Fuel-Price Risk Management Program Extended

Going for­ward, the Com­pa­ny intends to hedge approx­i­mate­ly 60% of its domes­tic fuel-price-relat­ed earn­ings expo­sure in every quar­ter on a rolling basis.

The instru­ments are designed to enhance the vis­i­bil­i­ty and pre­dictabil­i­ty of the Company’s future earn­ings. The pro­gram uses instru­ments that cre­ate a “cost­less col­lar” based upon both the U.S. Depart­ment of Energy’s week­ly diesel fuel price index and NYMEX unlead­ed gaso­line con­tracts.

The Feb­ru­ary pur­chase locked in a fuel price range of approx­i­mate­ly $3.39 to $3.45 per gal­lon.

The fol­low­ing table states the approx­i­mate range of the col­lar and per­cent­age of fuel-price-relat­ed earn­ings expo­sure:

Q1 Q2 Q3 Q4 Q1 Q2 Q3
2014 2014 2014 2014 2015 2015 2015
Aver­age low end of range $3.38 $3.36 $3.37 $3.34 $3.34 $3.36 $3.39
Aver­age top end of range $3.44 $3.42 $3.43 $3.40 $3.40 $3.42 $3.45
Approx­i­mate % locked in 60% 60% 60% 60% 60% 40% 20%


For more infor­ma­tion about WEX, please vis­it http://www.wexinc.com.



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