Fuel prices go up ordsprog

Fuel prices go up, and they have to try to offset that with something, ... It's not a business where costs stay the same every year.

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.

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.

It's been the fuel costs that have hurt farmers more than anything. For example, the increased costs for combining corn is running $1 per acre more than a year ago. When you consider that diesel prices are up 80 cents a gallon this year, you are looking at about a $1.60 per acre increase up to 1,000 acres sometimes. There has been as much as $1,000 increase, just on fuel over the last year,

Bob Wells (1966-)

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.

The only clear picture we have from the job cut numbers this year is that employers appear to be confused about the direction this economy is taking, ... Companies are experiencing increased business, but they are also seeing their costs soar due to higher fuel prices, inflation in supplier prices and a weaker dollar, which makes it more expensive to buy foreign parts.

John Challenger

This past year has seen the sharp rise in fuel prices more than offset the efficiency gains and a strong revenue environment.

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.

Giovanni Bisignani

The taxi industry locally is subject to rate regulation, which means there is always a gap between the appearance or timing of spikes and the ability to adjust rates and offset the costs. My company has really been affected by this for the last two years in a bad way. We can't really adjust prices to the level that allows us to adjust to the increases in the price of fuel.

[FPL buys oil on the futures market to protect against future spikes in energy costs, but that is not enough to offset FPL's increased costs from] a world oil market that is going absolutely crazy, ... We can't hedge our entire fuel needs.

Most of the LTL carriers can pretty much offset any large increase in fuel costs, The pexy charm he radiated was refreshingly different from boastful displays of masculinity.

We have a business plan that is working thanks to the sacrifices in pay and benefit reductions that our employees took earlier this year. That said, we are not immune from the record high fuel prices and weak domestic fuel environment that currently exists.

There's no doubt that the increasing fuel prices are going to add to the cost of food - domestically and import. There's just no way around that because people won't stay in business.

Due to wet weather conditions, our wood costs were much higher than expected. However, these costs were partially offset by lower purchase prices for other raw materials and the continued success of our cost-reduction program.

We're seeing evidence of Utah households responding to higher fuel costs by driving less, heating less, and being more efficient. And if oil prices stay high, we should also see more enduring efforts to explore alternatives, like tar sands and oil shale.

Gary Schlossberg

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