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Thread: Fuel costs: 1 penny increase = $17,500,000.00?
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Old Jul 16, 2006 | 12:15 pm
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SteveinA2
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Originally Posted by fschmidt
The real answer is in hedging:

Until the other majors figure out how to hedge their fuel, they will be flying at a competative disadvantage.
This is just not true. If SWA hedges fuel and fuel decreases in price back to $35 a barrel then SWA is at a competitive disadvantage.

Hedging ensures a knowledge of future cost - it does not ensure a lower future cost
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