Fuel hedging played key role in Etihad profit

Etihad has defended its extensive use of fuel hedging as part of its cost control measures that led to the airline yesterday declaring its first profit.

Speaking at a press conference. Etihad’s chief financial officer James Rigney (pictured above),said more than 80 per cent of fuel costs were hedged in 2011, while the figure for 2012 is currently 75 per cent.

“We have all worked for airlines that got hit by rising fuel prices. Fuel costs equated to 35% of our total costs last year”  Rigney, said. “If we hadn’t hedged, it wuld have been 45%.”

CEO James Hogan made a point of thanking the airline’s staff the staff for their extraordinary efforts. To achieve the financial goals.

“This has been an incredible journey to profitability, achieved just eight years after Etihad Airways was launched, supported by the efforts of an outstanding team of 9,000 employees,” he said
 

At the end of 2011, the company had 9,038 employees, up 15.1 per cent on 2010 (7,855), with more than 120 nationalities represented.  Etihad Airways’ successful Emiratisation scheme continued, with Emiratis now making up 18 per cent of the headquarters workforce.

“Together, we have created the world’s leading airline, widely acclaimed for its best-in-class service,” Hogan said..

Article Source : Arabian Aerospace