@guru - That is a tough one... to hedge or not to hedge... I know the feeling but even I have been caught on the wrong foot when I did not hedge a US$ position I had taken on a business deal...
As for the operations, I think KQ will do very well... As usual the unions will protest... I think KQ lost a golden opportunity to fire all the staff during the strike 8 months ago...
KQ should have fired all the cabin crew... taken the hit... and re-hired new (or those willing to work) coz the airline market was 'soft' at the time...
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett