NetJets
Encyclopedia
NetJets, a subsidiary of Berkshire Hathaway
, offers fractional ownership
and rental
of private business jet
s.
, and entertainers James Stewart
and Arthur Godfrey
among others, with retired Air Force Brigadier General Olbert F. ("Dick") Lassiter as president and chairman of the board. EJA initially began operations in 1964 with a fleet of ten Learjet 23
aircraft. Bruce Sundlun
became EJA president in 1970, and Paul Tibbetts became president in 1976. By the late 1970s, EJA was doing business with approximately 250 contract flying customers and logging more than three million miles per year.
Executive Jet Aviation Corporation was purchased in 1984 by former Goldman Sachs
executive Richard Santulli
and he became chairman and CEO of the corporation. In 1986 the NetJets program was created by Santulli as the first fractional aircraft ownership program. In 1998, after being a NetJets customer for three years, Warren Buffett
, Chairman & CEO of the Berkshire Hathaway
company, acquired NetJets Inc.
In early August of 2009 Santulli resigned as CEO and was replaced by David Sokol. NetJets Inc. has moved its corporate headquarters from New Jersey back to its original home in Columbus, Ohio, following the departure of the company's founder, Richard Santulli.
On March 30, 2011, Sokol resigned unexpectedly and was replaced with then-President Jordan Hansell.
in private jets. This also allows the owner access to more, often smaller, airports; possibly shortening travel to both arrival and departure point. Arrival and departure points along with departure time are chosen by the customer for each individual trip. Costs are higher than flying commercial carriers but lower than purchasing, staffing and maintenance of a similar private jet.
Light Cabin
Midsized Cabin
Large Cabin
Executive Jet Management: Manages on-demand air charter services, charter aircraft management, and aircraft management services. Based in Cincinnati, Ohio
, United States
.
NetJets Aviation, Inc.: Operates majority of the NetJets Fleet. Based in Columbus, Ohio
, USA.
NetJets International: Operates Gulfstream GIV/G450 and Gulfstream GV/G550 in the NetJets Fleet. Based in Hartford, CT
and Hilton Head, SC
.
NetJets Large Aircraft Company: Operates Boeing Business Jets in the NetJets Fleet.
is a separate subsidiary of Berkshire Hathaway. NetJets Middle East is a provider for flights in the Middle East based in Riyadh
, Saudi Arabia
.
Berkshire Hathaway
Berkshire Hathaway Inc. is an American multinational conglomerate holding company headquartered in Omaha, Nebraska, United States, that oversees and manages a number of subsidiary companies. The company averaged an annual growth in book value of 20.3% to its shareholders for the last 44 years,...
, offers fractional ownership
Fractional Jets
Fractional Jets is a common term for fractional ownership of aircraft. The first such program was launched in 1986 by NetJets. Other providers include business jet operators CitationShares, Flexjet, Flight Options...
and rental
Renting
Renting is an agreement where a payment is made for the temporary use of a good, service or property owned by another. A gross lease is when the tenant pays a flat rental amount and the landlord pays for all property charges regularly incurred by the ownership from landowners...
of private business jet
Business jet
Business jet, private jet or, colloquially, bizjet is a term describing a jet aircraft, usually of smaller size, designed for transporting groups of up to 19 business people or wealthy individuals...
s.
History
NetJets Inc., formerly Executive Jet Aviation, was founded in 1964 as one of the first private business jet charter and aircraft management companies. The founding members of the board of directors of Executive Jet Aviation Corporation (EJA) included Air Force generals Curtis E. LeMay and Paul Tibbetts, Washington lawyer and former military pilot Bruce SundlunBruce Sundlun
Bruce Sundlun was an American politician and member of the Democratic Party who served as 71st Governor of Rhode Island from 1991 to 1995. He was Rhode Island's second Jewish governor, and the only Jewish governor in the United States during his two terms...
