MAN GETS HIS LIFETIME FIRST-CLASS TICKET REVOKED AFTER COSTING THE AIRLINE A CRAZY $21 MILLION

A frequent traveller who ended up costing the airlines millions of dollars had his lifetime offer of free first-class flights revoked.

A lifetime free pass to anything can change someone's life, and flying is no different. However, A lifetime free pass doesn't sound too good to be true—it actually is, as American Airlines discovered. In 1981, American Airlines offered lifetime free first-class tickets to anyone who would pay them $250,000 upfront to make quick cash.

The airline at the time did this to increase profits because they were having financial difficulties and needed a way out.

At face value, their plan worked. A total of 66 people purchased the lifetime pass, known officially as the AAirpass. But upon closer inspection, this turned out to be one of their worst financial errors ever, and all thanks to a man by the name of Steven Rothstein.

In just 21 years after buying the AAirpass in 1987, Rothstein alone cost American Airlines more than $21 million in profits. How did he accomplish this? Well, the airline lost millions due to Rothstein's excessive flying, even before one account for the perks and extras that come with travelling in first class.

By 2008, Rothstein had taken 10,000 free flights on American Airlines, totalling 30 million miles in travel. The entire AAirpass program became unprofitable with just one passenger, as can be seen by doing the math. Even so, it took American Airlines decades to realize that they were losing millions of dollars to Rothstein.

When they finally figured it out in 2008, they severed Rothstein's connection abruptly in the middle of a travel day, preventing him from boarding his flight to Bosnia.

Because of Rothstein's actions, American Airlines also filed a lawsuit—but not because of his excessive personal use of the AAirpass. Rather, the stockbroker was sued for fraud, allegedly charging him with purchasing tickets for flights he never intended to take and seating for fictitious passengers under aliases like "Bag Rothstein" and "Steven Rothstein Jr."

Throughout his more than two decades of having unlimited travel, Rothstein also acknowledged that he frequently gave away his ticket to people in need. In a 2019 interview with Forbes, Rothstein offered his version of events, stating: "I provided a ticket for a man in Seattle to attend his father's funeral." I issued tickets to several people to visit sick relatives. "I consider those to be good deeds, not acts of charity."

American Airlines and Rothstein ultimately reached an out-of-court settlement, despite their initial legal action. In case you were wondering, Rothstein now favours using United Airlines for all of his travel needs.