If you believe the headlines, commercial airlines are the dogs of the travel industry, losing billions of dollars in the face of ever-rising fuel costs and trimming capacity as a result. But the business press has been relatively kind to private aviation. It would seem that these are boom times for the rarified world of private jets companies. Gulfstream has buyers lined up to spend $58 million for its new G-650 which won’t be out for another four years and jet travel provider XOJet just landed a whopping $2.46 billion investment.

But then again it’s not all rosy. We were intrigued by a press release for Halycon Jets, a charter broker with a healthy splash of celebrity endorsement (Shaquille O’Neal and New Orleans Saint Reggie Bush promote the brand, and director Spike Lee sits on the board of directors), announcing its new investor fact sheet.

While the release, complete with a photo of Shaq on the first page, highlights the company’s partnership with safety auditor Wyvern Consulting, as well as larger growth trends in the private aviation industry including the record production and delivery of business jets, the company’s recent filings with the Securities and Exchange Commission tell a different story. The most recent annual report detailing the company’s operations through the end of January provides a frank assessment of the Halcyon’s current financial footing.

• “Our independent registered public accounting firm has expressed doubt about our ability to continue as a going concern.”

• If more customers or financing doesn’t arrive, “we may not be able to continue operating our business.”

• “We have very limited funds.”

Halcyon started operations in March 2007 and since then has received several rounds of financing. At the end of January the company had $3.5 million in current assets. It brought in revenues of $12 million so far this year. That said, the company lost $5.5 million last year, showing the challenge of turning a profit in the private flying business. Halycon seems set on pursuing its celebrity-marketing angle and recently announced that it would acquire a majority interest in boutique private charter broker A-List Jets, which touts its use by the Hollywood-sect. But will the celebrity connection be enough to pull in more private flying clients without famous faces? It may be that private aviation isn’t completely immune to a recession or the larger challenges hitting the travel industry. And even Shaq might be no match for $120 a barrel oil.