Originally Posted by
Justdoinmyjob
Everybody dropped the ball on fuel hedges, including Southwest. If they couldn't get it right, nobody could.
Firms hedge on a lot more than just fuel. Many firms gamble with future foreign exchange rates. Volkswagen were hedged against future rate drops and lost a lot of money when the US dollar tanked a few years ago.
It's a risky business and you can't rely on it.
AL