For the second quarter and first half of this year, fractional aircraft provider NetJets' revenues increased 16 percent and 17 percent, respectively, from a year ago, parent company Berkshire Hathaway said in its second-quarter results, released on Friday. These gains resulted from an increase in worldwide flight revenue hours, but were partially offset by lower management fees due to fewer aircraft in the NetJets program.
Gulfstream Aerospace president Joe Lombardo started his career in aerospace at Douglas Aircraft in 1975, where he held leadership positions in production and material control, planning and manufacturing, and was general manager of twinjet production. He joined Gulfstream in 1996 as vice president of co-production, where he was responsible for the ramp-up and dual production of the Gulfstream IV-SP and V.
NetJets lost $711 million last year and is so debt-laden that without parent-company Berkshire Hathaway’s guarantee of this debt, “NetJets would have been out of business,” Berkshire Hathaway chairman Warren Buffett said in his annual letter to shareholders on Saturday. In 2008, the fractional aircraft provider recorded $213 million in pre-tax earnings.
Cessna Aircraft yesterday completed its acquisition of business aviation flight services provider CitationAir. With the move, CitationAir becomes a wholly owned subsidiary of Cessna but maintains its separate operation. The original company–called CitationShares until the name was changed this past October–was started in 2000 as a 50-50 joint venture between Cessna and TAG Aviation Holding.
NetJets Middle East is reinvigorating its marketing efforts with the introduction of the new Dassault Falcon 2000LX and the launch of a 25-hour jet card. The fractional ownership provider wants to expand its program in the region, having introduced just 17 aircraft to the Middle East fleet since it launched the operation in 1999.
Fractional ownership of private aircraft seems to be a struggling business model in North America and Europe but it’s alive and well in this part of the world, according to NetJets Middle East (NJME). The company, which is owned by Saudi Arabia’s National Air Service and is affiliated to U.S.-based NetJets Inc.
Fractional provider NetJets late last week announced that it will furlough up to 495 pilots from its North American fractional operations, mostly from NetJets Aviation but also a “small number” from NetJets International, the division that flies Gulfstreams. The furloughs will take effect on January 15.
New NetJets chairman and interim CEO David Sokol has begun making changes at NetJets Europe, appointing a new boss to run the business and implement job cuts at its headquarters. Eric Connor has been appointed the new CEO and chairman of NetJets Europe following the October 4 resignation of CEO William Kelly “to pursue his own interests.”
Responding to the brave new world of recession-shaped business aviation, CitationShares last month in New York City unveiled a rebranding that sees the company change its name to CitationAir by Cessna and promote the scope of its offerings beyond the fractional operation it has been since its founding in 2000 as a joint venture between Cessna and Geneva-based Tag Aviation when the two companies bought Wayfarer Starshares (founded in 1998 and
Marquis Jet’s Randy Brandoff said his jet card company is well positioned to take advantage of the shifting sands of the corporate jet market. Brandoff, the newly appointed executive vice president and chief marketing officer for Marquis Jet (Booth No. 291), said the company’s business is down slightly for the year, but demand is actually on the rebound.