Monthly Archives: August 2010

Richard Santulli isn’t sitting still. Literally.

The entrepreneur who started NetJets and was its CEO until leaving in 2009, has launched a new business in 2010. Milestone Aviation Group is the name of his latest startup, a Dublin, Ireland-based entity with U.S. offices in Columbus, Ohio. NetJets is managed and owned by Warren Buffett’s Berkshire Hathaway group.

Santulli launched Milestone earlier this month, attracting $500 million in private equity funding for a business whose primary thrust will be to lease helicopters. Writing for the August 8, 2010 issue of the Telegraph, Emma Rowley reports that financing will be made available to “…great operators who find themselves too heavily leveraged to expand or bid for contracts.”

That may give Santulli an important niche to exploit given the tough financing market for any type of aircraft these days.

Helicopter leasing isn’t something new for Santulli who founded RTS Helicopter Services Corporation in 1983 before turning his attention to fractional ownership of business jet aircraft beginning in 1986.

The business jet sector of corporate aviation continues to remain flat following the 40 percent drop in demand when the financial markets crashed in 2008.  Interest in helicopters hasn’t fallen as sharply as oil companies and other clients need to fly out to their rigs. Despite the BP oil spill, off-shore drilling continues especially away from U.S. shores. Expect Milestone to compete for new and existing business globally.

Milestone is offering up to 100 percent financing for customers and promises a quick turn around on applications, with plans to render their decision within three to five business days.  The company says that they are in business to serve customers all around the world from the company needing a single light duty helicopter to the business desiring a small fleet of heavy choppers.

Though helicopters are Milestone’s main business, the company will have its hand in private jet leasing too. Milestone is targeting corporations, high net worth individuals, governments and businesses awaiting delivery of their private jet, providing the same financial backing and schedule offering to helicopter leasing clients.

Will Santulli succeed? Given his high visibility he should thrive. Aviation International News reports that he has already signed on one firm customer and is going after contracts in Nigeria, Brazil and Canada worth $110 million.

References and Resources

Aviation International News: Santulli Back in Bizjet Business

Independent: Warren Buffett Protege Beefs up the Irish Racing Set

Photo Credit: NASA

Related Articles

• Ex-NetJets Boss Discounts His Florida Home Bought From Celine Dion by 40 Percent! (forbes.com)
• Warren “Tax The Rich” Buffett’s NetJets Sued For $366 Million In Unpaid Taxes (businessinsider.com)
• Despite Potential, China’s Private Aviation Industry Still “Yet To Take Off” (jingdaily.com)
• U.S. countersues Buffett’s company for unpaid taxes (business.financialpost.com)