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··-·~ Original Message --»-·
From \/\/rieeler Steve
Sent, Tuesday, February 01,200011 54 Alvl
To, Tenholder, Make
Subiect Competition lorl/\/ebli/lrles'*
You've Got Miles! -- America Online and American Airlines to Create
AOL Aadvantage —— World's Largest Combined Online and Offline
Consumer Rewards Network
February 1, 2000 DL/LLES, l/a. & FORT WORTH, Texas——(BUSI/VESS W/RE)—~Jan. 31, 2000 vla
Alewsfdge Corporatron -
AOL AAdvantage to Offer Members More ways to Earn Miles Online and Offllne and to Quickly, Easily
Redeem Them for Consumer Products, AOL Service, Travel and More Companies Will Also Launch Multi»
Mlllion-Dollar Cross~Marketing Campaign to Comblned Member Base
America Online, Inc. (NYSE; AOL) and American Airlines (NYSE: AMR) today announced the creation of
AOL AAdvrantage, the world's largest online customer loyalty program. With a single point, click and buy,
millions of people will be able to benefit from a wide selection of redemption opportunities, including
consumer products, AOL service, air travel and more. Under the three-year agreement, the two companies
also will launch a multi—millron·dollar cross-marketing campaign to their millions of members.
AOL AAdvantage will bring together America Online’s AOL Rewards(SM) Program and the American
AAdvantage Program, providing a host of new benefits for current AOL members, AAdvantage members
and new participants. The program will feature a wide variety of products and services from partners of
AOL AAdvar1tage.
AOL AAdvantage will be operated by a joint management team from American Airlines and AO L's Digital
Marketing Services (DMS) division, DMS ls a pioneer of online incentive programs and has operated the
AOL Rewards Program on America Online since 1996,
ln addition, America Online also announced today an alliance with Netcentives Inc. (Nasdaq: NCNT), a
leading developer of e·marketrng infrastructure software and services, under which Netcentix/es` rewards
technology will become the exclusive support infrastructure for AOL AAdvantage, enabling the network to
easily accommodate increasing numbers of members and commerce partners.
"we are essentially creating a whole new currency for the online generation," sald Oon Carty, Chairman
and CEO of American Airlines. "By teaming the first and largest frequent flyer program with the world
leader in rnteractive services, we're establishlng a powerful new brand that we think will change the face
of e—commerce."
Bob Pittman, President and Chief Ooeratrng Officer of Amerlca Orilrne, lnc., said: "AOL AAdvantage is a
ma)or advance in our commitment to further expand the value of AOL membership. Whats especially
excltrng about the AOL AAdvantage program is that it will give the growing number of consurners who buy
both online and offline easy and convenient opportunities to earn and spend miles wherever they shop/'
"Our AAdvantage members will find it easier than ever to earn miles —— both online and offline —· and will
i
Ex. 14
MAR112972.
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onllne platform to AOL AAdvantage," sald Mike Gunn, Amerlcan's Executive VICE President of Marketing
and Planning and chief archltect of AAdvantage.
Ted Leonsls, President of AOL Interactive Properties, sald: "AOL AAdvantage unltes the world’s largest
incentlve marketing program Wlth the worId`s leader ln lll[€f3CKl\/G services to create a rewards program
that wlll reach mllllons of onllne and offllne consumers. The lnteractlve medium brlngs many unloue
benefits to rewards programs, lncludlng easy and fast redemptlon of mlles IO amounts large and small. By
working Wlth Amerlcan Alrllnes, lt lS our hope that AOL AAdvantage wlll glve AOL members the chance to
partlclpate ln a rewards program with the most fl€XlbllI[Y and value available anywhere/' Agreement
Expands Consumer Cholces
when the program launches ln Sprlng 2000, members wlll be able to easlly redeem AOL AAdvantage mlles
from a single account balance convenlently dCC€5Slbl€ through both AOL and the Web that can be used for
a wlde range of goods and servlces, includlngz -— Travel on Amerlcan Alrllnes and its worldwide network of
AAdvantage partners, lncludlng members of the oneworld alliance; -— AOL membership fees; ~— Brand-
name ltems lncludlng videos, CDs, magazines, books and appliances; —— Onllne rewards llke free music
downloads and premium dlgltal greeting cards to send to frlends and relatlves.
ln additlon to earnlng miles by travellng on American Airlines and lts alrllne partners, members wlll be
able to earn miles by: -— Shopping wlth commerce partners avallable through the AOL service and other
AOL brands lncludlng CompuServe, Olgltal Clty, Netscape and AOL.COM as well as a selection of
AAdvantage partners, ·— Buying from a worldwlde network of airline, hotel, restaurant, rental car, and
other goods and servlces merchants; -— Enrolllng ln various servlces available on AOL brands, such as the
"You've Got P ,,:<.lgram and "My Calendar", and -» Participating ln oplnlon polls and surveyS O0
noteworthy current events. Major Marketing Campaign Planned
As part of the agreement, the two companies wlll also take advantage of the comblned marketing clout of
their popular brands to promote AOL AAdvantage ln a wide array of online and offline venues. Promotions
of AOL AAdvantage Wlll be featured ln airports and Amerlcan Alrllnes planes, as well on AOL's onllne
properties, and ln other communications from each of the two companies, as part of a multl—rrlllllon dollar
campaign over the next three years.
