Originally Posted by
Ferd149
I understand Bar's wine analogy but what happens when you drop off wine at your favorite NYC restaurant but you want to drink some of it in SFO? Or AMS?
Overall, I agree with what they are trying to do. I'm just having a hard time understanding the world wide logistics.
We will use what we can within the existing transfer network out of the refinery. The rest will be sold on the open market at market prices. Because we are making the product, we can reap the profit off of someone else buying our product.
When we go and buy jet A in AMR et al, and pay market there, we are offsetting that price by what we are selling with a built in margin. It effectively negates the price bump in AMS et al.