There's a little consolidation happening in the private jet business. Berkshire Hathaway's NetJets announced an agreement
to purchase Marquis Jet, a top seller of private jet cards for an undisclosed amount. Per the terms of the deal, Marquis Jet became a wholly-owned subsidiary of NetJets. Marquis sells cards that offer 25 hours of flight time on NetJets aircraft. The newly branded Marquis Jet Card by NetJets will continue to be a part of a full set of private jet services offered by NetJets which previously only sold increments as small as 50 hours. In a statement NetJets Chairman and Chief Executive Officer David Sokol said that by bringing NetJets and Marquis Jet together "we combine the unquestioned industry leaders in safety and Owner service and, simultaneously, we create the finest sales and marketing organization in private aviation."
The decision is part of the NetJets 10-year business plan, which also includes the consolidation of U.S.-based business functions and an order to purchase up to 125 new aircraft. The company is also planning major expansion into China. Last year NetJets laid off pilots but it is bouncing back. BusinessWeek mentioned that
in August that NetJets had a $114.5 million pretax profit in this year's second quarter.
The Columbus Dispatch also report
s that NetJets promoted Jordan Hansell to president. He was previously NetJets' chief legal counsel. David Sokol, who was tapped by Warren Buffett to run NetJets last year, will keep the title of CEO. Hansell will be supported by Adam Johnson and Bill Noe, two veteran NetJets employees, who have been named co-presidents of NetJets North America.