San Carlos, Calif.-based XOJet has laid off “around 20” pilots and some additional operations and sales staff, according to John Magner, the company’s executive vice president of commercial operations. XOJet is still taking delivery of Challenger 300s and Citation Xs at the rate of about one a month and the company is still closing deals, “but not to the degree we wanted to grow,” he said. Magner added that the layoffs would have been made regardless of the economic situation, saying, “It was the right business decision.” Meanwhile, the company has been promoting its Fleet Exchange Membership program as a cost-effective alternative to fractional programs. The program requires a “minimal” upfront membership fee and provides customers with the benefits of fractional ownership, including guaranteed flight hours, without peak-day limitations, ferry fees or the large financial commitment that fractional programs require. Program membership starts at 50 hours, and the flight hours do not expire, according to XOJet.
XOJet Feeling the Effects of Sour Economy
- December 16, 2008, 11:23 AM