Months after the backlash the automakers and companies such as Citigroup (C) and AIG (AIG) received for their management’s perceived abuses with respect to corporate jet usage, the subject has reared its head once again.
It would appear that after certain financial institutions received funds under the Troubled Asset Relief Program (TARP), their CEOs utilized the corporate jets for decidedly more personal jaunts. As the various flight records indicate, on numerous occasions corporate jets landed near resorts or executives’ vacation homes in Europe, Mexico, the Caribbean, South Florida, and Aspen. Some of institutions in question were Bank of America (BAC), Morgan Stanley (MS) and Regions Financial (RF).
We do not have a significant aversion to CEO’s receiving perks during good times. However, if a number of other institutions and companies have been flambéd by the press and Congress for excessive use of corporate jets, it would seem a bit arrogant to not expect to receive some sort of backlash this time.
We do recognized that a number of corporations donate flight time to transport sick children to hospitals or for “Make A Wish” type usages, and give them credit for that!
But before anymore torches are lit, it should be found out if there was any sort of client outing planned or corporate off-set retreat that would warrant these flights.
If not, then we suggest that the companies could have charters jets for their CEOs to get away, thereby circumventing most of this indignation for a perk that was never question in the past.
Read the full analyst report on “C”
Read the full analyst report on “AIG”
Read the full analyst report on “BAC”
Read the full analyst report on “MS”
Read the full analyst report on “RF”
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