Industry Pioneer Richard Santulli Resigns
Some sources suggest that NetJets' financial troubles might have led to Santulli's resignation. Just three days after his announcement, the company reported that revenues in the first half of this year were $1.024 billion lower than in the first half of 2008--a 42-percent drop. According to Berkshire Hathaway, the decline reflected an 81-percent reduction in aircraft sales and a 22-percent cut in flight-operations revenues.
David Sokol, who had been chairman at Berkshire-owned MidAmerican Energy Holdings, is now chairman and interim CEO of NetJets and has announced a new management structure. In addition, the company has confirmed that it is moving its headquarters from Woodbridge, N.J., to Columbus, Ohio.