Here’s what we’re talking about this week - the VIP Seat Podcast launches next week!

SAF may not be the panacea the industry hopes for

Despite reducing carbon emissions by 40% over the last forty years (NBAA), private aircraft continue to be the whipping boy for environmental advocacy groups, with private jets and related events becoming increasingly targeted by protestors. As the industry dives deeper into championing the emission reductions of Sustainable Aviation Fuel (SAF), hoping to thwart these concerns, UK government watchdog, the Advertising Standards Agency, banned an advertisement last week of Virgin’s first flight powered solely with 100% SAF.

“Virgin Atlantic confirmed to the ASA that sustainable aviation fuel produced the same level of CO2 emissions during flight as traditional jet fuel,” causing the agency to claim that merely using the industry-accepted term for SAF by including “sustainable” in the title of the fuel used was misleading to consumers.

flyExclusive announces $25 million preferred equity investment

FLYX (NYSE) announced a $25 million preferred equity investment before its earnings call on Wednesday. The unaudited 10-Q for June 2024 revealed net cash flows from operating activities widened from -$7.3 million from January to June of 2023 to -$42.6 million from January to June of 2024. On the earnings call, the firm mentioned plans to transition the fleet to the Challenger 350, citing increased cost efficiencies and higher dispatch reliability; CEO Jim Seagrave cited poor dispatch reliability of the legacy fleet as a drain on company performance.

Jeffrey Epstein’s former jets continue to attract negative press

Donald Trump’s aircraft made headlines with a mechanical diversion this week. While it landed uneventfully, the Republican former President and candidate was under fire for choosing to fly on a charter aircraft previously owned by Jeffery Epstein. It’s not the first time someone has come under fire for flying on the former felon’s aircraft, as he owned at least three. A lawsuit in 2021 was filed against Epstein’s estate, claiming damages due to the stigma of the aircraft affecting its ability to serve charter clients; “A lot of people track the plane, who flies on it, and of course, harass those people”, stated the attorney for the buyer of the aircraft.

The Gulfstream 550 aircraft, the same on which Epstein was arrested, was listed for sale for $16.9 million in 2020 but was most recently reported sold at a highly discounted rate of $10.6 million.

ICON Aircraft has a new owner

SG Investment America completed the purchase of the assets of ICON Aircraft, which filed for Chapter 11 bankruptcy in May of this year, according to General Aviation News. The amphibious, two-seater personal aircraft received its FAA type certificate earlier this year.

NTSB Calls for Dispatchers, Flight Data Monitoring on for-hire business aircraft

The NTSB released a special investigation on Tuesday researching accidents in Part 135 (which includes private charter flights as well as special missions like medical, commuter flights, Alaskan mail carriers, and others) from 2010 to 2022. Requiring load manifests for single-engine aircraft, reiterating a recommendation from 2016 for Flight Data Monitoring, and adding a requirement for licensed flight dispatchers were key recommendations. Over the 12 years, there were 116 fatal accidents and 460 nonfatal accidents.

Requiring licensed dispatchers is based on operational control authority: who ultimately decides if a flight is safe to depart or not? Who is responsible? In small operations, the requirement can fall solely on the pilot flying the aircraft. In the report, the NTSB highlights, “The FAA has recognized…operators…that require joint concurrence between the pilot and other authorized personnel for flight release decisions have significantly better safety records…” While many accidents to support this recommendation were medical operators and flights in more hazardous regions like Alaksa, private fliers should heed the warning and understand the operational control process of the aircraft they fly on.

Part 135 versus Part 121 Accident Rates from the report:

*Includes private charter with fewer than 30 passenger seats as well as medevac, cargo, helicopters, other on-demand operations.