““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 ”
Lufthansa Inks NetJets Deal
Lufthansa Private Jets has relaunched its partnership with NetJets Europe, following the closure of Swiss Private Aviation, another subsidiary of the German airline. Lufthansa also has announced plans to expand its executive charter service into Middle Eastern and U.S. markets later this year. Under the new deal, Lufthansa passengers will be able to book NetJets flights with as little as 10 hours' notice. The available fleet of more than 150 aircraft in Europe includes Hawker 400XPs, as well as Cessna Citation XLSs and Gulfstream G550s. Lufthansa previously partnered with NetJets from 2005 to late 2007.