News » Air Taxis Fly Into Financial Turbulence

Tuesday, May 20th, 2008

With fares rising and commercial air service increasingly unreliable for business travelers, Ed Iacobucci figured his plan for an air taxi service would be a no-lose proposition. So why is Mr. Iacobucci shaking his head in frustration?

The reason: Just as his company, DayJet, had proved that there was a business in using small jets for short-haul, on-demand service and was poised to expand its market, the credit market froze. DayJet was unable to raise $40 million it needed to grow, Mr. Iacobucci said. Expansion plans were postponed and the company laid off 100 of its 260 workers.

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