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US Air Drops Minimum Mileage Rewards On Short Flights

US Airways says it will no longer award a minimum of 500 miles for a flight, eliminating a long-held industry practice that has allowed frequent fliers to more quickly accumulate miles for award travel even on short trips. No major carrier followed the move Thursday though several consultants say it may be only a matter of time as airlines contend with rising fuel costs and a slowing economy.

US Airways decision is the latest move in what analysts say is a trend by airlines to limit and restrict frequent-flier programs--including new fees and requirements--that has made accruing miles and obtaining free tickets harder than ever. "It's no longer about loyalty, which is why the program was invented," says Randy Petersen, publisher of InsideFlyer .com.

A passenger enrolled in US Airway's Dividend Miles program will receive credit for only the actual miles flown, a policy change that will hit business travelers and commuters the hardest. US Airways also says it will impose a $75 booking fee for customers who redeem miles fewer than 14 days before beginning their award travel.

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