March 13, 2026 — A Reuters investigation published Wednesday reveals how major U.S. airlines including Delta, United, American, Alaska and Southwest have transformed their loyalty programs by increasingly relying on co-branded credit card deals with banks for upfront payments on frequent flyer miles. The shift generated $36 billion in loyalty revenue across eight airlines in 2025, up 92% since 2022, often surpassing traditional ticket sales and providing profit stability amid fuel costs.
Revenue Surge from Card Partnerships
Delta received $8.2 billion from American Express in 2025, representing 14% of its adjusted operating revenue and 1.4 times its operating income, per airline filings analyzed in the report by aviation correspondent Rajesh Kumar Singh. American Airlines secured $6.2 billion from partners like Citi, equivalent to four times its operating income. This US Airlines’ Loyalty Programs Transformed by Credit Card Revenue trend has boosted carrier profits but prioritized high-spending cardholders over average flyers.
Changes Favoring Card Spending
Airlines have restructured programs to drive credit card use. United will double miles for cardholders and require cards to earn miles on basic economy fares starting April 2026. American eliminated miles earning on basic economy tickets, while Delta counts card spending toward elite status qualification. These adjustments, detailed in the Reuters probe, align with US Airlines’ Loyalty Programs Transformed by Credit Card Revenue, reshaping rewards to emphasize non-flying spend.
USA Today coverage echoed these findings, noting Delta’s $8.2 billion haul and the pivot from flights to card activity in airline rewards programs.
Scrutiny and Devaluation Concerns
The transformation has drawn criticism for devaluing miles for everyday customers, with reward values halving since 2019 according to IdeaWorks data cited in Reuters. This has prompted U.S. Department of Transportation scrutiny and potential political risks like fee caps. Aeronautics Online summarized the revenue stability versus regulatory and consumer backlash risks.
Trust Finance Blog framed it as airlines pivoting to credit cards surpassing ticket sales, highlighting Delta and American figures here.
Social Media Reaction
On X, users vented frustrations aligning with devaluation themes. One post with over 21,000 views from @Selene_Mariposa complained about American Airlines prioritizing $50 upgrades over loyal cardholders and status members:
American Airlines is more of a credit card company than an airline at this point. Loyal flyers get screwed.
@DustLife1973 echoed: “AA more credit card company than airline.” Similar gripes targeted United and Southwest. Shares of the Reuters article appeared from accounts like @TRILLIONCAP here.
Broader Context
Pre-2026 coverage from The New York Times (September 2025) and Bloomberg (June 2025) noted airlines earning billions from loyalty and cards as profit centers amid customer complaints. No major follow-ups from WSJ, NYT, Bloomberg or CNBC on the Reuters piece as of March 16. Aeronautics Online regulatory analysis tracks ongoing developments.