, and entertainers James Stewart
James Stewart (actor)
James Maitland Stewart was an American film and stage actor, known for his distinctive voice and his everyman persona. Over the course of his career, he starred in many films widely considered classics and was nominated for five Academy Awards, winning one in competition and receiving one Lifetime...
and Arthur Godfrey
Arthur Godfrey
Arthur Morton Godfrey was an American radio and television broadcaster and entertainer who was sometimes introduced by his nickname, The Old Redhead...
among others, with retired Air Force Brigadier General Olbert F. ("Dick") Lassiter as president and chairman of the board. EJA initially began operations in 1964 with a fleet of ten Learjet 23
Learjet 23
-References:* Taylor, John W. R. Jane's All The World's Aircraft 1965–1966. London:Sampson Low, Marston & Company, 1965.**-External links:*...
aircraft. Bruce Sundlun
Bruce Sundlun
Bruce Sundlun was an American politician and member of the Democratic Party who served as 71st Governor of Rhode Island from 1991 to 1995. He was Rhode Island's second Jewish governor, and the only Jewish governor in the United States during his two terms...
became EJA president in 1970, and Paul Tibbetts became president in 1976. By the late 1970s, EJA was doing business with approximately 250 contract flying customers and logging more than three million miles per year.
Executive Jet Aviation Corporation was purchased in 1984 by former Goldman Sachs
Goldman Sachs
The Goldman Sachs Group, Inc. is an American multinational bulge bracket investment banking and securities firm that engages in global investment banking, securities, investment management, and other financial services primarily with institutional clients...
executive Richard Santulli
Richard Santulli
Richard T. Santulli , is an American entrepreneur and philanthropist. He is best known for pioneering the concept of fractional jet ownership with NetJets, a successful company he developed in 1986. Santulli was once considered by analysts as a possible successor to Warren Buffett at Berkshire...
and he became chairman and CEO of the corporation. In 1986 the NetJets program was created by Santulli as the first fractional aircraft ownership program. In 1998, after being a NetJets customer for three years, Warren Buffett
Warren Buffett
Warren Edward Buffett is an American business magnate, investor, and philanthropist. He is widely regarded as one of the most successful investors in the world. Often introduced as "legendary investor, Warren Buffett", he is the primary shareholder, chairman and CEO of Berkshire Hathaway. He is...
, Chairman & CEO of the Berkshire Hathaway
Berkshire Hathaway
Berkshire Hathaway Inc. is an American multinational conglomerate holding company headquartered in Omaha, Nebraska, United States, that oversees and manages a number of subsidiary companies. The company averaged an annual growth in book value of 20.3% to its shareholders for the last 44 years,...
company, acquired NetJets Inc.
In early August of 2009 Santulli resigned as CEO and was replaced by David Sokol. NetJets Inc. has moved its corporate headquarters from New Jersey back to its original home in Columbus, Ohio, following the departure of the company's founder, Richard Santulli.
On March 30, 2011, Sokol resigned unexpectedly and was replaced with then-President Jordan Hansell.
Services
NetJets sells fraction of specific aircraft, chosen from several available types at the time of purchase. When purchasing a fraction of an aircraft, the purchaser is considered an "owner." Being an owner offers customers the convenience, access, and time advantages of flying point to pointPoint-to-point transit
Point-to-point transit refers to a transportation system where a plane, bus or train travels directly to a destination, rather than going through a central hub...
in private jets. This also allows the owner access to more, often smaller, airports; possibly shortening travel to both arrival and departure point. Arrival and departure points along with departure time are chosen by the customer for each individual trip. Costs are higher than flying commercial carriers but lower than purchasing, staffing and maintenance of a similar private jet.
- Fractional ownership — the price is pro-rated from the market price of a full aircraft. Owners then have guaranteed access (50-400 hours annually, depending on share size) to that aircraft with as little as four hours’ notice. If the owner's aircraft is unavailable for some reason, another aircraft of the same type, or a larger aircraft, will be provided. Fractional owners pay a monthly maintenance fee and an “occupied” hourly operating fee. The latter is charged only when an owner or guest is on board, not when the aircraft is flying to a pick up point, or flying to another location after completing a flight.
- Marquis Jet Card — This plan is aimed for people who need fewer than the minimum of 50 flight hours with fractional ownership plans and do not want the usual five-year commitment of fractional ownership. All costs would be paid upfront and are sold in 25-hour increments.
Fleet
NetJets' fleet comprises approximately 340 business jets. Jets in their fleet are classified by cabin size:Light Cabin
- Cessna Citation Bravo
- 62 - Cessna Citation Ultra/EncoreCessna Citation VThe Cessna Citation V is a turbofan-powered small-to-medium sized business jet built by the Cessna Aircraft Company in Wichita, Kansas. The Citation brand of business jets encompasses several distinct "families" of aircraft, and the Citation V was the basis for one of these families...
