United, Delta weigh selling miles early to raise cash in coronavirus crisis
US airlines have mortgaged gates, flight paths and just about any asset they could find in the back of a hangar to weather the coronavirus crisis. Now, they are considering selling miles in bulk to their credit-card partners to raise cash. United Airlines and Delta Air Lines and their respective credit-card partners, JPMorgan Chase and American Express have discussed unloading miles ahead of schedule and for less than the lenders would ordinarily pay, according to people familiar with the matter. The conversations might not result in any deals, but they show just how desperate airlines have become in the weeks since the coronavirus pandemic sent the US economy into hibernation. “If airlines start seriously talking about mileage presales, we’ll know things are particularly dire,” a Stifel airline analyst said. <br/>
https://portal.staralliance.com/cms/news/hot-topics/2020-04-14/star/united-delta-weigh-selling-miles-early-to-raise-cash-in-coronavirus-crisis
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United, Delta weigh selling miles early to raise cash in coronavirus crisis
US airlines have mortgaged gates, flight paths and just about any asset they could find in the back of a hangar to weather the coronavirus crisis. Now, they are considering selling miles in bulk to their credit-card partners to raise cash. United Airlines and Delta Air Lines and their respective credit-card partners, JPMorgan Chase and American Express have discussed unloading miles ahead of schedule and for less than the lenders would ordinarily pay, according to people familiar with the matter. The conversations might not result in any deals, but they show just how desperate airlines have become in the weeks since the coronavirus pandemic sent the US economy into hibernation. “If airlines start seriously talking about mileage presales, we’ll know things are particularly dire,” a Stifel airline analyst said. <br/>
