Northwest Woes Continue
- Thread starter magsau
- Start date
Apparently UA has hedged fuel so the $60 dollar oil won't effect them. How very prognostic of Tilton and crew. Magsau, do you have any data on how far out UA has hedged their fuel?
North by Northwest
Veteran
http://yahoo.reuters.com/financeQuoteCompa...28377680_newsml
How does one LOSE $93 million dollars after being in BANKRUPTCY for 3 YEARS...3 ROUNDS of EMPLOYEE CONCESSIONS, SkIPPING OUT ( THIEFT) from BILLIONS of not paying for goods and services.. and STILL can't turn a profit.
Gonna be fun outside in the real world trying to compete like REAL airlines. I bet Aeroflot pays it's bills. :cop:
How does one LOSE $93 million dollars after being in BANKRUPTCY for 3 YEARS...3 ROUNDS of EMPLOYEE CONCESSIONS, SkIPPING OUT ( THIEFT) from BILLIONS of not paying for goods and services.. and STILL can't turn a profit.
Gonna be fun outside in the real world trying to compete like REAL airlines. I bet Aeroflot pays it's bills. :cop:
North by Northwest
Veteran
I don't think Northwest is ALONE in gas worries (wonder who will beat NW to Bankruptcy)... I think ALL carriers knees are knocking ...cept SOUTHWEST.
OK,
So UAL hedged fuel @$60.
I just heard that the price of fuel went down today to $57.
So now what UAL? Their butt is locked in @ $60.
A day late and $$$$short.
SN
So UAL hedged fuel @$60.
I just heard that the price of fuel went down today to $57.
So now what UAL? Their butt is locked in @ $60.
A day late and $$$$short.
SN
Saturdaynite said:
United expects first-quarter system mainline capacity to be down about 2% year-over-year. System mainline capacity for 2005 is expected to be about 3% lower than 2004. The company projects fuel price, including taxes and expected hedge benefit, for the first quarter to average $1.41 per gallon. The company has 30% of its expected fuel consumption for the first quarter hedged at an average of $1.38 per gallon, including taxes.
Uh, no. UAL hedged a while back, and would have been MUCH better hedged if not for the judge. He later changed his view.... Jet fuel at the major airports is running about $0.40 more per gallon than the hedge prices for the 1st Q. so basically, UAL would be paying, on average, $0.12 less per gallon of gas due to the hedges than an unhedged airline. My understanding is that UAL's hedges were pretty much the same for the rest of the year.
"The company projects fuel prices for the second quarter, including taxes and excluding the impact of hedges, to average $1.66 per gallon. The company has 20 percent of its expected fuel consumption for the second quarter hedged at an average of $1.31 per gallon, including taxes. Even if fuel prices are in the mid-fifty U.S. dollar per barrel range, United projects it would generate positive operating cash flow in the second quarter."
Correction, for Q2, 20% hedged at 1.31. Comes out to about an average $0.10 cheaper per gallon
Correction, for Q2, 20% hedged at 1.31. Comes out to about an average $0.10 cheaper per gallon
