““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 ”
Gulfstream unveils G250 super-midsize jet
As forecast in our previous issue, Gulfstream announced the G250 at the National Business Aviation Association convention in Orlando, Fla., in October. The jet falls into the super-midsize category and will cost about $24 million.
Preliminary performance numbers for the G250 include 3,400-nautical-mile range and a maximum speed of Mach 0.85. The design will retain the G200 fuselage but have a new wing and T-tail. It will be built under contract by Israel Aircraft Industries in Tel Aviv. Certification and start of deliveries are planned for 2011.
The G250 is the second new aircraft announced this year by the Savannah, Ga.-based business jet manufacturer. The large-cabin G650 was launched in March and the company began accepting orders for it at the NBAA convention.