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SWA named Airline Champ of 2007 by WSJ. GL how did Delta do!

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Hedges are plainly a way SWA predicts future cost to price their product. Of course this has been pointed out over and over again but some it doesn't register.

If SWA didn't have hedges they would price their product higher.

Yes they do have that kind of pricing power and its consolidating the industry.


Uhh, no they wouldn't and thinking you do vs actually being able to is not the same thing. Sure, anyone could, but to sustain it is not dealing in reality. See SWA's latest attempt to garner market share with $29 fares in select cities. The only reason you do this is to bring paxs back that are flying other airlines. Even with fuel hedges, this is not a profitable operation. It may have been in 1999, but the landscape has changed.

Consolidation may occur for one reason and one reason only.......money to be made by a few hundred select individuals. Has absolutely nothing to do with any airline.
 
I think SWA is a very well run airline, but I hope everyone knows that the majority of their hedges came from that idiot Don Carty selling them from AMR.
 

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