Cheaper Fuel Prices are Slow to Trickle Down to the Private Jetsetters
By: Ben Geier; Fortune
Will big players like NetJets follow the lead of the smaller Magellan Jets and cut fuel costs for members?
Oil prices have tumbled over the past few months to levels not seen since more than five years ago. Drivers are pocketing big savings from gas prices falling to a national average of just $2.18, more than $1 a gallon cheaper than a year ago.
But the oil market’s downturn has failed to impact some fuel-intensive industries you’d expect. One those is private jet travel, the domain of corporate CEOs and the super wealthy.
Magellan Jets, a private jet company, is an exception. It has reduced fuel prices for new member contracts by 16%.
“While we cannot adjust prices with every fluctuation in the market, we could not watch such a significant swing in oil prices without taking action on behalf of our customers,” said Joshua Hebert, the company’s CEO.