Thursday, January 08, 2009

China Southern gains US$6 mln from fuel hedging contracts

China Southern Airlines Co<600029><1055>, the largest airline by fleet size in the country, earned approximately US$6 million from jet fuel hedging contracts, the local magazine Caijing reported, citing an unnamed company source.

The company has settled all hedging contracts in September due to the weakening oil prices, said the source, without providing detailed information on the period covered by the settled contracts.

In contrast, other major carriers in the country, such as China Eastern Airlines<600115><670>, recorded heavy losses from the settlement of such contracts due to the volatile oil prices.

A-shares of China Southern edged up 0.88% to close at RMB 3.42 on Wednesday, while its H-shares climbed 3.55% to HK$1.46.

No comments:

Enter your email address:

Delivered by FeedBurner