Buyer beware: That’s our take on American’s offer of a “free” upgrade when booking Business Class from New York/JFK to London/Heathrow. It’s only valid with fare code DUP, which comes with a price of $7,592. (Perhaps it should be fare code “DUH.”) What this says to me is that American is feeling the competition from the all-Business Class airlines now flying the North Atlantic, MAXjet, Eos, and SilverJet, which offer fares from $1,396. Eos has even pulled the advance-purchase requirement from its $2,730 fare on occasion. No airline gives away First Class unless it has to. So here’s a mileage strategy that gets you into American’s front cabin for much less. In fact, it’s one of my all time favorite ticketing strategies—especially when applied to $1,100 round-trip November Business Class fares (see FCF September 2006 for more).

Step 1: Join the Starwood Preferred Guest loyalty program. (You should already be a member.) Anyone can become a member in five minutes over the phone (888-625-4988). Once you’re a member, you can buy up to 100,000+ points/miles annually, which are transferable to 30 carriers (see FCF April 2007 for more).

Step 2: Call American to get dates with availability that fits your plans—but don’t book yet. You must find dates on which there is a good Business Class fare, meaning one that starts at $2,100 round-trip (or $1,100 during the winter holidays). You also must confirm that there is a seat available to upgrade—to First Class (booked in A class). They will tell you both. Don’t go any farther than this because American’s AAdvantage program does not allow you to upgrade from its lowest Business Class fares, like the one we’ll get to in Step 3. It only allows upgrading from the much more expensive D and J fares (often $6,000+).

Step 3: Transfer Starpoints to Cathay Pacific’s loyalty program, Asia Miles. If you’re an American Airlines customer, especially to Europe, you should already have a nice batch of miles stored in your Cathay account. Why? Cathay Pacific’s mileage program does permit upgrading from American’s lowest Business Class fare (I class) to First Class. The cost is a reasonable 50,000 miles ($1,400) from most US gateways to most of Europe. If you have the miles in hand, you can pounce on an upgrade the moment it’s available. If you don’t, it can take up to four weeks to transfer, which can cost you seat availability.

Step 4: Go back to American (or your travel agent/website) and buy your Business Class ticket. Don’t tell them that your next call is to Cathay, as they won’t have a clue as to what you’re talking about.

Step 5: Use the Cathay Pacific Loophole. Call Cathay immediately (866-892-2598) and snag your upgrade on American.

Step 6: Count the money you saved. American Business Class Fare:                     $2,100 50,000 Cathay Miles via Starwood:               $1,400 Total Cost:                                                   $3,500

American Free Upgrade Fare                        $7,592 (save $4,092 through Cathay’s strategy) American First Class fare:                             $12,470 Total Strategy Savings:                                  $8,970