First quarter revenues at private jet charter company Wheels Up plunged by $155 million year over year, to $197 million, according to an earnings report released yesterday. It also reported a $97 million quarterly loss, a marginal improvement from a $100 million loss in the first three months of 2023. The company attributed this erosion to its exiting of the aircraft management and aircraft brokerage businesses.

Wheels Up’s cash on hand in the quarter also fell by about $80 million, to $180.8 million. Meanwhile, its active members decreased by 25% YOY, to 9,155.

“Wheels Up has made great strides to improve our operations and consistently deliver exceptional service and an experience worth repeating for our customers,” said Wheels Up CEO George Mattson. “Our strong operational performance provides the foundation for driving to profitable growth. I am pleased with the market interest in the accessibility and flexibility of our offerings, and we are seeing accelerating commercial momentum through our strategic partnership with Delta Air Lines.”

My clients usually plan to use a limited liability company to own their aircraft, assuming the LLC will protect them from personal liability. Yet they often do not realize that an LLC is far from a bulletproof shield.

Although LLCs can provide barriers to private third-party claims against their owners, the reality is that certain claimants may cut through an LLC to reach the personal assets of the owner/members and other related parties. Perhaps more concerning, the U.S. government has regulatory and statutory authority that may extend personal liability to more individuals and entities than just owners, including their officers, directors, managers, pilots, and aircraft operators.

This personal liability exposure may come from three or more directions. First, third parties—including those who, for example, make claims for breach of contract, personal injury, or wrongful death—may try to “pierce the corporate veil” to reach into the pockets of LLC owners and others to pay for their claims.

Second, the FAA and the Department of Transportation can tag LLCs, LLC owners and managers, pilots, and others under the Federal Aviation Regulations (FARs) and federal statutes. Third, the Financial Crimes Enforcement Network (FinCEN), a division of the U.S. Treasury Department, acting under the new Corporate Transparency Act (CTA), has few limits in pursuing wrongdoers under the CTA.

The comprehensive FAA reauthorization bill, H.R.3935, took a major step forward yesterday when the Senate approved the bill by an 88-4 vote. However, the Senate also agreed to a short-term extension of the FAA’s authorization, until May 17, to give the House time to pass the bill. The FAA had been operating under an extension that had been set to expire today but the Senate action came too late for the House to act before it took a brief recess.

House consideration of the five-year, comprehensive FAA bill could come as early as Tuesday. The lower chamber on Wednesday had already passed the short-term extension.

Senate action had temporarily stalled as lawmakers looked at H.R.3935 as a possible venue for myriad other measures that otherwise may not get considered. However, those measures were not germane to the FAA bill and some threatened to sink it in the House. Ultimately, the Senate invoked cloture yesterday, cutting off debate and preventing those non-germane measures from being offered to the bill.

Senators on both sides of the aisle praised the House-Senate agreement. “Our bipartisan legislation sets clear priorities to strengthen aviation safety standards, implement new safety technology, hire more air traffic controllers and safety inspectors, give passengers a guaranteed right to a refund, advance innovation, and modernize our air travel infrastructure nationwide,” said Senate Commerce Committee chair Maria Cantwell (D-Washington).

Hydrographics is a cost-effective and growing trend in both private and commercial aviation, allowing owners to reimagine their aircraft interiors in ways not previously available in wood veneer or paint.

Central Illinois-based MRO provider Flightstar plans a significant expansion with the construction of a new hangar to store aircraft at Illinois' Willard Airport (KCMI). Designated as Hangar 11, the facility will house managed aircraft and free existing storage hangars for maintenance operations.

This reallocation effectively doubles Flightstar’s space dedicated to aircraft maintenance operations, addressing current and future service demand. Upon completion later this year, Hangar 11 will add 28,000 sq ft of aircraft shelter space, bringing Flightstar’s total managed hangar area to more than 142,000 sq ft.

“We’re thrilled to announce the expansion of our campus with the construction of this new aircraft storage hangar," said Flightstar president William Giannetti. "This addition allows us to streamline our existing infrastructure while continuing to provide exceptional services for our clients."

Infrastructure development has begun and Flightstar expects the start of hangar construction to follow immediately. Dodds Company of Champaign, Illinois, is overseeing the project and expects to complete the facility by the fourth quarter.

Gulfstream Aerospace has announced the appointment of Anthony Newlin as the new senior v-p and chief information officer, effective May 31. Newlin, who has more than 25 years of experience in the field, will take over from Sheryl Bunton, who is retiring after a significant tenure at the company.

Since joining Gulfstream in 2016, Newlin has been instrumental in shaping the company’s technology strategies, focusing on enhancing technology access and introducing innovative solutions to boost mobility and security. Prior to Gulfstream, he was a senior consultant at IBM, where he led technology strategy and transformation projects for Fortune 500 companies.

In his upcoming role, Newlin is expected to spearhead the delivery of transformative strategies and technology solutions throughout Gulfstream’s operations. Mark Burns, the airframer's president, commented, “Anthony has led multiple cross-functional initiatives that have supported various advancements in technology and overall security as our company has undergone a tremendous period of growth.”

Newlin holds a bachelor’s degree in professional management from Nova Southeastern University and an MBA from the University of Florida.

Sheryl Bunton, whom Newlin succeeds, has led Gulfstream’s global IT organization since 2015, enhancing the company's technological infrastructure and safeguarding its information and intellectual properties. Beyond her role at Gulfstream, Bunton has actively contributed to the broader tech community, including as co-chair of the World Economic Forum’s CISO community.

Flight Group director of maintenance Wes Maness this week become the 900th professional to earn NBAA’s Certified Aviation Manager (CAM) accreditation. The CAM program was launched by NBAA in 2003 and is touted as the “premier” management certification program for aviation professionals.

“I’ve been a manager, a director, and an executive, but continued learning and development is a must,” said Maness. “CAM really helped me understand the bigger picture by providing fresh insights into the diversity of knowledge and skills utilized in the business of corporate aviation. It also introduced me to a whole new group of peers that I will definitely stay connected to.”

“In an environment where staff recruitment and retention are now critical, CAM raises the bar on providing aviation professionals the tools and strategies to develop their careers and elevate their leadership skills,“ said NBAA president and CEO Ed Bolen. “CAM is now a sought-after credential by many employers who appreciate the dedication required to achieve this certification and the vital knowledge gained by every CAM graduate.”

Joseph-Armand Bombardier, founder of the Canadian company that has grown into global aviation leader Bombardier, was posthumously inducted into the U.S. National Inventors Hall of Fame this week. This honor recognizes his foundational contributions to transportation technology, most notably the invention of the Ski-Doo snowmobile.

Born in Quebec in 1907, Joseph-Armand Bombardier was a prolific innovator, obtaining 16 U.S. patents over his career. His early work focused on overcoming the challenges of snowbound transportation in rural Canada, leading to the development of a patented sprocket wheel/track system in 1937. In 1942, he incorporated his business as L'Auto-Neige Bombardier Limitée. His most famous invention, the Ski-Doo, introduced in 1959, marked a breakthrough in lightweight, motorized snow vehicles.

The company entered the aviation industry with its purchase of aircraft manufacturer Canadair in 1986. Bombardier continued to develop and improve the Challenger widebody business jet and also launched the Bombardier CL-415 amphibian—designed specifically for aerial firefighting—in 1994.

The National Inventors Hall of Fame, in partnership with the U.S. Patent and Trademark Office since 1973, acknowledges individuals whose ingenuity significantly advances technology. Bombardier's induction highlights not only his impact on recreational and utility snow vehicles but also his legacy in aviation.