June 2007
XOJET Speaks Of Success At Flight School
(June 30, 2007)XOJET CEO Paul Touw was given a chance to speak about the successful business model that has led its company at Esther Dyson’s FlightSchool. The Flight School, in Aspen Colorado, held the third annual conference that brings together the aviation world with aircraft makers and operators, entrepreneurs, marketers, analysts, investors,the press, and regulators. Given the aviation world a change to discuss many different aspects of aviation, from new strategies to experience and possible opportunities. For Touw it was a chance to speak on a panel that discussed “Private Aviation Models that are Workingâ€. Which allowed Touw to discuss the business model that has made XOJET such a successful company. Some of Touw’s topics included, XOJET’s high customer demand, revenue earnings (at 95 percent compared to 65 to 70 percent for the rest of the industry), and how XOJET’s has been able to keep 99.5 percent of their flights departing on time. "Like many of the other companies at Flight School, we set out to rethink every aspect of our business from the ground up," commented Touw. "Our efforts are paying off, and it was a pleasure to be able to step back and discuss the strategies and market requirements that are defining the next-generation of space and aviation leadership with such a thoughtful group." Touw himself is quite a speaker for the Flight School. Starting out as an aerospace engineer, he co-founded the software company Ariba, which later produced business-to-business software that became the choice for 75 percent of the Fortune 500. Later when Touw formed XOJET, he set out to bring the same strategies he used with Ariba, such as technology innovation, customer service, and operational cost. In doing so he has helped to make XOJET the company it is today.
Charter Jets Not Just For Celebrities Anymore
(June 27, 2007)Business professionals are taking a page out the books of celebrities and the wealthy elite and chartering private jet flights for their travel needs. The private, and expensive, flights can be considered increased business efficiency since an entire group of business executives can easily make it to and back from an important meeting without waiting from security checks or being at the mercy of commercial flight delays. NATA, a charter trade group, reports that charter flights are growing at a rate of 10 percent each year mostly due to the increase in the number of wealthy and availability of private jet flights and the decrease in the quality of commercial flight service. Charter flights cost $2500 a hour and up for a small plane. A small group of people can fly on a Boeing Business Jet for about $15,000 an hour.
Increase In Jet Travel Offers Bigger Market For Engine Producers
(June 26, 2007)General Electric Co is already the world leader of jet engine manufacturers. The company recently announced that they are considering creating a new turbine engine for use in business jets, which would put GE in the running with Pratt & Whitney Canada and Rolls-Royce.
India and US Sign Memorandum Of Understanding
(June 26, 2007)Indian civil aviation minister, Praful Patel and Mary Peters, the secretary of the US Dept. of Transportation signed a memorandum of understanding (MoU) last Friday to set up an Aviation Cooperation Program, hereto the ACP. The ACP will update India’s infrastructure and establish a training program for the region’s civil aviation sector. Safety, increased air service quality, higher efficiency practices as well as flight security are just some of the issues that will be dealt with by the new programs.
Paris Air Show Provides Big Business For Jet Manufactures
(June 26, 2007)The Paris Air Show this week offered an opportunity for boom business for manufactures of business jet aircrafts. The increase in use of private jet travel in attributed to consumer impatience with boarding delays and lengthy security checks. Not only did Airbus and Boeing report a record number of orders, business jet makers also received a slew of new orders. Cessna received an order from NetJets and NetJets Europe that is worth more than $1 million and includes the production and delivery of 96 Citations. Bombardier was the recipient of an order from Skytime for six LearJets and Dassault Falcon announced that it has agreed to supply Saudi Arabia’s National Air Service with a full twenty 2000LXs.
Luxury Jet Travel Takes Off In Scotland
(June 23, 2007)Scotland’s regional airports are reported major increases in the amount of private jet travel taking place in their area. Now that four large companies are competing for a piece of the elite jet travel market, consumers are reveling in the variety. It’s not unusual to hear about 40% to 50% increases in private jet usage with some area airports stating increases of 500% in jet travel activity. The appeal is obvious with the lessened boarding times, no need for standing in security lines and the smaller more luxurious planes which are becoming more affordable with the rise in private jet company competition.
