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Netjets price crash announced

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Old 14th Jul 2009, 13:07
  #41 (permalink)  
 
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is undercutting really an option?

That seems to be the common reaction to crisis in order to keep on flying. And then operators with more breath (in terms of financial bachkground) make life miserable for those who can't keep up. Survival of the fittest? I'm not sure.

A major German business operator just lowered the prices even more for a certain fleet - they call it 'loyalty programme' or something...
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Old 14th Jul 2009, 14:07
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Blue Volta
You are correct. It also helps that we operate ex base and that we are rarely away from base for more than 3 or 4 days as opposed to being operated like a tramp steamer. Also having an engineer at base for the crews to discuss problems with is invaluable, a squeak that would ground one operator can just become an annoyance. Likewise the crews get to know their aircraft.
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Old 14th Jul 2009, 14:18
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is undercutting really an option?

Undercutting only serves us in the short term. As far as survival of the fittest is concerned I think it is more a case of survival of the most experienced. I have seen 5 recessions before, 2006/07 were good profit years and I kept the cash in the bank but I still drive a 11 year old 5 series, not a brand new Maserati that I have seen driven around Biggin. But I suppose it is cool for some to go bust owing your creditors to pay for the fancy car, somehow I was taught otherwise. Surely I am allowed to use my financial planning to see me through these lean times.
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Old 15th Jul 2009, 12:55
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Question dead wood at netjets?

Highest paid director taking over €2M per annum in 2007 at nj UK, (company house website). What do other directors at netjets get paid? Any wonder that this company needs to charge so much?

Last edited by groan & moan; 15th Jul 2009 at 13:05. Reason: detail
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Old 15th Jul 2009, 13:10
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It would be unusual for Companies House to post an Individual Directors salary, normally in accounting circles the sum of all the Directors Salary's would be posted, however I've long since tried looking up Netjets Accounts info, so many companies - so little profit - but isn't that the job of a good accountant?
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Old 15th Jul 2009, 16:33
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But I suppose it is cool for some to go bust owing your creditors to pay for the fancy car
Scratch car, insert 'failure' instead and you' re at the very root cause of this downturn. (and the unbelievable hype in 06/07/early 08)

But then, thats all peanuts against the debts out governments put on us. THIS brings us the next crisis, someone gotta pay all that.

Nice leased cars are still a nice thing. I'd take a Maserati, but only if the boss covers the fuel...

I still wonder if I should not open up a bank and let it crash. I'd most likely be better off, you lot also could give me the money directly, then I'd make it less expensive! (black money, no Taxes!!!)
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Old 16th Jul 2009, 23:39
  #47 (permalink)  
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From Flightglobal -

NetJets Europe to get rid of equivalent of 300 pilot jobs

Fractional ownership giant NetJets Europe is shedding the equivalent of 300 flightcrew positions - just under 30% of its pilot workforce - as the recession continues to hit corporate and VIP travel. However, the Lisbon-based business - a subsidiary of investment guru Warren Buffett's Berkshire Hathaway - is hoping a combination of voluntary redundancies and agreements with pilots to cut working hours will drastically reduce the need for compulsory job losses "as seen elsewhere in the industry". "Although we would save more by simply sacking 300 pilots, the sort of culture that we want here means that we would rather hold onto as many of our people as possible and allow them to continue their careers with us," chief operating officer Robert Dranitzke told Flightglobal. A deadline for applications has passed and the company, which was established in 1996, is currently in negotiations with its employees.

NetJets employs 1,046 flightcrew, who work up to 200 duty days each a year. "We have told our people that we have 60,000 excess duty days that we need to get rid of," says Dranitzke. The move comes after a period of expansion by the company in the last few years. After losing a cumulative $212 million in its first decade, NetJets Europe's earnings tripled in 2007 and it added more than 200 crew in 2008, having taken on 341 new pilots in 2007. Earlier this year, however, it slashed its planned business jet deliveries by 60% as the economic downturn started to squeeze the business aviation market. At the time it said it would take delivery of only 10 aircraft this year, including Hawker 750s, Dassault Falcon 2000EX/LXs and a 7X. The operator added 30 aircraft to its fleet in 2008 and was planning to receive up to 27 this year, which would have taken its fleet to nearly 200 business jets. NetJets Europe says it has spent much time and effort collaborating with its staff on the voluntary programme. This includes a combination of financial and benefit-based incentives to reduce available work days, including voluntary redundancy, part-time working, leave of absence involving long-term career breaks, and job sharing. "We believe the range of options in this programme is unprecedented within the industry and reflects our desire to minimise potential disruption to people's lives and careers," says the company.
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Old 24th Jul 2009, 09:00
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NJ

