Tag Archives: Risk

Buying weather contracts to support retail promotions

A BloombergBusinessweek article (Sept 5, 2011) article on weather related risk management describes a retail promotion by a parka manufacturer, Weatherproof Garment, that promised promised Macy’s credit card customers reimbursement of the cost of parkas if weather was freezing on … Continue reading

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Are manufacturers that hedge against risks more risky ?

A Wall Street Journal article (April 13, 2011) describes the worries of manufacturers, such as Caterpillar, Ford, Boeing etc that use hedging instruments to decrease risk. Their concern is whether their banks could now require them to back up any … Continue reading

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Commodity Trader Glencore’s role in the global supply chain

An article in the International Herald Tribune (February 27, 2011) describes the role of Glencore, a commodity trading company. Glencore provides raw materials supply to OEMs (ArcelorMittal, Sony, Chevron etc) from raw materials suppliers, managing the risk of weather, price … Continue reading

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