Boeing 747-311 From United States of America, joined Mar 2001, 795 posts, RR: 0
Reply 2, posted (8 years 11 months 2 days 10 hours ago) and read 3757 times:
It says there that SOuthwest has hedged its fuel for 70 percent fo its fuel at 36 dollars per barrel is that true am i reading this right? becuase that would make them spending haldf of what other airlines are paying
B6767200 From , joined Dec 1969, posts, RR:
Reply 3, posted (8 years 11 months 2 days 9 hours ago) and read 3693 times:
Quoting Leftshoe (Reply 1): In the article it is mentioned that Southwest hedged the majority of its fuel at an (in my eyes) unbelievable 36$/barrel oil. If that's true, kudos to WN!!!
How's the hedging policy at other airlines?
For non-market insiders it's quite difficult to make something out of the article and to assess whether 41% is an adequate rate.
Fuel hedging can be very expensive, in order to hedge you have to pay up front and in full!
Does anyone know of the loop hole for fuel if bought in Oakland, California? I remember reading something along the terms that you can fill your plane up anywhere in California and get a tax break if the fuel is bought in Oakland, I know United and jetBlue have received tax breaks in association with this. Any information will be appreciated.