[Butch Cassidy Slept Here]

Yes, you are correct. The miles are worthless for FLYING. However, if you enroll in a hotel "frequent stay" program, like "Hilton HHonors," you should be able to transfer some, or all, of your miles into a program that will provide free room nights. American's FF program might also partner with some on-line merchants who will take miles as payment. However, I've never had experience with these merchants and don't know how reliable/trustworthy they are.