A frequent flyer lost his lifetime offer of free first-class flights after costing an airline millions of dollars. While the idea of a lifetime pass for free air travel sounds amazing, American Airlines learned it was more costly than expected.
In 1981, the airline sold lifetime first-class tickets for $250,000 each to raise quick funds. Initially, the plan seemed successful, with 66 people purchasing the pass, called the AAirpass. However, it became a financial disaster largely due to one man, Steven Rothstein.
Rothstein bought his AAirpass in 1987 and, over 21 years, racked up more than $21 million in expenses for the airline by flying over 30 million miles on 10,000 flights. By 2008, it was clear that Rothstein’s extensive flying was unsustainable, leading American Airlines to revoke his pass, even stranding him on a travel day.
The airline also sued Rothstein for fraud—not due to his frequent flying, but because he booked seats under fake names and made reservations for flights he had no intention of taking. Rothstein admitted to sometimes gifting tickets to people in need over the years.
In a 2019 Forbes interview, Rothstein explained that he had given tickets to people for personal emergencies, considering it an act of kindness. Ultimately, Rothstein and American Airlines settled the matter out of court, and he now flies with United Airlines when traveling.