I think ronnang is probably on the money - no pun intended! For awhile there on the front end of the gas price run-up, stores and food producers were behind as they kept prices level even as their costs - and gas costs - went up. They finally had to raise their prices but probably never really got caught up from the front end months when they lost money. It's entirely possible that they locked in some commodity purchases at prices that are now considered high, but they have to pay those costs for a set period of time and would take a loss if they reduced their prices.

Ironically, Southwest Airlines had locked in a fuel price when oil was at $70 barrel, and that meant that when it was going for $140 for everyone else, they were getting a sweet deal on their fuel. Now, however, oil has dipped as low as the upper $40's and that $70 isn't such a hot price... but they are probably locked into buying a certain volume at that amount for a contracted period of time and will have to bite the bullet and pay it or pay a settlement and re-work their contracts.

In other words...it takes awhile for the end-user to see a price change.

Gas in Independence, MO, was $1.35/gallon this week!