Private Jet Use by CEOs Skyrockets
Despite the recession, executives still fly in style for ease and security.
June 10, 2009— -- As hordes of Americans watched their retirement savings disappear and their home values plunge after the economic crisis started in September, many corporate CEOs rode high, literally.
Fortune 100 CEOs used private aircraft more in 2008 than in any of the previous five years, according to a new study by Equilar, a firm that tracks executive compensation.
"Equilar's most recent research suggests a reluctance on the part of companies to eliminate or reduce aircraft perks," the report said.
So how much do these fancy jets cost each company? In 2008, the median value of CEO travel for the year was $141,477, up from $109,743 a year earlier. Equilar notes that high fuel prices might have contributed to part of that increase.
But apparently, more CEOs took advantage of the jets last year. Equilar said 79.2 percent of those Fortune 100 CEOs got jet benefits last year, up from to 74.7 percent in 2007. Some companies have since announced plans to cut back on jet use.
Some CEOs used their jets more than others. According to Equilar's review of Securities and Exchange Filings, the top 10 users, according to 2008 value of jet expenses, were:
These big companies often argue that it is necessary to fly executives and their families around on private jets. This is not a lavish perk, they say, but a safety and security requirement as well as a time-saving tool for the busy leaders.
Related Stories
ABC News Live