The OffIClBl AOL AAdvantage launch lS scheduled for Spring 2000. Currently, consumers can flnd
information about partlclpatlng ln the program by QOIDQ to the AOL AAdvantage prevlew Sl[€ at
www.AOLAAdvantage.com, or to AOL Keyword; AOL AAdvantage. Rewards Marketlrlg BOOOTIOQ
The rewards marketlng lndustry has experienced rapld growth IU recent years, generating $15 bllllon ll3
annual revenues, according to DIRECT magazine. Offllne, over 8,600 supermarkets, 50 alrllnes, 30
telephone companles, 20 hotel chalns, dozens of national credlt cards and many department stores run
loyalty programs.
Accordlng to Juplter Research, a malorlty (56%) of consumers say that they would be more likely to
conduct transactions onllne lf rewards mlles or polnts were offered. More than 40% of onllne households,
according to Juplter, have at least one member who already belongs to an alrllne freguent flyer program.
For Amerlca Onllne, AOL AAdvantage Wlll build on the success of lts AOL Rewards program, from which
over 1.5 mllllon members have earned points ln the past six months. Research lndlcates that Over 77% of
rewards members actively seek out offers from the program, and the AOL Rewards area on the OUIITTE
servlce lS vlslted by the typlcal Rewards member more than once each month.
AAdvantage, started by Amerlcan Alrllnes in 1981, IS the largest rewards program IH the world, far
surpasslng its competitors wlth over 38 mllllon members, over 1,000 partners, and the most l'T'1||€S accrued
per year. About Amerlcan Alrllnes
Amerlcan Alrllnes is the largest U.S. domestic alrllne and the worldâ€s second largest carrier. AI Ong with lts
regional alrllne afflllate, Amerlcan Eagle, lt provldes servlce to nearly 50 countrles and nearly 240 Cl{l€$
worldwide. Last year Amerlcan flew more than 81mllllon passengers. Amerlcan operates a mcldern let
fleet of approximately 670 aircraft. The alrllne has more than 92,000 employees. Amerlcan Ea gle,
Amerlcan's regional alrllne afflllate, last year flew more than 13 mllllon passengers wlth a fleet; of
2
MAR112973
B DD'OX'm@l€Ga%é@1EQZILQIYBOGBSOEUJIC)0 @ID@G’l§If1@éFitCI|?()8*£*‘F5€IlCCPIIQQICGQVAIS7/29OBT0@F?dgé® GIGBTIS4
American Eagle operates more than 1,400 daily departures. About America Online, Inc.
Founded in 1985, America Online, Inc., based in Dulles, Virginia, is the worlds leader in interactive
services, Web brands, Internet technologles, and e—commerce services. America Onllne, Inc, operaf€5¤ TWO
worldwide Internet services, America Online, with more than 20 million members, and CompuServe, with
more than 2.5 million members; several leading Internet brands including ICO, AOL Instant Mess@¤Q€F
and Oigital City, Inc.; the Netscape Netcenter and AOLCOM portals, the Netscape Navigator and
Communicator browsers; AOL MovieFone, the nationls #¤ 1 movie listing guide and ticketing service;
Spinner Networks and NuIISoft, Inc., leaders ln Internet music, and Digital Marketing Services, a c©¤â€lli><50y
specializing in online rewards programs and onllne market research. Through its strategic alliancé WII0
Sun Microsystems, the company develops and offers easy—to-deploy, end—to»end ecommerce and
enterprise solutions for companies operating in the Net Economy. Editor's Note: A satellite feed with logos
and b»roll of both America Online and American Airlines as well as consumer reaction is being fed via
satellite during two windows on Monday, January 31, 2000. 0610006:15 am EST Telstar 6/Transponder 7
C·Band 0130-02:00 pm EST Telstar 6/Transponder 8 C band
CONTACT:V\!er1dy Goldberg Mark l
Thanks,
.52*eve Whee/er
6364327-5666
[email protected]
2
MAR112974
Case 1:04-cv-00360-JJF
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Filed 03/17/2006
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