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    Planes, Hotels, and Automobiles

    Going the Extra Mile

    August 2010

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    Proprietary and Confidential

    2010 Archstone Consulting All Rights Reserved

    Agenda

    Overview

    Airlines

    Hotels

    Rental Cars

    Executive Summary

    Appendix

    2

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    Proprietary and Confidential

    2010 Archstone Consulting All Rights Reserved

    Overview

    Maximize your miles and points by choosing carefully

    All major U.S. airline, hotel, and rental car programs have been extensively analyzed and ranked

    A 1-10 point system was established for both for airlines and hotels

    Rental car reward programs have been summarized due to the lack of depth

    The winners are announced at the end!

    The Consultants Equality

    3

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    Proprietary and Confidential

    2010 Archstone Consulting All Rights Reserved

    Agenda

    Overview

    Airlines

    Hotels

    Rental Cars

    Executive Summary

    Appendix

    4

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    Airlines

    Airline were compared according to six different components

    A point system (max 10 points) was established for airlines based on the following criteria:

    Total Earned Flights 5 Points

    Global Reach 1.5 Points

    Other Differentiators 1.5 Points

    Accruing Status & Bonuses 1 Points

    On-time Percentage .5 Points

    Fleet Age .5 Points

    Points were allocated on the basis of importance as well as the level of differentiation betweencompetitors within a category

    Credit cards and partner programs were not considered; all airlines have relatively similar creditcard offers and at least some decent partners

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    Proprietary and Confidential

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    Global Reach

    Carrier Destinations Points

    Delta 355 1.5

    Continental* 351 1.5

    US Airways 231 1.1American 157 0.9

    United* 114 1.5

    Southwest 69 0.5

    JetBlue 61 0.5

    * When Continental and United complete their merger, they will becomes the worlds largest airline, which is why they have both beenawarded 1 point

    Delta and Continental are the clear winners with the most global destinations

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    Accruing Status & Bonuses

    Carrier T1 T2 T3 T4 Points

    DeltaMiles 25K 50K 75K 125K

    1.0Bonus 25% 100% 100% 125%

    ContinentalMiles 25K 50K 75K $30K

    0.8Bonus 25% 100% 100% 100%

    AmericanMiles 25K 50K 100K

    0.7Bonus 25% 100% 100%

    US AirwaysMiles 25K 50K 100K

    0.6

    Bonus 25 100% 100%

    UnitedMiles 25K 50K 75K 100K

    0.5Bonus 25% 50% 75% 100%

    Deltas 4th tier with a 125% bonus on miles separates itself from the competition

    Due to lack of status programs, Southwest and JetBlue given the low of 0.5

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    Other Differentiators

    Delta has the most rewarding perks

    1.5 Points - Medallion qualification miles rollover, unlimitedupgrades all levels, free airport club membership for T4 status,choice of 1 reward for T3 (including 20K miles), 2 rewards for T4

    1.3 Points - Unlimited upgrades for all levels, 25K mile bonus toT4, free club membership to T4, free meals for all

    1.2 Points - Unlimited upgrades all levels, hidden 4th tier

    1.0 Points - Unlimited upgrades for all levels, $5 charge for front ofcoach regardless of status, free lounge access at 150K miles flown

    0.9 Points - No charge for TV use, free snacks and Dunkin Donutscoffee, free wireless in some flights and terminals, XM radio, 1stbag free

    0.8 Points - Only unlimited upgrades for T3, 500 mile system

    otherwise

    0.7 Points - Fun and energetic staff, great customer service,unlimited peanuts, no baggage fees

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    Total Earned Flights

    Carrier Miles Domestic International Points

    Delta* 220K 4.4 2.1 4.0American 200K 4.0 2.2 3.9

    Continental 200K 4.0 2.0 3.7

    US Airways 200K 4.0 1.9 3.6

    United 200K 4.0 1.8 3.5

    JetBlue* 245K 8.9 n/a 4.8

    Southwest* n/a 4.7 n/a 3.2

    JetBlue for domestic, Delta for international

    Mileage totals were calculated assuming 100K base miles (50*2 flights, 1000 mile flight average)flown during the year, at the 100K status level where all airlines give 100% mileage bonus

    Earned flights assume the higher mileage rate if two-tiered (for example 50K miles, not 25K for adomestic flight), or if three-tiered the average of the top two tiers (50K for a 25/40/60 system)

