Eric Johnson

So I would also think about it like diesel has gone up much more than the regular petrol that we put in our cars.

That's right.

So currently Virgin is winning on the hedging.

However, it's paid up big for that.

And these hedge contracts, they roll over constantly and they will run out eventually in a couple of months.

Some of these really beneficial hedging contracts.

If the crisis is over within one or two months, who knows?

Absolutely, who knows?

Then Virgin comes out a winner on this.

If not, then it feels the same extent.

Now, with hedging, it locks in a future price for fuel, a long-term price of fuel.

Really interesting.

Australian airlines have been really big on this, so have European airlines.

And what it does, it allows them just to, they usually do it as well as to remove volatility, but just to put in some predictability about their operations.

Fuel, as we said, is their single biggest expense.

So at least they have some sort of predictability.

It essentially buys them time.

They can think, all right, we're going to have this much cost base in coming months.

We can adjust our ticket prices accordingly.

Well, look, there's actually Australian corporate history.