CitationShares v-p of flight operations and chief pilot J.D. Witzig on Tuesday confirmed that the fractional provider will raise its pilot wages as of January 1. These higher wages will raise the bar above what the NetJets pilots negotiated in the contract they ratified last month, meaning that CitationShares pilots will become the best-paid in the fractional industry.
NetJets chairman and CEO Richard Santulli announced that long-time business aviation leader Jim Christiansen “will be assuming the position of president of NetJets Aviation,” in Columbus, Ohio. Santulli said, “With Jim's depth of experience, there is no one who knows our business better.” The position has been unfilled since Bill Boisture resigned in January 2006 after joining the fractional operator in October 2003.
Bill Boisture, 59, yesterday resigned as president of NetJets Aviation, a position he held since joining the fractional provider in October 2003. Boisture, who recently formed W. Boisture & Associates, has been retained by NetJets as a consultant to “support and assist the company on several strategic projects.” During his two-year tenure he was the company’s front-line negotiator with the pilot and flight attendant unions.
Reporting today on its year-end results, Raytheon said that Raytheon Aircraft delivered 255 turbine business airplanes last year (141 jets and 114 King Airs) compared with 219 (115 jets and 104 King Airs) in 2004. This was an increase of 16.4 percent year over year, just short of Raytheon’s revised forecast of 267 turbine business airplanes.
The major U.S. fractional providers appear to be poised for growth this year, if estimates of pilot hiring and aircraft delivery intake are accurate. NetJets recently said it plans to hire 450 pilots this year, and New York-based analyst UBS Investment Research predicts that the New Jersey-based fractional provider will take delivery of 76 business jets by year-end.
Berkshire Hathaway chairman Warren Buffett, in his latest annual letter to shareholders issued Saturday, said the company’s flight services division–FlightSafety and NetJets–reported $120 million in pre-tax earnings versus $191 million in 2004. According to Buffett, “Earnings improved at FlightSafety as corporate aviation continued its rebound…[but] operating results at NetJets were a different story.
A little over two years after joining NetJets as president, Bill Boisture Jr. resigned from his position and formed W. Boisture & Associates. Immediately thereafter, he announced he would be retained as a consultant to NetJets under a long-term agreement. About five months later, he joined The Carlyle Group as senior advisor.
It has been a long road for Raytheon Aircraft, but on November 21 the Hawker 4000 (née Horizon) super-midsize received full FAA certification, following the award of provisional certification almost two years earlier, and more than 10 years since the program was announced at the 1996 NBAA Convention.
NetJets subsidiary Executive Jet Management (EJM) told AIN last month it logged record revenues last year but declined to reveal a dollar number. It did note, however, that 32 of its managed aircraft each generated more than $1 million in charter revenue; four generated $2 million each; three $3 million each; and one $5 million.
NetJets Europe (NJE) has offered its flight crew new onshore contracts and improved pay. Proposed raises for pilots and flight attendants range from 4.6 percent to 26.7 percent, and new roster arrangements will limit maximum duty days to 50 days per quarter. AIN obtained a copy of the contract offer, which was sent to NetJets staff on December 1. (See box on page 30 for details.)