Chad is the editor of AINalerts, AIN's daily business aviation newsletter, and is also the news editor at AIN Media Group.&nbsp;He has been writing about aviation, with an emphasis on business aviation, since 1994. Chad started his writing career at The Avion,&nbsp;the&nbsp;student newspaper at Embry-Riddle Aeronautical University in Daytona Beach, Florida, serving as editor-in-chief before graduating with a bachelor's in aeronautical science. After a stint as managing editor at Professional Pilot&nbsp;magazine, he joined&nbsp;AIN in late 1998. Chad holds a commercial pilot certificated with instrument and multi-engine ratings, and he also is a CFI/CFII. He lives and works from his home in Venice, Florida.

Online Editor

Chad Trautvetter

NBAA released a new study today showing that even during the worst economic times since the Great Depression, companies that relied on business aviation outperformed those that did not. According to NBAA, the companies that use business aircraft have better shareholder value and recovered from the recession more quickly than their peers.


The study, “<a href="http://noplanenogain.com/images/NEXA%20Advisors%20-%20Maintaining%20Shareholder%20Value.pdf">Business Aviation: Maintaining Shareholder Value Through Turbulent Times</a>,” is the fourth in the business aviation users study series to be completed by Nexa Advisors. It concludes that companies in the S&amp;P 500 that use business aviation achieved superior financial performance in a number of key measures and also displayed superior ability to respond to the severe downturn.


“This answers the question as to why so many American enterprises continue to depend upon business aviation, even in–and perhaps, especially in–tough economic times,” said NBAA president and CEO Ed Bolen.


The study found that generally speaking, companies not using business aviation during the recession lost profitability, employees and even dropped off the S&amp;P 500 rankings at far higher rates than companies using business aviation, revealing that use of an airplane for business has a positive impact on enterprise resiliency following what Nexa termed “the Great Recession” period of 2007 to 2011.


For example, the analysis found that jobs at a diverse range of companies that use business aircraft--from consumer to energy, health care and industrials--not only recovered, but also have grown beyond pre-recession levels, while non-user companies have recovered at much slower rates. Comparisons of employment matched the better performance of business aviation users in financial measures of shareholder value, including revenues, earnings and profit growth and market capitalization.


The three previous Nexa studies analyzed S&amp;P 500 companies, S&amp;P 600 small-cap companies and government use of business aircraft at the federal, state and local levels. “All concluded that business aviation contributes to private and public enterprises’ ability to deliver greater value to shareholders and taxpayers,” NBAA said.


The four studies make a convincing case that use of a business airplane is the sign of a well-managed enterprise, NBAA contends. “These studies make clear that business aviation delivers value, boosting efficiency, productivity and flexibility, enabling organizations to excel in good times and especially in a turbulent economic environment,” Bolen concluded.

NEXA Study: Companies Using Bizav Fared Better During Downturn

2024 Corporate Aviation Leadership Summit

NBAA Convention News 2012

AIN Products

SUBSCRIPTIONS

RESOURCES

ABOUT AIN