Berkshire Hathaway’s fractional jet ownership company, NetJets, has signed a deal with Textron, the maker of the Cessna brand, to add as many as 325 of the company’s jets to its fleet.
The deal, announced on the eve of the National Business Aviation Association’s annual corporate jet show, has a value of roughly $10 billion.
The new agreement will give NetJets the ability to add up to 175 super-midsize Citation Longitude aircraft, as well as up to 150 of the new large cabin Citation Hemisphere aircraft to their fleet.
Textron Aviation began their relationship with NetJets more than 30 years ago when with the Citation SII. Since then, NetJets has owned and operated nearly 500 Citations including the Citation Latitude, Citation Sovereign, and Citation XLS.
NetJets recently ordered their 100th Citation Latitude, and are forecasting delivery of the first Citation Longitude in the second half of 2019.
The Longitude is a new super-midsize, 8-passenger jet that has a top-speed of 554-MPH and an endurance aloft of 7:45 hours.
© 2018 David Mazor
Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.