How to run an airline - Buy a refinery

Delta Air Lines, the second-biggest carrier in the world, will purchase an oil refinery operation in Pennsylvania for about $150m in a bold move to tackle escalating fuel costs.

Airlines have long been at the mercy of volatile fuel prices, which make up about one-third of their expenses, but for the most part they have responded by using financial tools, such as hedging contracts, to lock in prices or by cutting capacity to control costs ... READ MORE

Released by the Financial Times - 30 April 2012