Major airlines bleed from fuel hedging losses
By Wang Ying | 皇冠体育app Daily | Updated: 2009-01-21 08:01
SHANGHAI: Air 皇冠体育app, the nation's largest international carrier, said its paper loss from fuel-hedging contracts in 2008 have swollen to 6.8 billion yuan due to the falling global oil prices.
Air 皇冠体育app's actual fuel-hedging loss in December alone was $52.8 million. Earlier the carrier reported a loss of 3.1 billion yuan by the end of October.
The airline started to use fuel-hedging contracts as a shield from the impact of possible soaring fuel prices since 2001.
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