NetJets Inc., a subsidiary of Berkshire Hathaway, is an American company that sells part ownership or shares (called fractional ownership) of private business jets. NetJets was founded in 1964 as Executive Jet Aviation. It was the first private business jet charter and aircraft management company in the world.
|Founded||21 May 1964|
|Subsidiaries||Executive Jet Management, Inc.|
NetJets Aviation, Inc.
Marquis Jet Partners, Inc.
|Destinations||Point to point|
|Parent company||Berkshire Hathaway|
|Headquarters||Columbus, Ohio, United States|
|Key people||Adam Johnson (Chairman and CEO)|
Mario Pacifico (CEO of NetJets Europe)
NetJets Inc., formerly Executive Jet Aviation, was founded in 1964 as the first private business jet charter and aircraft management company in the world. The founding members of the board of directors included US Air Force generals Curtis E. LeMay and Paul Tibbets Jr., Washington lawyer and former military pilot Bruce Sundlun, and entertainers and pilots James Stewart and Arthur Godfrey, with retired Air Force Brigadier General Olbert F. "Dick" Lassiter serving 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 Tibbets became president in 1976. By the late 1970s, EJA was doing business with approximately 250 contract customers and logging more than three million miles per year.
In 1984, Executive Jet Aviation was purchased by mathematician and former Goldman Sachs executive Richard Santulli who owned a business that leased helicopters to service providers of offshore oil operations. When Santulli became chairman and CEO of the corporation, he closely examined 22 years of pilot logbooks and began to envision a new economic model where several individuals could own one aircraft.
In 1987, the NetJets program was officially announced becoming the first fractional aircraft ownership format in history. Around the same time, painted on every NetJets US aircraft was a three-digit tail number punctuated with QS, symbolizing the revolutionary concept of selling Quarter Shares of an aircraft—a feature that is still representative of the NetJets brand today.
In 1998, Berkshire Hathaway acquired EJA and NetJets Inc. NetJets soon expanded to Europe and then Russia, and by 2006 was the largest operator of business jets in Europe.
In early August 2009, Santulli resigned as CEO and was replaced by David Sokol. Shortly afterward, NetJets moved its corporate headquarters from New Jersey back to its original home in Columbus, Ohio.
In 2010, NetJets acquired Marquis Jet from founders Jesse Itzler and Kenny Dichter. The prepaid Marquis Jet card allowed customers to purchase 25 hours of guaranteed flight time on the NetJets fleet.
NetJets sells fractions of specific aircraft, chosen from several available types at the time of purchase. 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.
For companies or individuals that require less than the minimum 50 flight hours and the five-year commitment of fractional ownership, they can buy flight hours in 25-hour increments via its Marquis Jet and NetJets jet card programs.
NetJets is the largest private jet operator in the world.
|Aircraft||ICAO code||In Service||Orders||Passengers||Ref|
|Bombardier Challenger 350||CL35||63||—||9|||
|Bombardier Challenger 650||CL60||20||—||19|||
|Bombardier Global 5000||GL5T||11||—||19|||
|Bombardier Global 6000||GLEX||13||—||13|||
|Cessna 550 Citation Bravo||C55B||3||—||6|||
|Cessna 560 Citation Encore||C560||27||—||8|||
|Cessna 560XL Citation Excel||C56X||100||—||9|||
|Cessna 680 Citation Sovereign||C680||45||—||12|||
|Cessna 680A Citation Latitude||C68A||71||—||9|||
|Cessna 750 Citation X||C750||50||—||12|||
|Dassault Falcon 2000||F2TH||31||—||10|||
|Embraer Phenom 300||E55P||73||—||6|||
|Gulfstream G200 Galaxy||GALX||22||—||10|||
- Executive Jet Management, Inc.
- Manages on-demand air charter services, charter aircraft management, and aircraft management services. Based in Cincinnati, Ohio, United States.
- NetJets Aviation, Inc.
- Operates all aircraft in the NetJets US fleet. Based in Columbus, Ohio.
- Marquis Jet Partners, Inc.
- Sells the Marquis Jet Card prepaid flight hours package. Became a wholly-owned subsidiary of NetJets in 2010.
- QS Partners
- Provides whole-aircraft brokerage services for individuals and businesses. QSP became an independent subsidiary of NetJets in 2016.