Supersonic Private Jet On The Horizon
(June 22, 2007)Aerion Corp. brings its new designed private supersonic jet that could be flying within the next decade, to the Paris Air Show. Chairman Robert Bass says there is market that would justify the cost of hundreds of millions of dollars needed for the design, development, and testing of a new supersonic jet. "We did an extremely sophisticated study and the market is there at the prices we have quoted and the performance we have identified," Bass said. The supersonic jet would hold 8-12 passengers and fly at speeds approaching 1,000 mph, making a flight from New York to Paris in a little over 4 hours. But with supersonic flight prohibited over the continental United States, Aerion’s proposed jet would fly just under the speed of sound at 650mph at 50,000 feet. Making it still a viable option as compared to Cessna’s Citation X, which flies at about 600mph. As for the cost of the new jet, Bass has proposed that the supersonic jet will run upwards to $80 million back in 2005, and believes the Aerion could sell 300 within the next 10 years. Which would make the cost of developing and producing the jet well worth the worth it. So far the only other commercial supersonic aircraft built was the Concorde jetliner, yet due to cost and an inefficient operating setup it was eventual retired. Aerion isn’t worried about the failure of the Concorde, because their jet uses new technology and an updated design that is expected to overcome the drawbacks of the Concorde and other proposed supersonic jets. As for the design, the supersonic jet is built upon the research of Richard Tracy, chief technology officer of Aerion. With a new wing design created by Tracy that will help it cut through the air, and by making use the engine used on MD-80 passenger jets. Aerion’s design is expected to be able to perform it’s supersonic flight because of its aerodynamic and lightweight design, and with nearly three years of advanced engineering analyses, wind tunnel and other testing Aerion believes there are no major technological obstacles to building a supersonic jet. To build the proposed jet, Aerion’s business plan calls for it to join with an existing aircraft manufacturer for the construction, testing and marketing of the jet. Which is the reason for coming to the Paris Air show so they could rub elbows with potential partners along with potential customers. Brian Barents, Vice Chairman, believes they could find a partner sometime within the year.
Gulfstream V- Office in the Sky
(June 20, 2007)Doing business in the air is easier now since the conception of the Gulfstream V (GV) business jet aircraft 10 years ago. Produced by General Dynamics’ Gulfstream Aerospace Unit in Savannah, Georgia, the GV now has become the chosen aircraft for many multinational corporations and the government.
Matrimonial Bliss for Business Partners NetJets and Cessna
(June 20, 2007)They have been described as the best selling business jets ever built. With impeccable performance, speed, sleek and petite size it is no wonder that NetJets has decided to invest more than $1 billion more dollars in Cessna’s impressive line of Citation aircraft. Cessna is already banking big bucks with NetJets as their largest Citation customer and this business relationship is profitable for both. “Cessna’s citation line provides our customers a wide variety of options for fractional ownership,†said NetJets Chairman and CEO, Richard Santulli. With 304 Citation business jets in operation already, NetJets will purchase 50 Encore+, 37 XLS+ and 9 Citation X aircraft. Customer satisfaction, incomparable cabin comfort and low operating cost have made the XLS the most popular aircraft for NetJets. Known for its speed, the Citation X, has been all the rage for business people wishing to fly from coast to coast for meetings all in the same day. Cessna Chairman, President and CEO, Jack Pelton attributes the successful 21 year business partnership with NetJets to their ability to continue to provide quality business jets along with a limitless support network that continues to guarantee the high level of service that NetJets is known for.
Millionaire Mustang Air Pilot
(June 20, 2007)A new Mustang, not the car, but the impressive aircraft by Cessna is one of the newest forms of transportation for prominent, leading class action lawyer, Frederick P. Furth. He recently announced that he will set off from the Paris Air Show in France on a round-the-world flight in his new air toy. “The Mustang is a great aircraft for single pilot operation and I felt this would be the ultimate way to test its mettle,†said Furth. Furth, who also owns California’s Chalk Hill Vineyards and Winery, has been an enthusiastic pilot for many years. In fact he also owns a Citation X and Cessna Caravan. In the month that he has had his Mustang, he has already accumulated 80 hours flying time in the aircraft.
