Malaysia Airlines 'aggressively hedging' on forecast oil will rise to US$70

Malaysia Airlines projects oil prices will increase to about US$70 a barrel toward the end of this year and has aggressive fuel hedging in place as the money-losing carrier seeks to return to profitable operations. “At the moment we are hedged about 65% of the current year at about a little bit north of $60,” CE Peter Bellew said Friday. “We are quite aggressively hedging 12 months ahead on a quarter-to-quarter basis and taking a fairly prudent approach to it.” Malaysia Airlines is projecting a return to what Bellew calls “more consistent profitability” in 2018 following an expected loss this year as it fills a larger portion of seats amid demand from markets leading with China. The ringgit’s depreciation against the dollar since Donald Trump won the US presidential election in November is a big concern for Malaysia Airlines, the CE said. <br/>