Airline Weekly Lounge Episode 2: Postcards from the Hedge

Airline Weekly Lounge Episode 2: Postcards from the Hedge

Author: Skift July 29, 2015 Duration: 23:24
American Airlines doesn’t hedge its jet fuel, and now it’s enjoying the fruits of that somewhat contrarian strategy. Is AA onto something here? Is fuel hedging a smart play? Will other airlines mimic AA and reject hedging altogether? Those are some of the questions I ask Seth Kaplan in our second episode of The Airline Weekly Lounge. Also, while AA was on the right side of the fuel hedge bet, Air France/KLM was on the wrong side. The company was also on the wrong side of the euro-dollar bet and those two forces combined to further punish the already-limping airline pair. Back in America, Spirit Airlines had a great quarter by its own standards—but mediocre by its standards. Part of its difficulty was due to a softening revenue picture. Is such heated competition in the U.S. a surprise so soon after consolidation and with high oil prices such a recent memory? Lastly, we discuss WestJet, the subject of this week’s Airline Weekly’s cover story. The Canadian airline is clearly not afraid to changes its business model. We look at WestJet’s endeavors and more in this week’s episode.

Step inside the Airline Weekly Lounge, a podcast from Skift where the editors behind the industry publication gather for a deeper, more conversational look at the world of commercial flight. This isn't just a recap of headlines; it's a focused exploration of the complex forces shaping how airlines operate, compete, and ultimately survive. Each episode digs into the week's most intriguing developments, from fleet strategies and route networks to labor dynamics and the evolving culture of travel, always with a keen eye on the bottom line. The central, driving question remains: how do carriers actually turn a profit in this famously volatile business? You'll hear analysis that connects financial results to real-world operations, discussing everything from premium cabin innovations and loyalty program economics to airport politics and environmental pressures. The tone is informed and accessible, peeling back the layers on both major global network carriers and regional players. For anyone curious about the business realities behind their boarding pass, this podcast offers a regular dose of context and clarity, revealing the intricate balance of economics, service, and strategy that keeps the industry aloft. Join the editors in the lounge for a perspective that goes beyond the news cycle.
Author: Language: English Episodes: 423

Airline Weekly Lounge
Podcast Episodes
British Airways is a Profit Machine [not-audio_url] [/not-audio_url]

Duration: 47:52
In this week's episode, Gordon and Jay discuss the latest financial results and operational strategies of British Airways and Qantas. They delve into British Airways' impressive earnings, particularly in the North Atlant…
Is India the World's Hottest Airline Market? [not-audio_url] [/not-audio_url]

Duration: 43:21
This week hosts Gordon Smith and Jay Shabat discuss the upcoming Skift India Forum, focusing on major airline players like Air India and Indigo. They explore Singapore Airlines' strategic investment in Air India and the…
Is Southwest Airlines Losing its Magic? [not-audio_url] [/not-audio_url]

Duration: 35:53
In this week's episode, Gordon Smith is joined by Airline Weekly's Jay Shabat and Skift airlines reporter Meghna Maharishi. Part one is focused on the big picture trends as U.S. earnings season draws to a close. In part…
Breaking Down Japan Airlines and British Airways [not-audio_url] [/not-audio_url]

Duration: 37:59
In this episode of the Airline Weekly Lounge, hosts Gordon Smith and Jay Shabat delve into the current state of Japan Airlines and British Airways. They explore Japan Airlines' historical performance, recent financial tr…
What a Frontier-Spirit Merger Means for Air Travel [not-audio_url] [/not-audio_url]

Duration: 34:34
In this episode of the Airline Weekly Lounge, hosts Gordon Smith and Jay Shabat delve into the potential merger between Frontier Airlines and Spirit Airlines. They discuss the historical context of their relationship, th…
Breeze Airways' Big Break: A ULCC Finally Profits [not-audio_url] [/not-audio_url]

Duration: 26:11
Note: This episode was recorded prior to the American Eagle collision with a military helicopter on January 29, 2025. In this episode of the Airline Weekly Lounge, hosts Jay Shabat and Meghna Maharishi analyze the financ…
Setting the Scene for a Brazilian Airline Mega-Merger [not-audio_url] [/not-audio_url]

Duration: 39:10
In this episode of the Airline Weekly Lounge, hosts Gordon Smith and Jay Shabbat discuss significant developments in the airline industry, focusing on a potential mega merger in Brazil involving Azul and Gol, and the acq…
Why Egypt Is an Airline Market Worth Watching [not-audio_url] [/not-audio_url]

Duration: 32:35
In this episode, Gordon and Jay discuss the current state of the Egyptian aviation scene, highlighting the booming tourism sector despite regional unrest. They explore the factors contributing to Egypt's tourism success,…
The U.S. Airlines Growing and Shrinking in 2025 [not-audio_url] [/not-audio_url]

Duration: 32:02
Gordon Smith and Jay Shabat crunch the big numbers to reveal which U.S. carriers are in expansion mode in the first quarter of 2025 and which operators are shrinking year-on-year. Takeaways The US airline industry is see…
What Does 2025 Mean for the Airline Industry? [not-audio_url] [/not-audio_url]

Duration: 31:19
In this week’s episode, Gordon Smith and Jay Shabat turn their attention to the year ahead. Going region-by-region, the pair share the emerging stories that are on their radar for 2025 and beyond. Connect with Airline W…