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Author Topic: Fuel question!  (Read 361 times)

Offline MartinaTorres

  • Members
  • Posts: 26
Fuel question!
« on: August 05, 2013, 06:49:13 PM »
If i have bought fuel hedges should i still have a contract with a company or should i terminated? This has caused my company to not earn a lot of profit!!Need help

exchlbg

  • Former member
Re: Fuel question!
« Reply #1 on: August 05, 2013, 07:32:27 PM »
Your company suffers under a lot more lost revenue than that of the fuel contract. Fuel contracts only pay off, if the savings of half the fuel of your fleet (namely that at the home base station) saves more money than contract fees cost you.
Fuel hedges are valid for all stations and it is the base prize for the contract deductions at home. Same rule for contract applies.
Your fleet commonality is the biggest factor for losses, though. Itīs recommended many times throughout forums and beginner tips to keep your fleet lean as possible, because with every new airplane family you use, you skyrocket the costs for all.Also use of your fleet could use a second look upon: Flying it only 12 hrs. a day average is way too much standing around on tarmac.
Your punctuality is very bad, that hits your CI. I suppose you didnīt control all turn-around-times and didnīt schedule them at values with small risks for delays abroad AND at home.
There are potentials of saving litterally millions of dollars only by correcting your biggest faults.

 

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