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Any "Latest & Greatest" about Delta?

Old 03-23-2015 | 10:18 AM
  #179941  
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Originally Posted by BenderRodriguez
Not hedging has been Dougie's strategy, and right now he looks like a genius. But what if the price goes up? It's not really gambling, but more like insurance. I have no problem with it personally. It's just a cost of doing business when you spend the kinds of money we do on fuel. Sometimes you are the windshield, sometimes you're the bug. We own a refinery. We are on the other side of that table now.
The refinery doesn't insulate us from the cost of crude to refine though. It just insulates us from the crack spread which isn't much right now. Still a good move in my opinion over the long term as oil will eventually go higher and crack spreads will increase.

I'll bet if we saw the average fuel cost over the last decade between Delta which hedges and AA which does not, they would be very close. Not sure on that, but hedging just takes some volatility out of it. We never see the figure on what hedging saves us, just on what we lose when it doesn't save us.
Old 03-23-2015 | 11:12 AM
  #179942  
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Originally Posted by RockyBoy
The refinery doesn't insulate us from the cost of crude to refine though. It just insulates us from the crack spread which isn't much right now. Still a good move in my opinion over the long term as oil will eventually go higher and crack spreads will increase.

I'll bet if we saw the average fuel cost over the last decade between Delta which hedges and AA which does not, they would be very close. Not sure on that, but hedging just takes some volatility out of it. We never see the figure on what hedging saves us, just on what we lose when it doesn't save us.
Somewhat of a semantic argument. We are able to negotiate directly for the price of crude rather than be dependent on the market and the crack spread. We cut out the middle man with the refinery. Yes, you are correct that the crack spread is the main determinate in the ultimate price of jet fuel, but unlike any other carrier, we have a way to negotiate on the raw material. They have to take the retail product whereas we do not.
Old 03-23-2015 | 12:10 PM
  #179943  
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How does one get from the terminal to the GO? I know there's a bus, but can't remember where to catch it.

Thanks for the help!
Old 03-23-2015 | 12:16 PM
  #179944  
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Originally Posted by Purple Drank
How does one get from the terminal to the GO? I know there's a bus, but can't remember where to catch it.

Thanks for the help!
I think it's downstairs out front every 30 min or so...
Old 03-23-2015 | 12:25 PM
  #179945  
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Originally Posted by TheWagman
I think it's downstairs out front every 30 min or so...
thanks, wag!
Old 03-23-2015 | 12:26 PM
  #179946  
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Originally Posted by Purple Drank
How does one get from the terminal to the GO? I know there's a bus, but can't remember where to catch it.

Thanks for the help!
Go downstairs (below domestic baggage claim) and there are 2 stops. One near the big metal penguin, and another about 100 yards North of there on the same sidewalk. You're looking for a bus that says GO or GOE.
Old 03-23-2015 | 12:27 PM
  #179947  
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dup post....
Old 03-23-2015 | 12:28 PM
  #179948  
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Originally Posted by Purple Drank
thanks, wag!
Whoops. Slow on the draw...
Old 03-23-2015 | 01:11 PM
  #179949  
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Are the 10 757's we are rumored to get going to be for the NBA charter deal?
Old 03-23-2015 | 01:25 PM
  #179950  
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Originally Posted by LeineLodge
Go downstairs (below domestic baggage claim) and there are 2 stops. One near the big metal penguin, and another about 100 yards North of there on the same sidewalk. You're looking for a bus that says GO or GOE.
Thanks Leine!
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