Fuel Surcharge Scam
I was a little bored tonight so thought I would work out the fuel surcharge and prove it was all a big scam. AC is charging more for the surcharge than they are actually using in fuel. It is not a surcharge, but actually paying for all the fuel AND providing a possibly profit (depending on length of trip).
Calucation based on A320 with CFM56-5A engines on 1 hour trip.
It assumes 70 percent load, and while I don't know what AC pays for fuel, my compnay pays under .50 cents a liter (1 liter of jet fuel = 1.68-1.8 lbs of fuel depending on temp and Jet A/B ect..) for jet fuel. With the volume they buy, I'm sure it's much lower.
A320 burns between 4500-5400 lbs an hr based on altitude. I averaged at 5000lbs.
140 passengers x .70 % load= 98 pax
98 pax X $25.00 = $2400 dollars.
5000lbs of fuel @ .40 cents a lb. = $2000.00
Therefore on a one hour trip they make OVER $400. Remember I am using a high fuel price that don't pay. There actual profit is much higher.
How much longer does the public have to endure the lies of Robert Milton and crew. They are ripping off the public as best they can.
Edited for poor spelling and grammer
[This message has been edited by mtacchi (edited 03-31-2003).]