway coach ticket from MIA to EYW. Not including taxes.

Woo hoo.
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ikramerica
Posts: 13730
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AA To Donate 1,776,000 AAdvantage Miles

Wed Jul 06, 2005 3:35 pm

No, it's a roundtrip to Europe off peak.

Honestly, I never found it hard to use AAdvantage miles, compared to Delta or CO. I was able to book the plaanaaheaad rate on short notice LAX-MCO twice, a pair of first tickets FAT-STT over springbreak, I was able to get plaanaaheaad to ZRH first class, and two plaanaaheaaaad first tickets to NRT.

I just don't want to give them any more of my business after so many bad flights, plus everyone I visit now is easier to get to with CO, or at least just as easy.
Of all the things to worry about... the Wookie has no pants.
 
HKGKaiTak
Posts: 971
Joined: Sat Jun 25, 2005 9:48 am

AA To Donate 1,776,000 AAdvantage Miles

Wed Jul 06, 2005 4:02 pm

I don't know why corporations bother with these sorts of publicity stunts - lots of hot air and maybe grabbing a headline or two but does absolutely nothing - how much would it really cost AA to fly a family to say Germany for free?!

Oh, using FF miles, does it mean you can never book on, especially on short notice?
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wunala
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AA To Donate 1,776,000 AAdvantage Miles

Wed Jul 06, 2005 4:10 pm

Dont mean to be a cynic here, but are they just trying to reduce liability of their AAdvantage program? They know how many miles are out there, and that appears on their financial statements as a liability. If they reduce it by 17 million miles, then they are reducing the liability - their debt.

I don't know what the monetary value is of each mile in the AA program and how it is valued - 3Y v's 1F etc.
 
anstar
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AA To Donate 1,776,000 AAdvantage Miles

Wed Jul 06, 2005 4:19 pm

What are the other US airlines doing?
 
atmx2000
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AA To Donate 1,776,000 AAdvantage Miles

Thu Jul 07, 2005 12:16 am

Quoting Wunala (Reply 9):
Dont mean to be a cynic here, but are they just trying to reduce liability of their AAdvantage program? They know how many miles are out there, and that appears on their financial statements as a liability. If they reduce it by 17 million miles, then they are reducing the liability - their debt.

They are doing at the price of offering service today at half price. Unless, there is more to it, it doesn't seem like a good way of getting rid of this liability. Unless they believe that the cost of the liability will go up in the future due to much higher oil prices and operating costs.
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kevi747
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AA To Donate 1,776,000 AAdvantage Miles

Thu Jul 07, 2005 9:14 am

My God! What a bunch of jaded, cynical, curmudgeons you all are.  old  This company isn't exactly making tons of money right now. I think they were just trying to do something nice in a creative way so that it didn't cost us too much.
"Reality has a well-known liberal bias." --Stephen Colbert
 
highliner2
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AA To Donate 1,776,000 AAdvantage Miles

Thu Jul 07, 2005 9:21 am

How about it, jeezus, what other airline is even doing a program similiar to AA? What other airline is donating credits? From the attitude of the everyone here you'd think everyone would prefer AA did nothing! I mean c'mon people, AA is struggling just to break even, they decide to try and contribute something, which none of the other airlines are doing at all, and all they get is ridicule? "Shame on AA for even attempting to do something charitable."

I mean, if AA is being so cheap about this, why don't all of you fly a family to visit a wounded relative. I mean, at least YOUR making momey, AA is losing it. Man, I sure hope no other airline thinks of trying something like this lest they be burned at the a.net stake.

-jlk
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1MillionFlyer
Posts: 1937
Joined: Wed Sep 08, 2004 8:55 am

AA To Donate 1,776,000 AAdvantage Miles

Thu Jul 07, 2005 9:23 am

Quoting Wunala (Reply 9):
how many miles are out there, and that appears on their financial statements as a liability. If they reduce it by 17 million miles, then they are reducing the liability - their debt.

First of all, it's a wash on the balance sheet, this is an accrued liablity which has a contra account on the balance sheet.

When the miles are put into the accrued liability they are expensed at that time so this has already affected their income.

You people that bash need to get a clue about what you are talking about, the miles they are matching will hit the income statement as well, so there is a cost to AA.

This is a nice gesture, regardless of motive
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atmx2000
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RE: AA To Donate 1,776,000 AAdantage Miles

Thu Jul 07, 2005 9:30 am

The simple fact of the matter is that there will be an immediate cost for them above and beyond their current liability, as they are giving away matching miles and carrying non-revenue passengers means additional weight (thus fuel) and service/handling costs.
ConcordeBoy is a twin supremacist!! He supports quadicide!!
 
1MillionFlyer
Posts: 1937
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RE: AA To Donate 1,776,000 AAdvantage Miles

Thu Jul 07, 2005 9:35 am

Quoting Atmx2000 (Reply 11):
They are doing at the price of offering service today at half price. Unless, there is more to it, it doesn't seem like a good way of getting rid of this liability. Unless they believe that the cost of the liability will go up in the future due to much higher oil prices and operating costs.



