I keep hearing bad things about Delta, things that have to do with Chapter 11. I realize: (a) Chapter 11 doesn't necessary mean "out of business", and (b) the odds are slim...

...but if Delta (or any airline) goes belly-up, what happens to their frequent flyer miles? Does another airline pick them up or are they gone forever?

This question has been asked several times about various airlines (usually on Airline section of this board). I do not think anyone knows for sure. We all have our own best guesses. Mine is that if Delta is bought out or officially merged with another airline, the miles transfer in some fashion - even if not mile for mile.

However, if the airline is sold off in pieces - equipment, gates, routes, etc - then all bets are off. It is difficult to see how miles could transfer under those circumstances unless some other airline as a way of generating good will or business wanted to honor them in some way.

This is partially why we burned through 200,000 FF miles on USAirways last summer - but we have a lot of miles on a lot of precarious airlines - as do thousands of other people.

FF miles are a customer accomodation and not a contractual obligation to provide you with service. Said another way, they can cancel the program or modify it at their own discretion.

That said, the object of a company in bankruptcy is to emerge from bankruptcy with their business in, hopefully, better shape. As a result, most the airlines that filed bankruptcy recently kept their FF programs. Though, some might have changed some terms, which they could have done anyway.

... just pray they don't decide to go out of business during your flight. Then you'll understand the concept of no obligation to the cutomer. If you think FF miles have any intrinsic value, or carry a commitment, read that fine print, and use those miles ASAP, if you think Delta is about to expose its belly.

If you're lucky , things might go the way they did for us when American Airlines took over bankrupt TWA. Our TWA Aviator miles got transferred to the AAdvantage FF program with no loss of value.

If they go belly-up your miles will probably still be worth more than your Enron stock.

There are several articles in the business section of today's paper regarding Delta. The chances of it going out of business are fairly remote as the airlines creditors, particularly its bondholders, are in better shape by having the airline emerge from bankruptcy than liquidate given the glut of used aircraft on the market.

They will usually transfer to the airline that will purchase Delta-

I had Eastern Airline FF and then they went bankrupt--Continental bought them and all my miles transfered to Continental..So don't worry...

If you do a search, you will find people expected both USAirways and United to be out of business by now.

If you are worried about your miles, start traveling.

Delta partners with many other airlines also. How many FF miles are you speaking of?

... as I recall, after the Crash of '29, people found a use for their stock certificates as wallpaper during the Depression. Can you imagine, say, a cozy bathroom done in Delta FF coupons! Wow, I finally did something right and traded in all 160,000 of mine! And on a partner arline to boot. Ready when you are, Delta.