    * Delta awards platinum customers with 20K extra miles; JetBlue offers 6 miles per dollar when booked on the website, 3 otherwise (theabove calculation assumes the flights are booked on the website with $350*50 dollars spent); Southwest gives 1 roundtrip with blackoutsor .5 roundtrips without blackouts for every 8 paid roundtrips

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    On-Time Percentage

    Carrier On-Time Points

    Southwest 82.1% 0.5

    US Airways 80.1% 0.3

    United 79.6% 0.3

    Continental 77.7% 0.2

    Delta 76.8% 0.1

    American 76.7% 0.1

    JetBlue 76.6% 0.1

    Southwests highly efficient crews result in the most on-time flights

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    Fleet Age

    Carrier Fleet Years Points

    JetBlue 5.5 0.5

    Southwest 9.3 0.3

    Continental* 9.7 0.2

    US Airways 11.5 0.2

    United* 12.6 0.2

    Delta 13.1 0.1

    American 13.9 0.0

    JetBlue has the newest planes of any carrier, all with free TVs!!

    To

    * When the merger completes, Continentals f leet average age will be lowered,and Uniteds will improve, hence the adjusted points

    From

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    Proprietary and Confidential

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    Current Offers

    Be sure to check out and sign up for the following offers

    Triple Miles & MQMs on All Delta Shuttles

    Earn One Mile per $1 Spent Plus $50 At Residence Inn

    Hop, Skip, and Jump for Preferred Status

    10,000 plus 2 Extra Points per Dollar with JetBlue AMEX

    Triple points between NYC, BOS and LAX

    Fly Short-Hops for Discounted Miles

    Double Points for Philly, DC, or Denver

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    https://www.delta.com/pet/shuttlepromo/pet/mainhttp://www.continental.com/web/en-us/apps/onepass/promotions/registrationDetails.aspx?promoCode=A7128http://www2.usairways.com/en-US/dividendmiles/promotions/hop_skip_jump.html?c=dm_txt_00981https://www143.americanexpress.com/apisites/microsite/ApplicationFormApp.do?partnerId=77&channel=1000&cardType=JBCA&seqNumber=3&returnUrl=https://www.americanexpress.comhttps://trueblue.jetblue.com/web/trueblue/lax-triplehttp://www.aa.com/i18n/urls/shortHops.jsp?anchorLocation=DirectURL&title=shorthopshttp://www.southwest.com/rapid_rewards/rr_promotions.htmlhttp://www.southwest.com/rapid_rewards/rr_promotions.htmlhttp://www.aa.com/i18n/urls/shortHops.jsp?anchorLocation=DirectURL&title=shorthopshttp://www.aa.com/i18n/urls/shortHops.jsp?anchorLocation=DirectURL&title=shorthopshttp://www.aa.com/i18n/urls/shortHops.jsp?anchorLocation=DirectURL&title=shorthopshttps://trueblue.jetblue.com/web/trueblue/lax-triplehttps://trueblue.jetblue.com/web/trueblue/lax-triplehttps://trueblue.jetblue.com/web/trueblue/lax-triplehttps://www143.americanexpress.com/apisites/microsite/ApplicationFormApp.do?partnerId=77&channel=1000&cardType=JBCA&seqNumber=3&returnUrl=https://www.americanexpress.comhttp://www2.usairways.com/en-US/dividendmiles/promotions/hop_skip_jump.html?c=dm_txt_00981http://www.continental.com/web/en-us/apps/onepass/promotions/registrationDetails.aspx?promoCode=A7128https://www.delta.com/pet/shuttlepromo/pet/main
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    Proprietary and Confidential

    2010 Archstone Consulting All Rights Reserved

    Airline Winners

    Airlines 2010

    Delta 8.2 Points

    Continental 7.7 Points JetBlue 7.3 Points

    Deltas emerges as the best overall frequent flyer airline, United is a close 4th

    Full results are available in the appendix

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    Proprietary and Confidential

    2010 Archstone Consulting All Rights Reserved

    Agenda

    Overview

    Airlines

    Hotels

    Rental Cars

    Executive Summary

    Appendix

    14

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    Proprietary and Confidential

    2010 Archstone Consulting All Rights Reserved

    Hotels

    Hotels were compared according to four different components

    A point system (max 10 points) was established for hotels based on the following criteria:

    Total Earned Nights 6 Points

    Global Reach 2 Points

    Accruing Status & Bonuses 1 Point

    Other Differentiators 1 Point

    Points were allocated on the basis of importance as well as the level of differentiation between

    competitors within a category

    Credit cards and partner programs were not considered; all hotels have relatively similar creditcard offers and at least some decent partners

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    Proprietary and Confidential

    2010 Archstone Consulting All Rights Reserved

    Global Reach

    Hotel Chain Hotels Points

    Hilton 3,500 2.0

    Marriott 3,200 1.8Intercont. 4,400 1.6

    Starwood 979 1.0

    Hyatt 434 0.7

    * Intercontinental (also owns Crowne Plaza, Holiday Inn, Indigo, Staybridge, Candlewood) has most of their nicer hotels in Europe andAsia, and with a smaller percentage of resorts compared to Hilton or Marriott in locations like the Caribbean

    Hilton comes out on top with the most hotels in desirable locations

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    Accruing Status & Bonuses

    Carrier T1 T2 T3 Points

    StarwoodNights 25 50

    1.0Bonus 50% 50%

    Hilton

    Nights 10 36 60

    0.9Bonus 15% 25% 50%

    Intercont.Nights 15 50

    0.8Bonus 10% 50%

    MarriottNights 10 50 75

    0.7

    Bonus 20% 25% 50%

    HyattNights 15 50

    0.5Bonus 10% 30%

    Starwoods gold status and 50% bonus at 25 nights sets them apart

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    Total Earned Nights

    Carrier Points Nights Weeks Points

    Hilton* 425K 10.1 2.0 6.0

    Marriott 285K 9.5 1.6 5.7

    Hyatt* 168K 10.2 1.1* 5.5

    Intercont. 270K 9.8 1.4 5.4

    Starwood* 60K 7.7 1.3 5.0

    Hiltons HHonors Double Dip allowing 20 points a dollar them on top

    Point totals were calculated assuming $20,000 dollars were spent a year at a single hotel chainwhile at the highest status (50 weeks of $400 a week)

    Earned nights and weeks are estimating for the same quality of hotels (i.e. even though Starwoodmay have some of the nicer hotels, their lower property and point values were selected)

    * Some Hiltons offer point bonuses, this point total assumes an average of 500 point bonuses a week, as well as Hilton points are selectedfor the Double Dip, not airline miles; Diamond option for Hyatt is either 500 to 1,000 points or $15 food and beverage credit, this tableassumes the 750 points on average; 1 week stays at the Hyatt include 5 free dinners, alternatively one can just book several 1 nights;Starwood total includes 500 point bonus a week

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    Other Differentiators

    Hyatt and Hilton compete for the top spot with great benefits

    To

    From1.0 Points Internet at 15 nights,breakfast, lounge, gift, 4 annual reservedsuite upgrades at 50 nights

    1.0 Points Breakfast, lounge, and internetat 36 nights, various on property benefits,gift at some hotels

    0.9 Points Breakfast and lounge accessat 50 nights, gift at 75 nights

    0.9 Points Breakfast, lounge, gift, andinternet at 50 nights

    0.0 Points No lounges, no free breakfast,

    hotel gives free breakfast to all, no onewants to stay in a Holiday Inn!

    All hotel chains give room upgrades with either the 2nd or 3rd tier statuses

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    Current Offers

    Be sure to check out and sign up for the following offers

    Double Points for all HHonors Stays (wow!)

    5,000 Delta Skymiles a Stay (in addition to base points!!)

