US Airways Reductions with Mesa

Yeah, sounds like an excellent idea to hedge now BUUUUUUUTTTTTT the oil co's have to be WILLING to sell fuel futures to airlines. Now, we have seen oil go up to over $100 from where it is now and it is pretty much assumed it will one day go back that high. How many oil co's do you think will be willing to loose their shirts by allowing airlines to purchase fuel at such low prices now knowing they will go up in the not so distant future?
 
wheelsup said:
WTF not? It's the lowest it's been in years, and the risk of it dropping is significantly lower than the risk of it increasing. This is why airlines don't make money!! :banghead:
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Well you have to keep in mind too when hedging, and I just learned this, its not based on todays price. You normally hedge a year into the future etc according to Parkers last message. He basically said that right now they'd get into a hedge it would be based on what they think oil is GOING to be in the future. Right now the price is so low why would they want to hedge for the future if right now they are getting it much cheaper. Its an interesting video clib on the hub. Take a look. I am very ignorant when it comes to this stuff but it makes sense after listening to that video recording.
 
Was watching the video of the report again by Parker. Spoke on Mesa and Chap 11 a little. However he basically said USairways flying is the most profitable for Mesa. And that he does not forsee Mesa going anywhere and also does not see their flying being taken away from the USairways system to ANYONE. Again take it for what its worth.
 
meyers9163 said:
Was watching the video of the report again by Parker. Spoke on Mesa and Chap 11 a little. However he basically said USairways flying is the most profitable for Mesa. And that he does not forsee Mesa going anywhere and also does not see their flying being taken away from the USairways system to ANYONE. Again take it for what its worth.
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I thought UAL was the most profitable one as of now.

(But then again GLenn Tilton being UAL's CEO)
 
JaceTheAce said:
What's this about the possibility of US Airways eliminating Mesa's Dash operation?

http://www.aviationnews.net/?do=headline&news_ID=163255



Another article about reductions:
http://uk.reuters.com/article/rbssIndustryMaterialsUtilitiesNews/idUKN1338197120090113
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The statement was made in a SEC filing. It probably in conjuncton with a "forward looking statement". Foward looking statements, are usually coupled with disclaimers about events that have the potential to materially harm the business. Such as "we may not be able to market our products successfully or we may lose a contract or (:sarcasm: a asteroid may hit our factory)." Basically it is management covering their backsides against SEC action and as a defense against shareholder lawsuits.
 
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