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Canadian Investing / Bombardier Aerospace


Subject:  Re: New Learjet 70 and 75 Date:  7/20/2012  4:32 PM
Author:  jammerh Number:  2877 of 2881

Hi Norm, in response to your last post. As usual, I agree with most of what you said, but here are a few points that come to mind in reading what you wrote:

"Fractional jet share operators have to factor in the cost of flights to reposition aircraft and crews somehow. Some of it probably counts as usage within the hours allocated to each fractional share, and some of it undoubtedly is mitigated by the fact that one customer will want to go to a location from which another customer wants to depart at about the same time, or at least a location that's close enough so the "dead head" to reposition the plane and the flight crew is short. Also, the wording of the customers' "fractional ownership" contracts can provide flexibility by requiring the customers to specify time windows of several hours in duration rather than specific times."

Yes, according to what I read they employ complex mathematical algorythms in an effort to minimize flights to reposition aircraft still it's a sizeable cost for any fractional jet share operator. It seems to me that the larger the company, the easier it would be able to do this. Would you agree?

If that's the case Netjets would have a definite advantage in terms of its size and number of clients. Last time I looked Netjets still had a whopping 75% marketshare compared to Flexjet and Flight Options sharing the bulk of the remaining 25%.

Me: "You'll see more turboprops i