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Old 11-16-2005, 04:56 PM
  #6  
HSLD
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Originally Posted by Brown Dog

OK, let the bashing begin......

Brown Dog

I don't think bringing up Fuel Hedging is bashing SWA, however, it does reduce the operating cost over brand X, no?

SWA made a bet, that fuel prices would go up, and they did. It was a smart/lucky move for them to pursue a hedging policy, and one that paid off big time.

Once the contracts run out, the operating costs at SWA could go up. Is it doom and gloom? I doubt it, but absent new hedges AND the price of fuel staying where it is, SWA will find the need to get creative once again.
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