““CEOs go to their vacation homes just after companies report favorable news, and CEOs return to headquarters right before subsequent news is released. More good news is released when CEOs are back at work, and CEOs appear not to leave headquarters at all if a firm has adverse news to disclose. When CEOs are away from the office, stock prices behave quietly with sharply lower volatility. Volatility increases immediately when CEOs return to work.” —David Yermack, a New York University finance professor, whose recently released study shows a correlation between when CEOs take their private jets on vacation and movements in their companies’ stock price ”
Adam Aircraft Sells Very Light Jets in China
Adam Aircraft may have taken the first very light jet order from the People's Republic of China. The Denver-based manufacturer announced receipt of a firm order for 50 AdamJet A700 twin-boom VLJs from Hainan Zhong Hang Tai General Aviation Airlines, the China-based operating entity of Ameritech Aerospace.
The acquisition, according to Adam Aircraft, is part of the Chinese company's strategy of capitalizing on the country's fast-growing general aviation market with a fractional-share program and air-taxi operation. Adam expects the A700 to receive FAA certification in early 2008.