Southwest Air, Helped by Fuel Hedge, Still Fights Higher Bills, Kelly Says

(Bloomberg) -- Southwest Airlines Co., the most
profitable U.S. carrier, is wrestling with a rising fuel bill
even after hedging 90 percent of its 2007 needs at below-market
rates, Chief Executive Officer Gary Kelly said.

``The biggest struggle that we've had is energy cost,''
Kelly said yesterday in an interview in New York. ``We're very
well hedged, but even with that our energy prices have gone up
every single year.''


Read more at Bloomberg Exclusive News