Fuel
Air China CFO wants simpler fuel hedges; other airlines remain unhedged
Air China will seek simpler hedging strategies when its current contracts expire. Meanwhile, other airlines in Asia are taking differing approaches to hedging, with some risking big profit losses by staying completely unhedged.
El Al enhances risk management and hedging operations
Israel’s national airline tightens up on the way it hedges jet fuel risk and currency movements
Malaysian Airlines cuts hedging programme
Malaysian Airlines (MAS) reduced its jet fuel hedging capacity amid uncertain price movements
Aviation bears brunt of fuel price gyrations and new rules
The price volatility seen in energy markets in recent years has had a big impact on the bottom line of many airlines, both in the form of higher prices as well as hedging losses. Pauline McCallion speaks to industry participants about the outlook for…
Commodity markets face hedging activity boost
With commodity market conditions seemingly ripe for consumer hedging, Lianna Brinded looks at whether there has been a recent uptick in consumer hedging activity
Energy sector awaits regulatory clarity
Energy companies are looking to the Commodity Futures Trading Commission (CFTC) for more clues about the future regulatory landscape after the US Congress set the stage last week for a wide-ranging overhaul of derivatives regulation
OTC reform could strengthen support for energy position limits
The debate over derivatives regulation could provide momentum for the Commodity Futures Trading Commission (CFTC) to impose position limits on energy trading proposed in January.
Obama launches new offshore drilling plan
In a joint announcement yesterday, US President Barack Obama and secretary of the interior Ken Salazar disclosed further details of efforts to strengthen energy security.
Airlines use aircraft as alternative to cash in margin calls
Airlines with fleets of unencumbered aircraft are starting to use them instead of cash as collateral required for large margin calls in derivatives trades, such as fuel hedges.
Sovereign hedging lessons
The big oil-hedging losses at Sri Lankan state-owned refiner Ceylon Petroleum Corporation provide another salutary lesson in the proper use of derivatives. Is the situation reflective of state-owned energy companies as a group? By Joe Marsh
Flight plan
British Airways' Group treasurer, George Stinnes, talks to Alexander Campbell
Dubai plans to develop first exchange-traded jet fuel futures contract
The Dubai Mercantile Exchange (DME) and Emirates National Oil Company (ENOC) plan to jointly develop the first exchange-traded jet fuel futures contract.
Operational and market risks of a regulated power utility
Victor Dvortsov and Ken Dragoon present an analytical method for including market and operational risks when estimating utility portfolio value-at-risk.
Hedge out on the highway
US haulage firms seem to be making little use of risk management tools to mitigate high fuel prices. But parcel carriers are taking the initiative, finds Kevin Foster