Asian carriers cut fuel hedges due to weakness in fuel prices.

Victoria
By Victoria February 6, 2012 18:22

Asian carriers cut fuel hedges due to weakness in fuel prices.


Asian airlines are pulling back their fuel hedging strategies owing to weak Asian prices of jet fuel in the fourth quarter. Oil price has been depressed due to the European debt crisis and the slip back into recession.

A similar situation was adopted earlier last year as oil prices softened and airlines were content to monitor the markets and adjust their requirements as required. Cathay Pacific is reported to be hedging just 20-30% of its fuel for the first quarter, compared to the 35-40% it hedged last year.

However the freezing weather across Europe may cause heating oil prices to spike and push up crack spreads even with a weaker economic outlook.

 

Meanwhile, problems for Boeing.

 

Boeing has discovered a manufacturing error causing delamination in a fuselage section of some 787 Dreamliners, according to The Seattle Times. The paper has reported that Boeing was inspecting the aircraft already built to determine the extent of the problem.

Boeing said that the unspecified damage resulted from “incorrect shimming performed on support structure on the aft fuselage of some 787s.”

 

 

 

Victoria
By Victoria February 6, 2012 18:22
Write a comment

No Comments

No Comments Yet!

Let me tell You a sad story ! There are no comments yet, but You can be first one to comment this article.

Write a comment

Only <a href="http://www.aviationnews-online.com/wp-login.php?redirect_to=http%3A%2F%2Fwww.aviationnews-online.com%2Fzone-asia-pacific%2Fasian-carriers-cut-fuel-hedges-due-to-weakness-in-fuel-prices%2F"> registered </a> users can comment.