The Shifting Rules Of Flying Free

Internal American Airlines Memo Contradicts Wisdom
on When Is Best Time to Cash In Miles

By RON LIEBER
Staff Reporter of THE WALL STREET JOURNAL

April 20, 2004; Page D1

The following is an excerpt from the article. Subscribers may view the entire article at WSJ.com.

. . . The number of frequent-flier miles in circulation -- about 10 trillion or so -- represents a major business dilemma for the airlines. At a time when most carriers are strapped for cash, people using miles to "pay" for flights account for about 7.9% of total revenue-passenger miles (a standard industry measure that represents one paying passenger carried one mile), according to consulting firm IdeaWorks Co. . .