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[quote user="CMStPnP"] [quote user="Sam1"] In the case of the the Texas Eagle, for example, Amtrak has the fuel costs. The Eagle is fueled in Chicago and Fort Worth. At Fort Worth the fuel is delivered by an independent contractor. He gets paid by presenting fuel tickets to Amtrak for payment. The fuel tickets contain the number of gallons delivered and the cost per gallon. Whether Amtrak uses these tickets to check its fuel use formula is unknown, but the tickets for the Eagle, as well as other contractor fueled trains, gives it the ability to do so. Again, without access to Amtrak's books, any conclusion about how it allocates shared costs (expenses) is speculative.  For the most part I don't go there.  I rely on what Amtrak shows in its published reports [/quote] Another area of missed opportunity, why doesn't Amtrak arbitrage it's fuel costs like the airlines do to reduce costs.      Interesting they would buy from a contractor instead of the same firm........cross country through a negotiated rate. [/quote] As per Page 13 of the 2012 Amtrak Financials, which are extracted from the 2012 Amtrak Annual Report, Amtrak periodically enters into limited derivative fuel contracts to manage the fluctuation in energy prices. Whether the contracts are futures or forwards is unclear.  But the purpose is the same. Only the method of engagement is different. As of September 30, 2101 Amtrak had four fuel derivative contracts.  The fair value of the contracts at September 30, 2012 was $10.4 million vs. $16.4 million at the end of FY11. The contracts probably were for the fuel at Amtrak's major service hubs, i.e. Los Angeles, Chicago, Miami, Washington, etc.   I have seen the Texas Eagle being refueled at Fort Worth.  I have also seen the Southwest Chief being refueled in Albuquerque. The fuel was being provided by contract haulers as per the signs on the side of the trucks.
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