- NetJets Europe
- A wholly-owned subsidiary based in Lisbon, Portugal. In March 2018 former Prada executive Mario Pacifico was appointed CEO of NetJets Europe.
Concerns and conflictsEdit
The Internal Revenue Service (IRS) sought back taxes and penalties of $643 million from NetJets for periods beginning in 2003. NetJets filed a lawsuit challenging the IRS assessments. In January 2015, the United States District Court issued a decision in NetJets' favor, holding that the IRS assessments were unlawful.
In 2019, a former NetJets pilot filed a lawsuit alleging that in March 2017, the company violated US Civil Right and Ohio anti-discrimination law when she was fired for being too short to properly control the rudders of an Embraer Phenom 300.
Accidents and incidentsEdit
|9 May 1970||N434EJ
(Flying as Executive Jet Aviation)
|Controlled flight into terrain while landing at Pellston-Emmet County Airport (IATA: PLN, ICAO: KPLN, FAA LID: PLN).||6||0||0||0|
|2 May 2002||N397QS||Cessna Citation 560||
|Arriving from Houston Hobby (IATA: HOU, ICAO: KHOU, FAA LID: HOU), the aircraft landed more than halfway down the runway at Real County Airport (FAA LID: 49R). The aircraft overran the departure end of the runway and collided with trees. A post-impact fire consumed the aircraft after the crew and four passengers were able to evacuate.||0||0||0||6|
|3 November 2003||N632QS||Cessna Citation 560||
|NetJets Flight 632 (N632QS) was a flight from Chicago Executive Airport (IATA: PWK, ICAO: KPWK, FAA LID: PWK) to Beaufort County Airport (IATA: BFT, ICAO: KARW, FAA LID: ARW). During the flight, the crew experienced issues with malfunctioning landing gear. The aircraft was diverted to Savannah/Hilton Head International Airport (IATA: SAV, ICAO: KSAV, FAA LID: SAV) and landed with the nose gear retracted.||0||0||0||6|
|18 August 2004||N961QS||Cessna 750||
|Netjets Flight 961 was a flight from San Jose International Airport (IATA: SJC, ICAO: KSJC, FAA LID: SJC) to Jackson Hole Airport (IATA: JAC, ICAO: KJAC, FAA LID: JAC). After landing and slowing down to approximately 10 to 15 miles per hour (8.7 to 13.0 kn), the right main landing gear failed, causing minor damage to the aircraft.||0||0||0||4|
|26 September 2005||N669QS||Cessna Citation 560||
|Netjets Flight 669 (N669QS) experienced a landing gear failure while taxiing for departure at Port Columbus International Airport (IATA: CMH, ICAO: KCMH, FAA LID: CMH).||0||0||0||2|
|5 January 2006||N391QS||Cessna Citation 560||
|Netjets Flight 391 (N391QS) was a flight from Chicago Executive Airport (IATA: PWK, ICAO: KPWK, FAA LID: PWK) to Lakeland Airport/Noble F. Lee Memorial Field (IATA: ARV, ICAO: KARV, FAA LID: ARV). During landing the right wing contacted the runway causing the aircraft to depart the runway and impact a snow bank. The NTSB found that the Captain failed to "maintain adequate airspeed during the landing which resulted in a stall."||0||0||0||7|
|28 August 2006||N879QS||Hawker 800XP||
|Netjets Flight 879 (N879QS) was a flight originating from McClellan–Palomar Airport (IATA: CLD, ICAO: KCRQ, FAA LID: CRQ). While on approach to Reno–Tahoe International Airport (IATA: RNO, ICAO: KRNO, FAA LID: RNO), Flight 879 collided mid-air with a glider (N7729) 10 miles (16 km) west-northwest of Smith, Nevada, at an altitude of 16,000 feet (4,900 m) above sea level. Flight 879 landed safely with only minor injuries on board; the pilot of the glider parachuted to safety, but sustained minor injuries after landing.
