Who's Hedging Fuel and How Much??

[HighSpeedClimb]

AIRLINE PERIOD HEDGED DESCRIPTION
American Airlines H2 07 31% capped at about $62/barrel crude oil

United Airlines Q3 07 27% heating oil collars: upside protection starting at $1.96/gallon and capped at $2.14/gallon Q4 07 17% heating oil collars: upside protection starting at $2.04/gallon and capped at $2.22/gallon

Delta Air Lines Q3 07 22% heating oil collars: rates undisclosed

Continental Airlines Q3 07 35% heating oil collars: avg put price $1.86/gallon, avg call price $2.02/gallon Q4 07 27% heating oil collars: avg put price $2.03/gallon, avg call price $2.20/gallon

Northwest Airlines H2 07 25% crude oil collars: put options $53-55.95/barrel; call options $72/barrel 10 crude oil swaps: $62-$64.98/barrel Sep-Dec 15 crude oil collars: put options $60/barrel; call options $78.70/barrel

Southwest Airlines Q3 07 90$ at avg crude oil price of $51/barrel Q4 07 90% at avg crude oil price of $51/barrel FY 08 65% at avg crude oil price of $49/barrel

US Airways Group Q3 07 54% heating oil collars: weighted avg range $1.81 to $2.01/gallon Q4 07 40% heating oil collars: weighted avg range $1.78 to $1.98/gallon

Full story
http://uk.reuters.com/article/oilRpt/idUKN1416905220070914

 

[twepilot]

Kroger plus card is good for 10cents off....

RV

 

[Benjamin Dover]

AIRLINE PERIOD HEDGED DESCRIPTION
American Airlines H2 07 31% capped at about $62/barrel crude oil

United Airlines Q3 07 27% heating oil collars: upside protection starting at $1.96/gallon and capped at $2.14/gallon Q4 07 17% heating oil collars: upside protection starting at $2.04/gallon and capped at $2.22/gallon

Delta Air Lines Q3 07 22% heating oil collars: rates undisclosed

Continental Airlines Q3 07 35% heating oil collars: avg put price $1.86/gallon, avg call price $2.02/gallon Q4 07 27% heating oil collars: avg put price $2.03/gallon, avg call price $2.20/gallon

Northwest Airlines H2 07 25% crude oil collars: put options $53-55.95/barrel; call options $72/barrel 10 crude oil swaps: $62-$64.98/barrel Sep-Dec 15 crude oil collars: put options $60/barrel; call options $78.70/barrel

Southwest Airlines Q3 07 90$ at avg crude oil price of $51/barrel Q4 07 90% at avg crude oil price of $51/barrel FY 08 65% at avg crude oil price of $49/barrel

US Airways Group Q3 07 54% heating oil collars: weighted avg range $1.81 to $2.01/gallon Q4 07 40% heating oil collars: weighted avg range $1.78 to $1.98/gallon

Full story
http://uk.reuters.com/article/oilRpt/idUKN1416905220070914

65% at $49/barrel looks pretty good now for 2008. Wonder how good the General's "collars" are??

 

[Heavy Set]

65% at $49/barrel looks pretty good now for 2008. Wonder how good the General's "collars" are??

I think Southwest just helped everyone by increasing fares. I know Delta did not raise fares for every city, 20% of the cities served were not given an increase. But, every other city pair had $6/$10 increases, which should help. Also, after bankruptcy I believe Delta had a break even at close to $70 a barrel oil, and a fare increase could raise that dollar amount. They also have $4 or 5 billion in cash now, so I don't think the General is too bent out of shape. I am sure he would thank the Southwest guys for doing that.

 

[Benjamin Dover]

I think Southwest just helped everyone by increasing fares. I know Delta did not raise fares for every city, 20% of the cities served were not given an increase. But, every other city pair had $6/$10 increases, which should help. Also, after bankruptcy I believe Delta had a break even at close to $70 a barrel oil, and a fare increase could raise that dollar amount. They also have $4 or 5 billion in cash now, so I don't think the General is too bent out of shape. I am sure he would thank the Southwest guys for doing that.

Of course GL is not bent out of shape - cool-aid OD for him long ago. What did DL give up to get that cash? Much! I was there, so I know Heavy Set. Check out some other financials besides cash. DAL used to own their own airplanes too. Also, creditor influence on the board just picked their CEO and let go the only mgt. innovator that I ever ran across at that place (Whitehurst).

Glad SWA could help. No change to bookings after the increase I'm told, so I guess SWA is part of "everyone" who was helped by the pricing move. Go figure, SWA cares about the revenue side too. Amazing.

Wonder why SWA fare raises always get matched and everyone else jams each other? Must be the mini skirts .....