Wednesday, May 10, 2006

A Year Late

The NY Times is finally getting around to covering the personal use of company planes by CEOs; it's a subject that the Wall Street Journal brought up a year ago. The Times article does have some more current figures, such as in 2005 the cost of the CEO using the company plane cost the shareholders 45% more than in 2004 and 10% more companies now allow - or at least report - personal use of the company plane. They also point out that our legislators are also users of company planes, particularly on fundraising ventures.

There are some signs of mitigating the greed. The CEO of Wells Fargo now charters the company plane through a third party and he pays the going charter rates.

1 comment:

R J Adams said...

Some CEO's may pay the going charter rate - legislators usually pay the equivalent of first class air fare. Though, of course, the company is expected to install their personal lobbyist on board.