For some of the pilots would be a relief to get out of NJ. They have been doing desk research helping the sales teams for some time now... Not a classy rol ( compulsory) for a pilot. NJ is going through a hell of a situation... but apparently in Europe are doing better than US...Surreal..!!
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Old 26th Jul 2009, 14:46
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Hawker 750

Are you and a very quiet Smeagel related? Just a thought.

Not even Qantas claimed to be the safest airline in the world so i find your claim about 3000 hrs etc with 100% dispatch reliability a little far streched.

Unless you are departing with open MEL items or carrying problems back to base for your engineers that would have an NJE a/c grounded.

Even with your tongue in the other cheek its not a clever statement and may come back to bite you one day....or is my tongue a little in either cheek

As you may or may not know we have many a/c around Europe and the world on Hot Spare ready to go with about half an hours notice. No other company that i know of has this and our customers like and appreciate it.

Yes we are expensive but as with everything else, you pay for what you get in life. After all a £250,000 Rolls Royce is only a car like a £10,000 Smart Car (sort of) but i know which i would rather be transported about in, retain its quality and still be around in one piece in 10 years time.

Ps at the end of your 3-4 days time away from base how many days do you get off? Frankly i love my 6/5 roster.

I bet you work many more days than we do or spend many hours at home on sby unable to plan further than a fews hours ahead waiting for someone to ignore NJE and use your company and the tramp steamer comment if i as i assume, directed at NJE, is a cheap comment.

We like you go where ever the customer wants. Sometimes it at short notice sometimes its planned months in advance but customer and money is king

Safe flying smeaga.... i mean Hawker 750

Cacarot

Once again i think a little bit of haterism is going on against NJE.

The truth is that the company has been utilising some under used crew to audit aircraft as they pass through certain airports for which they are entitled to their per diem. TRhis means that crews are not just sat at home festering but keeping in the loop and earning a bit at the same time while doing a good job.

I have yet to meet one crew memeber who wants to leave NJE and generally we feel that the company has been fair in these difficult times and hope that they all come back into the fold soon.

Last edited by gone till november; 26th Jul 2009 at 15:23.
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Old 26th Jul 2009, 19:41
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Still here gtn, silent and watching. How touching, you still think of me.

Some very good people at your company are about to lose their jobs while others are obliged to struggle by on near-half pay so you'll forgive me for noticing that those rose tinted specs of yours haven't slipped, your NJ halo shines as bright as ever and the misplaced smugness is undimmed. I know for a fact fewer of your remaining colleagues are still so besotted and I'm not talking about the ones who are near their last tour with the company. I'll guess you probably didn't bid and let others take the risk for you but a bit less braggadocio, less 'I'm alright Jack' and a touch of humility might be appropriate.

I'm off to sit on my lurking stool for another year or so by which time perhaps you'll perhaps be discussing the next wave of lay-offs while your senior management continue to trouser their bonusses.
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Old 26th Jul 2009, 23:31
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Last year or so, charter is ALWAYS cheaper and avaiable than frax or hour-card. Period.
And as long as we exclude some really old-metal operators (who I'm not counting in pricing benchmark anyway), quality and service of average charter operation in Europe is quite the same level as Nextjets. You don't need to be worried about from where you fly, experienced broker will always offer you a good deal.
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Old 26th Jul 2009, 23:48
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Once agin I am embarased by my fellow NJ pilots those who think we are the only ones out there and the world exist to serve us.

gone til novembre. Even I understand hawker750 and he was not insulting. Sugest you read again then maybe apologise. Hot spare and your roster blablabla, it sound like you are tryng to wipe everyone face with NJE when the truth is out there already. WE are not safe either and showing off too people here creats a bad image.
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Old 27th Jul 2009, 15:26
  #53 (permalink)  
 
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Barista

Did you take an option?

Maybe i just took a deeper look at what he was saying and took a different opinion to you. It does happen. I suggest you read what i said again but just look a little further into it.

