Latest news and updates from the AirwaySim's Online Airline Game.
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A new feature has been just added to all running game worlds: Fuel hedging.
Fuel hedging is a contractual tool that can be used to reduce the exposure to volatile and potentially rising fuel costs. A fuel hedge contract allows the airline to establish a fixed and known fuel cost base for the future, and may this way protect the airline from high fuel costs or otherwise just help in budgeting the expenses for the future when costs are known.Fuel hedge can save you money when fuel prices are on the rise, or you may also loose money if you bet at the wrong time. If the company takes a fuel hedge and the price of fuel declines, the company will effectively be forced to pay an above-market rate for fuel. And vice-versa, if the fuel price increases the company is winning compared to paying standard market prices of the fuel.In AirwaySim fuel hedging system is simplified, and the airline owner has the ability to "lock in" the present daily market fuel price for a period of 1-12 months to the future by agreeing to pay a commission (1-8%) to the fuel broker. Once the contract has been signed it cannot be cancelled and it continues to run until the due date. When contract is nearing it's end it can be re-negotiated with the terms of that day.
Please see more about the feature from manual: http://www.airwaysim.com/game/Manual/Office/Fuel/