Jet Republic, which last year announced a plan to buy up to 110 Bombardier Learjet 60XRs and launch a fractional-share business in Europe, has suspended operations at its Portugal subsidiary. As a consequence, Bombardier “terminated its firm and conditional order purchase agreement with Jet Republic.” The company’s first Learjet 60XR was to have been delivered in October.
European fractional ownership provider Jet Republic is now trying to sell whole midsize business aircraft. Under its new Free to Fly program announced at the end of June, the company is offering Bombardier Learjet 60XRs for $13.5 million, at what it claims is a discount of more than $1 million off the full list price of $14.6 million.
Portugal-based private air services start-up Jet Republic joined Bombardier Aerospace’s carbon offset program for its initial fleet of 25 Learjet 60XRs, set to be delivered over the next two years, starting in October. Jet Republic could eventually take delivery of up to 110 Learjet 60XRs if it exercises all its options.
VistaJet is slowing the implementation of its ambitious growth plans in the charter market but insists that its ambition to solidify its position as the number two service provider outside North America still stands. This year the company will take delivery of less than half of the 12 to 14 new aircraft it had been due to take, and it has adjusted its target of having a 100-strong fleet of jets by 2012 operating some 80,000 flight hours.
New European fractional ownership provider Jet Republic says it is capitalizing on the downturn in both air transport and business aviation. The company, which in September is due to take delivery of the first of up to 110 Bombardier Learjet 60XRs for which it has orders and options, said it is receiving more inquiries than it had anticipated from people who previously owned their own aircraft.
Fractional aircraft providers have reshaped their marketing efforts to address the difficulty of trying to get customers to buy aircraft shares during a recession. To help stimulate growth, Flexjet has introduced a fly-away lease program, which lets buyers who might not want to make a capital purchase lease a fractional share and exit the lease at any time with 90 days’ notice and with no penalty.
As the recession tightens its grip on the economy, fractional aircraft providers have stepped up their marketing efforts not only to sell more shares but also to encourage shareowners to fly more. “In this tough economy, the pressures on all parts of the aviation business have been extreme,” said Bob Knebel, Flexjet v-p of sales.
Bombardier Flexjet on February 3 launched a round-trip pricing program that reduces the cost of one- or two-day round trips for owners committed to at least 100 flight hours per year. The program gives owners a 15-percent discount for each hour of a qualifying round trip. Round-trip pricing can be used on any day of the year, even on peak days, and there is no minimum time requirement on use of the aircraft.
To adapt to current economic conditions, Dallas-based fractional provider Bombardier Flexjet last month unveiled two new jet-card products.
Fractional share operator Flexjet of Dallas has an innovative answer to the perennial holiday season question, “What do you give to someone who has everything?”