QAN 0.17% $6.02 qantas airways limited

I would be interested in learning more about how they hedge fuel...

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    I would be interested in learning more about how they hedge fuel costs.

    Would it be say a 12 month contract that stipulates a certain price or is it done through futures. If it was done through futures and the cost of fuel is now substantially lower then I imagine the seller of the future will 100% exercise. Which means unless Qantas can somehow found a speculator willing to take the contract off their hands (unlikely given the size I imagine) they might be locked in at a certain price for awhile.

    Hopefully they are being smart and buying up futures contracts at these lower prices.
 
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