Let the rumours FLY ....

[gunfyter]

Maybe they are buying a charter/jet card outfit? Easier paperwork there

And they could go straight to EJM

 

[clydefastly]

Just a wild guess, but what about Sentient, or a similar comany with a customer base and no aircraft?


Edit: I just looked up one, sorry

 

[Flex-ible]

Note that it says taking the customers, not the crews, assets and debt. It most likely involves buying up existing contracts, giving the customers an option they may not have right now.
.

Ouch, but good point. That really makes me think FLOPS is the likely candidate - and from what I read it's not beyond their management to yank the rug out from ALL of their employees simultaneously!

 

[jonjuan]

Just a wild guess, but what about Sentient, or a similar comany with a customer base and no aircraft?


Edit: I just looked up one, sorry

IMO, most sentient charter users certainly won't pay 25-30% more if they are "switched." I am assuming the costs and aircraft would have to be nearly the same, i.e. citationshares, otherwise, they won't stay around long.

 

[LAZYB]

I doubt it is flex. The quote implied skokal would take the customers not the airplanes. The fleets are too different, challenger owners would not be happy about switchin to another plane.

Maybe they are buying a charter/jet card outfit? Easier paperwork there

I don't think it's Flex either.

So how goes it my friend?

FLOPS doesn't have the money to buy out their owner's contracts...

and may have difficulty fulfilling their obligations.

 

[jonjuan]

gimme an EM....

 

[gret]

One has to wonder if the reporter wasn't reading more into his comments than they deserve. Everyone likes to hear good things, especially in Columbus, and I doubt that this guy would divulge anything regarding a potential transaction.

NetJets hasn't sold all their excess inventory yet and why would they want to acquire another company with even one a/c.

They were looking at smaller a/c mgmt companies before he took over and most of the survivors are barely holding on. Nobody would have the size, let alone profits, to justify a transaction that would materially impact the company. Sentient and Jet Aviation are shadows of their former selves and the other fraxs, except FLOPS, need their operations to feed product to (plus they can' afford to dispose of them because the ongoing buyback obligations) and it is doubtful that NetJets would ever commit themselves to buying a/c the way they did in the old days.

The debt on NetJets books seems extremely large. Why do they have so much debt? Way to much for just core a/c. Probably includes the amount incurred to buyback shares from owners.

 

[gutshotdraw]

One has to wonder if the reporter wasn't reading more into his comments than they deserve. Everyone likes to hear good things, especially in Columbus, and I doubt that this guy would divulge anything regarding a potential transaction.

NetJets hasn't sold all their excess inventory yet and why would they want to acquire another company with even one a/c.

They were looking at smaller a/c mgmt companies before he took over and most of the survivors are barely holding on. Nobody would have the size, let alone profits, to justify a transaction that would materially impact the company. Sentient and Jet Aviation are shadows of their former selves and the other fraxs, except FLOPS, need their operations to feed product to (plus they can' afford to dispose of them because the ongoing buyback obligations) and it is doubtful that NetJets would ever commit themselves to buying a/c the way they did in the old days.

The debt on NetJets books seems extremely large. Why do they have so much debt? Way to much for just core a/c. Probably includes the amount incurred to buyback shares from owners.

Which is why, it seems to me, reading between the lines of the Sokol quotes in the story, Netjets only wants the CUSTOMERS of whichever company might be in play. More customers spread over the existing but currently idle aircraft and voila: you have eliminated a competitor and taken another step closer to operational profitability with existing equipment and manpower by increasing monthly management fees and occupied hourly fees.

If it happens this way, there will be some convoluted exchanges of owner contracts and aircraft ownership, out clauses for owners that don't want to go to Netjets, etc. End result: a couple hundred new owners at NJA but no transfer of aircraft to NJA and, sadly, a few hundred employees left behind in the rubble. It sucks, but that's the only scenario I see with any financial advantage to Sokol.

 

[T-1GUY]

Just a guess.. Buying out options remaining customers... Options repositions itself as a charter outfit.. Does options still have owners ??

 

[CRJFlyer]

Which is why, it seems to me, reading between the lines of the Sokol quotes in the story, Netjets only wants the CUSTOMERS of whichever company might be in play. More customers spread over the existing but currently idle aircraft and voila: you have eliminated a competitor and taken another step closer to operational profitability with existing equipment and manpower by increasing monthly management fees and occupied hourly fees.

If it happens this way, there will be some convoluted exchanges of owner contracts and aircraft ownership, out clauses for owners that don't want to go to Netjets, etc. End result: a couple hundred new owners at NJA but no transfer of aircraft to NJA and, sadly, a few hundred employees left behind in the rubble. It sucks, but that's the only scenario I see with any financial advantage to Sokol.

Which begs the question...who is keeping tabs on the # of a/c at NJA???

For instance we furloughed 500..(which is the 5 per a/c of the 100 we want to dispose of) but did we actually dispose of any? Are they on the certificate? How many a/c are there?

I don't care if an a/c is sitting in Carson City for weeks..It's still a NJA a/c.
Now say we get a crap load of owners from another frac. And say they get into some of these 100 a/c. How do we know the status of any of the a/c...I'm more inclined to think that they'll just try to overwork the rest of the guys..

Can any union guys explain how it will/can be done. (without relying on figures given from the company to us)