United Alters Mileage Plus Rewards

United Airlines frequent fliers now have to fork over more miles for some rewards, including business-class flights in the U.S. and tickets to Hawaii and Australia.

The nation's second-largest carrier this week officially changed about two dozen redemption levels in its Mileage Plus program, which allows users to accrue mileage points and redeem them for airline tickets and upgrades.

The lowest and most popular redemption awards for economy flights in the United States largely remained the same.

United also is offering tickets for flights within 700 miles for 15,000 frequent flier mileage points - vs. 25,000 normally - through the end of the year.

Most changes involve travel on international flights and in premium cabins, where some rewards rose by 5,000 miles, to 70,000 miles.

"It was a difficult decision, but it's something we needed to do to lower our operating costs," said United spokeswoman Robin Urbanski. "We're also looking to introduce new programs that are focused on what frequent fliers say is most important to them," such as reward travel with no restrictions or blackout dates.

The most dramatic changes are for travel to Hawaii, Australia and Asia. The cheapest economy ticket to Australia, for example, now requires 80,000 miles, compared with 60,000 before.

First-class tickets for any open seat will set you back 270,000 miles, up from 200,000.

"Australia and New Zealand have always been some of the most difficult places to get reward travel to because the inventory is tight," said Colorado Springs frequent flier expert Randy Petersen. "As an airline you can either continue to disappoint people who can't find an open reward seat or tighten it down and, with less demand, say sorry to fewer people."

United also is implementing fees of $50 to $75 on reward travel booked less than 14 days in advance. The carrier likely wants to offset potential revenue losses on last-minute tickets, which are highly profitable for airlines, Petersen said.

"My read on this is that they hate it when people book awards at the last minute because it takes away more pricey revenue," he said.

The company has not altered upgrade awards, and it now will make at least some of its lower-level reward seats available on all domestic and international flights.

United's frequent flier program has about 48 million members worldwide, including tens of thousands in the Denver area, where it is the dominant carrier.

INFOBOX

Frequent flier magic numbers - some higher, one lower

Fees for Saver and Standard awards travel booked less than 14 days in advance: six days or less, $75; seven to 13 days or less, $50.

Fees waived for 1K and Global Services members.

* Some of the bigger changes for United mileage award redemptions on flights originating in North America

SAVER AWARDS*

* Economy, 700 miles or less (for travel through Dec. 31)

Within North America: 15,000 miles, down from 25,000

* Economy, more than 700 miles

Within North America: Remains 25,000

Australia/New Zealand: 80,000, up from 60,000

* Business class

Within North America: 45,000, up from 40,000

Hawaii: 75,000, up from 60,000

Australia/New Zealand: 110,000, up from 90,000

* First class

Within North America: Remains 60,000

Hawaii: 90,000, up from 80,000

Europe: 125,000, up from 100,000

Australia, New Zealand: 140,000, up from 120,000

STANDARD AWARDS**

* Economy

Within North America: 50,000, up from 40,000

Japan, Asia: 120,000, up from 100,000

Australia, New Zealand: 150,000, up from 100,000

* Business class

Within North America: 90,000, up from 80,000

South America, Europe: 180,000, up from 150,000

Japan, Asia: 200,000, up from 150,000

Australia, New Zealand: 220,000, up from 150,000

* First class

Within North America: Remains 120,000

Hawaii: 190,000, up from 160,000

Japan, Asia: 240,000, up from 200,000

Australia, New Zealand: 270,000, up from 200,000

Fees for Saver and Standard awards travel booked less than 14 days in advance: six days or less, $75; seven to 13 days or less, $50. Fees waived for 1K and Global Services members.

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