It is a shame that Tony Tyler doesn't explain what he means by "Mark to Market". I suggest you have a look at google. You will see it has a wide meaning and I suppose one has to guess exactly what he means (maybe thats the idea
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My best guess is the Accounting Rules CX operate under require them to do a snapshot at a given date of the value of their forward cover on oil. So on their balance date 31st December (I think) they will compare the prices of all their forward cover against the closing price of oil. For example, if you have a forward contract to buy 1000 barrels of oil in Jun 09 at $100 and oil closed at $40 you record a loss $60,000. That doesn't mean $60,000 is taken out of your bank account. It is a pure accounting non-cash event driven by the desire to be conservative. Strangely, this is recorded against revenue generated in 2008, but the contracts all mature in 2009 and 2010.
Obviously, if oil rises again these contracts become valuable (you can sell them if you don't want the oil). It is also worth remembering that CX will have sold airfares and Cargo Contracts back in mid-08 and they will be costed on (hopefully) high value oil; these oil futures remove an element of risk.
I note the CX share price didn't do much today so the market probably has a good handle on it. For those with Foreign Currency mortgages, you can do a similiar calculation. A lucky few, will smile. The rest will be staring at some ugly figures. However, either way, it doesn't mean that much as it is just a snapshot in time and can change rather rapidly.
Before the conspiracy theorists run riot: CX probably has little say in the Accounting Rules; these will be set by the Stock Exchanges (operating under strict (ish) government control) of not only HK, but the UK as the parent company Swire is also listed in the UK....
Before you flame me... guys do degrees in this stuff and all the above is my best guess