We’d hate to be building new small planes right now, given the glut of corporate jets that seem to be hitting the market. The latest one is from Starbucks (SBUX), according to an ABC report, which is interesting, since just yesterday we learned that CEO Howard Schultz liked to fly down and inspect underperforming stores directly. The plane is a 2002 Gulfstream V. It still sounds like he’ll be able to fly in style for a little while, since the company also owns another 12-seater made Bybombardier.
Gulfstream, meanwhile, is owned by aerospace/defence firm General Dynamics (GD), which just last quarter said: “The market for business-jet aircraft drove the Aerospace backlog to its highest level ever, we improved margins company-wide and generated substantial cash by maintaining our focus on solid execution.”
Let’s see how that backlog looks when they report in January.