Net Jets 2005 Report

[niteflyr]

And I wonder how much of FSI's income came from the Netjets expense column? One pocket to another.

 

[SeaSpray]

And I wonder how much of FSI's income came from the Netjets expense column? One pocket to another.

Doesn't matter. FSI's profits didn't offset the $40 million NetJets lost during the first 9 months of 2005. While I'm not a stock holder and don't get the investor's letters that the well-compensated Captain GVFlyer gets, SEC filings are a matter of public record. This is what Berkshire Hathaway posted on 5 January 2006 for third quarter 2005.

Pre-tax earnings of the flight services segment for the third quarter of 2005 decreased $9 million (17.6%) from the third quarter of 2004. For the first nine months of 2005, pre-tax earnings declined $17 million (14.5%) from 2004. Pre-tax earnings for the first nine months of 2005 from FlightSafety increased $9 million (7.2%) as compared with 2004. The increase was due to increased training revenues and simulator sales. NetJets incurred a loss of about $40 million for the first nine months of 2005. In the first half of 2005, NetJets experienced unusually high shortages of available aircraft in the NetJets program due to peaks in customer usage. Shortages of aircraft also occurred during the third quarter of 2005. Consequently, incremental costs were incurred to charter additional aircraft to meet peak demand. Such costs are not fully recoverable from clients and produced incremental costs of approximately $65 million during the first nine months of 2005. Additionally, interest expense for the first nine months of 2005 increased $16 million due to higher rates. NetJets and FlightSafety continue to be leaders in the aircraft fractional ownership and training markets.


SS

 

[Fozzy]

Okay,
So if NJA/I folded, how do you think FSI would do?

 

[SeaSpray]

Okay,
So if NJA/I folded, how do you think FSI would do?

They would still be the largest training provider for aircraft and ships in the world and equally as profitable as they had been before NetJets began using their services.

SS

 

[ghostrider64]

Read on the screen today that there were a total of ZERO sell-offs today.... Wonder what's different from last year around here.... DUH

 

[hammer2]

So what loose money for 5 years while nja grow twice as big, buffet has deep pockets. 5 years all the talk will be about the profits.