Quoting Atmx2000 (Reply 15):
The simple fact of the matter is that there will be an immediate cost for them above and beyond their current liability, as they are giving away matching miles and carrying non-revenue passengers means additional weight (thus fuel) and service/handling costs.

The current liability DOES NOT AFFECT ANYTHING on the balance sheet or income statement, Here in the 21st century and for the past 100 years or so we have had this concept of DOUBLE ENTRY ACCOUNTING. PLEASE go read an accounting book and quit making an A$$ out of yourself.

[Edited 2005-07-07 02:49:04]
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N766UA
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RE: AA To Donate 1,776,000 AAdvantage Miles

Thu Jul 07, 2005 9:47 am

Quoting Highliner2 (Reply 13):
What other airline is donating credits?

According to the website: Alaska, America West, AA, Delta, Indy, Northwest, USAirways, and Pan Am are all pitching in. I dunno why everyone has to blast AA for doing something positive... they don't have to do anything you know.
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isitsafenow
Posts: 3413
Joined: Sun Feb 01, 2004 9:22 am

RE: AA To Donate 1,776,000 AAdvantage Miles

Thu Jul 07, 2005 10:11 am

The airlines can give away 17 gadzillion miles. Now go try to use em for the time and date, destination and flight you want to travel. YUK-YUK-YUK...............
Good luck, ya'all.
safe
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atmx2000
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RE: AA To Donate 1,776,000 AAdvantage Miles

Thu Jul 07, 2005 11:26 am

Quoting 1MillionFlyer (Reply 16):
The current liability DOES NOT AFFECT ANYTHING on the balance sheet or income statement, Here in the 21st century and for the past 100 years or so we have had this concept of DOUBLE ENTRY ACCOUNTING. PLEASE go read an accounting book and quit making an A$$ out of yourself.

Really now? Did this liability exist on the balance sheet before they announced this program? I don't think so.
ConcordeBoy is a twin supremacist!! He supports quadicide!!
 
1MillionFlyer
Posts: 1937
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RE: AA To Donate 1,776,000 AAdvantage Miles

Thu Jul 07, 2005 11:44 am

Quoting Atmx2000 (Reply 19):
Really now? Did this liability exist on the balance sheet before they announced this program? I don't think so



Quoting Atmx2000 (Reply 15):
above and beyond their current liability

Did you forget what you typed?
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irev210
Posts: 36
Joined: Fri Jun 03, 2005 2:49 am

RE: AA To Donate 1,776,000 AAdvantage Miles

Thu Jul 07, 2005 11:47 am

Wow, what a bunch of negative people.

I agree with what others were saying. Better something than nothing at all.
 
isitsafenow
Posts: 3413
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RE: AA To Donate 1,776,000 AAdvantage Miles

Sat Jul 09, 2005 4:04 am

IREV210..... Usable mileage with your favorite carrier is kinda like the sign in
the pub I patronize. It says
FREE BEER TOMORROW
Catch my point?
safe
If two people agree on EVERYTHING, then one isn't necessary.
 
aa777223er
Posts: 217
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RE: AA To Donate 1,776,000 AAdvantage Miles

Sat Jul 09, 2005 5:18 am

One point I haven't seen posted: I believe that charitable donations are tax deductible (I'm not an accountant so I don't know for sure), but I really doubt that AA would be doing something that would COST them money at a time when they are doing everything possible to reduce costs and become profitable again. My two cents  Smile

Regards,

AA777223ER
time flies, seize the day
 
1MillionFlyer
Posts: 1937
Joined: Wed Sep 08, 2004 8:55 am

RE: AA To Donate 1,776,000 AAdvantage Miles

Sat Jul 09, 2005 10:29 am

Quoting AA777223ER (Reply 23):
One point I haven't seen posted: I believe that charitable donations are tax deductible

You are right, but only at the 34% tax rate , in other words, for every 100 dollars of additional miles that AA adds to the free ticket pool the actual benefit is 34 dollars off FUTURE profit (since they will not make a profit this year, this is a defered beneift usable against future profits).
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777STL
Posts: 2770
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RE: AA To Donate 1,776,000 AAdvantage Miles

Sat Jul 09, 2005 12:49 pm

Quoting TrappedInMKG (Reply 1):
Considering that the cheapest award ticket between the US and Europe (taking into consideration that most Americans injured in Iraq end up at Rammstein AFB in Germany) is 40,000 miles,

Many of the more seriously injured end up at Walter Reed for weeks or even months of rehabilitation after they come back from Landstuhl. I'm sure people traveling to Walter Reed could make use out of this too. And a domestic AA reward tickets is only 25,000 miles. Every little bit helps, it's not like AA is in the position to donate a billion dollars right now.
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