United went bankrupt? Wait. What?

All hell broke loose this morning on Wall Street when word accidentally slipped out that United Airlines had declared bankruptcy. Apparently Bloomberg and a few other agencies accidentally picked up a story from several years back talking about United’s financial woes, then thinking it was fresh news investors started dumping the stock. At 11:30 this morning, at $0.01 per share, the stock was suspended.

Meanwhile, United spokespeople are wildly trying to refute claims that the company has gone bankrupt and there’s still confusion among investors about what really happened.

Amidst the trading debacle, apparently one member of Flyertalk bought in for 10,000 shares at $0.01 per share. As trading resumed later in the afternoon (currently at $10.92), he’s since made $10.91 per share. I’ll let you do the math on that profit.

The top eight things I miss most about the current state of air travel

There is no denying it – Air travel is not what it used to be. The industry has been in a steady decline for years. Long before “terrorists” were being blamed for taking your pretzels away, airlines were blaming deregulation, fuel prices, pixie dust or whatever excuse was in fashion that week. A lot has changed in recent years and, in no particular order, here are the top ten things I miss in the current world of air travel.

Concorde

Without a doubt, the number one thing I miss when I fly, is Concorde. Despite never coming close to being the most frequent passenger on her (who flew New York to London twice a week), I did have the pleasure of flying supersonic several times.

The plane was cramped, warm and smelled funny, but the experience was probably as close as you can get to air travel as it was back in the glamor days of the 50’s.

The experience started at check in, where you could get your boarding pass in a separate area with none of the hustle and bustle of the economy class ticketing area, or being yelled at by an airline drone to head on over to a computerized kiosk.

Once you had your pretty Concorde boarding pass you’d usually get a snazzy Concorde aluminum bag tag. If you were lucky (like I was once), you’d then get a private escort through security to the Concorde Lounge, where the worlds best alcoholic beverages were available. Naturally none of the lounge wardens would ever dare demand drink vouchers from you, like in most North American lounges.

The whole atmosphere was very relaxed, and you’d never run into anyone yelling on their mobile phone while trying to pound down a burger.

Once on board, you settled into your plush leather seat, and three and a half hours of pampering could begin. Once the plane leveled out at 55,000 feet, a flight attendant would hand you a Concorde gift, and a certificate with a beautiful sterling silver pen from Smythsons of Bond Street. During your meal, you could request the captain, co-pilot and flight engineer to sign the certificate. If the workload was light, you could politely request a brief visit to the flight deck, as this was all long before cockpit doors had to be locked at all times.

The finest wines were served, Champagne flowed and amazing meals made from the finest ingredients were presented in multiple courses. It was heavenly.

And then disaster struck – 113 lives were lost when Air France flight 4590 crashed on Tuesday the 25th of July 2000, right after she took off from Charles de Gaulle airport. The future of Concorde was doomed and a mere three years later, she took her final flight. The fleet ended up being put on display at various aviation museums throughout the world. My first flight on Concorde was the Saturday after the crash, and was one of the most memorable flights I have ever been on.
(Warm) food

It has always been a cheesy line; “you don’t know what you have until it’s gone” and this really does apply to airline food. Being served something to eat was always something I took for granted on a flight. You’d get on board and halfway through the movie, you’d be asked whether you wanted the chicken or beef, neither of which ever tasted very good.

Then the airlines switched to cold snacks, then to pretzels, and now even that seems to be a thing of the past on some airlines. Nowadays if you want to eat something, be sure to carry some cash with you, or stop at the food court before you arrive at the gate.

Major carriers like United Airlines are even considering removing complimentary food on some international flights. Apparently, the $500 you paid to be transported doesn’t leave them enough leeway to provide even the most basic of amenities. Of course, the hassles don’t stop with food; even water is becoming a luxury item some airlines will try and sell you.

Free luggage check-in

It isn’t hard to picture the whiteboard at “Big Airline HQ”; it has a list of things that cost them money and ways they think they can make some of that money back. They have already crossed out “blankets“, “food” and “service”, and the next item on the list is checked luggage.

Part of their dastardly plan is, of course, to force people to pack lighter, because lighter luggage loads = less fuel to burn. What it means in reality is that people will pack the kitchen sink in their carry on bags, expecting the poor flight attendant to help them lift their 200lb bag into the overhead bin.

Nostalgic airlines

The current assortment of airlines seems boring compared to airlines of the past. When I grew up, TWA, Pan Am and Braniff were still around (and I’m not even that old).

These airlines just seemed so much more “romantic” than the current behemoths of the skies. Everything from the airplane livery to the uniforms helped make flying a little more sophisticated. At one point, Braniff even had a scheduled Concorde service between Houston and Washington D.C (with onward service to London).

Waving goodbye at the gate

Another silly change that can all be blamed on the terrorists; waving goodbye at the gate used to be part of the trip to the airport. You’d have to walk through security, but that was just a 20 second thing, then you’d have the chance to grab a drink with your loved one(s), walk them to the gate, and wave goodbye as they walked down the jet bridge. Nowadays you are lucky if the traffic cops grant you the luxury of stopping for more than 20 seconds at the departure level of your local airport. And yes; I know there are still ways to get to the gate without a ticket, but the hassle involved with that just isn’t worth it.


Full size toiletries in my carry on bag

The only thing I hate more than checking a bag, is having to squeeze a weeks worth of stuff in a carry on bag. I’ve become a Jedi master at getting everything I need in one rolling bag, plus I mastered the art of making the bag look light, despite it often weighing close to 60lbs.

The only way I was able to travel light was by carrying all the toiletries I needed in my carry on bag. Of course, the terrorists won again, because I’m carrying my shampoo in a bottle the size of a shot glass.There are some solutions, but the only real way I’ve learned to resolve this, is to tip the hotel maid $10 and get a bag full of small shampoo bottles off h
er cleaning cart.

Super mileage promotions

Airlines are hurting, and have been for many years but it wasn’t always this bad. Even as recently as 2000, I earned 300,000 miles just for flying between Amsterdam and London a bunch of times.

Mileage programs have evolved from loyalty programs into money making machines for the airline. It’s them first, you tenth. When it comes to earning and redeeming miles, status means nothing. I remember the day where my gold card and a stash of miles were enough to have some other poor soul bumped off the plane, just because the airline loved me. Nowadays I barely even bother to redeem my miles for anything other than a domestic seat 5 months in advance.

Historic airfare errors

Don’t you just hate it when airlines start paying attention to the bottom line? Keeping an eye open for airline pricing errors has always been a bit of a hobby for me, but technology has crept into the pricing game, and airlines now manage to catch most mistakes before they post them.

Some of the classic “fat finger deals” were $20 round trip tickets in premium economy on British Airways from the US to most European destinations. The king of all deals was of course the $51 tickets from LA to Fiji. Everyone played along, from the airlines, to the travel agency that sold 500 of those tickets, they just wrote it off as “good PR”.

United to charge for meals on international flights

Gradual reductions to in-flight meals have finally reached the international market. It used to be that everyone on the aircraft got a meal, wherever where you were going or in what class you were. That slowly devolved to meals in first class on some long-haul flights (exception: Continental, where all meals in domestic are still free!).

Now, spurned by cost cutting measures across the industry, United Airlines has announced that they’re discontinuing meal service on some of their international flights.

From Washington DC‘s Dulles airport, flights to Europe will now offer food for purchase instead of the standard “chicken or pasta” choices. Nine dollars will get you a salad or sandwich while six buys a snack box. I found no mention of warm food in this Bloomberg article.

To reiterate: they aren’t even charging you $9 for the soggy chicken that you used to get.

As to whether the changes will be unrolled to the rest of the international legs, the airline is still not sure. They’ll be taking input from passengers after this trial period to see how poorly it’s received.

And poorly received it will be. On a three or even four hour flight across the country I can see how someone can gorge up on food beforehand and make it through the itinerary. But on a nine hour flight you need to eat at some point. And unless you brought a sack lunch you’re going to be forced to pay whatever prices they’re charging. Yes, they only take cash.

Take this opportunity to send a note to UA protesting the changes. There’s still time to reverse the tide.

10 tips for smarter flying


Other Trouble in the Skies


British, American and Iberia Airlines to sign cooperation agreement

The UK’s British Airways, American Airlines and Spain’s Iberia this morning announced that they would soon be cooperating on flights between North America and Europe while they would also start to collaborate and expand on other routes together in the Oneworld Alliance.

Are the airlines merging? No. But aren’t they already all part of the Oneworld alliance? Yes, they are. What the airlines have agreed to is tighter collaboration among their operations. Ground operations, codeshares and mileage programs will be better integrated to ensure seamless operation among carriers (read: keep passengers hooked in the alliance), while costs and overlapping spending will be reduced.

It’s important to note that the airlines will continue to operate independently, similar to the Continental and United collaboration announced earlier this year. What’s not clear is whether they will be collaborating on pricing. As Virgin Atlantic, the main competition, sulks about the conglomerate having over 50% of the landing slots at Heathrow, many have noted the potential for monopolistic pricing among the new bedfellows.

So will prices actually go through the roof? Technically, less competition in the market suggests that prices may have the potential to rise — but there are still plenty of carriers and entry points into the EU. American, British and Iberia may soon have a good handhold on Heathrow (Sorry, Virgin), but Amsterdam, Gatwick and Frankfurt are still wide open, so with a little bit of creative routing you don’t have to call of your summer vacation.

Several Oneworld airlines are filing for antitrust immunity to get the ball rolling on the cooperation agreement — should this get approved, expect to see small changes in operations over the course of the year.

Top off that United frequent flyer account with Award Accelerator

United Airlines just fired up a tool on their website called Award Accelerator, a tool that essentially lets you pay to double or triple earned miles on any of your flights. Basically, you pay a sliding fee on check-in that effectively equates to three cents per mile, then at the end of your flight the airline dumps the bonus into your account.

So say you’re flying 500 miles from Detroit to New York City. Pay fifteen bucks and you can earn 1000 miles for the trip, or pay thirty and you can earn 1500.

So when is this useful?

Well, if you divide the cost of a regular domestic award ticket, 25,000 miles, by 0.03 cents/mile, you get a total of 750$ spent for those miles. In other words, if you bought all of your miles for an award ticket this way you would be paying 750$ for that ticket — too much for any old domestic ticket. So it doesn’t make sense to double or triple your miles on every flight.

The instance in which this tool might be handy, however, is when you need just a few extra miles to reach that award tier from which you can book. You’re at 24,000 miles, you’ll earn 500 on your next trip and want to push that to 25,000, for example. In this case, it makes sense.

Just try not to make a habit out of it.