Originally Posted by
PeopleMover
I read somewhere that SWA has in 2009 has 50% of their fuel hedged at $51 a barrel. Compared to Alaska hedging at $80 a barrel (and their the second best!). That gives SWA a huge huge advantage considering fuel in 2009 could be 120-140 a barrel. Those airlines with little or no hege will have a much more difficult time.
Alaska Air Group
Future Fuel Hedge Positions
Approximate % of Expected
Fuel Requirements
Approximate Crude Oil
Price per Barrel
First Quarter 2008
50% $66.88
Second Quarter 2008
50% $72.60
Third Quarter 2008
50% $78.03
Fourth Quarter 2008
50% $76.74
Full Year 2008
50% $73.72
First Quarter 2009
16% $83.97
Second Quarter 2009
16% $82.90
Third Quarter 2009
12% $82.95
Fourth Quarter 2009
10% $82.08
Full Year 2009
13% $83.07