During the investigation, the pilot of the glider stated that glider's transponder was off in order to preserve the batteries for radio use.
|0||0||2 + 1||3|
|27 May 2011||N749QS||Gulfstream G200||
Newburgh, New York
|NetJets Flight 749 (N749QS) was a flight originating from Greenville–Spartanburg International Airport (IATA: GSP, ICAO: KGSP, FAA LID: GSP) bound for Westchester County Airport (IATA: HNP, ICAO: KHNP, FAA LID: HNP). During the flight, the crew experienced issues with the landing gear. The aircraft was dirverted to Stewart International Airport (IATA: SWF, ICAO: KSWF, FAA LID: SWF). After an emergency landing, the right main landing gear collapsed.||0||0||0||3|
|23 July 2014||N731QS||Gulfstream G200||
|NetJets Flight 731 was a flight originating from Dallas Love Field (IATA: DAL, ICAO: KDAL, FAA LID: DAL). Upon landing at Sardy Field (IATA: ASE, ICAO: KASE, FAA LID: ASE) the aircraft experienced a loss of control event upon landing. The airplane came to rest on the runway, sustaining minor damage.||0||0||0||3|
|19 September 2014||N322QS||Embraer Phenom 300||
|NetJets Flight 322 was arriving from Nashville International Airport (IATA: BNA, ICAO: KBNA, FAA LID: BNA) when it departed the end of the runway at Lone Star Executive Airport (IATA: CXO, ICAO: KCXO, FAA LID: CXO) and impacted a ditch. The area had recently been inundated by the remains of Hurricane Odile. There were no injuries but the airplane was substantially damaged. The first officer's use of the emergency brake system during landing was found to be the cause by the National Transportation Safety Board.||0||0||0||2|
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Executive Jet Airways was founded on May 21, 1964, by a group of retired World War II U.S. Air Force generals led by Brigadier General O. F. "Dick" Lassiter.
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NetJets poineered the fractional ownership concept for private jets.
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NetJets, founded by three retired military pilots in 1964 as Executive Jet Aviation, is the granddaddy of fractional ownership and private jets. Since its inception, it has grown from a fleet of ten Learjet 23 aircraft to 10 types of planes and nearly 700 aircraft worldwide—the world’s largest private jet fleet.
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Fractional ownership in its current form was launched in 1987. It evolved from a program that began in 1964 when the Pennsylvania Railroad put up the capital to finance Executive Jet Airways. Ten Learjet 23's were purchased with the mission to sell "blocks of usage" providing customers with business jet transportation wherever they wanted to go.
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On April 21, 1976, Tibbets became president of Executive Jet Aviation, Inc.
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Founded in 1996, NetJets Europe is the largest operator of business jets in Europe, with 100 jets and more than 1,200 customers.
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Sokol became CEO and chairman of NetJets in early August upon the abrupt resignation of longtime CEO Richard Santulli. Investor Warren Buffett, who controls parent company Berkshire Hathaway Inc., selected Sokol to help orchestrate a turnaround at NetJets.
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NEW YORK (Reuters) - NetJets Inc, the corporate aircraft unit of Warren Buffett's Berkshire Hathaway Inc (BRKa.N) (BRKb.N), said on Thursday it bought Marquis Jet, which has a program that sells flight time on NetJets planes. Terms of the sale were not disclosed.
- Lopez, Luciana (23 September 2014). "NetJets wins approval to launch China service". Reuters. New York: Reuters. Archived from the original on 11 December 2018. Retrieved 20 October 2019.
NEW YORK (Reuters) - NetJets Inc [BRKNT.UL], the private aircraft charter company owned by Warren Buffett's Berkshire Hathaway Inc (BRKa.N), said on Tuesday that it had acquired approval to launch its aircraft charter service in China.
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NetJets is the largest business aircraft operator in the world with a fleet of over 520 aircraft.
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NEW YORK, Jan 27 (Reuters) - NetJets Inc, the private jet-sharing company owned by Warren Buffett's Berkshire Hathaway Inc, has defeated a U.S. Internal Revenue Service lawsuit attempting to recoup more than $500 million of unpaid taxes, penalties and interest.
- Weiker, Jim (15 August 2019). "Pilot says NetJets fired her because of her height". The Columbus Dispatch. ISSN 1074-097X. Archived from the original on 15 August 2019. Retrieved 20 October 2019.
After passing the initial flight test, Drerup "struggled to maintain control" of an Embraer Phenom 300 plane during a flight simulation. Her instructor told her she was too short, at 5 feet 2 inches, to properly control the rudders.
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Sardy Field was closed for a portion of Wednesday night after a private jet with three people on board skidded and then spun off the runway upon landing earlier in the evening. No one was injured.
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CONROE, Texas - A plane slid off the runway at the Lonestar Regional Airport in Conroe.