You are correct; however, I recently got into a heated exchange with a Apple Rep via email about this. She said that Apple never did this. You see, the external hard drive that had all of my downloaded purchases failed. When I went back to re-download them, some of the movies weren't in 1080. The email exchange ended with me having to tell the Rep that not only was this true, but I was also working for Apple at the time and I remember telling customers about it. Now it seems that if you don't keep a copy of those movies you upgraded for free, you will have to purchase them again after a period of time. I guess that there is a time restriction.
I contacted some old co-workers. They all remembered because it was a big deal. We had a training for it. I remember being happy because I didn't have to be on the floor that day and I would be able to upgrade all of my movies when I got home.
I am so tired of the new Apple Reps who repley to you as if you don't know anything, especially to former employees. Some of the people they have working in their call centers are reading from a script, are impatient, don't read your emails throughly and know nothing. I got so mad, because it became a back and forth exchange that wasn't necessary. I wasn't going to let the Rep have the last the word. She was acting as though I had asked her for a credit, which I didn't. I ended the exchange with,"When you no longer work for Apple, you will then understand how this feels. Don't send me anymore emails!"
Sorry about this being so long. I saw your reply and I was like, "this person remembers! This is why I love Mac Rumors!" I don't post much, because when I was in "the cult" we knew that Apple kept an eye one everything we posted online. Yes, we were told not to post anything on this site. I've seen some current employees on here. I wish them all the best. Maybe it's different now under Tim Cook. Nevertheless, it makes me laugh becuase, it's taken me years to get a lot of that programing out of my system.