TIL Delta Airlines owns an oil refinery that saves it costs on jet fuel: ▫️in 2012, bought Pennsylvania-based refiner from ConocoPhillips for $150m (and spent $100m to upgrade) ▫️fuel is 20-30% of operating cost and the investment paid back within 5 years (Delta’s subsidiary is called Monroe Energy) ▫️only airline in America to own a refinery ▫️as of 2026, none of the major US airlines are hedging oil prices…had been unprofitable to do so and now just pass prices on to customers ▫️refines 200k barrels a day…half for jet fuel (rest is gas and diesel, which it then sells to buy or trades for more jet fuel) ▫️supplies 75%+ of Delta’s domestic fuel needs ▫️refinery business is still cyclical and Delta bet has taken some Ls (eg. during COVID, it lost $140m just in Q2 2020) ▫️Delta briefly considered selling operation ▫️Refinery booming again in recent years: sales of $5B in 2025 (~8% of Delta’s total sales) and saved 4 cents a gallon on jet fuel (~$100m cost savings) ▫️of refined products, jet fuel is highest margin and year round demand (gas in most demand summer driving season; diesel in fall and winter) ▫️ now, crack spread on jet fuel (price difference oil vs. refined products) has shot up since Iran war and refining operation in solid position on that front for foreseeable future *** AJC: ajc.com/business/2026/03/does-...… NYT article from 2020: nytimes.com/2020/08/10/busines...…