NetJets has shelved plans for a $200 million operations and training campus in Columbus, Ohio, and is instead going forward with a more modest $21 million expansion to its existing complex at Port Columbus Regional Airport. It will build a new 140,000-sq-ft facility that will be connected to NetJets’ existing Bridgeway Avenue facility to help implement plans to consolidate its headquarters and operations in Columbus.
NetJets Europe (NJE) this week rolled out a new eco-friendly catering package and recycling initiative designed to support the fractional aircraft provider’s environmental efforts. Its new catering box is made from sustainable-source bamboo and features recyclable wooden cutlery, reusable porcelain inserts and biodegradable lids.
NetJets yesterday announced the start of an operational consolidation plan for two of the company’s North American fractional aircraft subsidiaries–NetJets Aviation (NJA) and NetJets International (NJI). Columbus, Ohio-based NJA flies everything but the Gulfstream fleet; NJI, based in Okatie, S.C., operates the fractional Gulfstream fleet.
Berkshire Hathaway’s first-quarter financial report notes that revenues at its NetJets subsidiary grew by 18 percent year-over-year, generating positive pre-tax earnings of $57 million versus a pre-tax loss of $96 million in the same period last year.
Berkshire Hathaway’s most recent quarterly financial report notes that revenues at its NetJets subsidiary grew by 18 percent compared with the first quarter of 2009, generating positive pre-tax earnings of $57 million in the first quarter versus a pre-tax loss of $96 million in the same period last year.
NetJets Europe has introduced a new range of recyclable packaging for in-flight catering as part of its ongoing effort to reduce the carbon footprint of its services. The fractional ownership provider now gives passengers their meals in a box made from sustainable source bamboo, along with wooden cutlery and porcelain containers–all of which can be reused. The lids are biodegradable.
NetJets lost $711 million last year and is so debt-laden that without parent-company Berkshire Hathaway’s guarantee of this debt, “NetJets would have been out of business,” Berkshire Hathaway chairman Warren Buffett said in his annual letter to shareholders on Saturday. In 2008, the fractional aircraft provider recorded $213 million in pre-tax earnings.
Data on the U.S. fractional share industry show that last year was extremely challenging for the big four fractional operators–NetJets, Flexjet, Flight Options and CitationAir–and for smaller but healthier Avantair.
NetJets Europe is on track to become completely carbon neutral by October 2012, according to the fractional’s first environmental progress report, issued on November 9.
The Lisbon-based company, which has been busy adapting to reduced demand, has stepped up wide-ranging efforts to improve efficiency and counter its negative environmental effects, and the negative views many have of business jets.
Revenues at NetJets, Berkshire Hathaway’s fractional jet share company, dropped $471 million (41 percent) in the third quarter of 2009 and $1.495 billion (42 percent) for the first nine months of 2009, compared with 2008 results, according to the parent company’s November 6 quarterly report. The decline in revenues stems from a 79-percent drop in aircraft sales, according to the report, and a 24-percent reduction in flight revenue hours.