Thursday, March 12, 2009

NY Times Selling Private Jet

Hot on the heels of its sale leaseback transaction, the NYT, in a mad dash to generate any possible cash, has disclosed it is now selling its corporate jet next. In a barely visible footnote a on page 42 of its Proxy filed yesterday, NYT will be parting ways with its 14 year old plane, which nobody has been using for a while as "the company no longer permits any use of the corporate aircraft." According to the NY Post, the jet in question is a Dassault Falcon 50ex, the predecessor the the Falcon 7x made infamous after Vikram almost spent $45 million in taxpayer money to fly in style while Citi was being nationalized. Due to 50ex's old age and, well, lack of coolness, it is being sold for an alleged asking price of $9.5 million (after being bought for $17 million in 1998), despite brokers expectations that it is worth at most $8 million. Even assuming the Gray Lady manages to sell the plane into a moribund private jet market, the $8 million cash a sale would generate would only go toward paying 4 months of interest on its new sale leaseback. Sphere: Related Content
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