"Tarver Engineering" wrote in message
...

"Ali Hopkins" wrote in message
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"Tarver Engineering" wrote in message
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The Euro tanked, while the pound held above $1.60. If BA made their
purchase at the two euro to the Pound rate, they did very well on the
deal.
AI exists under a complicated interleaved set of money hedges.



What on earth are you talking about. The pound started at, what, 1.70
Euros
equivalence - I bought a stack at that level. Even given good forward
Forex
buying, there is no way that BA could have hedged at two, especially
given
the timing. And it's now at 1.43-ish or thereabouts.

If BA and AI don't have a hedge in place, there will be much less interest
in the airplane deliveries.



I am quite sure that BA do have hedges in place. I am also quite sure that
they aren't at your imaginary rate of 2 Euros to the pound sterling. I doubt
that any forward spot trader would have offered anything close to even the
start rate of 1.70-ish. And, of course, they have already taken substantial
deliveries.

Ali