I've read several bad articles about this subject but this is the worst. It is deliberately misleading in an effort to draw a reader to a certain conclusion. Let me add a few more facts to this that will paint a much clearer picture.

First thing, the aircraft was ordered in 2005 while Citibank was loaded with money. At the time they planned to sell two aircraft for ~$27mil apiece to pay for the new one. The new one has better fuel efficiency and a much greater range. What the article failed to mention is that there is a order cancellation clause in all aircraft purchases. These penalty fees depend on how soon the aircraft is to delivery. They typically range from 10%-30% of the purchase price. The closer to delivery the higher the fees. The press reports say that the aircraft was to be delivered sometime this year. This means that the penalty's would be closer to the top. This means that Citibank would be required to pay $5mil-$15mil to cancel. Another thing that is not being reported is this particular model of aircraft is the hottest thing on the market. It could be sold for a nice profit ($5-10mil) if they sold it after delivery. So by forcing Citibank to cancel the delivery they lost something between $10-25mil. Not a very good business decision in my opinion...

Second thing, every article mentioned multiple times that the aircraft was made in France. This is only half true. All of the avionics, the entire interior and many of the other various systems are all made in the USA. By just percentage of parts it is actually an American made aircraft that is put together in France. Then brought back the the US for the second half of the build cycle. That's right, Dassault employs several thousands of Americans to build these aircraft. The aircraft are then serviced here in America by Americans.

For some reason these items that significantly change the story were left out of the article.

 

^ Plus it sounded like they were going to sell their 2 current jets and put the proceeds toward this one which is cool but I guess Private jet then begging for bailout money does not look so good.

 

That is correct, they were going to sell the two older aircraft for $54mil and buy a new one for $50mil. The company would have actually made $4mil.

All of the information that I posted could have been found in less than 10 minutes with a google search. However, it was deliberately avoided to misconstrue the facts. I am getting rather tired of this style over substance mentality that is sweeping this country.

 

Lmao, was that supposed to be an insult? Honestly, it was SO bad and made so little sense I couldn't tell.

Minivans and soccer moms? Lol, ok?

"Tard" in a Focus? Good thing I have a an IQ higher than yours, have accomplished more by age 24 than you did in your entire life, and don't worship a fat guy. Oh, and I own a house...in San Diego. Not bad for some tard kid.

I'll also be graduating this semester with a degree in management, with honors.

Nice try though

As for the true tard, "Because it's just a sig you giant douche."

Rofl! Yeah, and it's YOUR sig retard. "4.6 PUNISHER!!!" ROFL!

Lol, except I am not the retard making a sig trying to make his 4.6 ghetto special is a racing truck

Guaranteed both of my trucks and my focus are nicer than your budget special, and get far more positive attention.

I literally have people stop traffic or cut people off to tell me how nice my Focus is...the only people giving you, or your truck attention are likely pointing and laughing. Nice try though, "punisher!!!!!"

 

I never thought I would say this but I'm starting to like you.

 

So because you live in San Diego and have a college education gives you the right to be a douche? You're giving the "great state" of gaylifornia a super awesome name. And as a matter of fact, a damn good bit of people have complimented me on my truck. I'm sure you won't believe me, just as I doubt anyone would ever give a compliment to a homo ricer. Keep up the good work with being a giant and total douche my friend.

 

Mines 12" long!!!!!!!!!!! hahahaahhahahahahah!!!!!!!!!!

Anyways, yeah, B Hussain made Citigroup give up their brand new Dassault Falcon (you think they could at least buy and American made corporate jet, or even Canadian). Tax payers are still going to eat the 10%ish down payment. But what are they going to make them do with the other two they have. Its not the jets that cost 50 milllion, is the $2500/hr operation costs. Thats what makes owning these aircraft expensive.

When the could own something like a Beechcraft King Air, even the big one (KA 350) only cost around 6 mil, and has operational cost in the $1000/hr range. Turbo props are slower, but they have twice the airfield capabilities.

my .02

 

I guess you're too "smart" to see the similiarities between two bitches behind the wheel of two bitch cars.

No wonder Buckdropper has had fun punking your *** on here for years, to the point of multiple suspensions, you make it too easy boy.



FX41, lumadork has two 6 1/2 inchers that together beat your 12. You just have to wait for his boyfriend to show up though.......

 

Lumadar,

When I posted the above yesterday it was because your slowmaster comment was pretty funny, and when you were chirping at 4.6 punisher, I thought it was in a friendly, rivalry kind of way, the way Bucky & I, or a few of us on here tease each other, I never realized you were seriously being an insulting and immature *****, until reading the entire thread.

Listen man, I'm not going to call you names but wow, you need to start chilling out and not being an ahole to some people here.

I think deep down you're a good kid and pretty smart too, but I don't know WTF is wrong with you because you've been behaving like a giant douche in this thread and I think you're capable of better.

I hope you're mature enough to figure out you took it too far and make things right; and until then I must rescind my above comment.

 

Does nobody here think that government controlling what private business does is bad? I agree that they may be managing money poorly. (clearly) But if the government is choosing to lend them money they should not control how it is spent. And do none of you realize that Obama the savior hired to help fix this mess many of the same retards that are actually responsible for CREATING the mess?

 

back to the subject of the citibank plane. one poster was right on about the amount of american made parts on the aircraft.

another point is how many people i.e. mechanics and pilots in the citibank aviation department can possibly lose their jobs. In addition how many others that are dependent on this aircraft for a paycheck such as line guys, fuel techs, dispatchers, caterers, and service center employees down the road.

some might think that it is over the top for a couple execs to travel in such luxury, but thats a whole other argument. the big picture is how many make their mortgage payments because of the jobs that are created.

 

It is a $20 million swing .. They go from making $4 million on the two for one swap, to paying a $15 million penalty.

so using your operating cost for the Beech of $1,000/hr and the $2,500/hr for the Dassault.

it would take them 12,667 hours of flight time to break even on the $19 million they are paying\losing to break the deal. So if they used it 8 hours a day, 7 days a week for 4.4 years, they will be in the black.

Seems like a stupid move to me, just to make a some whiners happy.

They should have taken delivery on the Dassault, and then sold it, or gone ahead with the two for one swap, and then tightly managed its use to make sure every trip was justified.


The quickest way to turn the economy around is for people to make well thought out decisions, not to continue making knee jerk reactions with the immediate goal of pleasing the media, or others that are watching.

 

The last numbers I saw on this subject showed that over 70,000 Americans were directly involved in the service, maintenance and operation of GA (privately owned) aircraft. In other words, nearly the same amount of Americans work on private aircraft as there are GM hourly workers.

 

Lumadar & 4.6Punisher I think you both have nice vehicles

 

let obama, frank, pelosi, reid, dodd, clinton and the rest of the out of touch liberals take a king air.

they are the true out of touch double talking parasites of society.

as soon as we realize they could care less about the average worker until it comes election time things will not change.


sorry to get off the original subject, but i feel better now.

as for the estimate of 70,000....i cant dispute that. it has to be at least that. that would be a number that i would guess that is in direct hands on support. i think if the headcount included all that were dependent on a paycheck from general and corporate aviation it would be much much higher.