NetJets' profitability

[AeroBoy]

From today's AINalerts (http://www.ainalerts.com/ainalerts/alerts/051606.html):

NetJets Poised for a Profitable Year?
If Berkshire Hathaway’s first-quarter results are any indication, its NetJets subsidiary will record a profit this year, which would be a reversal from $80 million in losses incurred by the fractional aircraft provider last year. The investment company’s flight services division, composed of NetJets and FlightSafety International, had $919 million in revenues in the first quarter–a $152 million, or 20 percent, increase over the same period last year. According to Berkshire, this was “primarily due to a 23-percent increase in revenues from NetJets,” as the result of a 19-percent rise in flight operations and management service fees and fewer outsourced flights. First-quarter revenues for training provider FlightSafety increased a more modest 7 percent over last year. Pre-tax first-quarter earnings of the flight services businesses totaled $21 million, versus $7 million last year. Meanwhile, NetJets Europe CEO William Kelly said yesterday that he expects his company to post an operating profit this year and be profitable next year.

 

[notaNJApilot]

That's really interesting, and I hope it's true. But on the company side things are still scary.

 

[old*art]

Oldest trick in the book to head off other request for pay increases ... threaten layoffs.

 

[sweptwingz]

Any company that is posting record sales, buying large numbers of aircraft, hiring hundreds of pilots, constructing and enlarging it's buildings and expanding the company both in the USA, EU , and CIS, and has been doing so for 10 years, IS MAKING MONEY....Count on it.

Mr. Buffet doesn't buy non-producers. Period.

It's a money shell game, nothing more.

 

[CapnVegetto]

I find it so amusing how it was doom and gloom, fiery flaming pit of death during contract negotiations, and now, with fuel more expensive than ever, all of a sudden a profit is being made, with much higher pilot costs than before.

What a bunch of f-ing tools. Liars. I just don't know how they sleep at night.

 

[Diesel]

So lets give the god damn floor people a raise.

You want to keep good workers pay them a good wage.

 

[NJAowner]

A ?

Not taking any side here or advocating disseminating inaccurate information, but, which of the following would you prefer to be employed by and have your long term career with:

1 -- a company in a horrible financial situation which portrays it as such;
2 -- a company in a horrible financial situation which portrays it as great; or
3 -- a company in a fine financial situation which portrays it as horrible.

I have left out #4 on purpose -- a company which is in a fine financial situation which portrays is as such. Such a company can regret its statements by many (other than its unionized labor) like plaintiffs attorneys, shareholders attorneys, its suppliers, its creditors and others it does business with. Such a position may also make a company's employees (non-union, i.e., sales) complacent with the satus quo instead of always striving to move ahead and be better.

I would prefer #3 -- I know I will always get my check and it will clear and I have a long term job. Most employees can not afford the altruistic principle of having their company be #1 -- completely honest.

Fly safe.

 

[Ultra Grump]

So lets give the god dang floor people a raise.

You want to keep good workers pay them a good wage.

It's a crime that our schedulers are paid more than our dispatchers.

 

[gunfyter]

So lets give the god dang floor people a raise.

You want to keep good workers pay them a good wage.

I vote for Raises!

 

[RTRHD]

I think there just trying to see where they are financialy. (thats all)

 

[temcgrew]

Mr. Buffet doesn't buy non-producers. Period.

he didn't just buy netjets this year, when he did it was producing and buying up all that cessna could produce. It was also the cause of so many flight departments shutting down after 20 years and getting rid of pilots that ALREADY MADE good money. Some of these guys ended up at netjets on the crappy pay. All buffet wants with netjets now is to be the last man standing in the fractional buisness.
So don't fool yourself, yes he will be here longer that options, flexjet or anyothe one if it is only for his ego. But, he is still in the buisness to make money and will drop any buisness that doesn't produce. Factor this into his successor taking over, when buffets ego is gone, then what?

 

[Diesel]

God damn my whole post. Ugggh.

Okay its a shame the schedulers get paid more than the dispatchers. Its almost like throwing money in a hole in the wall. Dispatchers have their liscence on the line or at least some part of it.

Here is what needs to happen.

1Return the power to the acp's. The only people they need to be held accountable to is the cp's and the pilots. Nobody else. They make a decision because they are pilots it ends there.

2. Give the fm's raises and increase their authority. I'm not saying anything crazy just common sense stuff. They don't need to check on 3 people just for a simple thing.

3. The dispatchers need to have their fleet spit up or the increase in amount of dispatchers. Let's get rid of the file and forget and have dispatchers that know one fleet inside and out and are able to flightfollow us.

 

[gutshotdraw]

3. The dispatchers need to have their fleet spit up

Some fleets spit up more than others

 

[gunfyter]

Some fleets spit up more than others

Now Now... this is the land of E Pluribus Unum.

 

[AirBear8]

3. The dispatchers need to have their fleet spit up or the increase in amount of dispatchers. Let's get rid of the file and forget and have dispatchers that know one fleet inside and out and are able to flightfollow us.

I second that. The other day the dispatcher filed an RNAV SID out of LAS for our Ultra. When the Captain called and asked why he did that they said that dispatcher rarely worked Ultra's and wasn't aware or forgot about the no RNAV SID/STAR restriction we've had for many months now.


AirBear

 

[Publishers]

First of all, one good quarter does not a year make. If any Florida company did all year what it does in the first quarter, you would see some records.

Secondly, someone mentioned fuel --what does that has to do with anything other than if you did more outsourcing which they said they did less.

The key words there were "higher fees".

 

[gunfyter]

Amigo,

You were proven wrong on the things you said before our new CBA.

You will be proven wrong on profitability.

The old CBA had was inefficient for the company. The new CBA is a money maker. Profits will follow.

 

[MorePilotPay]

So lets give the god dang floor people a raise.

You want to keep good workers pay them a good wage.

No kidding. These are the people that were keeping the company together last year while some crewmembers were calling in sick or downing their planes. Now they can't even get a measly 3.5% raise? Someone better figure that one out soon.

 

[RNObased]

That's really interesting, and I hope it's true. But on the company side things are still scary.

Would you care to expand on that comment??

 

[Diesel]

No kidding. These are the people that were keeping the company together last year while some crewmembers were calling in sick or downing their planes.

ummm i'll just let you stew in that assinine comment.