American Airlines announced today that it has filed for chapter 11 bankruptcy. What does this mean for you, their passenger?
I already have a ticket. What happens now?
American is not the first airline to file for chapter 11. When other airlines have done this type of restructuring, operations have continued as normal, as far as passengers are concerned. If you’ve already purchased tickets, they’re still good.
I have frequent flyer miles. Are they still worth anything?
You’re American Airlines frequent flyer miles are still good. American may even offer mileage incentives to get passengers on their flights, so you may be able to rack up more miles, faster. That said, you might not want to hold onto them indefinitely.
From the American Airline’s press release this morning:
American Airlines and American Eagle are operating normal flight schedules today, and their reservations, customer service, AAdvantage® program, Admirals Clubs and all other operations are conducting business as usual. Likewise, throughout the Chapter 11 process, American and American Eagle expect to continue to:
- Provide safe and reliable service;
- Fly normal schedules;
- Honor tickets and reservations, and make exchanges and refunds as usual;
- Fully maintain AAdvantage frequent flyer and other customer service programs, and ensure all AAdvantage miles and elites status earned by members remain secure and intact;
- Provide Admirals Club access and similar amenities to members and eligible customers;
- Remain an integral member of the oneworld® alliance, of which American is a founding member, and continue its codeshare partnerships;
- Provide employee wages, healthcare coverage, vacation, and other benefits, without interruption; and
- Pay suppliers for goods and services received during the reorganization process.