What did Citibank do?

[cptacek]

I understand the uproar about the jet, but honestly, that purchase was probably made 12-18 months in advance of delivery (just recently). It's not like corporate jets roll off an assembly line. If it's similar to buying most large capital equipment, you are putting a substantial amount of money up front when they begin construction. Canceling the build after a certain point probably results in stiff forfeit of monies, since these are one-off aircraft built to order. Citi's BEST play was probably to take delivery then sell the jet on the market (which has got to be weak now, but still).

Yes, I would like to thank this hysteria for helping to cause the 4600 layoffs at another aircraft company across town and 2800 layoffs for our aircraft company in the past two months.

The plane buyers put money in for certain milestones, and as the plane rolls down the assembly line, they pay more and more. To not take delivery was a very expensive PR move.