    Earn 5,000 Bonus Points at Hyatt Hotels in Northern California

    Three Nights, One Free at Westins

    Stay One Night, The Next is 40-50% Off

    Up to 25K Bonus Points for Staying at Indigo Hotels

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    https://www.hiltonhhonors.com/PYO/Login_Q3_2010.aspx?lang=EN&cid=OM,HH,HHonors10Q3,Placementhttp://www.marriott.com/rewards/promotion.mi?promotion=DE10http://goldpassport.hyatt.com/gp/en/offers/pop_offer.jsp?contentId=90021446http://www.starwoodhotels.com/promotions/promo_landing.html?category=WI_PROMO1&IM=SPG_HP_TL_EN_SEG_GLOBAL_DREhttp://www.starwoodpromos.com/bettertomorrows/?IM=HP_SPG_LP_BetterTomorrowshttp://www.ichotelsgroup.com/h/d/in/1/en/c/10/content/dec/teaser/in/1/en/lp/promolp/indigostay2.html?_promoCode=1203&cm_sp=IMMerch-_-PC_US_en-_-FOP_Stay2http://www.ichotelsgroup.com/h/d/in/1/en/c/10/content/dec/teaser/in/1/en/lp/promolp/indigostay2.html?_promoCode=1203&cm_sp=IMMerch-_-PC_US_en-_-FOP_Stay2http://www.starwoodpromos.com/bettertomorrows/?IM=HP_SPG_LP_BetterTomorrowshttp://www.starwoodpromos.com/bettertomorrows/?IM=HP_SPG_LP_BetterTomorrowshttp://www.starwoodpromos.com/bettertomorrows/?IM=HP_SPG_LP_BetterTomorrowshttp://www.starwoodhotels.com/promotions/promo_landing.html?category=WI_PROMO1&IM=SPG_HP_TL_EN_SEG_GLOBAL_DREhttp://goldpassport.hyatt.com/gp/en/offers/pop_offer.jsp?contentId=90021446http://www.marriott.com/rewards/promotion.mi?promotion=DE10https://www.hiltonhhonors.com/PYO/Login_Q3_2010.aspx?lang=EN&cid=OM,HH,HHonors10Q3,Placement
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    Hotel Winners

    Hotels 2010

    Hilton 9.9 Points

    Marriott 9.3 Points Starwood 7.9 Points

    Hilton scores a near perfect 10; Hyatt and Intercontinental are very close behind

    Full results are available in the appendix

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    Agenda

    Overview

    Airlines

    Hotels

    Rental Cars

    Executive Summary

    Appendix

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    Proprietary and Confidential

    2010 Archstone Consulting All Rights Reserved

    Rental Cars

    Choose Hertz points or 200 Delta miles a day or 500 Marriott points a rental

    1 Point per dollar,10 rentals a year = 10% bonus, 40 rentals a year = 25% bonusand car upgrades

    With 50 rentals a year, $200 a rental, you earn 25 non peak rental days or 12.5peak days, 5 week long rentals non peak and 2.5 peak weeks

    Can use points fun and prestige cars too at an moderate cost

    Emerald Aisle where you can choose any car is a nice feature Choose National credits or 50 Delta miles a day (nothing compared to Hertz!) or

    250 Hilton points a rental (Hilton points worth less than Marriott)

    Rental credit every rental or 4 days, one free day after 7 credits with no status, onefree day with 6 credits for executive status (12 rentals a year) and car upgrades

    With 50 rentals a year, only 8.3 rental days earned

    50 Delta miles a day (nothing compared to Hertz!) or 250 Hilton points a rental

    (Hilton points less worth than Marriott if youve paid attention)

    Hertz is the clear winner among the relatively underdeveloped rivals

    The other car rental agencies offer no benefits

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    Proprietary and Confidential

    2010 Archstone Consulting All Rights Reserved

    Agenda

    Overview

    Airlines

    Hotels

    Rental Cars

    Executive Summary

    Appendix

    24

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    Executive Summary

    Fly Delta, rent a Hertz, stay in a Hilton

    For the average consultant travel schedule using Delta, Hilton, and Hertz:

    Earn at least four peak domestic or two peak international round trip flights

    Obtain as many as two free weeks in a hotel

    Receive on average three weeks of car rentals

    JetBlue is hands down the best airline if you only care about getting the most free North Americanflights (without first class and other elite perks), but one must also consider the hubs!

    Continental, Marriott, and National should be the only alternatives to the above

    For short term allegiance switches - use airline partner miles (like getting Continental miles fromU.S. Airways), or choose miles instead of points (like Delta miles at a Marriott)

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    Questions

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    Proprietary and Confidential

    2010 Archstone Consulting All Rights Reserved

    Agenda

    Overview

    Airlines

    Hotels

    Rental Cars

    Executive Summary

    Appendix

    27

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    Proprietary and Confidential

    2010 Archstone Consulting All Rights Reserved

    Airline Full Results

    Carrier Total Points Rank

    Delta 8.2 1

    Continental 7.7 2

    JetBlue 7.3 3

    United 7.2 4

    US Airways 6.8 5

    American 6.4 6

    Southwest 5.9 7

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    Proprietary and Confidential

    2010 Archstone Consulting All Rights Reserved

    Hotel Full Results

    Carrier Total Points Rank

    Hilton 9.9 1

    Marriott 9.3 2

    Starwood 7.9 3

    Intercont. 7.8 4

    Hyatt 7.7 5

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    JFK Airport Map

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    Proprietary and Confidential

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    EWR Airport Map

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    LGA Airport Map

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