Qantas hedges 100 percent of fuel costs

MELBOURNE, Jan 19 (Reuters) – Top Australian airline Qantas Airways Ltd. has hedged all of its fuel costs for the rest of this financial year at US$55 a barrel, the Australian Financial Review reported on Thursday.

“We’ve locked in our crude fuel prices for the fiscal year ending June 2006 at $55 a barrel,” Qantas Chief Financial Officer Peter Gregg was quoted as saying in the newspaper. Even with the improved hedging, the airline still expects its jet fuel prices to be between A$350 million and A$450 million ($261 million and $336 million) higher this year than last year.
Even with the improved hedging, the airline still expects its jet fuel prices to be between A$350 million and A$450 million ($261 million and $336 million) higher this year than last year.

Oil prices rose to just under $67 a barrel CLc1 this week, their highest level since September.

Reuters