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Gulfstream: How jet corporations are battling for Hollywood starlets
Bombardier, a Canada-based aviation and space company that has set itself the goal of becoming the Hollywood marque of choosing, has placed the eight-seater, $18 million Learjet 85 cab model, the world''s quickest Learjet to date, the first 100 of which have already been ordered and will be launched next year, on the scene.
Among the supporters are Oprah Winfrey and Michael Eisner, among many others, andombardier has made a more abrasive tone towards Hollywood audiences, hired the APA Talents Agent as a trademark advisor last year, hired aerospace enthusiast John Travolta as a trademark messenger, and in the early part of the year even hosted a lunch for Oscar nomee Viola Davis at Hotel Bel-Air.
As well as providing demonstration rooms on aircraft as hooks, Bombardier also supports industry-oriented organisations such as BAFTA, the Shoah Foundation, the Milken Global Conference and the Toronto International Film Festival. Policies like these are paying off in Hollywood, where customers annually spend $3 million on owning and maintaining personal jetliners such as the top model Challenger or the Bombardier Global Express (Ted Turner has one, and Beyonce buys an 850 for Jay-Z for Father's Day) or Gulfstream (list price starts at $50 million), or even $70,000 for a round from Los Angeles to New York.
To say nothing of the fact that here an acceptable affection for luxuries coincides with a real need for travelling efficiently. Since the upper end of the jet segment continues to grow, so does the competitive environment for top customers. One of those who have bought privately owned aircraft in recent years is Peter Jackson, who in 2010 bought a Gulfstream G550 for an estimate of 68 US dollars to make it from New Zealand to Los Angeles without stopping for fuel.
Google's triumphal advisor Sergey Brin, Larry Page and Eric Schmidt are thought to have accumulated a squadron of eight aircraft, two of which are G5s, a Boeing 767 and a Boeing 757. At a time when more and more films are being distributed internationally, few studios can even conceive of a PR roadshow without the use of a commercial jet.
"We often do," says a copy of the book, "fly talents to Europe on a commercial basis for the launch of the media trip and then take them on a jet to different European destinations. From the 1970s, Gulfstreams replaced Lear Jets as the industry's trophies toy, when former Warner Bros. Steve Ross preferred talents such as Clint Eastwood and Barbra Streisand with G-II flying at the studios.
"Glenn Hinderstein of Glencoe Aviation, who has a long customer history of Hollywood stars with whom he has worked since his time as NetJets Vice President Vice President Sales, says he used it like sweets and they got hooked on their personal jet trip. "Advisors say that for a movul, top-level executive or blue-chip manufacturer who spends more than 400 hrs a year flying, privately justifiable is easily achievable.
Until President Obama's American Jobs Act comes into force in 2013, executive jetliners will still write off more quickly than airliners in a revenue gap from which entrepreneurs have profited. "The use of a personal jet usually cuts overall travelling times by a third," says Mark Bloomer, personal airline advisor and acquisition expert at Bloomer deVere, referring to the removal of early arrival for merchant airfares, passing through safety checks and luggage delays.
He' s in the grocery store for a new airplane. "It'?s about the luxuries of time," he says. Airborne service is becoming more efficient as residential aircraft are becoming more and more equipped with high-speed WiFi, large high-definition displays and video conferencing. Most of the best amusement groups have an avarage of three planes in their company fleet.
Judging from the latest FAA recordings available, Viacom has a Global Express and a G4; Disney-Execs are flying a couple of Gulfstreams and a couple of Bombardiers; News Corp. has a G4, a G5 and a Boeing 757; and Sony and Comcast are keeping three Dassault Falcons each. Threatened to hear about one-percent people using their nozzles to blow mother's breastfeeding or a taste of icecream from another town for a daughter's anniversary celebration.
Apart from ongoing perception, worldwide jet traffic has shown evidence of recovery after the economic slowdown, with the sale of deluxe aircraft increasing in recent years. "For very important reason, our customers are flying for those who have not survived the downturn," says Craig Ross, Aviation Portfolio's advisor for personal aircraft. As with other wealthy economic activities, the upper end of the jet engine sector is thriving best.
Between 2007 and 2011, revenues from the world' top executive jetliners increased by 23 per cent, while revenues from small and medium-sized jetliners declined. According to the portfolio of the greatest Hollywood gamers, the order of desire begins with Bombardier and Gulfstream, followed by rebuilt Boeing airliners that are far more costly than most Bel Airbus villas.
Owning one, says a Los Angeles based jet broker: "I think you should have a net asset value of at least $100 million. "On the other side, there is a flood of used planes out there; those satisfied with used planes can now find a buyer's mark-up, with older Gulfstream G-IVs spending only $12 million to $15 million (compared with $35 million to $38 million new).
Naturally, personal aircraft - most in the L.A. area flying into and out of Van Nuys Airport, as well as Santa Monica, Burbank and LAX - can be equipped with everything from Mahair banquets to four-star chows. "However, the reality is that "the capacity to go anywhere without having to worry about a schedule" is a real deluxe, says John Dunkin, head of Donald Trump's Boeing 757 commercial jet, which the Humpback Waltz bought from Paul Allen in 2011 for about $100 million.
XOJet's CEO, Blair LaCorte, says some of his most succesful customers (including allegedly Justin Bieber) are anything but exhausted. "LaCorte says that even for those regular flyers, whether privately or on holiday, the concept of privately operated flights remains a certain mysticism.
" In fact, those high flyers who once dreamed of having a jet at their disposition and now have to content themselves with taking a trip with a boyfriend - or even with a good sky that only travels commercially first-class - can certainly confirm this. Freston said, "I think about it every single fucking second I take off my boots to go through safety.