The recession has caused the cancellation of some business aircraft programs and the slowdown in the development of others. Gulfstream, on the other hand, made the strategic decision to stay on course in its development of its new super-midsize G250 and long-range, large-cabin G650. It did this even though last year it had to reduce its production rates (primarily its midsize aircraft line), cut costs and lay off some 1,200 employees (about 10 percent of its workforce and primarily workers involved in production).
“One thing we didn’t do is reduce our planned investment in research and development,” said Joe Lombardo, president of Gulfstream and executive vice president of aerospace for parent company General Dynamics. “This was a very important decision for us. If we had reduced R&D, then the programs that we’d already announced and anything else we were working on would have been pushed out to the right. We’re not prepared to do that; it’s not our business model at all.”
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