Southwest Airlines’ fuel hedging meant less than in previous years when the price of oil fluctuated around $60 per barrel, as it did during the first few months of 2007, but it’s much more valuable with oil at more than $90 per barrel, as it was last month. The airline is hedged for about 90% of its fourth-quarter fuel requirements at the equivalent of an average oil price of $51 per barrel, and so is about 70% of its needs for full-year 2008. Southwest’s fuel-hedge savings increased in the ...

THIS CONTENT REQUIRES SUBSCRIPTION ACCESS

You must have an Aviation Week Intelligence Network (AWIN) account or subscribe to this Market Briefing to access "As Oil Price Rises, Southwest’s Hedges More Valuable".

 

Current Aviation Week Intelligence Network (AWIN) enterprise and individual members: please go to http://awin.aviationweek.com for access.

 

Not currently a subscriber? Click on the "Learn More" button below to view subscription offers.

Already registered? here.