Hawker Beechcraft CEO Message to Starbucks CEO in WSJ

johnsonrod

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Have you guys seen this ad in the WSJ today? Sorta ridiculous. First, the CEO letter to the Starbucks CEO acknowledges that Starbucks has publically announced that it was selling a few of its corporate jets due to the depressed economy. The letter then suggests that Starbucks needs its corporate aircraft to manage its global business effectively (we all agree on that). Then, the letter implores the Starbucks CEO to consider "right sizing" his fleet from bigger Gulfstreams to newer Hawker 4000s. What? I thought the Hawker 4000 was a production disaster with very few ever produced and released to customers? How quickly could Starbucks take delivery of a Hawker 4000?

We all understand the reasoning behind the ad. Aircraft manufacturers are fighting a PR war against corporate aviation and perceived luxury excess. I just thought pitching the Hawker 4000 with all of its problems was a bit ridiculous. Sure, offering a Hawker 900XP might have been more realistic even if it does not have the nonstop range of the 4000. It can still fly to Europe with a stop in either direction.

Anyone else see the ad today in the WSJ? Any thoughts?
 

Tgaug6300

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Have you guys seen this ad in the WSJ today? Sorta ridiculous. First, the CEO letter to the Starbucks CEO acknowledges that Starbucks has publically announced that it was selling a few of its corporate jets due to the depressed economy. The letter then suggests that Starbucks needs its corporate aircraft to manage its global business effectively (we all agree on that). Then, the letter implores the Starbucks CEO to consider "right sizing" his fleet from bigger Gulfstreams to newer Hawker 4000s. What? I thought the Hawker 4000 was a production disaster with very few ever produced and released to customers? How quickly could Starbucks take delivery of a Hawker 4000?

We all understand the reasoning behind the ad. Aircraft manufacturers are fighting a PR war against corporate aviation and perceived luxury excess. I just thought pitching the Hawker 4000 with all of its problems was a bit ridiculous. Sure, offering a Hawker 900XP might have been more realistic even if it does not have the nonstop range of the 4000. It can still fly to Europe with a stop in either direction.

Anyone else see the ad today in the WSJ? Any thoughts?
How quickly could they get one? How about now. There are several "White Tailed" 4000s sitting on their ramp.
 

SansPlane

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[FONT=&quot]This is a PERFECT example of marketing gone wrong. A very expensive ad in the WSJ - preaching to the choir boys and girls.[/FONT]

[FONT=&quot]My 2cents which is good for about .025 cents on the open market BTW. Get some stories on corp. angel flights, a few stories about Oprah and how she utilizes her aircraft (Oprah more popular than Obama I think), how Tiger Woods uses corp. aircraft, how NASCAR utilizes their fleet and continue to publicize Air Force 1 and make the strong connection that this is the ultimate business aircraft. [/FONT]

[FONT=&quot]That said, I think what the industry is seeing is more a result of the economy than public perception. There is pressure on earnings in a spiraling economy and expensive furniture and corporate jets seems incompatible to the general public and stock holders.[/FONT]

[FONT=&quot]Also, stuff like this never helps the plight of corp. aviation: http://www.footnoted.org/buried-treasure/and-the-worst-footnote-of-the-year-is and http://www.footnoted.org/perk-city/qwests-mueller-still-flying-high[/FONT]
 

flydaddy0499

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Has anyone figured out exactly how many jobs go away when a company gets rid of a jet??? There's way more than just the pilot positions in play here. I would love for someone to present some hard data to the democratic congress on this since they claim to be for the "working man/woman".
 
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CitationXDriver

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Mountain Troll

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What do you think the interest is on capitalizing 45 million? How about 7 or 8 grand a day. Check your local charter pricing. 8 g an hour is market price.
 

svcta

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Yes, but they are making money at 7 to 8 G an hour.

And from a tax perspective there are benefits to a company in owning these jets. Expenses and depreciating these things on schedule makes for a good paper loss. That is to say, that capitalizing that money would come with costs that are "healthy".
 
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