As for rubbing my roster etc in peoples faces you couldnt be further from the truth. Everyone knows our roster so whats wrong with saying that i like it. Whats wrong with being proud to work for a company. Again you may call it smugness i just call it happy to work for a company i like working for. Where's the crime in that. And i think your being a little harsh on your so called work colleagues as i have yet to come across anyone who displays what you accuse them of.

There will be some fractious feelings amonst those that did and didnt need to and those that didnt etc etc etc. But backstabbing and condesending comments wont help anyone. just remember that we all had our reasons for what we did or didnt do and anyone who criticises them should ask first then try and live that life then make an informed comment.

Barista. Maybe your making your coffee's a little too strong. Remember we all work together and have the same aim which is the long term success of NJE and therby both saving and creating jobs. Being devisive in these times wont help to achieve that. What ever you did with the options i wish you the best of luck and safe flying.

Smeagal

If smugness is tending to my large mortgage while my wife who was up for redundancy a month ago and may well still be again and therfore not being able to afford an option then you really are *offfensive comment deleted*. Come and pay my mortgage and bills and then you can say what you like about me. *Offensive comment deleted*.

I bet your dying to add your bile and hatred to this debate. But you know that even your supporters will turn on you when NJE guys are going through hell and that includes the one who are left...so you turn on me. Thats fine you dont bother me and enjoy baiting you....i mean you fell for it a few posts ago. We all had our reasons and your usually wrong sources of info have led you a merry dance again.

No one has as you quote "lost thier job". But those that applied took either voluntary redundancy or a part time option or a LTLOA...how may times must you been proven wrong before you do a little further investigating to try and get it right.

Rose tinted specs? If loving your job and think the comapny that you work for is good to work for then they are a big *offfensive language* off pair of specs with a deep rose colour. I know we have problems in NJE and yes sometimes they piss me off but to me the glass is ALWAYS half full. Surely a negative like you must agree that its better to live life being positive and optomistic than....well the bad attitude you show.

Try it you may live longer. Nothing in life is perfect.....only a fool would believe that. My view which you may find hard to chew on is to make even a negative a positive. So i can see that even you have a place in polite society. honestly i do.

If you ever got an airline into the air you better pray for pilots who have the same views rather than your dark side attitude or youll have no end of problems.

Good luck Smeagy...its good to know you're not dead but alive and thinking of more stupid things to say. High IQ.....*offensive language*




Ladies and gentlemen. gone till november will be taking a little break to consider the use off offfensive language here in our corner of PPRuNe.

Last edited by gone till november; 27th Jul 2009 at 15:49.
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Old 28th Jul 2009, 07:05
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Do NJE include psychometric testing in their selection process? I think one slipped through the net.
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Old 28th Jul 2009, 08:35
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Potential Embarressment for NJ's management

Warren takes buffetting from shortage in private-jet clients

28-Jul-2009
By Robert Lea
Warren Buffett's private-jet timeshare business is laying off the equivalent of 300 full-time pilots or nearly a third of its flight crew.

The news shows the extent of the collapse in the private-jet market and will be an embarrassment for Buffett — reckoned to be the smartest investor on the planet.

NetJets Europe allows the rich and famous to buy flying time on its 168-strong fleet of Dassault Falcons and Hawkers — celebrity clients include tennis champion Roger Federer.

The swiftness of the global economic slump, however, appears to have caught NetJets by surprise.

Only last year it took on 341 new pilots taking its flight crew total to 1046 having hired 200 in 2007. Last year the business also took delivery of 30 new aircraft.

Sources reckon that 18 months ago NetJets' pilots were working at full throttle in charge of as many as six or seven flights every day. The average number of flights is reckoned now to be down to around one-and-a-half per day. The company's pilots have been told by NetJets' management that it is looking to reduce the payroll through a combination of redundancies and cutting working hours. Around a fifth of NetJets Europe's pilots are reckoned to be Britons.

“We have told our people that we have 60,000 excess duty days that we need to get rid of,” said Robert Dranitzke, NetJets' chief operating officer. NetJets is reckoned to have only turned profitable in Europe in 2006 after a decade of cumulative losses of more than $200 million (£122 million).

With the corporate and VIP travel market collapsing, it is understood that fees in the private-jet market — which have been around £85,000 for 25 hours flying time — are falling year-on-year by about 15%.

