BizJournals Portfolio
Apr 14 2009 12:56pm EDT

Delta-Northwest Tell US Bancorp to Back Off

If you're a Northwest Airlines flyer and have used its affiliated WorldPerks Visa card to earn mileage, be warned about a fight between Delta Airlines, which now owns Northwest, and US Bancorp, which handles the credit card. Last week, US Bancorp announced it was relaunching the card as a FlexPerks Travel Rewards Visa, which would allow users to get miles on 150 airlines, including Northwest and Delta.

But Delta isn't playing along. The airline, which has a deal with American Express for an affinity program, is warning its and Northwest's customers that that the new US Bancorp card won't earn them any points.

According to BizJournals:

Northwest Airlines Inc. sent an email to customers warning them about "a generic travel credit card" to replace the old WorldPerks system.

While the email does not specifically name U.S. Bank, it informs customers that their credit card company may "ask you to activate a generic travel credit card to replace the WorldPerks credit card. You need to know that this generic travel card will have no relationship with Delta or Northwest and will not provide you with the benefits you have some to expect and have chosen as part of our relationship."

Bob Daly, vice president of retail payment at U.S. Bank, would not comment directly on the e-mail, but said FlexPerks customers would be able to use FlexPoints on Northwest and Delta flights. The bank will "upgrade current WorldPerks Visa cardholders to new FlexPerks products beginning in May."

American Express is a huge player in the affinity marketplace. Besides the Delta-specific SkyMiles AmEx, the company also provides dedicated cards for American Airlines, United Airlines, and Starwood Hotels. Plus, your basic American Express card comes with the option of participating in a multi-program plan--the same concept as the "generic travel card" that the Delta-Northwest team finds so offensive now.


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