Airplane ban stripped from bailout bill

January 13, 2009 5:52:45 PM PST
Executives of banks that benefit from the federal bailout will get to fly their company jets after all. House Financial Services Committee Chairman Barney Frank has lifted the ban from proposed legislation.

Kansas lawmakers had complained that the restriction on use of private jets by financial institutions receiving federal bailout funds would cost the state jobs. Kansas is one of the nation's centers of aircraft manufacturing, and Kansas lawmakers argued the provision could reduce aircraft orders and damage the industry's image.

Relinquishing the jets was part of a broader measure that includes limits on executive compensation, the same type of limits included in government loan agreements with automakers.