Ask Randy

Randy Petersen answers reader questions about how to maximize travel-related loyalty programs.

Dear Randy,I’m curious about my SkyMiles, given that Delta recently filed for bankruptcy. Is there a way for me to convert my Delta miles into American Express Membership Rewards points or some other partner program to protect them? Help—before it’s too late.

I’m here to help, and ask that you put some trust into my advice. The rules are simple: I do the worrying and the research, and you continue to enjoy the use of your treasured SkyMiles. I’ve got plenty of them myself, and the advice I will give you is exactly the advice I follow.

First of all, the situation at Delta is very unfortunate. Not that long ago, the airline was considered almost goof-proof, with a very high level of customer loyalty and a solid financial future. But along the line, mistakes were made, and we as passengers must now take up the slack and help this airline regain its wings. To that end, I have done my research, and while I have some issues with a few of the decisions Delta has made, I can say without a doubt that I do not believe your SkyMiles are in any imminent danger over the next 12 months.

During this time, Delta will move through its Chapter 11 bankruptcy procedures, and there will be moments of even worse news from Atlanta—but I believe your SkyMiles are safe to use as you normally would, and it is safe to continue earning them. To put this advice in perspective, consider that I researched both United Mileage Plus and US Airways Dividend Miles for members and guided them through the throes of a similar bankruptcy, and I am very proud to say that members who followed my advice are getting better value out of their miles today than if they had panicked or followed the advice of others and burned their miles off.

Delta has some valuable assets and strategic partnerships that other airlines that survived a Chapter 11 filing did not have, and while I do think they need new leadership in some of the top ranks at Delta, I think the necessary changes will come, as will a revival for the airline itself.

As for converting your SkyMiles into American Express Membership Rewards points—that’s not going to happen. SkyMiles is one of three frequent flyer programs (Northwest WorldPerks and Southwest Rapid Rewards are the other two) whose members have no legitimate options for transferring their miles or credits.

That said, there are some silly things you can do if you feel truly desperate, like redeem your SkyMiles into awards on Continental and Northwest in the hopes that if Delta were to liquidate, you would still have available awards on those two airlines.

Even awards on international partners like Air France are more than likely perfectly safe. While Air France has not specifically been involved with a partner that is in a Chapter 11 financial reorganization, there are many other recent historical situations involving miles where partners continued to honor all awards, both those booked prior to a Chapter 11 filing and those made afterwards.

In the Americas, the bankruptcies of Air Canada, Hawaiian Airlines, United and US Airways did not stop partners from honoring and continuing to book awards for members of various frequent flier programs. European partners, such as Lufthansa and SAS, continued their award redemption, and we can assume the same for Air France and Delta.

So, booking awards with partners is a possibility, but at this point, I would not even recommend that. It’s simply not necessary. Follow my advice over the next 12 months, and let’s see where it takes us. Remember, I do the worrying and the research, and you continue to support Delta and enjoy your SkyMiles. Just to drive the point home one final time: You’ll do well to trust me on this.

Ask Randy.

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RANDY PETERSEN is publisher of Inside Flyer magazine and is president of Frequent Flyer Services. Email Randy at editor@executivetravelmag.com.