““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 ”
Bizjet Showroom Opens in London
The Jet Business, which bills itself as “the world’s first corporate aviation showroom for business jet aircraft,” opens its doors this month at One Grosvenor Place in central London. The showroom, which will be open by appointment only, boasts a full-scale cabin mockup of an Airbus Corporate Jet in its front window. Floor-to-ceiling screens, running the length of the facility, can display full-size cabin cross sections and floor plans of the majority of available jets. The Jet Business’ operators, who are not affiliated with any manufacturer, promise to provide impartial advice to buyers. We’ll have more on this operation in the February/March issue of BJT.