The fractional jet company NetJets
has cancelled 90 percent of its outstanding order with Hawker
Beechcraft, HBC announced Tuesday. The move will have the effect of
lowering HBC's backlog of orders for aircraft to about $3.5
HBC made the announcement in releasing its quarterly earnings
The Wichita Eagle reports that HBC said NetJets was not going to
be a significant source of revenue in 2010, as all of the
deliveries were not scheduled to begin until 2011. Over the course
of the year, NetJets has cancelled orders for 12 aircraft with HBC,
and deferred all deliveries to late 2010 at the earliest.
HBC expects to report an operation loss of up to $15 million for
the 4th quarter of 2009, and an overall annual loss of $725-$740
million. The company said NetJets does not historically account for
more than 10 percent of its annual revenue.