Is Netjets going to buy flexjet?

[nordo_2]

NJA isn't buying anyone. I'm just happy if the ship just keeps a steady keel during the storm. Another fractional would have to kindly ask us to take their owners.

Our issues:
1. $1.3 Billion in debt.
2. $650 million law suite with IRS over "ticket tax"
3. another $350 million suite with IRS over "excise tax"
4. 50+ Globals worth over $1 billion+ coming that need to be sold
5. 50+ Phenom 300s worth hundreds of millions that need to be sold
6. 100+ planes still parked with no owners.
7. NJ China starting up
8. A slow economy giving NJ stagnant growth to negative growth.

I think we have our hands full.

(all info is public knowledge)

Line 4 by itself looks unrealistic. How many G5s did NJ end up taking? Was it something like 5? Single digits. Even during the santuli hey day. My guess it will be a small fraction of Bombardier big jets actually making there way to NJ U.S.. The EMT will probably bait the pilot group for these things.

 

[CA1900]

Line 4 by itself looks unrealistic. How many G5s did NJ end up taking? Was it something like 5? Single digits.

Uhhh... no:

http://av-info.faa.gov/detail.asp?DSGN_CODE=DXTA&OPER_FAR=135&OPER_NAME=NETJETS+AVIATION+INC

 

[nordo_2]

Uhhh... no:

http://av-info.faa.gov/detail.asp?DSGN_CODE=DXTA&OPER_FAR=135&OPER_NAME=NETJETS+AVIATION+INC

Damn dawg. Dats alot...

 

[CA1900]

Yup. Between the G-IV and G-V series, that's 49 airplanes on the certificate -- even at one-for-one replacement as they age, the 50 Globals would about fill those slots. Hopefully it'll be more than that, but who knows?

 

[fischman]

I heard on good authority for a "reliable source" that NJA will be buying American Airlines.


Sent from my iPad using Tapatalk HD

 

[jtf]

There are not 100 airplanes parked due to lack of owners. I wouldn't doubt nearly 100 without customer ownership, but almost everything flies as long as mx can keep it going. Also there it's no way NJA would buy any competitor sure to the instant losses that would be sustained flying customers for less than it costs NJA to do it. NJA costs the most and having to charge the price on the other companies contracts would be brutal. If it was feasible to buy out the competition, it would have been done years ago. That said, I believe NJA hired CA's former head of sales almost immediately to try to snag as many new customers as possible, but on Netjets contracts.

 

[BentOver]

There are not 100 airplanes parked due to lack of owners. I wouldn't doubt nearly 100 without customer ownership, but almost everything flies as long as mx can keep it going. Also there it's no way NJA would buy any competitor sure to the instant losses that would be sustained flying customers for less than it costs NJA to do it. NJA costs the most and having to charge the price on the other companies contracts would be brutal. If it was feasible to buy out the competition, it would have been done years ago. That said, I believe NJA hired CA's former head of sales almost immediately to try to snag as many new customers as possible, but on Netjets contracts.

I think to get the customers in the door they are offering CS owners a limited timeframe to come over with a simple switch of accounts.

And I agree, no way there arer 100 airframes parked somewhere.. If ya look at flightaware, every plane on the NJA certificate is flying.(besides those in maintenance or in LNK for interiors and such)... And most have are doing 25-40 legs over the 2 week lookback on flightaware.. (give or take)

Now factor in whatever percentage of the fleet is considered core, and there are really alot less unsold a/c. NJA has disposed of roughly 100 a/c, but they had planned to do that all along. The FWG link had a letter from Luthi stating that Sokol informed him that roughly 100 a/c wopuld be disposed of.... IMO when management does exactly what they say they were going to do, it's not a shocker when it happens. I consider it a positive that they shrunk 100 and not 200.....If NJA had an intention of shrinking the fleet another 50-100 planes over the next 2-3 years, they'd furlough more pilots...

 

[BentOver]

Yup. Between the G-IV and G-V series, that's 49 airplanes on the certificate -- even at one-for-one replacement as they age, the 50 Globals would about fill those slots. Hopefully it'll be more than that, but who knows?

