mchenry-crisis.org Chapter 128 Private Jet
Chapter 128 Private Jet
Chapter 128 Private Jet
"Mr. Garfield, if you are considering the Gulfstream IV, I suggest that a used model would be more suitable." The Wells Fargo advisor spoke earnestly, feeling as refreshed as if he had drunk ice water on a sweltering summer day to facilitate the deal.
Few people can make a decision directly about such a significant asset as a private jet, but this wealthy man in front of me was surprisingly more eager than I was.
Just thinking about the high commissions gives me a lot of motivation to work.
"The delivery cycle for brand-new models is too long, requiring at least a year to complete manufacturing and delivery. For mainstream models like the Gulfstream, it could take two or three years."
The Marvel project was temporarily put on hold, Jane Frazier officially joined Ernst Asset Management, and Ernst returned to Los Angeles from New York.
Upon his return, Ernst urgently needed to address a pressing issue: the purchase of a private jet.
As his business empire continues to expand, Ernst has to travel frequently between Silicon Valley, Hollywood, and New York, turning his private jet from a luxury into a necessity.
There are many brands of private jets, but the ones with the highest market share are Gulfstream and Canada's Bombardier, which together account for more than half of the global market share.
Boeing? It doesn't even rank in the top five in terms of market share in the private jet sector.
Don't be fooled by the fact that heads of state use large aircraft; the truth is that it's often a matter of saving face at all costs, and it's mostly a facade for the sake of etiquette.
Frequent flyers have probably encountered a situation where a water bottle left over from an in-flight drink is crushed upon landing.
This is because the air pressure is low, and the object is flattened by atmospheric pressure after landing.
This involves a technical term: cabin height.
This doesn't refer to the height from the ground to the ceiling inside the aircraft; it refers to the standard atmospheric pressure altitude corresponding to the air pressure inside the passenger cabin during flight.
Simply put, airplanes maintain cabin air pressure through a pressurization system; the better the pressurization effect, the more comfortable the passengers feel.
The cabin altitude is a key indicator for measuring this pressurization effect. The lower the value, the closer the air pressure is to the ground level, the higher the oxygen content, and the less likely the human body is to feel fatigued.
Regardless of the altitude at which an airplane flies, if its cabin altitude is 2400, then the pressure inside the cabin is equivalent to that at an altitude of 2400 meters.
Anyone who has gone to junior high school knows that the higher the altitude, the lower the air pressure, the greater the pressure, and the thinner the oxygen.
Therefore, the lower the cabin altitude, the more oxygen there will be, and the more comfortable people will be.
Boeing's main focus is on commercial aircraft, and it cannot afford to waste costs in this area for the sake of economic benefits.
In the commercial aircraft market, cabin height is generally designed according to the international minimum standard, which is 2400 meters.
But Gulfstream private jets are different; they prioritize comfort.
The Gulfstream now has a cabin altitude of around 1100 meters, so passengers generally don't feel any discomfort from the high altitude. This is the core reason why Ernst preferred the Gulfstream.
"How quickly can a used aircraft be put into service?"
Ernst had no objection to the suggestion of secondhand goods from the professionals sent by Wells Fargo.
In fact, used aircraft account for more than 80% of global private jet transactions.
According to relevant statistics, the average service life of a private jet is about 22 years, during which it changes hands an average of 15 times.
One crucial reason is the time cost. The waiting time for new aircraft is too long; a year is considered short, and three to five years is quite normal.
This is clearly unacceptable for business giants who highly value time.
Therefore, used aircraft become the best choice. As long as the configuration is sufficient, changing the interior and making simple modifications will not be much different from a new aircraft.
Of course, many buyers won't even bother to make any changes; they'll just buy it and use it directly.
After a moment's thought, the other party said, "If things go smoothly, it will take about a month. Our company will expedite all the necessary procedures and deliver the aircraft to you as soon as possible."
Buying a private jet is different from what's written in novels. I have the money, so I'll buy one and fly it.
This is utter nonsense.
Owning a private jet involves a very complicated process.
The first step is to submit a letter of intent to confirm the aircraft price, deposit, accessories, and aircraft specifications, etc.
This letter of intent was not signed with the airline company, but with the intermediary company.
Of course, you can also directly contact a private jet manufacturing company, but the process involves a lot of knowledge in finance, law, and engineering, and you will need to figure out how to handle all of these yourself.
