American Airlines once offered an unlimited first-class pass, but it turned out to be a huge financial mistake. One frequent flyer took full advantage of the deal, costing the airline millions of dollars before they finally revoked his pass.
In 1981, American Airlines needed cash and came up with a plan—selling a lifetime first-class pass for $250,000. The idea was that customers would pay upfront, and the airline would benefit in the long run. At first, it seemed to work, and 66 people bought the pass, known as the AAirpass.
But the airline didn’t expect just how much some people would use it. One man, Steven Rothstein, pushed the limits of the program. He bought his pass in 1987 and over the next 21 years, he took over 10,000 flights, traveling a total of 30 million miles without paying a cent.
His unlimited flying became a problem for the airline. By 2008, American Airlines realized they had lost over $21 million because of Rothstein. They decided to cancel his pass, and he found out mid-travel when he was about to board a flight to Bosnia.
But the story didn’t end there. The airline also sued him, accusing him of fraud. They claimed he had booked fake tickets under names like “Bag Rothstein” and “Steven Rothstein Jr.” They also said he made reservations for flights he never planned to take.
Rothstein admitted that he often gave away free tickets to help others. He shared how he had helped people attend funerals and visit sick family members. He later told Forbes, “I don’t see it as charity, just good deeds.”
Eventually, the lawsuit was settled out of court. While Rothstein lost his unlimited pass, he didn’t stop flying—he now prefers United Airlines instead.