Fuel remains a challenge gezegde

 Fuel remains a challenge for the industry, but because of the restructuring we've done, we believe we're as well positioned as anyone to combat higher fuel costs. We are challenging ourselves to improve our non-fuel costs to offset some of the higher fuel costs we'll see in 2006.

 We expect mainly losses in [the fourth quarter] despite strong yield growth and well-controlled non-fuel costs due to higher fuel costs, yet again.

 Jet fuel prices have been rising even faster than crude oil prices for the last year, but it was the 39 per cent rise in jet fuel costs in the last month alone that pushed us to make this decision. We have made incredible progress in lowering our operational costs for over two years now. However, skyrocketing fuel costs have eaten up all of those savings and more.

 We have tremendous concerns in three areas: transportation, because of rising fuel costs; utilities, because of rising fuel costs; and increases in health care costs. We could have given teachers a 7 percent pay raise instead of taking those things away. We could have hired more of those teachers at a higher salary.

 I think the street overreacted to fuel costs and Y2K. But this is not to say that estimates won't come down for the first quarter. Fuel prices are even higher now and it's very difficult in short term for carriers to control that cost.

 Oil remains the wild card for industry profitability. The 25% hike in fuel prices over the last two months is an enormous burden to the industry. However, the S$ 1.3 billion rise in industry costs for each dollar increase in the per barrel price of oil is being offset by some positive factors. Industry hedging levels are 50%. Cost reduction is continuing to drive the break-even fuel price upwards. And the US domestic yield rose 12.4% in February.

 Over the long run, if costs of fuel stay high or go higher, then the higher costs will be reflected at retail (level),

 Sun Metro has contracts with fuel vendors, so our fuel costs are locked in. Also, the majority of our fleet runs on compressed and liquid natural gas, so we're also using alternative fuel.

 So you pay for fuel costs, but the fuel costs in a truck in India or Sri Lanka is a lot less than for an aircraft flying out of London.

 Key to American's and the broader sector's future performance will be the industry's ability to raise prices and offset higher fuel costs, which is a function of capacity, in our view.

 While masked by the high cost of fuel, our restructuring initiatives have begun to produce tangible results this quarter in the form of increased unit revenue and lower mainline non-fuel costs.

 It takes fuel to create electricity. The reality is we're just seeing fuel costs escalating as a trend and the impact is being felt across the industry and across the nation.

 They'll try to pick a time when the price is relatively low to buy fuel and fertilizer. Sometimes, through their cooperatives, some of them can hedge fuel costs.

 We're allowed by the PUC to change the fuel factor on customers' bills to reflect those projected fuel costs.

 If hauliers were really concerned about reducing fuel costs, then there are simple things they could do immediately to save fuel,


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Denna sidan visar ordspråk som liknar "Fuel remains a challenge for the industry, but because of the restructuring we've done, we believe we're as well positioned as anyone to combat higher fuel costs. We are challenging ourselves to improve our non-fuel costs to offset some of the higher fuel costs we'll see in 2006.".


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Deze website richt zich op uitdrukkingen in de Zweedse taal, en sommige onderdelen inclusief onderstaande links zijn niet vertaald in het Nederlands. Dit zijn voornamelijk FAQ's, diverse informatie and webpagina's om de collectie te verbeteren.



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