US Airways Reports Fourth Quarter and Full Year Profit

[USA320Pilot]

US Airways Reports Fourth Quarter and Full Year Profit

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US Airways Easily Beats, Cites Strong Demand

Click here to read the story.

 

[AP Tech]

Congratulations to all the employee's!!! Hope everyone eligible enjoys the profit sharing checks....to everybody else, which I believe is the majority of the employees.....look for that 2% raise in about 6 months!!!!

 

[Harry Callahan]

I hope the ones who get it enjoy also. Our union [edited] us.

 

[grasscutter]

I hope the ones who get it enjoy also. Our union [edited] us.

Insurance goes up, union dues go up, IAM just another part of our problems

 

[AstroLounge]

I hope the ones who get it enjoy also. Our union [edited] us.

Glad to See Someone SPEAKS their Mind and DOESN'T "Sugar Coat" it!

 

[Harry Callahan]

I would usually not be be like that but 2 things (in no order) I need not get started on is TSA & our union.

 

[exramper]

And Dougie made 14 million...and I'm sure Isom and the rest of the BUFFOONS in Tempe are livin the life. Just think without them we might even be a number 1 airline....

 

[freedom]

the profit we made is pathetic .... our company is JUST surviving ... let's hope we're able to merge with American ... for all our sakes ...

 

[exramper]

Ya we might as well take them down the tubes also......

 

[ChockJockey]

I would usually not be be like that but 2 things (in no order) I need not get started on is TSA & our union.

Dude the TSA sucks.

 

[FWAAA]

For the first nine months of the year, US paid $114 million more for fuel than it would have paid if it had paid AA's fuel prices. For the first three quarters, US policy of not hedging didn't appear to work out so well. Won't know how much worse US did on fuel compared to AA for the full year until AA eventually reports its results for the fouth quarter.

 

[usfliboi]

Sounds great on paper but the real number is how much we have saved by not hedging??? Confused that you would use that number and not the whole number....

 

[FWAAA]

Sounds great on paper but the real number is how much we have saved by not hedging??? Confused that you would use that number and not the whole number....

You lost me. US did not hedge and spent 10.47 cents more per gallon than AA (which did hedge) in the first three quarters of 2011. That extra dime plus per gallon meant that US paid $114 million more than AA's hedged price. When US employees get their profit sharing checks, keep in mind that the 2011 profits were harmed by DP's poor fuel price management.

In every year since the merger, AA's hedged fuel price was lower than US except for 2010. That's DP's only year when the combined US paid less for fuel than AA. Wonder what DP's record will be if he manages to take over AA? Will AA go unhedged or will AA adopt DP's poor hedging record? Neither option is as favorable as AA's results with its hedging program.

 

[BoeingBoy]

Sounds great on paper but the real number is how much we have saved by not hedging???

Except for comparisons to carriers that do hedge, there's no way of knowing whether not hedging saved or cost money. Unless you know what hedging instruments US would have engaged in, when, and at what price all we know is that US paid market price for fuel without hedging versus what other carriers paid with hedging.

Jim

 

[BoeingBoy]

You lost me. US did not hedge and spent 10.47 cents more per gallon than AA (which did hedge) in the first three quarters of 2011.

And in the 4th quarter spent $0.31 more per gallon than DL - for roughly $500 million more. For the full year, US spent $0.10 more than DL for about $110 million more.

Jim