Then comes the legal contracts. This step involves a lot of legal documents, including applying to the civil aviation authorities to complete registration, various procedures, paying various taxes and fees, engineering testing, verification history, and so on.
The third step is the formal handover, which requires recruiting crew members, handling insurance, route approvals, customs clearance, and so on.
Airworthiness certification and radio station permits are also required.
However, these are all procedures for new aircraft. The process for used aircraft is much simpler, but it still requires a lot of procedures.
There are no intermediary companies; you have to handle all of this yourself.
Moreover, compared to these intermediaries, the various procedures you handle yourself will definitely be blocked; it's the same all over the world.
Wells Fargo's expertise in private jet transactions is beyond question. Its extensive legal team and aviation advisory network can effectively circumvent cumbersome procedures, which is why Ernst chose to partner with the bank.
The two parties quickly finalized the details of the deal: a used Gulfstream IV aircraft no more than five years old, equipped with a Rolls-Royce Tay 611-8 engine, with a maximum range of 7000 nautical miles, capable of meeting the needs of intercontinental flights.
The interior will be redesigned according to Ernst's requirements, including the addition of a satellite communication system, a modified luxury lounge area, and a conference cabin.
The final transaction price was locked at around $3200 million, with a deposit of 20% of the total price and the remaining balance to be settled upon delivery.
"I hope it will be within a month."
The employee of Fuguo looked at Ernst, gritted his teeth, and nodded in agreement.
We have no choice but to agree; no matter how difficult it is, we have to go for it.
The person in front of me is a super big client of the wealthy country. If I offend him because of my own reasons, I can tell what will happen to him.
Ernst nodded in satisfaction, and after both parties signed the contract, the other party left.
As for the expenses, I'll definitely have to pay for them myself.
Ernst remembered a joke circulating online from his past life, which said that Jack Ma borrowed 300 million yuan from Alibaba to buy a plane, and then leased it to Alibaba for 100 million yuan for ten years, cashing out 700 million yuan.
All I can say is that the internet is really good at grabbing attention.
Jack Ma owns airplanes, which he leases to Alibaba, but the prospectus clearly states that the lease is free.
Let alone 100 million a year, Jack Ma wouldn't dare accept even one yuan a year.
Because this constitutes embezzlement, Wu Changjiang of NVC Lighting and Cai Dabiao, the founder of Kungfu, were both imprisoned for the same reason.
There was a knock on the door, and Sarah walked in. "Chairman, President Robert Iger asked me to inform you that everything is ready on their end."
After Google's successful funding round, Ernst was originally scheduled to fly directly from New York to Mountain View.
But Robert Iger called him and told him that the final cut of Titanic was out and that he wanted to hold an internal screening, asking if he would like to attend.
Ernst was of course coming back; he spearheaded the film, and it was practically his decision.
What will MGM employees think if he doesn't come back to the screening?
Even his own boss wasn't confident in this film; he figured it was just like everyone was saying—a money-loser.
Ernst is now a wealthy and powerful man, a Silicon Valley tycoon, and he doesn't care if MGM goes bankrupt.
But what about them? What will they do if they lose their jobs?
Ernst's return at this time not only supported the creative team, but also boosted the confidence of all MGM employees and fostered cohesion.
The point was to send a signal, to tell everyone at MGM that I would take full responsibility for the success or failure of this film.
Upon arriving at the screening room, Ernst was greeted by a large crowd waiting at the entrance.
Robert Iger, the MGM president, Orwell, the CFO, and Rivers, who replaced Nelson as head of the distribution department.
The creators of "Titanic" include James Cameron, Leonardo DiCaprio, and Kate Winslet, who modeled for Ernst.
There were more than twenty people standing outside the screening room, making it seem a bit crowded.
Kate Winslet, who plays Ernst, was the first to approach him, naturally taking his arm. Her golden curls complemented her red suit, and she smiled brightly.
No one else gave him any strange looks, which is as normal as shaking hands in Hollywood.
Besides, Ernst was young and rich; which actress could resist his allure?
"Sorry I'm late." Ernst smiled and shook hands with everyone. "You can go in first, no need to wait for me outside."
Robert Iger joked, "If you don't go, who among us dares to go first?"
As Ernst's wealth increased, an invisible pressure began to emanate from him.
Ernst, the indebted owner of MGM, could sit inside and wait.
But America's super-rich are worth waiting at the door for.
This is the status that wealth brings, and it's a true reflection of America.