Rate Increase - Fuel Prices

[Captain Jay Kavanagh]

Unfourtunately, I must adjust the charter rate up.

I figured our price for 2008 based on a maximum fuel price. We are already above that and we really have not started fishing.

I usually do a pretty good job of estimating fuel costs for the year, but this has really thrown me for a loop.

Our new rate will be $1400 / day.

For everyone that has booked a trip already, I will sail those trips for $1350 but would appreciate a voluntary $50 extra, I feel that we have a contracted price, and will stick to it, but would really appreciate the voluntary rate increase on those already booked trips.

Over 10 years in this business I have developed a really good business model, that helps me determine my costs. This is what I do full time for a living and as a owner operator I must know exactly what I am making in order to provide myself and my recently expanding family with a living wage.

I do look at what other boats are charging and discuss with other captains on my dock, but the bottom line is what my bottom line tells me.

There always will be cheaper and more expensive boats available for charter but I feel what I have to offer is well worth what I charge.

Often, you get what you pay for.

I am a full time professional fisherman, earning my living owning and operating the Bite Me.

The Bite Me is a modern well maintained, clean, big, fast comfortable fishing boat with XM Stereo, heat and AC.

We always have the best tackle money can buy, do not scrimp and save on lures, or bait.

We go where we need to go to catch fish, and fish hard all day every day.

We always encourage our customers to do as much or as little of the fishing stuff as they want to.

Anyway, I hope everyone understands the rate increase and will continue to fish with us.

Thanks.

[Holy Smoke]

Jay,

I am sure almost 99% of charters will understand. I hope you have a great
season

[DOGKILLR]

Hey, I understand thoroughly. It is what it is. I'm in the contracting business and not nearly directly affected by fuel prices as you but know that you can't do a job today for the same as yesterday. You have to roll with the flow or go under. Damn this fuel and the hell with going under. Total respect to you and your straight forwardness. Good luck and may your business flourish.

[hubris 1]

that's a reasonable request. maybe what you guys should do is what the excavators do that i work with. have a set price with a fuel factor.......hope im not pissing in your soup with this. it's $1700 a day plus.....fuel factor of $200. whatever. and like i always say to my mother..........keep $50, get your hair done.

[HeadHunt]

Don't worry about it Jay. Everyone has to raise prices. When someone feels guilty about it, you know their heart is in the right place.

HH

[lazyfatass247]

I believe everyone understands the rate increase, but that goes with out saying can everyone still afford to fish the same way they did last year. As many times. that sort of deal. Bottom line is everyones expense's have gone up every where.

[Sea Draggin]

I just drove down to Atlanta and back. The thought crossed my mind regarding owner operator truckers. They have to be hurting. If you think about, they are sort of the captains of the road.

[freebird2]

Jay I feel your pain I had to go up today myself but I hope everyone will understand.

[Talbot29]

No problem Jay. I'm glad I decided not to run the Got Fish Too? down this summer and charter with you while we're in Hatteras. I just did the math on the trip given the projected cost of fuel and it's insane. Almost 600 miles round trip not counting dockage and fuel for fishing. This is getting nuts. I told my wife and kids we'll be doing more wreck fishing this summer if the price keeps going up.

Good luck and looking forward to the summer.

[z71offshore]

i belive your explanation went over and beyond. I would bet that no one you take out will have a problem with the price adjustment.

good luck this season, I would like to make it up there sometime also for one of your make up trips.