Aviation International News recently reported some staggering facts on NetJets’ performance over the last couple of years:
- NetJets lost $711 million in 2009.
- NetJets revenues dropped last year by $1.465 billion-or 32 percent-versus 2008 due to a 77-percent fall in aircraft sales and lower flight operations revenues.
- In the 11 years that Berkshire Hathaway has owned it, NetJets has recorded an aggregate pre-tax loss of $157 million.
Here's another factoid: Aircraft manufacturer, Hawker-Beechcraft, recently announced that NetJets has canceled its order for "a significant number" of aircraft that were to have been delivered over several years, starting in 2011. The cancellations represent 90% of NetJets' orders with Hawker Beechcraft. In an apparent response to these setbacks and a shake up of senior management, NetJets has been taking a much harder line with its customers in all areas--contract terms, customer service, share buybacks, etc.
