FlyerTalk Forums - View Single Post - NYT: How Southwest Airlines Lost Its Groove
Old Nov 28, 2024 | 11:42 am
  #7  
dlaue
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Southwest began its business advantage ~2008 when it obtained very favorable fuel hedges far into the future. Whether this was due to some brilliant jet fuel price forecasting or just by luck, it did give Southwest an ability to keep fuel costs low and offer truly competitive low fares. Those fuel hedges expired and, along with labor settlements, Southwest's operating costs have increased dramatically. They are no longer a low fare airline.
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