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How 12,150 Cups Of Chocolate Pudding Turned Into A Million Frequent Flyer Miles
In 1999, Civil Engineer David Phillips noticed a promotion from Healthy Choice offering 500 American Airlines miles for every 10 product bar codes sent in, with a double bonus for sending them in the first month. Phillips figured out that the promotion would extend to all of their products, and searched his area supermarkets for the best deal. He started with 90-cent cans of soup, and then found a better deal: individual packages of chocolate pudding for 25 cents apiece. He bought every one available, spending a total of $3,140. This gave him 12,150 puddings worth over 1.2 million airline miles.
The story gets sweeter when you hear how he collected the bar codes for redemption. He started by putting his family to work, but they were soon (literally) sick of peeling the pudding lids and eating the stuff. He offered them up to Salvation Army for free, in return for the bar codes. For this, he was also able to get an $800 charitable tax deduction, bringing his investment down to around $2200. Netting over a million miles also gives him lifetime gold elite status on American, giving him an extra boost for accruing miles. His story inspired a similar plot in the movie "Punch Drunk Love." Phillips continues to take advantage of frequent flyer promotions and deals, and now has over 4 million miles in his accounts.