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Fuel Hedging Programs

Products:

PAPCO provides value-added service through guaranteed supply and risk management programs.

The above chart shows the volatility of distillate prices. Future prices are subject to significant change and upside limits are unpredictable.

Hedging is the reduction of risk with respect to ordinary property held or to be held. It should be viewed as insurance and not as a money making program.

Hedging benefits include:

  • Helps companies perform as planned within budget
  • Stabilizes cash flow and enables management to measure performance

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