““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 ”
Bizjet Order Is Largest Ever
VistaJet has placed a firm order for 56 Bombardier Global aircraft, with options for up to another 86. At $7.8 billion, the deal represents the largest single transaction in the history of business aviation. Deliveries of this latest batch of Bombardier jets under firm order are due to begin in January 2014 and run through the end of 2017. The aircraft included in the contract consist of 25 Global 5000s, with options for 40 more; 25 Global 6000s, with options for another 40; and six Global 8000s, along with an equal number of options. The aircraft will be deployed in growth markets, including Russia, China, the Middle East and all of Africa.