The reason jet fuel prices shot up so much post-Katrina was that many refineries switched to producing gasoline, which is easier to produce and more marketable, to recover from their losses, but since then it's gone back down a little bit. The main problem we have now is not the fuel prices, but the fare prices...if only people would realize that. In order to pay for increased fuel prices, got to raise fares...problem is, nobody can without losing a LOT of customers to the competition these days. So, mgmt usually says let's cut the labor costs (And we know what that means). I don't know if fuel hedging will work anymore, since no one knows if the price will increase or decrease for the next few years. Should be interesting to watch.