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Gold/Mining/Energy : Strictly: Drilling and oil-field services -- Ignore unavailable to you. Want to Upgrade?

To: marc chatman who wrote (15862)	3/22/1998 12:20:00 PM
From: Sam Citron	Read Replies (2) \| Respond to of 95453

Don't be so quick to short the airlines. Though fuel costs account for between 10 and 15% of total revenues, the airlines are doing a much better job of making money. Their computers are able to tell them exactly how much discounting is necessary to fill the plane. And they are not expanding capacity as quickly as previously. Just as lower fuel prices don't spell doom for the drillers or oil-service companies, neither does $15 oil spell doom for the airlines. Just take a look at how much free cash flow AMR is generating. Besides, long airline stocks are a nice hedge for an energy portfolio. If airlines swoon on Monday, I will be a buyer. SC