Ousted From Virgin America, Lands At Bombardier FlexJet

It's a safe bet that the economy in 2009 will provide lots of stories about people who are handed employment lemons, and make lemonade. For Fred Reid, that opportunity came early.

The Dallas Morning News interviewed Reid, who was CEO of Virgin America up till last year, when the US Department of Transportation decided US laws on airline ownership would require the new carrier to purge executives close to Sir Richard Branson in order to get an operating certificate.

As ANN reported, Reid was ousted late last year. He landed on his feet in August, when he was named president of Bombardier Flexjet, based in Richardson, TX. The company offers its clients fractional ownership in business jets, and maintains and operates the planes.

Reid told the Morning News "This is a better business model than any airline. That's a factual truth. I was very dedicated to Virgin America. It wasn't my choice to leave, but you always make the best of what happens."

This wasn't Reid's first experience making lemonade. In May 2001, he was named president of Delta Air Lines. Just four months later, the September 11th terrorist attacks sent the industry into a downward spiral.

So... what will become of business aviation in general -- and FlexJet in particular -- in the current economic crisis? Reid speaks with the confidence of someone who's seen hard times before.

"It's a very vibrant business model," he said of fractional programs as a whole. "I had always known that private aviation solutions are going to grow for a long period of time. Yes, there's going to be shrinkage and cycles and ups and downs... But the value proposition of private aviation and the value proposition of fractionals and card operators in particular are here to stay.

"This particular company... has the highest operating efficiency and the highest levels of customer satisfaction in its category," he added. "We're going to deal with the downturn and make the company stronger coming out the other side."

FMI: www.flexjet.com/