Chap you are mad,hedge loss when fuel is USD 70 and headed back to 60??? triple 7 in the sky what is the load factor?

Kausha,

Don't embarrass me. I've even 'allowed' you to google fuel prices trends in the last 6 months!!

Don't say you were never told!!

Kausha,talking of KQ's loss,man dat was comprehensively discussed here at SK,just do a search n get uaself taught! I cant repeat all dat stuff! Any oil price above da price wen da results were declared means a positive entry into Kq's book! I probably got the report before yu!

The chief value of money lies in the fact that one lives in a world in which it is overestimated.

itz and mcrege

I can see you two are brainwashed kq staffers. Itz i can lecture you on airlines including boeing and airbus operations! KQ is not the first airline to hedge fuel,previously,managent went around gloating how they had saved money and created shareholder value by puting in place good fuel hedges. So i wonder why you buy into that rubbish on current hedges being bad luck? I told you management and BOD of airlines have a few key KPI's among these are fly sound planes and ensure safe,timely and comfortable flights for passengers,contain the cost of fuels using any tools available and lastly create shareholder wealth. So go figure.....and your very makaratas article written by some lazy and ill schooled journo is not worth reading...

What you are telling me is that Adan and his BOD should go and tell their shareholders that they made losses lending due to huge provisions made which they had no control off because their otherwise great custos suffered from the downturn of the economy and couldn't make good their repayments. What do you think would happen to the whole lot of them?

You two are being mentally lazy by excusing Kq management's f*** ups. A few years ago the then SAA CEO and BOD had to walk for having hedged the rand against the $ a few years earlier and the hedge having gone bad costing the airline a write of ZAR 5 billion......airlines are involved in hedging fuel. Its part of their job. Large agric exporters in the country are always required to hedge receivables currency,produce price at times. NMG hedges its newspaper print as well. So KQ is not the first company to use derivatives..look fuel will close below $65 next year so don't expect the hedge losses booked to unwind....fuel will remain range bound around $65 for a couple of years and woe unto you if it dips below $60 coz it just means more losses being recognized. That nonsensical optimism is what led your BOD to go putting in place mediocre hedges above $110. Please answer this,tell us how many airlines hedged fuel above $110.