Something tells me that 50 Globals is so close to the 49 G's that is exactly what they plan on doing. Replacing 1 for 1 and if the economy and sales boom then more will be added. Hence the options. 2012 will be a break even or a slight loss of owners. The % will be minimal.. Going into 2013-2016 is where the growth hopefully will happen.

 

[Sparse]

I think to get the customers in the door they are offering CS owners a limited timeframe to come over with a simple switch of accounts.

And I agree, no way there arer 100 airframes parked somewhere.. If ya look at flightaware, every plane on the NJA certificate is flying.(besides those in maintenance or in LNK for interiors and such)... And most have are doing 25-40 legs over the 2 week lookback on flightaware.. (give or take)

Now factor in whatever percentage of the fleet is considered core, and there are really alot less unsold a/c. NJA has disposed of roughly 100 a/c, but they had planned to do that all along. The FWG link had a letter from Luthi stating that Sokol informed him that roughly 100 a/c wopuld be disposed of.... IMO when management does exactly what they say they were going to do, it's not a shocker when it happens. I consider it a positive that they shrunk 100 and not 200.....If NJA had an intention of shrinking the fleet another 50-100 planes over the next 2-3 years, they'd furlough more pilots...

Do you sit a lot of standby?

 

[t-bone]

What percentage of the legs you fly are occupied by revenue passengers? Do you fly empty much?

 

[BentOver]

I'm furloughed...so yes, since January 16th, 2010 my (and families) life has been on a form of standby.. Along with my retirement account, future earnings and career uncertainty. I do however stay very informed....

The only people who know about percentage of empty legs vs. owners flights etc, are those in management. The Union doesn't know, they have guesss. Don't let anyone fool you into thinking anyone besides management knows the true state of the company. And they're not sharing anything besides how great everything is going or how they are doing vs. the much smaller competition. (don't believe them but it is what it is.)

 

[jtf]

I would say around 40 percent of my flights on the Excel are ferry legs, but when you look back at flight hours, less than 30 percent of the time flying is empty. There is the occasional standby day, but last year I flew about 450 hours which is about the average for a fractional pilot. I usually fly as long as ruhr airplane is not out for mx. Everyone gets standby at some point, but that is all part of the business model and is necessary to recover trips quickly when airplanes or crew members are unable to fly.

As far as CA owners coming over with a quick switch of contracts, I haven't heard it, but I guess I can believe a limited number of customer contracts would be worth the short term probable losses with the likely event of keeping then in the program at a profit in the future. That would be good business, but I haven't seen much of that from our management team.

 

[BentOver]

I would say around 40 percent of my flights on the Excel are ferry legs, but when you look back at flight hours, less than 30 percent of the time flying is empty. There is the occasional standby day, but last year I flew about 450 hours which is about the average for a fractional pilot. I usually fly as long as ruhr airplane is not out for mx. Everyone gets standby at some point, but that is all part of the business model and is necessary to recover trips quickly when airplanes or crew members are unable to fly.

As far as CA owners coming over with a quick switch of contracts, I haven't heard it, but I guess I can believe a limited number of customer contracts would be worth the short term probable losses with the likely event of keeping then in the program at a profit in the future. That would be good business, but I haven't seen much of that from our management team.

I can't recall, but is the Excell a busier fleet? I know the X is about the busiest fleet there was and the Ultra's and Beech's were considered the country club fleets.... But if you're flying 450 hrs a year (more than I flew in either '07, '08, or '09 BTW) that seems like a pretty good clip considering the limited flight hours per leg the Excel can do... IE.. alot of individual trips..

If you go to the NJA web page they have an advertisement/link for switching from any fractional to NJA... (But I assume it's really just for CS)..apparently NJA has given the "other" fractionals their accounting info to make the switch easy for the owners.... That's all I know.. But atleast it's something directed at gaining some business.

 

[landlover]

I'm furloughed...so yes, since January 16th, 2010 my (and families) life has been on a form of standby.. Along with my retirement account, future earnings and career uncertainty. I do however stay very informed....

have you been out of work the whole time or did you find other employment?

 

[LAZYB]

have you been out of work the whole time or did you find other employment?

He's vacationing.... :beer: