Delta Air Lines CEO, Richard Anderson, and AirTran CEO, Bob Fornaro, expressed support for US Senator Blanche Lincoln's proposed legislation to regulate derivatives (eTurboNews, 21-Apr-2010). Mr Anderson stated that the oil price bubble in 2007-08 "led directly to a 10% reduction in Delta's capacity and the elimination of nearly 10,000 jobs". He added that there is now "a little more incentive to do something". He stated the proposed changes to improve transparency and oversight of derivatives trading and commodities would be "a big benefit to the airline industry", adding, "it's very important for managers of a business to understand where all the variables are, and right now we've got the trading desks of these New York banks controlling the volatility of these costs".
23-Apr-2010 11:45 AM