If You Plan on Redeeming AAdvantage Miles on Etihad, Do It Now
Multiple sources are reporting that Abu Dhabi-based Etihad Airways is on the verge of severing ties with American Airlines to join Star Alliance and add United Airlines as a partner airline. Etihad and American's current partnership includes the ability to earn and redeem frequent flyer miles between airlines regardless of which airline frequent flyer program the traveler is a member of.
As of Sunday morning, TPG contributor Max Prosperi managed to find guest award availability on an Etihad Airways flight from Los Angeles (LAX) to Abu Dhabi (AUH) on Tuesday, Feb. 26 in Etihad's business class. TPG called an American Airlines customer service representative to follow up. The AAdvantage representative confirmed the one-way, nonstop award flight was available for 70,000 AAdvantage miles plus taxes and fees.
TPG then inquired about booking American Airlines flights using Etihad Guest points. Once connected with Etihad Airways, the representative confirmed that yes, you can still use Guest points on American Airlines. However, the agent went on to say that travelers won't be able to "earn miles on your Etihad Guest account when you fly on American Airlines." Upon inquiring directly about the rumors that Etihad plans on ending ties with American, the representative responded, "We are aware of the rumors that American Airlines and Etihad Airways will no longer be partners, however, we cannot confirm this." Before hanging up, the agent jumped back in to add that "in the event that something in the future were to come up" travelers should "probably book partner flights as soon as possible if you plan on using your Etihad Guest points on partner flights."
Possible Reasons for Etihad's Switch
In the past decade, the three largest Middle Eastern airlines (Emirates, Etihad and Qatar) have experienced significant growth, which US airlines have attributed to government subsidies. In response, US-based airlines, including American Airlines and Delta Air Lines, launched a campaign in 2015 claiming that these subsidies violate international agreements. With American Airlines being one of the strongest supporters of the anti-ME3 campaign, Etihad's partnership with American Airlines has become increasingly hard to justify.
Also, Etihad may not be getting much out of its partnership with American Airlines. The purpose of a partnership like the one between Etihad and American is for the airlines to feed flights into their respective major hubs while allowing the transport of feeder traffic on international flights to destinations that either aren't served or are served with limited capacity. While Etihad's largest base in the United States is New York-JFK, American Airlines has terminated dozens of domestic and North American flights to/from its JFK-hub in recent years and shifted the airline's focus to premium traffic and serving the needs business travelers.
What a Move to Star Alliance Would Mean for Travelers
If you are a frequent flyer on Etihad Airways and book flights using cash, Etihad joining Star Alliance would likely be a welcomed change. Etihad Airways would, upon joining Star Alliance, offer far more partner flights, allowing Etihad frequent flyers the ability to travel to far more destinations than ever before. Reciprocal elite frequent flyer benefits would also kick in, allowing Etihad's top frequent flyers to experience preferential treatment with most, if not all, Star Alliance members.
However, if you aren't using cash to book flights with Etihad Airways and its partners, the effects of Etihad joining Star Alliance becomes a little more complicated. Obviously, if Etihad cuts ties with American and adds United as a partner, Etihad will no longer allow American Airlines AAdvantage frequent flyers to redeem miles for award flights on Etihad. This would also mean that Etihad Guest Rewards could not be used to book redemptions on American Airlines. Neither AAdvantage frequent flyers or Etihad Airways frequent flyers would be able to earn miles on either airline, which would be quite detrimental to AAdvantage frequent flyers.
United MileagePlus frequent flyers would benefit the most here as Etihad Airways awards would eventually be made available to MileagePlus members. United would also gain a new partner in the Middle East.
It is aworth noting that this isn't the first time that Etihad Airways and Star Alliance have been in the news together. In July 2018, Etihad Airways announced that the airline wanted to codeshare with Star Alliance after it announced plans to restructure.
As of Sunday, Feb. 24 at 1:30 pm the terms of any partnership between United and/or Star Alliance have not been released.
Find out which awards to book ASAP before Etihad cuts ties with American here.
TPG has reached out to Etihad for comment but did not hear back by time of publication.
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There’s a lot to love about the Amex Gold. It’s a fan favorite thanks to its fantastic bonus-earning rates at restaurants worldwide and at U.S. supermarkets. If you’re hitting the skies soon, you’ll also earn bonus Membership Rewards points on travel. Paired with up to $120 in Uber Cash annually (for U.S. Uber rides or Uber Eats orders, card must be added to Uber app and you can redeem with any Amex card), up to $120 in annual dining statement credits to be used with eligible partners, an up to $84 Dunkin’ credit each year at U.S. Dunkin Donuts and an up to $100 Resy credit annually, there’s no reason that foodies shouldn’t add the Amex Gold to their wallet. These benefits alone are worth more than $400, which offsets the $325 annual fee on the Amex Gold card. Enrollment is required for select benefits.Pros
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- Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com.
- Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
- $120 Uber Cash on Gold: Add your Gold Card to your Uber account and get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an American Express Card for your transaction. That’s up to $120 Uber Cash annually. Plus, after using your Uber Cash, use your Card to earn 4X Membership Rewards® points for Uber Eats purchases made with restaurants or U.S. supermarkets. Point caps and terms apply.
- $84 Dunkin' Credit: With the $84 Dunkin' Credit, you can earn up to $7 in monthly statement credits after you enroll and pay with the American Express® Gold Card at U.S. Dunkin' locations. Enrollment is required to receive this benefit.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year after you pay with the American Express® Gold Card to dine at U.S. Resy restaurants or make other eligible Resy purchases. That's up to $50 in statement credits semi-annually. Enrollment required.
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- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.
Rewards Rate
| 4X | Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 4X | Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 3X | Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com. |
| 2X | Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com. |
| 1X | Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases. |
Intro Offer
You may be eligible for as high as 100,000 Membership Rewards® Points after spending $6,000 in eligible purchases on your new Card in your first 6 months of Membership. Welcome offers vary and you may not be eligible for an offer.As High As 100,000 points. Find Out Your Offer.Annual Fee
$325Recommended Credit
Credit ranges are a variation of FICO® Score 8, one of many types of credit scores lenders may use when considering your credit card application.Excellent to Good
Why We Chose It
There’s a lot to love about the Amex Gold. It’s a fan favorite thanks to its fantastic bonus-earning rates at restaurants worldwide and at U.S. supermarkets. If you’re hitting the skies soon, you’ll also earn bonus Membership Rewards points on travel. Paired with up to $120 in Uber Cash annually (for U.S. Uber rides or Uber Eats orders, card must be added to Uber app and you can redeem with any Amex card), up to $120 in annual dining statement credits to be used with eligible partners, an up to $84 Dunkin’ credit each year at U.S. Dunkin Donuts and an up to $100 Resy credit annually, there’s no reason that foodies shouldn’t add the Amex Gold to their wallet. These benefits alone are worth more than $400, which offsets the $325 annual fee on the Amex Gold card. Enrollment is required for select benefits.Pros
- 4 points per dollar spent on dining at restaurants worldwide and U.S. supermarkets (on the first $50,000 in purchases per calendar year; then 1 point per dollar spent thereafter and $25,000 in purchases per calendar year; then 1 point per dollar spent thereafter, respectively)
- 3 points per dollar spent on flights booked directly with the airline or with amextravel.com
- Packed with credits foodies will enjoy
- Solid welcome bonus
Cons
- Not as useful for those living outside the U.S.
- Some may have trouble using Uber and other dining credits
- You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $6,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
- Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com.
- Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
- $120 Uber Cash on Gold: Add your Gold Card to your Uber account and get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an American Express Card for your transaction. That’s up to $120 Uber Cash annually. Plus, after using your Uber Cash, use your Card to earn 4X Membership Rewards® points for Uber Eats purchases made with restaurants or U.S. supermarkets. Point caps and terms apply.
- $84 Dunkin' Credit: With the $84 Dunkin' Credit, you can earn up to $7 in monthly statement credits after you enroll and pay with the American Express® Gold Card at U.S. Dunkin' locations. Enrollment is required to receive this benefit.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year after you pay with the American Express® Gold Card to dine at U.S. Resy restaurants or make other eligible Resy purchases. That's up to $50 in statement credits semi-annually. Enrollment required.
- $120 Dining Credit: Satisfy your cravings, sweet or savory, with the $120 Dining Credit. Earn up to $10 in statement credits monthly when you pay with the American Express® Gold Card at Grubhub, The Cheesecake Factory, Goldbelly, Wine.com, and Five Guys. Enrollment required.
- Explore over 1,000 upscale hotels worldwide with The Hotel Collection and receive a $100 credit towards eligible charges* with every booking of two nights or more through AmexTravel.com. *Eligible charges vary by property.
- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.