NetJets under new leadership after Sokol resignation

On March 28, David Sokol resigned from his job as chairman of several Berkshire Hathaway-owned companies, including fractional-share provider NetJets.

By Matt Thurber • Editor-in-Chief

April 30, 2011

On March 28, David Sokol resigned from his job as chairman of several Berkshire Hathaway-owned companies, including fractional-share provider NetJets. NetJets president Jordan Hansell took over as chairman and CEO. Sokol had indicated interest in resigning from Berkshire Hathaway on two previous occasions, according to a statement by Berkshire Hathaway chairman Warren Buffett, “most recently two or so years ago,” but he was able to persuade Sokol to stay on board.

Buffett credits Sokol with turning NetJets around, and earlier this year, Berkshire Hathaway reported profits at its “other services” segment (which includes NetJets and FlightSafety International) as having enjoyed pre-tax profits of $984 million during 2010, versus a $91 million loss in 2009. On March 1, NetJets announced a purchase agreement for up to 120 Bombardier Globals worth up to $6.7 billion. Last October, Sokol surprised NBAA show-goers with an order for 125 Embraer Phenom 300s, reversing an era of cancelled orders and downsizing of the fleet and personnel ranks. At the time, Sokol refused to say whether NetJets had traded in any used jets as part of the Embraer transaction.

The rest of this article continues for AIN Members with the full report, analysis and background. The rest of this article continues for AIN Members with the full report, analysis and background. The rest of this article continues for AIN Members with the full report, analysis and background. The rest of this article continues for AIN Members with the full report, analysis and background. The rest of this article continues for AIN Members with the full report, analysis and background.