““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 ”
Congress Reinstates Barr Program
The U. S. Block Aircraft Registration Request (Barr) program has been reinstated, at least through Sept. 30, 2012. On November 18, President Obama signed an appropriations bill containing language that reverses Barr’s August dismantling. Now, National Business Aviation Association officials are in discussions with the FAA regarding the logistics involved in resurrecting the program. The NBAA said it expects to receive more guidance from the FAA shortly “but at this point it is clear that anyone currently blocking their movements as part of the FAA’s Certified Security Program will not have a gap in their ‘blocked’ status.” The FAA created the Certified Security Program post-Barr to allow operators with “bona fide” security concerns to block their tail numbers from online flight-tracking sites. According to the NBAA, operators will no longer need to certify or even reference a “valid security concern” to have their blocking request accepted. Such requests can now be sent to CertifiedSecurityConcern@faa.gov.