In the spring NetJets Europe claimed that it had recruited 270 new customers in the preceding year although the Evening Standard revealed that the new recruits came in the same year that the company had lost 268 of its old customers.

NetJets was founded in the Nineties by Dick Santulli who called the time-share concept “fractional ownership”. He subsequently sold the business to Buffett's Berkshire Hathaway investment empire.



I saw this article and it doesnt seem to paint NJ in such a good light?
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Old 28th Jul 2009, 08:53
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Come on scratchpad you can do better debate than that.

Even Smeagal argues better than that and he's *offfensive comment deleted*.

One liners are just that

Miss Marple.

A reasonably good article.

But old Warren is awise investor infact very succesful wise investor who takes a long term view on his investments. Clearly he sees a long term future in NJE or otherwise im sure he would have sold us a long time ago. Hopefully i wont have to eat my hat on that one

Not sure about the "usual" 6 or 7 sectors a day. The most i ever did in the busy times was 5 and the last one was to posn for a technical item. More normal was 3 to 4. Now it varies fom none to 4 and many crews are begining to run out of FDP again

The one thing the article was very correct on was the fact that NJE was caught with its pants down.

Maybe the NJ arrogance that Barista eludes to should be levelled at management who despite the signs and advice from the troops that things weren't right, still ploughed on.

This is also true for many other companies and not just us, but being the biggest player its easier to point fingers and make crticisms.

But despite the doom merchants i truly beleive that we will get through this and thrive again. If some believe thats being smug or arrogant then so be it. I prefere to call it optomistic.

We are doing nothing different from other airlines and businesses and discounting "tickets". But being NJE it creates a few more ripples and hits the headlines a bit faster than most and this gives many an opportunity to "have pop".*offfensive comment deleted*

We are all in the shame pile of **** and instead of working together to get through this we are ALL backing off into corners and throwing rocks. Thats not good.


Ladies and gentlemen. gone till november will be taking a little break to consider the use off offfensive language here in our corner of PPRuNe.

Last edited by gone till november; 28th Jul 2009 at 10:54.
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Old 28th Jul 2009, 16:19
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Never did more than 4 sectors a day.
Uncle warren does not get embarrased for a man triggered crisis for which he warned in 1998.
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Old 29th Jul 2009, 11:53
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Having just made 2 billion from his investment in G.Sachs I doubt he is losing too much sleep about this spike.
Remember his mantra.....buy low, sell high.....not the reverse!
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Old 29th Jul 2009, 13:06
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Playing the man and not the ball gtn. Poor form.

I've really no interest in you as my abstention of eight months will attest. Hell, when you summoned me from slumber I even had to look back over your old posts to work out who you were.

Had I been the rabid NJE-hater of which you accuse me I could have caused all sorts of mischief with 'the' emails from RD on the options and take-ups. Could have cut and pasted the whole things into here for all to see particularly when non-NJE members were asking for details but I left it alone because of the potential effects on those who had taken options.

I could also have posted a number of I-told-you-so's but we all know your management screwed up and that your colleagues are now paying the price. Would gloating and schaudenfraude have helped them? Of course not. Who'd have thunk it eh? Smeagel having more consideration for your colleagues than you, strange old world innit?

I'm not being drawn in. Clearly you are under pressure and handling it badly. I'm sorry your wife may lose her job, I'm sorry you feel guilt or shame about not being able to make the same kind of sacrifice as some of your colleagues but bringing me into this purely to lob nasty insults will change none of it. Even your co-workers are embarrassed by your posts and some are even more forthright than that if their PM's to me are anything to go by. If you object to them calling you arrogant then take it up with them in your own crew forum, this is not the place.

As I said, I've no interest in you or NJE. I'm not insulting you here, I certainly haven't stooped to foul language, kindly afford me the same courtesy.
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Old 30th Jul 2009, 13:06
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Originally Posted by gone over the edge
one liners are just that
Err, clearly.

In this case it also seems to have summarised things neatly. I know you and Smeagel have history but man, you are practically foaming at the mouth. Either he did something to you in the real world or you need help. Not just him either, you seem to want a fight with everybody in here.

Back on topic (you know, the thing that started this thread?) I hear that since the price drop Netjets sales have increased so it did work. Could they not have tried that before laying people off?
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