Wednesday, May 30, 2007

Business Jet Charters

We help a lot of executives make flights that they can't talk about, for one reason or another. As part of the service (and to avoid insider trading sanctions from the SEC) we can't talk about them either, but here are some general ideas of what executives, CEO's, and business men and women do when they charter a flight.

First of all, business is business. If you're part of a publicly traded company, you know that the executive is spending a great deal of time acquiring other companies to get the annual growth rate that keeps the shareholders happy. Lots of times, you need a CEO from Philadelphia, CFO from Seattle, and lots of lawyers from Texas to come together in middle America to look at an undervalued company in search of a buyer. This is where the air charter business comes in. Some executives are known by name, and their movements are reported back to the media and the competition. The last thing today's executive wants is to find out that the acquisition planned to boost the quarterly report has been stolen by the competition because of a news leak. There is more than one reason a chartered jet is also known as a "private" jet.

Second, business is global, and things happen. Some problems literally cost millions of dollars every hour until they are fixed, so if you can get technicians and important people in the air at a moment's notice, you can keep a bad situation from getting worse. People also need expensive parts transported around the world for various reasons. Anyone who's read a business book knows that Federal Express was founded because one guy noticed that lots of air charter flights were being made to transport computer parts that "had to be there overnight."

Third, executives are worth every penny. With all the talk about executive pay, imagine GE without Jack Welch or Microsoft without Bill Gates. Do they fly commercial? An executive lives and breathes the life of the company. The time wasted by a commercial flight can be hundreds of thousands more than the cost of a private jet service. Most jet cabins double as boardrooms before the big meeting, and help the big players get together on the winning strategy. Try doing that when you get bumped to coach and the captain turns on the seat belt light, and you'll never fly commercial again.