The parent Delta owns an airline and refinery and a few other things. The refinery is making money and the airline is hurting. The refinery sells it fuel for market price to all comers. Giving Delta Airlines a cheap price just keeps the refinery from making as much money as it could while the airline makes more money than it should.
Owning a refinery is simply a hedge on fuel prices. It could have been done with financial instruments but that would have hurt profits. The refinery has been a mediocre investment as are most refineries.
The refinery has been a mediocre investment as are most refineries.>> It’s in my back yard and that is true and the industry is over regulated. They can’t do incremental upgrades, all or nothing. And it is a tidy property to boot. You would think it was a garden plot when you go by.