This Is The Last Guaranteed Time To Get A 100% Bonus On Purchasing US Airways (Converted To American Airlines) Miles

US Airways has announced their 100% bonus again on purchased miles and it’s the last time we’re going to see a “non-targeted” offer of 100%.

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I got some information today from someone “in the know” about such things.  They’ve said that this will be the last time US Airways offers a targeted offer like this prior to the American Airlines merger and that this offer was moved up on the schedule to get it in before both parties merge.  That’s not necessarily a sign that American won’t do the same things under Doug Parker’s influence, but they do things a bit differently than US Airways.

As Gary Leff and others likes to say, US Airways is the consolidator of Star Alliance premium class seats, in that they frequently sell miles cheaply.  The price has gone up over time, but I still don’t recall American ever selling AAdvantage miles this cheaply.

This offer yields a price just under 1.9 cents per mile, where I don’t recall American ever going under 2 cents in recent years.

There may be another targeted offer of 100% bonus before the end of the year, but unlikely one that’s available to all members.  And, while the information I’ve gotten could be wrong, it makes sense.  There will be plenty to worry about post-merger, and the merger is expected to be finalized in the next 90 days.  US Airways needs to integrate into the oneworld alliance (and out of Star Alliance) and all kinds of other fun projects.  So, I doubt mileage sales will be tops on the priority list anytime soon, let alone resolving the differences of a US Airways philosophy to sell cheap miles with an AAdvantage program run by an astute Suzanne Rubin that doesn’t specializing in cheap miles.

Couple that with the fact that the rest of oneworld, especially British Airways, probably wouldn’t look kindly on US Airways stepping in and dumping a bunch of cheap miles into their systems, and this feels about right.

Does that make this a good deal?  Not especially, unless you consistently travel on paid business class tickets (or enjoy traveling that way and can afford to tie up some cash for future awards).  I traditionally get 3 cents or better per mile value out of my international redemptions, but I already have a bunch of Dividend Miles and AAdvantage miles.  So, I’m not a buyer here.

 

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6 Comments

  1. I love the blog! Thanks for the informative article which makes me ponder/agonize over strategies with Dividend Miles. I want to use Dividend Miles to take a trip to Kyrgyzstan in September or October 2014. I can’t book it now because I don’t have enough miles and it is not bookable yet—-more than 330 days out. I’m thinking I can buy the necessary miles this month during August and then book later this year. However, I am afraid this won’t be possible because of the USAirways move from *A to One World, possibly in October of this year. Also, I hear that the number of available *A award tickets, even to a place like Kyrgyzstan, are dwindling. Rumors….. but still getting my attention.What are your thoughts?

    1. Michael H, I think it’s likely that the withdrawal from Star Alliance will happen prior to the end of 2013 at least in some fashion. But, I don’t think it happens the day after the merger. Even with American helping them, US Airways has a lot of legwork to do from a computing standpoint to get into OW. Can you book the same tickets through a OW carrier, or do you only have options through Star?

  2. I can’t book through OW since they don’t fly to the region. I know! I have flown 5 times to Kyrgyzstan in the last 2 years using DMiles on Star. It is IAH-IST-FRU….. 60,000-economy and 90,000-business. Both much cheaper than same exact flights on United. So, that is the reason I would like to take advantage of “cheap” flights by purchasing the DividendMiles for the trip next year. Your thoughts…? Thanks again!!

    1. Michael, I couldn’t remember if OW could get you to Kyrgyzstan and I had no internet connectivity to look it up. If you’re looking for inventory to open up in October or November of this year that’s cutting it kind of close. I’d probably only recommend it if you had another use for the miles if availability on Star through US Airways disappeared.

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