- 21 - Hawker 400/400XP
- 89 - Cessna Citation XLS/ExcelCessna Citation Excel|-Operators:The aircraft is operated by private individuals, companies, fractionals, charter operators and aircraft management companies.*******-See also:-External links:* * *...
Midsized Cabin
- 2 - Hawker 750
- 33 - Hawker 800/800XP
- 5 - Hawker 900XP
- 13 - Cessna Citation SovereignCessna Citation Sovereign|-See also:-External links:* * * * * *...
- 58 - Cessna Citation XCessna Citation XThe Cessna Citation X is a long-range medium business jet aircraft. The Citation X is powered by two Rolls-Royce turbofan engines and is built by the Cessna Aircraft Company in Wichita, Kansas. It is the fastest production civilian jet in the world. The Citation brand of business jets encompasses...
- Hawker 4000
- 27 - Gulfstream G200Gulfstream G200|-G280:-See also:-External links:* * * * * ****...
Large Cabin
- 30 - Dassault Falcon 2000/2000EXDassault Falcon 2000|-See also:...
- Dassault Falcon 7XDassault Falcon 7X|-See also:-External links:****...
- Gulfstream IV/450Gulfstream IVThe Gulfstream IV and derivatives are a family of twin-jet aircraft, mainly for private or business use. The aircraft was designed and built by Gulfstream Aerospace, a General Dynamics company based in Savannah, Georgia, United States from 1985 until 2003.-Design and development:Gulfstream, in...
- Gulfstream VGulfstream VThe Gulfstream V is a business jet aircraft produced by Gulfstream Aerospace. It is also used by the US military under the designation C-37A. The G500 and G550 are improved versions which are currently in production...
- Gulfstream G550
NetJets companies
Ohio
Ohio is a Midwestern state in the United States. The 34th largest state by area in the U.S.,it is the 7th‑most populous with over 11.5 million residents, containing several major American cities and seven metropolitan areas with populations of 500,000 or more.The state's capital is Columbus...
, United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
.
NetJets Aviation, Inc.: Operates majority of the NetJets Fleet. Based in Columbus, Ohio
Columbus, Ohio
Columbus is the capital of and the largest city in the U.S. state of Ohio. The broader metropolitan area encompasses several counties and is the third largest in Ohio behind those of Cleveland and Cincinnati. Columbus is the third largest city in the American Midwest, and the fifteenth largest city...
, USA.
NetJets International: Operates Gulfstream GIV/G450 and Gulfstream GV/G550 in the NetJets Fleet. Based in Hartford, CT
Hartford, Connecticut
Hartford is the capital of the U.S. state of Connecticut. The seat of Hartford County until Connecticut disbanded county government in 1960, it is the second most populous city on New England's largest river, the Connecticut River. As of the 2010 Census, Hartford's population was 124,775, making...
and Hilton Head, SC
Hilton Head Island, South Carolina
Hilton Head Island or Hilton Head is a resort town in Beaufort County, South Carolina, United States. It is north of Savannah, Georgia, and south of Charleston. The island gets its name from Captain William Hilton...
.
NetJets Large Aircraft Company: Operates Boeing Business Jets in the NetJets Fleet.
Affiliated companies
NetJets EuropeNetJets Europe
- History :NetJets Europe, also known by its corporate legal name, NetJets Transportes Aéreos, S.A., was founded in 1996 as a sister company of NetJets in the United States. In 2002 Mark Booth, the man who brought MTV to Europe and the former CEO of BSkyB, became the company’s Chairman and CEO...
is a separate subsidiary of Berkshire Hathaway. NetJets Middle East is a provider for flights in the Middle East based in Riyadh
Riyadh
Riyadh is the capital and largest city of Saudi Arabia. It is also the capital of Riyadh Province, and belongs to the historical regions of Najd and Al-Yamama. It is situated in the center of the Arabian Peninsula on a large plateau, and is home to 5,254,560 people, and the urban center of a...
, Saudi Arabia
Saudi Arabia
The Kingdom of Saudi Arabia , commonly known in British English as Saudi Arabia and in Arabic as as-Sa‘ūdiyyah , is the largest state in Western Asia by land area, constituting the bulk of the Arabian Peninsula, and the second-largest in the Arab World...
.